franklin templeton investment funds · barra da tijuca rio de janeiro – rj cep 22630 – 010...

Unaudited Semi-Annual ReportDecember 31, 2014

R.C.S. B35177

SOCIÉTÉ D’INVESTISSEMENT À CAPITAL VARIABLE

Franklin Templeton International Services S.à r.l.8A, rue Albert BorschetteL-1246 Luxembourgtel +352 (46) 66-67-1fax +352 (46) 66-76

FTIF SAR RGBR 12/14

Franklin Templeton Investment Funds

FRANKLIN TEMPLETON INVESTMENT FUNDSsociété d’investissement à capital variable

UNAUDITED SEMI-ANNUAL REPORTFOR THE PERIOD ENDED DECEMBER 31, 2014

This report shall not constitute an offer or a solicitation of an offer to buy shares of Franklin Templeton Investment Funds (the “Company”). Subscriptions are to be made on the basis of the current Explanatory Memorandum, its addenda and the relevant Product Key Facts Statement(s) accompanied by, a copy of the latest available audited annual report and, if published thereafter, the latest unaudited semi-annual report.

FRANKLIN TEMPLETON INVESTMENT FUNDS

www.franklintempleton.lu Unaudited Semi-Annual Report 3

ContentsGeneral Information 4The Board of Directors 7Report of the Investment Managers 10Fund Performance 12Statement of Net Assets 14Statement of Operations and Changes in Net Assets 30Statistical Information 46Notes to the Financial Statements 63Franklin Asia Credit Fund 153Franklin Biotechnology Discovery Fund 155Franklin Brazil Opportunities Fund 158Franklin Euro Government Bond Fund 159Franklin Euro High Yield Fund 160Franklin Euro Liquid Reserve Fund 164Franklin Euro Short Duration Bond Fund 165Franklin Euro Short-Term Money Market Fund 166Franklin Euroland Fund 167Franklin European Fund 169Franklin European Corporate Bond Fund 171Franklin European Dividend Fund 173Franklin European Growth Fund 175Franklin European Income Fund 176Franklin European Small-Mid Cap Growth Fund 178Franklin European Total Return Fund 179Franklin GCC Bond Fund 180Franklin Global Aggregate Bond Fund 181Franklin Global Aggregate Investment Grade Bond Fund 183Franklin Global Allocation Fund 185Franklin Global Convertible Securities Fund 192Franklin Global Corporate High Yield Fund 194Franklin Global Equity Strategies Fund 197Franklin Global Fundamental Strategies Fund 202Franklin Global Government Bond Fund 210Franklin Global Growth Fund 211Franklin Global Growth and Value Fund 213Franklin Global High Income Bond Fund 217Franklin Global Listed Infrastructure Fund 221Franklin Global Real Estate Fund 223Franklin Global Small-Mid Cap Growth Fund 225Franklin Gold and Precious Metals Fund 227Franklin High Yield Fund 229Franklin Income Fund 234Franklin India Fund 241Franklin Japan Fund 243Franklin K2 Alternative Strategies Fund 245Franklin MENA Fund 253Franklin Multi-Asset Income Fund 255Franklin Natural Resources Fund 260Franklin Real Return Fund 262Franklin Strategic Income Fund 264Franklin Technology Fund 275Franklin U.S. Dollar Liquid Reserve Fund 277Franklin U.S. Equity Fund 278Franklin U.S. Focus Fund 280Franklin U.S. Government Fund 281Franklin U.S. Low Duration Fund 282Franklin U.S. Opportunities Fund 293Franklin U.S. Small-Mid Cap Growth Fund 295Franklin U.S. Total Return Fund 298Franklin World Perspectives Fund 305Franklin Mutual Beacon Fund 312Franklin Mutual Euroland Fund 316Franklin Mutual European Fund 318Franklin Mutual Global Discovery Fund 321Templeton Africa Fund 325Templeton ASEAN Fund 327Templeton Asian Bond Fund 329Templeton Asian Dividend Fund 331Templeton Asian Growth Fund 333Templeton Asian Smaller Companies Fund 335Templeton BRIC Fund 338Templeton China Fund 340Templeton Constrained Bond Fund 342Templeton Eastern Europe Fund 344Templeton Emerging Markets Fund 346Templeton Emerging Markets Balanced Fund 348Templeton Emerging Markets Bond Fund 352Templeton Emerging Markets Smaller Companies Fund 356Templeton Euroland Fund 359Templeton European Fund 361Templeton Frontier Markets Fund 363Templeton Global Fund 365Templeton Global (Euro) Fund 368Templeton Global Balanced Fund 371Templeton Global Bond Fund 375Templeton Global Bond (Euro) Fund 378Templeton Global Equity Income Fund 380Templeton Global High Yield Fund 383Templeton Global Income Fund 389Templeton Global Smaller Companies Fund 397Templeton Global Total Return Fund 401Templeton Growth (Euro) Fund 409Templeton Korea Fund 412Templeton Latin America Fund 413Templeton Thailand Fund 415Additional Information 417Franklin Templeton Investments Office Directory 419

All the Funds marked with "^" above are currently not authorised for public distribution in Hong Kong and are not available to Hong Kong investors.

4 Unaudited Semi-Annual Report www.franklintempleton.lu www.franklintempleton.lu Unaudited Semi-Annual Report 5


société d’investissement à capital variable8A, rue Albert Borschette, L-1246 Luxembourg, Grand Duchy of Luxembourg

(Registered with the registre de commerce et des sociétés, Luxembourg, under number B 35 177)

General Information (as at December 31, 2014)BOARD OF DIRECTORS:ChairmanThe Honorable Nicholas F. BradyChairman and Chief Executive OfficerCHOPTANK PARTNERS, INC.6967 Cooke’s Hope RoadEaston, MD 21601, U.S.A.

DirectorsDuke of Abercorn KG DirectorTITANIC QUARTERBarons CourtOmagh BT78 4EZ, Northern Ireland, United Kingdom

Vijay C. AdvaniExecutive Vice President-Global Advisory ServicesFRANKLIN RESOURCES, INC.One Franklin ParkwaySan Mateo, CA 94403-1906, U.S.A.

Richard H. FrankChief Executive OfficerDARBY OVERSEAS INVESTMENTS, LTD1133 Connecticut Avenue, NW, Suite 400Washington DC 20036, U.S.A.(resigned with effect from October 15, 2014)

Mark G. Holowesko PresidentHOLOWESKO PARTNERS LTDShipston HouseP.O. Box N-7776, West Bay Street, Lyford Cay,Nassau, Bahamas

James J. K. HungPresident and Chief Executive OfficerASIA SECURITIES GLOBAL LTDRoom 63, 21st floor, New World Tower 118 Queen’s Road, CentralHong Kong

Gregory E. JohnsonPresident and Chief Executive OfficerFRANKLIN RESOURCES, INC.One Franklin ParkwaySan Mateo, CA 94403-1906, U.S.A.

Geoffrey A. LanglandsManaging PartnerLANGLANDS CONSULTORIA LtdaAvenida Lucio Costa 3600Bloco 1, Apto. 2102Barra da TijucaRio de Janeiro – RJCEP 22630 – 010 Brazil

Gregory E. McGowanExecutive Vice President and General CounselTEMPLETON WORLDWIDE, INC.300 Southeast 2nd Street, 11th FloorFort Lauderdale, FL 33301-1923, U.S.A.(resigned with effect from October 15, 2014)

Dr. J. B. Mark MobiusExecutive ChairmanTEMPLETON EMERGING MARKETS GROUP7 Temasek Boulevard, # 38-03 Suntec Tower OneSingapore 038987

David E. SmartDirector and Co-Chief Executive OfficerFRANKLIN TEMPLETON INVESTMENT MANAGEMENT LIMITEDThe Adelphi Building, 1-11 John Adam StreetLondon WC2N 6HT, England, United Kingdom(resigned with effect from October 15, 2014)

The Honourable Trevor G. TrefgarneChairmanENTREPRISE GROUP LIMITED11 High StreetAccra, Ghana

William C. P. LockwoodIndependent DirectorPoste restante, Avenue du Général de GaulleF-57570 Cattenom, France(appointed with effect from December 1, 2014)

MANAGEMENT COMPANY:FRANKLIN TEMPLETON INTERNATIONAL SERVICES S.à r.l.8A, rue Albert Borschette, L-1246 LuxembourgGrand Duchy of Luxembourg

REGISTERED OFFICE:8A, rue Albert Borschette, L-1246 LuxembourgGrand Duchy of Luxembourg

PRINCIPAL DISTRIBUTOR:FRANKLIN TEMPLETON INTERNATIONAL SERVICES S.à r.l.8A, rue Albert Borschette, L-1246 LuxembourgGrand Duchy of Luxembourg

INVESTMENT MANAGERS:FRANKLIN ADVISERS, INC.One Franklin ParkwaySan Mateo, CA 94403-1906, U.S.A.

FRANKLIN ALTERNATIVE STRATEGIES ADVISERS, LLCOne International Place, 25th FloorBoston, MA 02110, U.S.A.

FRANKLIN MUTUAL ADVISERS, LLC101 John F. Kennedy ParkwayShort Hills, NJ 07078-2789, U.S.A.

FRANKLIN TEMPLETON INSTITUTIONAL LLC600 Fifth Avenue,New York, NY 10020, U.S.A.

FRANKLIN TEMPLETON INVESTIMENTOS (Brasil) Ltda.Avenue Brigadeiro Faria Lima 3311, 5o andar,São Paulo 04538-133, Brazil

FRANKLIN TEMPLETON INVESTMENT MANAGEMENT LIMITEDThe Adelphi Building, 1-11 John Adam StreetLondon WC2N 6 HT, United Kingdom

FRANKLIN TEMPLETON INVESTMENT TRUST MANAGEMENT CO. LIMITED12 Youido-dong, Youngdungpo-gu,Seoul, Korea

FRANKLIN TEMPLETON INVESTMENTS CORP.200 King Street West, Suite 1500,Toronto, Ontario M5H 3T4, Canada

K2/D&S MANAGEMENT CO., LLC300 Atlantic Street, 12th FloorStamford, CT 06901, U.S.A.

CHILTON INVESTMENT COMPANY, LLC1290 East Main StreetStamford, CT 06902, U.S.A.

IMPALA ASSET MANAGEMENT LLC107 Cherry StreetNew Canaan, CT 06840, U.S.A.

INDEPENDENCE CAPITAL ASSET PARTNERS, LLC1400 16th Street, Suite 520Denver, CO 80202, U.S.A.

JENNISON ASSOCIATES LLC466 Lexington AvenueNew York, NY 10017, U.S.A.

WELLINGTON MANAGEMENT COMPANY, LLP280 Congress StreetBoston, MA 02210, U.S.A.

P. SCHOENFELD ASSET MANAGEMENT L.P.1350 Avenue of the Americas, 21st FloorNew York, NY 10019, U.S.A.

BASSO CAPITAL MANAGEMENT L.P.1266 East Main StreetStamford, CT 06902, U.S.A.

CHATHAM ASSET MANAGEMENT LLC26 Main Street, Suite 204Chatham, NJ 07928, U.S.A.

LAZARD ASSET MANAGEMENT LLC30 Rockfeller PlazaNew York, NY 10112, U.S.A.

LOOMIS SAYLES & COMPANY, L.P.One Financial Center, 27th FloorBoston, MA 02111, U.S.A.

GRAHAM CAPITAL MANAGEMENT L.P.40 Highland AvenueRowayton, CT 06853, U.S.A.

FRANKLIN TEMPLETON INVESTMENTS (ME) LIMITEDThe Gate, East Wing, Level 2,Dubai International Financial Centre,P.O. Box 506613, Dubai, United Arab Emirates

SUMITOMO MITSUI ASSET MANAGEMENT COMPANY LIMITED2-5-1 Atago Minato-kuTokyo 105-6228, Japan

TEMPLETON ASSET MANAGEMENT LTD.7 Temasek Boulevard# 38-03 Suntec Tower OneSingapore 038987

TEMPLETON GLOBAL ADVISORS LIMITEDP.O. Box N-7759Lyford Cay, Nassau, Bahamas

CUSTODIAN, LISTING AGENT AND PRINCIPAL PAYING AGENT:J.P. MORGAN BANK LUXEMBOURG S.A.European Bank and Business Centre6 Route de Trèves, L-2633 SenningerbergGrand Duchy of Luxembourg

AUDITOR:PRICEWATERHOUSECOOPERS, Société coopérative2, rue Gerhard Mercator, L-2182 LuxembourgGrand Duchy of Luxembourg

LEGAL ADVISERS:ELVINGER, HOSS & PRUSSEN2, place Winston Churchill, L-1340 LuxembourgGrand Duchy of Luxembourg



INVESTMENT MANAGERS PER FUND:Franklin Asia Credit FundCo-Investment Managers

FRANKLIN ADVISERS, INC.FRANKLIN TEMPLETON INSTITUTIONAL, LLC

Franklin Biotechnology Discovery FundFRANKLIN ADVISERS, INC.

Franklin Brazil Opportunities FundFRANKLIN TEMPLETON INVESTIMENTOS (Brazil) Ltda.

Franklin Euro Government Bond FundFRANKLIN TEMPLETON INVESTMENT MANAGEMENT LIMITED

Franklin Euro High Yield FundCo-Investment Managers

FRANKLIN TEMPLETON INVESTMENT MANAGEMENT LIMITEDFRANKLIN ADVISERS, INC.

Franklin Euro Liquid Reserve FundFRANKLIN TEMPLETON INVESTMENT MANAGEMENT LIMITED

Franklin Euro Short Duration Bond FundFRANKLIN TEMPLETON INVESTMENT MANAGEMENT LIMITED

Franklin Euro Short-Term Money Market FundFRANKLIN TEMPLETON INVESTMENT MANAGEMENT LIMITED

Franklin Euroland FundFRANKLIN TEMPLETON INVESTMENT MANAGEMENT LIMITED

Franklin European FundFRANKLIN TEMPLETON INVESTMENT MANAGEMENT LIMITED

Franklin European Corporate Bond FundCo-Investment Managers

FRANKLIN TEMPLETON INVESTMENT MANAGEMENT LIMITEDFRANKLIN ADVISERS, INC.FRANKLIN TEMPLETON INSTITUTIONAL, LLC

Franklin European Dividend FundFRANKLIN TEMPLETON INVESTMENT MANAGEMENT LIMITED

Franklin European Growth FundFRANKLIN TEMPLETON INVESTMENT MANAGEMENT LIMITED

Franklin European Income FundFRANKLIN TEMPLETON INVESTMENT MANAGEMENT LIMITED

Franklin European Small-Mid Cap Growth FundFRANKLIN TEMPLETON INSTITUTIONAL, LLC

Franklin European Total Return FundFRANKLIN TEMPLETON INVESTMENT MANAGEMENT LIMITED

Franklin GCC Bond FundFRANKLIN TEMPLETON INVESTMENTS (ME) LIMITED

Franklin Global Aggregate Bond FundFRANKLIN TEMPLETON INVESTMENT MANAGEMENT LIMITED

Franklin Global Aggregate Investment Grade Bond FundFRANKLIN TEMPLETON INVESTMENT MANAGEMENT LIMITED

Franklin Global Allocation FundLead Investment Manager

FRANKLIN ALTERNATIVE STRATEGIES ADVISERS, LLCCo-Investment Managers

FRANKLIN ADVISERS, INC.FRANKLIN TEMPLETON INVESTMENT MANAGEMENT LIMITEDTEMPLETON ASSET MANAGEMENT LTD.FRANKLIN TEMPLETON INSTITUTIONAL, LLCTEMPLETON GLOBAL ADVISORS LIMITEDFRANKLIN MUTUAL ADVISERS, LLC

Franklin Global Convertible Securities FundFRANKLIN ADVISERS, INC.

Franklin Global Corporate High Yield FundFRANKLIN ADVISERS, INC.

Franklin Global Equity Strategies FundCo-Investment Managers

FRANKLIN TEMPLETON INVESTMENT MANAGEMENT LIMITEDTEMPLETON ASSET MANAGEMENT LTD.FRANKLIN ADVISERS, INC.TEMPLETON GLOBAL ADVISORS LIMITEDFRANKLIN MUTUAL ADVISERS, LLC

Franklin Global Fundamental Strategies FundCo-Investment Managers

FRANKLIN TEMPLETON INVESTMENT MANAGEMENT LIMITEDFRANKLIN ADVISERS, INC.TEMPLETON GLOBAL ADVISORS LIMITEDFRANKLIN MUTUAL ADVISERS, LLC

Franklin Global Government Bond FundFRANKLIN TEMPLETON INVESTMENT MANAGEMENT LIMITED

Franklin Global Growth FundFRANKLIN TEMPLETON INSTITUTIONAL, LLC

Franklin Global Growth and Value FundLead Investment Manager

FRANKLIN ADVISERS, INC.Co-Investment Managers

FRANKLIN TEMPLETON INSTITUTIONAL, LLCTEMPLETON GLOBAL ADVISORS LIMITED

Franklin Global High Income Bond FundFRANKLIN ADVISERS, INC.

Franklin Global Listed Infrastructure FundFRANKLIN TEMPLETON INSTITUTIONAL, LLC

Franklin Global Real Estate FundFRANKLIN TEMPLETON INSTITUTIONAL, LLC

Franklin Global Small-Mid Cap Growth FundFRANKLIN TEMPLETON INSTITUTIONAL, LLC

Franklin Gold and Precious Metals FundFRANKLIN ADVISERS, INC.

Franklin High Yield FundFRANKLIN ADVISERS, INC.

Franklin Income FundFRANKLIN ADVISERS, INC.

Franklin India FundCo-Investment Managers

TEMPLETON ASSET MANAGEMENT LTD.FRANKLIN ADVISERS, INC.

Franklin Japan FundLead Investment Manager

FRANKLIN ADVISERS, INC.Sub-Investment Manager

SUMITOMO MITSUI ASSET MANAGEMENT COMPANY LIMITEDFranklin K2 Alternative Strategies FundLead Investment Manager

K2/D&S MANAGEMENT CO., LLC Co-Investment Managers

CHILTON INVESTMENT COMPANY, LLCIMPALA ASSET MANAGEMENT LLCINDEPENDENCE CAPITAL ASSET PARTNERS, LLCJENNISON ASSOCIATES LLCWELLINGTON MANAGEMENT COMPANY, LLPP. SCHOENFELD ASSET MANAGEMENT L.P.BASSO CAPITAL MANAGEMENT L.P.CHATHAM ASSET MANAGEMENT LLCLAZARD ASSET MANAGEMENT LLCLOOMIS SAYLES & COMPANY, L.P.GRAHAM CAPITAL MANAGEMENT L.P.

Franklin MENA FundFRANKLIN ADVISERS, INC.

Franklin Multi-Asset Income FundLead Investment Manager


FRANKLIN TEMPLETON INSTITUTIONAL, LLCTEMPLETON ASSET MANAGEMENT LTD.FRANKLIN TEMPLETON INVESTMENT MANAGEMENT LIMITED

Franklin Natural Resources FundFRANKLIN ADVISERS, INC.

Franklin Real Return FundFRANKLIN ADVISERS, INC.

Franklin Strategic Income FundFRANKLIN ADVISERS, INC.

Franklin Technology FundFRANKLIN ADVISERS, INC.

Franklin U.S. Dollar Liquid Reserve FundFRANKLIN ADVISERS, INC.

Franklin U.S. Equity FundFRANKLIN ADVISERS, INC.

Franklin U.S. Focus FundFRANKLIN ADVISERS, INC.

Franklin U.S. Government FundFRANKLIN ADVISERS, INC.

Franklin U.S. Low Duration FundFRANKLIN ADVISERS, INC.

Franklin U.S. Opportunities FundFRANKLIN ADVISERS, INC.

Franklin U.S. Small-Mid Cap Growth FundFRANKLIN ADVISERS, INC.

Franklin U.S. Total Return FundFRANKLIN ADVISERS, INC.

Franklin World Perspectives FundLead Investment Manager


FRANKLIN TEMPLETON INVESTMENT MANAGEMENT LIMITEDFRANKLIN TEMPLETON INVESTMENTS CORP.FRANKLIN TEMPLETON INVESTIMENTOS (Brasil) Ltda.FRANKLIN TEMPLETON INVESTMENT TRUST MANAGEMENT CO. LIMITEDTEMPLETON ASSET MANAGEMENT LTD.

Franklin Mutual Beacon FundFRANKLIN MUTUAL ADVISERS, LLC

Franklin Mutual Euroland FundFRANKLIN MUTUAL ADVISERS, LLC

Franklin Mutual European FundCo-Investment Managers

FRANKLIN MUTUAL ADVISERS, LLCFRANKLIN TEMPLETON INVESTMENT MANAGEMENT LIMITED

Franklin Mutual Global Discovery Fund FRANKLIN MUTUAL ADVISERS, LLC

Templeton Africa Fund TEMPLETON ASSET MANAGEMENT LTD.

Templeton ASEAN FundTEMPLETON ASSET MANAGEMENT LTD.

Templeton Asian Bond FundFRANKLIN ADVISERS, INC.

Templeton Asian Dividend FundTEMPLETON ASSET MANAGEMENT LTD.

Templeton Asian Growth FundTEMPLETON ASSET MANAGEMENT LTD.

Templeton Asian Smaller Companies FundTEMPLETON ASSET MANAGEMENT LTD.

Templeton BRIC FundTEMPLETON ASSET MANAGEMENT LTD.

Templeton China FundTEMPLETON ASSET MANAGEMENT LTD.

Templeton Constrained Bond FundFRANKLIN ADVISERS, INC.

Templeton Eastern Europe FundTEMPLETON ASSET MANAGEMENT LTD.

Templeton Emerging Markets FundTEMPLETON ASSET MANAGEMENT LTD.

General Information (as at December 31, 2014) (continued)



INVESTMENT MANAGERS PER FUND (continued):Templeton Emerging Markets Balanced FundCo-Investment Managers

TEMPLETON ASSET MANAGEMENT LTD.FRANKLIN ADVISERS, INC.

Templeton Emerging Markets Bond FundFRANKLIN ADVISERS, INC.

Templeton Emerging Markets Smaller Companies FundTEMPLETON ASSET MANAGEMENT LTD.

Templeton Euroland FundTEMPLETON GLOBAL ADVISORS LIMITED

Templeton European FundTEMPLETON GLOBAL ADVISORS LIMITED

Templeton Frontier Markets FundTEMPLETON ASSET MANAGEMENT LTD.

Templeton Global FundTEMPLETON GLOBAL ADVISORS LIMITED

Templeton Global (Euro) FundFRANKLIN TEMPLETON INVESTMENT MANAGEMENT LIMITED

Templeton Global Balanced FundCo-Investment Managers

FRANKLIN TEMPLETON INVESTMENT MANAGEMENT LIMITEDFRANKLIN ADVISERS, INC.

Templeton Global Bond FundFRANKLIN ADVISERS, INC.

Templeton Global Bond (Euro) FundFRANKLIN ADVISERS, INC.

Templeton Global Equity Income FundFRANKLIN TEMPLETON INVESTMENT MANAGEMENT LIMITED

Templeton Global High Yield FundFRANKLIN ADVISERS, INC.

Templeton Global Income FundCo-Investment Managers

FRANKLIN ADVISERS, INC.TEMPLETON GLOBAL ADVISORS LIMITED

Templeton Global Smaller Companies FundFRANKLIN TEMPLETON INVESTMENTS CORP.

Templeton Global Total Return FundFRANKLIN ADVISERS, INC.

Templeton Growth (Euro) FundTEMPLETON GLOBAL ADVISORS LIMITED

Templeton Korea FundTEMPLETON ASSET MANAGEMENT LTD.

Templeton Latin America FundTEMPLETON ASSET MANAGEMENT LTD.

Templeton Thailand FundTEMPLETON ASSET MANAGEMENT LTD.

General Information (as at December 31, 2014) (continued)



The Board of Directors

The Board

Chairman The Honorable Nicholas F. BradyThe Honorable Nicholas Brady (84) was appointed to the Board on November 30, 1994. Mr. Brady is Chairman and President of Choptank Partners, Inc., founder and Chairman of Darby Overseas Investments, Ltd. as well as a founding partner and current participant in Holowesko Partners Ltd. In addition, he serves as a Director of Weatherford International Ltd. In 1988 Mr. Brady was appointed by President Reagan as the 68th Secretary of the Treasury of the United States, a post he held through the elder President Bush’s administration. In 1982 Mr. Brady was appointed a U.S. senator from the State of New Jersey. He went on to serve on five presidential commissions, chairing the Presidential Task Force on Market Mechanisms, commonly called the Brady Commission, which investigated the causes of the 1987 stock market crash and recommended a number of reforms that were subsequently adopted. In 1954, he joined Dillon, Read & Co. Inc., starting a 34 year career in investment banking with the firm, during which time he rose to become President, Chairman of the Board and for 17 years, its Chief Executive Officer.

Directors Duke of Abercorn KGHis Grace, the Duke of Abercorn KG (80) was appointed to the Board on November 30, 1994. His Grace, the Duke of Abercorn KG is presently a Director of Titanic Quarter which is Europe’s biggest waterfront redevelopment. He was formerly a Director of Northern Bank Ltd, Chairman of Laganside Corporation, Chairman of Calor Teoranta (Ireland) and a Director of Belfast International Airport Ltd. He has also previously been a Director of The Industrial Development Board for Northern Ireland as well as a Director of Balcas Timber Ltd.

Vijay C. AdvaniVijay Advani (54) was appointed to the Board on February 25, 2008. Mr. Advani is an Executive Vice President for Franklin Templeton Investments – Global Advisory Services. He is responsible for Franklin Templeton’s global retail and institutional distribution strategies and initiatives, including sales, marketing, client service and product development. Mr. Advani is an officer of Franklin Resources, Inc., a member of several Franklin Templeton committees and a board member of various Franklin Templeton subsidiaries.

Mr. Advani joined the Templeton organization in 1995 as the president of Templeton Asset Management (India) Pvt. Ltd., in Mumbai (Bombay). In 2000, he moved to Singapore as the regional managing director, Product Development, Sales and Marketing for Asia, Eastern Europe and Africa. In 2002, Mr. Advani relocated to California and was appointed executive managing director of International Retail Development. In 2005, he took responsibility for global retail distribution and in 2008 assumed his current role.

Prior to joining Franklin Resources, Mr. Advani worked at the World Bank Group in Washington, DC. His primary responsibility was providing advisory and technical assistance to government authorities on the development of securities and financial markets; structuring, establishing and financing specialized financial institutions; and mobilizing equity, quasi-equity and debt financing. He worked in several emerging economies in the former Soviet Union, Asia, Middle East and Africa.

Mr. Advani received an M.B.A. from the University of Massachusetts, Amherst, where he graduated as a Foreign Student Scholar and a bachelor’s degree in Accounting and Finance from the University of Bombay (now the University of Mumbai), India. Mr. Advani is a board member of Jumpstart, U.S-India Business Council (USIBC) and the Center for the Advanced Study of India (CASI) at the University of Pennsylvania. He is also a committee member of the San Francisco – Bangalore Sister City Initiative and a former Board Member of Lok Foundation.

Mark G. HoloweskoMark Holowesko (54) was appointed to the Board on November 30, 1994. Mark Holowesko is the founding Partner and Chief Executive Officer of Holowesko Partners Ltd (HPL). Mark launched the firm in the fall of 2000, under the name of Templeton Capital Advisors, to serve the needs of institutional and high-net-worth investors. Subsequently renamed Holowesko Partners, under Mark’s leadership HPL has enjoyed steady and consistent growth and now stands as one of the premier global equity hedge firms in the industry.

Mark’s investment career began in 1985 when he joined Templeton Global Advisors as a research analyst. By 1987, he had assumed the day-to-day management of all portfolios previously managed by Sir John Templeton, including the Templeton Growth Fund and the Templeton Foreign Fund. In 1989, Mark became the Director of Research of the Templeton Global Equity Funds and later, in 1996, assumed the role of Chief Investment Officer.

Mark served as a member of the Executive Committee of Templeton, Galbraith & Hansberger from 1987 to 1992 and as a member of the Executive Committee of Franklin Resources from 1992 to 2000. Mark was Director, President & Head of Investments of Templeton Global Advisors Ltd. from 1992 to 2000.

Currently, Mark is Chairman of the Investment Committee of First Trust Bank, an offshore entity responsible for managing the assets of two of Sir John Templeton’s Foundations.



James J. K. HungJames Hung (68) was appointed to the Board on November 29, 2002. He is the Chairman and Chief Executive Officer (“CEO”) of Xinya Investment Group, China, a real estate development and investment group in Mainland China, Hong Kong and Taiwan. He is also a Director and major shareholder of Security Bank in the Philippines and the Director of Franklin Templeton Fund Management Company in Shanghai, a joint venture of Franklin Templeton and the Sealand Securities Company, China. His previous experience includes working for Asia Securities Inc. (Taiwan) as the Chairman and CEO. He has also previously been the Director of Yi-Min Fund Management Co., (China), H&Q Venture Capital Inc. (Taiwan), Taiwan Index Fund Inc. (Luxembourg) and Vietnam Fund Inc. (Guernsey).

Gregory E. JohnsonGregory Johnson (53) was appointed to the Board on November 28, 2003. He is Chairman, President and Chief Executive Officer of Franklin Resources, Inc. and serves on the Board of Directors. He is also President of Templeton Worldwide, Inc., Chief Executive Officer and President of Templeton International, Inc. and serves as a Director for a number of subsidiaries of Franklin Resources, Inc. He is a member of a number of Franklin Templeton’s International Fund Boards. Mr. Johnson joined Franklin in 1986 after working as a senior accountant for Coopers & Lybrand. He has served as President and Chairman of the Board for Franklin Templeton Distributors, Inc., President of Franklin Investment Advisory, LLC, President of FT Trust Company, Vice President of Franklin Advisers, Inc., co-portfolio manager of Franklin Income Fund and Franklin Utilities Fund and as an investment analyst.

Geoffrey A. LanglandsGeoffrey Langlands (79) was appointed to the Board on September 27, 2005. He is a resident of Rio de Janeiro, Brazil, where he is currently Managing Partner of Langlands Consultoria Ltda., and a partner in Horto Consultoria Ltda., as well as participating in the Boards of Fundação Flora de Apoio à Botânica and Ser Cidadão, two non profit making institutions. He was a Director of Templeton Emerging Markets Investment Trust (1994/2005, having been Chairman 2003/2004). He was an Executive Director of Santander Brasil Asset Management S/A (2000/2001), Banco Bozano, Simonsen S/A (1969/2000) and Banco Geral de Investimentos S/A (1968/1969). Previously, he was a Managing Partner of Organização S/N Ltda. (1960/1968) and an employee of the Schroder Group in London and Rio de Janeiro (1957/1960). At Banco Bozano, Simonsen a leading Brazilian investment institution, he organized, set up and managed the bank’s asset management, stock broking, corporate finance, investment research and private equity activities. He was also a Director of several companies in the Bozano, Simonsen Group. He also served on the Capital Markets Advisory Committees of the Brazilian Central Bank and the Inter-American Investment Corporation. He was a Board member of ANBID (Brazilian Investment Bankers’ Association), General Accident Companhia de Seguros, and Atlantica Hotels International.

Dr. J. B. Mark MobiusDr. Mark Mobius, Ph.D. (78) was appointed to the Board at inception. He is Executive Chairman of Templeton Emerging Markets Group, currently directs analysts based in Templeton’s 18 emerging markets offices and manages the emerging markets portfolios. Dr. Mobius has spent more than 40 years working in emerging markets all over the world. He joined Franklin Templeton Investments in 1987 as president of the Templeton Emerging Markets Fund, Inc. Dr. Mobius was named by Asiamoney magazine in 2006 as one of their “Top 100 Most Powerful and Influential People.” Asiamoney said, he “...boasts one of the highest profiles of any investor in the region and is regarded by many in the financial industry as one of the most successful emerging markets investors over the last 20 years. Despite tough times during the financial crisis nine years ago, he still commands a strong following in the investment world and is influencing the direction of billions of investment dollars.” Other awards include: (1) “2010 Africa Investor Index Series Awards” by African Investor, (2) “Emerging Markets Equity Manager of the Year 2001” by International Money Marketing, (3) “Ten Top Money Managers of the 20th Century” in a survey by the Carson Group in 1999, (4) “Number One Global Emerging Market Fund” in the 1998 Reuters Survey, (5) “1994 First in Business Money Manager of the Year” by CNBC, (6) “Closed-End Fund Manager of the Year” in 1993 by Morningstar and, (7) “Investment Trust Manager of the Year 1992” by Sunday Telegraph.

Dr. Mobius is also the author of the following books: Trading with China, The Investor’s Guide to Emerging Markets, Mobius on Emerging Markets, Passport to Profits, Equities – An Introduction to the Core Concepts, Mutual Funds – An Introduction to the Core Concepts, Foreign Exchange – An Introduction to the Core Concepts, Bonds – An Introduction to the Core Concepts, Mark Mobius – An Illustrated Biography and The Little Book of Emerging Markets.

The Honourable Trevor G. TrefgarneThe Honourable Trevor Trefgarne (71) was appointed to the Board of Franklin Templeton Investment Funds on November 29, 2002. He is Chairman of Enterprise Group Limited, Ghana, and has been Director of a number of U.K. listed investment funds including Templeton Emerging Markets Investment Trust, Recovery Trust (Chairman) and Gartmore High Income Trust. He has extensive experience of the management of listed companies in the U.K. and Africa.

The Board of Directors (continued)

The Board (continued)



The Board of Directors (continued)

The Board (continued)William C. P. LockwoodWilliam Lockwood (57) was appointed to the Board of Franklin Templeton Investment Funds on December 1, 2014. He joined Franklin Templeton in 1992 and served as General Manager of the Franklin Templeton Luxembourg subsidiary and Franklin Templeton Investment Funds until December 2005. From December 2005 until January 2014, he was Conducting Officer of Franklin Templeton Investment Funds. The Conducting Officer role was a management, oversight and governance role under the EU UCITS legislation reporting directly to the Board of Franklin Templeton Investment Funds. Mr Lockwood has been working in the financial services industry in Luxembourg since 1982. He is a Scottish Chartered Accountant and a Member of the Chartered Institute for Securities & Investment, London. He has served as a director and international vice chairman of the Luxembourg Fund Industry Association (ALFI) and as a council member of the Institute of Chartered Accountants of Scotland.



Report of the Investment Managers – Six Months to December 31, 2014

Financial markets continued to perform in the second half of 2014, although the range-bound trades that characterized 2013 and the first half of 2014 seemed to give way to a greater degree of volatility as the period progressed. The upsurge in volatility was caused by the winding down of the US Federal Reserve’s (Fed) latest asset-purchase program, the rise in the value of the US dollar as the US economy steadily improved (pointing the way toward some modest tightening of Fed policy), and a sharp fall in commodity prices, especially oil. Overall, the six months under review were generally positive ones for investors in equity and credit markets in the developed world, but were far less successful for investors in a number of emerging-market bonds, equities, and currencies, as well as investors in commodities and gold.

The US proved once again that it has a much more robust economy than Europe, with gross domestic product (GDP) rising at an annual rate of 5% in the third quarter of 2014. Significantly, in Europe while the English-speaking economies—Ireland and the UK—have come close to matching the US performance, the largest eurozone countries have floundered. Although some green shoots have begun to appear, some observers began to fear that the eurozone was embarked on secular decline. Yet this prospect was not reflected in the valuation of equities and corporate bonds. In spite of economic stagnation and paltry income growth in Europe, at the end of the period under review, there was little difference in forward price-earnings ratios on either side of the Atlantic. Credit spreads told a similar story. Plainly, risk assets in Europe have been given a boost by euro and oil price weakness, as well as by further prospective European Central Bank (ECB) intervention, including purchases of government bonds. The increasing possibility of ECB asset purchases, plus the lack of inflation pushed European government bond yields down to historic lows during the six-month period. Spreads over Bunds for bonds of equivalent maturity issued by countries such as Spain and Italy, close to the heart of the sovereign-bond crisis just two years ago, fell sharply while German Bund yields themselves fell well below those for US Treasuries.

At the end of October, Japanese policymakers announced two unprecedented stimulus measures with global implications. First, the Bank of Japan (BOJ) voted to expand its already massive annual purchases of Japanese government bonds, while on the same day the Government Pension Investment Fund, the world’s largest pension fund, decided to increase the size of its overall allocation to global bonds as well as domestic and global equities. Helped by a declining yen, Japanese stock indexes performed well in the six months under review. However, GDP growth has been lower than expected in Japan in recent months, while core inflation and inflation expectations have remained subdued, complicating efforts to kick start a long-stagnant economy. The good news is that at least BOJ asset purchases—and the possibility of something similar from the ECB—have provided and will provide liquidity to the global market, thus taking the place of the Fed’s defunct asset-purchase program.

Despite manifest differences in economic structure and quality of policy making, emerging market bonds and equities as a whole underperformed developed markets in the six months under review. The large commodity-dependent countries were the worse hit by the sharp fall in raw material prices, most especially Russia, Brazil and Middle Eastern countries. But while investors proved initially more favorably disposed toward a country like India, which meets its energy needs via imports and embarked on a reform drive under a newly elected prime minister, by the end of 2014 investors were taking a much more cautious view even of relatively stable emerging markets. The state of the Chinese economy has been a constant focus of attention, with some observers ascribing the drop in commodity prices to a meaningful slowdown in the Chinese economy: this slowdown caused the Chinese central bank to cut benchmark interest rates (thus fuelling a dizzying rise in the domestic stock market). More fundamentally, the slowdown in Chinese growth –albeit to levels that remain enviable—reflects the ongoing transition of the world’s second-largest economy from a low-wage, export-driven economy to a higher-wage, more domestically driven one where growth is slower but more sustainable. This transition will likely remain a major theme for global markets throughout the coming year.

The six months under review have been marked by a fairly consistent rise in the value of the US dollar versus the euro, yen and emerging-market currencies, reflecting the divergence in economic performance and policy prospects. Central banks in emerging markets have had to cut rates or step up foreign-currency auctions to stabilize their own currencies. Even allowing for severe drops in some bond markets (Ukraine, for example), emerging-market debt indexes had proved immune to the volatility seen in currencies and stocks for much of the period under review. But by mid-December, the relentless rise of the US dollar and the panicky middle-of-the-night decision by the Russian central bank to hike its main interest rate to 17% meant that the average yield on the JP Morgan Bond Market Index shot up.

With corporate balance sheets strong and earnings rising (at least in the US), investment-grade bonds have coped well with the bouts of volatility. But the continued fall in benchmark developed-market bond yields has also left it more difficult to find real value in other sections of the bond market, most notably high yield. In addition, cracks have begun to appear in the US high-yield market, where energy sector-related bonds now make up a sizable part of the non-investment universe.

While there are winners and losers from the dramatic fall in oil prices of the past six months, overall the global economy should benefit from lower oil prices in the early months of 2015. A risk is further geo-political instability involving countries like Russia, Iran and Iraq where macroeconomic prospects are hurt by falling oil prices. In addition, investors will need to be on alert to the possible effects of policy “normalization” in the US as 2015 progresses. Further volatility in fixed-income markets will thus need to be monitored in the period ahead, while an acceleration in earnings growth would help equities beyond the temporary stimulus provided by central banks in Japan and Europe.

THE INVESTMENT MANAGERSJanuary, 2015

The information stated in this report represents historical data and is not an indication of future results.



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Franklin Asia Credit Fund A (acc) USD 17 Nov 14 – – – – – (0.5)

Franklin Biotechnology Discovery Fund A (acc) USD 03 Apr 00 21.7 34.7 180.6 261.8 285.3 214.0

Franklin Brazil Opportunities Fund A (acc) USD 27 Jul 12 (2.8) 1.0 – – – 4.1

Franklin Euro Government Bond Fund A (Ydis) EUR 08 Jan 99 5.3 11.5 25.4 27.0 40.6 69.3

Franklin Euro High Yield Fund A (Ydis) EUR 17 Apr 00 (0.9) 3.3 35.9 49.1 61.4 72.4

Franklin Euro Liquid Reserve Fund A (Ydis) EUR 01 Jun 94 (0.2) (0.5) (0.2) 0.8 9.6 39.3

Franklin Euro Short Duration Bond Fund A (acc) EUR 21 Feb 14 0.7 – – – – 1.7

Franklin Euro Short-Term Money Market Fund A (acc) EUR 23 Oct 09 – – 0.2 1.2 – 1.2

Franklin Euroland Fund A (acc) EUR 28 Nov 08 (1.3) 3.2 52.9 34.5 – 76.3

Franklin European Fund A (acc) EUR 29 Jul 11 (1.4) 3.6 47.5 – – 41.6

Franklin European Corporate Bond Fund A (acc) EUR 30 Apr 10 2.8 8.0 28.1 – – 26.3

Franklin European Dividend Fund A (acc) EUR 29 Jul 11 (2.5) 5.4 45.4 – – 42.6

Franklin European Growth Fund A (acc) EUR 29 Dec 00 (8.1) (2.6) 51.9 69.0 129.1 41.1

Franklin European Income Fund A (acc) EUR 17 Nov 14 – – – – – 1.7

Franklin European Small-Mid Cap Growth Fund A (acc) EUR 03 Dec 01 (4.9) (4.5) 69.7 68.8 192.7 200.3

Franklin European Total Return Fund A (acc) EUR 29 Aug 03 4.4 10.7 31.4 35.7 32.6 44.4

Franklin GCC Bond Fund A (acc) USD 30 Aug 13 1.8 8.5 – – – 13.1

Franklin Global Aggregate Bond Fund A (acc) USD 29 Oct 10 (1.6) 3.1 11.7 – – 7.6

Franklin Global Aggregate Investment Grade Bond Fund A (acc) USD 22 Jun 12 (2.2) 2.8 – – – 7.0

Franklin Global Allocation Fund A (acc) USD 29 Jul 11 (4.7) (1.5) 18.3 – – 8.5

Franklin Global Convertible Securities Fund A (acc) USD 24 Feb 12 (5.7) (2.0) – – – 15.2

Franklin Global Corporate High Yield Fund I (acc) USD 06 Sep 13 (6.4) (0.5) – – – 5.9

Franklin Global Equity Strategies Fund A (acc) USD 15 May 08 (7.2) (3.0) 30.7 21.4 – 13.6

Franklin Global Fundamental Strategies Fund A (acc) USD 25 Oct 07 (5.1) (1.9) 34.3 39.7 – 30.8

Franklin Global Government Bond Fund A (acc) USD 06 Sep 13 (2.0) 2.7 – – – 5.1

Franklin Global Growth Fund A (acc) USD 29 Dec 00 1.7 3.2 46.6 41.8 81.2 44.4

Franklin Global Growth and Value Fund A (acc) USD 09 Sep 02 (2.6) 0.3 48.7 42.8 76.2 149.1

Franklin Global High Income Bond Fund A (acc) USD 13 Jul 12 (9.3) (3.3) – – – 18.0

Franklin Global Listed Infrastructure Fund A (acc) USD 26 Apr 13 (4.2) 12.8 – – – 17.6

Franklin Global Real Estate Fund A (acc) USD 29 Dec 05 2.7 13.7 45.1 64.1 – 15.5

Franklin Global Small-Mid Cap Growth Fund A (acc) USD 15 Apr 02 (13.6) (11.6) 46.5 51.1 113.6 183.4

Franklin Gold and Precious Metals Fund A (acc) USD 30 Apr 10 (30.8) (11.0) (61.3) – – (62.1)

Franklin High Yield Fund A (Mdis) USD 01 Mar 96 (6.2) (1.3) 20.1 39.9 64.5 158.9

Franklin Income Fund A (Mdis) USD 01 Jul 99 (5.4) 2.3 26.8 44.2 64.2 151.1

Franklin India Fund A (acc) USD 25 Oct 05 11.8 41.4 64.8 43.4 – 217.9

Franklin Japan Fund A (acc) JPY 01 Sep 00 11.6 6.5 95.2 60.0 7.3 (20.7)

Franklin K2 Alternative Strategies Fund A (acc) USD 15 Sep 14 – – – – – 3.1

Franklin MENA Fund A (acc) USD 16 Jun 08 (4.9) 9.1 58.0 58.0 – (33.8)

Franklin Multi-Asset Income Fund A (acc) EUR 26 Apr 13 6.1 12.2 – – – 10.1

Franklin Natural Resources Fund A (acc) USD 12 Jul 07 (31.6) (21.1) (19.6) (9.6) – (23.9)

Franklin Real Return Fund A (acc) USD 30 Apr 10 (5.2) (1.5) 2.0 – – 5.1

Franklin Strategic Income Fund A (acc) USD 12 Jul 07 (2.4) 1.0 15.7 29.5 – 46.7

Franklin Technology Fund A (acc) USD 03 Apr 00 6.2 13.8 57.4 81.2 118.6 6.7

Franklin U.S. Dollar Liquid Reserve Fund A (Mdis) USD 01 Jun 94 (0.1) (0.2) (0.5) (1.0) 11.7 58.2

Franklin U.S. Equity Fund A (acc) USD 01 Jul 99 4.2 11.7 56.5 65.8 66.3 139.3

Franklin U.S. Focus Fund A (acc) USD 15 May 08 3.8 16.2 64.9 79.8 – 62.9

Franklin U.S. Government Fund A (Mdis) USD 28 Feb 91 1.1 3.7 2.7 15.2 41.5 167.8

Franklin U.S. Low Duration Fund A (Mdis) USD 29 Aug 03 – 0.8 5.0 6.8 20.2 23.1

Fund Performance Percentage Change to December 31, 2014

Reference Share Class

Launch Date

6 Months

%

1Year%

3Years

%

5Years

%

10Years

%

SinceLaunch

%



Fund Performance Percentage Change to December 31, 2014 (continued)

Reference Share Class

Launch Date

6 Months

%

1Year%

3Years

%

5Years

%

10Years

%

SinceLaunch

%

Franklin U.S. Opportunities Fund A (acc) USD 03 Apr 00 3.5 6.7 61.7 87.6 117.8 16.1

Franklin U.S. Small-Mid Cap Growth Fund A (acc) USD 29 Dec 00 0.8 5.7 57.7 91.5 97.6 91.9

Franklin U.S. Total Return Fund A (acc) USD 29 Aug 03 1.3 5.5 11.5 29.0 47.8 60.7

Franklin World Perspectives Fund A (acc) USD 14 Oct 08 (2.6) 2.2 47.0 52.7 – 90.4

Franklin Mutual Beacon Fund A (acc) USD 07 Jul 97 (0.4) 7.4 54.6 66.9 62.5 199.8

Franklin Mutual Euroland Fund A (acc) EUR 14 Oct 08 (6.1) (2.4) 50.8 36.6 – 61.4

Franklin Mutual European Fund A (acc) EUR 03 Apr 00 * (2.4) (1.4) 45.2 49.0 77.6 101.0

Franklin Mutual Global Discovery Fund A (acc) USD 25 Oct 05 (6.7) (3.4) 40.6 42.7 – 74.7

Templeton Africa Fund A (acc) USD 04 May 12 (11.3) (10.7) – – – 11.9

Templeton ASEAN Fund A (acc) USD 17 Nov 14 – – – – – (0.5)

Templeton Asian Bond Fund A (acc) USD 25 Oct 05 (1.7) 2.4 9.7 21.4 – 83.5

Templeton Asian Dividend Fund A (acc) USD 26 Apr 13 3.1 2.2 – – – 1.6

Templeton Asian Growth Fund A (Ydis) USD 30 Jun 91 (4.0) 7.2 15.0 27.2 178.9 274.0

Templeton Asian Smaller Companies Fund A (acc) USD 14 Oct 08 0.9 8.1 56.7 85.6 – 285.3

Templeton BRIC Fund A (acc) USD 25 Oct 05 (9.7) (7.8) (6.7) (23.7) – 36.6

Templeton China Fund A (acc) USD 01 Sep 94 1.4 (0.9) 7.0 2.5 117.8 149.3

Templeton Constrained Bond Fund A (acc) USD 20 Sep 13 (1.4) 0.1 – – – 0.7

Templeton Eastern Europe Fund A (acc) EUR 10 Nov 97 (19.9) (19.5) (9.3) (32.0) (3.2) 99.5

Templeton Emerging Markets Fund A (Ydis) USD 28 Feb 91 (8.0) (8.0) 1.4 (1.4) 64.1 215.5

Templeton Emerging Markets Balanced Fund A (acc) USD 29 Apr 11 (8.4) (6.3) (1.1) – – (15.3)

Templeton Emerging Markets Bond Fund A (Qdis) USD 05 Jul 91 (7.5) (4.4) 12.3 24.9 96.6 696.3

Templeton Emerging Markets Smaller Companies Fund A (acc) USD 18 Oct 07 2.4 12.5 48.9 43.6 – 1.1

Templeton Euroland Fund A (acc) EUR 08 Jan 99 (6.6) (4.2) 53.4 40.7 34.9 74.7

Templeton European Fund A (acc) EUR 17 Apr 91* (6.4) (5.1) 46.7 45.3 40.3 37.4

Templeton Frontier Markets Fund A (acc) USD 14 Oct 08 (9.0) (3.5) 40.1 27.5 – 85.6

Templeton Global Fund A (Ydis) USD 28 Feb 91 (7.5) (3.0) 56.6 46.9 53.0 315.8

Templeton Global (Euro) Fund A (Ydis) EUR 26 Apr 91 5.3 10.3 67.1 68.2 59.8 309.2

Templeton Global Balanced Fund A (Qdis) USD 01 Jun 94 (6.6) (2.8) 35.2 35.0 48.9 221.2

Templeton Global Bond Fund A (Mdis) USD 28 Feb 91 (1.8) 1.1 19.1 28.8 98.4 442.7

Templeton Global Bond (Euro) Fund A (acc) EUR 29 Aug 03 (1.5) 1.8 11.4 22.0 43.9 51.4

Templeton Global Equity Income Fund A (acc) USD 27 May 05 (9.4) (4.4) 38.2 25.1 – 31.0

Templeton Global High Yield Fund A (acc) USD 27 Sep 07 (6.9) (3.0) 16.0 30.3 – 40.7

Templeton Global Income Fund A (acc) USD 27 May 05 (5.6) (1.2) 33.6 37.8 – 85.4

Templeton Global Smaller Companies Fund A (Ydis) USD 08 Jul 91 (9.3) (7.4) 34.4 27.4 26.6 286.1

Templeton Global Total Return Fund A (acc) USD 29 Aug 03 (2.5) (0.3) 23.7 41.2 130.3 192.9

Templeton Growth (Euro) Fund A (acc) EUR 09 Aug 00 4.9 10.5 62.3 77.3 59.0 51.4

Templeton Korea Fund A (acc) USD 08 May 95 (16.4) (15.1) 10.8 (2.6) 34.7 (38.7)

Templeton Latin America Fund † A (Ydis) USD 28 Feb 91 (20.2) (18.1) (24.7) (31.1) 102.9 216.8

Templeton Thailand Fund A (acc) USD 20 Jun 97 3.3 21.5 39.7 91.7 155.6 105.5

All the Funds marked with "^" above are currently not authorised for public distribution in Hong Kong and are not available to Hong Kong investors.The Fund Performance disclosed in this table is the performance of the reference share class in base currency of the Fund.Where Class A distribution “A (dis)” Shares are disclosed, the performance is calculated with all the income reinvested (total return). Information on other share classes is available on request.* The inception date is for the Fund, however the reference share class launched at a later date.† Fund performance prior to September 1996 excluded from calculation because a different portfolio allocation strategy was in use.Information on other share classes is available on request. This report shall not constitute an offer or a solicitation of an offer to buy shares. Subscriptions are to be made on the basis of the current prospectus and its addendum as the case may be, where available the relevant Key Investor Information Documents (“KIIDs”), a copy of the latest available audited annual report and, if published thereafter, the latest unaudited semi-annual report. The price of shares and income from them can go down as well as up and you may not get back the full amount that you invested.Past performance is no guarantee of future performance. Currency �uctuations may affect the value of investments.Data source: Performance – Franklin Templeton Investments



Statement of Net Assets at December 31, 2014

Total Franklin Asia

Credit Fund*

Franklin Biotechnology

Discovery Fund

Franklin Brazil

Opportunities Fund

(USD) (USD) (USD) (USD)

The accompanying notes form an integral part of these financial statements

* This Fund was launched on November 17, 2014 ** This Fund had its name changed effective on September 30, 2014 (refer to Note 1)*** This Fund had its name changed effective on November 14, 2014 (refer to Note 1)

ASSETSInvestment in securities at market value (notes 2(b), 3) 142,163,132,479 7,710,233 2,463,818,847 28,095,878 138,182,318 1,037,847,652 72,629,969 56,087,464 44,508,516 30,930,519 6,860,963 Cash 7,692,876,784 42,802 85,741,680 1,679,722 2,931,114 45,307,129 15,271,114 1,066,211 12,383,100 688,530 159,050 Time deposits and repurchase agreements (note 4) 1,095,739,727 – – – – – – – – – – Amounts receivable on sale of investments 3,696,939,811 – 3,580,869 785,000 – 51 2,500,000 – 2,500,000 127,705 22,223 Amounts receivable on subscriptions 434,589,800 – 25,047,804 9,352 234,424 1,761,478 560,230 91,802 1,169,771 36,870 47 Interest and dividends receivable, net 1,149,352,020 92,596 – 318,382 2,000,825 20,596,475 19,338 737,509 10,815 – 1,221 Unrealised profit on forward foreign exchange contracts (notes 2(c), 5) 4,076,320,929 – – 1,464,593 – – – – – – – Unrealised profit on financial future contracts (notes 2(d), 6) 1,512,732 – – 1,016,644 – – – – – – – Unrealised profit on interest rate swap contracts (notes 2(e), 7) 46,133 – – 46,133 – – – – – – – Unrealised profit on inflation swap contracts (notes 2(f), 8) 591,259 – – 591,259 – – – – – – – Credit default swap contracts at market value (notes 2(i), 11) 6,735,286 – – – – – – – – – – Option contracts at market value (notes 2(j), 12) 450,556 – – – – – – – – – – Other receivables 26,780,522 497 – – – 1,550,621 – 5,517 10,573 28,486 7,531

TOTAL ASSETS 160,345,068,038 7,846,128 2,578,189,200 34,006,963 143,348,681 1,107,063,406 90,980,651 57,988,503 60,582,775 31,812,110 7,051,035

LIABILITIESAmounts payable on purchases of investments 1,125,417,320 – 20,477,236 – 2,020,780 – – 872,968 1,202,257 – 19 Amounts payable on redemptions 476,554,401 – 23,828,620 7,655 238,138 2,134,138 127,746 2,500 6,990 14,226 2,795 Investment management fees payable (note 14) 114,486,893 4,446 2,111,091 29,504 46,529 725,426 22,012 11,231 10,289 23,073 5,433 Bank overdraft 1,769,672 – – – – – – – – – – Unrealised loss on forward foreign exchange contracts (notes 2(c), 5) 87,925,994 31,525 183,274 – – 26,846,653 – – – – – Unrealised loss on financial future contracts (notes 2(d), 6) 348,486 – – – – – – – – – – Unrealised loss on interest rate swap contracts (notes 2(e), 7) 777,010,494 – – – – – – – – – – Unrealised loss on total return swap contracts (notes 2(h), 10) 623,660 – – – – – – – – – – Credit default swap contracts at market value (notes 2(i), 11) 3,837,317 – – 6,013 – – – – – – – Taxes and expense payable 175,471,608 6,207 1,720,883 58,247 65,751 799,975 75,450 18,109 22,388 24,320 10,933

TOTAL LIABILITIES 2,763,445,845 42,178 48,321,104 101,419 2,371,198 30,506,192 225,208 904,808 1,241,924 61,619 19,180

TOTAL NET ASSETS 157,581,622,193 7,803,950 2,529,868,096 33,905,544 140,977,483 1,076,557,214 90,755,443 57,083,695 59,340,851 31,750,491 7,031,855

THREE YEAR ASSET SUMMARY

June 30, 2014 168,045,017,682 – 3,196,760,336 45,114,453 103,108,684 1,304,276,718 67,620,651 7,061,242 69,860,381 35,880,575 7,358,094 June 30, 2013 163,862,333,174 – 901,381,187 87,859,184 32,277,784 801,702,488 112,358,536 – 94,345,377 24,599,488 4,413,361 June 30, 2012 135,991,665,339 – 289,307,603 – 35,752,731 541,078,975 136,184,651 – 101,016,087 19,806,420 3,586,121



ASSETSInvestment in securities at market value (notes 2(b), 3) 142,163,132,479 7,710,233 2,463,818,847 28,095,878 138,182,318 1,037,847,652 72,629,969 56,087,464 44,508,516 30,930,519 6,860,963 Cash 7,692,876,784 42,802 85,741,680 1,679,722 2,931,114 45,307,129 15,271,114 1,066,211 12,383,100 688,530 159,050 Time deposits and repurchase agreements (note 4) 1,095,739,727 – – – – – – – – – – Amounts receivable on sale of investments 3,696,939,811 – 3,580,869 785,000 – 51 2,500,000 – 2,500,000 127,705 22,223 Amounts receivable on subscriptions 434,589,800 – 25,047,804 9,352 234,424 1,761,478 560,230 91,802 1,169,771 36,870 47 Interest and dividends receivable, net 1,149,352,020 92,596 – 318,382 2,000,825 20,596,475 19,338 737,509 10,815 – 1,221 Unrealised profit on forward foreign exchange contracts (notes 2(c), 5) 4,076,320,929 – – 1,464,593 – – – – – – – Unrealised profit on financial future contracts (notes 2(d), 6) 1,512,732 – – 1,016,644 – – – – – – – Unrealised profit on interest rate swap contracts (notes 2(e), 7) 46,133 – – 46,133 – – – – – – – Unrealised profit on inflation swap contracts (notes 2(f), 8) 591,259 – – 591,259 – – – – – – – Credit default swap contracts at market value (notes 2(i), 11) 6,735,286 – – – – – – – – – – Option contracts at market value (notes 2(j), 12) 450,556 – – – – – – – – – – Other receivables 26,780,522 497 – – – 1,550,621 – 5,517 10,573 28,486 7,531

TOTAL ASSETS 160,345,068,038 7,846,128 2,578,189,200 34,006,963 143,348,681 1,107,063,406 90,980,651 57,988,503 60,582,775 31,812,110 7,051,035

LIABILITIESAmounts payable on purchases of investments 1,125,417,320 – 20,477,236 – 2,020,780 – – 872,968 1,202,257 – 19 Amounts payable on redemptions 476,554,401 – 23,828,620 7,655 238,138 2,134,138 127,746 2,500 6,990 14,226 2,795 Investment management fees payable (note 14) 114,486,893 4,446 2,111,091 29,504 46,529 725,426 22,012 11,231 10,289 23,073 5,433 Bank overdraft 1,769,672 – – – – – – – – – – Unrealised loss on forward foreign exchange contracts (notes 2(c), 5) 87,925,994 31,525 183,274 – – 26,846,653 – – – – – Unrealised loss on financial future contracts (notes 2(d), 6) 348,486 – – – – – – – – – – Unrealised loss on interest rate swap contracts (notes 2(e), 7) 777,010,494 – – – – – – – – – – Unrealised loss on total return swap contracts (notes 2(h), 10) 623,660 – – – – – – – – – – Credit default swap contracts at market value (notes 2(i), 11) 3,837,317 – – 6,013 – – – – – – – Taxes and expense payable 175,471,608 6,207 1,720,883 58,247 65,751 799,975 75,450 18,109 22,388 24,320 10,933

TOTAL LIABILITIES 2,763,445,845 42,178 48,321,104 101,419 2,371,198 30,506,192 225,208 904,808 1,241,924 61,619 19,180

TOTAL NET ASSETS 157,581,622,193 7,803,950 2,529,868,096 33,905,544 140,977,483 1,076,557,214 90,755,443 57,083,695 59,340,851 31,750,491 7,031,855


June 30, 2014 168,045,017,682 – 3,196,760,336 45,114,453 103,108,684 1,304,276,718 67,620,651 7,061,242 69,860,381 35,880,575 7,358,094 June 30, 2013 163,862,333,174 – 901,381,187 87,859,184 32,277,784 801,702,488 112,358,536 – 94,345,377 24,599,488 4,413,361 June 30, 2012 135,991,665,339 – 289,307,603 – 35,752,731 541,078,975 136,184,651 – 101,016,087 19,806,420 3,586,121

Statement of Net Assets at December 31, 2014 (continued)

Franklin Euro

Government Bond Fund

Franklin Euro

High Yield Fund

Franklin Euro

Liquid Reserve Fund**

Franklin Euro

Short Duration Bond Fund

Franklin Euro Short-Term

Money Market Fund**

Franklin Euroland Fund***

Franklin European Fund***

(EUR) (EUR) (EUR) (EUR) (EUR) (EUR) (EUR)





Franklin European Corporate

Bond Fund

Franklin European Dividend

Fund

Franklin European

Growth Fund

Franklin European

Income Fund*

(EUR) (EUR) (EUR) (EUR)

* This Fund was launched on November 17, 2014 ** This Fund had its name changed effective on September 30, 2014


ASSETS Investment in securities at market value (notes 2(b), 3) 124,619,270 73,722,710 1,354,128,924 8,077,201 634,105,002 225,078,692 17,719,454 21,526,652 45,725,462 44,786,970 136,099,563 Cash 1,656,584 2,298,276 34,231,760 3,251 16,521,940 4,360,054 1,024,410 579,178 345,288 4,463,759 272,077 Time deposits and repurchase agreements (note 4) – – – – – – 1,000,000 – – – – Amounts receivable on sale of investments – 489 803,771 – 123 – 6,174 – 415,000 3,719,512 3,490,000 Amounts receivable on subscriptions 369,979 441,140 657,324 – 540,694 741,776 191,295 17,522 201,594 168,151 41,240 Interest and dividends receivable, net 2,058,840 158,836 3,287,024 52,539 223,983 3,291,627 241,778 194,919 351,408 151,194 669,456 Unrealised profit on forward foreign exchange contracts (notes 2(c), 5) – – 1,465,575 15,599 – 29,620 – – 443,865 447,988 – Unrealised profit on financial future contracts (notes 2(d), 6) – – – – – – – – – – – Unrealised profit on interest rate swap contracts (notes 2(e), 7) – – – – – – – – – – – Unrealised profit on inflation swap contracts (notes 2(f), 8) – – – – – – – – – – – Credit default swap contracts at market value (notes 2(i), 11) – – – – – – – – – – – Option contracts at market value (notes 2(j), 12) – – – – – – – – – – – Other receivables 2,427 52,821 2,104,171 1,209 1,015,365 64,347 – 4,573 4,203 6,671 –

TOTAL ASSETS 128,707,100 76,674,272 1,396,678,549 8,149,799 652,407,107 233,566,116 20,183,111 22,322,844 47,486,820 53,744,245 140,572,336

LIABILITIESAmounts payable on purchases of investments 682,423 520,846 878,065 – – 4,148,244 4,452 1,425,144 3,006,857 525,230 – Amounts payable on redemptions 35,744 10,797 9,470,303 – 1,126,433 124,503 23 – 248,102 227,017 50,235 Investment management fees payable (note 14) 57,630 51,362 1,109,038 4,885 433,994 137,711 10,942 9,689 16,390 42,011 81,885 Bank overdraft – – – – – – – – – – – Unrealised loss on forward foreign exchange contracts (notes 2(c), 5) 18,509 110,503 – – – – – 38,952 – – 280,293 Unrealised loss on financial future contracts (notes 2(d), 6) – – – – – – – – – 260,926 – Unrealised loss on interest rate swap contracts (notes 2(e), 7) – – – – – – 114,585 – – 46,475 – Unrealised loss on total return swap contracts (notes 2(h), 10) – – – – – – – – – – – Credit default swap contracts at market value (notes 2(i), 11) – – – – – – – – – – – Taxes and expense payable 69,744 42,955 954,543 5,820 388,711 240,875 13,516 26,702 23,028 60,073 90,077

TOTAL LIABILITIES 864,050 736,463 12,411,949 10,705 1,949,138 4,651,333 143,518 1,500,487 3,294,377 1,161,732 502,490

TOTAL NET ASSETS 127,843,050 75,937,809 1,384,266,600 8,139,094 650,457,969 228,914,783 20,039,593 20,822,357 44,192,443 52,582,513 140,069,846


June 30, 2014 83,107,946 53,452,156 3,132,137,485 – 904,235,203 183,558,208 11,848,638 21,989,463 11,464,066 52,720,927 157,330,346 June 30, 2013 43,393,949 23,286,097 737,002,037 – 466,899,083 84,439,789 – 16,109,623 10,335,416 45,026,992 19,077,065 June 30, 2012 23,570,368 13,919,723 320,512,865 – 199,790,227 64,970,960 – 33,185,762 10,062,164 26,567,300 4,537,572




Franklin European

Small-Mid Cap Growth Fund

Franklin European

Total Return Fund**

Franklin GCC

Bond Fund

Franklin Global

Aggregate Bond Fund

Franklin Global Aggregate

Investment Grade Bond Fund

Franklin Global

Allocation Fund

Franklin Global

Convertible Securities Fund

(EUR) (EUR) (USD) (USD) (USD) (USD) (USD)

ASSETS Investment in securities at market value (notes 2(b), 3) 124,619,270 73,722,710 1,354,128,924 8,077,201 634,105,002 225,078,692 17,719,454 21,526,652 45,725,462 44,786,970 136,099,563 Cash 1,656,584 2,298,276 34,231,760 3,251 16,521,940 4,360,054 1,024,410 579,178 345,288 4,463,759 272,077 Time deposits and repurchase agreements (note 4) – – – – – – 1,000,000 – – – – Amounts receivable on sale of investments – 489 803,771 – 123 – 6,174 – 415,000 3,719,512 3,490,000 Amounts receivable on subscriptions 369,979 441,140 657,324 – 540,694 741,776 191,295 17,522 201,594 168,151 41,240 Interest and dividends receivable, net 2,058,840 158,836 3,287,024 52,539 223,983 3,291,627 241,778 194,919 351,408 151,194 669,456 Unrealised profit on forward foreign exchange contracts (notes 2(c), 5) – – 1,465,575 15,599 – 29,620 – – 443,865 447,988 – Unrealised profit on financial future contracts (notes 2(d), 6) – – – – – – – – – – – Unrealised profit on interest rate swap contracts (notes 2(e), 7) – – – – – – – – – – – Unrealised profit on inflation swap contracts (notes 2(f), 8) – – – – – – – – – – – Credit default swap contracts at market value (notes 2(i), 11) – – – – – – – – – – – Option contracts at market value (notes 2(j), 12) – – – – – – – – – – – Other receivables 2,427 52,821 2,104,171 1,209 1,015,365 64,347 – 4,573 4,203 6,671 –

TOTAL ASSETS 128,707,100 76,674,272 1,396,678,549 8,149,799 652,407,107 233,566,116 20,183,111 22,322,844 47,486,820 53,744,245 140,572,336

LIABILITIESAmounts payable on purchases of investments 682,423 520,846 878,065 – – 4,148,244 4,452 1,425,144 3,006,857 525,230 – Amounts payable on redemptions 35,744 10,797 9,470,303 – 1,126,433 124,503 23 – 248,102 227,017 50,235 Investment management fees payable (note 14) 57,630 51,362 1,109,038 4,885 433,994 137,711 10,942 9,689 16,390 42,011 81,885 Bank overdraft – – – – – – – – – – – Unrealised loss on forward foreign exchange contracts (notes 2(c), 5) 18,509 110,503 – – – – – 38,952 – – 280,293 Unrealised loss on financial future contracts (notes 2(d), 6) – – – – – – – – – 260,926 – Unrealised loss on interest rate swap contracts (notes 2(e), 7) – – – – – – 114,585 – – 46,475 – Unrealised loss on total return swap contracts (notes 2(h), 10) – – – – – – – – – – – Credit default swap contracts at market value (notes 2(i), 11) – – – – – – – – – – – Taxes and expense payable 69,744 42,955 954,543 5,820 388,711 240,875 13,516 26,702 23,028 60,073 90,077

TOTAL LIABILITIES 864,050 736,463 12,411,949 10,705 1,949,138 4,651,333 143,518 1,500,487 3,294,377 1,161,732 502,490

TOTAL NET ASSETS 127,843,050 75,937,809 1,384,266,600 8,139,094 650,457,969 228,914,783 20,039,593 20,822,357 44,192,443 52,582,513 140,069,846


June 30, 2014 83,107,946 53,452,156 3,132,137,485 – 904,235,203 183,558,208 11,848,638 21,989,463 11,464,066 52,720,927 157,330,346 June 30, 2013 43,393,949 23,286,097 737,002,037 – 466,899,083 84,439,789 – 16,109,623 10,335,416 45,026,992 19,077,065 June 30, 2012 23,570,368 13,919,723 320,512,865 – 199,790,227 64,970,960 – 33,185,762 10,062,164 26,567,300 4,537,572





Franklin Global Corporate

High Yield Fund

Franklin Global Equity

Strategies Fund

Franklin Global

Fundamental Strategies Fund

Franklin Global




ASSETSInvestment in securities at market value (notes 2(b), 3) 28,420,036 73,807,960 1,614,739,694 16,669,262 190,480,224 64,545,614 88,097,460 13,150,939 420,898,679 304,065,830 77,627,782 Cash 841,853 2,277,542 128,708,088 858,823 364,938 963,094 3,900,612 201,023 577,244 623,686 948,014 Time deposits and repurchase agreements (note 4) – 1,000,000 – 1,000,000 7,000,000 2,000,000 – – 6,000,000 6,000,000 – Amounts receivable on sale of investments 385,000 148,077 102,157,303 – 125,255 20,876 2,615,336 16,242 131,905 109,488 1,471,023 Amounts receivable on subscriptions – 34,633 3,211,189 27,450 350,609 128,134 587,854 49,215 2,186,444 100,648 501,844 Interest and dividends receivable, net 536,092 106,334 6,168,047 158,854 207,094 70,648 1,738,750 31,844 1,519,042 679,359 27,774 Unrealised profit on forward foreign exchange contracts (notes 2(c), 5) – – 24,735,005 93,480 – – – – – – – Unrealised profit on financial future contracts (notes 2(d), 6) – – – – – – – – – – – Unrealised profit on interest rate swap contracts (notes 2(e), 7) – – – – – – – – – – – Unrealised profit on inflation swap contracts (notes 2(f), 8) – – – – – – – – – – – Credit default swap contracts at market value (notes 2(i), 11) – – – – – – – – – – – Option contracts at market value (notes 2(j), 12) – – – – – – – – – – – Other receivables 3,662 21,533 1,045,687 2,178 13,471 48,873 – 2,854 23,458 292,152 –

TOTAL ASSETS 30,186,643 77,396,079 1,880,765,013 18,810,047 198,541,591 67,777,239 96,940,012 13,452,117 431,336,772 311,871,163 80,576,437

LIABILITIESAmounts payable on purchases of investments – 312,398 19,974,732 1,083,030 615 115 – 101,373 – 197 1,450,774 Amounts payable on redemptions – 80,469 3,894,110 – 494,106 105,458 1,057,173 121,487 4,810,539 1,340,560 563,034 Investment management fees payable (note 14) 15,344 81,787 1,561,830 6,315 134,100 56,035 64,757 9,955 334,420 254,212 66,153 Bank overdraft – – – – – – – – – – – Unrealised loss on forward foreign exchange contracts (notes 2(c), 5) 114,742 118,914 – – 209,148 – 1,026,240 3,753 527,768 – 240,051 Unrealised loss on financial future contracts (notes 2(d), 6) – – – – – – – – – – – Unrealised loss on interest rate swap contracts (notes 2(e), 7) – – 1,527,628 – – – – – – – – Unrealised loss on total return swap contracts (notes 2(h), 10) – – – – – – – – – – – Credit default swap contracts at market value (notes 2(i), 11) – – – – – – – – – – – Taxes and expense payable 15,952 66,633 1,793,977 13,956 113,501 79,521 72,634 16,302 395,409 267,566 96,446

TOTAL LIABILITIES 146,038 660,201 28,752,277 1,103,301 951,470 241,129 2,220,804 252,870 6,068,136 1,862,535 2,416,458

TOTAL NET ASSETS 30,040,605 76,735,878 1,852,012,736 17,706,746 197,590,121 67,536,110 94,719,208 13,199,247 425,268,636 310,008,628 78,159,979


June 30, 2014 33,002,596 83,350,921 1,772,861,098 13,343,485 187,502,608 70,964,780 81,213,777 10,182,735 437,586,926 435,729,824 107,261,361 June 30, 2013 – 69,303,225 840,937,967 – 155,859,879 88,200,184 21,029,818 4,677,274 462,643,179 207,556,600 42,976,410 June 30, 2012 – 60,943,727 592,985,661 – 108,725,800 79,523,418 – – 121,399,470 57,058,308 139,752,055



ASSETSInvestment in securities at market value (notes 2(b), 3) 28,420,036 73,807,960 1,614,739,694 16,669,262 190,480,224 64,545,614 88,097,460 13,150,939 420,898,679 304,065,830 77,627,782 Cash 841,853 2,277,542 128,708,088 858,823 364,938 963,094 3,900,612 201,023 577,244 623,686 948,014 Time deposits and repurchase agreements (note 4) – 1,000,000 – 1,000,000 7,000,000 2,000,000 – – 6,000,000 6,000,000 – Amounts receivable on sale of investments 385,000 148,077 102,157,303 – 125,255 20,876 2,615,336 16,242 131,905 109,488 1,471,023 Amounts receivable on subscriptions – 34,633 3,211,189 27,450 350,609 128,134 587,854 49,215 2,186,444 100,648 501,844 Interest and dividends receivable, net 536,092 106,334 6,168,047 158,854 207,094 70,648 1,738,750 31,844 1,519,042 679,359 27,774 Unrealised profit on forward foreign exchange contracts (notes 2(c), 5) – – 24,735,005 93,480 – – – – – – – Unrealised profit on financial future contracts (notes 2(d), 6) – – – – – – – – – – – Unrealised profit on interest rate swap contracts (notes 2(e), 7) – – – – – – – – – – – Unrealised profit on inflation swap contracts (notes 2(f), 8) – – – – – – – – – – – Credit default swap contracts at market value (notes 2(i), 11) – – – – – – – – – – – Option contracts at market value (notes 2(j), 12) – – – – – – – – – – – Other receivables 3,662 21,533 1,045,687 2,178 13,471 48,873 – 2,854 23,458 292,152 –

TOTAL ASSETS 30,186,643 77,396,079 1,880,765,013 18,810,047 198,541,591 67,777,239 96,940,012 13,452,117 431,336,772 311,871,163 80,576,437

LIABILITIESAmounts payable on purchases of investments – 312,398 19,974,732 1,083,030 615 115 – 101,373 – 197 1,450,774 Amounts payable on redemptions – 80,469 3,894,110 – 494,106 105,458 1,057,173 121,487 4,810,539 1,340,560 563,034 Investment management fees payable (note 14) 15,344 81,787 1,561,830 6,315 134,100 56,035 64,757 9,955 334,420 254,212 66,153 Bank overdraft – – – – – – – – – – – Unrealised loss on forward foreign exchange contracts (notes 2(c), 5) 114,742 118,914 – – 209,148 – 1,026,240 3,753 527,768 – 240,051 Unrealised loss on financial future contracts (notes 2(d), 6) – – – – – – – – – – – Unrealised loss on interest rate swap contracts (notes 2(e), 7) – – 1,527,628 – – – – – – – – Unrealised loss on total return swap contracts (notes 2(h), 10) – – – – – – – – – – – Credit default swap contracts at market value (notes 2(i), 11) – – – – – – – – – – – Taxes and expense payable 15,952 66,633 1,793,977 13,956 113,501 79,521 72,634 16,302 395,409 267,566 96,446

TOTAL LIABILITIES 146,038 660,201 28,752,277 1,103,301 951,470 241,129 2,220,804 252,870 6,068,136 1,862,535 2,416,458

TOTAL NET ASSETS 30,040,605 76,735,878 1,852,012,736 17,706,746 197,590,121 67,536,110 94,719,208 13,199,247 425,268,636 310,008,628 78,159,979


June 30, 2014 33,002,596 83,350,921 1,772,861,098 13,343,485 187,502,608 70,964,780 81,213,777 10,182,735 437,586,926 435,729,824 107,261,361 June 30, 2013 – 69,303,225 840,937,967 – 155,859,879 88,200,184 21,029,818 4,677,274 462,643,179 207,556,600 42,976,410 June 30, 2012 – 60,943,727 592,985,661 – 108,725,800 79,523,418 – – 121,399,470 57,058,308 139,752,055


Franklin Global Growth

Fund

Franklin Global

Growth and Value Fund

Franklin Global High

Income Bond Fund

Franklin Global Listed Infrastructure

Fund

Franklin Global

Real Estate Fund

Franklin Global


Franklin Gold and Precious

Metals Fund(USD) (USD) (USD) (USD) (USD) (USD) (USD)





Franklin High Yield Fund

Franklin Income

Fund

Franklin India Fund

Franklin Japan Fund

(USD) (USD) (USD) (JPY)


ASSETSInvestment in securities at market value (notes 2(b), 3) 3,871,373,961 4,010,947,734 3,210,708,887 26,256,414,560 31,707,375 230,964,888 48,110,499 167,896,524 8,515,819 1,206,307,908 880,323,427 Cash 75,805,334 54,703,581 23,310,813 269,149,135 39,746,687 7,353,702 2,937,398 3,102,037 330,231 208,853,837 29,665,160 Time deposits and repurchase agreements (note 4) – – 60,000,000 – – 8,000,000 – – – – – Amounts receivable on sale of investments 108,940,000 96,606,793 635,922 84,844,503 102,615 685,610 5,486 4,515,018 200,000 296,295,080 137,631 Amounts receivable on subscriptions 7,110,392 18,782,129 14,421,538 48,530,488 1,682,993 703,353 192,475 1,707,200 – 8,539,956 9,291,204 Interest and dividends receivable, net 70,786,763 36,897,189 – 23,151,492 96,420 43,738 213,232 246,852 51,958 15,640,025 286,839 Unrealised profit on forward foreign exchange contracts (notes 2(c), 5) 875,873 – – – – – – – – 15,596,304 – Unrealised profit on financial future contracts (notes 2(d), 6) – – – – 72,773 – – – – – – Unrealised profit on interest rate swap contracts (notes 2(e), 7) – – – – – – – – – – – Unrealised profit on inflation swap contracts (notes 2(f), 8) – – – – – – – – – – – Credit default swap contracts at market value (notes 2(i), 11) – – – – – – – – 20,234 6,715,052 – Option contracts at market value (notes 2(j), 12) – – – – 65,403 – 192,981 – – – – Other receivables – 7,342 2,170 – 49,560 322 6,814 – 3,132 175,558 148,195

TOTAL ASSETS 4,134,892,323 4,217,944,768 3,309,079,330 26,682,090,178 73,523,826 247,751,613 51,658,885 177,467,631 9,121,374 1,758,123,720 919,852,456

LIABILITIESAmounts payable on purchases of investments – 631,656 29,623,080 131,357,831 1,326,224 1,972,617 172,936 – – 34,548,438 868,925 Amounts payable on redemptions 32,805,206 48,054,737 5,727,274 535,626,257 258 1,546,088 39,745 798,305 – 4,012,010 7,034,307 Investment management fees payable (note 14) 2,807,519 2,980,777 2,148,037 19,794,995 106,308 312,993 21,209 141,762 5,858 1,046,995 688,971 Bank overdraft – – – – – – – – – – – Unrealised loss on forward foreign exchange contracts (notes 2(c), 5) – 894,216 569,542 – 12,789 746,391 14,096 149,063 42,819 – – Unrealised loss on financial future contracts (notes 2(d), 6) – – – – – – – – – – – Unrealised loss on interest rate swap contracts (notes 2(e), 7) – – – – – – – – – – – Unrealised loss on total return swap contracts (notes 2(h), 10) – – – – 145,005 – 126,099 – – 314,208 – Credit default swap contracts at market value (notes 2(i), 11) – – – – 19,063 – – – – – – Taxes and expense payable 3,693,958 3,351,280 1,830,300 23,081,929 77,987 357,657 35,452 172,067 16,790 1,354,588 649,403

TOTAL LIABILITIES 39,306,683 55,912,666 39,898,233 709,861,012 1,687,634 4,935,746 409,537 1,261,197 65,467 41,276,239 9,241,606

TOTAL NET ASSETS 4,095,585,640 4,162,032,102 3,269,181,097 25,972,229,166 71,836,192 242,815,867 51,249,348 176,206,434 9,055,907 1,716,847,481 910,610,850


June 30, 2014 5,131,295,651 3,631,326,483 1,854,259,603 25,330,401,513 – 281,268,016 31,687,039 278,339,427 9,149,693 1,498,222,686 820,948,763 June 30, 2013 3,993,642,994 1,709,720,223 953,247,397 25,430,175,279 – 55,087,685 23,057,415 251,710,030 13,064,062 1,152,727,421 717,401,678 June 30, 2012 4,037,075,396 1,298,369,835 1,189,022,902 12,730,289,900 – 51,733,543 – 333,504,877 15,525,782 609,417,442 671,591,332

* This Fund was launched on September 15, 2014



ASSETSInvestment in securities at market value (notes 2(b), 3) 3,871,373,961 4,010,947,734 3,210,708,887 26,256,414,560 31,707,375 230,964,888 48,110,499 167,896,524 8,515,819 1,206,307,908 880,323,427 Cash 75,805,334 54,703,581 23,310,813 269,149,135 39,746,687 7,353,702 2,937,398 3,102,037 330,231 208,853,837 29,665,160 Time deposits and repurchase agreements (note 4) – – 60,000,000 – – 8,000,000 – – – – – Amounts receivable on sale of investments 108,940,000 96,606,793 635,922 84,844,503 102,615 685,610 5,486 4,515,018 200,000 296,295,080 137,631 Amounts receivable on subscriptions 7,110,392 18,782,129 14,421,538 48,530,488 1,682,993 703,353 192,475 1,707,200 – 8,539,956 9,291,204 Interest and dividends receivable, net 70,786,763 36,897,189 – 23,151,492 96,420 43,738 213,232 246,852 51,958 15,640,025 286,839 Unrealised profit on forward foreign exchange contracts (notes 2(c), 5) 875,873 – – – – – – – – 15,596,304 – Unrealised profit on financial future contracts (notes 2(d), 6) – – – – 72,773 – – – – – – Unrealised profit on interest rate swap contracts (notes 2(e), 7) – – – – – – – – – – – Unrealised profit on inflation swap contracts (notes 2(f), 8) – – – – – – – – – – – Credit default swap contracts at market value (notes 2(i), 11) – – – – – – – – 20,234 6,715,052 – Option contracts at market value (notes 2(j), 12) – – – – 65,403 – 192,981 – – – – Other receivables – 7,342 2,170 – 49,560 322 6,814 – 3,132 175,558 148,195

TOTAL ASSETS 4,134,892,323 4,217,944,768 3,309,079,330 26,682,090,178 73,523,826 247,751,613 51,658,885 177,467,631 9,121,374 1,758,123,720 919,852,456

LIABILITIESAmounts payable on purchases of investments – 631,656 29,623,080 131,357,831 1,326,224 1,972,617 172,936 – – 34,548,438 868,925 Amounts payable on redemptions 32,805,206 48,054,737 5,727,274 535,626,257 258 1,546,088 39,745 798,305 – 4,012,010 7,034,307 Investment management fees payable (note 14) 2,807,519 2,980,777 2,148,037 19,794,995 106,308 312,993 21,209 141,762 5,858 1,046,995 688,971 Bank overdraft – – – – – – – – – – – Unrealised loss on forward foreign exchange contracts (notes 2(c), 5) – 894,216 569,542 – 12,789 746,391 14,096 149,063 42,819 – – Unrealised loss on financial future contracts (notes 2(d), 6) – – – – – – – – – – – Unrealised loss on interest rate swap contracts (notes 2(e), 7) – – – – – – – – – – – Unrealised loss on total return swap contracts (notes 2(h), 10) – – – – 145,005 – 126,099 – – 314,208 – Credit default swap contracts at market value (notes 2(i), 11) – – – – 19,063 – – – – – – Taxes and expense payable 3,693,958 3,351,280 1,830,300 23,081,929 77,987 357,657 35,452 172,067 16,790 1,354,588 649,403

TOTAL LIABILITIES 39,306,683 55,912,666 39,898,233 709,861,012 1,687,634 4,935,746 409,537 1,261,197 65,467 41,276,239 9,241,606

TOTAL NET ASSETS 4,095,585,640 4,162,032,102 3,269,181,097 25,972,229,166 71,836,192 242,815,867 51,249,348 176,206,434 9,055,907 1,716,847,481 910,610,850


June 30, 2014 5,131,295,651 3,631,326,483 1,854,259,603 25,330,401,513 – 281,268,016 31,687,039 278,339,427 9,149,693 1,498,222,686 820,948,763 June 30, 2013 3,993,642,994 1,709,720,223 953,247,397 25,430,175,279 – 55,087,685 23,057,415 251,710,030 13,064,062 1,152,727,421 717,401,678 June 30, 2012 4,037,075,396 1,298,369,835 1,189,022,902 12,730,289,900 – 51,733,543 – 333,504,877 15,525,782 609,417,442 671,591,332


Franklin K2 Alternative Strategies

Fund*

Franklin MENA Fund

Franklin Multi-Asset

Income Fund

Franklin Natural

Resources Fund

Franklin Real

Return Fund

Franklin Strategic Income

Fund

Franklin Technology

Fund

(USD) (USD) (EUR) (USD) (USD) (USD) (USD)





Franklin U.S. Dollar

Liquid Reserve Fund

Franklin U.S.

Equity Fund

Franklin U.S.

Focus Fund

Franklin U.S.

Government Fund



ASSETSInvestment in securities at market value (notes 2(b), 3) 267,040,795 643,237,871 34,583,074 1,125,238,988 1,518,490,536 4,493,435,764 243,509,169 133,552,186 377,552,562 1,165,019,625 12,757,540 Cash 3,912 12,400,453 490,524 49,542,179 65,784,615 20,508,601 66,485 17,494,433 1,482,375 12,288,741 312,709 Time deposits and repurchase agreements (note 4) – – – – – – – – 10,000,000 – – Amounts receivable on sale of investments 78,600,000 1,835,550 705,000 72,450,000 52,018,762 23,614,428 8,392,420 23,662,299 5,641,149 10,950,262 8,220 Amounts receivable on subscriptions 6,756,592 2,167,987 1,329,209 13,791,323 1,076,686 21,834,593 2,815,508 967,121 1,612,558 4,524,094 7,082 Interest and dividends receivable, net – 533,052 27,813 3,687,430 7,405,201 4,795,439 57,064 1,135,079 404,960 1,684,065 8,818 Unrealised profit on forward foreign exchange contracts (notes 2(c), 5) – – – – 18,020,520 – – 2,379,539 – 4,145,707 – Unrealised profit on financial future contracts (notes 2(d), 6) – – – – – – – 29,511 – 393,804 – Unrealised profit on interest rate swap contracts (notes 2(e), 7) – – – – – – – – – – – Unrealised profit on inflation swap contracts (notes 2(f), 8) – – – – – – – – – – – Credit default swap contracts at market value (notes 2(i), 11) – – – – – – – – – – – Option contracts at market value (notes 2(j), 12) – – – – 140,628 – – 11,018 – – – Other receivables 90,926 6,875 – 9,905 72,889 – – 21,708 53,835 141,890 7,980

TOTAL ASSETS 352,492,225 660,181,788 37,135,620 1,264,719,825 1,663,009,837 4,564,188,825 254,840,646 179,252,894 396,747,439 1,199,148,188 13,102,349

LIABILITIESAmounts payable on purchases of investments – 2,916,639 142,018 87,493,806 136,878 39,950,856 601,928 24,140,398 6,094,575 188,032 – Amounts payable on redemptions 1,662,118 1,194,614 – 9,549,171 1,590,589 12,507,166 918,394 201,020 3,616,505 6,868,856 15,983 Investment management fees payable (note 14) 86,921 537,174 27,296 573,267 890,121 3,509,111 204,947 94,370 293,167 930,450 11,259 Bank overdraft – – – – – – – – – – – Unrealised loss on forward foreign exchange contracts (notes 2(c), 5) – 246,755 261,780 508,090 – 4,209,639 – – 10,673 – – Unrealised loss on financial future contracts (notes 2(d), 6) – – – – 87,560 – – – – – – Unrealised loss on interest rate swap contracts (notes 2(e), 7) – – – – – – – – – – – Unrealised loss on total return swap contracts (notes 2(h), 10) – – – – 11,867 – – – – – – Credit default swap contracts at market value (notes 2(i), 11) – – – – 3,329,749 – – 482,492 – – – Taxes and expense payable 195,100 577,094 35,760 937,333 858,300 3,004,097 210,130 125,764 236,986 1,327,975 19,345

TOTAL LIABILITIES 1,944,139 5,472,276 466,854 99,061,667 6,905,064 63,180,869 1,935,399 25,044,044 10,251,906 9,315,313 46,587

TOTAL NET ASSETS 350,548,086 654,709,512 36,668,766 1,165,658,158 1,656,104,773 4,501,007,956 252,905,247 154,208,850 386,495,533 1,189,832,875 13,055,762


June 30, 2014 281,128,075 576,592,202 39,526,375 905,721,951 1,652,992,798 4,670,970,838 271,387,103 136,124,085 345,122,633 1,169,070,336 22,865,158 June 30, 2013 427,361,894 497,344,009 11,099,048 1,577,666,522 1,569,847,836 2,739,786,409 127,354,909 136,351,542 126,403,906 821,397,542 7,449,328 June 30, 2012 369,675,762 714,115,815 15,009,101 2,532,288,020 725,285,036 2,911,650,277 123,984,678 117,736,168 61,153,384 769,414,521 7,997,211





ASSETSInvestment in securities at market value (notes 2(b), 3) 267,040,795 643,237,871 34,583,074 1,125,238,988 1,518,490,536 4,493,435,764 243,509,169 133,552,186 377,552,562 1,165,019,625 12,757,540 Cash 3,912 12,400,453 490,524 49,542,179 65,784,615 20,508,601 66,485 17,494,433 1,482,375 12,288,741 312,709 Time deposits and repurchase agreements (note 4) – – – – – – – – 10,000,000 – – Amounts receivable on sale of investments 78,600,000 1,835,550 705,000 72,450,000 52,018,762 23,614,428 8,392,420 23,662,299 5,641,149 10,950,262 8,220 Amounts receivable on subscriptions 6,756,592 2,167,987 1,329,209 13,791,323 1,076,686 21,834,593 2,815,508 967,121 1,612,558 4,524,094 7,082 Interest and dividends receivable, net – 533,052 27,813 3,687,430 7,405,201 4,795,439 57,064 1,135,079 404,960 1,684,065 8,818 Unrealised profit on forward foreign exchange contracts (notes 2(c), 5) – – – – 18,020,520 – – 2,379,539 – 4,145,707 – Unrealised profit on financial future contracts (notes 2(d), 6) – – – – – – – 29,511 – 393,804 – Unrealised profit on interest rate swap contracts (notes 2(e), 7) – – – – – – – – – – – Unrealised profit on inflation swap contracts (notes 2(f), 8) – – – – – – – – – – – Credit default swap contracts at market value (notes 2(i), 11) – – – – – – – – – – – Option contracts at market value (notes 2(j), 12) – – – – 140,628 – – 11,018 – – – Other receivables 90,926 6,875 – 9,905 72,889 – – 21,708 53,835 141,890 7,980

TOTAL ASSETS 352,492,225 660,181,788 37,135,620 1,264,719,825 1,663,009,837 4,564,188,825 254,840,646 179,252,894 396,747,439 1,199,148,188 13,102,349

LIABILITIESAmounts payable on purchases of investments – 2,916,639 142,018 87,493,806 136,878 39,950,856 601,928 24,140,398 6,094,575 188,032 – Amounts payable on redemptions 1,662,118 1,194,614 – 9,549,171 1,590,589 12,507,166 918,394 201,020 3,616,505 6,868,856 15,983 Investment management fees payable (note 14) 86,921 537,174 27,296 573,267 890,121 3,509,111 204,947 94,370 293,167 930,450 11,259 Bank overdraft – – – – – – – – – – – Unrealised loss on forward foreign exchange contracts (notes 2(c), 5) – 246,755 261,780 508,090 – 4,209,639 – – 10,673 – – Unrealised loss on financial future contracts (notes 2(d), 6) – – – – 87,560 – – – – – – Unrealised loss on interest rate swap contracts (notes 2(e), 7) – – – – – – – – – – – Unrealised loss on total return swap contracts (notes 2(h), 10) – – – – 11,867 – – – – – – Credit default swap contracts at market value (notes 2(i), 11) – – – – 3,329,749 – – 482,492 – – – Taxes and expense payable 195,100 577,094 35,760 937,333 858,300 3,004,097 210,130 125,764 236,986 1,327,975 19,345

TOTAL LIABILITIES 1,944,139 5,472,276 466,854 99,061,667 6,905,064 63,180,869 1,935,399 25,044,044 10,251,906 9,315,313 46,587

TOTAL NET ASSETS 350,548,086 654,709,512 36,668,766 1,165,658,158 1,656,104,773 4,501,007,956 252,905,247 154,208,850 386,495,533 1,189,832,875 13,055,762


June 30, 2014 281,128,075 576,592,202 39,526,375 905,721,951 1,652,992,798 4,670,970,838 271,387,103 136,124,085 345,122,633 1,169,070,336 22,865,158 June 30, 2013 427,361,894 497,344,009 11,099,048 1,577,666,522 1,569,847,836 2,739,786,409 127,354,909 136,351,542 126,403,906 821,397,542 7,449,328 June 30, 2012 369,675,762 714,115,815 15,009,101 2,532,288,020 725,285,036 2,911,650,277 123,984,678 117,736,168 61,153,384 769,414,521 7,997,211

Franklin U.S. Low Duration

Fund

Franklin U.S.

Opportunities Fund

Franklin U.S. Small-Mid

Cap Growth Fund

Franklin U.S. Total

Return Fund

Franklin World

Perspectives Fund

Franklin Mutual Beacon

Fund

Franklin Mutual

Euroland Fund

(USD) (USD) (USD) (USD) (USD) (USD) (EUR)



Franklin Mutual

European Fund

Franklin Mutual Global

Discovery Fund

Templeton Africa Fund

Templeton ASEAN Fund*

(EUR) (USD) (USD) (USD)



* This Fund was launched on November 17, 2014

ASSETSInvestment in securities at market value (notes 2(b), 3) 3,015,904,522 1,539,533,183 127,475,897 4,442,154 1,840,813,701 7,472,021 11,665,208,036 1,143,259,681 963,293,770 926,814,817 8,692,099 Cash 101,568,654 23,907,679 571,474 543,157 52,220,824 142,274 11,850,704 4,957,372 802,174 – 1,135,596 Time deposits and repurchase agreements (note 4) – – 3,000,000 – – – 565,000,000 110,000,000 39,000,000 – – Amounts receivable on sale of investments 4,813,956 6,417,655 5,631 – 6,985,000 78 2,790 161 372,835 3,638,323 1,465,234 Amounts receivable on subscriptions 4,545,419 872,788 1,373,516 – 497,017 151 16,510,734 6,722,942 1,297,591 2,348,379 – Interest and dividends receivable, net 2,984,820 2,564,603 209,851 4,593 22,969,315 23,514 8,001,474 535,635 2,268,889 525,897 94,704 Unrealised profit on forward foreign exchange contracts (notes 2(c), 5) 332,546 – – – 8,051,456 – – – – – 694,919 Unrealised profit on financial future contracts (notes 2(d), 6) – – – – – – – – – – – Unrealised profit on interest rate swap contracts (notes 2(e), 7) – – – – – – – – – – – Unrealised profit on inflation swap contracts (notes 2(f), 8) – – – – – – – – – – – Credit default swap contracts at market value (notes 2(i), 11) – – – – – – – – – – – Option contracts at market value (notes 2(j), 12) – – – – – – – – – – – Other receivables 2,269,517 192,936 24,591 1,452 – 695 – 123 – – 1,201

TOTAL ASSETS 3,132,419,434 1,573,488,844 132,660,960 4,991,356 1,931,537,313 7,638,733 12,266,573,738 1,265,475,914 1,007,035,259 933,327,416 12,083,753

LIABILITIESAmounts payable on purchases of investments 73,259 24,481 – 6,860 1,547,824 19,054 7,089,978 1,042,524 276 1,404 14,772 Amounts payable on redemptions 9,150,663 5,554,171 162,669 – 2,055,182 – 45,963,948 7,808,746 2,676,693 4,624,391 – Investment management fees payable (note 14) 2,404,499 1,216,163 160,878 5,667 1,136,035 7,080 12,487,785 1,247,168 1,372,694 1,206,259 4,356 Bank overdraft – – – – – – – – – 1,769,672 – Unrealised loss on forward foreign exchange contracts (notes 2(c), 5) – 2,101,745 462,228 – – 1,382 16,327,727 – 385,906 – – Unrealised loss on financial future contracts (notes 2(d), 6) – – – – – – – – – – – Unrealised loss on interest rate swap contracts (notes 2(e), 7) – – – – 23,164,721 – – – – – 22,713 Unrealised loss on total return swap contracts (notes 2(h), 10) – – – – – – – – – – – Credit default swap contracts at market value (notes 2(i), 11) – – – – – – – – – – – Taxes and expense payable 2,851,351 1,261,890 793,871 5,852 3,964,272 14,542 11,083,082 793,444 1,533,096 1,000,339 12,671

TOTAL LIABILITIES 14,479,772 10,158,450 1,579,646 18,379 31,868,034 42,058 92,952,520 10,891,882 5,968,665 8,602,065 54,512

TOTAL NET ASSETS 3,117,939,662 1,563,330,394 131,081,314 4,972,977 1,899,669,279 7,596,675 12,173,621,218 1,254,584,032 1,001,066,594 924,725,351 12,029,241


June 30, 2014 3,757,379,912 1,934,098,366 139,593,248 – 2,032,463,169 5,659,011 12,681,269,302 973,932,482 1,214,667,740 937,254,225 10,458,979 June 30, 2013 2,253,747,426 1,096,131,750 86,772,962 – 3,676,902,884 4,911,688 15,816,110,669 942,037,607 1,343,345,062 1,629,700,238 – June 30, 2012 2,130,655,041 892,257,616 5,433,869 – 4,162,546,959 – 16,112,820,817 228,044,710 1,853,961,008 2,284,778,429 –



ASSETSInvestment in securities at market value (notes 2(b), 3) 3,015,904,522 1,539,533,183 127,475,897 4,442,154 1,840,813,701 7,472,021 11,665,208,036 1,143,259,681 963,293,770 926,814,817 8,692,099 Cash 101,568,654 23,907,679 571,474 543,157 52,220,824 142,274 11,850,704 4,957,372 802,174 – 1,135,596 Time deposits and repurchase agreements (note 4) – – 3,000,000 – – – 565,000,000 110,000,000 39,000,000 – – Amounts receivable on sale of investments 4,813,956 6,417,655 5,631 – 6,985,000 78 2,790 161 372,835 3,638,323 1,465,234 Amounts receivable on subscriptions 4,545,419 872,788 1,373,516 – 497,017 151 16,510,734 6,722,942 1,297,591 2,348,379 – Interest and dividends receivable, net 2,984,820 2,564,603 209,851 4,593 22,969,315 23,514 8,001,474 535,635 2,268,889 525,897 94,704 Unrealised profit on forward foreign exchange contracts (notes 2(c), 5) 332,546 – – – 8,051,456 – – – – – 694,919 Unrealised profit on financial future contracts (notes 2(d), 6) – – – – – – – – – – – Unrealised profit on interest rate swap contracts (notes 2(e), 7) – – – – – – – – – – – Unrealised profit on inflation swap contracts (notes 2(f), 8) – – – – – – – – – – – Credit default swap contracts at market value (notes 2(i), 11) – – – – – – – – – – – Option contracts at market value (notes 2(j), 12) – – – – – – – – – – – Other receivables 2,269,517 192,936 24,591 1,452 – 695 – 123 – – 1,201

TOTAL ASSETS 3,132,419,434 1,573,488,844 132,660,960 4,991,356 1,931,537,313 7,638,733 12,266,573,738 1,265,475,914 1,007,035,259 933,327,416 12,083,753

LIABILITIESAmounts payable on purchases of investments 73,259 24,481 – 6,860 1,547,824 19,054 7,089,978 1,042,524 276 1,404 14,772 Amounts payable on redemptions 9,150,663 5,554,171 162,669 – 2,055,182 – 45,963,948 7,808,746 2,676,693 4,624,391 – Investment management fees payable (note 14) 2,404,499 1,216,163 160,878 5,667 1,136,035 7,080 12,487,785 1,247,168 1,372,694 1,206,259 4,356 Bank overdraft – – – – – – – – – 1,769,672 – Unrealised loss on forward foreign exchange contracts (notes 2(c), 5) – 2,101,745 462,228 – – 1,382 16,327,727 – 385,906 – – Unrealised loss on financial future contracts (notes 2(d), 6) – – – – – – – – – – – Unrealised loss on interest rate swap contracts (notes 2(e), 7) – – – – 23,164,721 – – – – – 22,713 Unrealised loss on total return swap contracts (notes 2(h), 10) – – – – – – – – – – – Credit default swap contracts at market value (notes 2(i), 11) – – – – – – – – – – – Taxes and expense payable 2,851,351 1,261,890 793,871 5,852 3,964,272 14,542 11,083,082 793,444 1,533,096 1,000,339 12,671

TOTAL LIABILITIES 14,479,772 10,158,450 1,579,646 18,379 31,868,034 42,058 92,952,520 10,891,882 5,968,665 8,602,065 54,512

TOTAL NET ASSETS 3,117,939,662 1,563,330,394 131,081,314 4,972,977 1,899,669,279 7,596,675 12,173,621,218 1,254,584,032 1,001,066,594 924,725,351 12,029,241


June 30, 2014 3,757,379,912 1,934,098,366 139,593,248 – 2,032,463,169 5,659,011 12,681,269,302 973,932,482 1,214,667,740 937,254,225 10,458,979 June 30, 2013 2,253,747,426 1,096,131,750 86,772,962 – 3,676,902,884 4,911,688 15,816,110,669 942,037,607 1,343,345,062 1,629,700,238 – June 30, 2012 2,130,655,041 892,257,616 5,433,869 – 4,162,546,959 – 16,112,820,817 228,044,710 1,853,961,008 2,284,778,429 –

Templeton Asian Bond Fund

Templeton Asian

Dividend Fund

Templeton Asian

Growth Fund

Templeton Asian Smaller

Companies Fund

Templeton BRIC Fund

Templeton China Fund

Templeton Constrained

Bond Fund

(USD) (USD) (USD) (USD) (USD) (USD) (USD)





Templeton Eastern Europe

Fund

Templeton Emerging

Markets Fund

Templeton Emerging Markets

Balanced Fund

Templeton Emerging

Markets Bond Fund

(EUR) (USD) (USD) (USD)


ASSETS Investment in securities at market value (notes 2(b), 3) 253,650,235 673,987,875 69,493,045 5,739,660,278 324,888,298 163,325,814 300,812,303 1,598,656,671 1,500,831,541 707,315,026 1,095,680,352 Cash 14,460,412 255,113 834,607 235,513,611 9,473,596 6,769,083 1,291,077 4,029,645 964,100 6,586,043 178,236,152 Time deposits and repurchase agreements (note 4) – 81,000,000 – – – – – 21,000,000 82,000,000 – – Amounts receivable on sale of investments 371,801 1,937,691 1,111,259 23,305,000 13,840,402 13,371 4,649,354 3,436,495 3,441,812 – 2,131,001 Amounts receivable on subscriptions 624,029 1,176,592 141,523 9,894,113 1,722,201 219,857 551,541 3,834,723 4,665,905 106,353 2,698,046 Interest and dividends receivable, net 73,740 193,768 565,361 104,495,474 261,956 19,034 378,708 1,735,784 1,391,707 705,667 2,529,180 Unrealised profit on forward foreign exchange contracts (notes 2(c), 5) – – – 124,758,877 – – – – – – – Unrealised profit on financial future contracts (notes 2(d), 6) – – – – – – – – – – – Unrealised profit on interest rate swap contracts (notes 2(e), 7) – – – – – – – – – – – Unrealised profit on inflation swap contracts (notes 2(f), 8) – – – – – – – – – – – Credit default swap contracts at market value (notes 2(i), 11) – – – – – – – – – – – Option contracts at market value (notes 2(j), 12) – – – – – – – – – – – Other receivables 252,137 49,556 8,403 544,710 2,773 259,400 417,394 – 755,589 469,656 629,072

TOTAL ASSETS 269,432,354 758,600,595 72,154,198 6,238,172,063 350,189,226 170,606,559 308,100,377 1,632,693,318 1,594,050,654 715,182,745 1,281,903,803

LIABILITIESAmounts payable on purchases of investments 790 1,152,451 75,574 86,031,527 220,131 – – – – – 25,638 Amounts payable on redemptions 1,202,361 1,409,186 322,664 28,418,450 490,969 403,036 2,571,712 3,450,093 3,339,000 454,321 3,115,181 Investment management fees payable (note 14) 361,181 1,013,438 78,377 4,787,547 438,685 136,813 261,130 1,941,283 1,276,757 592,768 875,246 Bank overdraft – – – – – – – – – – – Unrealised loss on forward foreign exchange contracts (notes 2(c), 5) – 97,317 75,054 – – – – 5,717,166 – 79,429 928,080 Unrealised loss on financial future contracts (notes 2(d), 6) – – – – – – – – – – – Unrealised loss on interest rate swap contracts (notes 2(e), 7) – – 60,284 16,440,728 – – – – – – – Unrealised loss on total return swap contracts (notes 2(h), 10) – – – – – – – – – – – Credit default swap contracts at market value (notes 2(i), 11) – – – – – – – – – – – Taxes and expense payable 643,007 1,055,684 89,410 7,940,645 387,822 211,428 210,019 7,948,779 1,407,472 632,225 1,328,982

TOTAL LIABILITIES 2,207,339 4,728,076 701,363 143,618,897 1,537,607 751,277 3,042,861 19,057,321 6,023,229 1,758,743 6,273,127

TOTAL NET ASSETS 267,225,015 753,872,519 71,452,835 6,094,553,166 348,651,619 169,855,282 305,057,516 1,613,635,997 1,588,027,425 713,424,002 1,275,630,676


June 30, 2014 361,133,716 885,777,690 78,614,839 6,868,866,048 293,683,078 240,379,702 450,386,721 2,020,766,694 1,845,441,863 705,373,636 1,383,224,749 June 30, 2013 401,515,127 1,114,545,821 77,639,350 8,365,282,640 234,798,323 121,180,156 124,537,533 2,116,331,579 967,667,591 601,053,681 699,148,278 June 30, 2012 467,205,560 1,143,809,086 55,726,679 6,610,440,114 219,607,218 101,562,854 105,757,279 890,205,145 803,180,357 516,299,182 595,171,716




ASSETS Investment in securities at market value (notes 2(b), 3) 253,650,235 673,987,875 69,493,045 5,739,660,278 324,888,298 163,325,814 300,812,303 1,598,656,671 1,500,831,541 707,315,026 1,095,680,352 Cash 14,460,412 255,113 834,607 235,513,611 9,473,596 6,769,083 1,291,077 4,029,645 964,100 6,586,043 178,236,152 Time deposits and repurchase agreements (note 4) – 81,000,000 – – – – – 21,000,000 82,000,000 – – Amounts receivable on sale of investments 371,801 1,937,691 1,111,259 23,305,000 13,840,402 13,371 4,649,354 3,436,495 3,441,812 – 2,131,001 Amounts receivable on subscriptions 624,029 1,176,592 141,523 9,894,113 1,722,201 219,857 551,541 3,834,723 4,665,905 106,353 2,698,046 Interest and dividends receivable, net 73,740 193,768 565,361 104,495,474 261,956 19,034 378,708 1,735,784 1,391,707 705,667 2,529,180 Unrealised profit on forward foreign exchange contracts (notes 2(c), 5) – – – 124,758,877 – – – – – – – Unrealised profit on financial future contracts (notes 2(d), 6) – – – – – – – – – – – Unrealised profit on interest rate swap contracts (notes 2(e), 7) – – – – – – – – – – – Unrealised profit on inflation swap contracts (notes 2(f), 8) – – – – – – – – – – – Credit default swap contracts at market value (notes 2(i), 11) – – – – – – – – – – – Option contracts at market value (notes 2(j), 12) – – – – – – – – – – – Other receivables 252,137 49,556 8,403 544,710 2,773 259,400 417,394 – 755,589 469,656 629,072

TOTAL ASSETS 269,432,354 758,600,595 72,154,198 6,238,172,063 350,189,226 170,606,559 308,100,377 1,632,693,318 1,594,050,654 715,182,745 1,281,903,803

LIABILITIESAmounts payable on purchases of investments 790 1,152,451 75,574 86,031,527 220,131 – – – – – 25,638 Amounts payable on redemptions 1,202,361 1,409,186 322,664 28,418,450 490,969 403,036 2,571,712 3,450,093 3,339,000 454,321 3,115,181 Investment management fees payable (note 14) 361,181 1,013,438 78,377 4,787,547 438,685 136,813 261,130 1,941,283 1,276,757 592,768 875,246 Bank overdraft – – – – – – – – – – – Unrealised loss on forward foreign exchange contracts (notes 2(c), 5) – 97,317 75,054 – – – – 5,717,166 – 79,429 928,080 Unrealised loss on financial future contracts (notes 2(d), 6) – – – – – – – – – – – Unrealised loss on interest rate swap contracts (notes 2(e), 7) – – 60,284 16,440,728 – – – – – – – Unrealised loss on total return swap contracts (notes 2(h), 10) – – – – – – – – – – – Credit default swap contracts at market value (notes 2(i), 11) – – – – – – – – – – – Taxes and expense payable 643,007 1,055,684 89,410 7,940,645 387,822 211,428 210,019 7,948,779 1,407,472 632,225 1,328,982

TOTAL LIABILITIES 2,207,339 4,728,076 701,363 143,618,897 1,537,607 751,277 3,042,861 19,057,321 6,023,229 1,758,743 6,273,127

TOTAL NET ASSETS 267,225,015 753,872,519 71,452,835 6,094,553,166 348,651,619 169,855,282 305,057,516 1,613,635,997 1,588,027,425 713,424,002 1,275,630,676


June 30, 2014 361,133,716 885,777,690 78,614,839 6,868,866,048 293,683,078 240,379,702 450,386,721 2,020,766,694 1,845,441,863 705,373,636 1,383,224,749 June 30, 2013 401,515,127 1,114,545,821 77,639,350 8,365,282,640 234,798,323 121,180,156 124,537,533 2,116,331,579 967,667,591 601,053,681 699,148,278 June 30, 2012 467,205,560 1,143,809,086 55,726,679 6,610,440,114 219,607,218 101,562,854 105,757,279 890,205,145 803,180,357 516,299,182 595,171,716


Smaller Companies Fund

Templeton Euroland

Fund

Templeton European

Fund

Templeton Frontier Markets

Fund

Templeton Global Fund

Templeton Global (Euro) Fund

Templeton Global

Balanced Fund

(USD) (EUR) (EUR) (USD) (USD) (EUR) (USD)







Templeton Global Bond Fund

Templeton Global Bond

(Euro) Fund

Templeton Global Equity

Income Fund

Templeton Global

High Yield Fund

(USD) (EUR) (USD) (USD)

ASSETS Investment in securities at market value (notes 2(b), 3) 30,824,974,110 529,846,274 351,701,957 214,629,704 1,856,935,394 139,523,555 29,660,267,763 6,654,361,188 81,585,215 1,368,222,247 191,209,158 Cash 3,258,756,803 60,474,536 1,043,404 9,841,045 64,890,851 4,317 2,196,627,089 308,977,289 214,287 1,028,362 729,918 Time deposits and repurchase agreements (note 4) – – 9,000,000 – – 7,000,000 – 46,065,891 1,000,000 19,000,000 1,000,000 Amounts receivable on sale of investments 1,321,876,746 – 15 6,725,061 90,641,118 12 1,272,276,868 4,175,668 4,879,990 287,635 2,096,747 Amounts receivable on subscriptions 51,483,299 1,161,350 468,665 194,932 8,443,654 273,870 140,159,960 3,874,370 67,579 4,531,781 1,190,921 Interest and dividends receivable, net 342,611,503 8,676,565 900,338 3,554,237 9,189,086 90,753 413,942,516 12,251,077 – 3,576,876 – Unrealised profit on forward foreign exchange contracts (notes 2(c), 5) 2,264,132,661 – 3,222 4,281,511 22,575,996 – 1,581,388,972 – – – – Unrealised profit on financial future contracts (notes 2(d), 6) – – – – – – – – – – – Unrealised profit on interest rate swap contracts (notes 2(e), 7) – – – – – – – – – – – Unrealised profit on inflation swap contracts (notes 2(f), 8) – – – – – – – – – – – Credit default swap contracts at market value (notes 2(i), 11) – – – – – – – – – – – Option contracts at market value (notes 2(j), 12) – – – – – – – – – – – Other receivables 6,515,644 460,251 249,078 8,371 437,373 55,921 1,991,419 1,804,993 – 127 –

TOTAL ASSETS 38,070,350,766 600,618,976 363,366,679 239,234,861 2,053,113,472 146,948,428 35,266,654,587 7,031,510,476 87,747,071 1,396,647,028 196,226,744

LIABILITIESAmounts payable on purchases of investments 334,738,228 3,956,634 4,600,305 2,798,806 29,463,709 4,605 357,496,945 1,146,378 – 283 – Amounts payable on redemptions 57,649,655 2,057,864 1,425,554 252,023 4,593,516 295,484 70,609,143 6,149,177 221,543 5,508,188 4,462,274 Investment management fees payable (note 14) 22,603,482 346,449 308,448 169,395 1,395,753 122,715 20,976,136 5,791,887 114,402 1,612,897 281,510 Bank overdraft – – – – – – – – – – – Unrealised loss on forward foreign exchange contracts (notes 2(c), 5) – 14,452,120 – – – – – – – 1,162,188 – Unrealised loss on financial future contracts (notes 2(d), 6) – – – – – – – – – – – Unrealised loss on interest rate swap contracts (notes 2(e), 7) 377,121,639 7,224,388 – 10,372 990,498 – 348,769,342 – – – – Unrealised loss on total return swap contracts (notes 2(h), 10) – – – – – – – – – – – Credit default swap contracts at market value (notes 2(i), 11) – – – – – – – – – – – Taxes and expense payable 52,371,485 898,706 305,322 250,808 1,679,382 174,425 36,753,489 5,764,849 110,751 1,902,676 242,584

TOTAL LIABILITIES 844,484,489 28,936,161 6,639,629 3,481,404 38,122,858 597,229 834,605,055 18,852,291 446,696 10,186,232 4,986,368

TOTAL NET ASSETS 37,225,866,277 571,682,815 356,727,050 235,753,457 2,014,990,614 146,351,199 34,432,049,532 7,012,658,185 87,300,375 1,386,460,796 191,240,376


June 30, 2014 38,668,873,241 596,924,004 361,798,942 280,179,902 1,784,058,475 164,669,767 35,393,742,664 6,415,979,187 95,072,318 1,869,091,159 196,469,636 June 30, 2013 46,612,567,707 838,588,367 74,265,434 319,217,080 647,119,095 148,616,791 39,277,370,092 5,465,230,557 114,340,738 2,182,848,599 233,282,956 June 30, 2012 41,237,011,127 562,372,898 69,775,789 176,395,245 408,785,475 131,439,485 24,045,237,813 4,715,345,864 98,223,872 2,799,797,107 182,794,364





ASSETS Investment in securities at market value (notes 2(b), 3) 30,824,974,110 529,846,274 351,701,957 214,629,704 1,856,935,394 139,523,555 29,660,267,763 6,654,361,188 81,585,215 1,368,222,247 191,209,158 Cash 3,258,756,803 60,474,536 1,043,404 9,841,045 64,890,851 4,317 2,196,627,089 308,977,289 214,287 1,028,362 729,918 Time deposits and repurchase agreements (note 4) – – 9,000,000 – – 7,000,000 – 46,065,891 1,000,000 19,000,000 1,000,000 Amounts receivable on sale of investments 1,321,876,746 – 15 6,725,061 90,641,118 12 1,272,276,868 4,175,668 4,879,990 287,635 2,096,747 Amounts receivable on subscriptions 51,483,299 1,161,350 468,665 194,932 8,443,654 273,870 140,159,960 3,874,370 67,579 4,531,781 1,190,921 Interest and dividends receivable, net 342,611,503 8,676,565 900,338 3,554,237 9,189,086 90,753 413,942,516 12,251,077 – 3,576,876 – Unrealised profit on forward foreign exchange contracts (notes 2(c), 5) 2,264,132,661 – 3,222 4,281,511 22,575,996 – 1,581,388,972 – – – – Unrealised profit on financial future contracts (notes 2(d), 6) – – – – – – – – – – – Unrealised profit on interest rate swap contracts (notes 2(e), 7) – – – – – – – – – – – Unrealised profit on inflation swap contracts (notes 2(f), 8) – – – – – – – – – – – Credit default swap contracts at market value (notes 2(i), 11) – – – – – – – – – – – Option contracts at market value (notes 2(j), 12) – – – – – – – – – – – Other receivables 6,515,644 460,251 249,078 8,371 437,373 55,921 1,991,419 1,804,993 – 127 –

TOTAL ASSETS 38,070,350,766 600,618,976 363,366,679 239,234,861 2,053,113,472 146,948,428 35,266,654,587 7,031,510,476 87,747,071 1,396,647,028 196,226,744

LIABILITIESAmounts payable on purchases of investments 334,738,228 3,956,634 4,600,305 2,798,806 29,463,709 4,605 357,496,945 1,146,378 – 283 – Amounts payable on redemptions 57,649,655 2,057,864 1,425,554 252,023 4,593,516 295,484 70,609,143 6,149,177 221,543 5,508,188 4,462,274 Investment management fees payable (note 14) 22,603,482 346,449 308,448 169,395 1,395,753 122,715 20,976,136 5,791,887 114,402 1,612,897 281,510 Bank overdraft – – – – – – – – – – – Unrealised loss on forward foreign exchange contracts (notes 2(c), 5) – 14,452,120 – – – – – – – 1,162,188 – Unrealised loss on financial future contracts (notes 2(d), 6) – – – – – – – – – – – Unrealised loss on interest rate swap contracts (notes 2(e), 7) 377,121,639 7,224,388 – 10,372 990,498 – 348,769,342 – – – – Unrealised loss on total return swap contracts (notes 2(h), 10) – – – – – – – – – – – Credit default swap contracts at market value (notes 2(i), 11) – – – – – – – – – – – Taxes and expense payable 52,371,485 898,706 305,322 250,808 1,679,382 174,425 36,753,489 5,764,849 110,751 1,902,676 242,584

TOTAL LIABILITIES 844,484,489 28,936,161 6,639,629 3,481,404 38,122,858 597,229 834,605,055 18,852,291 446,696 10,186,232 4,986,368

TOTAL NET ASSETS 37,225,866,277 571,682,815 356,727,050 235,753,457 2,014,990,614 146,351,199 34,432,049,532 7,012,658,185 87,300,375 1,386,460,796 191,240,376


June 30, 2014 38,668,873,241 596,924,004 361,798,942 280,179,902 1,784,058,475 164,669,767 35,393,742,664 6,415,979,187 95,072,318 1,869,091,159 196,469,636 June 30, 2013 46,612,567,707 838,588,367 74,265,434 319,217,080 647,119,095 148,616,791 39,277,370,092 5,465,230,557 114,340,738 2,182,848,599 233,282,956 June 30, 2012 41,237,011,127 562,372,898 69,775,789 176,395,245 408,785,475 131,439,485 24,045,237,813 4,715,345,864 98,223,872 2,799,797,107 182,794,364

Templeton Global

Income Fund

Templeton Global Smaller

Companies Fund

Templeton Global

Total Return Fund

Templeton Growth (Euro) Fund

Templeton Korea Fund

Templeton Latin

America Fund

Templeton Thailand

Fund

(USD) (USD) (USD) (EUR) (USD) (USD) (USD)



Statement of Operations and Changes in Net Assets For the Period ended December 31, 2014

Total Franklin Asia

Credit Fund*

Franklin Asian

Flex Cap Fund**

Franklin Biotechnology

Discovery Fund


168,045,017,682 – 10,508,994 3,196,760,336 45,114,453 103,108,684 1,304,276,718 67,620,651 7,061,242 69,860,381 35,880,575 (2,993,854,229) – – – – – – – – – –

165,051,163,453 – 10,508,994 3,196,760,336 45,114,453 103,108,684 1,304,276,718 67,620,651 7,061,242 69,860,381 35,880,575

577,768,625 – 76,329 1,101,559 52,888 – 1,168,508 – – – 162,944 2,362,270,961 28,177 – 1,644 960,065 1,071,178 32,992,214 93,224 110,172 60,494 – 738,589 – – 16 – – – 204 61 – – 164,179 – – – – – – – – – 284 1,853,053 – – – 6,209 – – – – – – 17,395,168 – 4,465 51,260 – – 34,604 – – – –

2,960,190,575 28,177 80,794 1,154,479 1,019,162 1,071,178 34,195,326 93,428 110,233 60,494 163,228

703,765,528 6,441 18,457 13,286,009 201,141 241,822 4,702,856 125,966 48,536 66,431 140,695 188,397,099 2,063 5,457 3,092,442 52,580 129,707 1,360,618 65,226 33,307 37,737 40,163 248,122 – – 4,267 63 162 1,896 123 34 97 53 34,723,627 – 949 696,582 10,621 16,512 292,172 3,938 1,547 3,253 4,650 26,221,533 474 351 18,369 6,743 5,373 51,437 3,219 277 2,316 1,625 788,703 2,487 – 9,775 6,878 4,570 6,685 4,556 4,901 3,697 4,208 5,598,655 60 331 94,926 1,422 3,662 42,370 2,820 812 2,157 1,206 537,375 – – 29,837 – – – – – – – 114,907,520 – – – – – – – – – – 205,396,688 2,142 6,011 5,616,204 43,798 27,039 1,726,605 32,522 971 12,649 23,393 1,938,023 – – – – – – – – – – 24,755,064 – 3,977 463,819 – – 317,967 – – – – 19,616,940 – – 149,390 – – – – – – – 103,681,795 – 1,912 1,484,445 113,522 112,929 1,008,922 67,832 11,115 – 20,104 24,494,853 236 403 338,366 5,064 13,146 151,119 10,126 2,969 8,169 4,435

1,455,071,525 13,903 37,848 25,284,431 441,832 554,922 9,662,647 316,328 104,469 136,506 240,532 (4,258,209) (789) – (346) (4,822) (1,261) – – (6,175) (70,385) –

1,450,813,316 13,114 37,848 25,284,085 437,010 553,661 9,662,647 316,328 98,294 66,121 240,532

1,509,377,259 15,063 42,946 (24,129,606) 582,152 517,517 24,532,679 (222,900) 11,939 (5,627) (77,304) 1,442,955,183 – 1,862,903 348,682,769 (3,891,093) 1,131,695 11,557,174 – 16,797 151 1,291,482 (2,547,612,975) (123,678) – (1,192,960) (1,116,881) – (6,575,146) – – – – 4,339,284 – – – 3,691,087 – – – – – – 296,649 – – – 296,649 – – – – – – (1,133,517) – – – – – – – – – – 2,087,572 – – – (100,087) – – – – – – (230,977) – – – (350,731) – – – – – – (419,218,561) – (24,923) (10,621) (224,033) – 907,766 – (1,022) – 16,214

(9,140,083) (108,615) 1,880,926 323,349,582 (1,112,937) 1,649,212 30,422,473 (222,900) 27,714 (5,476) 1,230,392

(10,556,527,835) (23,898) (1,470,121) 206,899,050 (3,260,565) 4,225,391 (23,883,704) (11,614) 151,273 – (1,732,178) 3,803,337,748 (31,525) – (241,962) 1,358,302 – (19,989,632) – – – – 1,158,726 – – – 1,077,819 – – – – – – (308,799,827) – – – 13,026 – – – – – – (156,647) – – – (156,647) – – – – – – (598,335) – – – – – – – – – – (1,639,591) – – – (8,190) – – – – – – (136,894) – – – (4,667) – – – – – – (826,289,407) (31,525) 124 (242,429) (398,779) – 1,620,161 – (162) – –

(151,613) – – – – – – – – – –

(7,898,943,758) (195,563) 410,929 529,764,241 (2,492,638) 5,874,603 (11,830,702) (234,514) 178,825 (5,476) (501,786)

39,088,131,047 8,000,700 425,045 960,691,250 5,854,313 54,949,611 283,529,662 65,946,337 53,775,884 21,496,582 8,897,868 (36,671,618,705) – (11,320,390) (2,157,347,731) (13,147,472) (22,052,474) (460,189,858) (42,577,031) (3,959,247) (32,010,636) (11,901,391) 6,911,551 – (12,342) – (13,634) 137,047 (1,413,376) – 35,674 – (532)

2,423,423,893 8,000,700 (10,907,687) (1,196,656,481) (7,306,793) 33,034,184 (178,073,572) 23,369,306 49,852,311 (10,514,054) (3,004,055)

(1,994,021,395) (1,187) (12,236) – (1,409,478) (1,039,988) (37,815,230) – (8,683) – (624,243)

429,402,498 7,999,513 (10,919,923) (1,196,656,481) (8,716,271) 31,994,196 (215,888,802) 23,369,306 49,843,628 (10,514,054) (3,628,298)

157,581,622,193 7,803,950 – 2,529,868,096 33,905,544 140,977,483 1,076,557,214 90,755,443 57,083,695 59,340,851 31,750,491

(2.88)% 115.09% 35.44% 745.12% 104.26% 28.36% N/A 26.61% N/A 35.08%

* This Fund was launched on November 17, 2014 ** This Fund was closed on September 12, 2014 *** This Fund had its name changed effective on September 30, 2014 (refer to Note 1)Ω This Fund had its name changed effective on November 14, 2014 (refer to Note 1)


NET ASSETS AT THE BEGINNING OF THE PERIODCurrency translation adjustment

INCOMEDividends (net of withholding taxes) (note 2(m))Interest on bonds (net of withholding taxes) (note 2(m))Bank interestSecurities lending (notes 2(n), 13)Net interest income on swapsSundry income

TOTAL INCOME

EXPENSESInvestment management fees (note 14)Administration and transfer agency feesDirectors feesSubscription tax (note 17)Custodian feesAudit feesPrinting and publishing expensesBank chargesNet interest expenses on swapsClass A (dis) and Class A (acc) shares’ maintenance charges (note 18)Class AX (acc) shares’ maintenance charges (note 18)Class B (dis) and Class B (acc) shares’ maintenance and service charges (note 18)Class C (dis) and Class C (acc) shares’ maintenance and service charges (note 18)Class N (dis) and Class N (acc) shares’ maintenance charges (note 18)Other charges

TOTAL EXPENSES

Expenses reimbursement (note 19)

NET EXPENSES

NET PROFIT/(LOSS) FROM INVESTMENTSNet realised profit/(loss) on sale of investmentsNet realised profit/(loss) on forward foreign exchange contractsNet realised profit/(loss) on financial future contractsNet realised profit/(loss) on inflation swap contractsNet realised profit/(loss) on total return swap contractsNet realised profit/(loss) on credit default swap contractsNet realised profit/(loss) on option contracts Net realised profit/(loss) on foreign exchange transactions

NET REALISED PROFIT/(LOSS) FOR THE PERIODChange in net unrealised appreciation/(depreciation) on:

InvestmentsForward foreign exchange contractsFinancial future contractsInterest rate swap contractsInflation swap contractsTotal return swap contractsCredit default swap contractsOption contractsForeign exchange transactions

Provision for capital gains tax

NET INCREASE/(DECREASE) IN NET ASSETS AS A RESULT OF OPERATIONS

MOVEMENT OF CAPITALIssue of sharesRedemption of sharesEqualisation (note 22)

Dividends paid/accumulated (note 23)

NET INCREASE/(DECREASE) IN NET ASSETS AS A RESULT OF MOVEMENT IN CAPITAL

NET ASSETS AT THE END OF THE PERIOD

Portfolio Turnover Ratio (note 24)



Statement of Operations and Changes in Net Assets For the Period ended December 31, 2014 (continued)

Franklin Brazil

Opportunities Fund

Franklin Euro


Franklin Euro

High Yield Fund

Franklin Euro

Liquid Reserve Fund***

Franklin Euro

Short Duration Bond Fund

Franklin Euro Short-Term

Money Market Fund***

Franklin Euroland

FundΩ

(USD) (EUR) (EUR) (EUR) (EUR) (EUR) (EUR)

168,045,017,682 – 10,508,994 3,196,760,336 45,114,453 103,108,684 1,304,276,718 67,620,651 7,061,242 69,860,381 35,880,575 (2,993,854,229) – – – – – – – – – –

165,051,163,453 – 10,508,994 3,196,760,336 45,114,453 103,108,684 1,304,276,718 67,620,651 7,061,242 69,860,381 35,880,575

577,768,625 – 76,329 1,101,559 52,888 – 1,168,508 – – – 162,944 2,362,270,961 28,177 – 1,644 960,065 1,071,178 32,992,214 93,224 110,172 60,494 – 738,589 – – 16 – – – 204 61 – – 164,179 – – – – – – – – – 284 1,853,053 – – – 6,209 – – – – – – 17,395,168 – 4,465 51,260 – – 34,604 – – – –

2,960,190,575 28,177 80,794 1,154,479 1,019,162 1,071,178 34,195,326 93,428 110,233 60,494 163,228

703,765,528 6,441 18,457 13,286,009 201,141 241,822 4,702,856 125,966 48,536 66,431 140,695 188,397,099 2,063 5,457 3,092,442 52,580 129,707 1,360,618 65,226 33,307 37,737 40,163 248,122 – – 4,267 63 162 1,896 123 34 97 53 34,723,627 – 949 696,582 10,621 16,512 292,172 3,938 1,547 3,253 4,650 26,221,533 474 351 18,369 6,743 5,373 51,437 3,219 277 2,316 1,625 788,703 2,487 – 9,775 6,878 4,570 6,685 4,556 4,901 3,697 4,208 5,598,655 60 331 94,926 1,422 3,662 42,370 2,820 812 2,157 1,206 537,375 – – 29,837 – – – – – – – 114,907,520 – – – – – – – – – – 205,396,688 2,142 6,011 5,616,204 43,798 27,039 1,726,605 32,522 971 12,649 23,393 1,938,023 – – – – – – – – – – 24,755,064 – 3,977 463,819 – – 317,967 – – – – 19,616,940 – – 149,390 – – – – – – – 103,681,795 – 1,912 1,484,445 113,522 112,929 1,008,922 67,832 11,115 – 20,104 24,494,853 236 403 338,366 5,064 13,146 151,119 10,126 2,969 8,169 4,435

1,455,071,525 13,903 37,848 25,284,431 441,832 554,922 9,662,647 316,328 104,469 136,506 240,532 (4,258,209) (789) – (346) (4,822) (1,261) – – (6,175) (70,385) –

1,450,813,316 13,114 37,848 25,284,085 437,010 553,661 9,662,647 316,328 98,294 66,121 240,532

1,509,377,259 15,063 42,946 (24,129,606) 582,152 517,517 24,532,679 (222,900) 11,939 (5,627) (77,304) 1,442,955,183 – 1,862,903 348,682,769 (3,891,093) 1,131,695 11,557,174 – 16,797 151 1,291,482 (2,547,612,975) (123,678) – (1,192,960) (1,116,881) – (6,575,146) – – – – 4,339,284 – – – 3,691,087 – – – – – – 296,649 – – – 296,649 – – – – – – (1,133,517) – – – – – – – – – – 2,087,572 – – – (100,087) – – – – – – (230,977) – – – (350,731) – – – – – – (419,218,561) – (24,923) (10,621) (224,033) – 907,766 – (1,022) – 16,214

(9,140,083) (108,615) 1,880,926 323,349,582 (1,112,937) 1,649,212 30,422,473 (222,900) 27,714 (5,476) 1,230,392

(10,556,527,835) (23,898) (1,470,121) 206,899,050 (3,260,565) 4,225,391 (23,883,704) (11,614) 151,273 – (1,732,178) 3,803,337,748 (31,525) – (241,962) 1,358,302 – (19,989,632) – – – – 1,158,726 – – – 1,077,819 – – – – – – (308,799,827) – – – 13,026 – – – – – – (156,647) – – – (156,647) – – – – – – (598,335) – – – – – – – – – – (1,639,591) – – – (8,190) – – – – – – (136,894) – – – (4,667) – – – – – – (826,289,407) (31,525) 124 (242,429) (398,779) – 1,620,161 – (162) – –

(151,613) – – – – – – – – – –

(7,898,943,758) (195,563) 410,929 529,764,241 (2,492,638) 5,874,603 (11,830,702) (234,514) 178,825 (5,476) (501,786)

39,088,131,047 8,000,700 425,045 960,691,250 5,854,313 54,949,611 283,529,662 65,946,337 53,775,884 21,496,582 8,897,868 (36,671,618,705) – (11,320,390) (2,157,347,731) (13,147,472) (22,052,474) (460,189,858) (42,577,031) (3,959,247) (32,010,636) (11,901,391) 6,911,551 – (12,342) – (13,634) 137,047 (1,413,376) – 35,674 – (532)

2,423,423,893 8,000,700 (10,907,687) (1,196,656,481) (7,306,793) 33,034,184 (178,073,572) 23,369,306 49,852,311 (10,514,054) (3,004,055)

(1,994,021,395) (1,187) (12,236) – (1,409,478) (1,039,988) (37,815,230) – (8,683) – (624,243)

429,402,498 7,999,513 (10,919,923) (1,196,656,481) (8,716,271) 31,994,196 (215,888,802) 23,369,306 49,843,628 (10,514,054) (3,628,298)

157,581,622,193 7,803,950 – 2,529,868,096 33,905,544 140,977,483 1,076,557,214 90,755,443 57,083,695 59,340,851 31,750,491

(2.88)% 115.09% 35.44% 745.12% 104.26% 28.36% N/A 26.61% N/A 35.08%





Franklin European

Fund*

Franklin European Corporate

Bond Fund

Franklin European Dividend

Fund

Franklin European

Growth Fund

(EUR) (EUR) (EUR) (EUR)

* This Fund had its name changed effective on November 14, 2014 (refer to Note 1) ** This Fund was launched on November 17, 2014 *** This Fund had its name changed effective on September 30, 2014 (refer to Note 1)

7,358,094 83,107,946 53,452,156 3,132,137,485 – 904,235,203 183,558,208 11,848,638 21,989,463 11,464,066 52,720,927 – – – – – – – – – – –

7,358,094 83,107,946 53,452,156 3,132,137,485 – 904,235,203 183,558,208 11,848,638 21,989,463 11,464,066 52,720,927

45,483 – 1,026,764 26,143,705 17,370 8,290,793 – – – – 217,608 – 1,290,986 – – 5,098 – 2,564,160 351,282 272,643 406,412 223,427 – – – – – 7,219 – 267 106 26 685 – – – – – – – – – – – – – – – – – – – – – – – – – – – 14,550 30,176 – 2,334 – –

45,483 1,290,986 1,026,764 26,143,705 22,468 8,312,562 2,594,336 351,549 275,083 406,438 441,720

32,240 278,976 280,321 10,212,632 7,010 3,106,936 751,385 49,869 58,403 88,457 246,723 8,459 115,337 79,212 2,558,875 2,101 868,675 237,859 19,079 25,658 48,159 62,461 – 141 96 4,016 – 1,277 298 20 33 51 79 1,384 15,259 8,185 508,673 – 120,584 44,929 1,456 3,328 1,275 10,691 270 3,944 2,880 125,983 83 181,696 16,077 648 1,262 1,285 3,846 4,191 4,569 4,491 7,292 2,000 5,352 5,543 5,703 9,981 5,717 9,281 244 3,215 2,168 88,088 61 28,516 6,721 480 733 1,224 1,793 – – – 55 – 2,429 – – – – 1,699 – – – – – – – 10,173 – – 7,149 7,685 41,191 48,303 2,842,522 1,549 756,655 134,538 9,544 13,277 1,044 53,335 – – – – – – – – – – – – – – – – – – 1,004 – – – – – – – – – – – – – – 12,384 160,046 62,566 2,232,902 776 259,647 480,296 – 16,135 – 114,452 903 11,733 7,915 312,790 235 101,460 24,122 1,722 2,618 4,481 8,220

67,760 634,411 496,137 18,893,828 13,815 5,433,227 1,701,768 99,698 131,428 151,693 519,729 – (21,053) – (76,130) (1,110) (2,036) (260,360) (23) (15,905) (16,042) (5,733)

67,760 613,358 496,137 18,817,698 12,705 5,431,191 1,441,408 99,675 115,523 135,651 513,996

(22,277) 677,628 530,627 7,326,007 9,763 2,881,371 1,152,928 251,874 159,560 270,787 (72,276) 188,267 675,898 990,772 40,235,710 163 47,921,206 2,316,981 76,059 106,808 (1,091,977) 881,636 – (63,663) 22,297 9,837,135 (11,714) – (559,946) – (791,287) 249,592 (1,202,233) – – – – – – – – – – 165,251 – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – 502 1,667 (16,675) (623,208) 8,414 66,249 (8,221) (60) (22,403) (13,378) (36,642)

166,492 1,291,530 1,527,021 56,775,644 6,626 50,868,826 2,901,742 327,873 (547,322) (584,976) (264,264)

(257,449) 1,448,056 (3,007,524) (320,024,130) 109,012 (97,178,055) 5,307,351 1,647 (609,228) (1,098,569) (4,479,329) – (9,623) (100,045) 1,900,033 15,599 – 260,681 – (148,326) 442,512 468,581 – – – – – – – – – – (311,841) – – – – – – – (79,574) – – (22,650) – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – (280) 188 (101,650) 1,839,282 24,829 (38,538) 5,524 (415) (263,116) (7,774) (466,222)

– – – – – – – – – – –

(91,237) 2,730,151 (1,682,198) (259,509,171) 156,066 (46,347,767) 8,475,298 249,531 (1,567,992) (1,248,807) (5,075,725)

664,582 54,027,882 44,019,740 390,172,256 7,987,817 98,463,756 76,534,280 9,103,124 8,961,487 81,177,201 13,768,310 (806,855) (10,876,336) (17,873,063) (1,836,945,921) – (297,723,985) (38,534,148) (929,467) (8,260,552) (47,012,494) (8,724,262) – 202,648 152,977 (2,759,342) – (816,347) 26,981 14,170 (2,821) 14,182 195

(142,273) 43,354,194 26,299,654 (1,449,533,007) 7,987,817 (200,076,576) 38,027,113 8,187,827 698,114 34,178,889 5,044,243

(92,729) (1,349,241) (2,131,803) (38,828,707) (4,789) (7,352,891) (1,145,836) (246,403) (297,228) (201,705) (106,932)

(235,002) 42,004,953 24,167,851 (1,488,361,714) 7,983,028 (207,429,467) 36,881,277 7,941,424 400,886 33,977,184 4,937,311

7,031,855 127,843,050 75,937,809 1,384,266,600 8,139,094 650,457,969 228,914,783 20,039,593 20,822,357 44,192,443 52,582,513

61.37% 85.84% 12.87% 42.90% 2.40% (3.41)% 109.98% 91.18% 146.88% 130.44% 30.57%




TOTAL INCOME


TOTAL EXPENSES


NET EXPENSES














7,358,094 83,107,946 53,452,156 3,132,137,485 – 904,235,203 183,558,208 11,848,638 21,989,463 11,464,066 52,720,927 – – – – – – – – – – –

7,358,094 83,107,946 53,452,156 3,132,137,485 – 904,235,203 183,558,208 11,848,638 21,989,463 11,464,066 52,720,927

45,483 – 1,026,764 26,143,705 17,370 8,290,793 – – – – 217,608 – 1,290,986 – – 5,098 – 2,564,160 351,282 272,643 406,412 223,427 – – – – – 7,219 – 267 106 26 685 – – – – – – – – – – – – – – – – – – – – – – – – – – – 14,550 30,176 – 2,334 – –

45,483 1,290,986 1,026,764 26,143,705 22,468 8,312,562 2,594,336 351,549 275,083 406,438 441,720

32,240 278,976 280,321 10,212,632 7,010 3,106,936 751,385 49,869 58,403 88,457 246,723 8,459 115,337 79,212 2,558,875 2,101 868,675 237,859 19,079 25,658 48,159 62,461 – 141 96 4,016 – 1,277 298 20 33 51 79 1,384 15,259 8,185 508,673 – 120,584 44,929 1,456 3,328 1,275 10,691 270 3,944 2,880 125,983 83 181,696 16,077 648 1,262 1,285 3,846 4,191 4,569 4,491 7,292 2,000 5,352 5,543 5,703 9,981 5,717 9,281 244 3,215 2,168 88,088 61 28,516 6,721 480 733 1,224 1,793 – – – 55 – 2,429 – – – – 1,699 – – – – – – – 10,173 – – 7,149 7,685 41,191 48,303 2,842,522 1,549 756,655 134,538 9,544 13,277 1,044 53,335 – – – – – – – – – – – – – – – – – – 1,004 – – – – – – – – – – – – – – 12,384 160,046 62,566 2,232,902 776 259,647 480,296 – 16,135 – 114,452 903 11,733 7,915 312,790 235 101,460 24,122 1,722 2,618 4,481 8,220

67,760 634,411 496,137 18,893,828 13,815 5,433,227 1,701,768 99,698 131,428 151,693 519,729 – (21,053) – (76,130) (1,110) (2,036) (260,360) (23) (15,905) (16,042) (5,733)

67,760 613,358 496,137 18,817,698 12,705 5,431,191 1,441,408 99,675 115,523 135,651 513,996

(22,277) 677,628 530,627 7,326,007 9,763 2,881,371 1,152,928 251,874 159,560 270,787 (72,276) 188,267 675,898 990,772 40,235,710 163 47,921,206 2,316,981 76,059 106,808 (1,091,977) 881,636 – (63,663) 22,297 9,837,135 (11,714) – (559,946) – (791,287) 249,592 (1,202,233) – – – – – – – – – – 165,251 – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – 502 1,667 (16,675) (623,208) 8,414 66,249 (8,221) (60) (22,403) (13,378) (36,642)

166,492 1,291,530 1,527,021 56,775,644 6,626 50,868,826 2,901,742 327,873 (547,322) (584,976) (264,264)

(257,449) 1,448,056 (3,007,524) (320,024,130) 109,012 (97,178,055) 5,307,351 1,647 (609,228) (1,098,569) (4,479,329) – (9,623) (100,045) 1,900,033 15,599 – 260,681 – (148,326) 442,512 468,581 – – – – – – – – – – (311,841) – – – – – – – (79,574) – – (22,650) – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – (280) 188 (101,650) 1,839,282 24,829 (38,538) 5,524 (415) (263,116) (7,774) (466,222)

– – – – – – – – – – –

(91,237) 2,730,151 (1,682,198) (259,509,171) 156,066 (46,347,767) 8,475,298 249,531 (1,567,992) (1,248,807) (5,075,725)

664,582 54,027,882 44,019,740 390,172,256 7,987,817 98,463,756 76,534,280 9,103,124 8,961,487 81,177,201 13,768,310 (806,855) (10,876,336) (17,873,063) (1,836,945,921) – (297,723,985) (38,534,148) (929,467) (8,260,552) (47,012,494) (8,724,262) – 202,648 152,977 (2,759,342) – (816,347) 26,981 14,170 (2,821) 14,182 195

(142,273) 43,354,194 26,299,654 (1,449,533,007) 7,987,817 (200,076,576) 38,027,113 8,187,827 698,114 34,178,889 5,044,243

(92,729) (1,349,241) (2,131,803) (38,828,707) (4,789) (7,352,891) (1,145,836) (246,403) (297,228) (201,705) (106,932)

(235,002) 42,004,953 24,167,851 (1,488,361,714) 7,983,028 (207,429,467) 36,881,277 7,941,424 400,886 33,977,184 4,937,311

7,031,855 127,843,050 75,937,809 1,384,266,600 8,139,094 650,457,969 228,914,783 20,039,593 20,822,357 44,192,443 52,582,513

61.37% 85.84% 12.87% 42.90% 2.40% (3.41)% 109.98% 91.18% 146.88% 130.44% 30.57%

Franklin European

Income Fund**

Franklin European


Franklin European

Total Return Fund***

Franklin GCC

Bond Fund

Franklin Global

Aggregate Bond Fund

Franklin Global Aggregate

Investment Grade Bond Fund

Franklin Global

Allocation Fund

(EUR) (EUR) (EUR) (USD) (USD) (USD) (USD)





Franklin Global

Convertible Securities Fund

Franklin Global Corporate

High Yield Fund

Franklin Global Equity

Strategies Fund

Franklin Global

Fundamental Strategies Fund


157,330,346 33,002,596 83,350,921 1,772,861,098 13,343,485 187,502,608 70,964,780 81,213,777 10,182,735 437,586,926 435,729,824 – – – – – – – – – – –

157,330,346 33,002,596 83,350,921 1,772,861,098 13,343,485 187,502,608 70,964,780 81,213,777 10,182,735 437,586,926 435,729,824

478,092 1,016 725,077 9,763,455 – 905,739 398,757 3,555 139,049 4,446,036 3,547,729 1,060,121 909,784 35,077 11,334,317 165,781 – – 3,013,320 – – – – – 280 416 546 1,643 416 – 13 1,318 4,801 – – – – – – 567 – – – – – – – – – – – – – – – – 3,702 781 50,242 – 39,121 28,504 12,123 – – 2,033

1,538,213 914,502 761,215 21,148,430 166,327 946,503 428,244 3,028,998 139,062 4,447,354 3,554,563

515,498 93,732 503,173 9,114,068 32,107 750,328 345,469 375,453 54,719 1,974,076 1,735,758 172,027 33,412 121,073 2,205,020 16,197 213,052 87,532 110,597 15,910 528,532 436,170 231 45 123 2,719 20 276 105 137 17 645 595 23,905 1,580 20,362 438,779 1,017 22,614 17,674 20,454 1,828 83,270 83,324 4,758 491 9,181 202,278 1,012 5,713 2,104 2,310 532 14,459 84,336 8,617 8,189 6,104 8,862 6,142 7,765 6,169 8,029 7,379 9,387 6,376 5,219 1,062 2,760 61,442 478 6,258 2,377 3,130 398 14,504 13,317 – – – 15,162 – – – – – – 555 – – – 253,316 – – – – – – – 112,304 – 201,262 3,598,362 1,381 99,570 136,620 116,252 12,055 456,412 614,950 – – – – – – – – – – – – – – – – – 21,235 – – 119,607 24,479 – – – – – – 22,869 – – 227,785 – 200,330 – – 2,051,173 6,475 149,149 46,869 141,101 15,012 475,733 255,222 18,653 3,815 13,108 244,320 1,725 22,344 8,517 11,236 1,501 341,817 47,346

1,061,542 142,326 877,146 18,195,501 66,554 1,277,069 697,540 788,699 109,351 4,246,227 3,302,428

(3,740) (23,652) – (2,318) (6,777) (12) – (48) (5,585) – (2,287)

1,057,802 118,674 877,146 18,193,183 59,777 1,277,057 697,540 788,651 103,766 4,246,227 3,300,141

480,411 795,828 (115,931) 2,955,247 106,550 (330,554) (269,296) 2,240,347 35,296 201,127 254,422 117,314 (129,998) 2,228,758 1,116,151 101,031 6,884,286 2,529,608 119,925 145,758 5,666,356 8,785,242 (2,168,657) (369,516) (963,888) (45,310,100) 219,512 (846,164) – (63,083) (146,410) (3,098,267) – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – 309,563 – – – – – – – – – 7,015 (9,493) (164,040) (1,133,424) (21,300) (37,994) (12,271) (21,661) (1,214) (87,125) (159,413)

(1,563,917) 596,384 984,899 (42,372,126) 405,793 5,669,574 2,248,041 2,275,528 33,430 2,682,091 8,880,251 (8,925,398) (2,742,938) (7,723,491) (126,436,750) (748,397) (2,585,547) (4,316,784) (10,992,683) (658,189) 5,802,106 (64,080,228) (531,056) (191,566) (164,448) 20,724,603 114,016 (328,815) – (1,060,458) (31,548) (845,461) – – – – – – – – – – – – – – – (569,367) – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – (541,680) (203,513) (203,938) (14,354,224) (5,572) (329,562) (9,816) (14,708) (31,138) (859,249) (50,931)

– – – (1,752) – – – – – – –

(11,562,051) (2,541,633) (7,106,978) (163,009,616) (234,160) 2,425,650 (2,078,559) (9,792,321) (687,445) 6,779,487 (55,250,908)

35,434,694 2,440,943 4,136,379 553,348,170 5,600,549 42,702,585 13,974,467 57,082,335 7,923,339 75,767,098 108,167,816 (40,383,080) (1,563,490) (3,373,310) (299,628,014) (891,144) (34,807,979) (15,321,361) (31,658,940) (3,971,072) (89,689,964) (177,476,998) (18,898) (3,044) (56) 350,066 2,084 333 52 45,279 2,422 (29,985) (18,833)

(4,967,284) 874,409 763,013 254,070,222 4,711,489 7,894,939 (1,346,842) 25,468,674 3,954,689 (13,952,851) (69,328,015)

(731,165) (1,294,767) (271,078) (11,908,968) (114,068) (233,076) (3,269) (2,170,922) (250,732) (5,144,926) (1,142,273)

(5,698,449) (420,358) 491,935 242,161,254 4,597,421 7,661,863 (1,350,111) 23,297,752 3,703,957 (19,097,777) (70,470,288)

140,069,846 30,040,605 76,735,878 1,852,012,736 17,706,746 197,590,121 67,536,110 94,719,208 13,199,247 425,268,636 310,008,628

(28.09)% 59.92% 68.02% 24.11% 98.51% 49.91% 24.70% 4.24% 59.31% 18.18% (20.42)%




TOTAL INCOME


TOTAL EXPENSES


NET EXPENSES














Franklin Global


Franklin Global Growth

Fund

Franklin Global

Growth and Value Fund

Franklin Global High

Income Bond Fund

Franklin Global Listed Infrastructure

Fund

Franklin Global

Real Estate Fund

Franklin Global



157,330,346 33,002,596 83,350,921 1,772,861,098 13,343,485 187,502,608 70,964,780 81,213,777 10,182,735 437,586,926 435,729,824 – – – – – – – – – – –

157,330,346 33,002,596 83,350,921 1,772,861,098 13,343,485 187,502,608 70,964,780 81,213,777 10,182,735 437,586,926 435,729,824

478,092 1,016 725,077 9,763,455 – 905,739 398,757 3,555 139,049 4,446,036 3,547,729 1,060,121 909,784 35,077 11,334,317 165,781 – – 3,013,320 – – – – – 280 416 546 1,643 416 – 13 1,318 4,801 – – – – – – 567 – – – – – – – – – – – – – – – – 3,702 781 50,242 – 39,121 28,504 12,123 – – 2,033

1,538,213 914,502 761,215 21,148,430 166,327 946,503 428,244 3,028,998 139,062 4,447,354 3,554,563

515,498 93,732 503,173 9,114,068 32,107 750,328 345,469 375,453 54,719 1,974,076 1,735,758 172,027 33,412 121,073 2,205,020 16,197 213,052 87,532 110,597 15,910 528,532 436,170 231 45 123 2,719 20 276 105 137 17 645 595 23,905 1,580 20,362 438,779 1,017 22,614 17,674 20,454 1,828 83,270 83,324 4,758 491 9,181 202,278 1,012 5,713 2,104 2,310 532 14,459 84,336 8,617 8,189 6,104 8,862 6,142 7,765 6,169 8,029 7,379 9,387 6,376 5,219 1,062 2,760 61,442 478 6,258 2,377 3,130 398 14,504 13,317 – – – 15,162 – – – – – – 555 – – – 253,316 – – – – – – – 112,304 – 201,262 3,598,362 1,381 99,570 136,620 116,252 12,055 456,412 614,950 – – – – – – – – – – – – – – – – – 21,235 – – 119,607 24,479 – – – – – – 22,869 – – 227,785 – 200,330 – – 2,051,173 6,475 149,149 46,869 141,101 15,012 475,733 255,222 18,653 3,815 13,108 244,320 1,725 22,344 8,517 11,236 1,501 341,817 47,346

1,061,542 142,326 877,146 18,195,501 66,554 1,277,069 697,540 788,699 109,351 4,246,227 3,302,428

(3,740) (23,652) – (2,318) (6,777) (12) – (48) (5,585) – (2,287)

1,057,802 118,674 877,146 18,193,183 59,777 1,277,057 697,540 788,651 103,766 4,246,227 3,300,141

480,411 795,828 (115,931) 2,955,247 106,550 (330,554) (269,296) 2,240,347 35,296 201,127 254,422 117,314 (129,998) 2,228,758 1,116,151 101,031 6,884,286 2,529,608 119,925 145,758 5,666,356 8,785,242 (2,168,657) (369,516) (963,888) (45,310,100) 219,512 (846,164) – (63,083) (146,410) (3,098,267) – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – 309,563 – – – – – – – – – 7,015 (9,493) (164,040) (1,133,424) (21,300) (37,994) (12,271) (21,661) (1,214) (87,125) (159,413)

(1,563,917) 596,384 984,899 (42,372,126) 405,793 5,669,574 2,248,041 2,275,528 33,430 2,682,091 8,880,251 (8,925,398) (2,742,938) (7,723,491) (126,436,750) (748,397) (2,585,547) (4,316,784) (10,992,683) (658,189) 5,802,106 (64,080,228) (531,056) (191,566) (164,448) 20,724,603 114,016 (328,815) – (1,060,458) (31,548) (845,461) – – – – – – – – – – – – – – – (569,367) – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – (541,680) (203,513) (203,938) (14,354,224) (5,572) (329,562) (9,816) (14,708) (31,138) (859,249) (50,931)

– – – (1,752) – – – – – – –

(11,562,051) (2,541,633) (7,106,978) (163,009,616) (234,160) 2,425,650 (2,078,559) (9,792,321) (687,445) 6,779,487 (55,250,908)

35,434,694 2,440,943 4,136,379 553,348,170 5,600,549 42,702,585 13,974,467 57,082,335 7,923,339 75,767,098 108,167,816 (40,383,080) (1,563,490) (3,373,310) (299,628,014) (891,144) (34,807,979) (15,321,361) (31,658,940) (3,971,072) (89,689,964) (177,476,998) (18,898) (3,044) (56) 350,066 2,084 333 52 45,279 2,422 (29,985) (18,833)

(4,967,284) 874,409 763,013 254,070,222 4,711,489 7,894,939 (1,346,842) 25,468,674 3,954,689 (13,952,851) (69,328,015)

(731,165) (1,294,767) (271,078) (11,908,968) (114,068) (233,076) (3,269) (2,170,922) (250,732) (5,144,926) (1,142,273)

(5,698,449) (420,358) 491,935 242,161,254 4,597,421 7,661,863 (1,350,111) 23,297,752 3,703,957 (19,097,777) (70,470,288)

140,069,846 30,040,605 76,735,878 1,852,012,736 17,706,746 197,590,121 67,536,110 94,719,208 13,199,247 425,268,636 310,008,628

(28.09)% 59.92% 68.02% 24.11% 98.51% 49.91% 24.70% 4.24% 59.31% 18.18% (20.42)%





Franklin Gold and Precious

Metals Fund


Franklin Income

Fund

Franklin India Fund


107,261,361 5,131,295,651 3,631,326,483 1,854,259,603 25,330,401,513 – 281,268,016 31,687,039 278,339,427 9,149,693 1,498,222,686 – – – – – – – – – – –

107,261,361 5,131,295,651 3,631,326,483 1,854,259,603 25,330,401,513 – 281,268,016 31,687,039 278,339,427 9,149,693 1,498,222,686

249,894 234,406 36,640,689 13,847,419 163,035,387 35,303 4,095,855 366,313 1,438,258 18,808 903,557 126 153,797,462 53,645,490 – – 71,567 – 113,812 44,741 29,313 28,170,837 – 83 40 14,862 – 977 1,442 – – – 2,764 – – – – – – – – – – – – – – – – 970 – – – 6,728 1,839,146 731 859,738 69,015 – – 86 1,729 – – 463 150,655

250,751 154,891,689 90,355,234 13,862,281 163,035,387 108,903 4,099,026 480,125 1,482,999 55,312 31,066,959

475,847 18,612,316 17,137,531 10,258,034 111,949,300 304,841 2,390,647 97,245 1,074,407 35,801 5,878,378 135,413 5,751,826 4,785,497 2,842,423 31,871,362 36,001 426,890 43,315 288,494 12,477 1,929,500 152 7,397 5,906 3,279 39,243 32 501 53 370 14 2,361 23,864 1,142,703 933,600 300,327 3,916,197 2,369 78,003 3,033 52,288 2,315 340,013 5,667 78,528 53,198 801,162 1,502,627 15,194 346,097 1,523 4,575 282 81,276 8,862 12,146 10,992 10,101 696,173 28,048 8,022 5,237 8,313 6,059 10,230 3,315 166,623 133,923 76,243 883,540 860 11,668 1,239 8,222 321 53,608 – 3,356 9,007 2,402 – 540 3,229 71 – – 11,807 – – – – – – – 258,951 – – – 180,231 6,803,495 6,598,340 2,007,013 23,798,736 9,161 559,348 26,787 348,550 20,462 2,126,850 – – – – – – – – – – – – 5,910,955 2,273,660 175,619 – – 70,964 – 47,246 – 277,905 – 401,620 2,174,278 47,665 1,498,184 – – – 45,067 – 1,053,192 138,521 977,764 2,651,694 837,374 22,686,089 18,762 304,716 35,971 163,238 6,810 1,348,258 11,838 594,308 480,181 274,442 3,542,142 6,855 42,230 4,476 29,863 1,153 193,791

983,710 40,463,037 37,247,807 17,636,084 202,383,593 422,663 4,242,315 477,901 2,070,633 85,694 13,307,169

– (1,365) (74) (18,833) (90) (61,947) (3,532) – (1,105) (17,838) (1,173,481)

983,710 40,461,672 37,247,733 17,617,251 202,383,503 360,716 4,238,783 477,901 2,069,528 67,856 12,133,688

(732,959) 114,430,017 53,107,501 (3,754,970) (39,348,116) (251,813) (139,757) 2,224 (586,529) (12,544) 18,933,271 (8,765,538) 56,426,599 17,148,170 37,751,635 2,364,767,861 (126,623) 8,485,184 479,896 (4,443,475) 3,839 5,802,429 (1,801,626) (8,645,424) (3,651,475) (1,458,153) – (166,162) (4,991,786) 13,431 (1,135,297) (283,396) (29,539,646) – – – – – 191,835 – – – – – – – – – – – – – – – – – – – – – 88,839 – – – – (1,041,988) – – – – – – – – – – 1,060,571 – – 61,433 – – (187,310) – – – – – (20,578) (82,655) (618,187) (1,749,468) (630,456) 9,510 (697,918) 34,010 (17,544) (3,761) (589,291) (11,320,701) 162,128,537 66,047,442 30,789,044 2,324,789,289 (441,724) 2,655,723 529,561 (6,182,845) (295,862) (5,374,654) (25,442,277) (474,629,870) (299,729,341) 244,606,321 594,284,197 2,005,397 (30,582,115) 2,052,205 (79,035,760) (415,053) (78,850,021) (410,673) 260,152 (1,136,943) (526,937) – (12,789) (1,428,454) (23,746) (238,137) (62,135) 13,343,694 – – – – – 72,773 – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – (145,005) – (105,170) – – (314,208) – – – – – (6,238) – – – (1,565) (1,921,351) – – – – – (34,758) – (84,316) – – – (410,904) (1,585,440) (1,176,626) (635,307) 4,069,024 (14,083) (1,419,757) 42,448 (235,605) (84,197) (9,593,580) – – – – – – – – – – (111)

(37,584,555) (313,826,621) (235,995,468) 274,233,121 2,923,142,510 1,423,573 (30,774,603) 2,410,982 (85,692,347) (858,812) (82,710,231)

52,060,765 889,007,301 2,082,341,093 1,842,196,097 14,501,421,015 70,421,820 267,970,462 21,545,684 112,025,238 2,607,840 581,991,950 (43,577,592) (1,493,245,430) (1,260,311,331) (698,385,243) (16,725,273,919) (9,549) (272,750,347) (3,706,454) (128,333,235) (1,824,332) (261,005,488) – (1,762,404) 637,305 1,825,865 301,081 348 (114,071) 116,610 (22,433) 1,305 520,164

8,483,173 (606,000,533) 822,667,067 1,145,636,719 (2,223,551,823) 70,412,619 (4,893,956) 17,955,840 (16,330,430) 784,813 321,506,626

– (115,882,857) (55,965,980) (4,948,346) (57,763,034) – (2,783,590) (804,513) (110,216) (19,787) (20,171,600)

8,483,173 (721,883,390) 766,701,087 1,140,688,373 (2,281,314,857) 70,412,619 (7,677,546) 17,151,327 (16,440,646) 765,026 301,335,026

78,159,979 4,095,585,640 4,162,032,102 3,269,181,097 25,972,229,166 71,836,192 242,815,867 51,249,348 176,206,434 9,055,907 1,716,847,481

(39.16)% 45.15% 23.17% 27.48% 198.66% 8.49% 151.29% 20.49% 6.97% (23.26)% 33.83%


* This Fund was launched on September 15, 2014



TOTAL INCOME


TOTAL EXPENSES


NET EXPENSES














Franklin Japan Fund

Franklin K2 Alternative Strategies

Fund*

Franklin MENA Fund

Franklin Multi-Asset

Income Fund

Franklin Natural

Resources Fund

Franklin Real

Return Fund

Franklin Strategic Income

Fund(JPY) (USD) (USD) (EUR) (USD) (USD) (USD)

107,261,361 5,131,295,651 3,631,326,483 1,854,259,603 25,330,401,513 – 281,268,016 31,687,039 278,339,427 9,149,693 1,498,222,686 – – – – – – – – – – –

107,261,361 5,131,295,651 3,631,326,483 1,854,259,603 25,330,401,513 – 281,268,016 31,687,039 278,339,427 9,149,693 1,498,222,686

249,894 234,406 36,640,689 13,847,419 163,035,387 35,303 4,095,855 366,313 1,438,258 18,808 903,557 126 153,797,462 53,645,490 – – 71,567 – 113,812 44,741 29,313 28,170,837 – 83 40 14,862 – 977 1,442 – – – 2,764 – – – – – – – – – – – – – – – – 970 – – – 6,728 1,839,146 731 859,738 69,015 – – 86 1,729 – – 463 150,655

250,751 154,891,689 90,355,234 13,862,281 163,035,387 108,903 4,099,026 480,125 1,482,999 55,312 31,066,959

475,847 18,612,316 17,137,531 10,258,034 111,949,300 304,841 2,390,647 97,245 1,074,407 35,801 5,878,378 135,413 5,751,826 4,785,497 2,842,423 31,871,362 36,001 426,890 43,315 288,494 12,477 1,929,500 152 7,397 5,906 3,279 39,243 32 501 53 370 14 2,361 23,864 1,142,703 933,600 300,327 3,916,197 2,369 78,003 3,033 52,288 2,315 340,013 5,667 78,528 53,198 801,162 1,502,627 15,194 346,097 1,523 4,575 282 81,276 8,862 12,146 10,992 10,101 696,173 28,048 8,022 5,237 8,313 6,059 10,230 3,315 166,623 133,923 76,243 883,540 860 11,668 1,239 8,222 321 53,608 – 3,356 9,007 2,402 – 540 3,229 71 – – 11,807 – – – – – – – 258,951 – – – 180,231 6,803,495 6,598,340 2,007,013 23,798,736 9,161 559,348 26,787 348,550 20,462 2,126,850 – – – – – – – – – – – – 5,910,955 2,273,660 175,619 – – 70,964 – 47,246 – 277,905 – 401,620 2,174,278 47,665 1,498,184 – – – 45,067 – 1,053,192 138,521 977,764 2,651,694 837,374 22,686,089 18,762 304,716 35,971 163,238 6,810 1,348,258 11,838 594,308 480,181 274,442 3,542,142 6,855 42,230 4,476 29,863 1,153 193,791

983,710 40,463,037 37,247,807 17,636,084 202,383,593 422,663 4,242,315 477,901 2,070,633 85,694 13,307,169

– (1,365) (74) (18,833) (90) (61,947) (3,532) – (1,105) (17,838) (1,173,481)

983,710 40,461,672 37,247,733 17,617,251 202,383,503 360,716 4,238,783 477,901 2,069,528 67,856 12,133,688

(732,959) 114,430,017 53,107,501 (3,754,970) (39,348,116) (251,813) (139,757) 2,224 (586,529) (12,544) 18,933,271 (8,765,538) 56,426,599 17,148,170 37,751,635 2,364,767,861 (126,623) 8,485,184 479,896 (4,443,475) 3,839 5,802,429 (1,801,626) (8,645,424) (3,651,475) (1,458,153) – (166,162) (4,991,786) 13,431 (1,135,297) (283,396) (29,539,646) – – – – – 191,835 – – – – – – – – – – – – – – – – – – – – – 88,839 – – – – (1,041,988) – – – – – – – – – – 1,060,571 – – 61,433 – – (187,310) – – – – – (20,578) (82,655) (618,187) (1,749,468) (630,456) 9,510 (697,918) 34,010 (17,544) (3,761) (589,291) (11,320,701) 162,128,537 66,047,442 30,789,044 2,324,789,289 (441,724) 2,655,723 529,561 (6,182,845) (295,862) (5,374,654) (25,442,277) (474,629,870) (299,729,341) 244,606,321 594,284,197 2,005,397 (30,582,115) 2,052,205 (79,035,760) (415,053) (78,850,021) (410,673) 260,152 (1,136,943) (526,937) – (12,789) (1,428,454) (23,746) (238,137) (62,135) 13,343,694 – – – – – 72,773 – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – (145,005) – (105,170) – – (314,208) – – – – – (6,238) – – – (1,565) (1,921,351) – – – – – (34,758) – (84,316) – – – (410,904) (1,585,440) (1,176,626) (635,307) 4,069,024 (14,083) (1,419,757) 42,448 (235,605) (84,197) (9,593,580) – – – – – – – – – – (111)

(37,584,555) (313,826,621) (235,995,468) 274,233,121 2,923,142,510 1,423,573 (30,774,603) 2,410,982 (85,692,347) (858,812) (82,710,231)

52,060,765 889,007,301 2,082,341,093 1,842,196,097 14,501,421,015 70,421,820 267,970,462 21,545,684 112,025,238 2,607,840 581,991,950 (43,577,592) (1,493,245,430) (1,260,311,331) (698,385,243) (16,725,273,919) (9,549) (272,750,347) (3,706,454) (128,333,235) (1,824,332) (261,005,488) – (1,762,404) 637,305 1,825,865 301,081 348 (114,071) 116,610 (22,433) 1,305 520,164

8,483,173 (606,000,533) 822,667,067 1,145,636,719 (2,223,551,823) 70,412,619 (4,893,956) 17,955,840 (16,330,430) 784,813 321,506,626

– (115,882,857) (55,965,980) (4,948,346) (57,763,034) – (2,783,590) (804,513) (110,216) (19,787) (20,171,600)

8,483,173 (721,883,390) 766,701,087 1,140,688,373 (2,281,314,857) 70,412,619 (7,677,546) 17,151,327 (16,440,646) 765,026 301,335,026

78,159,979 4,095,585,640 4,162,032,102 3,269,181,097 25,972,229,166 71,836,192 242,815,867 51,249,348 176,206,434 9,055,907 1,716,847,481

(39.16)% 45.15% 23.17% 27.48% 198.66% 8.49% 151.29% 20.49% 6.97% (23.26)% 33.83%





Franklin Technology

Fund

Franklin U.S. Dollar

Liquid Reserve Fund

Franklin U.S.

Equity Fund

Franklin U.S.

Focus Fund



820,948,763 281,128,075 576,592,202 39,526,375 905,721,951 1,652,992,798 4,670,970,838 271,387,103 136,124,085 345,122,633 1,169,070,336 – – – – – – – – – – –

820,948,763 281,128,075 576,592,202 39,526,375 905,721,951 1,652,992,798 4,670,970,838 271,387,103 136,124,085 345,122,633 1,169,070,336

2,108,056 – 3,346,051 181,148 – – 11,233,611 459,620 6,580 2,423,054 8,268,863 927 115,250 900 75 16,365,112 14,322,836 853 171 1,821,304 16 1,769,804 – – – 173 – 136 378 – 165 2,909 – – – – – – – – – – – 2,547 – – – – – – – – – – – 11,410 – 24,710 – – – 1,278 5,903 2,738 154 269,209

2,120,393 115,250 3,371,661 181,396 16,365,112 14,322,972 11,236,120 465,694 1,830,787 2,426,133 10,310,423

3,838,834 511,232 2,952,335 171,117 2,996,657 5,295,019 20,425,859 1,227,207 525,921 1,619,695 5,425,261 945,996 224,116 717,189 43,501 1,150,552 1,836,765 5,037,864 309,855 171,837 453,787 1,372,225 1,199 494 882 56 1,416 2,493 6,723 388 210 543 1,767 176,784 16,825 135,581 9,013 192,156 395,548 912,540 59,313 31,356 56,026 225,157 9,017 3,702 7,724 656 10,822 39,565 61,318 4,133 3,148 25,619 24,059 7,578 6,774 8,167 6,796 9,697 7,517 15,505 6,283 6,221 6,791 9,853 27,224 11,139 20,014 1,248 32,297 56,361 151,879 8,753 4,768 12,316 39,977 6,667 1,068 – – 28 1,633 13,291 – – – – – – – – – 1,205,287 – – 29,963 – – 1,375,454 138,173 1,002,182 56,396 848,385 2,135,696 6,424,894 420,693 124,437 359,775 1,559,833 – – – – 217,633 115,135 – – – – – 148,217 54,647 79,249 – 229,346 17,524 349,557 65,113 – – 101,080 107,150 39,265 249,404 – 191,639 152,631 827,107 137,373 70,981 – 234,404 534,616 237,744 616,676 42,803 377,618 327,040 2,737,737 171,244 174,419 352,420 949,138 100,446 40,049 71,564 4,449 117,392 214,337 542,616 31,165 17,045 44,327 142,949

7,279,182 1,285,228 5,860,967 336,035 6,375,638 11,802,551 37,506,890 2,441,520 1,160,306 2,931,299 10,085,703

(2,342) (557,120) – – (60,000) (822,735) (23,583) – (119,032) (14) –

7,276,840 728,108 5,860,967 336,035 6,315,638 10,979,816 37,483,307 2,441,520 1,041,274 2,931,285 10,085,703

(5,156,447) (612,858) (2,489,306) (154,639) 10,049,474 3,343,156 (26,247,187) (1,975,826) 789,513 (505,152) 224,720 35,672,325 (467) 65,262,398 1,953,500 1,844,117 (416,996) 149,688,658 13,071,711 986,293 12,243,617 11,545,797 – – (1,234,609) (1,999,674) (4,046,561) (4,919,316) (23,132,041) – (29,155) 2,100,668 (765,373) – – – – – (1,466,419) – – (254,037) – 2,011,567 – – – – – – – – – – – – – – – – (180,368) – – – – – – – – – – 1,117,050 – – 10,038 – – – – – – – (55,486) – – (66,773) – – (32,314) – (2,037) (3,843) 1,220 (1,446,730) (2,626) (1,730) (46,147) (247,961) (125,070) 30,483,564 (613,325) 61,536,446 (204,656) 7,848,250 (4,025,109) 100,306,804 11,094,155 1,389,732 13,591,172 12,891,641 19,496,559 (25,249) (36,781,025) (405,679) (335,709) (22,078,371) 35,589,926 (8,918,282) (2,526,070) (22,679,426) (24,617,653) – – (354,087) (577,267) (710,327) 21,679,616 (6,399,480) – 2,740,340 101,605 6,089,872 – – – – – (510,029) – – 58,976 – 771,028 – – – – – – – – – – – – – – – – – – – – – – – – – – – (11,867) – – – – – – – – – – 286,768 – – 10,985 – – – – – – – 14,059 – – 973 – – (8,062) – (357,373) (577,294) (710,349) (1,058,894) (6,395,131) – (10,564) (39,175) (2,663,794)

– – – – – – – – – – –

49,972,061 (638,574) 24,043,961 (1,764,896) 6,091,865 (5,703,827) 123,102,119 2,175,873 1,664,372 (9,025,824) (7,528,906)

372,647,860 483,167,113 157,582,715 24,089,449 513,947,095 160,523,981 1,023,235,153 66,249,948 51,412,636 149,058,250 274,020,334 (332,957,793) (413,108,528) (103,303,549) (25,180,084) (250,215,360) (147,877,560) (1,316,212,199) (86,907,677) (34,143,766) (97,715,481) (240,473,404) (41) – (320) 711 289,455 9,986 (6,188) – 7,597 5,165 (53,149)

39,690,026 70,058,585 54,278,846 (1,089,924) 264,021,190 12,656,407 (292,983,234) (20,657,729) 17,276,467 51,347,934 33,493,781

– – (205,497) (2,789) (10,176,848) (3,840,605) (81,767) – (856,074) (949,210) (5,202,336)

39,690,026 70,058,585 54,073,349 (1,092,713) 253,844,342 8,815,802 (293,065,001) (20,657,729) 16,420,393 50,398,724 28,291,445

910,610,850 350,548,086 654,709,512 36,668,766 1,165,658,158 1,656,104,773 4,501,007,956 252,905,247 154,208,850 386,495,533 1,189,832,875

(5.19)% N/A 131.11% (11.53)% 16.46% 55.27% 57.75% 60.47% 482.45% 136.56% 8.93%



TOTAL INCOME


TOTAL EXPENSES


NET EXPENSES














Franklin U.S.

Government Fund

Franklin U.S. Low Duration

Fund

Franklin U.S.

Opportunities Fund

Franklin U.S. Small-Mid

Cap Growth Fund

Franklin U.S. Total

Return Fund

Franklin World

Perspectives Fund

Franklin Mutual Beacon

Fund(USD) (USD) (USD) (USD) (USD) (USD) (USD)


820,948,763 281,128,075 576,592,202 39,526,375 905,721,951 1,652,992,798 4,670,970,838 271,387,103 136,124,085 345,122,633 1,169,070,336 – – – – – – – – – – –

820,948,763 281,128,075 576,592,202 39,526,375 905,721,951 1,652,992,798 4,670,970,838 271,387,103 136,124,085 345,122,633 1,169,070,336

2,108,056 – 3,346,051 181,148 – – 11,233,611 459,620 6,580 2,423,054 8,268,863 927 115,250 900 75 16,365,112 14,322,836 853 171 1,821,304 16 1,769,804 – – – 173 – 136 378 – 165 2,909 – – – – – – – – – – – 2,547 – – – – – – – – – – – 11,410 – 24,710 – – – 1,278 5,903 2,738 154 269,209

2,120,393 115,250 3,371,661 181,396 16,365,112 14,322,972 11,236,120 465,694 1,830,787 2,426,133 10,310,423

3,838,834 511,232 2,952,335 171,117 2,996,657 5,295,019 20,425,859 1,227,207 525,921 1,619,695 5,425,261 945,996 224,116 717,189 43,501 1,150,552 1,836,765 5,037,864 309,855 171,837 453,787 1,372,225 1,199 494 882 56 1,416 2,493 6,723 388 210 543 1,767 176,784 16,825 135,581 9,013 192,156 395,548 912,540 59,313 31,356 56,026 225,157 9,017 3,702 7,724 656 10,822 39,565 61,318 4,133 3,148 25,619 24,059 7,578 6,774 8,167 6,796 9,697 7,517 15,505 6,283 6,221 6,791 9,853 27,224 11,139 20,014 1,248 32,297 56,361 151,879 8,753 4,768 12,316 39,977 6,667 1,068 – – 28 1,633 13,291 – – – – – – – – – 1,205,287 – – 29,963 – – 1,375,454 138,173 1,002,182 56,396 848,385 2,135,696 6,424,894 420,693 124,437 359,775 1,559,833 – – – – 217,633 115,135 – – – – – 148,217 54,647 79,249 – 229,346 17,524 349,557 65,113 – – 101,080 107,150 39,265 249,404 – 191,639 152,631 827,107 137,373 70,981 – 234,404 534,616 237,744 616,676 42,803 377,618 327,040 2,737,737 171,244 174,419 352,420 949,138 100,446 40,049 71,564 4,449 117,392 214,337 542,616 31,165 17,045 44,327 142,949

7,279,182 1,285,228 5,860,967 336,035 6,375,638 11,802,551 37,506,890 2,441,520 1,160,306 2,931,299 10,085,703

(2,342) (557,120) – – (60,000) (822,735) (23,583) – (119,032) (14) –

7,276,840 728,108 5,860,967 336,035 6,315,638 10,979,816 37,483,307 2,441,520 1,041,274 2,931,285 10,085,703

(5,156,447) (612,858) (2,489,306) (154,639) 10,049,474 3,343,156 (26,247,187) (1,975,826) 789,513 (505,152) 224,720 35,672,325 (467) 65,262,398 1,953,500 1,844,117 (416,996) 149,688,658 13,071,711 986,293 12,243,617 11,545,797 – – (1,234,609) (1,999,674) (4,046,561) (4,919,316) (23,132,041) – (29,155) 2,100,668 (765,373) – – – – – (1,466,419) – – (254,037) – 2,011,567 – – – – – – – – – – – – – – – – (180,368) – – – – – – – – – – 1,117,050 – – 10,038 – – – – – – – (55,486) – – (66,773) – – (32,314) – (2,037) (3,843) 1,220 (1,446,730) (2,626) (1,730) (46,147) (247,961) (125,070) 30,483,564 (613,325) 61,536,446 (204,656) 7,848,250 (4,025,109) 100,306,804 11,094,155 1,389,732 13,591,172 12,891,641 19,496,559 (25,249) (36,781,025) (405,679) (335,709) (22,078,371) 35,589,926 (8,918,282) (2,526,070) (22,679,426) (24,617,653) – – (354,087) (577,267) (710,327) 21,679,616 (6,399,480) – 2,740,340 101,605 6,089,872 – – – – – (510,029) – – 58,976 – 771,028 – – – – – – – – – – – – – – – – – – – – – – – – – – – (11,867) – – – – – – – – – – 286,768 – – 10,985 – – – – – – – 14,059 – – 973 – – (8,062) – (357,373) (577,294) (710,349) (1,058,894) (6,395,131) – (10,564) (39,175) (2,663,794)

– – – – – – – – – – –

49,972,061 (638,574) 24,043,961 (1,764,896) 6,091,865 (5,703,827) 123,102,119 2,175,873 1,664,372 (9,025,824) (7,528,906)

372,647,860 483,167,113 157,582,715 24,089,449 513,947,095 160,523,981 1,023,235,153 66,249,948 51,412,636 149,058,250 274,020,334 (332,957,793) (413,108,528) (103,303,549) (25,180,084) (250,215,360) (147,877,560) (1,316,212,199) (86,907,677) (34,143,766) (97,715,481) (240,473,404) (41) – (320) 711 289,455 9,986 (6,188) – 7,597 5,165 (53,149)

39,690,026 70,058,585 54,278,846 (1,089,924) 264,021,190 12,656,407 (292,983,234) (20,657,729) 17,276,467 51,347,934 33,493,781

– – (205,497) (2,789) (10,176,848) (3,840,605) (81,767) – (856,074) (949,210) (5,202,336)

39,690,026 70,058,585 54,073,349 (1,092,713) 253,844,342 8,815,802 (293,065,001) (20,657,729) 16,420,393 50,398,724 28,291,445

910,610,850 350,548,086 654,709,512 36,668,766 1,165,658,158 1,656,104,773 4,501,007,956 252,905,247 154,208,850 386,495,533 1,189,832,875

(5.19)% N/A 131.11% (11.53)% 16.46% 55.27% 57.75% 60.47% 482.45% 136.56% 8.93%




Franklin Mutual

Euroland Fund

Franklin Mutual

European Fund

Franklin Mutual Global

Discovery Fund


(EUR) (EUR) (USD) (USD)

The accompanying notes form an integral part of these financial statements* This Fund was launched on November 17, 2014

22,865,158 3,757,379,912 1,934,098,366 139,593,248 – 2,032,463,169 5,659,011 12,681,269,302 973,932,482 1,214,667,740 937,254,225 – – – – – – – – – – –

22,865,158 3,757,379,912 1,934,098,366 139,593,248 – 2,032,463,169 5,659,011 12,681,269,302 973,932,482 1,214,667,740 937,254,225

37,910 28,052,973 16,187,978 1,985,401 6,471 – 137,339 161,834,213 11,812,949 18,602,900 11,176,438 5,100 357,545 2,280,593 – – 45,224,166 – – – – – – – – 2,393 – 28,131 – 185,947 20,961 6,315 2,120 95 38,958 – – – – – – – – – – – – – – – – – – – – 186 974,459 36,067 – – – – – – – –

43,291 29,423,935 18,504,638 1,987,794 6,471 45,252,297 137,339 162,020,160 11,833,910 18,609,215 11,178,558

79,346 15,432,962 7,970,924 1,057,536 8,088 7,140,273 35,188 77,557,008 6,655,243 9,283,254 7,392,680 19,075 3,842,631 2,005,043 210,609 1,324 2,275,818 7,291 15,091,044 1,356,698 1,473,920 1,131,141 27 5,396 2,713 214 – 3,071 – 19,717 1,588 1,802 1,454 4,680 692,167 373,568 29,793 – 427,238 721 2,285,870 185,965 292,243 218,020 1,551 180,024 143,437 96,145 431 310,275 904 2,873,625 224,394 109,024 72,501 3,668 9,072 11,022 8,180 2,208 13,946 7,447 22,571 7,758 9,957 8,412 607 121,190 61,089 4,825 38 69,466 210 443,808 36,431 40,534 32,824 – – – – – 4,295 – 53,394 1,163 – 6,773 – – – – – 3,861,066 – – – – – 20,217 4,868,471 2,458,550 215,586 2,996 2,007,231 5,142 18,473,244 1,613,451 2,569,409 1,962,974 – – – – – – – – – – – – 267,738 111,522 – – 132,077 – 619,638 87,331 188,945 131,314 – 236,980 404,742 – – 244,949 – 496,026 – 121,945 74,154 48,639 1,931,325 1,427,723 109,299 – 523,700 1,789 3,303,225 131,457 416,049 260,803 2,204 431,441 217,668 20,516 146 248,208 768 1,602,671 130,718 360,148 117,258

180,014 28,019,397 15,188,001 1,752,703 15,231 17,261,613 59,460 122,841,841 10,432,197 14,867,230 11,410,308

– (5,472) (42) (154,114) (2,050) (1,470) (4,180) (4,787) (5,818) (23) (831)

180,014 28,013,925 15,187,959 1,598,589 13,181 17,260,143 55,280 122,837,054 10,426,379 14,867,207 11,409,477

(136,723) 1,410,010 3,316,679 389,205 (6,710) 27,992,154 82,059 39,183,106 1,407,531 3,742,008 (230,919) 431,245 79,064,892 16,879,492 (1,424,981) 310 7,161,437 77,839 68,628,289 14,448,216 33,497,070 2,768,210 – 120,410 (16,726,757) (4,404,205) – (18,153,609) (49,107) (73,385,407) – (2,630,037) – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – (2,703) 7,224,179 (2,879,498) (157,096) (2,203) (2,324,514) 226 (611,513) (14,677) (218,046) (14,908) 291,819 87,819,491 589,916 (5,597,077) (8,603) 14,675,468 111,017 33,814,475 15,841,070 34,390,995 2,522,383 (1,802,737) (180,046,103) (131,973,880) (14,927,424) (18,420) (67,924,993) 36,181 (604,148,412) (11,115,404) (145,763,267) 8,766,792 – 312,993 (3,554,253) (669,726) – (5,128,295) (5,641) (22,669,067) – (472,161) – – – – – – – – – – – – – – – – – (7,100,804) – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – 1,062 2,263,576 (4,502,291) (664,180) – (8,713,254) (5,412) (22,650,814) (37,710) (471,501) 2,183

– – – – – (6,523) – – – – –

(1,509,856) (89,650,043) (139,440,508) (21,858,407) (27,023) (74,198,401) 136,145 (615,653,818) 4,687,956 (112,315,934) 11,291,358

2,941,108 582,733,284 314,416,208 54,344,862 5,000,000 401,102,583 2,317,899 2,820,011,966 717,832,578 114,639,592 248,524,043 (11,122,100) (1,092,542,025) (532,769,558) (38,950,907) – (430,499,044) (329,799) (2,633,725,564) (435,142,371) (210,538,652) (270,826,236) (999) (234,196) (211,697) 34,338 – 34,443 29,912 (1,886,862) 1,058,667 (301,753) (97,173)

(8,181,991) (510,042,937) (218,565,047) 15,428,293 5,000,000 (29,362,018) 2,018,012 184,399,540 283,748,874 (96,200,813) (22,399,366)

(117,549) (39,747,270) (12,762,417) (2,081,820) – (29,233,471) (216,493) (76,393,806) (7,785,280) (5,084,399) (1,420,866)

(8,299,540) (549,790,207) (231,327,464) 13,346,473 5,000,000 (58,595,489) 1,801,519 108,005,734 275,963,594 (101,285,212) (23,820,232)

13,055,762 3,117,939,662 1,563,330,394 131,081,314 4,972,977 1,899,669,279 7,596,675 12,173,621,218 1,254,584,032 1,001,066,594 924,725,351

1.43% 50.43% 8.02% 4.14% (6.87)% 11.57% 80.60% (14.07)% (42.65)% 56.02% (6.68)%



TOTAL INCOME


TOTAL EXPENSES


NET EXPENSES














Templeton ASEAN Fund*


Templeton Asian

Dividend Fund

Templeton Asian

Growth Fund

Templeton Asian Smaller

Companies Fund

Templeton BRIC Fund

Templeton China Fund



22,865,158 3,757,379,912 1,934,098,366 139,593,248 – 2,032,463,169 5,659,011 12,681,269,302 973,932,482 1,214,667,740 937,254,225 – – – – – – – – – – –

22,865,158 3,757,379,912 1,934,098,366 139,593,248 – 2,032,463,169 5,659,011 12,681,269,302 973,932,482 1,214,667,740 937,254,225

37,910 28,052,973 16,187,978 1,985,401 6,471 – 137,339 161,834,213 11,812,949 18,602,900 11,176,438 5,100 357,545 2,280,593 – – 45,224,166 – – – – – – – – 2,393 – 28,131 – 185,947 20,961 6,315 2,120 95 38,958 – – – – – – – – – – – – – – – – – – – – 186 974,459 36,067 – – – – – – – –

43,291 29,423,935 18,504,638 1,987,794 6,471 45,252,297 137,339 162,020,160 11,833,910 18,609,215 11,178,558

79,346 15,432,962 7,970,924 1,057,536 8,088 7,140,273 35,188 77,557,008 6,655,243 9,283,254 7,392,680 19,075 3,842,631 2,005,043 210,609 1,324 2,275,818 7,291 15,091,044 1,356,698 1,473,920 1,131,141 27 5,396 2,713 214 – 3,071 – 19,717 1,588 1,802 1,454 4,680 692,167 373,568 29,793 – 427,238 721 2,285,870 185,965 292,243 218,020 1,551 180,024 143,437 96,145 431 310,275 904 2,873,625 224,394 109,024 72,501 3,668 9,072 11,022 8,180 2,208 13,946 7,447 22,571 7,758 9,957 8,412 607 121,190 61,089 4,825 38 69,466 210 443,808 36,431 40,534 32,824 – – – – – 4,295 – 53,394 1,163 – 6,773 – – – – – 3,861,066 – – – – – 20,217 4,868,471 2,458,550 215,586 2,996 2,007,231 5,142 18,473,244 1,613,451 2,569,409 1,962,974 – – – – – – – – – – – – 267,738 111,522 – – 132,077 – 619,638 87,331 188,945 131,314 – 236,980 404,742 – – 244,949 – 496,026 – 121,945 74,154 48,639 1,931,325 1,427,723 109,299 – 523,700 1,789 3,303,225 131,457 416,049 260,803 2,204 431,441 217,668 20,516 146 248,208 768 1,602,671 130,718 360,148 117,258

180,014 28,019,397 15,188,001 1,752,703 15,231 17,261,613 59,460 122,841,841 10,432,197 14,867,230 11,410,308

– (5,472) (42) (154,114) (2,050) (1,470) (4,180) (4,787) (5,818) (23) (831)

180,014 28,013,925 15,187,959 1,598,589 13,181 17,260,143 55,280 122,837,054 10,426,379 14,867,207 11,409,477

(136,723) 1,410,010 3,316,679 389,205 (6,710) 27,992,154 82,059 39,183,106 1,407,531 3,742,008 (230,919) 431,245 79,064,892 16,879,492 (1,424,981) 310 7,161,437 77,839 68,628,289 14,448,216 33,497,070 2,768,210 – 120,410 (16,726,757) (4,404,205) – (18,153,609) (49,107) (73,385,407) – (2,630,037) – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – (2,703) 7,224,179 (2,879,498) (157,096) (2,203) (2,324,514) 226 (611,513) (14,677) (218,046) (14,908) 291,819 87,819,491 589,916 (5,597,077) (8,603) 14,675,468 111,017 33,814,475 15,841,070 34,390,995 2,522,383 (1,802,737) (180,046,103) (131,973,880) (14,927,424) (18,420) (67,924,993) 36,181 (604,148,412) (11,115,404) (145,763,267) 8,766,792 – 312,993 (3,554,253) (669,726) – (5,128,295) (5,641) (22,669,067) – (472,161) – – – – – – – – – – – – – – – – – (7,100,804) – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – 1,062 2,263,576 (4,502,291) (664,180) – (8,713,254) (5,412) (22,650,814) (37,710) (471,501) 2,183

– – – – – (6,523) – – – – –

(1,509,856) (89,650,043) (139,440,508) (21,858,407) (27,023) (74,198,401) 136,145 (615,653,818) 4,687,956 (112,315,934) 11,291,358

2,941,108 582,733,284 314,416,208 54,344,862 5,000,000 401,102,583 2,317,899 2,820,011,966 717,832,578 114,639,592 248,524,043 (11,122,100) (1,092,542,025) (532,769,558) (38,950,907) – (430,499,044) (329,799) (2,633,725,564) (435,142,371) (210,538,652) (270,826,236) (999) (234,196) (211,697) 34,338 – 34,443 29,912 (1,886,862) 1,058,667 (301,753) (97,173)

(8,181,991) (510,042,937) (218,565,047) 15,428,293 5,000,000 (29,362,018) 2,018,012 184,399,540 283,748,874 (96,200,813) (22,399,366)

(117,549) (39,747,270) (12,762,417) (2,081,820) – (29,233,471) (216,493) (76,393,806) (7,785,280) (5,084,399) (1,420,866)

(8,299,540) (549,790,207) (231,327,464) 13,346,473 5,000,000 (58,595,489) 1,801,519 108,005,734 275,963,594 (101,285,212) (23,820,232)

13,055,762 3,117,939,662 1,563,330,394 131,081,314 4,972,977 1,899,669,279 7,596,675 12,173,621,218 1,254,584,032 1,001,066,594 924,725,351

1.43% 50.43% 8.02% 4.14% (6.87)% 11.57% 80.60% (14.07)% (42.65)% 56.02% (6.68)%




Templeton Constrained

Bond Fund

Templeton Eastern Europe

Fund

Templeton Emerging

Markets Fund


Balanced Fund

(USD) (EUR) (USD) (USD)


10,458,979 361,133,716 885,777,690 78,614,839 6,868,866,048 293,683,078 240,379,702 450,386,721 2,020,766,694 1,845,441,863 705,373,636 – – – – – – – – – – –

10,458,979 361,133,716 885,777,690 78,614,839 6,868,866,048 293,683,078 240,379,702 450,386,721 2,020,766,694 1,845,441,863 705,373,636

– 3,074,174 8,497,680 610,497 – 3,209,992 857,676 2,102,578 13,280,674 10,864,923 4,716,234 108,873 – – 1,187,510 271,900,707 895 – – – – – – – 14,220 – 2,499 – – – 22,287 8,264 – – – – – – – 6,406 3,858 – 20,395 9,955 – – – – – – – – – – – – 167,686 – 411 542,003 – 1,262,377 140,005 – 385,437 222,358

108,873 3,241,860 8,511,900 1,798,418 272,445,209 3,210,887 2,126,459 2,246,441 13,302,961 11,279,019 4,948,547

23,253 2,493,158 6,652,269 505,482 30,732,872 2,494,689 939,226 1,761,809 13,772,701 8,048,465 3,512,338 11,765 449,729 1,071,467 117,940 7,966,692 398,852 240,934 417,965 2,294,795 1,948,553 854,376 15 522 1,317 120 10,380 470 328 589 3,055 2,612 1,076 614 79,151 202,527 18,679 1,257,845 72,228 45,267 96,665 356,088 388,355 173,212 1,016 149,243 76,568 24,363 2,136,193 108,265 13,880 22,856 1,595,640 108,612 27,417 7,099 6,128 9,586 11,527 19,127 8,239 4,961 5,270 10,227 8,435 5,537 366 11,723 29,578 2,700 233,767 10,649 7,316 13,289 68,948 58,678 24,245 401 – 854 – 21,984 2,062 – – 25,466 1,484 – 5,198 – – 10,360 4,328,448 – – – – – – 733 668,751 1,682,507 135,665 9,126,173 589,410 316,822 817,055 2,204,067 3,399,799 1,697,911 – – – – – – – – – – – – 69,526 114,274 1,387 4,938,263 – 39,301 – 10,220 193,982 3,688 – 4,973 178,926 14,868 285,236 48,974 – – 32,235 102,769 – 2,033 67,164 327,507 72,136 1,175,295 167,546 191,336 67,426 1,250,486 307,262 53,655 1,311 105,959 216,783 17,480 835,726 38,178 30,290 52,377 310,730 257,106 90,371

53,804 4,106,027 10,564,163 932,707 63,068,001 3,939,562 1,829,661 3,255,301 21,934,658 14,826,112 6,443,826

(7,534) (10,434) (2,228) (64,645) (23,348) – – – (9,491) (104) –

46,270 4,095,593 10,561,935 868,062 63,044,653 3,939,562 1,829,661 3,255,301 21,925,167 14,826,008 6,443,826

62,603 (853,733) (2,050,035) 930,356 209,400,556 (728,675) 296,798 (1,008,860) (8,622,206) (3,546,989) (1,495,279) (149,207) (21,897,452) 6,421,395 (1,288,893) (36,693,461) 862,246 4,999,290 8,040,438 66,651,669 67,515,160 25,228,787 172,204 – (590,053) (1,887,453) (69,422,822) – – – (26,735,703) – (541,876) – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – (52,779) 409 (20,266) (41,114) (16,043,728) (1,651) (28,875) (63,483) (918,368) (735,126) 22,689 32,821 (22,750,776) 3,761,041 (2,287,104) 87,240,545 131,920 5,267,213 6,968,095 30,375,392 63,233,045 23,214,321 (852,612) (45,965,075) (72,871,044) (6,007,434) (750,399,707) 7,408,744 (19,374,514) (33,306,688) (213,506,215) (196,235,142) 12,460,263 721,787 – (209,547) (471,643) 101,874,276 – – – (9,202,968) – (115,013) – – – – – – – – – – – (19,919) – – (23,567) 1,012,866 – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – (5,315) (19,132) (193,990) (490,798) (22,641,755) 7,227 (2,794) (17,005) (9,195,534) (161,517) (142,514)

– – – – (5,037) – – – – – –

(123,238) (68,734,983) (69,513,540) (9,280,546) (582,918,812) 7,547,891 (14,110,095) (26,355,598) (201,529,325) (133,163,614) 35,417,057

1,850,763 58,074,954 88,549,198 21,141,372 1,697,034,885 156,604,577 35,287,259 63,314,368 402,018,873 286,671,651 27,195,088 (102,487) (82,450,387) (148,178,392) (16,970,015) (1,680,439,379) (107,958,257) (87,114,984) (177,100,376) (578,800,460) (400,980,506) (51,553,070) 321 (22,823) (67,579) (1,651) (438,343) 70,776 (38,234) (26,103) 10,556 2,610 (9,329)

1,748,597 (24,398,256) (59,696,773) 4,169,706 16,157,163 48,717,096 (51,865,959) (113,812,111) (176,771,031) (114,306,245) (24,367,311)

(55,097) (775,462) (2,694,858) (2,051,164) (207,551,233) (1,296,446) (4,548,366) (5,161,496) (28,830,341) (9,944,579) (2,999,380)

1,693,500 (25,173,718) (62,391,631) 2,118,542 (191,394,070) 47,420,650 (56,414,325) (118,973,607) (205,601,372) (124,250,824) (27,366,691)

12,029,241 267,225,015 753,872,519 71,452,835 6,094,553,166 348,651,619 169,855,282 305,057,516 1,613,635,997 1,588,027,425 713,424,002

54.60% 52.21% 146.37% 70.54% 5.60% (22.18)% 4.89% 9.28% 47.36% 16.79% 17.62%



TOTAL INCOME


TOTAL EXPENSES


NET EXPENSES














Templeton Emerging

Markets Bond Fund


Smaller Companies Fund

Templeton Euroland

Fund

Templeton European

Fund

Templeton Frontier Markets

Fund

Templeton Global Fund


(USD) (USD) (EUR) (EUR) (USD) (USD) (EUR)


10,458,979 361,133,716 885,777,690 78,614,839 6,868,866,048 293,683,078 240,379,702 450,386,721 2,020,766,694 1,845,441,863 705,373,636 – – – – – – – – – – –

10,458,979 361,133,716 885,777,690 78,614,839 6,868,866,048 293,683,078 240,379,702 450,386,721 2,020,766,694 1,845,441,863 705,373,636

– 3,074,174 8,497,680 610,497 – 3,209,992 857,676 2,102,578 13,280,674 10,864,923 4,716,234 108,873 – – 1,187,510 271,900,707 895 – – – – – – – 14,220 – 2,499 – – – 22,287 8,264 – – – – – – – 6,406 3,858 – 20,395 9,955 – – – – – – – – – – – – 167,686 – 411 542,003 – 1,262,377 140,005 – 385,437 222,358

108,873 3,241,860 8,511,900 1,798,418 272,445,209 3,210,887 2,126,459 2,246,441 13,302,961 11,279,019 4,948,547

23,253 2,493,158 6,652,269 505,482 30,732,872 2,494,689 939,226 1,761,809 13,772,701 8,048,465 3,512,338 11,765 449,729 1,071,467 117,940 7,966,692 398,852 240,934 417,965 2,294,795 1,948,553 854,376 15 522 1,317 120 10,380 470 328 589 3,055 2,612 1,076 614 79,151 202,527 18,679 1,257,845 72,228 45,267 96,665 356,088 388,355 173,212 1,016 149,243 76,568 24,363 2,136,193 108,265 13,880 22,856 1,595,640 108,612 27,417 7,099 6,128 9,586 11,527 19,127 8,239 4,961 5,270 10,227 8,435 5,537 366 11,723 29,578 2,700 233,767 10,649 7,316 13,289 68,948 58,678 24,245 401 – 854 – 21,984 2,062 – – 25,466 1,484 – 5,198 – – 10,360 4,328,448 – – – – – – 733 668,751 1,682,507 135,665 9,126,173 589,410 316,822 817,055 2,204,067 3,399,799 1,697,911 – – – – – – – – – – – – 69,526 114,274 1,387 4,938,263 – 39,301 – 10,220 193,982 3,688 – 4,973 178,926 14,868 285,236 48,974 – – 32,235 102,769 – 2,033 67,164 327,507 72,136 1,175,295 167,546 191,336 67,426 1,250,486 307,262 53,655 1,311 105,959 216,783 17,480 835,726 38,178 30,290 52,377 310,730 257,106 90,371

53,804 4,106,027 10,564,163 932,707 63,068,001 3,939,562 1,829,661 3,255,301 21,934,658 14,826,112 6,443,826

(7,534) (10,434) (2,228) (64,645) (23,348) – – – (9,491) (104) –

46,270 4,095,593 10,561,935 868,062 63,044,653 3,939,562 1,829,661 3,255,301 21,925,167 14,826,008 6,443,826

62,603 (853,733) (2,050,035) 930,356 209,400,556 (728,675) 296,798 (1,008,860) (8,622,206) (3,546,989) (1,495,279) (149,207) (21,897,452) 6,421,395 (1,288,893) (36,693,461) 862,246 4,999,290 8,040,438 66,651,669 67,515,160 25,228,787 172,204 – (590,053) (1,887,453) (69,422,822) – – – (26,735,703) – (541,876) – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – (52,779) 409 (20,266) (41,114) (16,043,728) (1,651) (28,875) (63,483) (918,368) (735,126) 22,689 32,821 (22,750,776) 3,761,041 (2,287,104) 87,240,545 131,920 5,267,213 6,968,095 30,375,392 63,233,045 23,214,321 (852,612) (45,965,075) (72,871,044) (6,007,434) (750,399,707) 7,408,744 (19,374,514) (33,306,688) (213,506,215) (196,235,142) 12,460,263 721,787 – (209,547) (471,643) 101,874,276 – – – (9,202,968) – (115,013) – – – – – – – – – – – (19,919) – – (23,567) 1,012,866 – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – (5,315) (19,132) (193,990) (490,798) (22,641,755) 7,227 (2,794) (17,005) (9,195,534) (161,517) (142,514)

– – – – (5,037) – – – – – –

(123,238) (68,734,983) (69,513,540) (9,280,546) (582,918,812) 7,547,891 (14,110,095) (26,355,598) (201,529,325) (133,163,614) 35,417,057

1,850,763 58,074,954 88,549,198 21,141,372 1,697,034,885 156,604,577 35,287,259 63,314,368 402,018,873 286,671,651 27,195,088 (102,487) (82,450,387) (148,178,392) (16,970,015) (1,680,439,379) (107,958,257) (87,114,984) (177,100,376) (578,800,460) (400,980,506) (51,553,070) 321 (22,823) (67,579) (1,651) (438,343) 70,776 (38,234) (26,103) 10,556 2,610 (9,329)

1,748,597 (24,398,256) (59,696,773) 4,169,706 16,157,163 48,717,096 (51,865,959) (113,812,111) (176,771,031) (114,306,245) (24,367,311)

(55,097) (775,462) (2,694,858) (2,051,164) (207,551,233) (1,296,446) (4,548,366) (5,161,496) (28,830,341) (9,944,579) (2,999,380)

1,693,500 (25,173,718) (62,391,631) 2,118,542 (191,394,070) 47,420,650 (56,414,325) (118,973,607) (205,601,372) (124,250,824) (27,366,691)

12,029,241 267,225,015 753,872,519 71,452,835 6,094,553,166 348,651,619 169,855,282 305,057,516 1,613,635,997 1,588,027,425 713,424,002

54.60% 52.21% 146.37% 70.54% 5.60% (22.18)% 4.89% 9.28% 47.36% 16.79% 17.62%




Templeton Global

Balanced Fund


Templeton Global Bond

(Euro) Fund

Templeton Global Equity

Income Fund

(USD) (USD) (EUR) (USD)


1,383,224,749 38,668,873,241 596,924,004 361,798,942 280,179,902 1,784,058,475 164,669,767 35,393,742,664 6,415,979,187 95,072,318 1,869,091,159 196,469,636 – – – – – – – – – – – –

1,383,224,749 38,668,873,241 596,924,004 361,798,942 280,179,902 1,784,058,475 164,669,767 35,393,742,664 6,415,979,187 95,072,318 1,869,091,159 196,469,636

6,755,210 – – 4,761,618 3,860 10,751,130 1,080,629 265,233 58,291,357 13,872 22,172,359 2,479,303 4,341,706 730,407,940 13,730,261 – 8,356,175 16,043,092 – 930,103,436 – – – – 101 21,651 2,288 5,641 831 337 2,228 344,402 10,913 2,299 6,612 1,859 7,483 – – 997 – – – – 49,692 – – – – – – – – – – – – – – – 180,333 6,493,264 86,538 91,589 41,316 37,358 64 3,535,463 752,581 – – –

11,284,833 736,922,855 13,819,087 4,859,845 8,402,182 26,831,917 1,082,921 934,248,534 59,104,543 16,171 22,178,971 2,481,162

5,419,192 137,577,756 2,102,080 1,930,410 1,113,282 8,044,970 763,563 127,056,584 33,596,288 821,800 11,573,397 1,781,146 1,664,642 43,609,627 663,695 452,857 304,962 2,247,455 197,713 39,553,153 8,149,135 143,889 2,121,998 288,301 2,059 58,201 906 577 411 2,845 236 53,147 10,164 161 2,707 336 338,327 8,235,968 124,261 94,263 65,692 431,031 39,099 7,697,885 1,623,642 23,241 402,688 53,078 9,640 5,898,910 108,928 23,484 33,883 239,026 15,854 8,393,377 221,757 11,393 354,387 53,697 8,932 44,602 4,883 7,086 7,691 10,508 6,661 41,747 9,136 6,475 9,373 6,985 46,488 1,314,697 20,402 12,985 9,247 64,317 5,310 1,199,906 229,255 3,689 60,830 7,548 66,994 142,843 – 573 14 5,606 – 98,900 – – 1,196 – – 40,419,234 795,806 – 41,344 349,805 – 63,109,921 – – – – 2,729,607 34,362,260 481,462 899,738 505,812 2,612,298 357,808 31,300,844 16,454,100 209,054 3,580,297 480,821 – 1,605,255 – – – – – – – – – – 426,048 3,228,738 – 236,957 – 363,069 16,618 2,390,646 4,764 – 212,603 65,618 363,480 5,807,412 – – – 997,345 630 3,975,724 – 710 29,729 – 643,380 28,022,412 750,970 – 250,257 2,154,742 35,562 35,127,204 189,403 27,400 243,532 75,404 171,842 6,423,677 104,168 85,639 61,020 274,878 136,054 5,326,277 1,108,010 13,186 413,870 27,062

11,890,631 316,751,592 5,157,561 3,744,569 2,393,615 17,797,895 1,575,108 325,325,315 61,595,654 1,260,998 19,006,607 2,839,996

(164) (44,025) (83) (333,447) – (30,239) – (67,161) – – (1,469) (14)

11,890,467 316,707,567 5,157,478 3,411,122 2,393,615 17,767,656 1,575,108 325,258,154 61,595,654 1,260,998 19,005,138 2,839,982

(605,634) 420,215,288 8,661,609 1,448,723 6,008,567 9,064,261 (492,187) 608,990,380 (2,491,111) (1,244,827) 3,173,833 (358,820) 16,359,976 (31,351,649) 9,628,541 (2,312,811) 467,338 (27,097,385) (3,399,565) 40,304,852 98,861,445 5,404,405 16,732,933 7,924,731 (9,321,463) (1,087,251,088) (8,864,080) (10,023) 336,167 4,305,987 – (1,087,559,833) – – (3,662,713) – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – 58,327 – – – – – – – – (454,122) (266,562,298) 1,760,918 (15,788) (429,964) (761,944) (39,229) (134,171,130) 3,622,464 11,315 (703,805) (35,729) 5,978,757 (964,949,747) 11,186,988 (831,572) 6,382,108 (14,489,081) (3,930,981) (572,435,731) 99,992,798 4,170,893 15,540,248 7,530,182 (105,705,636) (3,278,640,417) (7,371,954) (37,311,266) (29,594,062) (125,144,997) (11,204,915) (2,951,296,542) 224,848,528 (23,826,676) (380,671,435) (891,085) (2,082,548) 2,247,099,869 (10,679,941) 3,222 4,680,539 23,884,715 – 1,453,370,820 – – (1,323,811) – – – – – – – – – – – – – – (134,726,927) (3,950,708) – 101,431 (838,477) – (161,765,508) – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – (10,479) – – – – – – – – (3,116,462) (366,393,671) 1,998,431 (50,197) (15,760) (1,573,129) (8,215) (348,470,279) 228,107 52,491 (1,353,707) 1,972

– (103,711) (189) – (137) (631) – (33,482) – – – –

(104,925,889) (2,497,714,604) (8,817,373) (38,200,292) (18,445,881) (118,161,600) (15,144,111) (2,580,630,722) 325,069,433 (19,603,292) (367,808,705) 6,641,069

295,747,109 6,588,042,174 112,137,190 140,474,454 45,879,156 717,982,230 15,375,214 8,938,453,509 589,255,328 56,955,687 290,113,470 164,838,368 (292,509,070) (5,093,175,383) (112,163,495) (101,506,455) (65,933,691) (352,208,404) (18,546,091) (6,704,675,667) (278,397,706) (45,124,338) (390,793,223) (175,670,514) 19,078 3,209,865 (133,743) 460,657 (38,862) 839,759 780 7,232,344 1,107,563 – (206,352) (65,877)

3,257,117 1,498,076,656 (160,048) 39,428,656 (20,093,397) 366,613,585 (3,170,097) 2,241,010,186 311,965,185 11,831,349 (100,886,105) (10,898,023)

(5,925,301) (443,369,016) (16,263,768) (6,300,256) (5,887,167) (17,519,846) (4,360) (622,072,596) (40,355,620) – (13,935,553) (972,306)

(2,668,184) 1,054,707,640 (16,423,816) 33,128,400 (25,980,564) 349,093,739 (3,174,457) 1,618,937,590 271,609,565 11,831,349 (114,821,658) (11,870,329)

1,275,630,676 37,225,866,277 571,682,815 356,727,050 235,753,457 2,014,990,614 146,351,199 34,432,049,532 7,012,658,185 87,300,375 1,386,460,796 191,240,376

5.61% 28.21% 11.91% (21.06)% 43.44% 6.21% 92.06% 27.19% 31.26% 24.93% 22.84% (27.13)%



TOTAL INCOME


TOTAL EXPENSES


NET EXPENSES















Templeton Global

High Yield Fund

Templeton Global

Income Fund

Templeton Global Smaller

Companies Fund

Templeton Global

Total Return Fund

Templeton Growth (Euro) Fund

Templeton Korea Fund

Templeton Latin

America Fund

Templeton Thailand

Fund

(USD) (USD) (USD) (USD) (EUR) (USD) (USD) (USD)

1,383,224,749 38,668,873,241 596,924,004 361,798,942 280,179,902 1,784,058,475 164,669,767 35,393,742,664 6,415,979,187 95,072,318 1,869,091,159 196,469,636 – – – – – – – – – – – –

1,383,224,749 38,668,873,241 596,924,004 361,798,942 280,179,902 1,784,058,475 164,669,767 35,393,742,664 6,415,979,187 95,072,318 1,869,091,159 196,469,636

6,755,210 – – 4,761,618 3,860 10,751,130 1,080,629 265,233 58,291,357 13,872 22,172,359 2,479,303 4,341,706 730,407,940 13,730,261 – 8,356,175 16,043,092 – 930,103,436 – – – – 101 21,651 2,288 5,641 831 337 2,228 344,402 10,913 2,299 6,612 1,859 7,483 – – 997 – – – – 49,692 – – – – – – – – – – – – – – – 180,333 6,493,264 86,538 91,589 41,316 37,358 64 3,535,463 752,581 – – –

11,284,833 736,922,855 13,819,087 4,859,845 8,402,182 26,831,917 1,082,921 934,248,534 59,104,543 16,171 22,178,971 2,481,162

5,419,192 137,577,756 2,102,080 1,930,410 1,113,282 8,044,970 763,563 127,056,584 33,596,288 821,800 11,573,397 1,781,146 1,664,642 43,609,627 663,695 452,857 304,962 2,247,455 197,713 39,553,153 8,149,135 143,889 2,121,998 288,301 2,059 58,201 906 577 411 2,845 236 53,147 10,164 161 2,707 336 338,327 8,235,968 124,261 94,263 65,692 431,031 39,099 7,697,885 1,623,642 23,241 402,688 53,078 9,640 5,898,910 108,928 23,484 33,883 239,026 15,854 8,393,377 221,757 11,393 354,387 53,697 8,932 44,602 4,883 7,086 7,691 10,508 6,661 41,747 9,136 6,475 9,373 6,985 46,488 1,314,697 20,402 12,985 9,247 64,317 5,310 1,199,906 229,255 3,689 60,830 7,548 66,994 142,843 – 573 14 5,606 – 98,900 – – 1,196 – – 40,419,234 795,806 – 41,344 349,805 – 63,109,921 – – – – 2,729,607 34,362,260 481,462 899,738 505,812 2,612,298 357,808 31,300,844 16,454,100 209,054 3,580,297 480,821 – 1,605,255 – – – – – – – – – – 426,048 3,228,738 – 236,957 – 363,069 16,618 2,390,646 4,764 – 212,603 65,618 363,480 5,807,412 – – – 997,345 630 3,975,724 – 710 29,729 – 643,380 28,022,412 750,970 – 250,257 2,154,742 35,562 35,127,204 189,403 27,400 243,532 75,404 171,842 6,423,677 104,168 85,639 61,020 274,878 136,054 5,326,277 1,108,010 13,186 413,870 27,062

11,890,631 316,751,592 5,157,561 3,744,569 2,393,615 17,797,895 1,575,108 325,325,315 61,595,654 1,260,998 19,006,607 2,839,996

(164) (44,025) (83) (333,447) – (30,239) – (67,161) – – (1,469) (14)

11,890,467 316,707,567 5,157,478 3,411,122 2,393,615 17,767,656 1,575,108 325,258,154 61,595,654 1,260,998 19,005,138 2,839,982

(605,634) 420,215,288 8,661,609 1,448,723 6,008,567 9,064,261 (492,187) 608,990,380 (2,491,111) (1,244,827) 3,173,833 (358,820) 16,359,976 (31,351,649) 9,628,541 (2,312,811) 467,338 (27,097,385) (3,399,565) 40,304,852 98,861,445 5,404,405 16,732,933 7,924,731 (9,321,463) (1,087,251,088) (8,864,080) (10,023) 336,167 4,305,987 – (1,087,559,833) – – (3,662,713) – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – 58,327 – – – – – – – – (454,122) (266,562,298) 1,760,918 (15,788) (429,964) (761,944) (39,229) (134,171,130) 3,622,464 11,315 (703,805) (35,729) 5,978,757 (964,949,747) 11,186,988 (831,572) 6,382,108 (14,489,081) (3,930,981) (572,435,731) 99,992,798 4,170,893 15,540,248 7,530,182 (105,705,636) (3,278,640,417) (7,371,954) (37,311,266) (29,594,062) (125,144,997) (11,204,915) (2,951,296,542) 224,848,528 (23,826,676) (380,671,435) (891,085) (2,082,548) 2,247,099,869 (10,679,941) 3,222 4,680,539 23,884,715 – 1,453,370,820 – – (1,323,811) – – – – – – – – – – – – – – (134,726,927) (3,950,708) – 101,431 (838,477) – (161,765,508) – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – (10,479) – – – – – – – – (3,116,462) (366,393,671) 1,998,431 (50,197) (15,760) (1,573,129) (8,215) (348,470,279) 228,107 52,491 (1,353,707) 1,972

– (103,711) (189) – (137) (631) – (33,482) – – – –

(104,925,889) (2,497,714,604) (8,817,373) (38,200,292) (18,445,881) (118,161,600) (15,144,111) (2,580,630,722) 325,069,433 (19,603,292) (367,808,705) 6,641,069

295,747,109 6,588,042,174 112,137,190 140,474,454 45,879,156 717,982,230 15,375,214 8,938,453,509 589,255,328 56,955,687 290,113,470 164,838,368 (292,509,070) (5,093,175,383) (112,163,495) (101,506,455) (65,933,691) (352,208,404) (18,546,091) (6,704,675,667) (278,397,706) (45,124,338) (390,793,223) (175,670,514) 19,078 3,209,865 (133,743) 460,657 (38,862) 839,759 780 7,232,344 1,107,563 – (206,352) (65,877)

3,257,117 1,498,076,656 (160,048) 39,428,656 (20,093,397) 366,613,585 (3,170,097) 2,241,010,186 311,965,185 11,831,349 (100,886,105) (10,898,023)

(5,925,301) (443,369,016) (16,263,768) (6,300,256) (5,887,167) (17,519,846) (4,360) (622,072,596) (40,355,620) – (13,935,553) (972,306)

(2,668,184) 1,054,707,640 (16,423,816) 33,128,400 (25,980,564) 349,093,739 (3,174,457) 1,618,937,590 271,609,565 11,831,349 (114,821,658) (11,870,329)

1,275,630,676 37,225,866,277 571,682,815 356,727,050 235,753,457 2,014,990,614 146,351,199 34,432,049,532 7,012,658,185 87,300,375 1,386,460,796 191,240,376

5.61% 28.21% 11.91% (21.06)% 43.44% 6.21% 92.06% 27.19% 31.26% 24.93% 22.84% (27.13)%


Statistical Information

Total Expense RatioDecember 31,

2014(see note 25)

Shares Outstanding

December 31,2014

Net Asset Value per Share

December 31,2014

June 30,2014

June 30,2013



Franklin Asia Credit Fund – USD*A (acc) USD 1.50% 100,000.000 9.95 – –A (Mdis) USD 1.50% 100,000.000 9.95 – –A (Mdis) AUD-H1 (hedged) 1.50% 229,568.420 9.99 – –A (Mdis) SGD-H1 (hedged) 1.50% 259,620.000 9.95 – –I (acc) USD 1.00% 200,000.000 9.95 – –

Franklin Asian Flex Cap Fund – USDΩ

A (acc) USD – – – 14.65 12.87A (acc) SGD – – – 8.14 7.26A (Ydis) USD – – – 14.54 12.77B (acc) USD – – – 13.31 11.84I (acc) USD – – – 15.85 13.79N (acc) USD – – – 13.81 12.22

Franklin Biotechnology Discovery Fund – USDA (acc) USD 1.81% 64,887,725.439 31.40 25.80 18.19A (acc) CHF-H1 (hedged) 1.82% 241,399.860 15.82 12.98 –A (acc) HKD 1.82% 1,278,057.044 20.29 16.66 11.76A (acc) SGD 1.81% 1,292,066.639 30.31 23.43 16.79B (acc) USD 3.11% 1,387,659.172 26.04 21.54 15.39C (acc) USD 2.39% 779,806.887 37.86 31.20 22.13I (acc) USD 0.97% 2,080,243.660 46.08 37.70 26.36I (acc) EUR-H1 (hedged) 0.97% 344,715.518 20.70 16.89 11.78N (acc) USD 2.56% 8,813,133.430 27.89 23.00 16.34W (acc) USD 1.06% 2,283,066.752 14.49 11.86 –Z (acc) GBP 1.30% 166,859.955 25.97 19.38 15.30

Franklin Brazil Opportunities Fund – USDA (acc) USD 1.89% 498,417.730 10.41 10.71 10.17A (acc) EUR-H1 (hedged) 1.91% 254,592.813 10.34 10.62 10.11A (Qdis) USD 1.89% 638,013.906 9.66 10.29 10.10A (Qdis) HKD 1.89% 155,136.000 9.68 10.31 10.10I (acc) USD 1.03% 622.000 10.60 10.86 10.25N (acc) USD 2.39% 731,296.225 10.29 10.61 10.12N (acc) EUR-H1 (hedged) 2.42% 522,019.889 10.23 10.54 10.08N (Qdis) USD 2.39% 535,862.790 9.67 10.29 10.06

Franklin Euro Government Bond Fund – EURA (Ydis) EUR 1.04% 2,579,681.697 11.26 10.81 10.21I (acc) EUR 0.63% 3,963,502.918 15.25 14.45 13.33I (Qdis) EUR 0.61% 1,788,513.667 10.94 10.43 9.76N (acc) EUR 1.58% 2,336,093.409 13.67 13.01 12.12

Franklin Euro High Yield Fund – EURA (acc) EUR 1.52% 6,923,269.947 17.06 17.21 15.52A (Mdis) EUR 1.52% 80,641,929.058 6.39 6.58 6.22A (Mdis) USD 1.52% 7,666,903.176 9.78 11.40 10.24A (Ydis) EUR 1.52% 8,711,645.811 6.51 6.87 6.54B (Mdis) EUR 2.93% 880,757.137 11.90 12.26 11.59B (Mdis) USD 2.93% 2,377,528.503 10.27 11.98 10.75I (acc) EUR 0.87% 5,500,327.577 18.38 18.49 16.56I (Ydis) EUR 0.87% 288,414.720 9.87 10.45 9.94N (acc) EUR 2.12% 12,127,892.562 15.65 15.84 14.37W (acc) EUR 1.01% 23,978.317 10.56 10.62 –

Franklin Euro Liquid Reserve Fund – EUR**A (acc) EUR 0.61% 9,416,167.233 5.59 5.60 5.63A (Ydis) EUR 0.61% 3,923,255.836 4.37 4.38 4.40I (acc) EUR 0.38% 833,483.475 10.40 10.41 10.42N (acc) EUR 1.51% 1,182,743.551 10.38 10.45 10.59

Franklin Euro Short Duration Bond Fund – EURA (acc) EUR 0.90% 116,647.390 10.17 10.10 –A (Ydis) EUR 0.90% 7,269.027 10.17 10.10 –I (acc) EUR 0.55% 4,994,917.274 10.20 10.12 –N (acc) EUR 1.45% 473,111.828 10.13 10.08 –W (acc) EUR 0.60% 7,269.027 10.20 10.11 –

Franklin Euro Short-Term Money Market Fund – EUR**A (acc) EUR 0.22% 31,959.440 1,012.39 1,012.50 1,012.65I (acc) EUR 0.22% 26,584.798 1,015.07 1,015.17 1,015.32

Franklin Euroland Fund – EUR***A (acc) EUR 1.87% 325,544.268 17.63 17.87 14.15A (acc) USD 1.87% 146,815.554 16.79 19.26 14.49 I (acc) EUR 1.00% 679,458.529 18.60 18.77 14.73 I (acc) USD 1.00% 545,081.141 17.72 20.24 15.10N (acc) EUR 2.62% 198,809.416 16.85 17.14 13.67



Statistical Information (continued)


2014(see note 25)

Shares Outstanding

December 31,2014


December 31,2014

June 30,2014

June 30,2013


Franklin European Fund – EUR***A (acc) EUR 1.97% 115,988.443 14.16 14.36 11.76A (Ydis) EUR 1.97% 105,304.258 13.61 13.97 11.57I (acc) EUR 1.07% 137,561.043 14.58 14.72 11.95N (acc) EUR 2.71% 141,338.681 13.8 14.05 11.60

Franklin European Corporate Bond Fund – EURA (acc) EUR 1.15% 2,203,685.723 12.63 12.29 11.35A (Ydis) EUR 1.15% 887,595.698 11.43 11.31 10.67I (acc) EUR 0.65% 4,247,695.677 12.93 12.55 11.54I (Ydis) EUR 0.65% 40,501.540 11.44 11.35 10.72N (acc) EUR 1.98% 1,585,064.659 12.14 11.86 11.05N (Ydis) EUR 1.98% 1,337,243.194 11.38 11.22 10.58W (acc) EUR 0.74% 364.618 10.41 10.11 –

Franklin European Dividend Fund – EURA (acc) EUR 1.86% 832,008.362 14.26 14.63 11.95A (Mdis) SGD-H1 (hedged)* 1.81% 63,921.697 10.15 – –A (Mdis) USD* 1.79% 501.259 9.14 – –A (Ydis) EUR 1.85% 465,868.925 12.75 13.62 11.55I (acc) EUR 0.98% 3,080,967.340 14.68 14.99 12.14N (acc) EUR 2.61% 528,738.894 13.90 14.31 11.77N (acc) PLN-H1 (hedged) 2.62% 2,231,502.401 9.90 10.06 –

Franklin European Growth Fund – EURA (acc) EUR 1.83% 34,051,879.200 14.11 15.36 12.85 A (acc) NOK-H1 (hedged) 1.84% 3,065,326.863 9.55 10.32 –A (acc) SGD-H1 (hedged) 1.80% 3,717,133.227 11.75 12.80 10.70A (acc) USD 1.80% 9,302,941.057 10.88 13.40 10.66A (acc) USD-H1 (hedged) 1.81% 11,123,827.027 10.06 10.96 –A (Ydis) GBP 1.83% 1,130,959.147 14.59 16.56 14.95I (acc) EUR 0.96% 14,703,984.347 27.42 29.73 24.66N (acc) EUR 2.58% 18,255,726.485 12.66 13.84 11.67N (acc) USD 2.55% 4,440,181.730 10.73 13.27 10.63 W (acc) EUR 1.04% 240,521.841 10.26 11.14 – X (acc) EUR 0.25% 362.897 10.24 11.06 –

Franklin European Income Fund – EUR*A (acc) EUR 1.70% 31,943.983 10.17 – –A (Mdis) EUR 1.70% 31,943.983 10.17 – –A (Mdis) SGD-H1 (hedged) 1.70% 258,170.344 10.16 – – A (Mdis) USD 1.70% 39,776.651 9.88 – – I (acc) EUR 0.90% 159,719.915 10.18 – –I (Mdis) EUR 0.90% 159,719.915 10.18 – –N (acc) EUR 2.20% 31,943.983 10.17 – –N (Mdis) EUR 2.20% 31,943.983 10.16 – –W (acc) EUR 1.10% 39,929.979 10.18 – –W (Mdis) EUR 1.10% 39,929.979 10.18 – –Z (acc) EUR 1.20% 39,929.979 10.18 – –Z (Mdis) EUR 1.20% 39,929.979 10.17 – –

Franklin European Small-Mid Cap Growth Fund – EURA (acc) EUR 1.86% 6,876,235.035 30.03 31.58 25.45A (acc) USD 1.86% 1,857,814.213 36.36 43.27 33.14I (acc) EUR 1.01% 6,879,678.398 35.43 37.09 29.64I (acc) USD 1.01% 1,707,503.648 42.81 50.72 38.53N (acc) EUR 2.61% 1,156,460.366 28.21 29.77 24.17W (acc) EUR 1.08% 900,241.916 12.56 13.16 10.53X (acc) EUR 0.31% 3,935,544.897 10.17 10.60 –

Franklin European Total Return Fund – EUR**A (acc) EUR 1.10% 4,326,924.318 14.44 13.83 12.61A (acc) NOK-H1 (hedged) 1.35% 303,260.577 10.99 10.43 –A (acc) SEK-H1 (hedged) 1.35% 354,217.330 10.90 10.43 –A (Mdis) EUR 1.10% 3,401,913.847 10.11 9.76 9.08A (Mdis) USD 1.10% 256,819.375 12.26 13.39 11.84I (acc) EUR 0.83% 1,868,269.532 14.06 13.45 12.24N (acc) EUR 1.80% 3,292,714.199 13.33 12.82 11.77N (Mdis) EUR 1.80% 5,108,131.802 11.45 11.05 10.28W (acc) EUR 0.85% 364.618 10.61 10.15 –

Franklin GCC Bond Fund – USDA (acc) USD 1.48% 700,286.925 11.31 11.11 –A (Mdis) USD 1.48% 247,352.323 10.89 10.85 –B (acc) USD 2.90% 21,208.930 11.09 10.97 –B (Mdis) USD 2.90% 500.000 10.88 10.84 –I (acc) USD 0.88% 804,629.819 11.41 11.17 –





2014(see note 25)

Shares Outstanding

December 31,2014


December 31,2014

June 30,2014

June 30,2013

Franklin Global Aggregate Bond Fund – USDA (acc) USD 1.22% 10,771.374 10.76 10.94 10.18A (acc) EUR 1.25% 98,095.545 12.42 11.15 10.91A (acc) EUR-H1 (hedged) 1.25% 101,483.981 10.68 10.84 10.11A (Mdis) USD 1.25% 38,634.736 10.13 10.37 9.76A (Mdis) EUR 1.25% 177,431.322 11.64 10.53 10.45 A (Qdis) GBP-H1 (hedged) 1.25% 78,722.352 10.16 10.37 9.82A (Ydis) EUR-H1 (hedged) 1.25% 87,066.727 10.09 10.38 9.85I (acc) USD 0.60% 335,020.748 11.09 11.23 10.38I (acc) CHF-H1 (hedged) 0.60% 98,415.000 10.73 10.86 10.09I (acc) EUR 0.60% 718.442 12.74 11.40 11.09I (acc) EUR-H1 (hedged) 0.60% 188,831.911 10.60 10.71 –I (Qdis) EUR-H1 (hedged) 0.60% 71,844.240 10.07 10.29 9.75I (Qdis) GBP-H1 (hedged) 0.60% 62,410.290 10.19 10.40 9.84N (acc) USD 1.95% 16,618.791 10.48 10.68 10.01N (acc) EUR 1.95% 177,127.456 12.07 10.88 10.72N (acc) EUR-H1 (hedged) 1.95% 69,884.784 10.39 10.58 9.94W (acc) EUR 0.70% 366.851 11.23 10.06 –

Franklin Global Aggregate Investment Grade Bond Fund – USDA (acc) USD 1.25% 97,450.015 10.70 10.94 10.10I (acc) USD 0.61% 3,967,428.394 10.87 11.09 10.17Z (acc) USD 0.95% 500.000 9.92 10.13 –

Franklin Global Allocation Fund – USDA (acc) USD 1.85% 477,084.006 10.85 11.39 10.11A (acc) CHF-H1 (hedged) 1.86% 261,869.784 10.67 11.18 9.98A (acc) EUR 1.85% 198,251.083 12.89 11.96 11.17 A (acc) EUR-H1 (hedged) 1.86% 250,261.058 10.72 11.23 9.99 A (Qdis) GBP 1.85% 70,974.812 11.42 10.92 10.91A (Ydis) EUR 1.85% 152,882.224 12.87 11.95 11.16A (Ydis) EUR-H1 (hedged) 1.87% 227,420.646 10.72 11.23 9.99I (acc) USD 1.01% 312,275.598 11.16 11.67 10.27I (acc) EUR 1.01% 147,706.604 13.25 12.25 11.35I (acc) EUR-H1 (hedged) 1.00% 208,717.440 11.03 11.50 10.15I (Ydis) EUR-H1 (hedged) 1.02% 209,187.840 10.78 11.33 10.08N (acc) USD 2.60% 628,684.647 10.57 11.14 9.97N (acc) EUR 2.60% 645,017.668 12.56 11.70 11.01N (acc) SEK-H1 (hedged) 2.63% 1,919,880.849 10.81 11.34 10.07Z (acc) USD 1.35% 104,659.881 11.03 11.56 10.21Z (acc) EUR 1.30% 2,816.758 10.98 10.16 –

Franklin Global Convertible Securities Fund – USDA (acc) USD 1.58% 1,172,182.089 11.52 12.21 10.67A (acc) CHF-H1 (hedged) 1.59% 61,611.288 11.34 12.01 10.56A (acc) EUR 1.58% 268,738.685 12.80 11.98 11.02A (acc) EUR-H1 (hedged) 1.60% 496,569.303 11.38 12.06 10.57 A (acc) HKD 1.57% 25,411.163 11.51 12.19 10.66 A (Ydis) EUR 1.58% 331,923.264 12.56 11.79 10.96A (Ydis) EUR-H1 (hedged) 1.59% 510,683.399 11.18 11.86 10.51I (acc) USD 0.86% 1,955,503.481 11.74 12.40 10.76I (acc) EUR 0.88% 3,025,674.851 13.07 12.19 11.13I (acc) EUR-H1 (hedged)* 0.86% 38,650.330 9.70 – –N (acc) USD 2.33% 1,708,126.467 11.27 11.99 10.56N (acc) EUR 2.33% 785,267.535 12.54 11.78 10.92W (acc) EUR-H1 (hedged) 0.96% 36,685.130 9.69 10.22 –

Franklin Global Corporate High Yield Fund – USDI (acc) USD 0.76% 2,168,705.167 10.59 11.31 –I (acc) EUR 0.76% 75,884.050 11.53 10.88 –I (acc) EUR-H1 (hedged) 0.76% 151,768.100 10.59 11.28 –I (acc) GBP 0.76% 63,987.710 10.62 10.33 –I (acc) GBP-H1 (hedged) 0.76% 63,987.710 10.61 11.28 –I (Ydis) EUR 0.76% 75,884.050 11.08 10.88 –I (Ydis) EUR-H1 (hedged) 0.76% 75,884.050 10.17 11.28 –

Franklin Global Equity Strategies Fund – USDA (acc) USD 2.17% 1,004,400.065 11.36 12.24 10.38A (acc) EUR 2.17% 4,639,081.842 9.39 8.94 7.97A (acc) EUR-H1 (hedged) 2.19% 1,023,216.941 6.81 7.32 6.23A (Ydis) EUR 2.17% 371,288.323 9.34 8.92 7.96W (acc) EUR 1.11% 366.851 10.64 10.08 –

Franklin Global Fundamental Strategies Fund – USDA (acc) USD 1.84% 16,450,011.250 13.08 13.78 11.86A (acc) EUR 1.84% 46,847,422.936 10.82 10.07 9.12A (acc) EUR-H1 (hedged) 1.87% 21,397,268.576 8.86 9.31 8.04A (Ydis) EUR 1.84% 35,222,997.244 9.99 9.37 8.57





2014(see note 25)

Shares Outstanding

December 31,2014


December 31,2014

June 30,2014

June 30,2013

I (acc) EUR 0.98% 6,558,999.207 11.49 10.65 9.57N (acc) USD 2.60% 1,017,438.457 10.59 11.19 –N (acc) EUR 2.60% 978,684.831 11.43 10.68 –N (acc) EUR-H1 (hedged) 2.62% 17,183,787.243 8.03 8.48 7.38N (acc) PLN-H1 (hedged) 2.62% 12,141,431.508 15.10 15.72 13.42N (Ydis) EUR 2.58% 2,368,233.589 11.95 11.19 10.24

Franklin Global Government Bond Fund – USDA (acc) USD 1.20% 104,568.834 10.51 10.72 –A (Mdis) USD 1.20% 12,674.964 10.37 10.62 –A (Mdis) EUR 1.20% 58,322.705 11.30 10.23 –I (acc) USD 0.66% 498,750.000 10.59 10.76 –I (acc) EUR 0.66% 562,928.524 11.54 10.36 –N (acc) USD 1.90% 125,748.427 10.42 10.65 –N (Mdis) USD 1.90% 118,555.887 10.36 10.62 –

Franklin Global Growth Fund – USDA (acc) USD 1.85% 2,431,625.323 14.44 14.20 11.88A (acc) EUR 1.87% 156,100.814 15.17 13.18 11.61A (acc) EUR-H1 (hedged) 1.86% 98,893.939 14.45 14.19 11.91A (acc) GBP 1.85% 34,482.827 13.85 12.40 11.68A (acc) SGD 1.85% 60,326.863 13.46 12.45 10.59I (acc) USD 0.97% 4,875,885.104 12.53 12.26 10.17I (acc) EUR 0.97% 3,085,676.140 15.82 13.68 11.94I (acc) EUR-H1 (hedged) 0.96% 405,186.386 15.08 14.73 12.25I (acc) GBP 0.98% 736.260 12.83 11.44 10.70N (acc) USD 2.59% 1,527,535.176 12.98 12.81 10.80 N (acc) EUR 2.60% 417,615.818 14.67 12.79 11.35 W (acc) USD 1.08% 18,082.664 10.76 10.54 –W (acc) EUR 1.10% 20,377.831 12.78 11.06 –Z (acc) USD 1.35% 89,913.650 13.46 13.20 10.98

Franklin Global Growth and Value Fund – USDA (acc) USD 1.86% 2,228,506.090 24.91 25.57 20.94B (acc) USD 3.17% 103,190.399 21.24 21.94 18.21C (acc) USD 2.44% 166,302.144 22.95 23.62 19.46I (acc) USD 1.08% 20,427.724 27.40 28.02 22.77N (acc) USD 2.62% 240,696.750 22.67 23.35 19.27

Franklin Global High Income Bond Fund – USDA (acc) USD 1.53% 466,893.211 11.80 13.01 11.26 A (acc) EUR 1.53% 1,875,550.159 11.94 11.63 10.59A (acc) HKD 1.54% 212,196.575 11.79 13.00 11.25A (Mdis) USD 1.53% 2,645,295.272 10.38 11.73 10.69A (Mdis) HKD 1.53% 77,569.000 10.37 11.71 10.68A (Mdis) SGD 1.53% 15,642.000 10.88 11.56 10.71A (Mdis) SGD-H1 (hedged) 1.53% 88,789.752 10.34 11.67 10.66I (acc) USD 0.87% 58,453.384 12.00 13.18 11.33I (acc) EUR 0.88% 421,024.569 12.14 11.78 10.66N (acc) EUR 2.13% 1,862,023.359 11.77 11.50 10.53N (Mdis) USD* 2.08% 500.000 9.48 – –W (acc) EUR 0.96% 366.851 10.42 10.12 –

Franklin Global Listed Infrastructure Fund – USDA (acc) USD 1.85% 156,533.283 11.76 12.28 9.37A (acc) EUR 1.85% 93,405.837 12.67 11.69 9.38A (Mdis) SGD-H1 (hedged) 1.85% 123,850.747 11.22 11.86 9.33A (Qdis) USD 1.85% 83,333.340 11.24 11.94 9.37A (Ydis) EUR 1.85% 29,381.175 12.23 11.60 9.39I (acc) USD 1.05% 150,495.840 11.93 12.41 9.39I (acc) EUR 1.05% 113,575.318 12.85 11.81 9.40I (acc) GBP-H1 (hedged) 1.05% 64,593.220 11.95 12.37 9.39N (acc) EUR 2.60% 180,453.430 12.51 11.58 9.37W (acc) GBP 1.10% 322.966 11.83 11.21 9.56W (Qdis) GBP 1.10% 322.966 11.31 10.90 9.56

Franklin Global Real Estate Fund – USDA (acc) USD 1.85% 9,868,318.863 11.55 11.25 10.08A (acc) EUR-H1 (hedged) 1.87% 831,042.881 15.20 14.78 13.24A (Qdis) USD 1.85% 4,125,303.591 9.96 9.82 9.02A (Qdis) SGD 1.84% 220,786.194 7.83 7.27 6.78A (Ydis) EUR-H1 (hedged) 1.87% 317,172.137 14.29 14.23 13.02B (Qdis) USD 3.16% 1,446,542.992 9.65 9.58 8.85C (Qdis) USD 2.43% 4,290,806.290 9.86 9.75 9.00I (acc) USD 0.97% 9,161,653.278 12.51 12.14 10.78N (acc) USD 2.60% 6,346,587.831 10.80 10.56 9.53N (acc) EUR-H1 (hedged) 2.62% 470,830.601 14.69 14.36 12.97

Franklin Global Fundamental Strategies Fund – USD (continued)





2014(see note 25)

Shares Outstanding

December 31,2014


December 31,2014

June 30,2014

June 30,2013

W (Qdis) USD 1.09% 27,376.840 10.70 10.50 –Z (acc) USD* 1.56% 3,213.577 10.21 – –

Franklin Global Small-Mid Cap Growth Fund – USDA (acc) USD 1.87% 7,280,271.079 28.34 32.80 26.33B (acc) USD 3.18% 103,348.772 23.93 27.88 22.67I (acc) USD 1.02% 4,053,919.633 15.56 17.93 14.27N (acc) USD 2.62% 1,201,329.785 25.54 29.67 23.99W (acc) USD 1.08% 810,140.426 9.19 10.59 –X (acc) USD 0.31% 500.000 9.38 10.77 –

Franklin Gold and Precious Metals Fund – USDA (acc) USD 1.90% 5,699,422.316 3.79 5.48 4.19A (acc) CHF-H1 (hedged) 1.92% 1,955,141.770 3.14 4.57 3.51A (acc) EUR 1.90% 3,708,316.464 4.17 5.33 4.29A (acc) EUR-H1 (hedged) 1.92% 1,606,208.419 3.64 5.28 4.05A (acc) HKD 1.90% 2,053,872.696 3.78 5.48 4.19A (acc) SEK-H1 (hedged)Ω – – – 4.29 3.27A (acc) SGD 1.90% 1,297,462.978 3.66 4.99 3.88A (Ydis) EUR 1.90% 93,631.362 4.17 5.34 4.29A (Ydis) EUR-H1 (hedged) 1.92% 124,343.319 3.65 5.30 4.06I (acc) USD 0.99% 87,566.660 3.95 5.70 4.31I (Ydis) USD 1.04% 41,324.605 3.95 5.69 4.32N (acc) USD 2.66% 1,082,936.205 3.65 5.31 4.10N (acc) EUR 2.65% 2,986,714.327 4.02 5.17 4.19

Franklin High Yield Fund – USD A (acc) USD 1.53% 17,147,347.096 16.44 17.51 15.70A (Mdis) USD 1.53% 379,765,605.226 6.76 7.39 6.99A (Mdis) AUD-H1 (hedged) 1.55% 1,645,943.073 9.88 10.64 9.86A (Mdis) SGD-H1 (hedged) 1.53% 6,370,492.755 8.51 9.28 8.79B (Mdis) USD 2.94% 82,267,522.793 6.80 7.43 7.03C (acc) USD 2.21% 3,086,888.796 21.39 22.87 20.64I (acc) USD 0.86% 11,355,136.159 16.91 17.96 15.99I (acc) EUR-H1 (hedged) 0.87% 2,819,554.716 11.83 12.53 11.20I (Mdis) USD 0.87% 14,512,104.406 10.63 11.61 10.98N (acc) USD 2.13% 7,489,757.397 17.27 18.46 16.64N (Mdis) USD 2.12% 3,814,922.677 9.45 10.32 9.77X (acc) USD 0.25% 500.000 10.05 10.63 –Z (Mdis) USD 1.12% 1,320,510.399 9.98 10.90 10.31

Franklin Income Fund – USDA (Mdis) USD 1.67% 203,865,153.667 12.60 13.52 11.86A (Mdis) EUR-H1 (hedged) 1.68% 375,135.321 10.08 10.79 –A (Mdis) SGD-H1 (hedged) 1.68% 3,883,875.288 9.02 9.66 8.50B (Mdis) USD 2.98% 23,627,321.585 12.07 12.95 11.37C (acc) USD 2.25% 10,622,947.831 22.71 24.08 20.62C (Mdis) USD 2.25% 10,551,759.036 16.20 17.38 15.25I (acc) USD 0.87% 10,658,076.087 19.33 20.35 17.18I (Ydis) EUR-H1 (hedged) 0.85% 36,673.025 10.18 10.91 –N (acc) USD 2.17% 25,521,270.007 21.09 22.35 19.12N (acc) EUR-H1 (hedged)* 2.13% 40,146.130 9.74 – –N (Mdis) EUR-H1 (hedged) 2.18% 2,614,480.452 10.06 10.77 –Z (acc) USD 1.17% 3,578,451.926 14.85 15.66 13.27Z (Mdis) USD 1.17% 2,994,813.673 11.38 12.21 10.72

Franklin India Fund – USDA (acc) USD 1.88% 20,492,270.192 31.79 28.43 21.08A (acc) EUR 1.87% 4,939,985.047 31.77 25.11 19.59A (acc) HKD 1.90% 43,240.164 14.59 13.03 9.67A (acc) SEK 1.88% 9,640,604.054 15.18 11.64 8.66A (acc) SGD 1.87% 1,229,119.916 11.45 9.64 7.27A (Ydis) EUR 1.88% 280,986.713 46.86 37.03 28.89A (Ydis) GBP 1.88% 364,865.249 36.37 29.63 24.73B (acc) USD 3.19% 805,128.063 28.25 25.43 19.11C (acc) USD 2.46% 333,788.278 30.12 27.02 20.16I (acc) USD 1.02% 59,844,735.695 34.59 30.80 22.65I (acc) EUR 1.01% 471,744.362 34.53 27.17 21.02I (Ydis) EUR 1.11% 2,071.550 34.01 26.89 20.90N (acc) USD 2.63% 2,486,512.265 29.68 26.65 19.91N (acc) EUR 2.63% 1,926,658.856 29.78 23.62 18.57N (acc) PLN-H1 (hedged) 2.66% 3,562,251.407 15.53 13.70 10.07S (acc) USD 0.88% 2,225,793.000 16.10 14.33 –W (acc) USD 1.13% 372,127.133 16.34 14.56 10.71W (acc) EUR 1.12% 92,672.245 16.98 13.37 –W (acc) GBP 1.12% 1,190,827.404 16.41 13.32 11.03

Franklin Global Real Estate Fund – USD (continued)





2014(see note 25)

Shares Outstanding

December 31,2014


December 31,2014

June 30,2014

June 30,2013

X (acc) USD 0.30% 500.000 14.92 13.24 –Z (acc) USD 1.38% 377,138.154 12.77 11.40 8.41Z (acc) GBP 1.38% 53,285.057 16.31 13.25 11.00

Franklin Japan Fund – JPYA (acc) JPY 1.86% 4,435,242.368 793.09 710.67 644.98A (acc) EUR 1.88% 690,869.468 5.46 5.11 4.99A (acc) USD 1.86% 6,685,044.479 6.62 7.02 6.51A (acc) SGDΩ – – – 5.97 5.63A (Ydis) EUR 1.88% 52,781.672 5.45 5.09 4.96A (Ydis) GBP 1.86% 23,397.987 4.25 4.10 4.28C (acc) USD 2.44% 327,238.068 7.36 7.82 7.29I (acc) EUR 0.98% 1,894,025.839 8.43 7.86 7.60I (acc) USD 0.98% 10,980,532.567 8.44 8.91 8.18N (acc) EUR 2.61% 1,753,066.043 4.88 4.59 4.51N (acc) USD 2.61% 1,462,299.576 9.04 9.62 8.99W (acc) EUR 1.02% 4,941.825 11.45 10.68 –

Franklin K2 Alternative Strategies Fund – USD*A (Acc) USD 2.75% 430,045.797 10.31 – –A (Acc) EUR-H1 (hedged) 2.74% 96,409.305 10.34 – –A (Acc) SGD-H1 (hedged) 2.73% 126,445.000 10.33 – –A (Ydis) USD 2.73% 100,000.000 10.31 – –A (Ydis) EUR 2.73% 77,687.566 11.03 – –I (Acc) USD 1.90% 3,418,968.914 10.34 – –I (Acc) EUR-H1 (hedged) 1.90% 77,279.750 10.36 – –I (Acc) GBP-H1 (hedged) 1.90% 63,034.474 10.36 – –I (Acc) JPY 1.90% 578,718.000 1,155.62 – –I (Acc) JPY-H1 (hedged) 1.89% 107,170.000 1,038.44 – –N (Acc) USD 3.50% 686,403.382 10.29 – –N (Acc) EUR-H1 (hedged) 3.48% 78,254.409 10.31 – –W (Acc) EUR 2.04% 79,138.918 11.05 – –W (Acc) GBP-H1 (hedged) 2.03% 61,602.910 10.36 – –Z (Acc) USD 2.23% 100,000.000 10.33 – –Z (Acc) GBP-H1 (hedged) 2.23% 61,602.910 10.35 – –

Franklin MENA Fund – USDA (acc) USD 2.53% 15,534,600.465 6.62 6.96 4.97A (acc) EUR 2.53% 5,482,790.134 5.43 5.04 3.79A (acc) EUR-H1 (hedged) 2.55% 2,959,143.525 3.98 4.17 2.98A (Ydis) USD 2.53% 192,955.590 7.13 7.59 5.49A (Ydis) GBP 2.53% 108,717.106 8.85 8.48 6.82B (acc) USD 3.84% 1,303,207.754 6.06 6.42 4.65I (acc) USD 1.50% 2,680,988.316 7.10 7.43 5.25I (acc) EUR 1.50% 1,930,431.174 5.88 5.43 4.04I (Ydis) USD 1.64% 7,461.057 7.49 7.94 5.74N (acc) USD 3.03% 3,469,993.762 6.40 6.75 4.85N (acc) EUR-H1 (hedged) 3.05% 4,439,776.374 3.85 4.04 2.91W (acc) EUR 1.51% 1,053.708 10.33 9.55 –X (acc) USD 0.30% 195,107.782 16.45 17.10 11.96

Franklin Multi-Asset Income Fund – EURA (acc) EUR 1.41% 366,468.808 11.01 10.38 9.63A (Qdis) EUR 1.41% 1,072,192.267 10.53 10.09 9.64A (Ydis) EUR 1.41% 144,925.839 10.62 10.33 9.63I (acc) EUR 0.69% 1,009,550.307 11.16 10.47 9.65I (Qdis) EUR 0.69% 1,004,992.664 10.63 10.15 9.65N (acc) EUR 1.91% 1,138,851.050 10.92 10.32 9.63

Franklin Natural Resources Fund – USDA (acc) USD 1.86% 11,299,544.035 7.61 11.12 8.57A (acc) CHF-H1 (hedged) 1.89% 54,125.556 6.53 9.55 7.38A (acc) EUR 1.86% 2,553,293.237 6.30 8.13 6.59A (Ydis) USD 1.86% 561,239.015 7.62 11.12 8.57A (Ydis) EUR-H1 (hedged) 1.89% 107,566.461 6.47 9.47 7.29B (acc) USD 3.17% 444,200.852 8.31 12.21 9.53C (acc) USD 2.44% 1,014,452.617 7.00 10.25 7.94I (acc) USD 0.98% 1,680,804.812 8.15 11.84 9.05I (acc) EUR 0.98% 2,716,781.206 6.75 8.66 6.96N (acc) EUR 2.61% 2,077,821.643 5.95 7.70 6.29N (acc) PLN-H1 (hedged) 2.62% 1,496,220.296 8.51 12.31 9.40

Franklin Real Return Fund – USDA (acc) USD 1.35% 494,016.492 10.51 11.09 10.53A (Ydis) EUR-H1 (hedged) 1.35% 215,156.651 10.16 10.74 10.21N (acc) USD 1.85% 123,809.620 9.83 10.39 9.92

Franklin India Fund – USD (continued)





2014(see note 25)

Shares Outstanding

December 31,2014


December 31,2014

June 30,2014

June 30,2013

Franklin Strategic Income Fund – USDA (acc) USD 1.35% 23,956,870.216 14.67 15.03 14.07A (acc) EUR 1.35% 4,487,644.558 12.15 11.00 10.83A (acc) EUR-H1 (hedged) 1.35% 3,762,634.046 11.55 11.81 11.07A (Mdis) USD 1.35% 31,381,751.967 11.07 11.49 11.07A (Mdis) AUD-H1 (hedged) 1.35% 195,063.502 10.28 10.51 9.92A (Mdis) EUR 1.35% 5,193,582.774 9.15 8.39 8.51A (Mdis) EUR-H1 (hedged) 1.35% 3,260,263.926 9.80 10.14 9.80B (Mdis) USD 2.89% 2,645,653.993 11.05 11.47 11.06C (Mdis) USD 1.95% 17,493,015.224 11.05 11.47 11.06I (acc) USD 0.83% 2,018,575.620 15.24 15.57 14.50I (acc) EUR-H1 (hedged) 0.83% 16,325,333.482 11.29 11.51 10.74I (Ydis) USD 0.83% 110,360.612 9.99 10.35 –N (acc) USD 2.08% 19,783,996.372 11.49 11.82 11.14N (acc) EUR-H1 (hedged) 2.10% 3,180,915.029 11.26 11.55 10.92N (Mdis) EUR-H1 (hedged) 2.10% 1,203,157.045 9.87 10.21 –Z (acc) USD 1.08% 3,033,214.834 12.96 13.26 12.37

Franklin Technology Fund – USDA (acc) USD 1.82% 45,870,605.099 10.67 10.05 7.82A (acc) EUR 1.82% 7,703,681.017 8.84 7.36 6.02A (acc) HKD 1.82% 34,925.022 13.92 13.11 10.20B (acc) USD 3.13% 2,427,967.805 8.80 8.34 6.58C (acc) USD 2.40% 1,065,562.766 21.17 20.00 15.65I (acc) USD 0.96% 4,159,481.366 14.32 13.43 10.36I (acc) EUR 0.96% 4,070,052.976 15.93 13.21 10.72I (acc) GBP 0.94% 324.549 15.57 13.30 11.54N (acc) USD 2.57% 6,039,740.001 9.23 8.73 6.84N (acc) EUR 2.57% 3,734,179.028 7.64 6.38 5.26W (acc) USD 1.05% 787,854.180 12.19 11.43 –W (acc) EUR 1.04% 17,876.067 14.10 11.69 9.50X (acc) USD 0.25% 4,040,979.000 12.20 11.40 –Z (acc) USD 1.31% 478,060.032 15.14 14.23 11.01

Franklin U.S. Dollar Liquid Reserve Fund – USDA (acc) USD 0.25% 14,291,970.387 11.56 11.57 11.59A (Mdis) USD 0.25% 12,135,685.662 9.67 9.68 9.70B (Mdis) USD 1.33% 1,083,117.908 9.12 9.18 9.30C (acc) USD 1.24% 596,778.311 10.04 10.11 10.23I (acc) USD 0.24% 13,287.671 10.00 10.02 10.04N (acc) USD 1.15% 4,904,757.820 10.59 10.65 10.76

Franklin U.S. Equity Fund – USDA (acc) USD 1.82% 16,976,658.205 23.93 22.97 18.94A (acc) EUR 1.82% 574,577.110 19.76 16.77 14.54A (acc) EUR-H1 (hedged) 1.84% 549,999.208 16.87 16.15 13.32A (acc) HKD 1.83% 1,049,554.074 15.66 15.03 12.39A (acc) SGDΩ – – – 13.68 11.46B (acc) USD 3.13% 518,735.248 19.51 18.85 15.75C (acc) USD 2.41% 2,605,331.338 20.74 19.97 16.56I (acc) USD 0.98% 1,928,203.639 19.66 18.80 15.37I (acc) EUR 0.96% 672,131.836 15.06 12.72 10.94I (acc) EUR-H1 (hedged) 0.98% 91,078.020 11.90 11.30 9.24N (acc) USD 2.57% 3,977,483.506 21.30 20.53 17.05N (acc) EUR 2.57% 981,495.487 17.58 14.97 13.08W (acc) EUR 1.05% 9,470.911 13.63 11.52 –X (acc) USD 0.24% 500.000 11.84 11.28 –

Franklin U.S. Focus Fund – USDA (acc) USD 1.87% 1,092,455.664 16.29 15.69 12.11A (acc) EUR-H1 (hedged) 1.90% 216,469.985 9.63 9.31 7.18I (acc) USD 1.01% 451,400.043 17.22 16.51 12.64I (acc) EUR-H1 (hedged) 1.01% 171,057.680 10.23 9.80 7.51N (acc) EUR-H1 (hedged) 2.64% 581,576.617 9.19 8.87 6.91

Franklin U.S. Government Fund – USDA (acc) USD 1.25% 13,395,103.858 10.94 10.82 10.51A (acc) HKD 1.28% 543,416.934 11.24 11.11 10.80A (Mdis) USD 1.27% 59,447,284.197 9.47 9.47 9.41A (Mdis) HKD 1.27% 291,674.044 10.04 10.04 9.98A (Mdis) SGD-H1 (hedged)Ω – – – 10.10 10.05AX (acc) USD 1.47% 5,557,753.466 15.42 15.27 14.86B (acc) USD 2.52% 234,537.170 12.61 12.55 12.35B (Mdis) USD 2.53% 2,887,187.565 9.48 9.48 9.42C (acc) USD 2.05% 2,509,740.063 13.57 13.47 13.19I (acc) USD 0.60% 2,375,509.392 13.58 13.39 12.92I (acc) EUR-H1 (hedged) 0.60% 2,811,660.961 10.42 10.25 9.91I (Mdis) USD 0.60% 15,147,705.391 9.92 9.92 9.85





2014(see note 25)

Shares Outstanding

December 31,2014


December 31,2014

June 30,2014

June 30,2013

I (Mdis) JPY-H1 (hedged) 0.60% 79,230.000 971.04 965.91 961.38N (acc) USD 1.97% 3,380,500.581 14.24 14.13 13.83N (Mdis) USD 1.97% 2,678,644.778 9.51 9.51 9.45W (acc) USD 0.81% 91,153.787 10.28 10.14 9.81W (Mdis) USD 0.80% 18,233.799 9.82 9.82 9.75X (acc) USD 0.26% 500.000 10.48 10.32 –Z (acc) USD 0.97% 597,465.344 11.51 11.37 11.01Z (Mdis) USD 0.97% 459,772.194 9.98 9.97 9.91

Franklin U.S. Low Duration Fund – USDA (acc) USD 1.15% 14,318,215.568 10.54 10.54 10.35A (Mdis) USD 1.15% 127,680,377.658 9.88 9.90 9.78AX (acc) USD 1.35% 3,359,545.473 12.05 12.05 11.86B (Mdis) USD 2.40% 208,055.656 9.59 9.65 9.60C (Mdis) USD 2.04% 2,719,346.503 9.72 9.76 9.67I (acc) USD 0.67% 4,984,362.702 12.68 12.64 12.36I (acc) EUR-H1 (hedged) 0.66% 3,658,222.025 10.46 10.41 10.20N (Mdis) USD 1.85% 6,631,756.420 9.78 9.81 9.70

Franklin U.S. Opportunities Fund – USDA (acc) USD 1.81% 182,591,065.527 11.61 11.22 8.85A (acc) CHF-H1 (hedged) 1.83% 672,979.677 17.28 16.67 13.20A (acc) EUR 1.81% 13,015,943.486 9.60 8.20 6.80A (acc) EUR-H1 (hedged) 1.83% 13,207,583.898 8.11 7.82 6.18A (acc) HKD 1.81% 4,504,126.344 15.66 15.13 11.93A (acc) NOK-H1 (hedged) 1.81% 1,914,930.410 11.38 10.89 –A (acc) RMB-H1 (hedged)* 1.77% 61,360.000 101.41 – –A (acc) SEK-H1 (hedged) 1.84% 2,964,588.561 16.24 15.61 12.20A (acc) SGD 1.81% 5,531,208.243 13.68 12.44 9.97A (acc) SGD-H1 (hedged) 1.82% 2,390,449.437 17.75 17.13 13.53A (Ydis) EUR 1.81% 8,733,485.410 9.78 8.35 6.93A (Ydis) GBP 1.81% 1,022,686.816 7.44 6.55 5.81B (acc) USD 3.13% 5,030,553.008 9.57 9.31 7.44C (acc) USD 2.39% 8,284,830.797 19.00 18.42 14.60I (acc) USD 0.96% 21,541,163.441 28.95 27.86 21.78I (acc) EUR 0.96% 8,833,531.023 23.92 20.34 16.73I (acc) EUR-H1 (hedged) 0.97% 835,572.026 19.94 19.15 14.99I (acc) GBP 0.96% 211.167 15.79 13.84 12.18N (acc) USD 2.56% 13,773,946.479 23.81 23.10 18.35N (acc) EUR 2.56% 4,013,900.351 19.65 16.84 14.07N (acc) EUR-H1 (hedged) 2.59% 352,587.554 14.89 14.41 11.45N (acc) PLN-H1 (hedged) 2.59% 4,529,631.316 21.00 20.05 15.63W (acc) USD 1.04% 10,549,715.163 15.88 15.29 11.96W (acc) EUR 1.05% 4,845,322.791 13.29 11.30 –X (Acc) USD 0.24% 500.000 11.35 10.88 –X (Ydis) USD 0.24% 1,656,407.563 15.75 15.13 11.77Z (acc) USD 1.31% 1,626,373.631 19.77 19.06 14.95

Franklin U.S. Small-Mid Cap Growth Fund – USDA (acc) USD 1.84% 8,592,988.450 19.19 19.03 15.27B (acc) USD 3.15% 305,623.537 26.43 26.38 21.44C (acc) USD 2.41% 1,502,648.819 17.92 17.82 14.38I (acc) USD 0.99% 1,335,972.920 18.86 18.62 14.81N (acc) USD 2.58% 1,614,090.437 17.21 17.12 13.84

Franklin U.S. Total Return Fund – USDA (acc) USD 1.20% 3,386,177.460 16.07 15.86 15.01A (Mdis) USD 1.20% 3,402,256.006 11.41 11.34 10.94C (Mdis) USD 1.98% 1,192,412.519 11.40 11.33 10.93I (acc) USD 0.83% 55,050.373 15.91 15.68 14.80I (Mdis) USD 0.82% 618,906.109 12.03 11.96 11.53N (Mdis) USD 1.90% 3,429,993.527 11.39 11.33 10.93

Franklin World Perspectives Fund – USDA (acc) USD 1.86% 4,565,559.024 19.04 19.55 15.78A (acc) EUR 1.86% 2,592,015.640 21.47 19.48 16.55A (Ydis) GBP 1.86% 23,554.384 21.29 19.90 18.08I (acc) USD 0.98% 2,243,111.186 20.09 20.53 16.43I (acc) EUR 0.97% 4,560,442.819 22.66 20.46 17.23N (acc) USD 2.61% 3,366,942.469 18.18 18.73 15.24W (acc) GBP 1.05% 2,375.104 14.43 13.44 12.12Z (acc) USD* 1.27% 3,780.440 10.12 – –Z (acc) GBP 1.29% 2,105.616 14.35 13.37 12.09

Franklin Mutual Beacon Fund – USDA (acc) USD 1.82% 7,914,591.332 70.89 71.19 58.18A (acc) EUR 1.82% 682,312.223 58.65 52.04 44.74

Franklin U.S. Government Fund – USD (continued)





2014(see note 25)

Shares Outstanding

December 31,2014


December 31,2014

June 30,2014

June 30,2013

A (acc) EUR-H1 (hedged) 1.84% 183,448.995 48.41 48.54 39.66A (acc) SGD 1.82% 488,291.616 11.22 10.60 8.81A (Ydis) USD 1.82% 231,573.555 67.90 68.38 56.02B (acc) USD 3.13% 337,806.900 32.44 32.79 27.15C (acc) USD 2.40% 2,210,958.819 20.18 20.33 16.71I (acc) USD 0.97% 11,174,230.738 19.47 19.47 15.78I (acc) EUR 0.96% 5,895,056.067 16.09 14.22 12.12I (acc) EUR-H1 (hedged) 0.98% 403,101.856 13.42 13.40 10.87N (acc) USD 2.57% 2,350,946.786 35.38 35.67 29.37N (acc) EUR 2.56% 1,465,405.991 29.20 26.01 22.53N (acc) EUR-H1 (hedged) 2.60% 386,111.405 24.39 24.55 20.22Z (acc) USD 1.32% 520,710.341 17.13 17.16 13.95

Franklin Mutual Euroland Fund – EURA (acc) EUR 1.89% 352,372.552 16.14 17.19 13.31N (acc) EUR 2.65% 478,340.737 15.40 16.46 12.84

Franklin Mutual European Fund – EURA (acc) EUR 1.82% 46,816,574.671 22.55 23.11 19.17A (acc) CHF-H1 (hedged)Ω – – – 15.18 12.62A (acc) CZK-H1 (hedged) 1.82% 2,076,650.482 139.17 142.73 118.47A (acc) RMB-H1 (hedged)* 1.77% 60,868.830 102.81 – –A (acc) SEK 1.83% 26,790,497.450 13.73 13.64 10.80A (acc) SGD 1.82% 89,919.571 8.39 9.15 7.34A (acc) USD 1.83% 24,229,389.321 27.29 31.65 24.95A (acc) USD-H1 (hedged)* 1.80% 2,390,015.786 9.90 – –A (Ydis) EUR 1.83% 2,391,291.422 20.12 20.80 17.50A (Ydis) GBP 1.83% 270,326.926 15.70 16.74 15.06B (acc) USD 3.13% 1,330,265.064 22.60 26.38 21.08B (Ydis) EUR 3.13% 27,833.226 18.45 19.03 15.99C (acc) EUR 2.40% 61,417.802 20.50 21.07 17.58C (acc) USD 2.41% 1,930,726.732 24.82 28.86 22.89I (acc) EUR 0.97% 49,206,086.446 20.61 21.03 17.30I (Ydis) EUR 1.00% 8,529.000 17.58 18.27 15.37N (acc) EUR 2.57% 12,155,355.645 18.93 19.47 16.27N (acc) USD 2.57% 1,874,421.568 22.81 26.55 21.09N (acc) USD-H1 (hedged)* 2.53% 110,549.770 10.21 – –W (acc) EUR 1.04% 1,763,765.047 12.26 12.51 10.30W (Ydis) EUR 1.02% 35,265.485 10.77 11.14 –X (acc) EUR 0.27% 362.897 10.55 10.73 –Z (acc) EUR 1.33% 62,145.124 13.78 14.09 11.63Z (acc) USD 1.33% 1,870,789.312 13.74 15.90 12.47Z (acc) USD-H1 (hedged)* 1.28% 75,444.692 10.23 – –

Franklin Mutual Global Discovery Fund – USDA (acc) USD 1.83% 27,835,398.203 17.47 18.72 15.49A (acc) EUR 1.83% 11,093,154.804 17.46 16.53 14.39A (acc) EUR-H2 (hedged) 1.85% 4,509,282.473 12.31 12.56 10.79A (acc) CHF-H1 (hedged)Ω – – – 15.01 12.50A (Ydis) EUR 1.83% 1,715,524.402 24.30 23.15 20.26A (Ydis) GBP 1.83% 147,752.363 19.02 18.68 17.48B (acc) USD 3.14% 701,763.075 15.52 16.73 14.03C (acc) USD 2.41% 4,203,271.361 16.55 17.78 14.80I (acc) USD 0.98% 10,906,639.870 18.94 20.21 16.58I (acc) EUR 0.98% 3,056,203.267 18.94 17.86 15.41I (acc) EUR-H2 (hedged) 0.98% 3,999,159.061 17.17 17.44 14.85N (acc) USD 2.58% 3,138,534.227 16.30 17.53 14.61N (acc) EUR 2.58% 4,759,829.672 16.27 15.46 13.56N (acc) EUR-H2 (hedged) 2.60% 4,300,469.969 11.89 12.17 10.54W (acc) EUR 1.08% 77,625.976 11.43 10.78 –X (acc) EUR 0.28% 3,488,468.000 11.59 10.89 –Z (acc) USD 1.33% 1,583,159.382 14.98 16.00 13.18

Templeton Africa Fund – USDA (acc) USD 2.40% 2,400,797.509 11.19 12.61 11.63A (acc) CHF-H1 (hedged) 2.40% 61,742.314 11.04 12.41 11.54A (acc) EUR 2.40% 1,698,008.664 12.11 12.05 11.69A (acc) EUR-H1 (hedged) 2.40% 990,641.299 11.07 12.44 11.53A (acc) GBP 2.40% 74,404.758 11.61 11.91 12.36A (acc) SGD 2.40% 35,800.728 11.91 12.63 11.84A (Ydis) EUR 2.40% 349,649.930 11.73 11.85 11.63A (Ydis) EUR-H1 (hedged) 2.40% 153,028.095 10.73 12.24 11.48I (acc) USD 1.40% 190,811.691 11.49 12.89 11.77I (acc) EUR 1.40% 2,283,455.716 12.43 12.31 11.83N (acc) EUR-H1 (hedged) 2.90% 1,412,136.534 10.93 12.30 11.45W (acc) EUR 1.60% 3,428.200 10.16 10.08 –W (acc) GBP 1.60% 83,827.840 11.69 11.95 12.30

Franklin Mutual Beacon Fund – USD (continued)





2014(see note 25)

Shares Outstanding

December 31,2014


December 31,2014

June 30,2014

June 30,2013

Templeton ASEAN Fund – USD*A (acc) USD 2.20% 165,000.000 9.95 – –A (acc) SGD 2.20% 220,677.000 10.15 – –A (Ydis) USD 2.20% 165,000.000 9.95 – –

Templeton Asian Bond Fund – USDA (acc) USD 1.39% 29,100,197.677 18.35 18.67 17.74A (acc) CHF-H1 (hedged) 1.41% 5,625,388.837 11.07 11.26 10.75A (acc) EUR 1.39% 7,128,314.069 18.34 16.48 16.48A (acc) EUR-H1 (hedged) 1.41% 9,462,203.110 13.08 13.29 12.65A (Mdis) USD 1.39% 16,409,668.588 13.67 14.11 13.79A (Mdis) AUD-H1 (hedged) 1.41% 180,755.338 9.91 10.07 9.67A (Mdis) EUR 1.39% 3,669,446.600 11.33 10.32 10.62A (Mdis) SGD 1.39% 705,440.387 10.17 9.87 9.80A (Mdis) SGD-H1 (hedged) 1.40% 1,786,733.144 9.80 10.10 9.90B (Mdis) USD 2.90% 905,479.041 13.65 14.08 13.76C (Mdis) USD 2.17% 3,117,136.049 13.65 14.08 13.76I (acc) USD 0.85% 11,525,960.466 19.30 19.58 18.50I (acc) CHF-H1 (hedged) 0.86% 1,706,148.315 11.37 11.52 10.95I (acc) EUR 0.85% 7,009,721.938 15.93 14.28 14.20I (acc) EUR-H1 (hedged) 0.86% 4,064,150.142 12.07 12.21 11.58I (Mdis) EUR 0.85% 2,273,257.859 11.77 10.73 11.04N (acc) USD 2.09% 2,151,139.400 17.21 17.57 16.81N (acc) EUR 2.09% 1,549,870.006 17.20 15.51 15.62N (Mdis) USD 2.09% 2,209,986.963 13.66 14.09 13.77S (acc) USD 0.74% 500.000 10.49 10.64 –S (acc) CHF-H1 (hedged) 0.70% 53,017.500 10.50 10.62 –W (acc) EUR-H1 (hedged) 1.00% 109,603.874 10.89 11.04 10.48W (Mdis) USD 0.99% 5,620,959.596 10.20 10.53 10.29X (Ydis) USD 0.28% 159,922.176 9.95 10.47 10.18Z (acc) USD 1.09% 1,324,338.764 12.15 12.34 11.69

Templeton Asian Dividend Fund – USDA (acc) USD 2.25% 75,344.815 10.16 9.85 9.60A (acc) EUR 2.25% 20,022.279 10.95 9.37 9.61A (Mdis) USD 2.25% 71,531.305 9.57 9.49 9.52A (Mdis) SGD-H1 (hedged) 2.25% 124,430.595 9.51 9.41 9.50A (Qdis) EUR 2.25% 17,935.216 10.38 9.09 9.61A (Ydis) EUR 2.25% 1,967.164 10.38 9.24 9.61I (acc) USD 1.30% 198,000.000 10.34 9.96 9.61I (acc) EUR 1.30% 151,945.358 11.13 9.48 9.62N (acc) EUR 2.75% 44,944.998 10.85 9.31 9.60W (acc) GBP 1.40% 3,064.194 10.24 8.99 9.78W (Qdis) GBP 1.40% 322.966 9.64 8.68 9.78

Templeton Asian Growth Fund – USDA (acc) USD 2.21% 84,160,895.760 34.90 36.34 32.73A (acc) CHF-H1 (hedged) 2.23% 3,335,027.672 12.52 13.02 11.77A (acc) CZK-H1 (hedged) 2.23% 1,317,914.707 108.55 112.80 102.28A (acc) EUR 2.21% 23,616,217.182 28.79 26.49 25.10A (acc) EUR-H1 (hedged) 2.24% 11,568,856.410 23.73 24.65 22.24A (acc) HKD 2.21% 36,875,833.912 10.43 10.86 9.79A (acc) RMB-H1 (hedged) 2.21% 344,734.615 119.24 122.36 108.69A (acc) SGD 2.22% 12,052,951.716 8.78 8.60 7.87A (acc) SGD-H1 (hedged) 2.23% 664,865.441 11.96 12.44 11.24A (Ydis) USD 2.21% 78,073,040.051 32.18 33.61 30.37A (Ydis) EUR 2.22% 6,304,125.655 26.61 24.55 23.36A (Ydis) GBP 2.22% 926,357.137 20.66 19.65 19.98B (acc) USD 3.53% 5,024,358.848 14.85 15.57 14.21C (acc) USD 2.80% 2,921,155.173 29.72 31.04 28.12I (acc) USD 1.21% 104,065,430.741 35.46 36.74 32.76I (acc) CHF-H1 (hedged) 1.23% 639,379.640 10.62 10.98 9.83I (acc) EUR 1.21% 12,139,680.602 29.30 26.82 25.16I (acc) EUR-H1 (hedged) 1.24% 543,707.479 20.97 21.70 19.38I (Ydis) EUR-H2 (hedged) 1.23% 10,212,041.584 9.78 10.87 11.66N (acc) USD 2.71% 7,202,747.564 47.79 49.89 45.16N (acc) EUR 2.72% 3,047,136.460 39.50 36.43 34.70N (acc) EUR-H1 (hedged) 2.74% 1,873,830.932 32.49 33.85 30.68N (acc) HUF 2.72% 2,264,942.518 140.05 126.40 114.66N (acc) PLN-H1 (hedged) 2.75% 14,657,820.518 14.09 14.48 12.88W (acc) USD 1.34% 2,381,043.042 11.67 12.09 10.80W (acc) EUR 1.34% 2,204,884.363 10.79 9.89 9.28W (acc) GBP 1.34% 212,044.580 11.65 11.00 11.05W (Ydis) EUR 1.35% 23,932.385 11.67 10.80 –X (acc) USD 0.31% 500.000 11.00 11.35 –X (Ydis) USD 0.29% 500.000 10.26 10.63 –Z (acc) USD 1.71% 2,509,851.145 13.47 14.00 12.54





2014(see note 25)

Shares Outstanding

December 31,2014


December 31,2014

June 30,2014

June 30,2013

Z (acc) GBP 1.70% 5,694.408 11.55 10.93 11.02Z (Ydis) USD 1.72% 361,145.660 10.09 10.56 9.54Z (Ydis) EUR-H1 (hedged) 1.73% 74,354.095 11.62 12.13 10.98

Templeton Asian Smaller Companies Fund – USDA (acc) USD 2.23% 9,508,042.153 38.53 38.18 31.51A (acc) EUR 2.22% 4,334,723.443 43.46 38.04 33.03A (acc) SGD 2.23% 198,943.501 34.90 32.54 27.30A (Ydis) USD 2.23% 3,289,895.032 37.99 37.82 31.24B (acc) USD 3.54% 402,432.285 36.87 36.77 30.75I (acc) USD 1.20% 6,325,982.619 41.12 40.53 33.11I (acc) EUR 1.20% 3,691,296.059 46.36 40.37 34.70N (acc) USD 2.73% 1,557,044.659 14.26 14.16 11.74N (acc) EUR 2.73% 387,114.611 16.74 14.69 12.82W (acc) USD 1.32% 330,482.424 11.41 11.25 9.20W (acc) EUR 1.32% 908,516.321 12.93 11.27 –X (Ydis) USD 0.28% 500.000 10.96 10.81 –

Templeton BRIC Fund – USDA (acc) USD 2.46% 55,434,293.738 13.66 15.12 13.06A (acc) EUR 2.46% 6,833,628.031 13.66 13.36 12.14A (acc) EUR-H1 (hedged) 2.48% 1,353,138.778 8.97 9.90 8.58A (acc) HKD 2.46% 65,784.518 7.43 8.22 7.10A (acc) SGDΩ – – – 5.18 4.55A (Ydis) EUR 2.46% 81,470.538 19.75 19.40 17.63A (Ydis) GBP 2.46% 116,982.251 15.40 15.55 15.11B (acc) USD 3.77% 1,253,704.579 12.15 13.54 11.85C (acc) USD 3.04% 1,471,877.604 12.94 14.37 12.48I (acc) USD 1.39% 176,450.573 15.08 16.60 14.19I (acc) EUR 1.39% 118,112.073 12.48 12.14 10.91N (acc) USD 2.96% 1,513,372.417 13.05 14.48 12.57N (acc) EUR 2.96% 2,934,373.600 13.05 12.79 11.68N (acc) PLN-H1 (hedged) 3.00% 2,232,226.526 7.96 8.69 7.42W (acc) GBP 1.60% 16,122.682 10.05 10.09 9.72Z (acc) USD 1.96% 156,568.079 8.28 9.14 7.86

Templeton China Fund – USDA (acc) USD 2.44% 31,772,918.333 22.87 22.56 20.83A (acc) HKD 2.44% 222,071.670 10.35 10.21 9.43A (acc) SGD 2.44% 1,965,648.861 7.46 6.93 6.50A (Ydis) EUR 2.44% 1,056,467.308 18.33 15.98 15.59A (Ydis) GBP 2.44% 211,912.802 14.12 12.69 13.26B (acc) USD 3.75% 1,658,328.530 10.05 9.98 9.34C (acc) USD 3.02% 842,742.020 16.22 16.05 14.90I (acc) USD 1.38% 2,022,197.193 27.41 26.91 24.57I (Ydis) GBP 1.38% 198,426.656 8.82 7.97 8.32N (acc) USD 2.93% 1,949,427.469 22.52 22.28 20.67W (acc) USD 1.55% 251,578.007 9.89 9.71 8.88W (acc) EUR 1.54% 925.000 10.68 9.26 8.91W (acc) GBP 1.55% 76,105.386 10.91 9.76 10.05W (Ydis) EUR 1.54% 61,129.774 10.35 9.07 8.87X (acc) USD 0.27% 500.000 10.05 9.80 –X (acc) HKD 0.26% 12,526,448.409 9.87 9.63 8.70Z (acc) USD 1.94% 619,919.758 9.31 9.17 8.42Z (Ydis) EURΩ – – – 9.97 9.72

Templeton Constrained Bond Fund – USDA (acc) USD 1.20% 5,243.691 10.07 10.21 –A (Mdis) USD 1.20% 1,111.487 10.02 10.18 –A (Mdis) EUR 1.20% 76,218.069 11.20 10.06 –I (acc) USD 0.66% 498,750.000 10.15 10.25 –I (acc) EUR 0.66% 368,897.944 11.34 10.12 –N (acc) USD 1.90% 53,434.203 9.99 10.16 –N (Mdis) USD 1.90% 27,647.150 9.98 10.15 –

Templeton Eastern Europe Fund – EURA (acc) EUR 2.55% 9,724,919.716 17.14 21.41 20.40A (acc) SGDΩ – – – 4.53 4.17A (acc) USD 2.55% 2,986,338.690 20.73 29.30 26.55A (Ydis) EUR 2.55% 67,531.420 16.95 21.17 20.18A (Ydis) GBP 2.55% 43,477.761 13.12 16.90 17.22B (acc) USD 3.87% 1,343,988.777 4.67 6.65 6.10B (Ydis) EUR 3.86% 151,406.356 3.86 4.85 4.69C (acc) USD 3.12% 95,131.887 6.74 9.55 8.70I (acc) EUR 1.40% 2,021,415.391 12.39 15.38 14.49N (acc) EUR 3.05% 657,191.575 15.84 19.83 19.00W (acc) EUR 1.67% 42,591.493 7.81 9.71 –

Templeton Asian Growth Fund – USD (continued)





2014(see note 25)

Shares Outstanding

December 31,2014


December 31,2014

June 30,2014

June 30,2013

X (acc) EUR 0.30% 782,170.530 6.43 7.94 7.40Z (acc) USD 2.06% 73,534.459 6.09 8.59 7.74

Templeton Emerging Markets Fund – USDA (acc) USD 2.47% 9,434,260.547 33.85 36.80 34.33A (acc) EUR-H1 (hedged) 2.49% 364,417.592 8.43 9.15 8.55A (acc) HKD 2.46% 13,181.257 9.77 10.63 9.92A (acc) SGD 2.47% 4,134,457.929 6.97 7.14 6.77A (Ydis) USD 2.47% 7,968,662.095 32.31 35.22 32.97B (acc) USD 3.78% 668,274.090 16.12 17.64 16.68C (acc) USD 3.05% 1,052,142.805 28.68 31.28 29.35I (acc) USD 1.38% 2,254,807.994 22.25 24.07 22.21I (acc) EUR-H1 (hedged) 1.41% 50,437.755 8.78 9.50 8.75N (acc) USD 2.97% 2,008,458.093 18.17 19.81 18.57N (acc) EUR 2.97% 1,204,262.873 15.03 14.48 14.28W (acc) USD 1.61% 107,343.402 9.77 10.59 –Z (acc) USD 1.97% 57,039.985 9.27 10.06 –

Templeton Emerging Markets Balanced Fund – USDA (acc) USD 2.10% 1,568,771.036 8.47 9.25 8.56A (acc) CHF-H1 (hedged)Ω – – – 9.02 8.38A (acc) EUR 2.10% 814,550.976 10.37 10.00 9.74A (acc) EUR-H1 (hedged) 2.11% 341,985.994 8.36 9.12 8.46A (Qdis) USD 2.10% 562,672.076 7.78 8.61 8.22A (Qdis) GBP 2.11% 2,480.124 8.34 8.41 9.03A (Qdis) GBP-H1 (hedged)Ω – – – 8.59 8.21A (Qdis) SGD-H1 (hedged) 2.11% 131,078.125 7.64 8.45 8.11A (Ydis) EUR 2.10% 869,416.320 9.56 9.48 9.52A (Ydis) EUR-H1 (hedged) 2.11% 574,084.118 7.68 8.63 8.23B (Mdis) USD 3.62% 34,734.512 7.95 8.69 8.28C (acc) USD 2.86% 287,066.017 8.38 9.19 8.57I (acc) USD 1.24% 569.476 8.70 9.46 8.70I (acc) EUR 1.25% 280,368.039 10.69 10.27 9.91I (acc) EUR-H1 (hedged) 1.27% 54,812.278 8.62 9.36 8.60I (Ydis) EUR-H1 (hedged) 1.25% 47,242.928 7.72 8.69 8.31N (acc) USD 2.55% 835,969.204 8.33 9.12 8.48N (acc) EUR-H1 (hedged) 2.55% 609,563.501 8.23 8.99 8.38W (Qdis) GBP 1.40% 5,692.324 9.22 9.30 9.99X (acc) USD 0.30% 38,642.493 9.03 9.77 8.88Z (acc) USD 1.78% 364,482.502 8.56 9.33 8.60Z (Qdis) GBP 1.60% 871.009 9.22 9.30 9.99

Templeton Emerging Markets Bond Fund – USDA (acc) USD 1.89% 27,212,396.883 12.46 13.47 12.70A (acc) CHF-H1 (hedged) 1.91% 1,786,232.342 11.73 12.68 12.02A (acc) EUR-H1 (hedged) 1.90% 2,208,798.540 10.37 11.19 10.58A (acc) NOK-H1 (hedged) 1.93% 1,535,877.017 11.61 12.48 11.62A (acc) SEK-H1 (hedged) 1.92% 6,267,082.179 11.44 12.33 11.55A (Mdis) USD 1.89% 102,158,591.227 10.20 11.35 11.37A (Mdis) AUD-H1 (hedged) 1.91% 2,120,364.085 8.83 9.69 9.54A (Mdis) HKD 1.89% 1,203,046.436 9.27 10.31 10.34A (Mdis) SGD-H1 (hedged) 1.89% 1,757,001.242 8.45 9.40 9.44A (Qdis) USD 1.89% 63,270,841.659 17.69 19.66 19.68A (Qdis) EUR 1.89% 27,991,411.122 14.70 14.45 15.21A (Qdis) GBP 1.89% 780,414.343 9.84 9.97 11.22A (Ydis) EUR-H1 (hedged) 1.91% 14,796,631.444 9.12 10.42 10.50B (Mdis) USD 3.20% 28,780,092.207 10.19 11.34 11.36B (Qdis) USD 3.20% 11,158,253.053 15.99 17.77 17.79C (acc) USD 2.47% 1,687,487.960 26.18 28.40 26.93I (acc) USD 1.02% 58,873,086.056 23.71 25.53 23.86I (acc) CHF-H1 (hedged) 1.04% 1,989,070.204 10.61 11.41 10.71I (acc) EUR-H1 (hedged) 1.04% 9,715,379.362 12.08 12.98 12.16I (Qdis) USD 1.03% 28,803,844.786 13.86 15.41 15.42I (Qdis) GBP-H1 (hedged) 1.04% 5,180,249.601 9.29 10.29 10.31I (Ydis) EUR-H1 (hedged) 1.03% 1,627,230.130 9.11 10.48 10.56N (acc) USD 2.39% 5,932,725.611 31.71 34.38 32.57N (Mdis) USD* 2.38% 3,655.076 9.39 – –W (acc) USD 1.12% 445,209.727 9.61 10.35 –W (acc) EUR-H1 (hedged) 1.12% 225,567.975 9.50 10.21 9.58W (Qdis) USD 1.12% 2,272,442.970 8.55 9.50 9.52W (Qdis) EUR 1.12% 1,894,092.439 10.29 10.10 –W (Qdis) GBP 1.12% 331.126 8.80 8.91 –W (Qdis) GBP-H1 (hedged) 1.12% 106,635.923 9.66 10.70 10.72Z (acc) USD 1.39% 1,578,422.571 12.55 13.54 12.70Z (Mdis) USD 1.40% 596,363.164 8.87 9.86 9.88Z (Qdis) GBP-H1 (hedged) 1.39% 43,308.370 9.64 10.68 10.70

Templeton Eastern Europe Fund – EUR (continued)





2014(see note 25)

Shares Outstanding

December 31,2014


December 31,2014

June 30,2014

June 30,2013

Templeton Emerging Markets Smaller Companies Fund – USDA (acc) USD 2.50% 15,331,793.692 10.11 9.87 8.02A (acc) EUR 2.50% 5,105,626.227 11.95 10.30 8.80A (Ydis) USD 2.50% 798,575.803 9.72 9.51 7.81A (Ydis) GBP 2.50% 393,254.679 12.72 11.34 10.47C (acc) USD 3.08% 847,938.753 10.78 10.55 8.62I (acc) USD 1.44% 2,432,562.003 10.93 10.61 8.53I (acc) EUR 1.43% 748,637.895 12.91 11.07 9.36N (acc) USD 3.00% 3,853,351.470 9.76 9.55 7.80W (acc) USD 1.65% 465,757.504 11.76 11.43 –W (acc) GBP 1.65% 609,655.744 14.43 12.77 11.57

Templeton Euroland Fund – EURA (acc) EUR 1.85% 5,729,367.456 17.36 18.59 14.75A (Ydis) EUR 1.85% 327,299.705 15.16 16.54 13.26B (acc) USD 3.16% 417,625.379 8.48 10.35 7.91B (Ydis) EUR 3.18% 52,184.836 6.81 7.41 5.99I (acc) EUR 0.98% 2,062,623.704 15.97 17.03 13.39N (acc) EUR 2.60% 2,829,636.352 10.31 11.08 8.86X (acc) EUR 0.26% 362.897 10.32 10.96 –

Templeton European Fund – EURA (acc) EUR 1.84% 3,058,403.753 19.10 20.41 16.60A (acc) SGD 1.83% 4,865,469.268 7.37 8.39 6.59A (acc) USD 1.84% 3,994,329.957 23.08 27.91 21.57A (Ydis) USD 1.83% 7,657,913.826 19.47 23.82 18.69I (acc) EUR 0.98% 957,617.248 16.47 17.52 14.13N (acc) EUR 2.58% 517,987.809 17.43 18.69 15.31W (acc) EUR 1.02% 4,622.868 9.32 9.92 –Z (acc) EUR 1.30% 3,641.996 9.31 9.92 –

Templeton Frontier Markets Fund – USDA (acc) USD 2.59% 15,760,277.376 18.56 20.39 17.40A (acc) EUR 2.59% 10,565,828.923 20.93 20.32 18.25A (acc) EUR-H1 (hedged) 2.62% 7,725,267.146 11.23 12.31 10.53A (acc) SGD 2.59% 312,672.745 16.82 17.39 15.09A (Ydis) USD 2.59% 1,670,438.934 17.50 19.43 16.85A (Ydis) GBP 2.59% 966,219.634 19.60 19.81 19.29B (acc) USD 3.91% 50,738.774 16.19 17.91 15.49C (acc) USD 3.17% 295,203.616 16.93 18.65 16.02I (acc) USD 1.53% 8,273,185.043 19.84 21.69 18.31I (acc) EUR 1.53% 14,764,438.790 22.38 21.61 19.20I (Ydis) GBP 1.53% 2,425,588.353 19.91 20.24 19.70N (acc) EUR 3.09% 2,724,317.157 20.29 19.75 17.82N (acc) EUR-H1 (hedged) 3.12% 5,737,820.089 17.13 18.82 16.18N (acc) PLN-H1 (hedged) 3.12% 4,728,805.532 12.27 13.28 11.20W (acc) USD 1.74% 957,628.586 13.42 14.68 12.42W (acc) EUR 1.71% 967,915.083 11.39 11.00 –W (acc) GBP 1.72% 477,618.030 12.92 12.87 12.25X (acc) USD 0.30% 500.000 12.78 13.89 11.59Z (acc) GBP 2.07% 30,003.993 12.80 12.78 12.21Z (Ydis) EUR-H1 (hedged) 2.11% 177,673.815 10.70 11.88 10.31

Templeton Global Fund – USDA (acc) USD 1.83% 9,609,563.989 37.83 40.90 32.10A (acc) HKD 1.83% 1,410,813.928 15.37 16.61 13.04A (acc) SGD 1.83% 14,833,099.523 9.42 9.58 7.65A (Ydis) USD 1.83% 24,024,314.246 34.12 37.05 29.24B (acc) USD 3.14% 864,519.830 22.69 24.69 19.63C (acc) USD 2.41% 825,898.252 21.69 23.51 18.56I (acc) USD 0.98% 9,744,273.557 21.63 23.28 18.12N (acc) USD 2.58% 1,850,862.069 24.57 26.66 21.08W (Ydis) USD 1.08% 244,620.939 10.87 11.83 –X (Ydis) USD 0.27% 500.000 9.47 10.19 –Z (acc) USD* 1.28% 829.949 9.95 – –

Templeton Global (Euro) Fund – EURA (acc) EUR 1.83% 2,354,922.645 19.19 18.22 15.08A (Ydis) EUR 1.83% 36,578,656.910 17.54 16.73 13.93B (acc) USD 3.14% 25,346.754 10.58 11.45 9.13I (acc) EUR 0.97% 323,291.093 18.55 17.54 14.39I (acc) EUR-H2 (hedged) 0.96% 620,192.984 17.48 17.56 14.18N (acc) EUR 2.58% 539,771.267 15.91 15.17 12.65W (acc) EUR 1.06% 52,933.912 11.65 11.02 –Z (acc) EUR 1.33% 35,707.687 10.71 10.14 –





2014(see note 25)

Shares Outstanding

December 31,2014


December 31,2014

June 30,2014

June 30,2013

Templeton Global Balanced Fund – USDA (acc) USD 1.63% 12,494,888.863 27.62 29.57 25.15A (acc) EUR 1.63% 2,478,774.996 22.83 21.60 19.33A (acc) EUR-H1 (hedged) 1.65% 1,425,838.947 18.80 20.12 17.16A (acc) SGD 1.63% 30,722,084.430 10.40 10.48 9.06A (Qdis) USD 1.63% 14,750,276.859 22.76 24.49 21.00B (acc) USD 2.94% 2,469,465.637 17.64 19.01 16.38C (Qdis) USD 2.21% 4,629,711.457 13.36 14.38 12.36I (Ydis) USD 0.87% 1,930,911.589 12.58 13.61 11.71N (acc) EUR 2.13% 4,008,515.228 16.18 15.35 13.80N (acc) EUR-H1 (hedged) 2.15% 3,096,101.071 9.86 10.57 9.06W (acc) USD 0.98% 578,779.288 10.07 10.75 –X (Ydis) USD 0.26% 500.000 9.60 10.28 –Z (acc) USD 1.12% 182,788.049 9.44 10.09 –

Templeton Global Bond Fund – USDA (acc) USD 1.39% 164,644,436.499 29.03 29.56 27.87A (acc) CHF-H1 (hedged) 1.41% 17,145,696.473 12.97 13.20 12.50A (acc) CZK-H1 (hedged) 1.38% 13,748,497.412 112.27 113.99 107.79A (acc) EUR 1.39% 90,482,236.026 23.99 21.58 21.41A (acc) EUR-H1 (hedged) 1.41% 125,111,474.904 21.05 21.41 20.22A (acc) HKD 1.39% 3,751,050.594 12.85 13.08 12.34A (acc) NOK-H1 (hedged) 1.42% 7,729,941.252 13.54 13.66 12.70A (acc) SEK-H1 (hedged) 1.42% 33,577,948.438 13.17 13.34 12.48A (Mdis) USD 1.39% 272,919,842.775 20.87 21.47 20.72A (Mdis) AUD-H1 (hedged) 1.40% 3,015,999.440 11.84 12.01 11.36A (Mdis) CAD-H1 (hedged) 1.39% 1,721,559.473 11.06 11.31 10.83A (Mdis) EUR 1.39% 37,680,133.362 17.26 15.69 15.93A (Mdis) EUR-H1 (hedged) 1.40% 74,308,425.506 13.46 13.81 13.36A (Mdis) GBP 1.40% 4,567,550.186 13.42 12.58 13.65A (Mdis) GBP-H1 (hedged) 1.40% 8,296,187.377 10.73 11.00 10.62A (Mdis) HKD 1.39% 29,574,083.938 11.31 11.64 11.23A (Mdis) RMB-H1 (hedged) 1.37% 301,043.924 109.37 110.75 105.33A (Mdis) SGD 1.39% 10,326,669.222 11.97 11.59 11.37A (Mdis) SGD-H1 (hedged) 1.39% 35,236,475.559 12.83 13.18 12.75A (Ydis) CHF-H1 (hedged) 1.40% 3,040,745.044 11.07 11.51 11.17A (Ydis) EUR 1.39% 41,801,191.596 17.49 16.11 16.36A (Ydis) EUR-H1 (hedged) 1.40% 125,005,506.167 10.74 11.15 10.78AX (acc) USD 1.59% 28,024,169.233 21.94 22.37 21.13B (Mdis) USD 2.90% 14,267,978.761 21.74 22.37 21.58C (Mdis) USD 2.17% 62,782,348.819 16.01 16.47 15.89I (acc) USD 0.84% 90,525,383.034 24.01 24.39 22.86I (acc) CHF-H1 (hedged) 0.85% 17,149,430.113 12.52 12.68 11.96I (acc) EUR 0.84% 30,784,234.235 19.71 17.69 17.45I (acc) EUR-H1 (hedged) 0.85% 45,015,864.274 17.53 17.74 16.68I (acc) NOK-H1 (hedged) 0.86% 113,373,487.953 10.24 10.29 9.53I (acc) NZD-H1 (hedged) 0.84% 4,497,107.278 10.37 10.34 –I (Mdis) EUR 0.84% 7,876,449.904 14.44 13.13 13.33I (Mdis) GBP 0.84% 11,344,908.299 12.52 11.74 12.74I (Mdis) GBP-H1 (hedged) 0.85% 119,563,804.721 11.79 12.08 11.68I (Mdis) JPY 0.84% 6,683,914.379 1,507.76 1,311.67 1,239.04I (Mdis) JPY-H1 (hedged) 0.85% 5,526,481.370 1,061.42 1,087.90 1,050.01I (Ydis) EUR 0.85% 1,810,790.823 15.35 14.16 14.38I (Ydis) EUR-H1 (hedged) 0.85% 27,577,154.968 10.85 11.31 10.95N (acc) USD 2.09% 41,528,938.913 28.41 29.03 27.56N (acc) EUR 2.09% 17,350,262.550 23.48 21.20 21.17N (acc) EUR-H1 (hedged) 2.10% 55,054,075.590 20.65 21.07 20.06N (acc) HUF 2.09% 9,356,728.867 141.43 124.95 118.87N (acc) PLN-H1 (hedged) 2.11% 28,368,351.412 14.06 14.14 13.18N (Mdis) USD 2.09% 6,899,680.642 11.17 11.50 11.09N (Mdis) EUR-H1 (hedged) 2.11% 84,735,315.782 15.74 16.16 15.64N (Ydis) EUR-H1 (hedged) 2.10% 16,375,362.679 10.75 11.13 10.78S (acc) USD 0.74% 360,665.000 10.38 10.54 –W (acc) USD 0.97% 3,624,105.071 11.53 11.71 11.00W (acc) CHF-H1 (hedged) 0.98% 44,067.500 10.17 10.30 –W (acc) EUR 0.98% 5,000,370.496 11.07 9.93 9.82W (acc) EUR-H1 (hedged) 0.98% 3,441,432.789 11.47 11.62 10.94W (Mdis) USD 0.97% 2,275,673.216 9.80 10.08 9.72W (Mdis) EUR 0.99% 283,177.659 11.24 10.22 –W (Mdis) GBP 0.97% 3,581,063.777 11.00 10.31 11.20W (Mdis) GBP-H1 (hedged) 0.97% 8,304,585.071 11.14 11.42 11.04W (Ydis) EUR 0.99% 825,326.992 11.36 10.40 –W (Ydis) EUR-H1 (hedged) 0.97% 335,780.109 9.87 10.28 9.77X (acc) EUR 0.29% 12,688,406.002 11.71 10.47 –Z (acc) USD 1.09% 14,796,689.298 12.81 13.02 12.24





2014(see note 25)

Shares Outstanding

December 31,2014


December 31,2014

June 30,2014

June 30,2013

Z (acc) EUR 1.09% 138,509.829 13.65 12.26 12.12Z (Mdis) USD 1.09% 11,706,105.570 10.57 10.88 10.49Z (Mdis) GBP-H1 (hedged) 1.08% 126,329.899 11.15 11.43 11.03Z (Ydis) EUR-H1 (hedged) 1.10% 465,673.219 10.76 11.20 10.84

Templeton Global Bond (Euro) Fund – EURA (acc) EUR 1.40% 13,464,385.150 15.14 15.37 14.69A (acc) USD 1.39% 166,518.880 10.39 11.93 10.84A (Ydis) EUR 1.40% 10,312,675.593 10.32 10.77 10.56I (acc) EUR 0.85% 7,250,207.204 15.41 15.60 14.82N (acc) EUR 2.10% 10,568,905.572 13.99 14.25 13.72W (acc) EUR 0.98% 33,094.414 10.28 10.41 –

Templeton Global Equity Income Fund – USDA (acc) USD 1.60% 3,110,902.300 13.10 14.46 11.72A (acc) EUR 1.60% 298,578.308 13.61 13.28 11.32A (Mdis) RMB-H1 (hedged)* 1.79% 61,360.000 98.46 – –A (Qdis) USD 1.60% 18,875,338.861 10.08 11.32 9.55A (Qdis) SGD 1.82% 19,918,679.671 6.49 6.86 5.90B (Qdis) USD 2.91% 2,277,092.443 9.82 11.10 9.48I (Ydis) USD 0.95% 500.000 9.65 10.88 –

Templeton Global High Yield Fund – USDA (acc) USD 1.70% 986,311.340 14.07 15.12 13.87A (acc) EUR 1.70% 2,395,853.313 11.64 11.05 10.66A (Mdis) USD 1.69% 1,834,162.293 9.46 10.39 10.01A (Mdis) EUR 1.70% 12,252,775.145 7.83 7.60 7.70I (acc) USD 0.93% 28,700.548 14.89 15.94 14.50I (acc) EUR 0.90% 745,788.207 12.28 11.61 11.11N (acc) EUR 2.19% 3,191,903.258 11.19 10.65 10.33

Templeton Global Income Fund – USDA (acc) USD 1.69% 25,339,814.417 18.54 19.65 16.82A (acc) EUR 1.69% 11,875,097.740 19.28 18.05 16.26A (acc) EUR-H1 (hedged) 1.66% 481,225.940 10.13 10.72 –A (acc) HKD 1.68% 1,092,813.788 13.25 14.04 12.04A (Mdis) SGD-H1 (hedged) 1.66% 61,770.000 9.86 10.49 –A (Qdis) USD 1.69% 19,457,631.843 14.09 15.08 13.10A (Qdis) EUR-H1 (hedged) 1.66% 884,574.266 10.01 10.69 –A (Qdis) HKD 1.69% 6,102,872.849 12.16 13.01 11.31A (Qdis) SGD 1.69% 212,135.727 11.78 11.87 10.48B (Qdis) USD 3.00% 2,717,516.398 13.99 14.98 13.03C (Qdis) USD 2.27% 12,367,289.054 14.03 15.02 13.04I (acc) USD 0.89% 12,740,801.255 19.74 20.84 17.69I (acc) EUR-H1 (hedged) 0.88% 1,920,958.935 10.21 10.75 –N (acc) USD 2.19% 24,498,261.102 17.68 18.78 16.16N (acc) EUR-H1 (hedged)* 2.14% 40,146.130 9.88 – –N (Qdis) EUR-H1 (hedged) 2.20% 1,210,059.020 9.99 10.67 –Z (acc) USD 1.04% 1,972,342.397 14.55 15.37 13.07

Templeton Global Smaller Companies Fund – USDA (acc) USD 1.87% 1,575,105.663 35.71 39.36 33.78A (Ydis) USD 1.87% 2,350,597.207 33.71 37.16 32.03B (acc) USD 3.18% 249,945.590 9.47 10.51 9.14C (acc) EUR 2.45% 7,169.982 11.51 11.24 10.21I (acc) USD 1.03% 210,082.171 16.14 17.72 15.10N (acc) USD 2.62% 209,969.032 23.82 26.35 22.79

Templeton Global Total Return Fund – USDA (acc) USD 1.40% 207,186,573.521 29.29 30.04 28.20A (acc) CHF-H1 (hedged) 1.42% 23,086,562.337 14.58 14.93 14.09A (acc) EUR 1.40% 45,925,112.621 24.19 21.92 21.65A (acc) EUR-H1 (hedged) 1.41% 101,221,529.201 21.04 21.51 20.26A (acc) HKD 1.41% 14,754,929.371 14.05 14.41 13.53A (acc) NOK-H1 (hedged) 1.41% 11,006,249.815 10.48 10.63 9.86A (acc) PLN-H1 (hedged) 1.42% 13,185,411.894 85.02 85.92 79.28A (acc) SEK-H1 (hedged) 1.43% 96,538,397.995 12.79 13.05 12.15A (Mdis) USD 1.40% 217,425,488.710 17.73 18.49 17.98A (Mdis) AUD-H1 (hedged) 1.42% 11,588,681.842 11.92 12.27 11.68A (Mdis) EUR 1.40% 38,888,750.998 14.71 13.55 13.86A (Mdis) EUR-H1 (hedged) 1.42% 111,710,421.234 11.42 11.89 11.58A (Mdis) GBP 1.41% 3,983,870.679 11.42 10.85 11.87A (Mdis) GBP-H1 (hedged) 1.41% 13,903,343.241 8.80 9.14 8.89A (Mdis) HKD 1.41% 210,671,841.043 11.60 12.10 11.77A (Mdis) RMB-H1 (hedged) 1.39% 1,233,289.164 108.96 111.85 107.17A (Mdis) SGD 1.41% 10,305,712.989 11.94 11.71 11.58A (Mdis) SGD-H1 (hedged) 1.41% 59,711,859.303 11.61 12.11 11.80

Templeton Global Bond Fund – USD (continued)





2014(see note 25)

Shares Outstanding

December 31,2014


December 31,2014

June 30,2014

June 30,2013

A (Ydis) CHF-H1 (hedged) 1.42% 3,158,620.620 11.09 11.75 11.56A (Ydis) EUR 1.40% 31,900,621.719 14.97 14.04 14.45A (Ydis) EUR-H1 (hedged) 1.42% 51,080,865.253 11.05 11.69 11.47B (acc) USD 2.91% 2,591,195.588 24.79 25.62 24.42B (Mdis) USD 2.91% 9,835,829.568 17.67 18.43 17.92C (Mdis) USD 2.18% 43,527,226.148 15.78 16.46 16.00I (acc) USD 0.86% 88,224,319.423 27.66 28.29 26.41I (acc) USD-H4 (BRL) (hedged)* 0.86% 92,000.000 9.02 – –I (acc) CHF-H1 (hedged) 0.87% 8,136,180.269 12.93 13.20 12.39I (acc) EUR 0.86% 9,667,984.622 22.88 20.68 20.31I (acc) EUR-H1 (hedged) 0.86% 49,510,926.238 19.27 19.64 18.39I (acc) NOK-H1 (hedged) 0.87% 5,147,501.932 10.20 10.32 9.51I (Mdis) EUR 0.86% 858,015.651 14.39 13.27 13.57I (Mdis) GBP 0.86% 240,590.154 13.30 12.63 13.81I (Mdis) GBP-H1 (hedged) 0.86% 19,001,509.246 12.44 12.93 12.59I (Mdis) JPY 0.85% 162,664,479.200 1,516.77 1,337.56 1,273.03I (Mdis) JPY-H1 (hedged) 0.85% 10,715,455.348 1,021.25 1,061.62 1,032.34I (Ydis) EUR 0.85% 3,255,205.446 14.99 14.09 14.50I (Ydis) EUR-H1 (hedged) 0.88% 26,704,123.434 11.15 11.83 11.56N (acc) USD 2.10% 53,867,970.378 27.06 27.85 26.32N (acc) EUR 2.10% 27,464,137.830 22.34 20.32 20.20N (acc) EUR-H1 (hedged) 2.13% 72,880,887.583 19.38 19.92 18.86N (acc) HUF 2.11% 16,190,340.598 151.69 134.98 127.85N (Mdis) USD 2.10% 732,030.754 9.33 9.73 9.46N (Mdis) EUR-H1 (hedged) 2.12% 131,045,653.180 13.55 14.10 13.75N (Ydis) EUR-H1 (hedged) 2.12% 19,939,833.419 11.06 11.67 11.45S (acc) USD 0.74% 167,197.000 10.37 10.60 –S (acc) EUR-H1 (hedged) 0.74% 163,716.995 10.37 10.58 –S (Ydis) USD 0.74% 2,359,000.000 9.82 10.08 –W (acc) USD 0.98% 7,361,053.224 11.89 12.17 11.37W (acc) CHF-H1 (hedged) 0.98% 160,403.771 10.06 10.27 –W (acc) EUR 1.00% 2,931,167.148 11.43 10.34 –W (acc) EUR-H1 (hedged) 1.00% 5,263,625.836 11.86 12.11 11.35W (acc) GBP-H1 (hedged) 0.98% 97,061.130 10.07 10.27 –W (Mdis) USD 0.98% 3,850,231.138 9.59 10.00 9.72W (Mdis) EUR 1.00% 1,372,628.382 11.07 10.20 –W (Mdis) GBP 0.99% 1,087,579.186 10.96 10.42 11.39W (Mdis) GBP-H1 (hedged) 0.99% 3,974,201.372 9.64 10.01 9.74W (Ydis) EUR 0.99% 162,208.146 11.12 10.34 –X (Ydis) USD 0.29% 1,036,795.740 10.90 11.63 11.38Z (acc) USD 1.10% 11,917,967.334 13.98 14.31 13.39Z (Mdis) USD 1.10% 5,680,186.931 10.63 11.09 10.78Z (Mdis) GBP-H1 (hedged) 1.09% 662,475.247 11.11 11.54 11.24Z (Ydis) EUR-H1 (hedged) 1.09% 4,160,824.669 11.00 11.66 11.42

Templeton Growth (Euro) Fund – EURA (acc) EUR 1.82% 409,089,262.154 15.14 14.43 12.15A (acc) USD 1.82% 17,427,976.137 18.33 19.78 15.83A (Ydis) EUR 1.82% 16,068,008.383 15.57 14.93 12.61A (Ydis) USD 1.82% 1,701,040.700 18.79 20.40 16.38B (Ydis) EUR 3.15% 82,046.318 10.60 10.17 8.68I (acc) EUR 0.97% 12,267,658.793 16.95 16.08 13.43I (Ydis) EUR 0.97% 2,412,826.977 14.65 14.10 11.91I (Ydis) USD 0.96% 429,703.779 17.82 19.42 15.59N (acc) EUR 2.57% 2,217,484.410 13.52 12.93 10.97

Templeton Korea Fund – USDA (acc) USD 2.50% 8,602,094.985 5.24 6.27 5.12A (acc) SGD 2.50% 3,325,398.988 5.98 6.72 5.58C (acc) USD 3.08% 14,077.525 8.91 10.68 8.77I (acc) USD 1.41% 2,169,299.834 10.30 12.25 9.89N (acc) USD 3.00% 336,577.685 14.08 16.88 13.85

Templeton Latin America Fund – USDA (acc) USD 2.28% 3,035,555.214 57.64 72.26 69.21A (acc) EUR 2.27% 555,967.546 7.41 8.22 8.28A (acc) SGD 2.28% 2,497,288.678 6.23 7.35 7.15A (Ydis) USD 2.28% 18,540,938.874 52.42 66.14 63.65A (Ydis) EUR 2.28% 310,231.379 43.38 48.37 48.96A (Ydis) GBP 2.28% 71,292.519 33.80 38.83 42.02B (acc) USD 3.59% 1,770,910.076 10.59 13.36 12.97C (acc) USD 2.86% 381,412.852 11.23 14.12 13.61I (acc) USD 1.31% 3,697,999.039 18.21 22.72 21.55I (Ydis) EUR-H2 (hedged) 1.31% 7,350,334.532 7.64 9.00 9.08N (acc) USD 2.78% 1,105,704.787 29.88 37.54 36.14N (acc) EUR 2.78% 22,919.157 7.28 8.08 8.18

Templeton Global Total Return Fund – USD (continued)

62 Unaudited Semi-Annual Report www.franklintempleton.lu www.franklintempleton.lu Unaudited Semi-Annual Report PB




2014(see note 25)

Shares Outstanding

December 31,2014


December 31,2014

June 30,2014

June 30,2013

N (acc) PLN-H1 (hedged) 2.82% 3,273,879.229 7.39 9.16 8.70W (acc) GBP 1.41% 76,622.509 7.83 8.90 9.51W (Ydis) USD 1.41% 262,580.717 7.68 9.74 –X (acc) USD 0.30% 500.000 8.56 10.62 –X (Ydis) USDΩ – – – 8.01 7.72Z (acc) USD 1.78% 158,476.820 7.34 9.17 8.74Z (acc) GBP 1.76% 26,131.802 7.78 8.86 9.50

Templeton Thailand Fund – USDA (acc) USD 2.49% 7,750,939.913 20.55 19.90 20.00A (acc) SGD 2.49% 669,834.365 15.31 13.95 14.26B (acc) USD 3.79% 371,212.342 19.92 19.42 19.78I (acc) USD 1.41% 127,742.388 19.49 18.77 18.67N (acc) USD 2.99% 542,319.628 25.74 24.99 25.25W (acc) USD 1.63% 36,889.667 10.47 10.09 –

* This Fund / share class was launched during the period

Ω This Fund / share class was closed during the year

** These Funds had their names changed on September 30,2014 (refer to note 1)

*** These Funds had their names changed on November 14,2014 (refer to note 1)

Templeton Latin America Fund – USD (continued)



Notes to the Financial Statements at December 31, 2014

Note 1 — The CompanyFranklin Templeton Investment Funds (“FTIF” or the “Company”) is a collective investment undertaking pursuant to Part I of the amended Luxembourg law of December 17, 2010 on undertakings for collective investment and qualifies as a société d’investissement à capital variable. The Company was incorporated in Luxembourg on November 6, 1990, for an undetermined period. At the date of this report, it offers shares in 87 sub-funds of the Company (the “Funds”). The Board of Directors of the Company may authorise the creation of additional Funds in future with different investment objectives.

The Company aims to provide investors with a choice of Funds investing in a wide range of transferable securities and other eligible assets on a worldwide basis and featuring a diverse array of investment objectives, including capital growth and income. The overall objective of the Company is to seek to minimise investment exposure through diversification and to provide Shareholders with the benefit of a portfolio managed by Franklin Templeton Investments, according to its successful time-tested investment selection methods.

Changes to the Investment Manager structure of the Company With effect from October 31, 2014, the management structure of the Franklin Mutual European Fund has changed from a single management structure with Franklin Mutual Advisers, LLC to a co-management structure composed of Franklin Mutual Advisers, LLC and Franklin Templeton Investment Management Limited.

Fund launches Franklin K2 Alternative Strategies Fund launched on September 15, 2014.

The following Funds launched on November 17, 2014:

➤ Franklin Asia Credit Fund

➤ Franklin European Income Fund

➤ Templeton ASEAN Fund.

Fund closuresFranklin Asian Flex Cap Fund closed on September 12, 2014.

Fund name changes From September 30, 2014:

➤ Templeton Euro Liquid Reserve Fund is renamed Franklin Euro Liquid Reserve Fund

➤ Templeton Euro Short-Term Money Market Fund is renamed Franklin Euro Short-Term Money Market Fund

➤ Templeton European Total Return Fund is renamed Franklin European Total Return Fund.

From November 14, 2014:

➤ Franklin Euroland Core Fund is renamed Franklin Euroland Fund

➤ Franklin European Core Fund is renamed Franklin European Fund.

Note 2 — Significant accounting policies

(a) General

The financial statements are prepared in accordance with the regulations of the Grand Duchy of Luxembourg relating to investment funds.

(b) Investment in securities

Securities which are listed on a stock exchange or traded on any other organised market are valued at the last available price on such exchange or market which is normally the principal market for each security, and those securities dealt in on an over-the-counter market are valued in a manner as near as possible to that for quoted securities.

Securities not listed on any stock exchange nor traded on any organised market are valued at the last available price, or if such price is not representative of their fair value, they are valued prudently and in good faith on the basis of their reasonably foreseeable sales prices.

The Company has procedures to determine the fair value of individual securities and other assets for which market prices are not readily available or which may not be reliably priced. In such circumstances, the price of such investment shall be adjusted in accordance with the procedures adopted, as determined by or under the direction of the Board of Directors.

During the accounting period under review, gains and losses on investment securities sold were computed on the average cost basis for all Funds with the exception of the Franklin High Yield Fund, the Franklin Income Fund, the Franklin U.S. Government Fund, the Templeton Asian Bond Fund and the Templeton BRIC Fund which were computed on the first-in, first-out basis.

During the accounting period under review, discounts and premiums were amortised to income over the period to maturity.

For mortgage-backed and other similar holdings with scheduled debt paydowns, the Funds record accruals, based on their historical experience, for anticipated paydowns. Such accruals are recorded as a reduction or increase to the related holdings as disclosed on the Schedule of Investments and are included in the related unrealised appreciation/depreciation on investments shown on the “Statement of Operations and Changes in Net Assets”.

Money market instruments are valued at market value with the exception of Templeton Euro Short-Term Money Market Fund, where all securities are valued at amortised cost. Under this method, the cost of investments is adjusted to income for the amortisation of premiums and discounts over the life of the investments. Where the amortised cost basis does not reflect a prudent approach to the valuation of the security, the latest available price prevailing on the valuation day is used.

(c) Forward foreign exchange contracts

Forward foreign exchange contracts are valued at the forward rate applicable at the “Statement of Net Assets” date for the remaining period, until maturity. Gains or losses resulting from forward exchange contracts are recognised in the “Statement of Operations and Changes in Net Assets”.

(d) Financial future contracts

The Company may enter into financial future contracts to gain exposure to market changes. A financial future contract is an agreement between two parties to buy or sell a security for a set price on a future date. Required initial margin deposits of cash or securities are maintained by a broker in a

64 Unaudited Semi-Annual Report www.franklintempleton.lu


Notes to the Financial Statements at December 31, 2014 (continued)

segregated account. Subsequent payments, known as variation margin, are made or received by the Company depending on the fluctuations in the value of the underlying securities. Such variation margin is accounted for as unrealised gains or losses until the contract is closed, at which time the gains or losses are reclassified to realised gains or losses. Realised and unrealised gains and losses are included in the “Statement of Operations and Changes in Net Assets”.

(e) Interest rate swap contracts

Interest rate swap contracts are used to hedge the risk of changes in interest rates and are agreements between two parties to exchange cash flows based on a notional principal amount. The net interest received or paid on interest rate swap contract agreements is accrued daily as interest income/expense.

Interest rate swap contracts are marked to market daily based upon quotations from the market makers and the change, if any, is recorded as an unrealised gain or loss in the “Statement of Operations and Changes in Net Assets”. When the swap contract is terminated early, the Fund records a realised gain or loss equal to the difference between the current net present value and the executed net present value. Any outstanding interest accrual is recorded as either a net receivable or net payable.

The risks of interest rate swap contracts include changes in market conditions and the possible inability of the counterparty to fulfill its obligations under the agreement.

(f) Inflation swap contracts

An inflation swap contract is a bilateral agreement in which each of the parties agree to exchange a series of interest payments for another series of interest payments based on a notional amount that serves as a computation basis and that is usually not exchanged.

Inflation swap contracts are marked to market daily based upon quotations from the market makers and the change, if any, is recorded as an unrealised gain or loss in the “Statement of Operations and Changes in Net Assets”. When the swap contract is terminated early, the Fund records a realised gain or loss equal to the difference between the current net present value and the executed net present value. Any outstanding interest accrual is recorded as either a net receivable or net payable.

The risks of inflation swap contracts include changes in market conditions and the possible inability of the counterparty to fulfill its obligations under the agreement.

(g) Cross currency swap contracts

A cross currency swap is an agreement between two parties to exchange interest payments and principals denominated in two different currencies.

Cross currency swap contracts are marked to market daily based upon quotations from the market makers and the change in value, if any, is recorded as an unrealised gain or loss in the “Statement of Operations and Changes in Net Assets”.

When the swap contract is terminated early, the Fund records a realised gain or loss equal to the difference between the current net present value and the executed net present value. Any outstanding interest accrual is recorded as either a net receivable or net payable.

The risks of cross currency swap contracts include changes in market conditions and the possible inability of the counterparty to fulfill its obligations under the agreement.

(h) Total return swap contracts

A total return swap is an agreement in which one party makes payments based on a set rate, either fixed or variable, while the other party makes payments based on the return of an underlying asset, which includes both the income it generates and any capital gains.

Total return swap contracts are marked to market daily based upon quotations from the market makers and the change in value, if any, is recorded as an unrealised gain or loss in the “Statement of Operations and Changes in Net Assets”.

When the swap contract is terminated early, the Fund records a realised gain or loss equal to the difference between the current net present value and the executed net present value. Any outstanding interest accrual is recorded as either a net receivable or net payable.

The risks of total return swap contracts include changes in market conditions and the possible inability of the counterparty to fulfill its obligations under the agreement.

(i) Credit default swap contracts

A credit default swap contract is a credit derivative transaction in which two parties enter into an agreement, whereby one party pays the other a fixed periodic payment for the specified life of the agreement. The other party makes no payments unless a credit event, relating to a predetermined reference asset, occurs. If such an event occurs, the party will then make a payment to the first party, and the swap will terminate. The value of the underlying securities shall be taken into account for the calculation of the investment and borrowing powers applicable to individual users.

Credit default swap contracts are marked to market daily based upon quotations from the market makers and the change in value, if any, is recorded as an unrealised gain or loss in the “Statement of Operations and Changes in Net Assets”. Any payment received or paid to initiate a contract is recorded as a liability or asset in the “Statement of Net Assets”. When the swap contract is terminated early, the Fund records a realised gain or loss for any payments received or paid.

The risks of credit default swap contracts include unfavourable changes in interest rates, an illiquid secondary market and the possible inability of the counterparty to fulfill its obligations under the agreement, which may be in excess of the amount reflected in the “Statement of Net Assets”.

(j) Option contracts

Options are contracts entitling the holder to purchase or sell a specified number of shares or units of a particular security at a specified price at any time until the contract-stated expiration date. Options purchased are recorded as investments; options written (sold) are recorded as liabilities. When the exercise of an option results in a cash settlement, the difference between the premium (original option value) and the settlement

Note 2 — Significant accounting policies (continued)

(d) Financial future contracts (continued)




proceeds is accounted for as a realised gain or loss. When securities are acquired or delivered upon exercise of an option, the acquisition cost or sale proceeds are adjusted by the amount of the premium. When an option is closed, the difference between the premium and the cost to close the position is accounted for as a realised gain or loss. When an option expires, the premium is accounted for as a realised gain for options written or as a realised loss for options purchased.

The risks include price movements in the underlying securities, the possibility there may be an illiquid options market, or the inability of the counterparties to fulfill their obligations under the contract.

The Company writes options on securities, futures and interest rate swaps (“swaptions”). These options are settled in cash and subject the Company to unlimited risk of loss. The Company, however, is not subject to credit risk on written options as the counterparty has already performed its obligation by paying the premium at the inception of the contract.

The market values are recorded under “Option Contracts at Market Value” in the Statement of Net Assets.

(k) Foreign exchange transactions

Transactions expressed in currencies other than each Fund’s currency are translated into each Fund’s currency at the exchange rates applicable on the transaction dates.

Assets and liabilities designated in currencies other than each Fund’s currency are translated into each Fund’s currency at the appropriate exchange rates ruling at the period-end. Gains and losses on foreign exchange transactions are recognised in the “Statement of Operations and Changes in Net Assets” in determining the results for the accounting period.

The reference currency of the Company as reflected in the financial statements is U.S.Dollar. The principal exchange rates applied as at December 31, 2014 are as follows:

AUD 1.2247397

CAD 1.1612500

CHF 0.9942000

CNH 6.2163000

CZK 22.9000000

EUR 0.8264463

GBP 0.6415603

HKD 7.7539500

HUF 261.5800000

JPY 119.8250000

NOK 7.4710000

NZD 1.2821335

PLN 3.5401000

SEK 7.7991000

SGD 1.3248000

The list of the currency abbreviations is available in note 28.

(l) Mortgage dollar rolls

In a mortgage dollar roll, a Fund sells mortgage-backed securities for delivery in the current month and simultaneously contracts to repurchase substantially similar (name, type, coupon, and maturity) securities on a specified future date. During the period between the sale and repurchase, the Fund foregoes principal and interest paid on the mortgage-backed securities. The Fund is compensated by the difference between the current sales price and the lower forward price for the future purchase, as well as by the interest earned on the cash proceeds of the initial sale.

The difference between the current sales price and the lower forward price is treated as realised gain.

(m) Income

Dividends are credited to income on their ex-dividend date. Interest income is accrued on a daily basis.

(n) Securities lending

A Fund may utilise up to 100% of its assets for securities lending transactions. Each Fund may lend selected Funds’ portfolio securities to specialised banks, credit institutions and other financial institutions of high standing, or through recognised clearing institutions such as Clearstream or Euroclear. The volume of the securities lending transactions of each Fund shall be kept at an appropriate level and the Fund shall be entitled to request the return of the securities lent to enable the Fund to meet, at all times, its redemption obligations. Each fund shall ensure that these transactions do not jeopardise the management of its assets in accordance with its investment policy. Loans will be secured continuously by collateral which must at least equal the value of the securities lent. Securities lending income is disclosed under the caption “Securities lending” in the “Statement of Operations and Changes in Net Assets”. Any transaction expenses in connection with the loans are charged to the concerned Fund.

(o) Formation expenses

Formation expenses associated with the launch of the new Funds are expensed as incurred.

(p) Swing pricing

A Fund may suffer dilution of the net asset value per share due to investors buying or selling shares in a Fund at a price that does not reflect dealing and other costs that arise when security trades are undertaken by the Investment Manager to accommodate cash inflows or outflows.

In order to counter this impact, a swing pricing mechanism may be adopted to protect the interests of Shareholders of the Fund. If on any valuation date, the aggregate net capital activity of a Fund exceeds a pre-determined threshold, as determined and reviewed for each Fund on a periodic basis, the net asset value per share will be adjusted upwards or downwards to reflect net capital inflows or net capital outflows respectively.

The net capital inflows and net capital outflows will be determined based on the latest available information at the time of calculation of the net asset value per share. The swing pricing mechanism may be applied across all Funds. The extent of the price adjustment is set to reflect dealing and other costs. Such adjustment may vary from Fund to Fund and will not exceed 2% of the original net asset value per share.

In the case of a swing pricing event on the last day of the annual/semi-annual period, the net assets as disclosed in the Statement of Net Assets, exclude the swing pricing adjustment, however, the net asset value per share as at year/semi-annual period end, as disclosed in the Statistical Information, would include the swing pricing adjustment.

There was no swing pricing adjustment affecting the Funds’ net asset value per share on the last day of the period.

Note 2 — Significant accounting policies (continued)

(j) Option contracts (continued)




FundCounterparty Value of TDs

in Fund currency

Franklin GCC Bond FundRoyal Bank of Canada USD 1,000,000

Franklin Global Equity Strategies FundRoyal Bank of Canada USD 1,000,000

Franklin Global Government Bond FundBank of Montreal USD 1,000,000

Franklin Global Growth FundRoyal Bank of Canada USD 7,000,000

Franklin Global Growth and Value FundRoyal Bank of Canada USD 2,000,000

Franklin Global Real Estate FundRoyal Bank of Canada USD 6,000,000

Franklin Global Small-Mid Cap Growth FundRoyal Bank of Canada USD 6,000,000

Franklin India FundBank of Montreal USD 20,000,000

National Bank of Canada USD 20,000,000

Royal Bank of Canada USD 20,000,000

60,000,000

Franklin MENA FundRoyal Bank of Canada USD 8,000,000

Franklin World Perspectives FundRoyal Bank of Canada USD 10,000,000

Templeton Africa FundRoyal Bank of Canada USD 3,000,000

Templeton Asian Growth FundBank of Montreal USD 139,000,000



Scotia Capital Markets USD 142,000,000

565,000,000

Templeton Asian Smaller Companies FundBank of Montreal USD 28,000,000




110,000,000

FundCounterparty Value of TDs

in Fund currency

Templeton BRIC FundBank of Montreal USD 19,000,000


39,000,000

Templeton Emerging Markets FundBank of Montreal USD 21,000,000




81,000,000

Templeton Frontier Markets FundScotia Capital Markets USD 21,000,000

Templeton Global FundRoyal Bank of Canada USD 82,000,000

Templeton Global Equity Income FundRoyal Bank of Canada USD 9,000,000

Templeton Global Smaller Companies FundRoyal Bank of Canada USD 7,000,000

Templeton Growth (Euro) FundBank of Montreal EUR 16,452,104

Royal Bank of Canada EUR 29,613,787

46,065,891 Templeton Korea FundScotia Capital Markets USD 1,000,000

Templeton Latin America FundBank of Montreal USD 9,000,000


19,000,000 Templeton Thailand FundRoyal Bank of Canada USD 1,000,000

Note 3 — Cross Funds investmentsSome Funds may invest into units of UCITS and other open and closed end UCIs which may include other Funds of Franklin Templeton Investment Funds.As at December 31, 2014, the following Funds held shares issued by another Fund of the Company.

CurrencyInvestment in securities at market value as

per Statement of Net AssetsMarket value of

Cross Funds investmentsInvestment in securities at market value

after deduction of Cross Funds investments

Franklin Asia Credit Fund USD 7,710,233 396,304 7,313,929

Franklin European Income Fund EUR 8,077,201 264,281 7,812,920

Franklin Multi-Asset Income Fund EUR 48,110,499 11,601,203 36,509,296

As at December 31, 2014, the Company had no outstanding cash repos.

Note 5 — Forward foreign exchange contractsAs at December 31, 2014, the Company had entered into the following outstanding contracts:

Franklin Asia Credit Fund

Purchases Sales Maturity Unrealised Profit/(Loss) Date USD

Forward foreign exchange contracts used for share class hedgingAUD 2,231,347 USD 1,836,889 15-Jan-15 (17,050)SGD 2,518,411 USD 1,914,732 15-Jan-15 (14,475)

(31,525)

The above contracts were opened with the following counterparty:

HSBC Bank (31,525)

Note 4 — Time deposits (“TDs”) and cash repurchase agreements (“repos”)As at December 31, 2014, the Company had the following cash on time deposits and repos:




Note 5 — Forward foreign exchange contracts (continued)As at December 31, 2014, the Company had entered into the following outstanding contracts:

Franklin Biotechnology Discovery Fund


Forward foreign exchange contracts used for share class hedgingCHF 4,049,504 USD 4,138,062 12-Jan-15 (64,105)EUR 7,671,045 USD 9,425,321 12-Jan-15 (142,123)USD 330,940 CHF 323,044 12-Jan-15 5,945 USD 872,454 EUR 706,885 12-Jan-15 17,009

(183,274)

The above contracts were opened with the following counterparties:

Bank of America (6,703)Barclays Bank (3,456)Citibank (9,451)Credit Suisse (2,213)Deutsche Bank (2,691)Goldman Sachs (10,815)HSBC Bank (4,734)JPMorgan Chase Bank (66,659)Morgan Stanley (18,698)Royal Bank of Scotland (820)The Bank of New York Mellon (5,865)UBS (51,169)

(183,274)

Franklin Brazil Opportunities Fund


Forward foreign exchange contract used for share class hedgingEUR 7,753,003 USD 9,560,550 20-Jan-15 (177,340)

Forward foreign exchange contract used for efficient portfolio managementUSD 22,500,000 BRL 56,902,500 2-Apr-15 1,641,933

1,464,593


Bank of America (32,397)Barclays Bank (1,087)Citibank (1,234)Credit Suisse (54,679)Deutsche Bank 1,641,433 Goldman Sachs (1,573)HSBC Bank (16,191)JPMorgan Chase Bank (921)Morgan Stanley (6,062)Royal Bank of Scotland (32,789)The Bank of New York Mellon (2,906)UBS (27,001)

1,464,593

Franklin Euro High Yield FundPurchases Sales Maturity Unrealised Profit/(Loss) Date EUR

Forward foreign exchange contracts used for efficient portfolio managementEUR 4,936,472 CHF 5,960,000 20-Jan-15 (18,466)EUR 187,734,171 GBP 149,376,591 20-Jan-15 (4,616,517)GBP 15,500,000 EUR 19,542,395 20-Jan-15 416,794 EUR 177,849,680 USD 245,000,000 9-Mar-15 (24,503,861)USD 56,000,000 EUR 44,376,841 9-Mar-15 1,875,397

(26,846,653)




Franklin Euro High Yield Fund (continued)

Unrealised Profit/(Loss) EUR


Citibank (18,466)Deutsche Bank (22,628,464)Morgan Stanley (4,199,723)

(26,846,653)

Franklin European Corporate Bond FundPurchases Sales Maturity Unrealised Profit/(Loss) Date EUR

Forward foreign exchange contracts used for efficient portfolio managementEUR 506,619 GBP 400,000 10-Mar-15 (8,044)EUR 485,090 USD 600,000 10-Mar-15 (10,465)

(18,509)


Citibank (10,465)Morgan Stanley (8,044)

(18,509)

Franklin European Dividend FundPurchases Sales Maturity Unrealised Profit/(Loss) Date EUR

Forward foreign exchange contracts used for share class hedgingEUR 225,473 PLN 943,544 15-Jan-15 5,395 EUR 21,973 SGD 35,839 15-Jan-15 (372)PLN 22,022,266 EUR 5,258,283 15-Jan-15 (121,656)SGD 666,935 EUR 409,696 15-Jan-15 6,130

(110,503)


Barclays Bank (1,077)Citibank (1,740)Deutsche Bank 3,431 Goldman Sachs (23,831)HSBC Bank (67,683)JPMorgan Chase Bank (14,831)UBS (4,772)

(110,503)

Franklin European Growth Fund

Purchases Sales Maturity Unrealised Profit/(Loss) Date EUR

Forward foreign exchange contracts used for share class hedgingEUR 117,813 NOK 1,088,265 12-Jan-15 (2,513)EUR 1,176,225 SGD 1,920,893 12-Jan-15 (21,559)EUR 6,565,878 USD 8,167,037 12-Jan-15 (182,843)NOK 28,902,076 EUR 3,273,899 12-Jan-15 (78,278)SGD 44,326,839 EUR 27,295,611 12-Jan-15 344,658 USD 116,409,999 EUR 94,787,718 12-Jan-15 1,406,110

1,465,575


Bank of America 158,973 Barclays Bank 300,661 Citibank 94,217 Credit Suisse 35,287 Deutsche Bank 94,488 Goldman Sachs 85,698 HSBC Bank 40,917 JPMorgan Chase Bank 388,398 Morgan Stanley 154,965 Royal Bank of Scotland 16,455 The Bank of New York Mellon 1,107 UBS 94,409

1,465,575






Franklin European Income Fund


Forward foreign exchange contracts used for share class hedgingEUR 56,968 SGD 93,025 15-Jan-15 (1,033)SGD 2,616,607 EUR 1,605,607 15-Jan-15 25,817

24,784

Forward foreign exchange contracts used for efficient portfolio managementNOK 1,250,000 EUR 143,013 10-Mar-15 (5,094)SEK 1,800,000 EUR 194,760 10-Mar-15 (4,091)

(9,185)

15,599


Citibank (9,185)HSBC Bank 24,271 JPMorgan Chase Bank 513

15,599

Franklin European Total Return Fund


Forward foreign exchange contracts used for share class hedgingNOK 3,227,895 EUR 357,026 15-Jan-15 (169)SEK 3,761,809 EUR 401,824 15-Jan-15 (3,243)

(3,412)

Forward foreign exchange contracts used for efficient portfolio managementEUR 2,089,433 GBP 1,650,000 10-Mar-15 (33,552)EUR 6,589,507 PLN 28,000,000 10-Mar-15 76,994 NOK 150,000,000 EUR 16,472,608 10-Mar-15 77,606 SEK 65,000,000 EUR 6,973,248 10-Mar-15 (88,016)

33,032

29,620


Bank of America (2,841)Barclays Bank (86)Citibank 32,826 Credit Suisse 27 Goldman Sachs (61)HSBC Bank (177)UBS (68)

29,620

Franklin Global Aggregate Bond Fund


Forward foreign exchange contracts used for share class hedgingCHF 1,029,631 USD 1,055,186 20-Jan-15 (19,198)EUR 5,288,059 USD 6,522,480 20-Jan-15 (122,512)GBP 1,394,249 USD 2,181,733 20-Jan-15 (8,864)USD 57,898 EUR 47,423 20-Jan-15 503

(150,071)




Franklin Global Aggregate Bond Fund (continued)


Forward foreign exchange contracts used for efficient portfolio managementEUR 430,000 USD 549,267 20-Jan-15 (28,852)MYR 2,200,000 USD 667,192 20-Jan-15 (39,332)SGD 500,000 USD 391,435 20-Jan-15 (14,210)USD 714,566 AUD 825,000 20-Jan-15 41,966 USD 2,060,584 EUR 1,630,000 20-Jan-15 87,848 USD 1,075,085 JPY 125,000,000 20-Jan-15 31,715 USD 596,401 PLN 2,000,000 20-Jan-15 31,984

111,119

(38,952)


Bank of America (6,052)Barclays Bank 43,712 Citibank 44,660 Credit Suisse (3,503)Deutsche Bank (1,355)Goldman Sachs (34,242)HSBC Bank (9,781)JPMorgan Chase Bank (7,812)Morgan Stanley (16,815)RBC Capital Markets (39,332)Royal Bank of Scotland (4,405)The Bank of New York Mellon (1,164)UBS (2,863)

(38,952)

Franklin Global Aggregate Investment Grade Bond Fund


Forward foreign exchange contracts used for efficient portfolio managementAUD 2,950,000 USD 2,495,249 20-Jan-15 (90,195)EUR 6,050,000 USD 7,571,142 20-Jan-15 (249,020)JPY 240,000,000 USD 2,017,552 20-Jan-15 (14,283)MYR 3,700,000 USD 1,123,492 20-Jan-15 (67,546)PLN 4,000,000 USD 1,183,661 20-Jan-15 (54,828)SGD 1,100,000 USD 861,158 20-Jan-15 (31,261)USD 4,732,950 AUD 5,450,000 20-Jan-15 289,715 USD 10,112,161 EUR 8,050,000 20-Jan-15 369,504 USD 5,170,758 JPY 600,000,000 20-Jan-15 162,584 USD 314,376 MYR 1,100,000 20-Jan-15 446 USD 2,327,524 PLN 7,800,000 20-Jan-15 126,298 USD 304,232 SGD 400,000 20-Jan-15 2,451

443,865


Barclays Bank 270,990 Citibank 268,785 Morgan Stanley (28,810)RBC Capital Markets (67,100)

443,865

Franklin Global Allocation Fund


Forward foreign exchange contracts used for share class hedgingCHF 2,725,381 USD 2,789,993 20-Jan-15 (47,783)EUR 9,418,197 USD 11,608,812 20-Jan-15 (210,274)SEK 20,119,332 USD 2,630,550 20-Jan-15 (50,671)

(308,728)






Franklin Global Allocation Fund (continued)


Forward foreign exchange contracts used for efficient portfolio managementUSD 11,078 EUR 8,122 7-Jan-15 1,249 USD 15,013 EUR 11,000 15-Jan-15 1,700 USD 18,381 JPY 1,900,000 16-Jan-15 2,522 EUR 5,592 USD 6,957 20-Jan-15 (190)MXN 208,000 USD 14,113 20-Jan-15 (25)USD 87,185 EUR 65,268 20-Jan-15 8,194 USD 16,664 JPY 1,730,000 20-Jan-15 2,223 INR 5,574,000 USD 89,600 27-Jan-15 (1,644)PLN 480,000 USD 144,404 30-Jan-15 (9,009)USD 123,070 EUR 90,000 30-Jan-15 14,133 USD 59,614 JPY 6,020,000 6-Feb-15 9,358 USD 52,755 EUR 39,000 9-Feb-15 5,546 USD 59,830 JPY 6,050,000 9-Feb-15 9,322 CHF 10,260 USD 10,626 12-Feb-15 (299)KRW 6,935,998 USD 6,364 12-Feb-15 (37)USD 20,811 CHF 18,954 12-Feb-15 1,732 USD 58,274 JPY 5,936,000 12-Feb-15 8,718 USD 78,892 KRW 81,990,698 12-Feb-15 4,090 USD 57,846 JPY 5,900,000 13-Feb-15 8,590 USD 19,208 JPY 1,960,000 17-Feb-15 2,844 MYR 6,132 USD 1,815 18-Feb-15 (69)USD 38,808 JPY 3,940,000 18-Feb-15 5,913 GBP 63,243 USD 102,021 19-Feb-15 (3,483)USD 542,558 GBP 327,757 19-Feb-15 31,885 USD 23,359 EUR 17,000 20-Feb-15 2,779 INR 5,574,000 USD 88,721 23-Feb-15 (1,160)USD 178,698 EUR 130,000 23-Feb-15 21,318 USD 9,568 JPY 980,000 25-Feb-15 1,386 USD 19,263 JPY 1,970,000 26-Feb-15 2,815 USD 89,171 EUR 65,055 27-Feb-15 10,412 USD 6,289 JPY 641,000 27-Feb-15 937 USD 80,473 EUR 58,600 9-Mar-15 9,523 USD 35,391 JPY 3,619,000 9-Mar-15 5,171 MYR 18,455 USD 5,561 11-Mar-15 (318)MXN 923,000 USD 62,518 17-Mar-15 (222)USD 8,790 EUR 6,302 17-Mar-15 1,160 AUD 580,000 USD 476,296 18-Mar-15 (5,384)GBP 2,150,000 USD 3,367,868 18-Mar-15 (18,768)NOK 22,300,000 USD 3,051,659 18-Mar-15 (73,373)USD 473,048 AUD 580,000 18-Mar-15 2,136 USD 5,154,203 CHF 4,997,000 18-Mar-15 120,821 USD 3,869,430 EUR 3,121,100 18-Mar-15 90,245 USD 2,158,449 JPY 257,000,000 18-Mar-15 12,170 USD 2,960,898 NOK 22,300,000 18-Mar-15 (17,389)USD 1,876,083 SEK 14,180,000 18-Mar-15 57,405 USD 24,043 EUR 17,300 19-Mar-15 3,095 USD 31,129 JPY 3,160,000 19-Mar-15 4,738 USD 36,937 EUR 26,538 23-Mar-15 4,802 USD 1,316,689 EUR 1,070,000 24-Mar-15 21,009 USD 15,384 JPY 1,571,000 24-Mar-15 2,264 USD 11,037 EUR 8,000 25-Mar-15 1,350 USD 15,663 JPY 1,600,000 25-Mar-15 2,300 USD 20,715 EUR 15,000 27-Mar-15 2,551 USD 19,032 EUR 14,566 31-Mar-15 1,393 MYR 141,250 USD 42,816 2-Apr-15 (2,771)USD 3,703 EUR 2,686 2-Apr-15 450 USD 2,453 EUR 1,777 7-Apr-15 301 USD 4,928 EUR 3,570 13-Apr-15 604 USD 3,740 EUR 2,693 16-Apr-15 478 USD 31,789 JPY 3,230,000 17-Apr-15 4,805 USD 19,027 JPY 1,940,000 21-Apr-15 2,819 USD 194,163 EUR 140,430 22-Apr-15 24,064 USD 22,169 JPY 2,260,000 22-Apr-15 3,288 USD 32,836 EUR 23,723 30-Apr-15 4,099 USD 14,460 EUR 10,434 5-May-15 1,820 USD 5,026 EUR 3,621 7-May-15 640 USD 38,405 EUR 27,872 13-May-15 4,637 USD 82,646 EUR 60,000 14-May-15 9,952 USD 186,285 EUR 147,065 18-May-15 8,099 USD 24,654 EUR 19,643 20-May-15 854 USD 189,626 EUR 151,000 21-May-15 6,666 USD 22,577 EUR 16,466 22-May-15 2,626 USD 13,551 EUR 9,913 26-May-15 1,539





USD 4,832 EUR 3,549 29-May-15 531 USD 12,180 EUR 8,943 5-Jun-15 1,342 USD 70,492 JPY 7,200,000 9-Jun-15 10,303 USD 131,166 JPY 13,400,000 10-Jun-15 19,145 USD 49,140 JPY 5,020,000 11-Jun-15 7,174 USD 15,729 JPY 1,600,000 17-Jun-15 2,353 USD 2,624 EUR 1,929 22-Jun-15 286 MYR 63,750 USD 19,463 2-Jul-15 (1,522)MYR 12,890 USD 3,941 3-Jul-15 (313)MYR 106,000 USD 32,433 7-Jul-15 (2,612)USD 130,057 JPY 13,148,000 24-Jul-15 20,068 USD 21,582 EUR 16,000 27-Jul-15 2,178 USD 27,706 JPY 2,800,000 27-Jul-15 4,282 USD 28,234 EUR 21,000 31-Jul-15 2,765 USD 56,365 EUR 42,000 4-Aug-15 5,424 CLP 154,112,000 USD 261,163 5-Aug-15 (12,000)USD 14,787 EUR 11,000 5-Aug-15 1,445 PHP 11,115,000 USD 253,680 6-Aug-15 (7,215)USD 619,494 EUR 463,000 10-Aug-15 57,877 SGD 169,400 USD 135,728 11-Aug-15 (8,125)USD 684,208 JPY 69,644,550 11-Aug-15 101,407 USD 6,869 EUR 5,500 14-Aug-15 197 USD 7,384 EUR 5,500 17-Aug-15 712 USD 26,840 EUR 20,000 18-Aug-15 2,577 USD 44,276 EUR 33,000 20-Aug-15 4,240 MYR 4,787 USD 1,459 18-Sep-15 (119)USD 11,619 EUR 9,009 28-Sep-15 682 USD 19,152 EUR 15,000 29-Sep-15 942 USD 25,485 EUR 20,000 30-Sep-15 1,204 USD 51,025 EUR 40,000 1-Oct-15 2,462 USD 58,241 EUR 46,000 5-Oct-15 2,389 USD 303,793 JPY 33,071,420 7-Oct-15 26,732 USD 66,823 JPY 7,200,000 9-Oct-15 6,501 USD 67,817 JPY 7,300,000 13-Oct-15 6,650 MXN 657,000 USD 48,040 14-Oct-15 (4,314)USD 250,409 EUR 196,000 14-Oct-15 12,380 USD 59,949 EUR 47,000 16-Oct-15 2,868 USD 16,368 JPY 1,730,000 19-Oct-15 1,869 USD 30,929 JPY 3,270,000 20-Oct-15 3,525 USD 79,435 EUR 62,000 22-Oct-15 4,126 USD 20,299 JPY 2,160,000 22-Oct-15 2,196 USD 224,214 EUR 179,000 9-Nov-15 6,697 USD 258,839 JPY 29,484,300 9-Nov-15 11,607 USD 436,717 EUR 350,266 12-Nov-15 11,053 USD 25,807 EUR 20,622 16-Nov-15 744 USD 6,330 EUR 5,064 19-Nov-15 175 USD 13,678 EUR 11,000 15-Dec-15 300 MXN 1,449,000 USD 95,905 17-Dec-15 113 MXN 558,000 USD 36,935 18-Dec-15 37 MXN 92,000 USD 6,097 29-Dec-15 (6)MXN 141,000 USD 9,346 31-Dec-15 (11)MXN 70,000 USD 4,637 4-Jan-16 (4)

756,716

447,988


Bank of America 17,371 Barclays Bank 64,213 Citibank 146,938 Credit Suisse (3,401)Deutsche Bank 282,156 Goldman Sachs 4,504 Greenwich Capital Market 12,000 HSBC Bank 10,000 JPMorgan Chase Bank 126,551 Morgan Stanley (26,580)Royal Bank of Scotland (24,360)State Street Bank 9,369 The Bank of New York Mellon (8,658)UBS (170,427)Standard Chartered Bank 8,312

447,988


Franklin Global Allocation Fund (continued)





Franklin Global Convertible Securities Fund


Forward foreign exchange contracts used for share class hedgingCHF 667,775 USD 683,780 20-Jan-15 (11,881)EUR 11,893,104 USD 14,665,179 20-Jan-15 (271,336)USD 192,159 EUR 156,358 20-Jan-15 2,924

(280,293)


Bank of America (2,335)Barclays Bank (2,693)Citibank (3,155)Credit Suisse (23,354)Deutsche Bank (984)Goldman Sachs (5,373)HSBC Bank (140,250)JPMorgan Chase Bank (8,687)Morgan Stanley (8,367)Royal Bank of Scotland (47,959)The Bank of New York Mellon (13,830)UBS (23,306)

(280,293)

Franklin Global Corporate High Yield Fund


Forward foreign exchange contracts used for share class hedgingEUR 2,337,070 USD 2,893,572 15-Jan-15 (65,248)GBP 669,388 USD 1,051,342 15-Jan-15 (8,093)USD 81,959 EUR 65,687 15-Jan-15 2,465 USD 23,975 GBP 15,270 15-Jan-15 177

(70,699)

Forward foreign exchange contracts used for efficient portfolio managementEUR 110,381 USD 153,571 9-Jan-15 (19,997)USD 138,628 EUR 110,381 9-Jan-15 5,053 EUR 494,184 USD 679,602 9-Feb-15 (81,397)USD 607,104 EUR 474,181 9-Feb-15 33,113 EUR 805,945 USD 1,081,479 9-Mar-15 (105,680)USD 1,091,643 EUR 797,000 9-Mar-15 126,675 GBP 100,907 USD 166,507 7-May-15 (9,387)USD 129,640 EUR 100,000 7-May-15 8,493 GBP 111,000 USD 173,693 18-Jun-15 (916)

(44,043)

(114,742)


Barclays Bank (1,167)Citibank (174)Deutsche Bank (44,044)Goldman Sachs (6,422)HSBC Bank (979)JPMorgan Chase Bank (2,142)Morgan Stanley (1,609)The Bank of New York Mellon (1,529)UBS (56,676)

(114,742)

Franklin Global Equity Strategies FundPurchases Sales Maturity Unrealised Profit/(Loss) Date USD

Forward foreign exchange contracts used for share class hedgingEUR 7,021,447 USD 8,628,000 12-Jan-15 (130,920)USD 382,616 EUR 306,248 12-Jan-15 12,006

(118,914)




Franklin Global Equity Strategies Fund (continued) Unrealised Profit/(Loss) USD


Bank of America (40,086)Citibank 4,467 Credit Suisse (2,960)Deutsche Bank (3,090)Goldman Sachs (21,212)HSBC Bank (2,237)JPMorgan Chase Bank (32,667)Morgan Stanley (5,623)The Bank of New York Mellon (451)UBS (15,055)

(118,914)

Franklin Global Fundamental Strategies FundPurchases Sales Maturity Unrealised Profit/(Loss) Date USD

Forward foreign exchange contracts used for share class hedgingEUR 318,855,885 USD 393,244,578 20-Jan-15 (7,343,516)PLN 179,653,542 USD 52,197,822 20-Jan-15 (1,498,074)

(8,841,590)

Forward foreign exchange contracts used for efficient portfolio managementUSD 701,220 JPY 73,025,000 7-Jan-15 91,752 MYR 1,387,200 USD 413,646 8-Jan-15 (17,245)USD 984,524 JPY 102,106,000 8-Jan-15 132,339 CLP 542,840,000 USD 883,457 9-Jan-15 10,019 MYR 283,000 USD 84,518 9-Jan-15 (3,658)CLP 106,000,000 USD 192,186 12-Jan-15 (17,780)MYR 85,000 USD 25,411 12-Jan-15 (1,132)USD 538,421 EUR 396,186 13-Jan-15 58,967 USD 87,963 JPY 9,200,000 13-Jan-15 11,175 CLP 139,330,000 USD 226,112 14-Jan-15 3,077 INR 6,186,000 USD 99,777 14-Jan-15 (1,912)USD 8,322,885 EUR 6,092,125 14-Jan-15 950,271 USD 264,165 JPY 27,600,000 14-Jan-15 33,801 CLP 130,722,000 USD 211,456 15-Jan-15 3,547 INR 16,318,000 USD 262,897 15-Jan-15 (4,792)MYR 30,000 USD 9,000 15-Jan-15 (433)USD 90,075 EUR 66,000 15-Jan-15 10,202 USD 6,162,624 JPY 639,230,000 15-Jan-15 827,232 CLP 141,488,000 USD 229,651 16-Jan-15 3,031 MYR 178,000 USD 53,632 16-Jan-15 (2,811)USD 684,100 EUR 500,000 16-Jan-15 78,993 USD 709,749 JPY 73,340,000 16-Jan-15 97,605 CLP 496,765,000 USD 797,440 20-Jan-15 19,116 INR 52,260,000 USD 841,385 20-Jan-15 (15,597)USD 60,056 JPY 6,235,000 20-Jan-15 8,013 INR 23,071,000 USD 368,773 21-Jan-15 (4,288)USD 310,764 EUR 228,000 21-Jan-15 34,820 INR 23,676,000 USD 379,189 22-Jan-15 (5,220)USD 212,085 EUR 156,074 22-Jan-15 23,190 CLP 233,240,000 USD 421,391 23-Jan-15 (38,143)CLP 330,830,000 USD 586,007 26-Jan-15 (42,599)SGD 530,000 USD 427,247 26-Jan-15 (27,448)INR 12,351,000 USD 197,143 27-Jan-15 (2,248)USD 377,852 EUR 276,130 27-Jan-15 43,635 USD 843,821 JPY 87,230,000 27-Jan-15 115,672 USD 1,861,727 JPY 190,330,031 28-Jan-15 272,941 SEK 33,492,452 USD 4,595,246 29-Jan-15 (300,420)USD 704,232 EUR 515,100 29-Jan-15 80,761 CLP 109,610,000 USD 181,943 30-Jan-15 (1,989)EUR 3,291,095 SEK 30,424,500 30-Jan-15 82,121 INR 125,693,000 USD 2,021,014 30-Jan-15 (38,788)SEK 30,424,500 EUR 3,250,620 30-Jan-15 (33,130)SGD 5,408,440 USD 4,357,174 30-Jan-15 (277,795)USD 9,813,624 EUR 7,180,000 30-Jan-15 1,122,938 CLP 142,595,000 USD 237,737 2-Feb-15 (3,683)INR 19,038,500 USD 305,925 2-Feb-15 (5,828)CLP 89,945,000 USD 150,108 3-Feb-15 (2,485)INR 40,738,750 USD 653,706 3-Feb-15 (11,659)USD 8,444,454 EUR 6,230,000 3-Feb-15 903,431 CLP 124,200,000 USD 219,125 4-Feb-15 (15,296)





Franklin Global Fundamental Strategies Fund (continued)Purchases Sales Maturity Unrealised Profit/(Loss) Date USD

INR 23,503,000 USD 377,243 4-Feb-15 (6,894)MYR 1,183,000 USD 349,597 4-Feb-15 (12,491)USD 8,434,386 JPY 851,730,000 6-Feb-15 1,324,019 INR 54,931,000 USD 882,020 9-Feb-15 (17,146)MYR 90,000 USD 27,891 9-Feb-15 (2,256)SGD 551,000 USD 442,215 9-Feb-15 (26,617)USD 541,080 EUR 400,000 9-Feb-15 56,884 USD 8,434,508 JPY 852,900,000 9-Feb-15 1,314,205 CLP 53,800,000 USD 92,551 10-Feb-15 (4,299)KRW 1,136,628,900 USD 1,040,488 10-Feb-15 (3,452)PLN 1,499,000 EUR 350,684 10-Feb-15 (1,862)USD 1,184,661 EUR 871,000 10-Feb-15 130,316 USD 258,116 JPY 26,206,000 10-Feb-15 39,338 PLN 1,499,000 EUR 350,479 11-Feb-15 (1,634)USD 698,886 EUR 514,000 11-Feb-15 76,685 CLP 122,000,000 USD 211,953 12-Feb-15 (11,857)INR 8,408,000 USD 135,057 12-Feb-15 (2,740)SGD 3,111,049 USD 2,482,951 12-Feb-15 (136,407)USD 916,151 JPY 93,379,000 12-Feb-15 136,573 INR 11,020,000 USD 176,688 13-Feb-15 (3,293)USD 291,431 EUR 213,000 13-Feb-15 33,589 USD 671,800 JPY 68,520,000 13-Feb-15 99,753 CLP 284,640,000 USD 497,483 17-Feb-15 (30,814)PLN 1,499,000 EUR 352,043 17-Feb-15 (3,649)SGD 777,000 USD 622,337 17-Feb-15 (36,275)USD 223,442 JPY 22,800,000 17-Feb-15 33,087 CLP 163,980,000 USD 280,619 18-Feb-15 (11,794)MYR 1,339,798 USD 396,484 18-Feb-15 (15,179)SGD 333,000 USD 263,449 18-Feb-15 (12,280)USD 768,805 JPY 78,061,490 18-Feb-15 117,074 MYR 175,000 USD 52,114 19-Feb-15 (2,314)USD 869,477 EUR 634,000 19-Feb-15 101,971 CLP 24,840,000 USD 42,571 20-Feb-15 (1,855)USD 432,832 EUR 315,000 20-Feb-15 51,497 CLP 59,980,000 USD 105,007 23-Feb-15 (6,715)INR 10,096,000 USD 161,129 23-Feb-15 (2,531)MYR 1,750,000 USD 520,833 23-Feb-15 (23,010)SGD 333,000 USD 266,651 23-Feb-15 (15,482)USD 2,023,926 EUR 1,472,000 23-Feb-15 241,904 CLP 84,400,000 USD 147,863 24-Feb-15 (9,562)USD 307,385 JPY 31,360,000 24-Feb-15 45,549 CLP 71,800,000 USD 125,229 25-Feb-15 (7,584)USD 564,892 EUR 410,980 25-Feb-15 67,347 USD 418,150 JPY 42,840,000 25-Feb-15 60,461 CLP 98,200,000 USD 170,961 26-Feb-15 (10,072)USD 2,811,719 EUR 2,047,418 26-Feb-15 333,035 USD 1,989,586 JPY 203,390,000 26-Feb-15 291,387 SGD 1,411,000 USD 1,127,357 27-Feb-15 (63,094)USD 3,938,584 EUR 2,874,026 27-Feb-15 459,151 USD 75,434 JPY 7,689,000 27-Feb-15 11,235 CLP 119,900,000 USD 206,938 3-Mar-15 (10,575)INR 19,314,750 USD 306,862 3-Mar-15 (3,861)USD 184,739 EUR 134,000 5-Mar-15 22,504 INR 4,135,000 USD 66,030 9-Mar-15 (1,237)USD 553,864 EUR 402,967 9-Mar-15 65,970 USD 1,067,191 JPY 109,129,300 9-Mar-15 155,914 USD 1,535,337 EUR 1,109,000 10-Mar-15 192,601 MYR 3,155,884 USD 950,882 11-Mar-15 (54,418)SGD 1,078,141 USD 853,702 11-Mar-15 (40,748)MYR 796,380 USD 238,138 12-Mar-15 (11,937)PLN 6,340,038 EUR 1,480,003 12-Mar-15 (6,710)CLP 134,470,000 USD 228,539 13-Mar-15 (8,500)INR 6,186,000 USD 98,488 13-Mar-15 (1,631)SGD 938,800 USD 743,121 16-Mar-15 (35,341)USD 69,292 EUR 50,000 16-Mar-15 8,750 USD 262,576 JPY 26,867,256 17-Mar-15 38,202 USD 663,870 EUR 478,000 18-Mar-15 85,084 USD 531,456 EUR 382,400 19-Mar-15 68,422 USD 1,997,821 JPY 202,503,000 19-Mar-15 306,642 CLP 50,200,000 USD 85,157 20-Mar-15 (3,061)USD 665,237 EUR 478,000 23-Mar-15 86,424 USD 516,990 JPY 52,793,000 24-Mar-15 76,072 USD 263,515 EUR 191,000 25-Mar-15 32,228 USD 773,364 JPY 78,972,120 25-Mar-15 113,793






USD 336,025 EUR 244,000 26-Mar-15 40,556 MYR 440,000 USD 131,038 31-Mar-15 (6,276)USD 81,712 EUR 59,362 31-Mar-15 9,825 MYR 5,033,500 USD 1,525,772 2-Apr-15 (98,750)USD 404,980 EUR 293,794 2-Apr-15 49,191 USD 1,031,251 EUR 747,440 7-Apr-15 126,039 MYR 300,000 USD 90,077 10-Apr-15 (5,081)USD 1,340,072 EUR 972,000 10-Apr-15 162,861 USD 2,195,382 EUR 1,589,855 13-Apr-15 269,811 USD 1,088,049 EUR 785,000 14-Apr-15 137,277 USD 221,286 JPY 22,400,000 15-Apr-15 34,156 CLP 486,390,000 USD 857,831 16-Apr-15 (64,201)MYR 1,361,160 USD 410,978 16-Apr-15 (25,523)USD 1,288,827 EUR 928,142 16-Apr-15 164,661 USD 904,456 JPY 91,900,000 17-Apr-15 136,702 MYR 559,964 USD 169,352 21-Apr-15 (10,846)USD 541,569 JPY 55,220,000 21-Apr-15 80,226 USD 511,025 EUR 370,090 22-Apr-15 62,743 USD 657,233 JPY 67,000,000 22-Apr-15 97,465 CLP 308,187,000 USD 532,965 28-Apr-15 (30,607)USD 1,648,484 EUR 1,190,492 30-Apr-15 206,343 USD 732,926 EUR 528,860 5-May-15 92,240 CLP 54,100,000 USD 92,337 11-May-15 (4,247)USD 7,886,436 EUR 5,695,000 12-May-15 986,721 USD 258,778 JPY 26,207,000 12-May-15 39,772 USD 124,020 EUR 90,000 13-May-15 14,980 USD 603,490 JPY 61,237,000 13-May-15 91,739 USD 399,458 EUR 290,000 14-May-15 48,104 USD 257,691 JPY 26,194,000 14-May-15 38,788 USD 432,407 EUR 315,000 18-May-15 50,747 USD 4,285,000 JPY 435,056,050 18-May-15 649,064 SGD 1,064,600 USD 852,123 19-May-15 (50,076)USD 17,160,000 JPY 1,740,394,650 19-May-15 2,614,656 USD 711,147 EUR 566,608 20-May-15 24,620 USD 578,199 JPY 67,843,000 20-May-15 11,195 USD 244,881 EUR 195,000 21-May-15 8,608 USD 98,181 EUR 71,821 26-May-15 11,154 SGD 271,000 USD 208,839 28-May-15 (4,683)SGD 1,367,339 USD 1,089,679 29-May-15 (59,611)USD 2,107,213 JPY 213,802,000 3-Jun-15 320,036 CLP 141,800,000 USD 249,516 4-Jun-15 (19,086)USD 899,022 JPY 91,761,397 4-Jun-15 131,977 CLP 25,300,000 USD 44,328 5-Jun-15 (3,218)USD 6,178,526 EUR 4,744,173 8-Jun-15 429,105 USD 2,135,334 JPY 218,100,000 9-Jun-15 312,097 USD 926,966 EUR 678,450 10-Jun-15 104,741 USD 4,302,522 JPY 439,540,000 10-Jun-15 628,082 PLN 629,000 EUR 150,349 11-Jun-15 (5,663)USD 1,654,917 JPY 169,060,000 11-Jun-15 241,602 PLN 3,226,000 EUR 770,186 12-Jun-15 (27,969)SGD 518,000 USD 394,817 15-Jun-15 (4,624)USD 1,895,715 EUR 1,398,670 15-Jun-15 200,552 MYR 475,981 USD 134,155 16-Jun-15 (32)USD 4,681,816 EUR 3,455,215 17-Jun-15 494,067 USD 805,626 JPY 81,952,000 17-Jun-15 120,470 MYR 2,760,000 USD 835,806 22-Jun-15 (58,470)SGD 629,000 USD 478,727 22-Jun-15 (4,940)USD 8,213,192 EUR 6,040,000 22-Jun-15 892,267 USD 3,072,965 JPY 312,920,000 22-Jun-15 456,652 SGD 787,600 USD 600,854 23-Jun-15 (7,606)PHP 18,790,000 USD 426,483 25-Jun-15 (9,594)PHP 52,679,210 USD 1,193,836 26-Jun-15 (25,092)PHP 13,240,000 USD 300,184 29-Jun-15 (6,467)USD 1,021,163 EUR 750,000 30-Jun-15 112,024 MYR 2,270,500 USD 693,198 2-Jul-15 (54,219)MYR 405,910 USD 124,094 3-Jul-15 (9,868)MYR 3,855,100 USD 1,179,543 7-Jul-15 (94,986)MYR 950,304 USD 293,304 14-Jul-15 (26,082)MYR 1,070,000 USD 330,247 15-Jul-15 (29,387)USD 1,269,882 EUR 930,000 16-Jul-15 142,256 USD 1,854,699 EUR 1,364,000 17-Jul-15 200,821 MYR 619,000 EUR 139,506 20-Jul-15 4,828 MYR 1,373,000 USD 420,585 20-Jul-15 (34,660)USD 412,142 EUR 304,000 20-Jul-15 43,518






MYR 699,000 EUR 158,500 22-Jul-15 4,249 MYR 2,165,000 USD 665,642 22-Jul-15 (57,183)USD 1,497,597 EUR 1,106,000 22-Jul-15 156,440 USD 205,911 EUR 152,000 23-Jul-15 21,590 USD 5,825,690 JPY 588,943,000 24-Jul-15 898,899 MYR 899,000 EUR 206,089 27-Jul-15 2,644 MYR 2,633,000 USD 814,137 27-Jul-15 (74,402)USD 1,208,574 EUR 896,000 27-Jul-15 121,978 USD 1,230,952 JPY 124,400,000 27-Jul-15 190,230 CLP 298,480,000 USD 513,652 28-Jul-15 (30,766)USD 215,202 EUR 159,535 28-Jul-15 21,727 USD 982,824 JPY 99,710,000 29-Jul-15 148,627 CLP 70,700,000 USD 121,499 30-Jul-15 (7,137)MYR 899,000 EUR 206,136 30-Jul-15 2,523 MYR 2,768,000 USD 855,906 30-Jul-15 (78,402)CLP 66,550,000 USD 114,436 31-Jul-15 (6,796)MYR 1,115,000 USD 343,373 31-Jul-15 (30,201)PLN 4,150,000 EUR 978,266 31-Jul-15 (23,160)USD 1,078,257 EUR 802,000 31-Jul-15 105,593 CLP 133,100,000 USD 225,746 4-Aug-15 (10,538)USD 2,282,150 EUR 1,700,592 4-Aug-15 219,542 USD 1,393,250 EUR 1,036,400 5-Aug-15 136,205 MYR 90,000 USD 27,536 6-Aug-15 (2,268)SGD 1,860,951 USD 1,494,620 6-Aug-15 (92,843)SGD 551,000 USD 442,641 7-Aug-15 (27,595)USD 367,313 EUR 274,595 10-Aug-15 34,231 MYR 40,000 USD 12,213 11-Aug-15 (987)USD 1,382,494 EUR 1,032,000 11-Aug-15 130,663 USD 1,244,530 JPY 126,796,000 11-Aug-15 183,474 CLP 53,900,000 USD 91,078 12-Aug-15 (3,984)USD 268,548 EUR 200,000 12-Aug-15 25,941 USD 250,971 JPY 25,470,000 12-Aug-15 37,828 USD 123,023 EUR 98,500 14-Aug-15 3,535 USD 132,239 EUR 98,500 17-Aug-15 12,745 CLP 46,220,000 USD 77,884 18-Aug-15 (3,236)USD 476,415 EUR 355,000 18-Aug-15 45,746 USD 829,309 JPY 84,580,000 18-Aug-15 121,435 CLP 24,860,000 USD 41,905 20-Aug-15 (1,761)USD 795,622 EUR 593,000 20-Aug-15 76,199 USD 2,702,358 JPY 276,126,000 20-Aug-15 391,298 USD 368,951 JPY 37,961,000 24-Aug-15 51,210 USD 1,091,282 JPY 112,805,000 25-Aug-15 147,065 USD 328,776 EUR 247,084 26-Aug-15 28,986 USD 1,779,284 JPY 183,793,000 26-Aug-15 240,845 CLP 113,480,000 USD 189,354 27-Aug-15 (6,214)USD 4,524,951 EUR 3,417,006 27-Aug-15 378,989 USD 2,411,872 JPY 249,758,000 27-Aug-15 321,235 MYR 5,970,924 USD 1,854,151 28-Aug-15 (180,280)USD 130,129 EUR 98,387 31-Aug-15 10,745 USD 363,505 JPY 37,600,000 31-Aug-15 48,745 USD 211,437 EUR 160,000 2-Sep-15 17,285 CLP 258,950,000 USD 427,592 8-Sep-15 (10,092)USD 7,133,799 EUR 5,473,450 8-Sep-15 491,389 CLP 138,210,000 USD 226,685 9-Sep-15 (3,870)MYR 1,046,049 USD 318,830 18-Sep-15 (26,001)USD 251,076 JPY 26,768,234 18-Sep-15 26,919 SGD 836,000 USD 662,441 21-Sep-15 (32,668)USD 80,632 EUR 61,959 21-Sep-15 5,424 USD 931,135 EUR 721,000 23-Sep-15 55,938 USD 195,867 EUR 151,908 24-Sep-15 11,468 PHP 9,270,000 USD 206,321 25-Sep-15 (887)USD 738,759 EUR 573,300 28-Sep-15 42,787 USD 246,788 JPY 26,810,756 29-Sep-15 22,225 USD 152,355 JPY 16,537,000 30-Sep-15 13,840 USD 2,003,143 EUR 1,585,000 7-Oct-15 78,586 USD 25,894,281 JPY 2,815,067,140 7-Oct-15 2,310,624 USD 7,730,110 JPY 832,900,000 9-Oct-15 751,982 USD 7,781,252 JPY 837,600,000 13-Oct-15 762,984 USD 51,440,001 EUR 40,263,000 14-Oct-15 2,543,345 USD 7,923,937 EUR 6,230,000 15-Oct-15 357,850 USD 12,425,921 EUR 9,742,000 16-Oct-15 594,372 USD 58,989 JPY 6,235,000 19-Oct-15 6,738 MYR 776,000 USD 231,870 20-Oct-15 (15,104)USD 1,220,221 EUR 953,000 20-Oct-15 62,704 USD 111,421 JPY 11,780,000 20-Oct-15 12,697






USD 810,638 JPY 86,260,000 22-Oct-15 87,687 MYR 1,398,000 USD 418,100 23-Oct-15 (27,664)MYR 1,743,725 USD 523,299 26-Oct-15 (36,405)USD 1,063,715 EUR 838,000 26-Oct-15 45,734 USD 585,795 EUR 461,267 27-Oct-15 25,447 MYR 746,000 USD 223,387 30-Oct-15 (15,140)USD 1,457,153 EUR 1,159,000 4-Nov-15 48,930 USD 9,300,470 JPY 1,049,000,000 6-Nov-15 505,131 USD 13,440,736 EUR 10,720,000 9-Nov-15 414,054 USD 378,432 EUR 303,000 10-Nov-15 10,225 USD 173,163 JPY 19,740,980 10-Nov-15 7,626 USD 3,808,956 EUR 3,038,987 12-Nov-15 115,792 USD 760,860 JPY 86,638,000 12-Nov-15 34,325 USD 432,473 JPY 49,560,700 16-Nov-15 16,818 USD 756,413 EUR 607,000 18-Nov-15 18,645 USD 651,216 JPY 75,528,000 18-Nov-15 17,744 MYR 716,680 USD 209,703 19-Nov-15 (9,907)USD 381,246 EUR 304,000 19-Nov-15 11,746 USD 807,288 JPY 93,488,000 19-Nov-15 23,160 MYR 447,000 USD 130,439 20-Nov-15 (5,832)USD 3,242,078 EUR 2,583,000 20-Nov-15 102,466 USD 906,074 JPY 105,014,000 20-Nov-15 25,249 USD 168,589 JPY 19,708,000 24-Nov-15 3,266 USD 1,771,228 EUR 1,420,000 27-Nov-15 44,946 USD 3,783,927 EUR 3,032,000 4-Dec-15 97,343 USD 1,686,488 EUR 1,365,437 9-Dec-15 26,068 PLN 1,675,000 EUR 394,396 15-Dec-15 (11,451)USD 1,764,456 EUR 1,419,000 15-Dec-15 38,657 USD 5,349,189 JPY 625,240,000 21-Dec-15 100,432 USD 3,093,703 JPY 365,500,000 22-Dec-15 25,325

33,576,595

24,735,005


Bank of America 677,777 Barclays Bank 5,963,838 Citibank 2,538,878 Credit Suisse (905,982)Deutsche Bank 8,841,383 Goldman Sachs (121,896)HSBC Bank 1,393,231 JPMorgan Chase Bank 6,626,156 Morgan Stanley (855,449)Royal Bank of Scotland (484,702)The Bank of New York Mellon (169,551)UBS (280,789)Standard Chartered Bank 1,512,111

24,735,005

Franklin Global Government Bond FundPurchases Sales Maturity Unrealised Profit/(Loss) Date USD

Forward foreign exchange contracts used for efficient portfolio managementUSD 928,231 AUD 1,120,000 10-Mar-15 18,310 USD 2,288,006 EUR 1,850,000 10-Mar-15 48,094 USD 590,297 PLN 2,000,000 10-Mar-15 27,076

93,480


Barclays Bank 45,386 Citibank 48,094

93,480





Franklin Global Growth FundPurchases Sales Maturity Unrealised Profit/(Loss) Date USD

Forward foreign exchange contracts used for share class hedgingEUR 7,526,919 USD 9,325,327 15-Jan-15 (216,243)USD 282,078 EUR 227,221 15-Jan-15 7,095

(209,148)


Bank of America (14,393)Barclays Bank (8,986)Citibank (811)Credit Suisse (15,743)Deutsche Bank (3,147)Goldman Sachs (15,093)HSBC Bank (9,985)JPMorgan Chase Bank (13,234)Morgan Stanley (18,254)Royal Bank of Scotland (96,065)The Bank of New York Mellon (2,210)UBS (11,227)

(209,148)

Franklin Global High Income Bond FundPurchases Sales Maturity Unrealised Profit/(Loss) Date USD

Forward foreign exchange contracts used for share class hedgingSGD 1,361,335 USD 1,029,358 12-Jan-15 (2,090)USD 355,656 SGD 469,721 12-Jan-15 1,202

(888)

Forward foreign exchange contracts used for efficient portfolio managementEUR 1,294,681 USD 1,778,648 9-Jan-15 (211,927)GBP 300,000 USD 497,610 9-Jan-15 (30,034)EUR 5,210,148 USD 7,126,499 9-Mar-15 (818,302)USD 2,092,236 EUR 1,565,100 9-Mar-15 197,288 EUR 999,300 USD 1,333,691 7-May-15 (123,064)GBP 723,959 USD 1,166,567 7-May-15 (39,313)

(1,025,352)

(1,026,240)


Bank of America (39)Barclays Bank 171 Citibank 282 Credit Suisse (866)Deutsche Bank (1,025,352)Goldman Sachs (43)JPMorgan Chase Bank (222)Royal Bank of Scotland (29)The Bank of New York Mellon (44)UBS (98)

(1,026,240)

Franklin Global Listed Infrastructure Fund


Forward foreign exchange contracts used for share class hedgingGBP 787,164 USD 1,229,350 12-Jan-15 (2,517)SGD 1,428,539 USD 1,080,170 12-Jan-15 (2,190)USD 64,997 GBP 41,369 12-Jan-15 521 USD 45,011 SGD 59,075 12-Jan-15 433

(3,753)





Franklin Global Listed Infrastructure Fund (continued) Unrealised Profit/(Loss) USD


Barclays Bank (26)Citibank 91 Credit Suisse 78 Deutsche Bank (1,136)Goldman Sachs (1,428)HSBC Bank (295)JPMorgan Chase Bank (354)Morgan Stanley (165)Royal Bank of Scotland (97)UBS (421)

(3,753)

Franklin Global Real Estate Fund


Forward foreign exchange contracts used for share class hedgingEUR 24,413,207 USD 30,086,174 20-Jan-15 (539,651)USD 1,133,973 EUR 927,142 20-Jan-15 11,883

(527,768)


Bank of America (12,275)Barclays Bank (12,766)Citibank (9,453)Credit Suisse (40,147)Deutsche Bank (4,556)Goldman Sachs (45,377)HSBC Bank (113,475)JPMorgan Chase Bank (5,823)Morgan Stanley (43,399)Royal Bank of Scotland (209,331)The Bank of New York Mellon (6,949)UBS (24,217)

(527,768)

Franklin Gold and Precious Metals Fund


Forward foreign exchange contracts used for share class hedgingCHF 6,007,161 USD 6,149,454 20-Jan-15 (105,199)EUR 6,155,036 USD 7,587,999 20-Jan-15 (138,757)USD 268,156 CHF 264,642 20-Jan-15 1,880 USD 332,643 EUR 273,177 20-Jan-15 2,025

(240,051)



(240,051)







Forward foreign exchange contracts used for share class hedgingAUD 17,193,912 USD 14,242,879 12-Jan-15 (216,720)EUR 33,717,948 USD 41,435,268 12-Jan-15 (631,131)SGD 55,700,073 USD 42,126,273 12-Jan-15 (94,827)USD 1,174,573 AUD 1,423,676 12-Jan-15 13,190 USD 2,157,984 EUR 1,736,593 12-Jan-15 56,428 USD 2,816,742 SGD 3,692,387 12-Jan-15 30,457

(842,603)

Forward foreign exchange contracts used for efficient portfolio managementEUR 4,356,741 USD 5,349,251 9-Jan-15 (77,069)USD 11,774,042 EUR 8,691,896 9-Jan-15 1,255,800 USD 4,413,312 EUR 3,200,000 9-Feb-15 539,745

1,718,476

875,873


Bank of America (166,768)Barclays Bank (4,724)Citibank 2,983 Credit Suisse (1,043)Deutsche Bank 1,699,682 Goldman Sachs (199,645)HSBC Bank (148,007)JPMorgan Chase Bank (59,688)Morgan Stanley (36,742)Royal Bank of Scotland (29,636)UBS (180,539)

875,873

Franklin Income FundPurchases Sales Maturity Unrealised Profit/(Loss) Date USD

Forward foreign exchange contracts used for share class hedgingEUR 29,713,347 USD 36,630,160 20-Jan-15 (669,047)SGD 33,866,523 USD 25,775,808 20-Jan-15 (225,169)

(894,216)


Bank of America (121,285)Barclays Bank (44,851)Citibank (42,066)Credit Suisse (42,206)Deutsche Bank (111,329)Goldman Sachs (192,444)HSBC Bank (126,529)JPMorgan Chase Bank (143,742)Morgan Stanley (7,130)Royal Bank of Scotland (8,186)UBS (54,448)

(894,216)

Franklin India FundPurchases Sales Maturity Unrealised Profit/(Loss) Date USD

Forward foreign exchange contracts used for share class hedgingPLN 56,383,374 USD 16,530,705 12-Jan-15 (612,767)USD 1,121,577 PLN 3,819,661 12-Jan-15 43,225

(569,542)





Franklin India Fund (continued) Unrealised Profit/(Loss) USD



(569,542)

Franklin K2 Alternative Strategies Fund


Forward foreign exchange contracts used for share class hedgingEUR 600 USD 729 2-Jan-15 (3)EUR 2,856,675 USD 3,536,394 15-Jan-15 (79,277)GBP 1,854,785 USD 2,908,756 15-Jan-15 (18,123)JPY 106,552,863 USD 893,058 15-Jan-15 (3,410)SGD 1,256,599 USD 955,265 15-Jan-15 (6,942)

(107,755)

Forward foreign exchange contracts used for efficient portfolio managementMXN 2,150,000 USD 145,881 2-Jan-15 (156)USD 154,368 MXN 2,150,000 2-Jan-15 8,642 SGD 43,000 USD 32,595 5-Jan-15 (133)USD 1,456 JPY 175,648 5-Jan-15 (11)USD 32,779 SGD 43,000 5-Jan-15 318 AUD 71,000 USD 59,507 8-Jan-15 (1,555)KRW 27,700,000 USD 25,104 8-Jan-15 93 USD 63,711 KRW 71,200,000 8-Jan-15 (1,056)USD 31,833 MYR 110,000 8-Jan-15 381 USD 60,591 NZD 78,000 8-Jan-15 (235)USD 32,196 TWD 1,000,000 8-Jan-15 552 USD 76,459 TRY 175,000 12-Jan-15 1,647 USD 983,813 EUR 795,000 15-Jan-15 21,712 USD 156,990 GBP 100,000 15-Jan-15 1,143 USD 42,862 SEK 324,000 15-Jan-15 1,299 JPY 11,000,000 USD 93,300 20-Jan-15 (1,453)USD 91,328 EUR 75,000 29-Jan-15 550 USD 145,600 MXN 2,150,000 3-Feb-15 138 USD 68,333 CAD 79,618 27-Feb-15 (118)USD 38,914 EUR 31,900 27-Feb-15 294 USD 103,029 GBP 66,306 27-Feb-15 (273)USD 60,392 KRW 66,690,000 27-Feb-15 (128)USD 15,185 ZAR 178,708 27-Feb-15 (133)AUD 50,000 USD 40,426 18-Mar-15 181 CHF 235,000 USD 240,659 18-Mar-15 (3,970)EUR 65,000 USD 79,618 18-Mar-15 (913)GBP 195,000 USD 304,951 18-Mar-15 (1,200)JPY 66,335,000 USD 559,973 18-Mar-15 (5,809)MXN 142,000 USD 9,637 18-Mar-15 (55)NZD 250,000 USD 193,766 18-Mar-15 (121)USD 1,157,293 AUD 1,412,000 18-Mar-15 10,547 USD 1,193,325 CAD 1,387,000 18-Mar-15 1,379 USD 1,204,579 CHF 1,166,875 18-Mar-15 29,316 USD 1,092,934 EUR 884,000 18-Mar-15 22,540 USD 1,555,963 GBP 995,000 18-Mar-15 6,054 USD 250,121 JPY 29,707,000 18-Mar-15 1,948 USD 574,527 MXN 8,427,000 18-Mar-15 5,921 USD 574,693 NZD 745,000 18-Mar-15 (2,370)

94,966

(12,789)





Franklin K2 Alternative Strategies Fund (continued)

Unrealised Profit/(Loss) USD


Bank of America 2,199 Barclays Bank (963)Deutsche Bank 7,356 JPMorgan Chase Bank (75,140)Morgan Stanley 53,759

(12,789)

Franklin MENA Fund


Forward foreign exchange contracts used for share class hedgingEUR 34,400,689 USD 42,577,142 15-Jan-15 (945,396)USD 7,237,400 EUR 5,815,890 15-Jan-15 199,005

(746,391)



(746,391)

Franklin Multi-Asset Income Fund


Forward foreign exchange contracts used for efficient portfolio managementCAD 300,000 USD 263,412 20-Jan-15 (4,284)EUR 201,782 GBP 160,000 20-Jan-15 (4,248)EUR 250,000 USD 311,484 20-Jan-15 (7,368)GBP 230,000 EUR 289,736 20-Jan-15 6,432 MXN 3,400,000 USD 249,745 20-Jan-15 (16,084)PLN 800,000 EUR 190,039 20-Jan-15 (3,497)USD 381,178 EUR 300,000 20-Jan-15 14,953

(14,096)


Barclays Bank (4,284)Citibank (8,499)Deutsche Bank 2,184 Morgan Stanley (3,497)

(14,096)

Franklin Natural Resources Fund


Forward foreign exchange contracts used for share class hedgingCHF 349,828 USD 358,310 20-Jan-15 (6,319)EUR 670,052 USD 826,138 20-Jan-15 (15,196)PLN 16,567,729 USD 4,805,087 20-Jan-15 (129,534)USD 1,170,176 PLN 4,139,458 20-Jan-15 1,986

(149,063)





Franklin Natural Resources Fund (continued)




(149,063)

Franklin Real Return Fund


Forward foreign exchange contract used for share class hedgingEUR 2,111,776 USD 2,603,985 20-Jan-15 (48,170)

Forward foreign exchange contracts used for efficient portfolio managementSEK 913,360 USD 140,115 9-Feb-15 (22,989)USD 43,223 EUR 31,100 9-Feb-15 5,577 USD 122,950 SEK 913,360 9-Feb-15 5,823 USD 126,629 EUR 92,000 9-Mar-15 15,240 SGD 248,950 USD 199,980 7-May-15 (12,415)USD 134,820 EUR 100,000 7-May-15 13,673 USD 12,198 EUR 9,700 18-Jun-15 442

5,351

(42,819)


Bank of America (1,055)Barclays Bank (201)Citibank (1,310)Credit Suisse (3,518)Deutsche Bank (22,293)Goldman Sachs (6,524)HSBC Bank (1,449)JPMorgan Chase Bank 4,787 Morgan Stanley (1,078)Royal Bank of Scotland (2,134)UBS (8,044)

(42,819)

Franklin Strategic Income Fund


Forward foreign exchange contracts used for share class hedgingAUD 1,929,362 USD 1,577,877 20-Jan-15 (4,921)EUR 295,059,870 USD 363,827,765 20-Jan-15 (6,726,258)

(6,731,179)

Forward foreign exchange contracts used for efficient portfolio managementJPY 41,515,000 USD 344,066 7-Jan-15 2,419 MYR 76,200 USD 22,746 7-Jan-15 (969)USD 398,149 JPY 41,515,000 7-Jan-15 51,664 USD 21,787 MYR 76,200 7-Jan-15 10 CLP 1,100,880,000 USD 1,935,397 9-Jan-15 (123,428)EUR 8,134,839 USD 10,440,642 9-Jan-15 (596,505)INR 457,251,000 USD 6,834,659 9-Jan-15 406,343 JPY 162,825,000 USD 1,503,740 9-Jan-15 (144,777)SGD 356,500 USD 282,922 9-Jan-15 (13,886)USD 26,772,936 EUR 19,554,200 9-Jan-15 3,109,995





Franklin Strategic Income Fund (continued)


USD 525,677 GBP 321,751 9-Jan-15 24,200 USD 16,228,047 JPY 1,659,752,000 9-Jan-15 2,375,496 CLP 146,940,000 USD 267,237 12-Jan-15 (25,471)CLP 76,687,500 USD 129,649 9-Feb-15 (3,843)INR 213,197,000 USD 3,244,552 9-Feb-15 112,177 MYR 745,303 USD 223,546 9-Feb-15 (11,262)SEK 143,528,000 USD 22,018,056 9-Feb-15 (3,612,349)SGD 665,600 USD 525,594 9-Feb-15 (23,558)USD 26,922,125 EUR 19,479,768 9-Feb-15 3,342,069 USD 6,920,074 JPY 705,216,600 9-Feb-15 1,032,682 USD 11,001,469 SEK 83,200,000 9-Feb-15 332,089 CLP 3,365,428,000 USD 5,875,886 9-Mar-15 (367,040)GBP 205,349 USD 345,643 9-Mar-15 (25,740)SGD 5,146,640 USD 4,105,180 9-Mar-15 (224,204)USD 43,572,532 EUR 31,610,357 9-Mar-15 5,300,221 USD 1,647,796 GBP 982,871 9-Mar-15 116,628 USD 30,426,335 JPY 3,099,897,500 9-Mar-15 4,540,860 CLP 1,263,519,200 USD 2,105,463 7-May-15 (47,417)INR 94,900,000 USD 1,501,955 7-May-15 (30,147)MYR 1,764,220 USD 534,346 7-May-15 (35,605)SGD 201,500 USD 161,394 7-May-15 (9,578)USD 46,442,181 EUR 35,260,602 7-May-15 3,724,883 USD 3,518,242 GBP 2,164,467 7-May-15 148,016 USD 13,886,723 JPY 1,459,934,950 7-May-15 1,687,105 CLP 645,158,200 USD 1,048,299 18-Jun-15 (1,110)INR 320,000,000 USD 5,021,183 18-Jun-15 (92,002)MYR 155,520 USD 44,999 18-Jun-15 (1,184)USD 10,272,445 EUR 8,222,567 18-Jun-15 306,514 USD 28,768,434 JPY 3,308,900,000 18-Jun-15 1,104,187

22,327,483

15,596,304


Bank of America (261,419)Barclays Bank 291,553 Citibank (175,544)Credit Suisse (402,689)Deutsche Bank 17,559,921 Goldman Sachs (405,340)HSBC Bank (992,320)JPMorgan Chase Bank 1,799,704 Morgan Stanley (252,201)Royal Bank of Scotland (268,330)The Bank of New York Mellon (31,618)UBS (1,265,413)

15,596,304

Franklin U.S. Equity FundPurchases Sales Maturity Unrealised Profit/(Loss) Date USD


(246,755)


Bank of America (33,288)Barclays Bank (2,487)Citibank (5,748)Credit Suisse (82,948)Deutsche Bank (3,856)Goldman Sachs (19,907)HSBC Bank (65,620)JPMorgan Chase Bank (15,070)Morgan Stanley 67,600 Royal Bank of Scotland (49,613)The Bank of New York Mellon (522)UBS (35,296)

(246,755)





Franklin U.S. Focus FundPurchases Sales Maturity Unrealised Profit/(Loss) Date USD

Forward foreign exchange contracts used for share class hedgingEUR 9,821,775 USD 12,167,515 15-Jan-15 (281,194)USD 1,157,950 EUR 940,783 15-Jan-15 19,414

(261,780)


Bank of America (25,900)Barclays Bank (9,493)Citibank (29,436)Credit Suisse (4,070)Deutsche Bank (9,556)Goldman Sachs (37,004)HSBC Bank (29,679)JPMorgan Chase Bank (24,797)Morgan Stanley (8,983)Royal Bank of Scotland (49,063)The Bank of New York Mellon (442)UBS (33,357)

(261,780)

Franklin U.S. Government FundPurchases Sales Maturity Unrealised Profit/(Loss) Date USD

Forward foreign exchange contracts used for share class hedgingEUR 28,286,794 USD 34,745,224 12-Jan-15 (513,655)JPY 73,590,694 USD 608,655 13-Jan-15 5,565

(508,090)


Bank of America (28,552)Citibank (98,509)Credit Suisse (17,143)Deutsche Bank (146,246)Goldman Sachs (54,181)HSBC Bank (31,011)JPMorgan Chase Bank (15,730)Morgan Stanley (116,718)

(508,090)

Franklin U.S. Low Duration FundPurchases Sales Maturity Unrealised Profit/(Loss) Date USD


(742,030)

Forward foreign exchange contracts used for efficient portfolio managementCAD 2,833,000 USD 2,552,780 9-Jan-15 (113,652)JPY 812,288,000 USD 7,602,134 9-Jan-15 (822,651)SGD 6,136,000 USD 4,803,507 9-Jan-15 (172,913)USD 27,768,841 EUR 20,465,802 9-Jan-15 3,002,753 USD 46,603,559 JPY 4,827,245,000 9-Jan-15 6,314,613 USD 2,497,395 SGD 3,307,800 9-Jan-15 1,131 USD 209,234 DKK 1,200,000 15-Jan-15 14,236 USD 2,945,696 EUR 2,258,000 6-Feb-15 212,470 CAD 619,000 USD 553,959 9-Feb-15 (21,383)CLP 1,215,543,000 USD 2,117,456 9-Feb-15 (123,346)USD 1,988,172 CLP 1,215,543,000 9-Feb-15 (5,938)USD 3,634,481 EUR 2,620,885 9-Feb-15 461,926 USD 3,374,798 GBP 2,050,240 9-Feb-15 180,101 USD 5,447,936 EUR 4,160,000 6-Mar-15 411,343 CAD 354,080 USD 322,771 9-Mar-15 (18,315)CLP 540,200,000 USD 942,145 9-Mar-15 (57,896)EUR 3,311,257 SEK 30,668,200 9-Mar-15 75,868 SEK 30,668,200 EUR 3,362,446 9-Mar-15 (137,845)SGD 2,511,500 USD 2,003,430 9-Mar-15 (109,559)USD 879,805 CLP 540,200,000 9-Mar-15 (4,445)





Franklin U.S. Low Duration Fund (continued)Purchases Sales Maturity Unrealised Profit/(Loss) Date USD

USD 22,131,272 EUR 16,192,186 9-Mar-15 2,526,549 USD 9,690,470 JPY 990,199,500 9-Mar-15 1,421,880 CHF 2,829,063 USD 3,129,494 16-Apr-15 (277,898)USD 3,184,805 CHF 2,829,063 16-Apr-15 333,210 USD 30,939,091 EUR 23,146,166 7-May-15 2,898,115 USD 1,697,878 AUD 2,122,347 18-Jun-15 (14,527)USD 8,855,632 EUR 7,083,000 18-Jun-15 270,884 USD 7,498,698 DKK 43,200,000 15-Oct-15 452,816 USD 7,205,777 DKK 41,200,000 15-Jan-16 470,933 USD 2,956,194 EUR 2,258,000 5-Feb-16 206,626 USD 3,021,510 EUR 2,300,000 7-Apr-16 216,692 USD 5,937,800 EUR 4,400,000 5-Aug-16 556,790 USD 1,725,840 JPY 176,035,709 2-Sep-16 237,669 USD 7,090,720 DKK 40,800,000 14-Oct-16 376,313

18,762,550

18,020,520


Bank of America (65,785)Barclays Bank 141,510 Citibank 329,312 Credit Suisse (47,146)Deutsche Bank 16,202,441 Goldman Sachs 77,560 HSBC Bank 299,728 JPMorgan Chase Bank 1,456,521 Morgan Stanley (273,445)UBS (100,176)

18,020,520

Franklin U.S. Opportunities Fund


Forward foreign exchange contracts used for share class hedgingCHF 11,319,085 USD 11,593,954 20-Jan-15 (204,974)CNH 6,082,164 USD 973,252 20-Jan-15 3,337 EUR 128,811,507 USD 158,803,367 20-Jan-15 (2,906,924)NOK 21,289,009 USD 2,890,144 20-Jan-15 (42,249)PLN 93,169,239 USD 27,029,983 20-Jan-15 (736,837)SEK 47,280,747 USD 6,168,279 20-Jan-15 (105,536)SGD 41,648,784 USD 31,707,087 20-Jan-15 (285,108)USD 3,668,759 EUR 2,974,636 20-Jan-15 68,652

(4,209,639)


Bank of America (308,257)Barclays Bank (46,175)Citibank (86,110)Credit Suisse (99,580)Deutsche Bank (31,081)Goldman Sachs (391,145)HSBC Bank (655,154)JPMorgan Chase Bank (260,716)Morgan Stanley (1,089,377)Royal Bank of Scotland (399,251)The Bank of New York Mellon (99,380)UBS (743,413)

(4,209,639)

Franklin U.S. Total Return Fund


Forward foreign exchange contracts used for efficient portfolio managementMYR 35,600 USD 10,627 7-Jan-15 (453)USD 10,179 MYR 35,600 7-Jan-15 5 CAD 566,000 USD 510,021 9-Jan-15 (22,712)CLP 44,400,000 USD 76,618 9-Jan-15 (3,539)





Franklin U.S. Total Return Fund (continued)


EUR 137,534 USD 191,392 9-Jan-15 (24,960)SGD 631,300 USD 500,436 9-Jan-15 (24,019)USD 105,623 CAD 117,400 9-Jan-15 4,545 USD 72,787 CLP 44,400,000 9-Jan-15 (292)USD 1,611,073 EUR 1,182,453 9-Jan-15 180,161 USD 5,287,182 JPY 544,756,000 9-Jan-15 740,561 USD 27,875 DKK 160,000 15-Jan-15 1,875 USD 263,447 EUR 202,000 6-Feb-15 18,934 CAD 125,000 USD 111,866 9-Feb-15 (4,318)SEK 5,219,200 USD 800,657 9-Feb-15 (131,358)SGD 165,300 USD 130,530 9-Feb-15 (5,851)USD 525,824 EUR 379,999 9-Feb-15 65,838 USD 68,560 JPY 7,024,000 9-Feb-15 9,921 USD 702,572 SEK 5,219,200 9-Feb-15 33,274 CLP 20,510,000 USD 36,117 9-Mar-15 (2,544)MYR 113,216 USD 33,978 9-Mar-15 (1,812)SGD 174,550 USD 139,369 9-Mar-15 (7,745)USD 33,450 CLP 20,510,000 9-Mar-15 (123)USD 3,477,055 EUR 2,542,215 9-Mar-15 399,065 USD 3,518,535 JPY 358,760,750 9-Mar-15 522,727 CHF 308,625 USD 341,399 16-Apr-15 (30,310)USD 347,551 CHF 308,625 16-Apr-15 36,468 CLP 145,690,000 USD 251,128 7-May-15 (13,825)PHP 11,625,000 USD 264,055 7-May-15 (5,744)USD 236,371 CLP 145,690,000 7-May-15 (933)USD 3,605,515 EUR 2,702,672 7-May-15 331,296 USD 306,062 JPY 32,810,000 7-May-15 31,892 USD 99,466 PHP 4,470,000 7-May-15 141 USD 606,142 EUR 460,000 5-Jun-15 48,690 CLP 63,827,000 USD 107,716 18-Jun-15 (4,115)MYR 72,760 USD 21,058 18-Jun-15 (559)SGD 376,902 USD 291,816 18-Jun-15 (7,912)USD 299,625 AUD 374,531 18-Jun-15 (2,563)USD 103,163 CLP 63,827,000 18-Jun-15 (437)USD 1,723,917 EUR 1,386,091 18-Jun-15 43,945 USD 72,474 EUR 56,383 22-Jun-15 4,134 USD 901,573 DKK 5,160,000 15-Jan-16 58,083 USD 264,388 EUR 202,000 5-Feb-16 18,413 USD 364,144 EUR 275,000 5-Aug-16 27,831 USD 710,640 JPY 72,485,291 2-Sep-16 97,864

2,379,539


Barclays Bank 30,026 Citibank 50,974 Deutsche Bank 2,026,442 Goldman Sachs 15,800 HSBC Bank 35,233 JPMorgan Chase Bank 239,100 Morgan Stanley (18,036)

2,379,539

Franklin World Perspectives Fund


Forward foreign exchange contract used for efficient portfolio managementUSD 16,241,149 JPY 1,945,852,039 26-Mar-15 (10,673)

The above contract was opened with the following counterparty:

Deutsche Bank (10,673)

Franklin Mutual Beacon Fund



(664,337)





Franklin Mutual Beacon Fund (continued)


Forward foreign exchange contracts used for efficient portfolio managementEUR 852,214 USD 1,060,247 20-Jan-15 (28,840)USD 1,270,382 EUR 953,132 20-Jan-15 116,836 GBP 2,806,476 USD 4,636,074 21-Jan-15 (262,357)USD 19,604,926 GBP 11,487,989 21-Jan-15 1,701,618 CHF 1,491,929 USD 1,540,880 12-Feb-15 (39,124)KRW 540,783,158 USD 493,405 12-Feb-15 (45)USD 2,961,283 CHF 2,707,081 12-Feb-15 236,371 USD 12,236,223 KRW 12,774,915,724 12-Feb-15 581,590 GBP 3,200,365 USD 5,159,041 19-Feb-15 (172,592)USD 29,490,398 GBP 18,163,649 19-Feb-15 1,189,840 USD 5,809,215 EUR 4,451,507 27-Feb-15 420,010 USD 3,747,059 EUR 2,979,411 16-Apr-15 138,395 USD 15,888,583 GBP 9,890,571 22-Apr-15 486,429 USD 13,166,826 EUR 10,549,367 18-May-15 385,031 GBP 476,301 USD 743,724 21-May-15 (2,175)USD 12,506,935 GBP 7,995,322 21-May-15 59,057

4,810,044

4,145,707


Bank of America 664,790 Barclays Bank (69,593)Citibank (13,941)Credit Suisse 919,557 Deutsche Bank 981,228 Goldman Sachs (170,312)HSBC Bank 736,004 JPMorgan Chase Bank (35,158)Morgan Stanley (22,395)Royal Bank of Scotland (46,065)Standard Chartered 239,999 State Street Bank 993,575 The Bank of New York Mellon (10,060)UBS (21,922)

4,145,707

Franklin Mutual European Fund


Forward foreign exchange contracts used for share class hedgingCNH 6,007,656 EUR 779,646 20-Jan-15 17,389 CZK 280,228,928 EUR 10,164,664 20-Jan-15 (50,722)USD 24,609,213 EUR 19,967,811 20-Jan-15 365,879

332,546


Bank of America 1,209 Barclays Bank 9,876 Citibank 3,752 Credit Suisse 6,353 Deutsche Bank 35,213 Goldman Sachs 23,698 HSBC Bank 235,883 JPMorgan Chase Bank 315 Morgan Stanley (1,021)Royal Bank of Scotland (1,678)The Bank of New York Mellon 11,713 UBS 7,233

332,546






Franklin Mutual Global Discovery Fund


Forward foreign exchange contracts used for share class hedgingEUR 29,273,703 GBP 22,992,100 26-Jan-15 (398,922)EUR 14,170,789 HKD 134,808,900 26-Jan-15 (233,856)EUR 88,415,302 USD 108,487,200 26-Jan-15 (1,473,882)GBP 336,900 EUR 429,712 26-Jan-15 4,915

(2,101,745)


Bank of America (2,014,291)Barclays Bank (8,580)Deutsche Bank (78,874)

(2,101,745)



Forward foreign exchange contracts used for share class hedgingCHF 731,869 USD 747,786 12-Jan-15 (11,498)EUR 30,901,488 USD 37,951,036 12-Jan-15 (555,268)USD 69,050 CHF 66,889 12-Jan-15 1,757 USD 4,633,723 EUR 3,744,082 12-Jan-15 102,781

(462,228)


Bank of America (28,406)Barclays Bank (660)Citibank (2,717)Credit Suisse (18,210)Deutsche Bank (2,590)Goldman Sachs (170,996)HSBC Bank (35,279)JPMorgan Chase Bank (95,694)Morgan Stanley (30,404)Royal Bank of Scotland (913)The Bank of New York Mellon (4,340)UBS (72,019)

(462,228)



Forward foreign exchange contracts used for share class hedgingAUD 1,707,837 USD 1,396,609 20-Jan-15 (4,257)CHF 80,121,703 USD 82,082,597 20-Jan-15 (1,466,153)EUR 191,078,522 USD 235,618,127 20-Jan-15 (4,361,912)SGD 16,956,017 USD 12,909,450 20-Jan-15 (116,961)USD 27,705,714 EUR 22,471,093 20-Jan-15 509,670

(5,439,613)

Forward foreign exchange contracts used for efficient portfolio managementUSD 2,458,623 JPY 256,041,000 7-Jan-15 321,702 MYR 3,690,700 USD 1,099,961 8-Jan-15 (45,321)USD 2,619,562 JPY 273,980,000 13-Jan-15 332,803 USD 7,865,907 JPY 821,830,000 14-Jan-15 1,006,487 USD 8,370,769 JPY 870,560,000 15-Jan-15 1,104,560 MYR 889,000 USD 267,860 16-Jan-15 (14,039)USD 12,927,791 JPY 1,335,850,000 16-Jan-15 1,777,899 USD 4,277,727 JPY 442,210,000 27-Jan-15 586,395 USD 5,481,632 JPY 560,677,000 28-Jan-15 801,361 MYR 1,216,000 USD 359,349 4-Feb-15 (12,839)MYR 297,049,400 USD 88,341,829 26-Feb-15 (3,862,796)USD 2,732,036 JPY 279,154,000 26-Feb-15 401,247 MYR 81,713,698 USD 24,465,179 13-Mar-15 (1,257,653)SGD 6,706,000 USD 5,090,329 16-Mar-15 (34,539)MYR 32,041,000 USD 9,519,014 30-Mar-15 (432,934)MYR 4,510,000 USD 1,343,141 31-Mar-15 (64,325)




Templeton Asian Bond Fund (continued)Purchases Sales Maturity Unrealised Profit/(Loss) Date USD

MYR 14,010,000 USD 4,206,576 10-Apr-15 (237,262)USD 8,828,716 JPY 893,700,000 15-Apr-15 1,362,716 CNH 650,634,720 USD 103,200,000 20-May-15 183,477 USD 58,708,100 CNH 365,000,000 20-May-15 710,936 USD 2,027,306 JPY 237,874,000 20-May-15 39,251 SGD 180,190,400 USD 143,496,489 15-Jun-15 (7,764,840)USD 47,216,137 SGD 62,500,000 15-Jun-15 136,891 USD 1,015,069 JPY 103,265,000 17-Jun-15 151,727 USD 6,924,004 JPY 701,592,000 30-Jun-15 1,057,410 USD 32,223,750 JPY 3,256,500,000 1-Jul-15 4,992,952 USD 4,348,041 JPY 440,000,000 10-Jul-15 668,167 USD 4,982,036 JPY 505,440,000 29-Jul-15 753,404 MYR 3,236,000 USD 996,551 31-Jul-15 (87,652)MYR 22,942,148 USD 7,019,382 6-Aug-15 (578,223)USD 10,417,318 JPY 1,065,900,000 7-Aug-15 1,498,285 USD 2,195,701 JPY 223,687,000 11-Aug-15 323,839 USD 1,099,144 JPY 112,100,000 18-Aug-15 160,947 USD 8,031,029 JPY 820,609,000 20-Aug-15 1,162,870 USD 1,088,134 JPY 111,957,000 24-Aug-15 151,032 USD 3,218,432 JPY 332,687,000 25-Aug-15 433,726 USD 5,287,745 JPY 546,202,000 26-Aug-15 715,762 USD 7,846,058 JPY 812,433,000 27-Aug-15 1,045,464 USD 11,707,456 JPY 1,210,990,000 31-Aug-15 1,569,943 USD 397,448 JPY 43,140,000 30-Sep-15 36,105 MYR 3,881,000 USD 1,159,650 20-Oct-15 (75,540)USD 74,338,683 JPY 7,909,983,600 22-Oct-15 8,044,520 MYR 3,992,000 USD 1,193,887 23-Oct-15 (78,996)MYR 200,229,830 USD 60,089,740 26-Oct-15 (4,180,356)MYR 1,866,000 USD 558,766 30-Oct-15 (37,869)USD 2,127,730 JPY 242,566,519 10-Nov-15 93,710 USD 7,774,205 JPY 883,798,000 12-Nov-15 362,791 USD 2,110,197 JPY 241,579,600 16-Nov-15 84,122 USD 2,283,282 JPY 264,815,000 18-Nov-15 62,215 MYR 2,742,080 USD 802,341 19-Nov-15 (37,908)USD 2,830,508 JPY 327,787,000 19-Nov-15 81,205 MYR 1,666,000 USD 486,154 20-Nov-15 (21,738)USD 3,176,885 JPY 368,201,000 20-Nov-15 88,527 USD 591,112 JPY 69,101,000 24-Nov-15 11,451

13,491,069

8,051,456


Bank of America (1,024,224)Barclays Bank 3,225,420 Citibank 9,825,804 Credit Suisse (701,719)Deutsche Bank (1,427,833)Goldman Sachs 121,151 HSBC Bank (4,937,559)JPMorgan Chase Bank 3,209,634 Morgan Stanley (2,010,904)Royal Bank of Scotland (1,016,446)The Bank of New York Mellon (69,600)UBS (715,324)Standard Chartered Bank 3,573,056

8,051,456

Templeton Asian Dividend Fund


Forward foreign exchange contracts used for share class hedgingSGD 1,177,870 USD 890,517 12-Jan-15 (1,693)USD 20,008 SGD 26,102 12-Jan-15 311

(1,382)





Templeton Asian Dividend Fund (continued)



Barclays Bank 240 Citibank (125)Credit Suisse (20)Deutsche Bank (1,120)Goldman Sachs (52)JPMorgan Chase Bank (15)Morgan Stanley (154)Royal Bank of Scotland (42)UBS (94)

(1,382)

Templeton Asian Growth Fund


Forward foreign exchange contracts used for share class hedgingEUR 6,091,995 PKR 806,580,100 6-Jan-15 (613,427)CHF 49,275,290 USD 50,817,087 15-Jan-15 (1,241,731)CNH 41,221,820 USD 6,631,731 15-Jan-15 (9,808)CZK 143,296,045 USD 6,432,355 15-Jan-15 (173,540)EUR 354,669,046 USD 439,430,807 15-Jan-15 (10,209,992)PLN 214,009,255 USD 63,370,987 15-Jan-15 (2,961,360)SGD 7,974,788 USD 6,062,101 15-Jan-15 (44,753)USD 2,118,257 CHF 2,036,794 15-Jan-15 69,060 USD 306,740 CNH 1,906,769 15-Jan-15 435 USD 186,255 CZK 4,123,062 15-Jan-15 6,170 USD 21,575,282 EUR 17,283,088 15-Jan-15 659,273 USD 4,772,832 PLN 16,119,133 15-Jan-15 222,792 USD 176,932 SGD 230,463 15-Jan-15 3,037 EUR 23,980,986 HKD 228,630,500 26-Jan-15 (459,675)EUR 10,131,113 IDR 156,460,680,900 26-Jan-15 (304,946)EUR 27,097,415 THB 1,102,653,900 26-Jan-15 (690,284)EUR 8,382,809 USD 10,307,200 26-Jan-15 (161,081)IDR 3,479,896,600 EUR 227,073 26-Jan-15 4,672 THB 28,235,100 EUR 701,528 26-Jan-15 8,407 USD 621,600 EUR 508,765 26-Jan-15 5,817 EUR 17,253,459 INR 1,351,084,000 27-Jan-15 (436,793)

(16,327,727)


Bank of America (885,131)Barclays Bank (484,628)Citibank (747,865)Credit Suisse (2,768,624)Deutsche Bank (1,983,816)Goldman Sachs (1,698,380)HSBC Bank (2,094,846)JPMorgan Chase Bank (664,689)Morgan Stanley (334,865)Royal Bank of Scotland (2,739,517)The Bank of New York Mellon (1,418,067)UBS (507,299)

(16,327,727)

Templeton BRIC Fund


Forward foreign exchange contracts used for share class hedgingEUR 13,060,540 USD 16,048,731 12-Jan-15 (243,377)PLN 19,125,567 USD 5,630,665 12-Jan-15 (231,210)USD 1,948,128 EUR 1,561,302 12-Jan-15 58,702 USD 674,850 PLN 2,284,213 12-Jan-15 29,979

(385,906)





Templeton BRIC Fund (continued)



Bank of America (1,137)Barclays Bank 2,857 Citibank (2,056)Credit Suisse (9,112)Deutsche Bank (31,871)Goldman Sachs (71,673)HSBC Bank (44,606)JPMorgan Chase Bank (128,475)Morgan Stanley (63,485)Royal Bank of Scotland (8,855)The Bank of New York Mellon (2,460)UBS (25,033)

(385,906)

Templeton Constrained Bond Fund


Forward foreign exchange contracts used for efficient portfolio managementUSD 4,898 JPY 508,000 8-Jan-15 658 USD 27,192 JPY 2,820,000 15-Jan-15 3,655 USD 955,259 GBP 566,600 22-Jan-15 72,256 CLP 91,760,400 USD 147,762 23-Jan-15 3,014 USD 47,236 JPY 4,770,000 6-Feb-15 7,415 MYR 180,000 USD 55,781 9-Feb-15 (4,512)USD 46,974 JPY 4,750,000 9-Feb-15 7,319 USD 96,222 EUR 70,000 23-Feb-15 11,479 INR 8,714,250 USD 138,740 13-Mar-15 (2,298)EUR 509,864 USD 683,144 27-Mar-15 (65,725)USD 704,228 EUR 509,864 27-Mar-15 86,809 EUR 679,887 USD 860,193 31-Mar-15 (36,855)USD 866,618 EUR 679,887 31-Mar-15 43,280 USD 923,695 CAD 1,034,562 6-Apr-15 34,701 USD 417,637 NOK 2,731,850 8-Apr-15 52,985 USD 951,980 NZD 1,136,760 7-May-15 76,387 USD 20,000 JPY 2,030,600 18-May-15 3,029 USD 80,000 JPY 8,113,700 19-May-15 12,189 EUR 137,414 USD 173,952 29-May-15 (7,439)USD 1,293,823 EUR 978,797 29-May-15 107,756 USD 38,656 EUR 29,682 8-Jun-15 2,685 USD 518,114 EUR 381,000 22-Jun-15 56,314 USD 22,979 JPY 2,340,000 22-Jun-15 3,415 USD 436,095 JPY 44,316,000 26-Jun-15 65,553 EUR 355,183 USD 476,284 29-Jun-15 (45,744)USD 696,665 EUR 509,864 29-Jun-15 78,626 USD 496,373 NOK 3,229,500 30-Jun-15 65,915 USD 2,658 EUR 1,950 17-Jul-15 294 MYR 180,000 USD 55,073 6-Aug-15 (4,537)USD 39,033 EUR 30,000 8-Sep-15 2,626 MXN 2,684,948 USD 196,916 28-Sep-15 (18,004)MYR 587,160 USD 177,170 28-Sep-15 (12,914)USD 400,518 EUR 311,000 28-Sep-15 22,972 USD 408,446 JPY 44,248,950 28-Sep-15 37,834 USD 89,460 EUR 70,000 29-Sep-15 4,480 KRW 135,606,400 USD 128,952 30-Sep-15 (6,039)USD 42,199 EUR 33,000 30-Sep-15 2,136 USD 64,620 JPY 7,000,000 7-Oct-15 5,977 USD 32,483 JPY 3,500,000 9-Oct-15 3,160 USD 32,515 JPY 3,500,000 13-Oct-15 3,188 USD 450,990 EUR 353,000 14-Oct-15 22,296 USD 108,418 EUR 85,000 16-Oct-15 5,186 MYR 119,333 USD 35,000 12-Nov-15 (1,717)USD 164,000 JPY 18,712,400 12-Nov-15 7,080 MXN 2,836,175 USD 205,000 13-Nov-15 (16,617)USD 77,888 EUR 62,000 20-Nov-15 2,528 USD 54,712 EUR 44,000 15-Dec-15 1,199 USD 40,039 JPY 4,680,000 21-Dec-15 752 USD 22,515 JPY 2,660,000 22-Dec-15 185 MXN 55,000 USD 3,645 29-Dec-15 (3)MXN 85,000 USD 5,634 31-Dec-15 (7)MXN 43,000 USD 2,848 4-Jan-16 (3)

694,919





Templeton Constrained Bond Fund (continued)



Bank of America 42,009 Barclays Bank 214,921 Citibank 102,904 Deutsche Bank 208,284 Goldman Sachs 63,398 HSBC Bank (29,695)JPMorgan Chase Bank 89,417 Standard Chartered Bank 3,681

694,919

Templeton Emerging Markets Fund



(97,317)


Bank of America (4,941)Barclays Bank 249 Citibank (6,472)Credit Suisse (14,859)Deutsche Bank 139 Goldman Sachs (5,849)HSBC Bank (9,713)JPMorgan Chase Bank (31,891)Morgan Stanley (9,299)Royal Bank of Scotland (14,376)The Bank of New York Mellon (305)

(97,317)

Templeton Emerging Markets Balanced FundPurchases Sales Maturity Unrealised Profit/(Loss) Date USD

Forward foreign exchange contracts used for share class hedgingEUR 12,660,739 USD 15,606,380 20-Jan-15 (283,493)SGD 970,798 USD 738,873 20-Jan-15 (6,454)

(289,947)

Forward foreign exchange contracts used for efficient portfolio managementUSD 89,734 EUR 65,791 7-Jan-15 10,121 MYR 397,600 USD 118,658 8-Jan-15 (5,042)MYR 214,000 USD 63,911 9-Jan-15 (2,766)MYR 64,000 USD 19,133 12-Jan-15 (852)USD 5,452 EUR 4,000 21-Jan-15 611 INR 5,212,900 USD 83,795 27-Jan-15 (1,537)USD 273,360 EUR 200,000 30-Jan-15 31,280 MXN 25,844,100 USD 1,864,923 5-Feb-15 (116,278)USD 473,872 EUR 340,000 9-Feb-15 62,305 INR 7,462,500 USD 119,877 12-Feb-15 (2,439)INR 5,212,900 USD 82,974 23-Feb-15 (1,085)USD 956,285 EUR 695,000 23-Feb-15 114,910 USD 27,414 EUR 20,000 27-Feb-15 3,201 USD 195,828 EUR 141,000 18-Mar-15 25,098 USD 156,073 EUR 112,300 19-Mar-15 20,094 CLP 121,320,000 USD 205,802 20-Mar-15 (7,398)USD 360,905 EUR 259,300 23-Mar-15 46,917 USD 77,261 EUR 56,000 25-Mar-15 9,449 MYR 580,250 USD 175,888 2-Apr-15 (11,383)USD 181,955 EUR 132,000 2-Apr-15 22,101 GHS 38,646 USD 11,729 7-Apr-15 (356)KRW 267,000,000 USD 248,386 7-Apr-15 (5,347)MXN 10,163,000 USD 752,146 7-Apr-15 (67,131)CLP 105,800,000 USD 180,577 11-May-15 (8,305)CLP 73,042,500 USD 124,593 12-May-15 (5,669)USD 249,384 EUR 181,000 13-May-15 30,092 USD 55,098 EUR 40,000 14-May-15 6,635





Templeton Emerging Markets Balanced Fund (continued)Purchases Sales Maturity Unrealised Profit/(Loss) Date USD

USD 271,882 EUR 198,900 20-May-15 30,887 USD 366,843 EUR 269,000 8-Jun-15 40,845 PHP 10,554,200 USD 235,194 29-Jun-15 (1,059)PHP 3,581,720 USD 81,429 30-Jun-15 (1,973)PHP 3,552,000 USD 81,200 1-Jul-15 (2,404)MYR 261,750 USD 79,914 2-Jul-15 (6,251)MYR 48,320 USD 14,772 3-Jul-15 (1,175)MYR 442,400 USD 135,361 7-Jul-15 (10,900)USD 222,635 EUR 163,000 16-Jul-15 24,998 USD 105,747 EUR 78,000 20-Jul-15 11,166 PLN 3,060,000 USD 978,105 27-Jul-15 (120,280)USD 64,387 EUR 48,000 3-Aug-15 6,170 USD 28,366 EUR 21,100 5-Aug-15 2,774 USD 62,569 EUR 46,700 11-Aug-15 5,921 USD 276,705 EUR 206,250 13-Aug-15 26,512 USD 15,562 EUR 12,460 14-Aug-15 447 USD 16,728 EUR 12,460 17-Aug-15 1,612 USD 108,997 EUR 81,914 26-Aug-15 9,610 USD 357,107 EUR 270,000 31-Aug-15 29,486 EUR 524,000 USD 663,594 2-Sep-15 (27,746)USD 692,456 EUR 524,000 2-Sep-15 56,608 PHP 10,554,200 USD 235,191 30-Sep-15 (1,338)USD 125,418 EUR 98,000 20-Oct-15 6,387 USD 11,216 EUR 9,000 12-Nov-15 279 USD 125,153 EUR 100,000 16-Nov-15 3,615 MYR 1,300,000 USD 379,973 18-Nov-15 (17,535)BRL 570,000 USD 199,706 20-Nov-15 (3,946)USD 244,516 EUR 197,000 9-Dec-15 4,957

214,893

(75,054)


Bank of America (9,275)Barclays Bank 69,411 Citibank (185,879)Credit Suisse (28,252)Deutsche Bank 206,827 Goldman Sachs 79,236 HSBC Bank (57,404)JPMorgan Chase Bank 37,250 Morgan Stanley (67,858)Royal Bank of Scotland (38,943)The Bank of New York Mellon (9,487)UBS (70,680)

(75,054)

Templeton Emerging Markets Bond Fund


Forward foreign exchange contracts used for share class hedgingAUD 19,469,036 USD 16,036,573 15-Jan-15 (158,033)CHF 42,690,919 USD 44,046,370 15-Jan-15 (1,095,481)EUR 299,928,669 USD 371,638,579 15-Jan-15 (8,664,620)GBP 51,043,307 USD 80,142,115 15-Jan-15 (590,500)NOK 18,428,895 USD 2,528,248 15-Jan-15 (62,601)SEK 110,550,147 USD 14,638,201 15-Jan-15 (462,740)SGD 14,943,450 USD 11,361,093 15-Jan-15 (85,570)USD 1,208,261 AUD 1,472,257 15-Jan-15 7,519 USD 2,282,570 CHF 2,200,837 15-Jan-15 68,330 USD 22,059,803 EUR 17,719,611 15-Jan-15 615,512 USD 4,415,249 GBP 2,809,787 15-Jan-15 36,161 USD 135,267 NOK 1,008,452 15-Jan-15 343 USD 5,273,138 SEK 40,146,658 15-Jan-15 125,273 USD 514,546 SGD 673,746 15-Jan-15 6,174

(10,260,233)





Templeton Emerging Markets Bond Fund (continued)


Forward foreign exchange contracts used for efficient portfolio managementMYR 35,047,100 USD 10,452,797 8-Jan-15 (437,871)CLP 1,547,690,000 USD 2,518,822 9-Jan-15 28,565 MYR 10,078,000 USD 3,009,796 9-Jan-15 (130,252)CLP 3,527,100,000 USD 6,394,887 12-Jan-15 (591,636)MYR 3,020,000 USD 902,840 12-Jan-15 (40,224)USD 15,018,936 EUR 11,051,380 13-Jan-15 1,644,841 USD 14,531,504 JPY 1,519,850,000 13-Jan-15 1,846,156 CLP 709,400,000 USD 1,151,250 14-Jan-15 15,667 INR 395,776,000 USD 6,383,638 14-Jan-15 (122,351)USD 43,634,667 JPY 4,558,950,000 14-Jan-15 5,583,301 CLP 665,561,000 USD 1,076,611 15-Jan-15 18,062 INR 36,352,000 USD 585,661 15-Jan-15 (10,676)USD 41,872,212 JPY 4,354,710,000 15-Jan-15 5,525,223 CLP 720,379,000 USD 1,169,257 16-Jan-15 15,434 MYR 4,948,000 USD 1,490,855 16-Jan-15 (78,139)USD 63,530,728 JPY 6,564,810,000 16-Jan-15 8,736,459 CLP 1,416,312,000 USD 2,273,556 20-Jan-15 54,500 INR 2,031,819,000 USD 32,745,693 20-Jan-15 (639,838)INR 51,396,000 USD 821,528 21-Jan-15 (9,552)USD 12,389,670 EUR 9,090,000 21-Jan-15 1,388,212 INR 109,601,000 USD 1,753,356 22-Jan-15 (22,176)CLP 1,187,490,000 USD 2,145,420 23-Jan-15 (194,194)CLP 1,684,390,000 USD 2,983,598 26-Jan-15 (216,890)USD 35,187,208 EUR 25,926,325 26-Jan-15 3,807,323 INR 946,591,000 USD 15,148,046 27-Jan-15 (211,109)USD 25,282,699 EUR 18,504,027 27-Jan-15 2,886,132 CLP 1,446,212,000 USD 2,400,591 30-Jan-15 (26,248)INR 1,181,449,666 USD 18,983,411 30-Jan-15 (351,496)CLP 2,572,638,000 USD 4,285,319 2-Feb-15 (62,619)INR 244,300,833 USD 3,925,615 2-Feb-15 (74,780)CLP 1,186,745,200 USD 1,980,549 3-Feb-15 (32,788)INR 384,275,250 USD 6,166,163 3-Feb-15 (109,943)CLP 1,485,310,000 USD 2,620,519 4-Feb-15 (182,920)INR 52,360,000 USD 840,422 4-Feb-15 (15,357)MYR 5,510,000 USD 1,628,299 4-Feb-15 (58,178)CLP 2,509,300,000 USD 4,421,440 5-Feb-15 (303,648)USD 118,239,249 JPY 11,940,160,000 6-Feb-15 18,561,051 CLP 3,498,700,000 USD 6,044,182 9-Feb-15 (304,530)INR 477,166,000 USD 7,648,916 9-Feb-15 (136,068)MYR 9,550,000 USD 2,959,497 9-Feb-15 (239,371)USD 118,239,661 JPY 11,956,430,000 9-Feb-15 18,423,255 CLP 2,246,200,000 USD 3,864,098 10-Feb-15 (179,467)KRW 81,205,820,300 USD 74,337,075 10-Feb-15 (246,652)CLP 3,875,400,000 USD 6,732,801 12-Feb-15 (376,629)INR 276,852,250 USD 4,447,314 12-Feb-15 (90,477)INR 24,550,000 USD 393,619 13-Feb-15 (7,337)CLP 5,546,660,000 USD 9,470,930 17-Feb-15 (377,149)MXN 1,899,503,821 USD 138,710,663 17-Feb-15 (10,282,506)CLP 2,332,740,000 USD 3,992,025 18-Feb-15 (167,778)CLP 789,620,000 USD 1,353,248 20-Feb-15 (58,958)USD 24,376,002 EUR 17,740,000 20-Feb-15 2,900,204 CLP 1,905,000,000 USD 3,335,084 23-Feb-15 (213,259)INR 366,636,000 USD 5,836,705 23-Feb-15 (77,241)KRW 4,304,000,000 USD 3,995,173 23-Feb-15 (70,314)USD 3,994,383 EUR 2,903,000 23-Feb-15 479,975 CLP 2,681,100,000 USD 4,697,092 24-Feb-15 (303,766)INR 1,948,800,000 USD 30,955,739 24-Feb-15 (347,117)CLP 2,554,246,000 USD 4,423,994 25-Feb-15 (238,855)CLP 1,681,480,000 USD 2,927,368 26-Feb-15 (172,469)USD 5,132,378 EUR 3,738,384 26-Feb-15 606,546 USD 2,616,859 EUR 1,913,888 27-Feb-15 299,815 CLP 3,605,540,000 USD 6,199,464 3-Mar-15 (294,582)INR 199,816,250 USD 3,174,574 3-Mar-15 (39,939)INR 96,576,000 USD 1,542,169 9-Mar-15 (28,881)GHS 17,690,000 USD 5,706,452 10-Mar-15 (398,435)CLP 2,772,500,000 USD 4,783,884 11-Mar-15 (246,365)CLP 16,829,400,000 USD 29,028,719 12-Mar-15 (1,487,773)CLP 684,630,000 USD 1,163,565 13-Mar-15 (43,278)INR 395,776,000 USD 6,301,162 13-Mar-15 (104,381)USD 18,491,592 JPY 1,892,096,627 17-Mar-15 2,690,344 USD 51,086,347 EUR 36,783,200 18-Mar-15 6,547,399 USD 17,093,027 EUR 12,299,000 19-Mar-15 2,200,646







CLP 1,593,400,000 USD 2,702,969 20-Mar-15 (97,167)USD 34,105,110 EUR 24,504,000 23-Mar-15 4,433,099 USD 8,483,529 EUR 6,149,000 25-Mar-15 1,037,542 KRW 70,000,000,000 USD 64,137,805 30-Mar-15 (403,522)MYR 210,000 USD 62,541 31-Mar-15 (2,995)PLN 12,296,000 EUR 2,875,585 31-Mar-15 (23,067)MYR 155,092,000 USD 47,012,062 2-Apr-15 (3,042,716)MYR 200,000,000 USD 60,210,133 3-Apr-15 (3,513,774)GHS 12,460,284 USD 3,781,573 7-Apr-15 (114,880)MYR 160,000 USD 48,041 10-Apr-15 (2,710)USD 9,001,369 EUR 6,529,000 10-Apr-15 1,093,952 USD 6,221,511 EUR 4,502,823 13-Apr-15 767,866 USD 4,411,296 EUR 3,180,000 15-Apr-15 559,720 USD 156,306,022 JPY 15,833,800,000 15-Apr-15 24,029,928 CLP 1,386,730,000 USD 2,445,732 16-Apr-15 (183,042)MYR 9,535,724 USD 2,879,144 16-Apr-15 (178,803)CLP 878,663,000 USD 1,519,521 28-Apr-15 (87,263)CLP 1,799,400,000 USD 3,071,173 11-May-15 (141,248)USD 69,640,213 EUR 50,536,559 13-May-15 8,412,537 USD 46,583,643 EUR 33,819,000 14-May-15 5,609,721 KRW 36,381,918,900 USD 35,002,808 15-May-15 (1,922,999)KRW 6,946,790,000 USD 6,671,907 18-May-15 (356,184)KRW 29,444,126,400 USD 28,238,349 20-May-15 (1,470,596)USD 32,998,237 EUR 24,140,400 20-May-15 3,748,681 KRW 36,368,136,000 USD 34,986,182 21-May-15 (1,924,766)MYR 107,190,000 USD 32,612,743 29-May-15 (2,364,517)USD 16,371,762 EUR 12,032,000 1-Jun-15 1,791,387 CLP 2,918,979,000 USD 5,140,586 2-Jun-15 (396,362)MYR 17,125,000 USD 5,207,858 2-Jun-15 (376,879)CLP 4,312,170,000 USD 7,598,537 3-Jun-15 (590,538)CLP 4,548,400,000 USD 8,003,519 4-Jun-15 (612,220)CLP 4,580,380,000 USD 8,034,197 5-Jun-15 (591,548)PLN 30,900,000 EUR 7,296,685 8-Jun-15 (168,871)USD 17,937,141 EUR 13,153,000 8-Jun-15 1,997,137 PLN 4,217,000 EUR 1,007,984 11-Jun-15 (37,968)PLN 21,615,000 EUR 5,160,435 12-Jun-15 (187,401)USD 54,235,009 EUR 40,014,910 15-Jun-15 5,737,643 KRW 101,747,200,000 USD 98,411,065 17-Jun-15 (5,988,808)USD 54,220,190 EUR 40,014,900 17-Jun-15 5,721,792 KRW 186,977,352,500 USD 168,599,957 19-Jun-15 1,231,238 MYR 252,000,000 USD 76,688,984 24-Jun-15 (5,726,278)PHP 3,081,456,480 USD 68,668,319 29-Jun-15 (309,238)PHP 1,045,735,760 USD 23,774,286 30-Jun-15 (575,939)PHP 1,029,890,000 USD 23,543,572 1-Jul-15 (697,010)MYR 69,962,000 USD 21,359,834 2-Jul-15 (1,670,679)USD 15,420,339 EUR 11,269,377 2-Jul-15 1,759,327 MYR 346,336,660 USD 105,865,376 3-Jul-15 (8,403,734)MYR 117,400,000 USD 35,920,815 7-Jul-15 (2,892,611)USD 76,910,211 EUR 56,309,000 16-Jul-15 8,635,497 USD 44,459,810 EUR 32,794,000 20-Jul-15 4,694,462 MYR 258,000 USD 79,324 22-Jul-15 (6,814)USD 9,041,141 EUR 6,668,000 22-Jul-15 955,394 USD 56,311,338 EUR 41,568,000 23-Jul-15 5,904,348 MYR 314,000 USD 97,090 27-Jul-15 (8,873)CLP 4,895,526,000 USD 8,423,392 28-Jul-15 (503,317)PHP 1,496,250,000 USD 34,392,599 28-Jul-15 (1,211,030)USD 39,247,116 EUR 29,142,728 29-Jul-15 3,904,041 CLP 1,886,480,000 USD 3,241,932 30-Jul-15 (190,448)MYR 330,000 USD 102,041 30-Jul-15 (9,347)CLP 3,008,840,000 USD 5,171,540 31-Jul-15 (304,976)MYR 14,658,000 USD 4,514,043 31-Jul-15 (397,033)USD 16,546,169 EUR 12,335,000 3-Aug-15 1,585,580 CLP 1,591,690,000 USD 2,699,610 4-Aug-15 (126,017)USD 811,211 EUR 604,779 4-Aug-15 77,689 CLP 1,150,400,000 USD 1,949,500 5-Aug-15 (89,578)USD 24,593,991 EUR 18,294,200 5-Aug-15 2,405,022 CLP 1,216,600,000 USD 2,059,765 6-Aug-15 (92,974)MYR 9,550,000 USD 2,921,919 6-Aug-15 (240,694)USD 7,114,663 EUR 5,317,387 10-Aug-15 664,699 CLP 1,771,500,000 USD 2,985,590 11-Aug-15 (122,902)USD 30,231,009 EUR 22,565,300 11-Aug-15 2,858,960 CLP 1,791,200,000 USD 3,026,698 12-Aug-15 (132,412)USD 5,076,248 EUR 4,064,380 14-Aug-15 145,853







USD 12,463,026 EUR 9,293,380 17-Aug-15 1,188,913 CLP 1,468,200,000 USD 2,474,008 18-Aug-15 (102,799)USD 23,979,047 EUR 17,882,000 18-Aug-15 2,285,435 CLP 790,080,000 USD 1,331,783 20-Aug-15 (55,976)USD 23,795,106 EUR 17,740,000 20-Aug-15 2,273,060 USD 23,685,561 EUR 17,740,000 21-Aug-15 2,163,164 USD 6,768,047 EUR 5,086,367 26-Aug-15 596,698 CLP 1,380,780,000 USD 2,303,988 27-Aug-15 (75,604)KRW 61,000,000,000 USD 59,051,307 27-Aug-15 (3,724,207)CLP 7,301,130,000 USD 12,154,373 28-Aug-15 (372,339)USD 32,258,290 EUR 24,389,689 31-Aug-15 2,663,578 CLP 1,541,000,000 USD 2,544,584 8-Sep-15 (60,060)CLP 703,690,000 USD 1,154,158 9-Sep-15 (19,705)USD 17,681,759 JPY 1,885,123,056 18-Sep-15 1,895,733 USD 2,372,828 EUR 1,823,324 21-Sep-15 159,629 USD 1,546,967 EUR 1,201,220 28-Sep-15 88,717 USD 17,379,741 JPY 1,888,117,650 29-Sep-15 1,565,188 PHP 3,081,456,480 USD 68,667,554 30-Sep-15 (390,643)USD 15,333,326 EUR 12,200,000 7-Oct-15 519,703 USD 53,088,391 JPY 5,750,800,000 7-Oct-15 4,910,182 USD 26,544,467 JPY 2,860,100,000 9-Oct-15 2,582,237 USD 26,721,578 JPY 2,876,400,000 13-Oct-15 2,620,161 MYR 21,609,000 USD 6,456,808 20-Oct-15 (420,597)MYR 18,273,000 USD 5,464,904 23-Oct-15 (361,585)MYR 22,411,991 USD 6,725,924 26-Oct-15 (467,913)USD 3,315,780 EUR 2,600,000 29-Oct-15 157,142 MYR 8,454,000 USD 2,531,517 30-Oct-15 (171,569)PLN 24,457,000 EUR 5,704,124 30-Oct-15 (87,784)USD 2,971,060 EUR 2,384,000 12-Nov-15 73,877 UYU 37,100,000 USD 1,420,368 12-Nov-15 (38,657)USD 51,475,429 EUR 41,130,000 16-Nov-15 1,487,011 MYR 13,772,720 USD 4,029,939 19-Nov-15 (190,384)USD 5,050,202 EUR 4,040,000 19-Nov-15 139,735 BRL 164,000,000 USD 57,459,183 20-Nov-15 (1,135,349)MYR 8,284,000 USD 2,417,345 20-Nov-15 (108,085)UYU 37,100,000 USD 1,414,411 20-Nov-15 (36,100)USD 27,161,574 EUR 21,788,000 30-Nov-15 672,220 UYU 55,370,000 USD 2,152,799 1-Dec-15 (102,670)PLN 94,800,000 EUR 22,317,435 2-Dec-15 (628,541)MXN 1,120,708,015 USD 73,803,623 18-Dec-15 454,279

135,019,110

124,758,877


Bank of America (2,409,695)Barclays Bank 35,715,868 Citibank (17,654,275)Credit Suisse (3,392,733)Deutsche Bank 39,229,517 Goldman Sachs 13,478,673 HSBC Bank 23,436,817 JPMorgan Chase Bank 17,073,827 Morgan Stanley (1,419,415)Royal Bank of Scotland (1,564,932)The Bank of New York Mellon (61,117)UBS (1,626,038)Standard Chartered Bank 23,952,380

124,758,877

Templeton Frontier Markets Fund


Forward foreign exchange contracts used for share class hedgingEUR 199,476,532 USD 246,991,187 15-Jan-15 (5,584,497)PLN 65,282,978 USD 19,282,678 15-Jan-15 (854,877)USD 21,091,777 EUR 16,915,935 15-Jan-15 620,097 USD 2,521,170 PLN 8,569,841 15-Jan-15 102,111

(5,717,166)






Templeton Frontier Markets Fund (continued)



Bank of America (697,003)Barclays Bank (333,509)Citibank (503,606)Credit Suisse (723,554)Deutsche Bank (130,164)Goldman Sachs (571,711)HSBC Bank (363,849)JPMorgan Chase Bank (310,507)Morgan Stanley (82,900)Royal Bank of Scotland (1,679,032)The Bank of New York Mellon (230,183)UBS (91,148)

(5,717,166)



Forward foreign exchange contracts used for share class hedgingEUR 561,252 CHF 675,800 26-Jan-15 (604)EUR 1,066,177 GBP 837,400 26-Jan-15 (12,010)EUR 792,612 HKD 7,541,400 26-Jan-15 (10,931)EUR 4,066,069 USD 4,989,000 26-Jan-15 (55,884)

(79,429)

The above contracts were opened with the following counterparty:

Bank of America (79,429)

Templeton Global Balanced Fund


Forward foreign exchange contracts used for share class hedgingEUR 59,636,041 USD 73,882,821 15-Jan-15 (1,711,227)USD 5,001,852 EUR 4,026,188 15-Jan-15 129,356

(1,581,871)

Forward foreign exchange contracts used for efficient portfolio managementCLP 618,680,000 USD 1,006,884 9-Jan-15 11,419 CLP 232,680,000 USD 377,605 14-Jan-15 5,139 INR 11,162,000 USD 180,037 14-Jan-15 (3,451)CLP 218,295,000 USD 353,114 15-Jan-15 5,924 INR 52,977,000 USD 853,504 15-Jan-15 (15,559)CLP 236,275,000 USD 383,501 16-Jan-15 5,062 CLP 566,164,000 USD 908,843 20-Jan-15 21,786 INR 106,206,000 USD 1,710,252 20-Jan-15 (32,034)INR 41,639,000 USD 665,569 21-Jan-15 (7,739)EUR 140,000 USD 174,918 22-Jan-15 (5,477)INR 35,440,000 USD 567,857 22-Jan-15 (8,072)USD 314,132 EUR 231,434 22-Jan-15 34,029 CLP 389,480,000 USD 703,668 23-Jan-15 (63,693)CLP 552,460,000 USD 978,585 26-Jan-15 (71,137)USD 522,522 EUR 385,000 26-Jan-15 56,538 INR 14,789,000 USD 236,057 27-Jan-15 (2,691)CLP 160,715,000 USD 266,773 30-Jan-15 (2,917)INR 50,398,000 USD 810,241 30-Jan-15 (15,445)CLP 154,534,000 USD 257,944 2-Feb-15 (4,293)INR 5,906,000 USD 94,902 2-Feb-15 (1,808)CLP 131,881,000 USD 220,095 3-Feb-15 (3,644)INR 31,610,000 USD 507,235 3-Feb-15 (9,058)CLP 207,410,000 USD 365,932 4-Feb-15 (25,543)INR 80,260,000 USD 1,288,241 4-Feb-15 (23,541)INR 99,151,000 USD 1,592,054 9-Feb-15 (30,948)INR 15,174,000 USD 243,739 12-Feb-15 (4,945)INR 19,890,000 USD 318,903 13-Feb-15 (5,944)CLP 399,480,000 USD 698,758 17-Feb-15 (43,808)CLP 185,000,000 USD 316,591 18-Feb-15 (13,306)




Templeton Global Balanced Fund (continued)


INR 18,221,000 USD 290,801 23-Feb-15 (4,568)CLP 90,050,000 USD 156,772 26-Feb-15 (9,236)CLP 185,280,000 USD 319,779 3-Mar-15 (16,342)INR 8,859,000 USD 140,747 3-Mar-15 (1,771)INR 7,464,000 USD 119,188 9-Mar-15 (2,232)CLP 224,550,000 USD 381,635 13-Mar-15 (14,195)INR 34,579,000 USD 550,533 13-Mar-15 (9,120)CLP 554,340,000 USD 977,672 16-Apr-15 (73,170)CLP 351,241,000 USD 607,421 28-Apr-15 (34,883)EUR 2,235,000 USD 3,007,640 30-Apr-15 (300,199)USD 3,467,803 EUR 2,506,000 30-Apr-15 432,078 EUR 1,121,000 USD 1,373,797 5-May-15 (15,764)USD 1,740,737 EUR 1,256,070 5-May-15 219,074 CLP 596,040,000 USD 1,048,628 22-May-15 (78,996)CLP 170,980,000 USD 301,286 3-Jun-15 (23,415)CLP 244,133,000 USD 428,454 5-Jun-15 (31,763)USD 3,595,013 EUR 2,760,426 8-Jun-15 249,678 MYR 10,640,000 USD 3,000,564 19-Jun-15 (3,146)CLP 344,000,000 USD 592,032 28-Jul-15 (35,502)CLP 118,070,000 USD 202,904 30-Jul-15 (11,920)CLP 111,130,000 USD 191,093 31-Jul-15 (11,349)CLP 222,270,000 USD 376,984 4-Aug-15 (17,598)USD 3,361,773 EUR 2,505,000 4-Aug-15 323,517 USD 1,681,688 EUR 1,251,000 5-Aug-15 164,355 CLP 139,200,000 USD 232,271 27-Aug-15 (7,622)CLP 417,480,000 USD 689,366 8-Sep-15 (16,271)USD 3,630,069 EUR 2,790,000 8-Sep-15 244,211 CLP 230,800,000 USD 378,547 9-Sep-15 (6,464)USD 121,286 EUR 98,456 9-Dec-15 1,560

653,791

(928,080)


Bank of America (34,496)Barclays Bank 338,140 Citibank (137,308)Credit Suisse (110,752)Deutsche Bank (255,405)Goldman Sachs (271,700)HSBC Bank 294,593 JPMorgan Chase Bank (226,522)Morgan Stanley (284,177)Royal Bank of Scotland (87,255)The Bank of New York Mellon (14,881)UBS (138,317)

(928,080)



Forward foreign exchange contracts used for share class hedgingCHF 211,870,302 USD 216,540,098 12-Jan-15 (3,390,429)CZK 1,474,987,928 USD 65,707,328 12-Jan-15 (1,286,290)EUR 2,616,822,420 USD 3,215,604,712 12-Jan-15 (48,828,926)PLN 403,291,635 USD 118,776,154 12-Jan-15 (4,920,405)SGD 452,513,230 USD 342,229,290 12-Jan-15 (761,414)USD 4,654,333 CHF 4,493,751 12-Jan-15 133,446 USD 107,236,118 EUR 86,182,865 12-Jan-15 2,940,998 USD 5,281,563 PLN 17,853,320 12-Jan-15 241,282 USD 8,946,686 SGD 11,766,082 12-Jan-15 67,964 JPY 5,783,388,175 USD 47,876,173 13-Jan-15 394,572 USD 964,763 JPY 112,045,470 13-Jan-15 29,582 AUD 35,096,747 USD 28,916,594 15-Jan-15 (292,421)CHF 222,628,693 USD 229,769,568 15-Jan-15 (5,785,153)EUR 2,160,659,117 USD 2,677,978,719 15-Jan-15 (63,146,998)GBP 92,364,065 USD 145,040,157 15-Jan-15 (1,089,638)NOK 1,254,400,934 USD 172,047,684 15-Jan-15 (4,218,293)NZD 46,313,442 USD 36,016,739 15-Jan-15 45,235 SEK 434,888,163 USD 57,563,163 15-Jan-15 (1,798,974)





Templeton Global Bond Fund (continued)


USD 642,459 AUD 785,076 15-Jan-15 2,167 USD 10,412,505 CHF 10,108,476 15-Jan-15 242,472 USD 154,652,128 EUR 124,351,432 15-Jan-15 4,161,906 USD 3,672,504 GBP 2,339,189 15-Jan-15 26,850 USD 4,179,773 NOK 30,611,951 15-Jan-15 84,125 USD 851,729 NZD 1,093,289 15-Jan-15 439 USD 1,732,817 SEK 13,414,677 15-Jan-15 12,700 CAD 18,235,200 USD 15,736,397 20-Jan-15 (40,277)CHF 32,173,500 USD 32,961,871 20-Jan-15 (589,702)CNH 31,327,596 USD 5,013,589 20-Jan-15 16,559 EUR 3,881,875,164 USD 4,786,356,125 20-Jan-15 (88,246,983)GBP 1,461,890,014 USD 2,288,139,837 20-Jan-15 (9,857,968)

(225,853,574)

Forward foreign exchange contracts used for efficient portfolio managementCLP 7,651,200,000 USD 13,942,961 7-Jan-15 (1,346,596)USD 61,378,903 JPY 6,391,999,000 7-Jan-15 8,031,205 MYR 148,644,500 USD 44,333,963 8-Jan-15 (1,857,876)CLP 9,273,450,000 USD 15,092,278 9-Jan-15 171,153 MYR 43,743,000 USD 13,063,851 9-Jan-15 (565,351)CLP 36,517,060,000 USD 64,455,601 12-Jan-15 (4,372,907)MYR 13,109,000 USD 3,918,984 12-Jan-15 (174,603)USD 126,662,466 EUR 93,202,012 13-Jan-15 13,871,801 USD 21,622,909 JPY 2,261,540,000 13-Jan-15 2,747,085 CLP 15,285,490,000 USD 24,806,053 14-Jan-15 337,588 INR 4,416,689,000 USD 71,238,643 14-Jan-15 (1,365,379)USD 37,777,995 EUR 27,635,695 14-Jan-15 4,333,621 USD 64,928,407 JPY 6,783,720,000 14-Jan-15 8,307,955 CLP 22,904,574,000 USD 37,050,427 15-Jan-15 621,570 INR 1,706,172,000 USD 27,487,869 15-Jan-15 (501,084)MYR 24,570,000 USD 7,370,631 15-Jan-15 (354,841)USD 14,123,101 EUR 10,348,300 15-Jan-15 1,599,579 USD 80,247,500 JPY 8,345,740,000 15-Jan-15 10,589,011 CLP 24,791,076,000 USD 40,238,721 16-Jan-15 531,158 MYR 15,303,000 USD 4,610,865 16-Jan-15 (241,667)USD 234,512,377 JPY 24,235,430,000 16-Jan-15 32,227,366 CLP 8,486,265,000 USD 13,622,706 20-Jan-15 326,554 INR 7,916,708,000 USD 127,404,435 20-Jan-15 (2,308,314)USD 142,334,147 JPY 14,799,882,600 20-Jan-15 18,800,191 INR 1,608,784,000 USD 25,715,240 21-Jan-15 (299,007)USD 150,678,287 EUR 110,549,000 21-Jan-15 16,882,892 INR 1,649,040,000 USD 26,410,673 22-Jan-15 (363,603)USD 29,345,514 EUR 21,595,448 22-Jan-15 3,208,657 CLP 16,672,850,000 USD 30,122,584 23-Jan-15 (2,726,568)MYR 90,200,904 USD 26,674,820 23-Jan-15 (940,534)CLP 23,649,380,000 USD 41,890,674 26-Jan-15 (3,045,206)SGD 104,180,000 USD 83,982,265 26-Jan-15 (5,395,391)EUR 171,626,222 SEK 1,603,370,000 27-Jan-15 2,126,850 INR 2,747,098,000 USD 43,848,332 27-Jan-15 (499,908)SEK 2,369,700,000 EUR 257,678,674 27-Jan-15 (8,013,598)USD 220,555,758 EUR 161,421,436 27-Jan-15 25,177,420 USD 92,674,148 JPY 9,580,190,000 27-Jan-15 12,703,864 USD 192,081,669 JPY 19,636,841,981 28-Jan-15 28,162,429 EUR 94,807,623 SEK 892,500,000 29-Jan-15 306,429 SEK 1,989,772,500 EUR 215,148,957 29-Jan-15 (5,260,051)USD 1,500,000,000 JPY 153,214,950,000 29-Jan-15 221,021,608 CLP 20,052,327,000 USD 33,285,185 30-Jan-15 (363,946)EUR 224,262,852 SEK 2,073,214,000 30-Jan-15 5,593,579 INR 11,558,472,228 USD 185,825,564 30-Jan-15 (3,544,027)SEK 2,073,214,000 EUR 221,513,632 30-Jan-15 (2,265,917)USD 700,000,000 JPY 71,403,500,000 30-Jan-15 103,946,367 CLP 25,279,982,000 USD 42,151,674 2-Feb-15 (657,383)INR 3,141,749,048 USD 50,484,057 2-Feb-15 (961,681)CLP 16,454,714,800 USD 27,461,140 3-Feb-15 (454,616)INR 4,777,342,750 USD 76,656,770 3-Feb-15 (1,365,322)SEK 1,561,443,896 EUR 167,596,241 3-Feb-15 (2,633,025)CLP 14,790,190,000 USD 26,094,195 4-Feb-15 (1,821,455)INR 2,552,973,000 USD 40,977,384 4-Feb-15 (748,800)CLP 17,752,300,000 USD 31,279,932 5-Feb-15 (2,148,192)MYR 98,824,800 USD 28,976,631 5-Feb-15 (818,208)USD 336,556,072 JPY 33,986,480,000 6-Feb-15 52,831,976 CLP 32,670,420,000 USD 56,447,981 9-Feb-15 (2,851,842)







INR 18,862,305,780 USD 302,725,944 9-Feb-15 (5,744,118)MYR 71,770,000 USD 22,241,160 9-Feb-15 (1,798,914)SGD 109,007,000 USD 87,485,554 9-Feb-15 (5,265,762)USD 140,677,147 EUR 100,935,000 9-Feb-15 18,496,372 USD 335,072,088 JPY 33,882,590,000 9-Feb-15 52,208,527 CLP 11,180,100,000 USD 19,232,926 10-Feb-15 (893,268)MXN 885,113,000 USD 65,029,241 10-Feb-15 (5,159,753)SEK 625,900,000 EUR 70,420,792 10-Feb-15 (4,979,963)USD 165,400,257 EUR 121,608,000 10-Feb-15 18,193,963 USD 128,354,838 JPY 13,031,610,000 10-Feb-15 19,561,592 MXN 238,269,000 USD 17,719,120 11-Feb-15 (1,603,475)USD 275,695,491 EUR 202,762,000 11-Feb-15 30,250,630 CLP 19,667,740,000 USD 34,169,110 12-Feb-15 (1,911,402)INR 7,005,838,975 USD 112,536,292 12-Feb-15 (2,285,092)MXN 1,680,384,000 USD 122,880,000 12-Feb-15 (9,231,948)MYR 378,450,000 USD 111,675,052 12-Feb-15 (3,910,315)SGD 247,652,915 USD 197,521,448 12-Feb-15 (10,726,369)USD 333,233,933 JPY 33,956,047,000 12-Feb-15 49,750,359 INR 768,470,000 USD 12,321,148 13-Feb-15 (229,668)MXN 907,808,000 USD 66,311,760 13-Feb-15 (4,918,488)SGD 42,830,000 USD 34,288,688 13-Feb-15 (1,983,664)USD 95,633,105 EUR 69,896,000 13-Feb-15 11,022,268 USD 281,388,827 JPY 28,700,150,000 13-Feb-15 41,782,438 CLP 44,474,470,000 USD 76,211,420 17-Feb-15 (3,295,281)MXN 891,399,800 USD 66,204,613 17-Feb-15 (5,935,804)SGD 227,199,500 USD 181,913,591 17-Feb-15 (10,545,738)USD 93,596,923 JPY 9,550,630,000 17-Feb-15 13,859,889 CLP 15,756,740,000 USD 26,964,559 18-Feb-15 (1,133,273)SGD 65,272,500 USD 51,639,636 18-Feb-15 (2,407,097)USD 222,616,756 JPY 22,602,220,300 18-Feb-15 33,912,100 MYR 53,977,000 USD 16,074,151 19-Feb-15 (713,739)USD 182,041,627 EUR 132,740,000 19-Feb-15 21,349,590 CLP 4,007,290,000 USD 6,867,678 20-Feb-15 (299,211)USD 173,387,023 EUR 126,185,000 20-Feb-15 20,629,214 CLP 9,667,790,000 USD 16,925,403 23-Feb-15 (1,082,281)INR 703,998,000 USD 11,235,564 23-Feb-15 (176,499)SGD 65,275,000 USD 52,269,133 23-Feb-15 (3,034,708)USD 91,669,480 EUR 66,613,000 23-Feb-15 11,026,955 CLP 13,606,600,000 USD 23,837,772 24-Feb-15 (1,541,617)USD 55,405,011 JPY 5,652,530,000 24-Feb-15 8,210,104 CLP 30,414,626,000 USD 52,035,767 25-Feb-15 (2,201,323)MYR 161,430,000 USD 47,990,368 25-Feb-15 (2,076,528)USD 101,969,856 JPY 10,446,250,000 25-Feb-15 14,749,847 CLP 10,995,100,000 USD 19,141,887 26-Feb-15 (1,127,764)USD 515,511,732 EUR 375,398,130 26-Feb-15 61,040,216 USD 228,362,794 JPY 23,347,631,000 26-Feb-15 33,422,334 MXN 587,156,400 USD 43,859,612 27-Feb-15 (4,185,497)PLN 164,098,532 EUR 38,691,534 27-Feb-15 (606,355)SGD 279,657,000 USD 223,439,597 27-Feb-15 (12,505,067)USD 154,298,848 EUR 112,849,300 27-Feb-15 17,678,125 USD 94,284,215 JPY 9,610,390,000 27-Feb-15 14,041,865 SEK 314,864,000 EUR 35,133,229 2-Mar-15 (2,154,395)USD 183,791,894 EUR 133,871,290 2-Mar-15 21,717,145 CLP 29,351,800,000 USD 50,496,206 3-Mar-15 (2,426,046)INR 3,255,719,750 USD 51,725,137 3-Mar-15 (650,750)PLN 225,188,000 EUR 52,842,426 3-Mar-15 (539,120)USD 160,740,712 JPY 16,367,800,000 3-Mar-15 24,071,824 USD 75,787,359 JPY 7,734,100,000 4-Mar-15 11,207,954 SGD 59,864,000 USD 47,222,529 5-Mar-15 (2,074,862)USD 38,161,032 EUR 27,680,000 5-Mar-15 4,648,617 INR 905,445,000 USD 14,458,550 9-Mar-15 (270,773)USD 239,346,478 EUR 174,230,356 9-Mar-15 28,396,689 USD 40,263,792 JPY 4,116,972,690 9-Mar-15 5,885,303 SGD 74,240,000 USD 59,089,462 10-Mar-15 (3,108,283)USD 171,824,854 EUR 124,112,000 10-Mar-15 21,554,624 CLP 19,265,000,000 USD 33,241,308 11-Mar-15 (1,711,890)CLP 9,612,440,000 USD 16,336,851 13-Mar-15 (607,633)INR 4,982,330,000 USD 79,323,834 13-Mar-15 (1,314,032)MXN 695,625,000 USD 51,167,709 13-Mar-15 (4,206,000)MYR 333,500,000 USD 102,250,429 16-Mar-15 (7,558,568)SGD 313,776,600 USD 244,245,239 16-Mar-15 (7,682,664)USD 332,168,869 EUR 239,623,000 16-Mar-15 42,026,514 USD 216,772,850 EUR 155,380,000 17-Mar-15 28,632,626 USD 49,989,272 JPY 5,115,002,306 17-Mar-15 7,272,946







EUR 84,581,000 USD 105,724,558 18-Mar-15 (3,309,631)MXN 200,095,000 USD 14,700,977 18-Mar-15 (1,196,838)SGD 92,640,000 USD 73,197,037 18-Mar-15 (3,358,065)USD 178,322,785 EUR 128,396,000 18-Mar-15 22,854,452 USD 195,370,932 JPY 19,770,548,000 19-Mar-15 30,259,711 CLP 8,086,500,000 USD 13,717,557 20-Mar-15 (493,122)MYR 46,410,000 USD 13,929,408 20-Mar-15 (756,786)USD 65,277,840 EUR 46,895,000 23-Mar-15 8,492,460 SEK 918,230,000 EUR 103,096,615 24-Mar-15 (7,069,172)USD 80,743,414 JPY 8,239,057,930 25-Mar-15 11,931,301 MYR 226,531,000 USD 67,246,163 26-Mar-15 (2,984,176)USD 32,946,937 EUR 23,924,000 26-Mar-15 3,976,468 USD 154,209,365 EUR 111,665,000 27-Mar-15 18,988,814 MYR 108,095,500 USD 32,113,933 30-Mar-15 (1,460,573)USD 101,906,919 EUR 79,492,490 31-Mar-15 5,642,152 USD 38,893,375 EUR 28,215,296 2-Apr-15 4,724,143 USD 103,415,271 EUR 74,954,962 7-Apr-15 12,638,581 MYR 63,230,000 USD 18,985,137 10-Apr-15 (1,070,813)USD 133,368,883 EUR 96,737,000 10-Apr-15 16,208,555 EUR 16,300,000 USD 19,955,275 13-Apr-15 (213,346)USD 216,987,253 EUR 157,137,703 13-Apr-15 26,668,152 USD 214,749,043 EUR 154,936,000 14-Apr-15 27,094,541 USD 63,054,635 JPY 6,382,800,000 15-Apr-15 9,732,511 CLP 8,309,050,000 USD 14,654,409 16-Apr-15 (1,096,754)MYR 216,409,761 USD 65,341,111 16-Apr-15 (4,057,876)USD 152,498,292 EUR 109,820,822 16-Apr-15 19,483,274 USD 146,419,869 JPY 14,877,430,000 17-Apr-15 22,130,291 USD 87,668,468 JPY 8,938,940,000 21-Apr-15 12,986,802 USD 48,984,237 EUR 35,474,935 22-Apr-15 6,014,211 USD 115,974,299 JPY 11,822,710,000 22-Apr-15 17,198,556 KRW 35,535,450,000 USD 33,670,125 27-Apr-15 (1,342,762)CLP 5,264,779,000 USD 9,104,676 28-Apr-15 (522,865)USD 42,459,751 EUR 30,624,577 30-Apr-15 5,361,667 USD 290,979,601 EUR 209,634,000 7-May-15 37,013,471 CLP 7,973,100,000 USD 13,608,295 11-May-15 (625,868)USD 128,679,201 JPY 13,031,600,000 12-May-15 19,776,930 USD 399,748,464 EUR 290,171,000 13-May-15 48,191,168 USD 300,091,021 JPY 30,450,681,000 13-May-15 45,618,144 SGD 74,950,000 USD 60,121,125 14-May-15 (3,653,863)USD 416,767,888 EUR 302,567,000 14-May-15 50,188,249 USD 128,139,096 JPY 13,025,211,000 14-May-15 19,287,562 USD 161,408,536 EUR 117,583,000 18-May-15 18,942,938 SGD 210,184,100 USD 168,234,762 19-May-15 (9,886,561)USD 32,049,107 EUR 25,535,204 20-May-15 1,109,546 USD 50,611,241 JPY 5,938,470,000 20-May-15 979,886 EUR 120,764,000 USD 147,905,709 21-May-15 (1,581,234)USD 355,440,839 EUR 269,208,000 21-May-15 29,253,239 CLP 7,553,200,000 USD 13,288,529 22-May-15 (1,001,065)USD 82,807,723 EUR 60,394,000 22-May-15 9,630,159 MXN 420,229,710 USD 31,605,724 26-May-15 (3,369,345)PLN 247,495,000 EUR 57,988,519 27-May-15 (765,858)SGD 92,580,000 USD 74,026,395 27-May-15 (4,281,641)SGD 100,007,500 USD 77,068,162 28-May-15 (1,728,342)MXN 375,703,412 USD 28,399,556 29-May-15 (3,159,836)MYR 298,519,000 USD 90,824,778 29-May-15 (6,584,921)SGD 100,007,500 USD 79,671,380 29-May-15 (4,331,970)USD 286,444,303 EUR 210,514,780 1-Jun-15 31,342,532 CLP 20,282,734,000 USD 35,719,730 2-Jun-15 (2,754,147)MYR 46,185,000 USD 14,045,251 2-Jun-15 (1,016,418)CLP 3,079,320,000 USD 5,426,115 3-Jun-15 (421,703)CLP 22,434,400,000 USD 39,476,333 4-Jun-15 (3,019,699)CLP 14,955,979,000 USD 26,216,924 5-Jun-15 (1,914,987)USD 38,584,561 EUR 28,330,380 5-Jun-15 4,252,334 MYR 17,087,000 USD 5,170,828 8-Jun-15 (352,915)PLN 219,800,000 EUR 51,903,278 8-Jun-15 (1,201,226)USD 64,163,497 EUR 47,050,000 8-Jun-15 7,144,021 SGD 201,390,000 USD 160,316,876 9-Jun-15 (8,611,296)USD 100,042,625 EUR 73,353,100 9-Jun-15 11,145,701 PLN 42,829,000 EUR 10,237,355 11-Jun-15 (385,618)PLN 219,520,500 EUR 52,409,039 12-Jun-15 (1,903,236)USD 123,851,447 EUR 91,288,750 12-Jun-15 13,214,662 SGD 103,357,000 USD 78,778,201 15-Jun-15 (922,688)USD 87,482,357 EUR 64,545,000 15-Jun-15 9,254,954 MYR 147,197,242 USD 41,487,385 16-Jun-15 (10,041)







USD 186,816,287 EUR 137,739,650 16-Jun-15 19,876,462 USD 86,367,158 EUR 63,739,600 17-Jun-15 9,114,223 USD 25,341,053 JPY 2,577,996,000 17-Jun-15 3,787,833 MYR 228,891,134 USD 64,549,107 19-Jun-15 (67,686)SGD 124,673,000 USD 94,887,739 22-Jun-15 (979,143)MYR 66,577,867 USD 18,731,640 23-Jun-15 18,076 SGD 156,018,000 USD 119,025,023 23-Jun-15 (1,506,782)KRW 11,816,100,000 USD 11,419,832 24-Jun-15 (688,873)USD 15,530,677 EUR 11,366,960 29-Jun-15 1,752,046 MYR 174,589,000 USD 53,169,996 30-Jun-15 (4,029,340)USD 172,856,174 JPY 17,515,084,000 30-Jun-15 26,397,996 PHP 554,682,000 USD 12,680,185 1-Jul-15 (375,398)USD 186,222,899 JPY 18,819,500,000 1-Jul-15 28,854,555 EUR 146,060,000 USD 178,981,924 2-Jul-15 (1,924,448)USD 199,859,740 EUR 146,060,000 2-Jul-15 22,802,264 PHP 2,484,113,800 USD 56,792,725 3-Jul-15 (1,687,685)PHP 1,000,000,000 USD 22,851,920 7-Jul-15 (669,981)PHP 1,662,833,380 USD 38,016,310 8-Jul-15 (1,131,873)CLP 14,989,447,000 USD 26,308,814 10-Jul-15 (2,022,848)USD 13,656,801 JPY 1,382,000,000 10-Jul-15 2,098,650 SGD 119,523,000 USD 96,197,122 14-Jul-15 (6,168,876)USD 314,957,689 EUR 230,648,000 16-Jul-15 35,296,777 USD 268,762,360 EUR 198,205,000 20-Jul-15 28,422,944 MYR 148,782,600 USD 45,744,074 22-Jul-15 (3,929,727)USD 212,359,166 EUR 156,758,000 22-Jul-15 22,271,355 USD 100,589,225 EUR 74,253,126 23-Jul-15 10,546,967 MYR 39,470,000 USD 12,204,323 27-Jul-15 (1,115,320)USD 84,982,958 EUR 63,004,840 27-Jul-15 8,575,831 CLP 36,057,956,000 USD 62,045,421 28-Jul-15 (3,710,173)USD 369,577,521 EUR 273,905,563 28-Jul-15 37,401,796 USD 3,629,356 EUR 2,694,119 29-Jul-15 362,041 USD 107,932,579 JPY 10,950,030,000 29-Jul-15 16,322,007 CLP 15,633,510,000 USD 26,866,317 30-Jul-15 (1,578,264)MYR 41,499,000 USD 12,832,096 30-Jul-15 (1,175,431)CLP 23,261,730,000 USD 39,983,673 31-Jul-15 (2,359,636)MYR 42,140,000 USD 12,973,339 31-Jul-15 (1,137,428)PLN 293,300,000 EUR 69,138,661 31-Jul-15 (1,636,808)USD 223,520,508 EUR 166,253,000 31-Jul-15 21,889,290 USD 70,960,060 EUR 52,900,000 3-Aug-15 6,799,935 CLP 15,849,470,000 USD 26,881,733 4-Aug-15 (1,254,832)MXN 1,111,667,000 USD 82,084,250 4-Aug-15 (7,731,570)USD 245,729,431 EUR 183,112,135 4-Aug-15 23,637,011 CLP 8,201,400,000 USD 13,898,322 5-Aug-15 (638,617)USD 294,850,884 EUR 219,336,010 5-Aug-15 28,819,037 CLP 8,607,100,000 USD 14,572,251 6-Aug-15 (657,763)MYR 71,770,000 USD 21,958,757 6-Aug-15 (1,808,858)MXN 759,289,000 USD 55,838,285 7-Aug-15 (5,064,372)SGD 109,020,000 USD 87,580,334 7-Aug-15 (5,459,958)USD 90,732,017 JPY 9,283,700,000 7-Aug-15 13,049,652 MXN 904,750,000 USD 66,645,796 10-Aug-15 (6,157,167)USD 180,299,095 EUR 134,810,473 10-Aug-15 16,774,629 CLP 12,629,200,000 USD 21,284,571 11-Aug-15 (876,179)MXN 1,054,677,000 USD 77,649,938 11-Aug-15 (7,142,461)MYR 357,147,132 USD 109,072,617 11-Aug-15 (8,835,297)SGD 150,199,100 USD 120,344,129 11-Aug-15 (7,204,437)USD 579,049,033 EUR 432,246,700 11-Aug-15 54,727,287 USD 106,986,315 JPY 10,900,241,000 11-Aug-15 15,770,733 CLP 7,937,100,000 USD 13,411,795 12-Aug-15 (586,738)MYR 346,013,000 USD 105,360,441 12-Aug-15 (8,254,640)USD 279,693,015 EUR 208,312,000 12-Aug-15 27,003,306 USD 26,695,702 JPY 2,709,240,000 12-Aug-15 4,023,782 MYR 276,640,798 USD 84,786,318 13-Aug-15 (7,154,552)USD 161,600,749 EUR 129,388,250 14-Aug-15 4,643,177 MXN 97,002,000 USD 7,227,305 17-Aug-15 (745,146)USD 173,706,962 EUR 129,388,251 17-Aug-15 16,741,709 CLP 7,451,020,000 USD 12,555,430 18-Aug-15 (521,697)USD 377,958,806 EUR 281,745,200 18-Aug-15 36,158,622 USD 59,975,468 JPY 6,116,808,000 18-Aug-15 8,782,176 CLP 4,009,610,000 USD 6,758,719 20-Aug-15 (284,075)USD 376,852,791 EUR 280,890,940 20-Aug-15 36,077,840 USD 199,152,530 JPY 20,349,416,000 20-Aug-15 28,836,332 MXN 429,910,048 USD 32,099,608 24-Aug-15 (3,384,492)PLN 251,713,250 EUR 58,909,230 24-Aug-15 (955,716)USD 26,662,831 JPY 2,743,312,000 24-Aug-15 3,700,773







USD 78,861,930 JPY 8,151,901,000 25-Aug-15 10,627,684 USD 397,176,224 EUR 298,491,999 26-Aug-15 35,012,345 USD 131,123,703 JPY 13,544,484,000 26-Aug-15 17,749,602 CLP 10,812,660,000 USD 18,042,149 27-Aug-15 (592,039)MXN 431,241,395 USD 32,080,446 27-Aug-15 (3,282,259)USD 43,639,094 EUR 32,948,220 27-Aug-15 3,661,976 USD 204,530,073 JPY 21,177,992,000 27-Aug-15 27,256,471 CLP 49,810,190,000 USD 82,916,417 28-Aug-15 (2,536,347)MXN 809,798,900 USD 60,320,216 28-Aug-15 (6,245,722)PHP 1,002,000,000 USD 22,790,856 28-Aug-15 (578,076)USD 62,759,445 EUR 47,450,851 31-Aug-15 5,182,069 USD 105,979,640 JPY 10,962,269,000 31-Aug-15 14,211,624 USD 110,737,777 EUR 83,798,300 2-Sep-15 9,052,697 MXN 414,997,500 USD 30,872,048 4-Sep-15 (3,173,635)CLP 20,026,830,000 USD 33,069,402 8-Sep-15 (780,534)PLN 128,780,000 EUR 30,194,607 8-Sep-15 (578,453)USD 120,429,945 EUR 91,288,750 8-Sep-15 9,644,730 CLP 9,880,090,000 USD 16,204,838 9-Sep-15 (276,660)MXN 910,400,000 USD 67,232,352 11-Sep-15 (6,497,796)USD 47,800,010 JPY 5,096,150,292 18-Sep-15 5,124,834 SGD 165,648,000 USD 131,258,320 21-Sep-15 (6,472,953)USD 59,396,422 EUR 45,641,281 21-Sep-15 3,995,819 USD 289,211,541 EUR 223,940,633 23-Sep-15 17,377,560 USD 88,799,014 EUR 68,869,545 24-Sep-15 5,199,232 MXN 993,142,200 USD 72,837,712 28-Sep-15 (6,659,554)MYR 326,776,000 USD 98,600,271 28-Sep-15 (7,185,164)USD 334,471,079 EUR 259,350,337 28-Sep-15 19,626,489 USD 142,574,430 EUR 111,665,000 29-Sep-15 7,012,822 USD 46,983,549 JPY 5,104,245,733 29-Sep-15 4,231,254 KRW 20,073,000,000 USD 19,088,056 30-Sep-15 (893,452)MXN 477,140,140 USD 34,542,832 30-Sep-15 (2,752,984)USD 127,041,230 EUR 99,700,000 30-Sep-15 6,002,314 USD 12,191,519 JPY 1,323,298,000 30-Sep-15 1,107,499 USD 348,473,872 EUR 273,180,000 1-Oct-15 16,817,006 USD 256,133,184 EUR 203,115,000 7-Oct-15 9,504,582 USD 171,685,207 JPY 18,597,800,000 7-Oct-15 15,879,283 USD 77,448,875 EUR 61,135,000 9-Oct-15 3,213,345 USD 85,843,291 JPY 9,249,400,000 9-Oct-15 8,350,806 USD 86,415,007 JPY 9,302,000,000 13-Oct-15 8,473,349 USD 77,384,554 EUR 61,132,000 14-Oct-15 3,143,925 USD 80,784,176 JPY 8,538,645,000 19-Oct-15 9,226,999 MYR 120,549,401 USD 36,020,379 20-Oct-15 (2,346,369)USD 130,284,541 EUR 101,753,000 20-Oct-15 6,695,026 USD 152,541,310 JPY 16,127,430,000 20-Oct-15 17,383,475 USD 165,914,670 JPY 17,654,980,000 22-Oct-15 17,946,965 MYR 115,570,000 USD 34,563,507 23-Oct-15 (2,286,894)MYR 140,150,080 USD 42,059,577 26-Oct-15 (2,926,024)USD 111,516,206 EUR 87,853,000 26-Oct-15 4,794,592 KRW 35,535,450,000 USD 33,357,223 27-Oct-15 (1,160,032)USD 238,257,497 EUR 187,608,760 27-Oct-15 10,349,728 USD 162,257,627 EUR 127,551,000 28-Oct-15 7,304,582 USD 109,977,120 EUR 86,460,000 29-Oct-15 4,940,265 MYR 72,564,000 USD 21,729,001 30-Oct-15 (1,472,647)USD 162,900,910 EUR 127,570,312 30-Oct-15 7,917,102 MXN 649,162,400 USD 47,186,073 3-Nov-15 (4,037,675)USD 9,530,540 EUR 7,525,101 3-Nov-15 387,514 USD 77,518,939 EUR 61,806,000 5-Nov-15 2,420,875 USD 222,027,008 JPY 25,168,330,000 5-Nov-15 11,008,929 USD 66,481,470 EUR 52,920,994 6-Nov-15 2,177,715 USD 74,268,109 JPY 8,376,700,000 6-Nov-15 4,033,680 USD 61,487,057 EUR 49,231,000 10-Nov-15 1,661,338 USD 46,453,028 JPY 5,295,761,344 10-Nov-15 2,045,887 MXN 342,599,000 USD 24,694,489 12-Nov-15 (1,936,975)USD 449,857,580 EUR 360,345,367 12-Nov-15 11,943,725 USD 144,608,234 JPY 16,456,349,000 12-Nov-15 6,607,448 MXN 711,409,000 USD 51,437,692 13-Nov-15 (4,184,860)USD 88,501,664 EUR 70,904,000 13-Nov-15 2,332,731 USD 281,907,106 EUR 225,280,796 16-Nov-15 8,106,215 USD 65,254,904 JPY 7,474,214,600 16-Nov-15 2,570,290 USD 358,924,374 EUR 287,494,000 18-Nov-15 9,494,572 USD 57,001,647 JPY 6,611,051,000 18-Nov-15 1,553,177 MYR 48,796,560 USD 14,278,020 19-Nov-15 (674,527)USD 34,572,974 EUR 27,591,630 19-Nov-15 1,036,396 USD 70,663,175 JPY 8,183,149,000 19-Nov-15 2,027,273







BRL 314,340,000 USD 110,132,436 20-Nov-15 (2,176,132)MYR 97,280,000 USD 28,387,172 20-Nov-15 (1,269,280)USD 261,447,227 EUR 208,250,000 20-Nov-15 8,321,294 USD 79,310,181 JPY 9,192,050,000 20-Nov-15 2,210,053 USD 56,425,181 EUR 44,862,000 23-Nov-15 1,891,982 USD 14,756,980 JPY 1,725,091,000 24-Nov-15 285,863 USD 97,489,594 EUR 78,200,000 25-Nov-15 2,427,020 USD 125,308,191 EUR 100,460,000 27-Nov-15 3,179,848 MXN 1,018,032,900 USD 72,982,501 30-Nov-15 (5,443,297)USD 167,754,013 EUR 134,566,000 30-Nov-15 4,151,732 USD 61,099,869 EUR 48,970,000 4-Dec-15 1,557,642 USD 70,997,091 EUR 57,526,607 9-Dec-15 1,042,707 USD 47,535,385 EUR 37,925,000 11-Dec-15 1,415,072 USD 61,755,846 EUR 49,629,000 14-Dec-15 1,398,115 MYR 120,700,000 USD 33,710,376 15-Dec-15 (119,823)USD 88,416,717 EUR 70,828,000 15-Dec-15 2,275,183 USD 268,776,921 EUR 215,288,000 17-Dec-15 6,929,720

2,489,986,235

2,264,132,661


Bank of America 111,950,623 Barclays Bank 503,100,353 Citibank 154,963,656 Credit Suisse (23,881,364)Deutsche Bank 214,175,100 Goldman Sachs 414,445,428 HSBC Bank 75,323,940 JPMorgan Chase Bank 521,923,704 Morgan Stanley 65,819,846 Royal Bank of Scotland (28,133,746)The Bank of New York Mellon (2,144,774)UBS (18,727,609)Standard Chartered Bank 275,317,504

2,264,132,661

Templeton Global Bond (Euro) Fund


Forward foreign exchange contracts used for efficient portfolio managementEUR 211,248 PLN 900,000 21-Jan-15 1,399 EUR 5,702,107 BRL 17,901,765 26-Jan-15 174,363 EUR 3,726,963 MXN 65,900,165 28-Jan-15 41,247 SEK 24,284,109 EUR 2,625,187 29-Jan-15 (52,447)EUR 3,447,717 PLN 14,900,000 30-Jan-15 (24,601)EUR 188,893 MXN 3,367,579 3-Feb-15 628 EUR 339,762 PLN 1,448,888 17-Feb-15 2,401 EUR 1,030,606 BRL 3,300,000 18-Feb-15 18,083 EUR 1,470,449 MXN 27,429,763 19-Feb-15 (61,330)EUR 11,670,337 INR 974,239,750 23-Feb-15 (971,426)EUR 23,836,446 KRW 35,744,658,000 24-Feb-15 (3,087,422)EUR 1,794,480 KRW 2,687,360,000 25-Feb-15 (229,619)EUR 10,691,893 MXN 200,526,446 25-Feb-15 (501,635)EUR 4,965,739 PLN 21,111,840 25-Feb-15 51,908 EUR 18,173,227 USD 25,000,000 25-Feb-15 (2,477,179)EUR 1,465,983 BRL 5,150,000 27-Feb-15 (110,244)EUR 492,935 PLN 2,100,000 27-Feb-15 4,201 EUR 5,897,064 KRW 7,967,700,000 3-Mar-15 (102,371)CLP 575,000,000 EUR 701,049 23-Mar-15 75,313 EUR 747,627 CLP 575,000,000 23-Mar-15 (28,735)EUR 1,689,176 MXN 29,039,469 7-Apr-15 72,986 EUR 4,591,396 KRW 6,724,100,000 15-Apr-15 (460,858)EUR 423,847 MXN 7,935,270 15-Apr-15 (17,526)EUR 1,105,391 IDR 18,700,000,000 17-Apr-15 (115,559)EUR 5,040,192 MXN 94,443,113 30-Apr-15 (207,030)EUR 5,076,367 IDR 80,028,923,000 21-May-15 (113,199)EUR 6,479,016 MXN 112,028,667 26-May-15 266,780 EUR 10,848,770 PLN 46,500,000 26-May-15 72,034 EUR 14,547,100 HUF 4,500,000,000 29-May-15 410,544





Templeton Global Bond (Euro) Fund (continued)


EUR 22,594,954 MXN 393,041,480 1-Jun-15 809,659 EUR 32,759,436 PLN 138,736,210 5-Jun-15 619,990 EUR 3,210,659 KRW 4,540,000,000 11-Jun-15 (192,710)EUR 2,286,396 MXN 42,611,339 17-Jun-15 (72,634)EUR 781,021 IDR 13,300,000,000 18-Jun-15 (76,615)EUR 10,495,798 USD 14,300,000 26-Jun-15 (1,301,656)EUR 1,984,174 PLN 8,400,000 14-Jul-15 41,403 EUR 16,588,477 USD 22,630,000 14-Jul-15 (2,076,030)EUR 22,699,398 USD 30,630,000 24-Jul-15 (2,559,133)EUR 2,364,032 KRW 3,300,000,000 31-Jul-15 (105,180)EUR 7,285,998 IDR 120,787,279,006 27-Aug-15 (394,813)EUR 7,095,736 KRW 9,711,224,920 27-Aug-15 (163,687)EUR 3,242,143 MYR 13,803,100 28-Aug-15 53,032 EUR 1,530,111 IDR 25,300,000,000 31-Aug-15 (77,430)EUR 24,755,387 KRW 33,614,350,000 31-Aug-15 (368,750)EUR 2,353,994 PLN 10,000,000 5-Oct-15 48,855 EUR 2,338,270 USD 3,000,000 21-Oct-15 (131,613)EUR 5,761,584 USD 7,100,000 10-Dec-15 (76,921)EUR 41,258,544 MYR 184,933,170 15-Dec-15 (1,058,593)

(14,452,120)


Barclays Bank (4,468,768)Citibank 57,861 Deutsche Bank (3,610,684)HSBC Bank (1,246,063)JPMorgan Chase Bank (5,184,466)

(14,452,120)

Templeton Global Equity Income Fund


Forward foreign exchange contract used for share class hedgingCNH 5,864,988 USD 938,496 20-Jan-15 3,222


Deutsche Bank 3,043 JPMorgan Chase Bank 179

3,222

Templeton Global High Yield Fund


Forward foreign exchange contracts used for efficient portfolio managementUSD 76,676 JPY 7,985,000 7-Jan-15 10,033 EUR 2,151,218 USD 2,996,545 9-Jan-15 (393,312)USD 2,997,538 EUR 2,193,539 9-Jan-15 343,091 USD 465,628 GBP 285,261 9-Jan-15 21,023 USD 54,690 JPY 5,720,000 13-Jan-15 6,948 USD 164,146 JPY 17,150,000 14-Jan-15 21,003 USD 155,192 JPY 16,140,000 15-Jan-15 20,478 USD 737,124 EUR 538,754 16-Jan-15 85,116 USD 234,775 JPY 24,260,000 16-Jan-15 32,285 USD 115,308 JPY 11,920,000 27-Jan-15 15,807 USD 254,375 JPY 26,005,524 28-Jan-15 37,293 INR 73,170,000 USD 1,177,360 30-Jan-15 (23,441)USD 702,937 EUR 514,053 30-Jan-15 80,726 INR 40,915,000 USD 656,493 3-Feb-15 (11,668)EUR 1,112,969 USD 1,471,105 9-Feb-15 (123,867)GBP 504,535 USD 833,567 9-Feb-15 (47,398)USD 1,877,214 EUR 1,359,082 9-Feb-15 232,059 USD 1,822,215 GBP 1,100,000 9-Feb-15 108,188 USD 226,254 JPY 23,101,000 12-Feb-15 33,394 USD 48,814 JPY 4,957,070 18-Feb-15 7,427 USD 141,636 JPY 14,450,000 24-Feb-15 20,988 USD 141,517 JPY 14,500,000 25-Feb-15 20,451





Templeton Global High Yield Fund (continued)


USD 83,697 EUR 60,941 26-Feb-15 9,919 USD 197,312 JPY 20,168,000 26-Feb-15 28,920 USD 142,553 EUR 104,000 27-Feb-15 16,645 INR 40,915,000 USD 650,036 3-Mar-15 (8,178)USD 422,284 JPY 43,000,000 3-Mar-15 63,239 USD 198,922 JPY 20,300,000 4-Mar-15 29,418 USD 413,595 EUR 300,000 5-Mar-15 50,382 EUR 5,354,900 USD 7,024,903 9-Mar-15 (541,445)USD 9,194,936 EUR 6,697,991 9-Mar-15 1,085,330 USD 1,037,011 GBP 618,946 9-Mar-15 72,784 GHS 80,000 USD 25,806 10-Mar-15 (1,802)USD 582,345 EUR 419,300 18-Mar-15 74,635 USD 466,691 EUR 335,800 19-Mar-15 60,084 USD 408,776 JPY 41,366,000 19-Mar-15 63,312 USD 584,518 EUR 420,000 23-Mar-15 75,938 USD 231,783 EUR 168,000 25-Mar-15 28,347 USD 159,894 JPY 16,315,550 25-Mar-15 23,627 USD 305,685 EUR 221,969 26-Mar-15 36,894 USD 1,077,411 EUR 782,718 31-Mar-15 129,546 GHS 327,474 USD 99,385 7-Apr-15 (3,019)USD 153,556 EUR 111,228 7-Apr-15 18,849 USD 3,814,800 EUR 2,750,000 15-Apr-15 484,035 USD 3,446,253 EUR 2,490,319 30-Apr-15 429,523 USD 1,377,638 EUR 1,040,448 7-May-15 117,162 USD 143,192 GBP 84,567 7-May-15 11,515 USD 724,249 EUR 525,561 13-May-15 87,505 USD 395,407 EUR 292,473 20-May-15 41,034 USD 63,221 JPY 7,418,000 20-May-15 1,224 USD 3,105,219 EUR 2,266,749 5-Jun-15 358,255 USD 760,004 EUR 556,250 10-Jun-15 85,875 USD 31,652 JPY 3,220,000 17-Jun-15 4,731 USD 1,338,238 EUR 1,075,480 18-Jun-15 34,733 USD 1,628,687 EUR 1,192,042 29-Jun-15 183,735 USD 215,933 JPY 21,880,000 30-Jun-15 32,977 PHP 2,874,000 USD 65,700 1-Jul-15 (1,941)USD 123,151 EUR 90,000 2-Jul-15 14,050 PHP 13,436,450 USD 307,189 3-Jul-15 (9,129)PHP 8,994,140 USD 205,627 8-Jul-15 (6,122)USD 846,119 EUR 621,005 9-Jul-15 93,236 USD 129,703 EUR 95,745 23-Jul-15 13,600 USD 414,763 EUR 307,560 27-Jul-15 41,779 USD 68,713 EUR 51,007 29-Jul-15 6,854 USD 134,250 JPY 13,620,000 29-Jul-15 20,302 USD 673,383 EUR 502,000 3-Aug-15 64,529 USD 212,969 EUR 158,417 5-Aug-15 20,826 USD 347,048 EUR 259,000 11-Aug-15 32,877 USD 143,210 JPY 14,591,000 11-Aug-15 21,110 USD 38,429 JPY 3,900,000 12-Aug-15 5,792 USD 73,910 JPY 7,538,000 18-Aug-15 10,823 USD 262,847 JPY 26,858,000 20-Aug-15 38,057 USD 33,036 JPY 3,399,000 24-Aug-15 4,585 USD 97,708 JPY 10,100,000 25-Aug-15 13,167 USD 173,060 JPY 17,876,000 26-Aug-15 23,429 USD 30,844 EUR 23,288 27-Aug-15 2,588 USD 264,920 JPY 27,435,000 27-Aug-15 35,272 USD 32,541 JPY 3,366,000 31-Aug-15 4,364 USD 206,128 EUR 156,250 8-Sep-15 16,508 USD 383,925 EUR 297,282 23-Sep-15 23,064 USD 15,533 JPY 1,686,000 30-Sep-15 1,411 USD 707,133 EUR 554,344 1-Oct-15 34,126 USD 125,920 EUR 99,224 15-Oct-15 5,417 USD 90,908 EUR 71,000 20-Oct-15 4,672 USD 125,753 EUR 98,855 28-Oct-15 5,661 USD 255,060 EUR 200,000 29-Oct-15 12,088 USD 97,811 EUR 76,597 30-Oct-15 4,754 USD 66,534 JPY 7,585,026 10-Nov-15 2,930 USD 168,244 EUR 135,000 12-Nov-15 4,183 USD 186,236 JPY 21,197,000 12-Nov-15 8,481 USD 246,380 EUR 196,876 16-Nov-15 7,102 USD 89,529 JPY 10,254,000 16-Nov-15 3,530 USD 71,202 JPY 8,258,000 18-Nov-15 1,940 USD 88,269 JPY 10,222,000 19-Nov-15 2,532 USD 99,077 JPY 11,483,000 20-Nov-15 2,761 USD 18,435 JPY 2,155,000 24-Nov-15 357





Templeton Global High Yield Fund (continued)


USD 98,573 EUR 79,417 9-Dec-15 1,999 USD 216,008 EUR 173,000 17-Dec-15 5,594

4,281,511


Barclays Bank 109,776 Citibank 64,404 Deutsche Bank 3,091,420 Goldman Sachs 51,756 HSBC Bank 104,970 JPMorgan Chase Bank 316,921 Morgan Stanley 38,488 Standard Chartered Bank 503,776

4,281,511

Templeton Global Income Fund


Forward foreign exchange contracts used for share class hedgingEUR 45,129,971 USD 55,898,742 15-Jan-15 (1,282,409)SGD 599,068 USD 455,340 15-Jan-15 (3,315)USD 995,010 EUR 801,034 15-Jan-15 25,598 USD 10,997 SGD 14,438 15-Jan-15 102

(1,260,024)

Forward foreign exchange contracts used for efficient portfolio managementUSD 179,662 JPY 18,710,000 7-Jan-15 23,508 MYR 188,400 USD 56,225 8-Jan-15 (2,389)USD 1,030,383 JPY 106,862,000 8-Jan-15 138,503 CLP 96,720,000 USD 157,409 9-Jan-15 1,785 MYR 101,000 USD 30,164 9-Jan-15 (1,305)USD 251,441 EUR 184,250 9-Jan-15 28,476 CLP 2,806,402,500 USD 4,586,374 12-Jan-15 31,090 MYR 30,000 USD 8,969 12-Jan-15 (400)USD 89,779 JPY 9,390,000 13-Jan-15 11,406 CLP 68,410,000 USD 111,019 14-Jan-15 1,511 INR 1,760,000 USD 28,388 14-Jan-15 (544)USD 269,717 JPY 28,180,000 14-Jan-15 34,512 CLP 64,187,000 USD 103,829 15-Jan-15 1,742 INR 5,806,000 USD 93,540 15-Jan-15 (1,705)USD 268,942 JPY 27,970,000 15-Jan-15 35,488 CLP 69,473,000 USD 112,763 16-Jan-15 1,488 USD 410,810 JPY 42,450,000 16-Jan-15 56,494 CLP 88,509,000 USD 142,080 20-Jan-15 3,406 INR 15,468,000 USD 249,051 20-Jan-15 (4,634)INR 6,571,000 USD 105,033 21-Jan-15 (1,221)INR 5,592,000 USD 89,601 22-Jan-15 (1,274)CLP 114,520,000 USD 206,902 23-Jan-15 (18,728)CLP 162,440,000 USD 287,734 26-Jan-15 (20,917)INR 3,501,000 USD 55,882 27-Jan-15 (637)USD 335,865 JPY 34,720,000 27-Jan-15 46,041 EUR 7,224,473 SEK 66,856,000 28-Jan-15 171,231 SEK 66,856,000 EUR 7,264,667 28-Jan-15 (219,880)USD 740,968 JPY 75,751,350 28-Jan-15 108,630 CLP 47,255,000 USD 78,439 30-Jan-15 (858)INR 88,411,350 USD 1,421,893 30-Jan-15 (27,612)USD 8,917,575 EUR 6,524,000 30-Jan-15 1,020,913 CLP 45,438,000 USD 75,844 2-Feb-15 (1,262)INR 42,015,500 USD 675,138 2-Feb-15 (12,861)CLP 38,777,000 USD 64,715 3-Feb-15 (1,071)INR 65,884,125 USD 1,057,137 3-Feb-15 (18,796)USD 3,307,298 EUR 2,440,000 3-Feb-15 353,832 CLP 60,980,000 USD 107,586 4-Feb-15 (7,510)INR 8,557,000 USD 137,347 4-Feb-15 (2,510)USD 4,158,124 JPY 419,900,000 6-Feb-15 652,737 INR 24,612,000 USD 395,323 9-Feb-15 (7,813)MYR 10,790,000 USD 3,343,766 9-Feb-15 (270,451)USD 4,158,611 JPY 420,520,000 9-Feb-15 647,965 INR 2,394,000 USD 38,455 12-Feb-15 (780)INR 3,140,000 USD 50,345 13-Feb-15 (938)





Templeton Global Income Fund (continued)


CLP 117,460,000 USD 205,457 17-Feb-15 (12,881)CLP 54,400,000 USD 93,095 18-Feb-15 (3,913)INR 2,875,000 USD 45,884 23-Feb-15 (721)USD 12,096,480 EUR 8,800,000 23-Feb-15 1,443,091 CLP 26,480,000 USD 46,100 26-Feb-15 (2,716)USD 847,696 JPY 86,649,000 26-Feb-15 124,222 CLP 54,480,000 USD 94,028 3-Mar-15 (4,805)INR 62,294,125 USD 989,696 3-Mar-15 (12,451)INR 1,178,000 USD 18,811 9-Mar-15 (352)USD 555,757 EUR 402,108 9-Mar-15 68,904 CLP 66,030,000 USD 112,221 13-Mar-15 (4,174)INR 2,913,000 USD 46,378 13-Mar-15 (768)MYR 3,582,750 USD 1,086,017 2-Apr-15 (70,290)CLP 86,660,000 USD 152,840 16-Apr-15 (11,439)CLP 54,910,000 USD 94,959 28-Apr-15 (5,453)USD 2,050,881 EUR 1,482,000 30-Apr-15 255,611 USD 1,029,230 EUR 742,665 5-May-15 129,530 USD 132,652 EUR 100,331 7-May-15 11,104 USD 2,694,461 EUR 1,964,000 15-May-15 314,921 USD 2,139,618 EUR 1,560,000 18-May-15 249,495 USD 4,365,000 JPY 443,178,450 18-May-15 661,182 USD 17,460,000 JPY 1,770,821,125 19-May-15 2,660,366 USD 2,516,821 EUR 1,849,296 20-May-15 276,134 USD 148,140 JPY 17,382,000 20-May-15 2,868 USD 7,712,128 EUR 5,617,768 21-May-15 905,323 SGD 12,847,790 USD 10,224,655 9-Jun-15 (546,511)PLN 4,855,146 EUR 1,161,518 10-Jun-15 (44,867)USD 5,131,155 JPY 524,060,000 10-Jun-15 750,148 USD 2,465,146 JPY 251,830,000 11-Jun-15 359,887 USD 842,949 JPY 85,746,000 17-Jun-15 126,073 USD 3,589,708 JPY 365,540,000 22-Jun-15 533,441 USD 8,195,205 EUR 6,025,000 24-Jun-15 892,304 USD 9,600,398 JPY 975,400,400 26-Jun-15 1,444,711 PHP 25,552,280 USD 569,416 29-Jun-15 (2,564)PHP 8,671,520 USD 197,143 30-Jun-15 (4,776)PHP 8,577,000 USD 196,073 1-Jul-15 (5,805)MYR 1,616,250 USD 493,451 2-Jul-15 (38,596)MYR 289,940 USD 88,640 3-Jul-15 (7,048)MYR 2,745,100 USD 839,917 7-Jul-15 (67,636)USD 4,504,830 EUR 3,300,000 13-Jul-15 503,773 USD 938,105 EUR 691,920 20-Jul-15 99,097 USD 199,982 EUR 147,490 22-Jul-15 21,132 USD 129,703 EUR 95,745 23-Jul-15 13,600 CLP 101,150,000 USD 174,081 28-Jul-15 (10,439)USD 391,218 JPY 39,690,000 29-Jul-15 59,162 CLP 34,720,000 USD 59,667 30-Jul-15 (3,505)CLP 32,680,000 USD 56,195 31-Jul-15 (3,337)USD 1,992,490 EUR 1,482,000 31-Jul-15 195,124 CLP 65,350,000 USD 110,838 4-Aug-15 (5,174)USD 3,976,383 EUR 2,963,000 4-Aug-15 382,630 USD 994,764 EUR 740,000 5-Aug-15 97,220 MYR 10,790,000 USD 3,301,310 6-Aug-15 (271,946)USD 314,533 JPY 32,043,000 11-Aug-15 46,390 USD 350,510 JPY 35,748,000 18-Aug-15 51,325 USD 1,196,323 JPY 122,241,000 20-Aug-15 173,217 USD 155,877 JPY 16,038,000 24-Aug-15 21,636 USD 461,036 JPY 47,657,000 25-Aug-15 62,131 USD 787,659 JPY 81,361,000 26-Aug-15 106,627 CLP 40,930,000 USD 68,296 27-Aug-15 (2,241)USD 1,386,982 JPY 143,607,000 27-Aug-15 184,897 USD 39,890 EUR 30,160 31-Aug-15 3,294 USD 1,000,459 JPY 103,485,000 31-Aug-15 134,159 CLP 122,760,000 USD 202,708 8-Sep-15 (4,785)CLP 67,860,000 USD 111,301 9-Sep-15 (1,900)USD 127,975 EUR 99,094 23-Sep-15 7,688 PHP 25,552,280 USD 569,410 30-Sep-15 (3,239)USD 79,794 JPY 8,661,000 30-Sep-15 7,249 USD 43,070,773 JPY 4,687,702,600 7-Oct-15 3,798,826 USD 10,105,107 JPY 1,088,800,000 9-Oct-15 983,021 USD 10,172,483 JPY 1,095,000,000 13-Oct-15 997,454 USD 21,069,024 EUR 16,565,000 15-Oct-15 951,491 MYR 658,000 USD 196,788 23-Oct-15 (13,020)MYR 341,110 USD 102,374 26-Oct-15 (7,127)USD 1,530,360 EUR 1,200,000 29-Oct-15 72,527





Templeton Global Income Fund (continued)


USD 4,906,804 EUR 3,842,597 30-Oct-15 238,474 USD 2,361,715 EUR 1,883,000 5-Nov-15 73,755 USD 12,341,520 JPY 1,392,000,000 6-Nov-15 670,298 USD 5,449,169 EUR 4,363,000 10-Nov-15 147,233 USD 3,863,375 EUR 3,100,000 12-Nov-15 96,064 UYU 3,700,000 USD 141,654 12-Nov-15 (3,855)USD 2,002,448 EUR 1,600,000 16-Nov-15 57,846 USD 109,876 JPY 12,600,000 16-Nov-15 4,202 USD 8,993,031 EUR 7,195,000 18-Nov-15 247,987 USD 166,856 JPY 19,352,000 18-Nov-15 4,546 USD 206,839 JPY 23,953,000 19-Nov-15 5,934 MYR 166,000 USD 48,440 20-Nov-15 (2,166)USD 232,148 JPY 26,906,000 20-Nov-15 6,469 UYU 3,700,000 USD 141,060 20-Nov-15 (3,600)USD 43,199 JPY 5,050,000 24-Nov-15 837 UYU 5,480,000 USD 213,064 1-Dec-15 (10,161)USD 3,469,480 EUR 2,800,000 7-Dec-15 64,742 USD 227,906 EUR 183,617 9-Dec-15 4,621 MYR 15,378,480 USD 4,283,818 10-Dec-15 (2,597)USD 15,263,349 EUR 12,275,000 15-Dec-15 334,402 USD 6,248,705 JPY 730,380,000 21-Dec-15 117,321 USD 3,725,986 JPY 440,200,000 22-Dec-15 30,500

23,836,020

22,575,996


Bank of America 1,633,618 Barclays Bank 3,145,878 Citibank 1,881,368 Credit Suisse (8,756)Deutsche Bank 9,142,619 Goldman Sachs 1,114,973 HSBC Bank 1,430,828 JPMorgan Chase Bank 3,362,227 Morgan Stanley (11,547)Royal Bank of Scotland (2,719)UBS 157,320 Standard Chartered Bank 730,187

22,575,996

Templeton Global Total Return Fund


Forward foreign exchange contracts used for share class hedgingBRL 2,259,399 USD 890,000 5-Jan-15 (40,921)USD 890,000 BRL 2,378,516 5-Jan-15 (3,842)EUR 3,338,825,589 USD 4,101,991,551 12-Jan-15 (61,475,870)GBP 283,558,290 USD 443,034,409 12-Jan-15 (1,094,718)PLN 1,136,492,366 USD 334,901,694 12-Jan-15 (14,051,526)USD 217,314,026 EUR 174,694,939 12-Jan-15 5,905,067 USD 90,012,181 GBP 57,374,062 12-Jan-15 591,854 USD 15,138,579 PLN 50,928,728 12-Jan-15 760,576 JPY 10,465,052,417 USD 86,966,068 13-Jan-15 379,938 CHF 476,921,375 USD 492,157,478 15-Jan-15 (12,331,837)EUR 2,673,362,700 USD 3,312,560,992 15-Jan-15 (77,254,903)GBP 949,671 USD 1,488,860 15-Jan-15 (8,785)NOK 51,986,608 USD 7,131,198 15-Jan-15 (175,782)SGD 696,879,759 USD 529,880,337 15-Jan-15 (4,052,402)USD 21,899,252 CHF 21,139,898 15-Jan-15 630,620 USD 137,618,604 EUR 110,693,075 15-Jan-15 3,657,740 USD 30,953 GBP 19,786 15-Jan-15 117 USD 157,957 NOK 1,164,357 15-Jan-15 2,175 USD 26,804,742 SGD 35,057,355 15-Jan-15 352,350 AUD 131,546,494 USD 107,568,115 20-Jan-15 (321,883)CHF 1,551,654 USD 1,590,486 20-Jan-15 (29,250)CNH 130,404,141 USD 20,871,074 20-Jan-15 67,402 EUR 2,649,810,642 USD 3,267,409,648 20-Jan-15 (60,428,724)GBP 162,876,163 USD 254,924,968 20-Jan-15 (1,090,682)





Templeton Global Total Return (continued)


NOK 111,835,582 USD 15,179,199 20-Jan-15 (218,618)SEK 1,204,277,371 USD 157,502,968 20-Jan-15 (3,080,051)BRL 2,290,920 USD 850,000 3-Feb-15 4,375

(223,307,580)

Forward foreign exchange contracts used for efficient portfolio managementCLP 2,816,620,000 USD 5,132,793 7-Jan-15 (495,720)USD 16,916,209 JPY 1,761,654,000 7-Jan-15 2,213,424 MYR 266,012,500 USD 79,375,308 8-Jan-15 (3,360,588)USD 26,225,222 JPY 2,719,844,000 8-Jan-15 3,525,175 CLP 2,306,070,000 USD 3,753,064 9-Jan-15 42,561 EUR 5,237,300 USD 7,120,109 9-Jan-15 (782,345)MYR 126,317,000 USD 37,724,585 9-Jan-15 (1,632,570)USD 89,405,241 EUR 65,525,294 9-Jan-15 10,111,736 CLP 12,245,390,000 USD 21,556,644 12-Jan-15 (1,408,910)MYR 37,856,000 USD 11,317,190 12-Jan-15 (504,217)USD 6,854,504 EUR 5,043,748 13-Jan-15 750,690 USD 4,741,945 JPY 495,960,000 13-Jan-15 602,441 CLP 4,435,620,000 USD 7,198,345 14-Jan-15 97,963 INR 905,518,000 USD 14,605,482 14-Jan-15 (279,933)USD 14,238,993 JPY 1,487,690,000 14-Jan-15 1,821,959 CLP 13,590,092,000 USD 21,983,326 15-Jan-15 368,799 INR 462,213,000 USD 7,446,641 15-Jan-15 (135,747)MYR 40,586,500 USD 12,175,341 15-Jan-15 (586,152)USD 29,303,084 EUR 21,471,000 15-Jan-15 3,318,859 USD 127,722,723 JPY 13,251,910,000 15-Jan-15 17,114,433 CLP 14,709,418,000 USD 23,875,050 16-Jan-15 315,155 MYR 6,919,000 USD 2,084,727 16-Jan-15 (109,266)USD 1,151,208 EUR 841,403 16-Jan-15 132,930 USD 150,009,162 JPY 15,504,730,000 16-Jan-15 20,596,377 CLP 2,110,322,000 USD 3,387,627 20-Jan-15 81,206 INR 7,850,593,232 USD 125,894,868 20-Jan-15 (1,843,462)MXN 454,357,500 USD 30,827,515 20-Jan-15 (54,286)USD 121,991,503 JPY 12,671,309,800 20-Jan-15 16,224,650 INR 389,647,000 USD 6,228,223 21-Jan-15 (72,419)USD 87,981,650 EUR 64,550,000 21-Jan-15 9,857,988 INR 404,974,000 USD 6,485,782 22-Jan-15 (89,099)CLP 4,143,410,000 USD 7,485,836 23-Jan-15 (677,586)MYR 24,830,235 USD 7,342,965 23-Jan-15 (258,907)CLP 5,877,160,000 USD 10,410,345 26-Jan-15 (756,771)SGD 46,570,000 USD 37,541,314 26-Jan-15 (2,411,819)EUR 8,115,410 SEK 75,100,000 27-Jan-15 192,376 INR 3,920,495,960 USD 62,938,204 27-Jan-15 (1,073,894)SEK 156,060,000 EUR 16,971,263 27-Jan-15 (529,518)USD 87,948,426 EUR 64,368,128 27-Jan-15 10,039,704 USD 24,135,236 JPY 2,494,980,000 27-Jan-15 3,308,482 EUR 10,821,960 SEK 100,147,500 28-Jan-15 256,497 SEK 100,147,500 EUR 10,882,168 28-Jan-15 (329,371)USD 53,240,077 JPY 5,442,893,887 28-Jan-15 7,805,326 SEK 855,976,700 EUR 92,533,120 29-Jan-15 (2,236,876)CLP 8,715,040,000 USD 14,466,237 30-Jan-15 (158,176)EUR 39,595,560 SEK 365,958,000 30-Jan-15 998,621 INR 5,855,675,274 USD 94,162,954 30-Jan-15 (1,816,712)SEK 365,958,000 EUR 39,067,608 30-Jan-15 (359,587)USD 43,828,939 EUR 32,069,984 30-Jan-15 5,011,367 CLP 10,131,697,000 USD 16,898,410 2-Feb-15 (268,351)INR 2,117,781,737 USD 34,030,157 2-Feb-15 (648,247)CLP 7,151,464,200 USD 11,935,020 3-Feb-15 (197,583)INR 993,691,250 USD 15,944,803 3-Feb-15 (284,120)CLP 5,521,970,000 USD 9,742,361 4-Feb-15 (680,047)INR 697,107,000 USD 11,189,159 4-Feb-15 (204,465)CLP 4,998,900,000 USD 8,808,169 5-Feb-15 (604,913)MYR 51,862,800 USD 15,206,803 5-Feb-15 (429,392)USD 283,254,170 JPY 28,603,870,000 6-Feb-15 44,464,889 CLP 9,939,870,000 USD 17,174,638 9-Feb-15 (868,186)INR 4,030,576,000 USD 64,658,525 9-Feb-15 (1,198,213)MYR 166,827,500 USD 51,698,999 9-Feb-15 (4,181,529)SGD 42,628,000 USD 34,211,878 9-Feb-15 (2,059,215)USD 150,699,739 EUR 108,643,558 9-Feb-15 19,187,834 USD 283,253,907 JPY 28,642,720,000 9-Feb-15 44,134,590 CLP 3,226,100,000 USD 5,549,802 10-Feb-15 (257,759)MXN 444,843,000 USD 32,682,610 10-Feb-15 (2,593,206)








MYR 304,668,846 USD 90,261,553 10-Feb-15 (3,490,565)PLN 505,157,841 EUR 118,179,399 10-Feb-15 (627,615)SEK 526,800,000 EUR 59,270,927 10-Feb-15 (4,191,476)USD 17,458,456 EUR 12,836,000 10-Feb-15 1,920,498 USD 63,015,050 JPY 6,397,792,000 10-Feb-15 9,603,648 MXN 120,168,000 USD 8,936,417 11-Feb-15 (808,693)USD 14,619,494 EUR 10,752,000 11-Feb-15 1,604,121 CLP 5,743,610,000 USD 9,978,475 12-Feb-15 (558,191)INR 1,281,494,500 USD 20,584,450 12-Feb-15 (417,514)KRW 43,810,000,000 USD 40,288,762 12-Feb-15 (320,632)MXN 847,478,000 USD 61,972,797 12-Feb-15 (4,656,003)MYR 190,865,000 USD 56,321,466 12-Feb-15 (1,972,103)SGD 193,528,907 USD 154,439,926 12-Feb-15 (8,468,508)USD 361,352,573 JPY 36,813,958,000 12-Feb-15 54,009,602 INR 6,603,396,325 USD 105,874,560 13-Feb-15 (1,973,515)KRW 58,889,000,000 USD 54,101,057 13-Feb-15 (378,387)MXN 457,839,000 USD 33,443,316 13-Feb-15 (2,480,564)MYR 333,400,848 USD 97,923,708 13-Feb-15 (2,995,407)SGD 21,600,000 USD 17,292,451 13-Feb-15 (1,000,400)USD 59,569,562 EUR 43,538,000 13-Feb-15 6,865,736 USD 335,582,071 JPY 34,227,570,000 13-Feb-15 49,829,402 CLP 6,387,910,000 USD 11,154,659 17-Feb-15 (681,646)MXN 449,959,410 USD 33,418,198 17-Feb-15 (2,995,802)SGD 98,149,000 USD 78,581,275 17-Feb-15 (4,551,256)USD 111,622,795 JPY 11,389,990,000 17-Feb-15 16,529,171 CLP 4,252,650,000 USD 7,277,573 18-Feb-15 (305,864)MYR 205,476,618 USD 60,806,291 18-Feb-15 (2,327,865)SGD 25,873,000 USD 20,469,146 18-Feb-15 (954,136)USD 234,913,969 JPY 23,850,112,260 18-Feb-15 35,790,734 MYR 16,919,000 USD 5,038,416 19-Feb-15 (223,720)USD 17,811,938 EUR 12,988,000 19-Feb-15 2,088,959 CLP 2,371,073,000 USD 4,063,536 20-Feb-15 (177,040)INR 6,486,475,320 USD 103,820,150 20-Feb-15 (1,874,823)USD 108,139,309 EUR 78,700,000 20-Feb-15 12,866,182 CLP 2,823,310,000 USD 4,942,770 23-Feb-15 (316,061)INR 3,363,370,960 USD 53,542,056 23-Feb-15 (707,048)KRW 29,344,000,000 USD 27,238,467 23-Feb-15 (479,393)MYR 357,140,000 USD 106,291,667 23-Feb-15 (4,695,786)SGD 25,873,500 USD 20,718,275 23-Feb-15 (1,202,888)USD 8,369,744 EUR 6,082,000 23-Feb-15 1,006,800 CLP 3,973,600,000 USD 6,961,458 24-Feb-15 (450,206)INR 88,255,000 USD 1,401,888 24-Feb-15 (15,720)USD 19,823,764 JPY 2,022,460,000 24-Feb-15 2,937,553 CLP 13,784,210,000 USD 23,398,149 25-Feb-15 (812,684)MYR 46,388,000 USD 13,790,356 25-Feb-15 (596,704)USD 75,521,492 JPY 7,736,000,000 25-Feb-15 10,930,469 CLP 3,043,220,000 USD 5,298,085 26-Feb-15 (312,142)USD 39,569,185 EUR 28,811,066 26-Feb-15 4,689,393 USD 148,004,741 JPY 15,134,269,000 26-Feb-15 21,641,541 UYU 309,300,000 USD 12,322,709 26-Feb-15 147,557 MXN 249,579,600 USD 18,604,087 27-Feb-15 (1,740,012)PLN 366,592,135 EUR 85,961,482 27-Feb-15 (780,173)SGD 112,701,000 USD 90,045,542 27-Feb-15 (5,039,508)USD 167,122,142 EUR 121,764,748 27-Feb-15 19,707,954 USD 100,335,927 JPY 10,227,241,000 27-Feb-15 14,943,154 SEK 172,633,500 EUR 19,262,832 2-Mar-15 (1,181,211)CLP 2,649,575,000 USD 4,572,963 3-Mar-15 (233,690)INR 609,212,250 USD 9,678,839 3-Mar-15 (121,769)PLN 113,777,000 EUR 26,698,815 3-Mar-15 (272,392)USD 60,154,765 JPY 6,125,400,000 3-Mar-15 9,008,513 UYU 270,100,000 USD 10,743,835 3-Mar-15 127,714 KRW 84,965,430,000 USD 83,185,265 4-Mar-15 (5,733,437)MYR 62,200,000 USD 18,626,101 4-Mar-15 (946,354)USD 28,362,567 JPY 2,894,400,000 4-Mar-15 4,194,451 MYR 55,200,000 USD 16,506,190 5-Mar-15 (817,538)PLN 149,713,020 EUR 34,894,073 5-Mar-15 (75,703)SGD 37,209,000 USD 29,351,582 5-Mar-15 (1,289,649)USD 28,487,045 EUR 20,663,000 5-Mar-15 3,470,173 UYU 309,600,000 USD 12,285,714 6-Mar-15 160,934 GBP 4,829,338 USD 8,155,880 9-Mar-15 (632,484)INR 239,617,000 USD 3,826,311 9-Mar-15 (71,657)USD 365,683,758 EUR 266,129,214 9-Mar-15 43,467,226 USD 27,170,640 GBP 16,200,000 9-Mar-15 1,933,431 USD 171,950,572 JPY 17,583,306,860 9-Mar-15 25,122,413






GHS 12,750,000 USD 4,112,903 10-Mar-15 (287,171)MXN 1,179,814,300 USD 89,096,383 10-Mar-15 (9,431,817)SGD 47,385,000 USD 37,714,900 10-Mar-15 (1,983,917)USD 49,643,701 EUR 35,858,000 10-Mar-15 6,228,158 MYR 484,446,597 USD 145,966,012 11-Mar-15 (8,353,472)SGD 87,626,630 USD 69,385,248 11-Mar-15 (3,311,783)KRW 85,991,310,000 USD 79,415,691 12-Mar-15 (1,057,274)MYR 123,193,860 USD 36,838,066 12-Mar-15 (1,846,603)PLN 157,248,740 EUR 36,707,769 12-Mar-15 (166,425)CLP 2,388,810,000 USD 4,059,909 13-Mar-15 (151,004)INR 1,091,268,000 USD 17,374,112 13-Mar-15 (287,809)PLN 66,094,300 EUR 15,345,786 13-Mar-15 29,626 UYU 381,120,000 USD 15,087,886 13-Mar-15 191,752 MYR 280,600,000 USD 86,031,396 16-Mar-15 (6,359,623)SGD 154,775,600 USD 119,879,357 16-Mar-15 (3,190,877)USD 51,677,601 EUR 37,290,000 16-Mar-15 6,525,806 MXN 2,015,813,680 USD 136,537,591 17-Mar-15 (484,419)PLN 239,207,608 EUR 55,391,179 17-Mar-15 271,327 USD 33,726,235 EUR 24,179,210 17-Mar-15 4,449,096 USD 20,774,355 JPY 2,125,673,513 17-Mar-15 3,022,464 SGD 59,130,000 USD 46,720,000 18-Mar-15 (2,143,376)USD 250,141,193 EUR 180,106,702 18-Mar-15 32,058,942 KRW 192,445,190,000 USD 184,812,436 19-Mar-15 (9,505,275)MYR 874,546,000 USD 261,387,958 19-Mar-15 (13,141,911)PLN 71,468,215 EUR 16,560,435 19-Mar-15 65,262 USD 68,046,342 EUR 48,961,600 19-Mar-15 8,760,641 USD 284,533,922 JPY 28,853,102,000 19-Mar-15 43,570,905 CLP 2,361,500,000 USD 4,005,937 20-Mar-15 (144,006)MYR 49,275,000 USD 14,789,303 20-Mar-15 (803,504)MYR 88,549,500 USD 26,476,155 23-Mar-15 (1,349,789)PLN 82,575,900 EUR 19,210,399 23-Mar-15 (22,011)USD 196,391,318 EUR 141,095,220 23-Mar-15 25,538,442 USD 92,498,551 JPY 9,445,582,000 24-Mar-15 13,610,514 USD 33,775,456 EUR 24,481,000 25-Mar-15 4,130,763 USD 133,843,982 JPY 13,667,830,850 25-Mar-15 19,691,088 MYR 90,074,500 USD 26,738,788 26-Mar-15 (1,186,585)PLN 42,873,500 EUR 10,181,794 26-Mar-15 (265,023)USD 3,387,789 EUR 2,460,000 26-Mar-15 408,883 UYU 407,900,000 USD 16,128,905 26-Mar-15 140,997 MYR 33,196,000 USD 9,862,151 30-Mar-15 (448,540)MYR 217,390,000 USD 64,741,795 31-Mar-15 (3,100,601)PLN 37,860,000 EUR 8,854,069 31-Mar-15 (71,025)SEK 713,961,444 USD 109,571,351 31-Mar-15 (17,995,890)SGD 244,105,000 USD 192,935,588 31-Mar-15 (8,983,064)USD 2,988,266 EUR 2,170,916 31-Mar-15 359,304 MYR 660,295,762 USD 202,519,863 1-Apr-15 (15,307,487)MYR 731,170,000 USD 221,634,956 2-Apr-15 (14,344,658)USD 31,837,011 EUR 23,096,239 2-Apr-15 3,867,049 SGD 32,500,000 USD 25,806,964 6-Apr-15 (1,316,430)PLN 115,206,600 EUR 26,970,994 7-Apr-15 (260,235)USD 38,254,551 EUR 27,720,188 7-Apr-15 4,683,099 PLN 64,139,769 EUR 15,045,688 9-Apr-15 (182,691)MYR 73,540,000 USD 22,080,769 10-Apr-15 (1,245,415)USD 45,084,051 EUR 32,701,000 10-Apr-15 5,479,144 USD 151,295,123 EUR 109,589,482 13-Apr-15 18,564,586 USD 74,918,775 EUR 54,052,000 14-Apr-15 9,452,381 KRW 86,129,982,260 USD 81,748,275 15-Apr-15 (3,366,168)USD 13,594,560 EUR 9,800,000 15-Apr-15 1,724,924 USD 30,925,696 JPY 3,130,500,000 15-Apr-15 4,773,395 CLP 2,066,250,000 USD 3,644,180 16-Apr-15 (272,735)USD 71,098,215 EUR 51,200,996 16-Apr-15 9,083,551 USD 169,125,659 JPY 17,184,520,000 17-Apr-15 25,562,105 USD 101,263,498 JPY 10,325,130,000 21-Apr-15 15,000,707 SEK 387,456,422 EUR 42,333,398 22-Apr-15 (1,574,205)USD 40,097,487 EUR 29,039,052 22-Apr-15 4,923,107 USD 130,762,342 JPY 13,330,240,000 22-Apr-15 19,391,567 CLP 1,309,218,000 USD 2,264,104 28-Apr-15 (130,023)USD 45,812,780 EUR 33,042,987 30-Apr-15 5,785,076 USD 232,475,258 EUR 167,889,413 7-May-15 29,081,609 USD 27,572,416 GBP 16,579,388 7-May-15 1,757,160 CLP 2,324,300,000 USD 3,967,059 11-May-15 (182,452)USD 63,174,323 JPY 6,397,790,000 12-May-15 9,709,371 USD 291,349,288 EUR 211,436,305 13-May-15 35,183,181







USD 147,327,954 JPY 14,949,586,000 13-May-15 22,395,964 SGD 37,800,000 USD 30,321,261 14-May-15 (1,842,776)USD 98,320,290 EUR 71,379,000 14-May-15 11,839,979 USD 62,909,148 JPY 6,394,652,000 14-May-15 9,469,117 USD 210,967,767 EUR 153,775,000 15-May-15 24,657,328 USD 308,982,391 EUR 225,220,000 18-May-15 36,101,942 SGD 90,649,800 USD 72,557,570 19-May-15 (4,263,952)USD 1,486,474 EUR 1,184,352 20-May-15 51,462 USD 13,948,609 JPY 1,636,660,000 20-May-15 270,059 USD 246,583,397 EUR 185,805,744 21-May-15 21,450,677 CLP 1,091,910,000 USD 1,921,024 22-May-15 (144,716)USD 59,339,548 EUR 43,278,000 22-May-15 6,900,917 MXN 212,322,831 USD 15,968,925 26-May-15 (1,702,376)PLN 81,674,000 EUR 19,136,364 27-May-15 (252,735)RSD 1,199,000,000 EUR 9,700,647 27-May-15 (140,724)SGD 57,544,000 USD 46,011,826 27-May-15 (2,661,295)SGD 50,409,500 USD 38,846,761 28-May-15 (871,183)KRW 145,733,050,000 USD 140,235,806 29-May-15 (7,784,629)MXN 189,825,730 USD 14,348,995 29-May-15 (1,596,521)MYR 303,597,000 USD 92,484,877 29-May-15 (6,812,046)SGD 139,500,292 USD 111,164,585 29-May-15 (6,073,770)UYU 308,850,000 USD 12,083,333 29-May-15 15,884 USD 95,788,142 EUR 70,397,000 1-Jun-15 10,481,070 MYR 14,696,000 USD 4,469,179 2-Jun-15 (323,423)CLP 312,770,000 USD 551,137 3-Jun-15 (42,833)USD 549,177,362 JPY 55,720,633,500 3-Jun-15 83,407,071 CLP 6,549,300,000 USD 11,524,371 4-Jun-15 (881,544)USD 233,943,357 JPY 23,878,130,560 4-Jun-15 34,342,979 CLP 4,398,585,000 USD 7,707,980 5-Jun-15 (560,729)USD 31,232,632 EUR 22,932,290 5-Jun-15 3,442,092 MYR 14,772,000 USD 4,470,268 8-Jun-15 (305,101)PLN 61,000,000 EUR 14,404,458 8-Jun-15 (333,370)USD 5,182,174 EUR 3,800,000 8-Jun-15 576,988 SGD 128,545,000 USD 102,328,480 9-Jun-15 (5,496,494)USD 94,482,618 EUR 69,276,400 9-Jun-15 10,526,263 USD 320,366,653 JPY 32,721,800,000 9-Jun-15 46,824,214 USD 653,994,705 JPY 66,811,010,000 10-Jun-15 95,471,959 PLN 10,997,000 EUR 2,628,597 11-Jun-15 (99,013)USD 252,406,495 JPY 25,784,890,000 11-Jun-15 36,848,861 PLN 56,366,000 EUR 13,457,002 12-Jun-15 (488,691)USD 122,935,810 EUR 90,613,850 12-Jun-15 13,116,966 PLN 233,691,030 EUR 55,561,348 15-Jun-15 (1,754,839)SGD 46,202,000 USD 35,214,939 15-Jun-15 (412,454)USD 176,244,241 EUR 129,944,880 16-Jun-15 18,751,641 KRW 42,321,600,000 USD 40,933,939 17-Jun-15 (2,491,036)USD 80,784,965 EUR 59,619,900 17-Jun-15 8,525,141 USD 85,734,180 JPY 8,721,004,000 17-Jun-15 12,822,618 MYR 175,700,000 USD 53,396,140 18-Jun-15 (3,895,297)MYR 317,491,850 USD 96,145,554 22-Jun-15 (6,725,980)SGD 55,731,000 USD 42,416,470 22-Jun-15 (437,694)USD 98,811,450 JPY 10,061,970,000 22-Jun-15 14,683,669 MYR 234,370,990 USD 69,695,918 23-Jun-15 (3,692,158)SGD 69,742,200 USD 53,205,829 23-Jun-15 (673,552)PHP 2,160,520,000 USD 49,038,086 25-Jun-15 (1,103,167)KRW 115,970,868,000 USD 112,363,984 26-Jun-15 (7,049,614)MYR 326,124,500 USD 99,422,139 26-Jun-15 (7,601,002)PHP 6,865,851,820 USD 155,596,515 26-Jun-15 (3,270,265)KRW 25,437,000,000 USD 24,567,317 29-Jun-15 (1,469,754)PHP 5,174,878,060 USD 116,375,150 29-Jun-15 (1,575,570)USD 17,121,819 EUR 12,531,522 29-Jun-15 1,931,546 MYR 53,615,000 USD 16,328,115 30-Jun-15 (1,237,381)PHP 878,965,960 USD 19,982,857 30-Jun-15 (484,090)USD 47,639,683 JPY 4,827,210,000 30-Jun-15 7,275,367 MYR 460,720,620 USD 140,596,484 1-Jul-15 (10,928,691)PHP 865,534,000 USD 19,786,348 1-Jul-15 (585,777)USD 75,112,558 JPY 7,590,800,000 1-Jul-15 11,638,415 MYR 329,830,000 USD 100,699,151 2-Jul-15 (7,876,275)MYR 58,914,800 USD 18,011,250 3-Jul-15 (1,432,199)MYR 552,087,100 USD 168,921,794 7-Jul-15 (13,602,837)PHP 1,060,000,000 USD 24,223,035 7-Jul-15 (710,180)USD 7,470,041 EUR 5,482,599 9-Jul-15 823,143 CLP 4,810,463,000 USD 8,443,112 10-Jul-15 (649,179)USD 89,496,564 EUR 65,679,285 10-Jul-15 9,868,159 USD 6,373,833 JPY 645,000,000 10-Jul-15 979,471







USD 55,014,895 EUR 40,301,000 13-Jul-15 6,152,285 SGD 74,291,000 USD 59,792,512 14-Jul-15 (3,834,341)USD 5,211,130 EUR 3,819,917 14-Jul-15 579,629 USD 265,420,877 EUR 194,690,000 15-Jul-15 29,362,922 USD 409,193,246 EUR 299,619,000 16-Jul-15 45,904,934 USD 258,297,381 EUR 190,501,016 20-Jul-15 27,299,661 USD 107,772,449 EUR 79,487,000 21-Jul-15 11,386,532 MYR 32,116,300 USD 9,874,343 22-Jul-15 (848,273)USD 85,483,266 EUR 63,146,000 22-Jul-15 8,911,194 USD 156,251,479 EUR 115,341,984 23-Jul-15 16,383,257 USD 204,976,742 JPY 20,721,946,000 24-Jul-15 31,627,736 USD 201,519,088 EUR 149,402,856 27-Jul-15 20,335,499 USD 43,298,041 JPY 4,375,700,000 27-Jul-15 6,691,218 CLP 9,822,905,000 USD 16,902,241 28-Jul-15 (1,010,557)USD 18,910,824 EUR 14,013,000 28-Jul-15 1,916,724 USD 329,930,762 EUR 244,993,812 29-Jul-15 32,812,576 USD 28,109,017 JPY 2,851,730,000 29-Jul-15 4,250,761 CLP 7,189,730,000 USD 12,355,611 30-Jul-15 (725,831)CLP 11,560,730,000 USD 19,870,271 31-Jul-15 (1,171,690)USD 18,839,918 EUR 14,013,000 31-Jul-15 1,844,987 MXN 808,084,380 USD 60,228,395 3-Aug-15 (6,176,852)USD 60,337,513 EUR 44,981,000 3-Aug-15 5,782,002 CLP 5,917,450,000 USD 10,036,381 4-Aug-15 (468,495)MXN 558,709,000 USD 41,254,449 4-Aug-15 (3,885,784)USD 544,390,043 EUR 405,849,675 4-Aug-15 52,144,478 CLP 2,332,900,000 USD 3,953,398 5-Aug-15 (181,656)USD 202,010,107 EUR 150,309,039 5-Aug-15 19,700,822 USD 165,395,199 JPY 16,924,063,700 5-Aug-15 23,786,411 CLP 2,423,700,000 USD 4,103,445 6-Aug-15 (185,222)MXN 1,532,684,580 USD 113,330,714 6-Aug-15 (10,832,624)MYR 166,855,200 USD 51,051,034 6-Aug-15 (4,205,340)PLN 590,955,350 EUR 138,656,816 6-Aug-15 (2,553,002)SGD 96,674,500 USD 77,643,964 6-Aug-15 (4,823,078)USD 154,110,552 EUR 114,624,652 6-Aug-15 15,080,462 MXN 1,144,036,900 USD 84,179,365 7-Aug-15 (7,677,229)SGD 42,633,000 USD 34,248,875 7-Aug-15 (2,135,153)USD 41,405,395 JPY 4,236,600,000 7-Aug-15 5,955,185 USD 1,227,302 EUR 917,266 10-Aug-15 114,663 CLP 3,592,400,000 USD 6,054,437 11-Aug-15 (249,231)MXN 531,912,000 USD 39,161,690 11-Aug-15 (3,602,203)MYR 59,410,000 USD 18,139,904 11-Aug-15 (1,465,826)SGD 75,483,900 USD 60,480,017 11-Aug-15 (3,620,654)USD 39,781,535 EUR 29,688,710 11-Aug-15 3,768,684 USD 29,606,199 JPY 3,016,421,000 11-Aug-15 4,364,134 CLP 2,313,700,000 USD 3,909,598 12-Aug-15 (171,037)MYR 46,060,000 USD 14,027,714 12-Aug-15 (1,101,341)USD 7,650,612 JPY 776,430,000 12-Aug-15 1,153,159 USD 90,983,551 EUR 72,847,450 14-Aug-15 2,614,175 MXN 48,921,000 USD 3,644,945 17-Aug-15 (375,799)USD 99,008,166 EUR 73,749,469 17-Aug-15 9,540,196 CLP 2,175,940,000 USD 3,666,594 18-Aug-15 (152,353)KRW 5,354,000,000 USD 5,150,058 18-Aug-15 (293,132)USD 184,769,078 EUR 137,719,000 18-Aug-15 17,694,787 USD 16,006,667 JPY 1,632,496,000 18-Aug-15 2,343,848 PLN 114,567,000 EUR 26,881,042 19-Aug-15 (511,734)CLP 2,372,450,000 USD 3,999,073 20-Aug-15 (168,085)USD 231,292,761 EUR 172,395,694 20-Aug-15 22,143,494 USD 53,398,401 JPY 5,456,256,000 20-Aug-15 7,731,795 MXN 217,213,862 USD 16,218,462 24-Aug-15 (1,710,029)PLN 127,179,180 EUR 29,764,137 24-Aug-15 (482,880)USD 7,118,720 JPY 732,438,000 24-Aug-15 988,071 USD 21,055,375 JPY 2,176,479,000 25-Aug-15 2,837,489 USD 141,282,342 EUR 106,179,424 26-Aug-15 12,453,589 USD 35,157,859 JPY 3,631,643,000 26-Aug-15 4,759,192 CLP 2,898,320,000 USD 4,836,176 27-Aug-15 (158,695)KRW 221,653,800,000 USD 214,572,894 27-Aug-15 (13,532,533)MXN 217,886,531 USD 16,208,780 27-Aug-15 (1,658,375)PLN 312,052,975 EUR 73,191,738 27-Aug-15 (1,390,722)USD 14,558,648 EUR 10,992,014 27-Aug-15 1,221,689 USD 56,539,132 JPY 5,854,218,000 27-Aug-15 7,535,510 CLP 2,986,400,000 USD 4,983,979 28-Aug-15 (164,743)MXN 306,158,900 USD 22,805,132 28-Aug-15 (2,361,306)PHP 1,063,000,000 USD 24,178,324 28-Aug-15 (613,269)USD 17,586,179 EUR 13,296,472 31-Aug-15 1,452,097







USD 46,753,431 JPY 4,836,058,000 31-Aug-15 6,269,527 MXN 145,905,300 USD 10,854,030 4-Sep-15 (1,115,790)CLP 5,119,795,000 USD 8,454,087 8-Sep-15 (199,541)PLN 65,930,000 EUR 15,458,382 8-Sep-15 (296,144)USD 119,539,603 EUR 90,613,850 8-Sep-15 9,573,426 CLP 2,455,320,000 USD 4,027,095 9-Sep-15 (68,753)USD 43,701,186 EUR 33,780,000 11-Sep-15 2,704,812 PLN 102,742,980 EUR 24,002,565 14-Sep-15 (362,573)MYR 160,426,035 USD 48,896,960 18-Sep-15 (3,987,622)USD 19,864,549 JPY 2,117,839,063 18-Sep-15 2,129,759 SGD 74,047,000 USD 58,674,326 21-Sep-15 (2,893,501)MYR 89,690,000 USD 27,066,421 23-Sep-15 (1,967,295)USD 64,449,037 EUR 49,904,400 23-Sep-15 3,871,770 PHP 1,065,040,000 USD 23,704,429 25-Sep-15 (101,883)MYR 129,935,500 USD 39,206,293 28-Sep-15 (2,857,026)USD 140,821,101 EUR 109,216,013 28-Sep-15 8,235,690 USD 19,525,247 JPY 2,121,203,336 29-Sep-15 1,758,409 KRW 25,520,000,000 USD 24,267,782 30-Sep-15 (1,135,899)MXN 241,077,070 USD 17,452,912 30-Sep-15 (1,390,957)PHP 2,590,038,060 USD 57,716,726 30-Sep-15 (328,345)USD 3,396,946 JPY 368,713,000 30-Sep-15 308,584 USD 7,533,486 EUR 5,905,745 1-Oct-15 363,559 USD 63,642,116 EUR 50,450,000 7-Oct-15 2,384,144 USD 138,438,034 JPY 14,996,300,000 7-Oct-15 12,804,229 USD 69,219,239 JPY 7,458,200,000 9-Oct-15 6,733,624 USD 69,680,112 JPY 7,500,600,000 13-Oct-15 6,832,422 KRW 173,889,235,500 USD 160,829,852 14-Oct-15 (3,245,636)USD 1,832,258,522 EUR 1,434,141,159 14-Oct-15 90,592,282 USD 2,392,479 EUR 1,885,252 15-Oct-15 102,916 USD 442,607,429 EUR 347,007,000 16-Oct-15 21,171,337 USD 103,649,631 JPY 10,955,455,000 19-Oct-15 11,838,643 MYR 87,234,183 USD 26,065,731 20-Oct-15 (1,697,923)USD 85,706,028 EUR 66,953,000 20-Oct-15 4,384,703 USD 195,717,096 JPY 20,692,190,000 20-Oct-15 22,303,750 USD 148,838,361 JPY 15,837,890,000 22-Oct-15 16,099,823 MYR 31,824,000 USD 9,517,600 23-Oct-15 (629,732)USD 55,975,900 EUR 43,839,400 23-Oct-15 2,724,663 MYR 38,695,192 USD 11,612,576 26-Oct-15 (807,870)USD 84,406,140 EUR 66,495,561 26-Oct-15 3,629,006 USD 2,528,044 EUR 1,987,300 28-Oct-15 113,809 MYR 25,873,000 USD 7,747,567 30-Oct-15 (525,079)PLN 75,302,000 EUR 17,562,739 30-Oct-15 (270,282)USD 4,988,329 EUR 3,906,440 30-Oct-15 242,436 MXN 245,427,400 USD 17,839,535 3-Nov-15 (1,526,516)USD 2,878,727 EUR 2,272,978 3-Nov-15 117,050 USD 119,608,337 JPY 13,558,450,000 5-Nov-15 5,930,628 USD 36,560,629 EUR 29,106,000 6-Nov-15 1,194,228 USD 40,007,979 JPY 4,512,500,000 6-Nov-15 2,172,930 USD 116,773,922 EUR 93,107,000 10-Nov-15 3,629,901 USD 13,593,597 JPY 1,549,704,004 10-Nov-15 598,690 MXN 172,193,000 USD 12,411,648 12-Nov-15 (973,539)USD 248,924,198 EUR 199,411,419 12-Nov-15 6,587,176 USD 457,207,879 JPY 52,179,914,500 12-Nov-15 19,633,956 UYU 306,500,000 USD 11,734,303 12-Nov-15 (319,364)USD 136,363,509 EUR 109,249,000 13-Nov-15 3,594,276 USD 370,798,275 EUR 296,254,643 16-Nov-15 10,737,469 USD 166,028,332 JPY 19,039,646,800 16-Nov-15 6,346,950 USD 54,192,262 EUR 43,431,000 18-Nov-15 1,404,775 USD 15,709,829 JPY 1,822,026,000 18-Nov-15 428,060 MYR 39,448,560 USD 11,542,767 19-Nov-15 (545,307)USD 30,333,470 EUR 24,226,000 19-Nov-15 887,686 USD 19,474,988 JPY 2,255,301,000 19-Nov-15 558,723 BRL 432,190,000 USD 151,422,465 20-Nov-15 (2,991,991)MYR 95,838,000 USD 27,966,384 20-Nov-15 (1,250,469)USD 73,218,852 EUR 58,308,000 20-Nov-15 2,346,022 USD 21,858,128 JPY 2,533,357,000 20-Nov-15 609,097 UYU 305,900,000 USD 11,662,219 20-Nov-15 (297,654)USD 26,912,077 EUR 21,397,000 23-Nov-15 902,384 USD 4,067,066 JPY 475,440,000 24-Nov-15 78,785 USD 46,497,051 EUR 37,297,000 25-Nov-15 1,157,552 MXN 384,885,400 USD 27,592,329 30-Nov-15 (2,057,933)USD 121,266,744 EUR 97,275,650 30-Nov-15 3,001,222 UYU 457,340,000 USD 17,781,493 1-Dec-15 (848,027)PLN 166,240,000 EUR 39,300,236 4-Dec-15 (1,306,328)







USD 53,501,376 EUR 42,880,000 4-Dec-15 1,363,931 USD 49,823,450 EUR 40,297,413 9-Dec-15 820,374 USD 28,829,568 EUR 23,001,000 11-Dec-15 858,222 USD 25,800,353 EUR 20,734,000 14-Dec-15 584,104 MYR 101,500,000 USD 28,347,996 15-Dec-15 (100,762)PLN 158,437,000 EUR 37,305,628 15-Dec-15 (1,083,110)USD 125,087,171 EUR 100,569,000 15-Dec-15 2,774,414 MXN 3,164,218,800 USD 209,429,828 17-Dec-15 245,294 USD 2,478,116 EUR 1,984,716 17-Dec-15 64,176 MXN 1,219,349,800 USD 80,711,932 18-Dec-15 81,956 USD 172,003,145 JPY 20,104,590,000 21-Dec-15 3,229,389 USD 118,252,313 JPY 13,970,710,000 22-Dec-15 967,976 MXN 344,471,000 USD 22,829,054 29-Dec-15 (21,916)MXN 530,655,000 USD 35,172,064 31-Dec-15 (42,719)MXN 265,476,500 USD 17,586,117 4-Jan-16 (16,463)

1,804,696,552

1,581,388,972


Bank of America (16,370,573)Barclays Bank 483,894,062 Citibank 212,241,865 Credit Suisse (35,404,150)Deutsche Bank 310,373,381 Goldman Sachs 225,125,336 HSBC Bank 621,532 JPMorgan Chase Bank 378,697,007 Morgan Stanley 19,627,371 Royal Bank of Scotland (30,118,639)The Bank of New York Mellon (4,028,242)UBS (28,171,171)Standard Chartered Bank 64,901,193

1,581,388,972

Templeton Latin America Fund


Forward foreign exchange contracts used for share class hedgingPLN 26,245,597 USD 7,759,896 15-Jan-15 (351,401)USD 770,948 PLN 2,598,187 15-Jan-15 37,544 CLP 2,070,568,700 EUR 2,784,894 26-Jan-15 30,336 EUR 21,048,416 BRL 69,137,500 26-Jan-15 (363,117)EUR 5,491,644 CLP 4,102,935,500 26-Jan-15 (92,505)EUR 8,003,233 MXN 143,311,200 26-Jan-15 (15,952)EUR 21,503,236 USD 26,433,500 26-Jan-15 (407,093)

(1,162,188)


Bank of America (13,940)Barclays Bank (12,795)Citibank (11,092)Credit Suisse (9,144)Deutsche Bank (848,791)Goldman Sachs (19,431)HSBC Bank (153,667)JPMorgan Chase Bank (23,089)Morgan Stanley (4,207)Royal Bank of Scotland (63,702)The Bank of New York Mellon (473)UBS (1,857)

(1,162,188)

The list of the currency abbreviations is available in Note 28.






Number of Description Counterparty Trading Commitment Unrealised contracts currency USD profit/(loss) purchased/(sold) USD

Bond Future (55) U.S. Treasury Note 10 years, Mar. 2015 JPMorgan Chase Bank USD (6,973,828) (38,672) ___________

Currency Future

139 USD/BRL, Feb. 2015 CM Capital Markets CCTVM BRL 6,977,413 (77,589) ___________

Deposit Future

1,254 BM&F One-Day Interbank Deposits Future, Apr. 15 CM Capital Markets CCTVM BRL 45,845,532 170,465

428 BM&F One-Day Interbank Deposits Future, Jan. 15 CM Capital Markets CCTVM BRL 16,091,363 845,599

(90) BM&F One-Day Interbank Deposits Future, Jan. 17 CM Capital Markets CCTVM BRL (2,658,217) (11,201)

149 BM&F One-Day Interbank Deposits Future, Jan. 18 CM Capital Markets CCTVM BRL 3,919,138 28,523

(84) BM&F One-Day Interbank Deposits Future, Jan. 21 CM Capital Markets CCTVM BRL (1,580,254) (6,259) ___________ 1,027,127 ___________Equity Future

(55) Bovespa Index Future, Feb. 2015 CM Capital Markets CCTVM BRL (1,044,410) 105,778 ___________ 1,016,644 ___________ ___________



Bond Future

32 Australian 10 Yr. Bond Future, Mar. 2015 JPMorgan Chase Bank AUD 3,348,173 26,867

43 Euro-BTP Futures, Mar. 2015 JPMorgan Chase Bank EUR 7,055,268 87,257

(23) Euro-Bund Future, Mar. 2015 JPMorgan Chase Bank EUR (4,337,862) (79,594)

(56) Long Gilt Futures, Mar. 2015 JPMorgan Chase Bank GBP (10,433,439) (274,955)

9 Ten-Year Government of Canada Bond Futures, Mar. 2015 JPMorgan Chase Bank CAD 1,073,567 19,763

(17) U.S. Treasury Note 10 years, Mar. 2015 JPMorgan Chase Bank USD (2,155,547) (12,012) ___________ (232,674) ___________Equity Future

(1) Amsterdam Index Future, Jan. 2015 JPMorgan Chase Bank EUR (102,850) (5,094)

5 DAX Futures, Mar. 2015 JPMorgan Chase Bank EUR 1,488,829 40,388

(7) FTSE 100 Index Future, Mar. 2015 JPMorgan Chase Bank GBP (711,663) (18,821)

8 Hang Seng Index Future, Jan. 2015 JPMorgan Chase Bank HKD 1,219,972 12,639

16 IBEX 35 Index Futures, Jan. 2015 JPMorgan Chase Bank EUR 1,983,296 45,287

(55) mini MSCI Emerging Markets Index Futures, Mar. 2015 JPMorgan Chase Bank USD (2,633,675) (144,221)

37 S&P 500 E-Mini Index Futures, Mar. 2015 JPMorgan Chase Bank USD 3,796,940 130,510

(1) S&P/TSX 60 Index Futures, Mar. 2015 JPMorgan Chase Bank CAD (146,670) (8,334)

(18) SPI 200 Index Futures, Mar. 2015 JPMorgan Chase Bank AUD (1,977,849) (93,326)

11 Swiss Market Index Future, Mar. 2015 JPMorgan Chase Bank CHF 985,486 23,235

12 Topix Index Future, Mar. 2015 JPMorgan Chase Bank JPY 1,409,556 (10,515) ___________ (28,252) ___________ (260,926) ___________ ___________

Note 6 — Open positions on financial future contractsAs at December 31, 2014, the Company had entered into the following outstanding contracts:






Bond Future 33 90 day sterling interest rate Future, Jun. 2016 Morgan Stanley GBP 6,359,791 8,262 3 Australian 10 Yr. Bond Future, Mar. 2015 Morgan Stanley AUD 313,853 4,640 12 Euro-Bobl Future, Mar. 2015 Morgan Stanley EUR 1,891,743 11,291 10 Euro-Bund Future, Mar. 2015 Morgan Stanley EUR 1,886,102 24,627 14 Euro-Schatz Future, Mar. 2015 Morgan Stanley EUR 1,881,941 2,637 7 Long Gilt Futures, Mar. 2015 Morgan Stanley GBP 1,304,094 21,049 14 mini-10 year JGB Future, Mar. 2015 Morgan Stanley JPY 1,727,967 9,595 17 Ten-Year Government of Canada Bond Futures, Mar. 2015 Morgan Stanley CAD 2,026,891 25,557 22 Three Month Euro (Euribor) Future, Jun. 2016 Morgan Stanley EUR 6,649,953 4,315 2 U.S. Long Bond Treasury Future, Mar. 2015 Morgan Stanley USD 289,126 5,427 14 U.S. Treasury Note 10 years, Mar. 2015 Morgan Stanley USD 1,775,157 8,622 9 U.S. Treasury Note 2 years, Mar. 2015 Morgan Stanley USD 1,967,345 (2,447) 16 U.S. Treasury Note 5 years, Mar. 2015 Morgan Stanley USD 1,902,877 283 ___________ 123,858 ___________ Currency Future

9 U.S. Dollar Future, Mar. 2015 Morgan Stanley USD 815,823 12,332 Equity Future (11) Russell 2000 mini Future, Mar. 2015 Deutsche Bank USD (1,320,770) (75,926) (1) CAC 40 Future, Jan. 2015 Morgan Stanley EUR (51,754) (62) (1) CAC 40 Future, Mar. 2015 Morgan Stanley EUR (51,760) (627) 1 DAX Futures, Mar.2015 Morgan Stanley EUR 297,778 3,523 11 DJIA mini e-cbot Future, Mar. 2015 Morgan Stanley USD 976,360 8,089 6 Euro Stoxx 50 Future, Mar. 2015 Morgan Stanley EUR 227,466 1,398 (3) FTSE Index Futures, Mar. 2015 Morgan Stanley GBP (304,980) (7,259) 1 Hang Seng Index Future, Jan. 2015 Morgan Stanley HKD 152,483 2,407 9 Nasdaq 100 e-mini Future, Mar. 2015 Morgan Stanley USD 761,895 29 7 Nikkei 225 Future, Mar. 2015 Morgan Stanley JPY 507,848 (11,522) 3 Russell 2000 mini Future, Mar. 2015 Morgan Stanley USD 360,210 6,424 8 S&P 500 E-mini Future, Mar. 2015 Morgan Stanley USD 820,960 11,560 4 Topix Index Future, Mar. 2015 Morgan Stanley JPY 470,028 (654) ___________ (62,620) ___________Interest Rate Future

5 Three Month Eurodollar Future, Jun. 2016 Morgan Stanley USD 1,232,125 (797) ___________ 72,773 ___________ ___________Franklin U.S. Low Duration Fund


Bond Future

(10) CME Ultra Long Term U.S. Treasury Bond Futures, Mar. 2015 JPMorgan Chase Bank USD (1,651,875) (59,601)

(426) U.S. Treasury Note 10 years, Mar. 2015 JPMorgan Chase Bank USD (54,015,469) (133,125)

(439) U.S. Treasury Note 5 years, Mar. 2015 JPMorgan Chase Bank USD (52,210,133) 105,166 ___________ (87,560) ___________ ___________

Note 6 — Open positions on financial future contracts (continued)As at December 31, 2014, the Company had entered into the following outstanding contracts:






Bond Future

(17) U.S. Treasury Note 10 years, Mar. 2015 JPMorgan Chase Bank USD (2,155,547) (5,313)

(40) U.S. Treasury Note 2 years, Mar. 2015 JPMorgan Chase Bank USD (8,743,750) 13,750

(88) U.S. Treasury Note 5 years, Mar. 2015 JPMorgan Chase Bank USD (10,465,813) 21,074 ___________ 29,511 ___________ ___________

Franklin Mutual Beacon Fund


Currency Future

(2) CHF/USD, Mar 2015 JPMorgan Chase Bank USD (251,850) 5,876

(84) EUR/USD, Mar 2015 JPMorgan Chase Bank USD (12,712,350) 306,631

(141) GBP/USD, Mar 2015 JPMorgan Chase Bank USD (13,721,063) 81,297 ___________ 393,804 ___________ ___________Note 7 — Open positions on interest rate swap contractsAs at December 31, 2014, the Company had entered into the following outstanding contracts:


Notional Description Counterparty Maturity Trading Unrealised amount date currency profit/(loss) USD

1,710,859 Receiving floating rate CDI Paying fixed rate 9.13% Barclays Bank PLC 02-Jan-17 BRL 46,133

Franklin GCC Bond Fund


250,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 3.655% Barclays Bank PLC 27-Sep-43 USD (49,279) 100,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 3.72625% Barclays Bank PLC 12-Nov-43 USD (21,244) 250,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 3.485% JPMorgan Chase Bank 24-Apr-44 USD (44,062)

(114,585)



470,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate .9255% Citigroup 17-Oct-17 USD 3,768 90,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 2.7305% Citigroup 07-Jul-24 USD (3,672) 220,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 3.018% JPMorgan Chase Bank 22-Aug-23 USD (14,235) 130,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 3.848% JPMorgan Chase Bank 22-Aug-43 USD (32,336)

(46,475)

Note 6 — Open positions on financial future contracts (continued)As at December 31, 2014, the Company had entered into the following outstanding contracts:




Franklin Global Fundamental Strategies Fund


31,780,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate .9255% Citigroup 17-Oct-17 USD 254,763 5,610,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 2.7305% Citigroup 07-Jul-24 USD (228,867) 1,010,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 4.34675% Citigroup 25-Feb-41 USD (326,684) 600,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 3.523% Deutsche Bank 28-Mar-21 USD (55,922) 430,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 2.775% Deutsche Bank 04-Oct-23 USD (19,734) 430,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 2.795% Deutsche Bank 04-Oct-23 USD (20,434) 210,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 3.668% Deutsche Bank 04-Oct-43 USD (41,982) 210,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 3.68655% Deutsche Bank 04-Oct-43 USD (42,797) 1,280,000 Receiving floating rate EURIBOR 6M Paying fixed rate 2.701% HSBC Bank 14-Jun-16 EUR (57,604) 430,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 2.765% HSBC Bank 07-Oct-23 USD (19,373) 210,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 3.675% HSBC Bank 07-Oct-43 USD (42,294) 330,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 3.5575% JPMorgan Chase Bank 04-Mar-21 USD (31,272) 830,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 4.215% JPMorgan Chase Bank 11-Jan-41 USD (246,388) 1,010,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 4.3494% JPMorgan Chase Bank 25-Feb-41 USD (327,209) 760,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 4.3201% JPMorgan Chase Bank 28-Feb-41 USD (243,253) 250,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 4.299% JPMorgan Chase Bank 01-Mar-41 USD (78,578)

(1,527,628)



23,500,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 2.775% Deutsche Bank 04-Oct-23 USD (1,078,494) 23,500,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 2.795% Deutsche Bank 04-Oct-23 USD (1,116,762) 11,430,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 3.668% Deutsche Bank 04-Oct-43 USD (2,285,020) 11,430,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 3.68655% Deutsche Bank 04-Oct-43 USD (2,329,393) 23,500,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 2.765% HSBC Bank 07-Oct-23 USD (1,058,742) 11,430,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 3.675% HSBC Bank 07-Oct-43 USD (2,301,983) 151,580,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 3.391% JPMorgan Chase Bank 04-May-21 USD (12,994,327)

(23,164,721)

Templeton Constrained Bond Fund


250,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate .9255% Citigroup 17-Oct-17 USD 2,004 214,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 2.695% Citigroup 09-May-24 USD (8,135) 50,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 2.7305% Citigroup 07-Jul-24 USD (2,040) 102,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 3.3875% Citigroup 09-May-44 USD (14,542)

(22,713)

Note 7 — Open positions on interest rate swap contracts (continued)As at December 31, 2014, the Company had entered into the following outstanding contracts:




Templeton Emerging Markets Balanced Fund


1,430,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate .9255% Citigroup 17-Oct-17 USD 11,464 340,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 3.018% JPMorgan Chase Bank 22-Aug-23 USD (22,000) 200,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 3.848% JPMorgan Chase Bank 22-Aug-43 USD (49,748)

(60,284)

Templeton Emerging Markets Bond Fund


346,560,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate .9255% Citigroup 17-Oct-17 USD 2,778,181 62,460,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 3.44% Citigroup 21-Apr-21 USD (5,528,049) 10,460,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 2.775% Deutsche Bank 04-Oct-23 USD (480,045) 10,460,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 2.795% Deutsche Bank 04-Oct-23 USD (497,078) 5,090,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 3.668% Deutsche Bank 04-Oct-43 USD (1,017,563) 5,090,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 3.68655% Deutsche Bank 04-Oct-43 USD (1,037,324) 76,860,000 Receiving floating rate EURIBOR 6M Paying fixed rate 2.701% HSBC Bank 14-Jun-16 EUR (3,458,934) 9,230,000 Receiving floating rate EURIBOR 6M Paying fixed rate 3.276% HSBC Bank 09-May-18 EUR (1,133,500) 10,460,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 2.765% HSBC Bank 07-Oct-23 USD (471,253) 5,090,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 3.675% HSBC Bank 07-Oct-43 USD (1,025,117) 53,310,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 3.391% JPMorgan Chase Bank 04-May-21 USD (4,570,046)

(16,440,728)



1,954,080,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate .9255% Citigroup 17-Oct-17 USD 15,664,783 367,690,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 2.7305% Citigroup 07-Jul-24 USD (15,000,356) 34,400,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 4.3675% Citigroup 20-Dec-40 USD (11,224,847) 186,490,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 4.34675% Citigroup 25-Feb-41 USD (60,320,077) 365,200,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 3.523% Deutsche Bank 28-Mar-21 USD (34,037,628) 264,590,000 Receiving floating rate EURIBOR 6M Paying fixed rate 2.701% HSBC Bank 14-Jun-16 EUR (11,907,354) 94,430,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 3.5575% JPMorgan Chase Bank 04-Mar-21 USD (8,948,511) 263,000,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 3.9625% JPMorgan Chase Bank 23-Nov-40 USD (64,895,280) 31,200,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 4.153% JPMorgan Chase Bank 10-Dec-40 USD (8,867,167) 194,540,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 4.215% JPMorgan Chase Bank 11-Jan-41 USD (57,749,876) 186,490,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 4.3494% JPMorgan Chase Bank 25-Feb-41 USD (60,417,086) 139,860,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 4.3201% JPMorgan Chase Bank 28-Feb-41 USD (44,765,034) 46,620,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 4.299% JPMorgan Chase Bank 01-Mar-41 USD (14,653,206)

(377,121,639)





Templeton Global Bond (Euro) Fund

Notional Description Counterparty Maturity Trading Unrealised amount date currency profit/(loss) EUR

42,260,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 3.018% JPMorgan Chase Bank 22-Aug-23 USD (2,259,890) 24,150,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 3.848% JPMorgan Chase Bank 22-Aug-43 USD (4,964,498)

(7,224,388)

Templeton Global High Yield Fund


13,390,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate .9255% Citigroup 17-Oct-17 USD 107,340 1,330,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 3.44% Citigroup 21-Apr-21 USD (117,712)

(10,372)

Templeton Global Income Fund


29,560,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate .9255% Citigroup 17-Oct-24 USD 236,966 22,820,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 2.7305% Citigroup 07-Jul-24 USD (930,969) 1,430,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 3.018% JPMorgan Chase Bank 22-Aug-23 USD (92,529) 820,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 3.848% JPMorgan Chase Bank 22-Aug-43 USD (203,966)

(990,498)

Templeton Global Total Return Fund


1,766,150,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate .9255% Citigroup 17-Oct-17 USD 14,158,252 225,640,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 3.44% Citigroup 21-Apr-21 USD (19,970,363) 840,860,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 2.7305% Citigroup 07-Jul-24 USD (34,303,895) 45,640,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 4.34675% Citigroup 25-Feb-41 USD (14,762,230) 88,240,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 3.523% Deutsche Bank 28-Mar-21 USD (8,224,207) 482,230,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 2.775% Deutsche Bank 04-Oct-23 USD (22,131,165) 482,230,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 2.795% Deutsche Bank 04-Oct-23 USD (22,916,433) 234,540,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 3.668% Deutsche Bank 04-Oct-43 USD (46,887,883) 234,540,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 3.68655% Deutsche Bank 04-Oct-43 USD (47,798,400) 249,610,000 Receiving floating rate EURIBOR 6M Paying fixed rate 2.701% HSBC Bank 14-Jun-16 EUR (11,233,209) 84,580,000 Receiving floating rate EURIBOR 6M Paying fixed rate 3.276% HSBC Bank 09-May-18 EUR (10,386,940) 482,230,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 2.765% HSBC Bank 07-Oct-23 USD (21,725,844) 234,540,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 3.675% HSBC Bank 07-Oct-43 USD (47,235,963) 403,420,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 1.8115% JPMorgan Chase Bank 14-Jun-16 USD (7,096,718) 156,000,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 3.391% JPMorgan Chase Bank 04-May-21 USD (13,373,235) 83,070,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 3.0755% JPMorgan Chase Bank 14-Jun-21 USD (5,552,836)






Templeton Global Total Return Fund (continued)


45,640,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 4.3494% JPMorgan Chase Bank 25-Feb-41 USD (14,785,971) 34,230,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 4.3201% JPMorgan Chase Bank 28-Feb-41 USD (10,956,007) 11,410,000 Receiving floating rate USD-LIBOR 3M Paying fixed rate 4.299% JPMorgan Chase Bank 01-Mar-41 USD (3,586,295)

(348,769,342)

Note 8 — Open positions on inflation swap contractsAs at December 31, 2014, the Company had entered into the following outstanding contracts:



40,900,000 Receiving floating rate CDI Paying floating rate IPCA BM&F BOVESPA SA 15-Jan-15 BRL 157,799 33,700,000 Receiving floating rate CDI Paying floating rate IPCA BM&F BOVESPA SA 15-Jan-15 BRL 125,736 20,800,000 Receiving floating rate CDI Paying floating rate IPCA BM&F BOVESPA SA 15-Jan-15 BRL 71,566 20,670,000 Receiving floating rate CDI Paying floating rate IPCA BM&F BOVESPA SA 15-Jan-15 BRL 68,518 17,600,000 Receiving floating rate IPCA Paying floating rate CDI BM&F BOVESPA SA 15-May-15 BRL 9,767 12,973,000 Receiving floating rate CDI Paying floating rate IPCA BM&F BOVESPA SA 15-May-15 BRL 3,168 10,000,000 Receiving floating rate CDI Paying floating rate IPCA BM&F BOVESPA SA 15-May-15 BRL 51,648 10,000,000 Receiving floating rate IPCA Paying floating rate CDI BM&F BOVESPA SA 15-May-15 BRL 24,326 7,784,000 Receiving floating rate CDI Paying floating rate IPCA BM&F BOVESPA SA 15-May-15 BRL (1,444) 7,000,000 Receiving floating rate CDI Paying floating rate IPCA BM&F BOVESPA SA 17-Aug-20 BRL 370,403 7,000,000 Receiving floating rate IPCA Paying floating rate CDI BM&F BOVESPA SA 17-Aug-20 BRL (454,831) 6,040,000 Receiving floating rate CDI Paying floating rate IPCA BM&F BOVESPA SA 15-Aug-22 BRL 376,164 6,040,000 Receiving floating rate IPCA Paying floating rate CDI BM&F BOVESPA SA 15-Aug-22 BRL (382,896) 5,000,000 Receiving floating rate CDI Paying floating rate IPCA BM&F BOVESPA SA 15-Dec-27 BRL 654,649 5,000,000 Receiving floating rate IPCA Paying floating rate CDI BM&F BOVESPA SA 15-Dec-27 BRL (483,314)

591,259

Note 9 — Open positions on cross currency swap contractsAs at December 31, 2014, the Company had no open cross currency swap contracts.

Note 10 — Open positions on total return swap contractsAs at December 31, 2014 the Company had entered into the following outstanding contracts:


Trading Notional Fund receives Fund pays Counterparty Maturity Unrealised currency amount date profit/(loss) USD

EUR 13,784 EUR-LIBOR 1M+0.4% Performance of Chemical Works of Gedeon Deutsche Bank 17-Sep-15 1,536 EUR 61,317 EUR-LIBOR 1M+0.4% Performance of Deutsche Wohnen AG Deutsche Bank 17-Sep-15 (1,509)EUR 260,933 EUR-LIBOR 1M+0.4% Performance of Drillisch AG Deutsche Bank 17-Sep-15 (9,892)






EUR 142,435 EUR-LIBOR 1M+0.4% Performance of International Deutsche Bank 8-Dec-15 (7,712)EUR 639,628 EUR-LIBOR 1M+0.4% Performance of Marine Harvest ASA Deutsche Bank 17-Sep-15 (18,232)EUR 213,134 EUR-LIBOR 1M+1.5% Performance of Grand City Properties SA Deutsche Bank 17-Sep-15 10,389 EUR 174,497 EUR-LIBOR 1M+1.5% Performance of KUKA AG Deutsche Bank 17-Sep-15 (5,980)HKD 84,930 HKD-LIBOR 1M+0.52% Performance of ASM Pacific Technology Deutsche Bank 19-Oct-15 926 HKD 161,152 HKD-LIBOR 1M+0.67% Performance of Fosun International Ltd. Deutsche Bank 19-Oct-15 650 JPY 169,638 JPY-LIBOR 1M+0.4% Performance of Alps Electric Co. Deutsche Bank 18-Nov-15 1,517 JPY 59,977 JPY-LIBOR 1M+0.4% Performance of Nagoya Railroad Co. Deutsche Bank 18-Nov-15 807 JPY 79,676 JPY-LIBOR 1M+0.4% Performance of Resorttrust Inc. Deutsche Bank 18-Nov-15 1,209 USD 73,238 Performance of AAR Corp 2.25% 03/16 USD-LIBOR 1M+0.5% Deutsche Bank 18-Sep-15 2,021 USD 53,219 Performance of Accuray Inc. - Aray 3 USD-LIBOR 1M+0.5% Deutsche Bank 18-Sep-15 63 USD 57,820 Performance of Acorda 1.75% 06/21 USD-LIBOR 1M+0.5% Deutsche Bank 18-Sep-15 3,439 USD 49,126 Performance of Activision Blizzard Inc. USD-LIBOR 1M+0.3% Deutsche Bank 15-Sep-15 279 CAD 14,559 Performance of Air Canada USD-LIBOR 1M+0.5% Deutsche Bank 18-Sep-15 3,763 USD 27,621 Performance of AK Steel Holding Corp. USD-LIBOR 1M+0.5% Deutsche Bank 18-Sep-15 (6,234)USD 39,800 Performance of Allscripts 1.25% 07/20 USD-LIBOR 1M+0.5% Deutsche Bank 18-Sep-15 (1,307)USD 54,129 Performance of Alon USA Energy 3% 09/18 USD-LIBOR 1M+0.5% Deutsche Bank 18-Sep-15 (6,593)USD 29,873 Performance of Alpha 4.875% 12/20 USD-LIBOR 1M+0.5% Deutsche Bank 18-Sep-15 (23,100)JPY 220,062 Performance of Alps Electric Zero 03/19 JPY-LIBOR 1M+0.85% Deutsche Bank 17-Nov-15 (6,519)USD 58,117 Performance of Amazon.com Inc. USD-LIBOR 1M+0.3% Deutsche Bank 15-Sep-15 766 USD 50,770 Performance of American 3.25% 11/18 USD-LIBOR 1M+0.5% Deutsche Bank 18-Sep-15 (2,433)USD 50,560 Performance of Apollo 5.5% 03/19 USD-LIBOR 1M+0.5% Deutsche Bank 18-Sep-15 54 GBP 11,074 Performance of ARM Holdings PLC GBP-LIBOR 1M+0.6% Deutsche Bank 15-Sep-15 1,662 USD 80,305 Performance of Ascent Capital 4% 07/20 USD-LIBOR 1M+0.5% Deutsche Bank 18-Sep-15 1,435 HKD 267,947 Performance of ASM Pacific 2% 03/19 HKD-LIBOR 1M+1.0% Deutsche Bank 19-Oct-15 (2,067)USD 10,703 Performance of Benefitfocus Inc. USD-LIBOR 1M+0.3% Deutsche Bank 15-Sep-15 3,661 USD 165,684 Performance of BW Group Ltd. 1.75% 09/19 USD-LIBOR 1M+0.75% Deutsche Bank 18-Sep-15 2,052 USD 52,733 Performance of Campus Crest 4.75% 10/18 USD-LIBOR 1M+0.5% Deutsche Bank 18-Sep-15 (1,171)USD 59,880 Performance of Cardtronics Inc. USD-LIBOR 1M+0.3% Deutsche Bank 15-Sep-15 3,131 USD 398,547 Performance of CB Nvidia 1% 12/18 USD-LIBOR 1M+0.5% Deutsche Bank 18-Sep-15 10,818 USD 54,998 Performance of CBIZ Inc. USD-LIBOR 1M+0.5% Deutsche Bank 18-Sep-15 (1,193)USD 56,124 Performance of Chiquita Brands USD-LIBOR 1M+0.5% Deutsche Bank 18-Sep-15 561 USD 70,802 Performance of Cisco Systems Inc. USD-LIBOR 1M+0.3% Deutsche Bank 15-Sep-15 2,314 USD 54,184 Performance of Colony Financial 5% 04/23 USD-LIBOR 1M+0.5% Deutsche Bank 18-Sep-15 676 USD 11,421 Performance of Cott Corp. USD-LIBOR 1M+0.5% Deutsche Bank 18-Sep-15 (298)USD 81,724 Performance of Depomed Inc. 2.5% 09/21 USD-LIBOR 1M+0.5% Deutsche Bank 18-Sep-15 2,135 EUR 144,442 Performance of Deutsche 0.5% 11/20 EUR-LIBOR 1M+0.75% Deutsche Bank 17-Sep-15 (31)EUR 343,754 Performance of Drillisch AG 0.75% 12/18 EUR-LIBOR 1M+0.75% Deutsche Bank 17-Sep-15 7,184 CAD 51,665 Performance of Element 5.125% 06/19 CADON_CDOR+0.50% Deutsche Bank 18-Sep-15 (3,940)USD 51,295 Performance of EVERTEC Inc. USD-LIBOR 1M+0.3% Deutsche Bank 15-Sep-15 1,344 USD 15,013 Performance of Fleetmatics Group PLC USD-LIBOR 1M+0.3% Deutsche Bank 15-Sep-15 (518)USD 64,722 Performance of Forest City 3.625% 08/20 USD-LIBOR 1M+0.5% Deutsche Bank 18-Sep-15 2,097 USD 73,308 Performance of FXCM Inc. Sr 2.25% 06/18 USD-LIBOR 1M+0.5% Deutsche Bank 18-Sep-15 333 USD 8,556 Performance of Genpact Ltd. USD-LIBOR 1M+0.3% Deutsche Bank 15-Sep-15 535 USD 59,521 Performance of GPT Property 3.75% 03/19 USD-LIBOR 1M+0.5% Deutsche Bank 18-Sep-15 5,655

Note 10 — Open positions on total return swap contracts (continued)As at December 31, 2014 the Company had entered into the following outstanding contracts:






EUR 325,648 Performance of Grand City 1.5% 02/19 EUR-LIBOR 1M+0.75% Deutsche Bank 19-Oct-15 (15,166)USD 65,568 Performance of Griffon Corp. 4% 01/17 USD-LIBOR 1M+0.5% Deutsche Bank 18-Sep-15 2,637 USD 329,250 Performance of Health Care REIT Inc 6.5% USD-LIBOR 1M+0.75% Deutsche Bank 15-Oct-15 (2,398)USD 7,997 Performance of Heartland Payment Systems Inc. USD-LIBOR 1M+0.3% Deutsche Bank 15-Sep-15 295 USD 47,068 Performance of Hewlett-Packard Co. USD-LIBOR 1M+0.3% Deutsche Bank 15-Sep-15 3,325 USD 8,895 Performance of IMS Health Holdings Inc. USD-LIBOR 1M+0.3% Deutsche Bank 15-Sep-15 98 SGD 199,109 Performance of Indah Capital Zero 10/18 SGD-LIBOR 1M+1.0% Deutsche Bank 23-Nov-15 (974)USD 64,880 Performance of Insulet Corp 2% 06/19 USD-LIBOR 1M+0.5% Deutsche Bank 18-Sep-15 5,770 USD 53,442 Performance of Integra 1.625% 12/16 USD-LIBOR 1M+0.5% Deutsche Bank 18-Sep-15 (964)USD 46,115 Performance of Intel Corp 2.95% USD-LIBOR 1M+0.5% Deutsche Bank 18-Sep-15 2,987 USD 35,749 Performance of Intel Corp. USD-LIBOR 1M+0.3% Deutsche Bank 15-Sep-15 377 EUR 184,296 Performance of International 1.75% 05/18 EUR-LIBOR 1M+0.75% Deutsche Bank 20-Oct-15 5,312 USD 76,597 Performance of Istar 1.5% 11/16 USD-LIBOR 1M+0.5% Deutsche Bank 18-Sep-15 (1,011)USD 315,729 Performance of Jarden Corp. 1.875% 09/18 USD-LIBOR 1M+0.75% Deutsche Bank 15-Oct-15 12,762 EUR 199,249 Performance of KUKA AG Medium 2% 02/18 EUR-LIBOR 1M+0.75% Deutsche Bank 17-Sep-15 4,520 USD 106,526 Performance of Lam Research 1.25% 05/18 USD-LIBOR 1M+0.5% Deutsche Bank 18-Sep-15 6,923 HKD 296,693 Performance of Logo Star Ltd. 1.5% 11/18 HKD-LIBOR 1M+1.0% Deutsche Bank 19-Oct-15 (910)EUR 122,809 Performance of Magyar 3.375% 04/19 EUR-LIBOR 1M+0.75% Deutsche Bank 19-Oct-15 (5,891)EUR 827,519 Performance of Marine 2.375% 05/18 EUR-LIBOR 1M+0.75% Deutsche Bank 17-Sep-15 15,650 USD 361,144 Performance of Mercadolibre 2.25% 07/19 USD-LIBOR 1M+0.75% Deutsche Bank 15-Oct-15 (12,389)USD 49,480 Performance of Microsoft Corp. USD-LIBOR 1M+0.3% Deutsche Bank 15-Sep-15 (244)USD 280,038 Performance of Molina 1.125% 01/20 USD-LIBOR 1M+0.75% Deutsche Bank 15-Oct-15 14,538 JPY 101,057 Performance of Nagoya Zero 10/23 JPY-LIBOR 1M+0.85% Deutsche Bank 17-Nov-15 (2,833)USD 76,995 Performance of New Mountain 5% 06/19 USD-LIBOR 1M+0.5% Deutsche Bank 18-Sep-15 (846)USD 13,070 Performance of Nimble Storage Inc. USD-LIBOR 1M+0.3% Deutsche Bank 15-Sep-15 (34)USD 214,283 Performance of Olam 6% 2016-10-15 USD-LIBOR 1M+1.0% Deutsche Bank 19-Oct-15 999 USD 39,908 Performance of Peabody 4.75% 12/66 USD-LIBOR 1M+0.5% Deutsche Bank 18-Sep-15 (13,051)USD 41,900 Performance of Photronics 3.25% 04/16 USD-LIBOR 1M+0.5% Deutsche Bank 18-Sep-15 (1,023)USD 25,134 Performance of Post Holdings Inc. USD-FED EFF+0.50% Deutsche Bank 18-Sep-15 3,390 USD 100,252 Performance of Priceline Group 1% 03/18 USD-LIBOR 1M+0.5% Deutsche Bank 18-Sep-15 2,392 USD 242,576 Performance of Prospect 4.75% 04/20 USD-LIBOR 1M+0.5% Deutsche Bank 18-Sep-15 (2,082)USD 60,909 Performance of Redwood 4.625% 04/18 USD-LIBOR 1M+0.5% Deutsche Bank 18-Sep-15 (990)USD 47,499 Performance of Renewable 2.75% 06/19 USD-LIBOR 1M+0.5% Deutsche Bank 18-Sep-15 (318)JPY 108,532 Performance of Resorttrust Zero 07/18 JPY-LIBOR 1M+0.85% Deutsche Bank 17-Nov-15 (1,599)USD 19,650 Performance of Resource 6% 12/18 USD-LIBOR 1M+0.5% Deutsche Bank 18-Sep-15 (433)USD 16,567 Performance of Salesforce.com Inc. USD-LIBOR 1M+0.3% Deutsche Bank 15-Sep-15 1,218 USD 54,329 Performance of San Disk 0.5% 10/20 USD-LIBOR 1M+0.5% Deutsche Bank 18-Sep-15 4,374 USD 242,517 Performance of Scorpio 2.375% 07/19 USD-LIBOR 1M+0.75% Deutsche Bank 15-Oct-15 1,699 USD 92,156 Performance of Scorpio 2.375% 07/19 USD-LIBOR 1M+0.5% Deutsche Bank 18-Sep-15 2,740 USD 299,338 Performance of Ship Finance 3.75% 02/16 USD-LIBOR 1M+0.75% Deutsche Bank 18-Sep-15 (175)USD 8,417 Performance of SK Hynix Semiconductor Inc. USD-LIBOR 1M Deutsche Bank 15-Sep-15 17 USD 50,215 Performance of SK Hynix Semiconductor Inc. USD-LIBOR 1M+0.6% Deutsche Bank 15-Sep-15 94







USD 48,947 Performance of Solarcity 2.75% 11/18 USD-LIBOR 1M+0.5% Deutsche Bank 18-Sep-15 (2,207)USD 36,328 Performance of Solazyme Inc. 5% 10/19 USD-LIBOR 1M+0.5% Deutsche Bank 18-Sep-15 (32,307)USD 66,498 Performance of Spectrum 2.75% 12/18 USD-LIBOR 1M+0.5% Deutsche Bank 18-Sep-15 (6,301)USD 293,791 Performance of Spirit 2.875% 05/19 USD-LIBOR 1M+0.75% Deutsche Bank 15-Oct-15 4,083 USD 63,749 Performance of Starwood 3% 07/19 USD-LIBOR 1M+0.5% Deutsche Bank 18-Sep-15 659 USD 337,971 Performance of Starwood 4% 01/19 USD-LIBOR 1M+0.75% Deutsche Bank 15-Oct-15 3,681 USD 55,966 Performance of Stillwater 1.75% 10/32 USD-LIBOR 1M+0.5% Deutsche Bank 18-Sep-15 (573)USD 9,751 Performance of Sunedison 0.25% 01/20 USD-LIBOR 1M+0.5% Deutsche Bank 18-Sep-15 (485)USD 53,152 Performance of TTM 1.75% 12/20 USD-LIBOR 1M+0.5% Deutsche Bank 18-Sep-15 (288)USD 21,990 Performance of Universal Corp. USD-FED EFF+0.50% Deutsche Bank 18-Sep-15 1,288 USD 36,801 Performance of Violin 4.25% 10/19 USD-LIBOR 1M+0.5% Deutsche Bank 18-Sep-15 1,494 USD 54,548 Performance of Vishay 2.25% 05/41 USD-LIBOR 1M+0.5% Deutsche Bank 18-Sep-15 1,429 USD 106,875 Performance of Yamaguchi Zero 12/18 USD-LIBOR 1M+0.85% Deutsche Bank 18-Dec-15 1,966 SGD 71,311 SGD-LIBOR 1M+0.5% Performance of IHH Healthcare Berhad Deutsche Bank 24-Nov-15 (353)SGD 18,299 SGD-LIBOR 1M+6.0% Performance of Olam International Deutsche Bank 13-Oct-15 289 USD 40,666 USD-FED EFF+0.35% Performance of Acorda Therapeutics Inc. Deutsche Bank 18-Sep-15 (4,422)USD 144 USD-FED EFF-0.35% Performance of Alpha Natural Resources Deutsche Bank 18-Sep-15 67 USD 16,091 USD-FED EFF-0.35% Performance of Bunge Ltd. Deutsche Bank 18-Sep-15 (234)USD 9,870 USD-FED EFF-0.35% Performance of CBIZ Inc. Deutsche Bank 18-Sep-15 724 USD 6,296 USD-FED EFF-0.35% Performance of Akamai Technologies Deutsche Bank 18-Sep-15 (635)USD 39,963 USD-FED EFF-0.35% Performance of Electronic Arts Deutsche Bank 18-Sep-15 (6,506)USD 9,254 USD-FED EFF-0.35% Performance of Intel Corp. Deutsche Bank 18-Sep-15 (949)USD 244,188 USD-FED EFF-0.35% Performance of Jarden Corp. Deutsche Bank 15-Oct-15 (11,985)USD 31,419 USD-FED EFF-0.35% Performance of Lam Research Corp. Deutsche Bank 18-Sep-15 (2,436)USD 204,711 USD-FED EFF-0.35% Performance of Nvidia Deutsche Bank 18-Sep-15 (4,684)USD 20,742 USD-FED EFF-0.35% Performance of Red Hat Deutsche Bank 18-Sep-15 (103)USD 14,504 USD-FED EFF-0.35% Performance of Vishay International Deutsche Bank 18-Sep-15 173 USD 5,867 USD-FED EFF-0.35% Performance of Cobalt International Deutsche Bank 18-Sep-15 1,731 USD 42,240 USD-FED EFF-0.35% Performance of Cowen Group Inc. Deutsche Bank 18-Sep-15 (1,946)USD 689 USD-FED EFF-0.35% Performance of Delta Air Lines Inc. Deutsche Bank 18-Sep-15 (17)USD 34,556 USD-FED EFF-0.35% Performance of Depomed Inc. Deutsche Bank 18-Sep-15 (1,623)USD 15,180 USD-FED EFF-0.35% Performance of Gramercy Property Trust Deutsche Bank 18-Sep-15 (584)USD 18,620 USD-FED EFF-0.35% Performance of Griffon Corp. Deutsche Bank 18-Sep-15 (971)USD 282,249 USD-FED EFF-0.35% Performance of Health Care REIT Inc. Deutsche Bank 15-Oct-15 (1,977)USD 17,733 USD-FED EFF-0.35% Performance of Insulet Corp. Deutsche Bank 18-Sep-15 (2,030)USD 9,199 USD-FED EFF-0.35% Performance of Isis Pharmaceuticals Inc. Deutsche Bank 18-Sep-15 47 USD 4,031 USD-FED EFF-0.35% Performance of Lexicon Pharmaceuticals Deutsche Bank 18-Sep-15 (205)USD 217,039 USD-FED EFF-0.35% Performance of Mercadolibre Inc. Deutsche Bank 15-Oct-15 11,237 USD 208,767 USD-FED EFF-0.35% Performance of Molina Healthcare Inc. Deutsche Bank 15-Oct-15 (11,037)USD 24,177 USD-FED EFF-0.35% Performance of Prospect Capital Corp. Deutsche Bank 15-Oct-15 (263)USD 24,999 USD-FED EFF-0.35% Performance of Ramco-Gershenson Deutsche Bank 18-Sep-15 (2,975)USD 100,804 USD-FED EFF-0.35% Performance of Scorpio Tankers Inc. Deutsche Bank 15-Oct-15 (3,480)







USD 76,516 USD-FED EFF-0.35% Performance of Ship Finance International Ltd. Deutsche Bank 15-Oct-15 (1,897)USD 122,467 USD-FED EFF-0.35% Performance of Spirit Realty Capital Deutsche Bank 15-Oct-15 (3,261)USD 224,266 USD-FED EFF-0.35% Performance of Starwood Property Trust Deutsche Bank 15-Oct-15 869 USD 11,866 USD-FED EFF-0.35% Performance of Stillwater Mining Co. Deutsche Bank 18-Sep-15 (565)USD 4,381 USD-FED EFF-0.35% Performance of Tivo Inc. Deutsche Bank 18-Sep-15 266 USD 5,753 USD-FED EFF-0.35% Performance of TTM Technologies Inc. Deutsche Bank 18-Sep-15 (394)USD 67,656 USD-FED EFF-0.35% Performance of United 2.25% 11/24 Deutsche Bank 18-Sep-15 (1,209)USD 255,028 USD-FED EFF-0.35% Performance of United States 1.5% 10/19 Deutsche Bank 18-Sep-15 (317)USD 17,555 USD-FED EFF-0.35% Performance of Violin Memory Inc. Deutsche Bank 18-Sep-15 (1,906)USD 6,504 USD-FED EFF-26.00% Performance of Invensense Inc. Deutsche Bank 18-Sep-15 (325)USD 40,757 USD-LIBOR 1M+0.4% Performance of BW LPG Deutsche Bank 17-Sep-15 (3,274)USD 51,970 USD-LIBOR 1M+0.4% Performance of Yamaguchi Financial Group Deutsche Bank 18-Nov-15 (2,408)USD 5,100 USD-LIBOR 1M+0.5% Performance of Rex Energy Corp. Deutsche Bank 18-Sep-15 298 USD 33,044 USD-LIBOR 1M-0.25% Performance of S&P Smallcap 600 Growth Index Deutsche Bank 18-Sep-15 (1,434)USD 36,911 USD-LIBOR 1M-0.25% Performance of Russell Midcap Growth Index Total Return Deutsche Bank 18-Sep-15 (1,099)USD 4,257 USD-LIBOR 1M-0.3% Performance of S&P Smallcap 600 Growth Index Deutsche Bank 18-Sep-15 (240)USD 19,996 USD-LIBOR 1M-0.3% Performance of S&P Smallcap 600 Growth Index Deutsche Bank 18-Sep-15 (1,092)USD 16,529 USD-LIBOR 1M-0.6% Performance of MSCI Daily TR Net Emerging Markets Taiwan USD Deutsche Bank 18-Sep-15 (405)USD 84,332 USD-LIBOR 1M-1.5% Performance of MSCI Finland IMI 25-50 Net Return Index Deutsche Bank 18-Sep-15 (1,507)USD 264,103 Performance of Actavis Inc. USD-LIBOR 1M+2.43% JPMorgan Chase Bank 28-Jan-16 (5,330)USD 329,515 Performance of Allergan Inc. USD-LIBOR 1M+2.91% JPMorgan Chase Bank 22-Oct-15 (2,015)USD 84,105 Performance of Baker Hughes Inc. USD-LIBOR 1M+0.74% JPMorgan Chase Bank 24-Dec-15 (752)GBP 28,874 Performance of Bba Aviation PLC GBP-LIBOR 1M+0.48% JPMorgan Chase Bank 18-Nov-15 1,727 USD 83,076 Performance of Carefusion Corp. USD-LIBOR 1M+0.73% JPMorgan Chase Bank 13-Nov-15 238 USD 299,476 Performance of Covidien PLC USD-LIBOR 1M+2.59% JPMorgan Chase Bank 21-Oct-15 3,748 USD 348,881 Performance of DirectTV USD-LIBOR 1M+3.09% JPMorgan Chase Bank 5-Nov-15 (4,064)USD 195,591 Performance of Dominos Pizza Inc. USD-LIBOR 1M+1.76% JPMorgan Chase Bank 20-Nov-15 353 USD 222,285 Performance of Fedex Corp. USD-LIBOR 1M+2.03% JPMorgan Chase Bank 22-Jan-16 (2,912)USD 2,613 Performance of Hubspot Inc. USD-LIBOR 1M JPMorgan Chase Bank 15-Sep-15 43 USD 134,414 Performance of Liberty Media Corp. USD-LIBOR 1M+1.21% JPMorgan Chase Bank 3-Dec-15 (1,498)USD 235,156 Performance of Liberty Media Corp. USD-LIBOR 1M+2.11% JPMorgan Chase Bank 3-Dec-15 (4,047)USD 184,976 Performance of Medtronic USD-LIBOR 1M+1.66% JPMorgan Chase Bank 20-Nov-15 538 USD 3,930 Performance of Microsoft Corp. USD-LIBOR 1M JPMorgan Chase Bank 15-Sep-15 (121)USD 42,089 Performance of Radware Ltd. USD-LIBOR 1M+0.4% JPMorgan Chase Bank 15-Sep-15 (611)USD 395,356 Performance of Time Warner Cable Inc. USD-LIBOR 1M+3.4% JPMorgan Chase Bank 22-Oct-15 7,228 USD 97,163 Performance of United Parcel Service USD-LIBOR 1M+0.87% JPMorgan Chase Bank 3-Dec-15 367 USD 2,608 Performance of Verisk Analytics Inc., A USD-LIBOR 1M JPMorgan Chase Bank 15-Sep-15 (46)USD 182,163 Performance of Walt Disney Co. USD-LIBOR 1M+1.58% JPMorgan Chase Bank 20-Nov-15 6,363 USD 41,906 USD-LIBOR 1M+0.05% Performance of MSCI Korea 25-50 Net USD Index JPMorgan Chase Bank 18-Sep-15 68 USD 300,000 USD-LIBOR 1M+0.1117% Performance of IBoxx High Yield index JPMorgan Chase Bank 20-Mar-15 (200)USD 15,168 USD-LIBOR 1M+0.13% Performance of Becton Dickinson JPMorgan Chase Bank 13-Nov-15 128 USD 17,830 USD-LIBOR 1M+0.17% Performance of Pandora Media Inc. JPMorgan Chase Bank 3-Dec-15 1,830 USD 314,202 USD-LIBOR 1M+0.17% Performance of S&P United States Index JPMorgan Chase Bank 18-Sep-15 (11,225)USD 33,763 USD-LIBOR 1M+0.17% Performance of S&P United States Index JPMorgan Chase Bank 18-Sep-15 (1,161)







USD 34,370 USD-LIBOR 1M+0.23% Performance of DB Hybrid Basket 01 JPMorgan Chase Bank 18-Sep-15 (1,077)USD 53,152 USD-LIBOR 1M+0.47% Performance of Charter Communications JPMorgan Chase Bank 3-Dec-15 983 USD 66,074 USD-LIBOR 1M+0.61% Performance of Halliburton Co. JPMorgan Chase Bank 24-Dec-15 3,520 USD 103,356 USD-LIBOR 1M+0.95% Performance of AT&T Inc. JPMorgan Chase Bank 5-Nov-15 5,508 USD 146,724 USD-LIBOR 1M+1.35% Performance of Actavis Inc. JPMorgan Chase Bank 22-Dec-15 7,524 USD 202,088 USD-LIBOR 1M+1.81% Performance of Medtronic JPMorgan Chase Bank 21-Oct-15 4,674 USD 331,412 USD-LIBOR 1M+2.97% Performance of Sirius XM Radio Inc. JPMorgan Chase Bank 3-Dec-15 3,937 USD 3,139,823 USD-LIBOR 1M+27.31% Performance of S&P 500 Index JPMorgan Chase Bank 20-Nov-15 (105,637)USD 415,410 USD-LIBOR 1M+3.58% Performance of Comcast Corp. JPMorgan Chase Bank 22-Oct-15 (6,946)USD 68,323 USD-LIBOR 1M-0.25% Performance of NASDAQ Internet Total Return Index JPMorgan Chase Bank 18-Sep-15 (1,671)USD 343,992 USD-LIBOR 1M-0.25% Performance of S&P SmallCap 600 Total Return Index JPMorgan Chase Bank 18-Sep-15 (19,528)USD 62,988 USD-LIBOR 1M-0.3% Performance of Dow Jones UK Consumer Goods Total Return Index JPMorgan Chase Bank 18-Sep-15 (1,596)USD 117,711 USD-LIBOR 1M-0.3% Performance of S&P Retail Sector Industry Index (TR) JPMorgan Chase Bank 18-Sep-15 (4,889)USD 52,169 USD-LIBOR 1M-0.3% Performance of S&P Transportation Select Industry Index (TR) JPMorgan Chase Bank 18-Sep-15 (2,322)USD 33,570 USD-LIBOR 1M-0.45% Performance of MSCI Daily TR Net Emerging Markets Taiwan USD JPMorgan Chase Bank 18-Sep-15 (803)USD 20,845 USD-LIBOR 1M-0.75% Performance of MSCI Daily TR Net Sweden USD JPMorgan Chase Bank 18-Sep-15 (288)USD 301,764 USD-LIBOR 1M-0.8% Performance of Russell 2000 Total Return Growth Index JPMorgan Chase Bank 18-Sep-15 (17,240)USD 263,817 USD-LIBOR 1M-0.8% Performance of Russell 2000 Total Return Index JPMorgan Chase Bank 18-Sep-15 (15,212)USD 12,524 USD-LIBOR 1M-0.8% Performance of Russell Midcap Growth Index Total Return JPMorgan Chase Bank 18-Sep-15 (475)CAD 59,621 DISC-1D-0.37% Performance of Bombardier Inc. Morgan Stanley 21-Nov-16 3,322 EUR 24,522 EUR-EONIA-0.88% Performance of Numericable SAS Morgan Stanley 23-Sep-16 (2,514)USD 19,657 Federal Funds H15 index 1D-1% Performance of MSCI Daily TR Net Emerging Markets Taiwan USD Morgan Stanley 18-Sep-15 (492)GBP 6,157 GBP-SONIA-0.63% Performance of Ishares PLC Morgan Stanley 26-Sep-16 161 MXN 30,154 MXNIB-1D-0.50% Performance of America Movil Sab De CV Morgan Stanley 14-Nov-16 1,797 NOK 37,467 NOK-NIBOR 1W-9.00% Performance of Norwegian Air Shutle ASA Morgan Stanley 13-Oct-16 (2,302)USD 31,558 Performance of Acceleron Pharma Inc. USD-LIBOR 1D+0.50% Morgan Stanley 16-Oct-15 1,426 USD 91,825 Performance of Accenture PLC, A USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 8,487 USD 4,726 Performance of Activision Blizzard Inc. USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 31 USD 4,265 Performance of Adobe Systems Inc. USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 168 GBP 33,370 Performance of Advanced Computer GBP-SONIA+0.65% Morgan Stanley 26-Sep-16 (159)USD 53,230 Performance of Akamai Technologies Inc. USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 2,243 USD 4,716 Performance of Alibaba Group Holding Ltd., ADR USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 (40)USD 55,386 Performance of Alliance Data Systems Corp. USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 859 EUR 120,550 Performance of Alstom EUR-EONIA+0.65% Morgan Stanley 23-Sep-16 (9,236)USD 4,623 Performance of Amazon.com Inc. USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 32 USD 150,884 Performance of Apple Inc. USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 1,629 USD 42,654 Performance of Applied Materials Inc. USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 1,569







GBP 10,601 Performance of ARM Holdings PLC GBP-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 1,447 USD 14,838 Performance of Atento SA USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 (587)USD 98,473 Performance of Automatic Data Processing Inc. USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 614 USD 6,884 Performance of Baidu.com, ADR USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 (47)USD 5,119 Performance of Bankrate Inc. USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 461 USD 17,974 Performance of Benefitfocus Inc. USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 7,077 USD 54,573 Performance of Bluebird Bio Inc. USD-LIBOR 1D+0.50% Morgan Stanley 16-Oct-15 4,035 EUR 1,825 Performance of Bollore SA EUR-EONIA+0.65% Morgan Stanley 23-Sep-16 (156)USD 11,573 Performance of Cardtronics Inc. USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 307 USD 14,642 Performance of CDK Global LLC USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 633 USD 109,303 Performance of Charter Communications USD-LIBOR 1D+0.50% Morgan Stanley 16-Oct-15 9,898 USD 42,053 Performance of Ciena Corp. USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 565 USD 69,325 Performance of Cognizant Technology Solutions Corp., A USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 3,162 USD 7,787 Performance of CoStar Group Inc. USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 658 GBP 12,634 Performance of Cranswick PLC GBP-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 351 USD 39,295 Performance of Crown Holdings Inc. USD-LIBOR 1D+0.50% Morgan Stanley 16-Oct-15 3,498 USD 12,968 Performance of DISH Network Corp., A USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 659 USD 56,395 Performance of eBay Inc. USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 737 USD 31,343 Performance of Echostar Communication USD-LIBOR 1D+0.50% Morgan Stanley 16-Oct-15 (639)EUR 5,117 Performance of Edenred EURIBOR 1M+0.5% Morgan Stanley 15-Sep-15 (221)USD 6,809 Performance of EPAM Systems Inc. USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 (507)USD 102,897 Performance of Equifax Inc. USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 1,359 USD 47,387 Performance of Equinix Inc. USD-LIBOR 1D+0.50% Morgan Stanley 16-Oct-15 1,841 USD 4,825 Performance of EVERTEC Inc. USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 (47)USD 118,473 Performance of Exlservice Holdings Inc. USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 8,487 USD 6,393 Performance of Expedia Inc. USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 (164)GBP 42,254 Performance of Experian PLC GBP-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 5,395 USD 38,018 Performance of Fleetmatics Group PLC USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 (2,112)USD 47,050 Performance of FMC Corp. USD-LIBOR 1D+0.50% Morgan Stanley 16-Oct-15 400 USD 18,901 Performance of Forrester Research Inc. USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 (524)USD 14,283 Performance of Freescale Semiconductor Ltd. USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 848 USD 86,819 Performance of Genpact Ltd. USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 4,904 USD 58,182 Performance of Global Payments Inc. USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 1,596 USD 63,593 Performance of Google Inc., C USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 1,216 USD 20,664 Performance of GoPro Inc., A USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 2,028 GBP 7,830 Performance of Greencore Group PLC GBP-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 235 USD 13,097 Performance of Halliburton Co. USD-LIBOR 1D+0.50% Morgan Stanley 16-Oct-15 (18)USD 1,248 Performance of HCA Holdings InC. USD-LIBOR 1D+0.50% Morgan Stanley 16-Oct-15 4 USD 97,133 Performance of Heartland Payment Systems Inc. USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 3,762 USD 65,143 Performance of Hertz Global Holdings Inc. USD-LIBOR 1D+0.50% Morgan Stanley 16-Oct-15 3,175 USD 102,601 Performance of Huron Consulting Group Inc. USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 4,298 USD 40,021 Performance of IMAX Corp. USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 1,683 USD 3,833 Performance of IMS Health Holdings Inc. USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 13 GBP 115,937 Performance of Inmarsat Ord. GBP-SONIA+0.65% Morgan Stanley 26-Sep-16 326 USD 65,011 Performance of Intuit Inc. USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 (406)EUR 81,125 Performance of Irish Continental Group PLC EURIBOR 1M+0.5% Morgan Stanley 15-Sep-15 9,274 USD 18,506 Performance of iRobot Corp. USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 761 USD 17,191 Performance of Jack In The Box Inc. USD-LIBOR 1D+0.50% Morgan Stanley 16-Oct-15 1,834 EUR 191,315 Performance of Jazztel EUR-EONIA+0.65% Morgan Stanley 23-Sep-16 (4,545)GBP 11,537 Performance of Just Eat PLC GBP-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 835 USD 61,517 Performance of Korean Air Lines Co. USD-FED EFF+1.30% Morgan Stanley 9-Dec-16 (725)USD 10,864 Performance of Level 3 Communication USD-LIBOR 1D+0.50% Morgan Stanley 16-Oct-15 677 USD 36,053 Performance of Level 3 Communications Inc. USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 1,598 USD 76 Performance of Liberty Broadband Corp. USD-LIBOR 1D Morgan Stanley 16-Oct-15 76 USD 2,054 Performance of Liberty Broadband Corp. USD-LIBOR 1D+0.50% Morgan Stanley 16-Oct-15 260 USD 66,500 Performance of Liberty Ventures USD-LIBOR 1D+0.50% Morgan Stanley 16-Oct-15 10,079







USD 8,380 Performance of Life Time Fitness Inc. USD-LIBOR 1D+0.50% Morgan Stanley 16-Oct-15 801 USD 20,697 Performance of Madison Square Garden USD-LIBOR 1D+0.50% Morgan Stanley 16-Oct-15 323 USD 72,187 Performance of ManpowerGroup USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 3,382 USD 21,211 Performance of Marathon Petroleum Corp. USD-LIBOR 1D+0.50% Morgan Stanley 16-Oct-15 1,259 USD 3,835 Performance of Marketo Inc. USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 385 USD 19,477 Performance of Markit Ltd. USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 738 USD 43,307 Performance of Micron Technology Inc. USD-LIBOR 1D+0.50% Morgan Stanley 16-Oct-15 2,121 USD 43,552 Performance of Micron Technology Inc. USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 1,076 GBP 29,894 Performance of Mitie Group PLC GBP-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 2,455 USD 56,007 Performance of MSCI Inc., USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 1,566 USD 16,148 Performance of Netflix Inc. USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 246 USD 14,956 Performance of Nimble Storage Inc. USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 (165)USD 20,781 Performance of NXP Semiconductors NV USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 1,471 USD 6,902 Performance of Qihoo 360 Technologies Co. Ltd., ADR USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 (319)USD 7,986 Performance of QIWI PLC, ADR USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 (1,486)USD 64,711 Performance of QUALCOMM Inc. USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 2,765 USD 4,695 Performance of Red Hat Inc. USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 835 USD 66,249 Performance of Robert Half International Inc. USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 1,365 EUR 61,933 Performance of Ryanair Holdings EURIBOR 1M+0.50% Morgan Stanley 15-Sep-16 8,689 GBP 50,771 Performance of Smith & Nephew GBP-SONIA+0.65% Morgan Stanley 26-Sep-16 3,169 USD 8,129 Performance of Solarcity Corp. USD-LIBOR 1D+0.50% Morgan Stanley 16-Oct-15 372 USD 19,431 Performance of Sothebys Inc. USD-LIBOR 1D+0.50% Morgan Stanley 16-Oct-15 2,087 GBP 31,881 Performance of Sthree PLC GBP-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 (284)USD 54,286 Performance of TE Connectivity Ltd. USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 1,773 EUR 12,723 Performance of Tele Italia EUR-EONIA+0.65% Morgan Stanley 23-Sep-16 (716)USD 46,312 Performance of Tenet Healthcare USD-LIBOR 1D+0.50% Morgan Stanley 16-Oct-15 (725)USD 17,982 Performance of Tesla Motors Inc. USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 1,363 USD 5,982 Performance of The Walt Disney Co. USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 139 USD 25,907 Performance of Tripadvisor Inc. USD-LIBOR 1D+0.50% Morgan Stanley 16-Oct-15 (141)USD 29,097 Performance of United Continental USD-LIBOR 1D+0.50% Morgan Stanley 16-Oct-15 1,408 USD 54,313 Performance of Vail Resorts Inc. USD-LIBOR 1D+0.50% Morgan Stanley 16-Oct-15 1,937 USD 14,504 Performance of Vantiv Inc., A USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 214 USD 34,377 Performance of VeriFone Systems Inc. USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 4,121 USD 5,009 Performance of Verint Systems Inc. USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 177 USD 6,512 Performance of VeriSign Inc. USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 (73)USD 8,524 Performance of Verisk Analytics Inc., A USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 121 USD 67,840 Performance of Visa Inc., A USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 1,489 EUR 363,021 Performance of Vivendi EUR-EONIA+0.65% Morgan Stanley 23-Sep-16 (6,486)USD 55,608 Performance of Vulcan Materials Co. USD-LIBOR 1D+0.50% Morgan Stanley 16-Oct-15 4,844 USD 52,443 Performance of WageWorks Inc. USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 8,327 USD 22,860 Performance of Walgreens Boots Alliance USD-LIBOR 1D+0.50% Morgan Stanley 16-Oct-15 959 USD 143,243 Performance of WEX Inc. USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 4,459 USD 32,087 Performance of Williams Companies Inc. USD-LIBOR 1D+0.50% Morgan Stanley 16-Oct-15 420 USD 16,718 Performance of Xoom Corp. USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 3,362 USD 38,337 Performance of Yahoo Inc. USD-LIBOR 1D+0.50% Morgan Stanley 16-Oct-15 2,102 USD 5,145 Performance of Yelp Inc. USD-LIBOR 1M+0.5% Morgan Stanley 15-Sep-15 217 USD 1,131 Performance of Zayo Group Holdings Inc. USD-LIBOR 1D+0.50% Morgan Stanley 16-Oct-15 80 USD 43,671 USD-FED EFF-0.25% Performance of Consumer Discretionary Select Sector Morgan Stanley 15-Oct-15 (5,323)USD 70,387 USD-FED EFF-0.25% Performance of Health Care Select Sector Morgan Stanley 15-Oct-15 (5,097)USD 203,927 USD-FED EFF-0.25% Performance of Nasdaq 100 Total Return Index Morgan Stanley 15-Oct-15 (3,802)USD 211,089 USD-FED EFF-0.25% Performance of S&P 500 Total Return Index Morgan Stanley 15-Oct-15 (5,627)USD 44,569 USD-FED EFF-0.28% Performance of Energy Select Sector Morgan Stanley 15-Oct-15 (247)USD 61,841 USD-FED EFF-0.35% Performance of Abbvie Inc. Morgan Stanley 15-Oct-15 1,636 USD 26,759 USD-FED EFF-0.35% Performance of Allegiant Travel Morgan Stanley 15-Oct-15 (2,159)USD 31,345 USD-FED EFF-0.35% Performance of Amazon Morgan Stanley 15-Oct-15 (1,145)







USD 43,051 USD-FED EFF-0.35% Performance of Ametek Inc. Morgan Stanley 15-Oct-15 (1,482)USD 31,675 USD-FED EFF-0.35% Performance of AT&T Inc. Morgan Stanley 15-Oct-15 963 USD 14,563 USD-FED EFF-0.35% Performance of Be Aerospace Inc. Morgan Stanley 15-Sep-16 790 USD 31,808 USD-FED EFF-0.35% Performance of Best Buy Co., Inc. Morgan Stanley 15-Oct-15 (2,241)USD 25,493 USD-FED EFF-0.35% Performance of Biomarin Pharmaceutical Morgan Stanley 15-Oct-15 (172)USD 23,199 USD-FED EFF-0.35% Performance of Bristol-Myers Squibb Morgan Stanley 15-Oct-15 140 USD 33,958 USD-FED EFF-0.35% Performance of Caterpillar Inc. Morgan Stanley 15-Sep-16 4,113 USD 42,695 USD-FED EFF-0.35% Performance of Comcast Corp. Morgan Stanley 15-Oct-15 (3,306)USD 28,705 USD-FED EFF-0.35% Performance of Consol Energy Inc. Morgan Stanley 15-Oct-15 958 USD 41,517 USD-FED EFF-0.35% Performance of Core Laboratories Morgan Stanley 15-Sep-16 7,479 USD 21,647 USD-FED EFF-0.35% Performance of Dick’s Sporting Goods Inc. Morgan Stanley 15-Sep-16 (1,054)USD 10,065 USD-FED EFF-0.35% Performance of Fluor Corp. Morgan Stanley 15-Oct-15 41 USD 17,865 USD-FED EFF-0.35% Performance of Foot Locker Inc. Morgan Stanley 15-Oct-15 (486)USD 69,947 USD-FED EFF-0.35% Performance of General Electric Co. Morgan Stanley 15-Oct-15 237 USD 27,110 USD-FED EFF-0.35% Performance of Hasbro Inc. Morgan Stanley 15-Oct-15 (185)USD 24,355 USD-FED EFF-0.35% Performance of Kohls Corp. Morgan Stanley 15-Oct-15 (1,539)USD 35,865 USD-FED EFF-0.35% Performance of Mattel Inc. Morgan Stanley 15-Oct-15 (1,574)USD 27,345 USD-FED EFF-0.35% Performance of MGM Mirage Inc. Morgan Stanley 15-Sep-16 8 USD 11,800 USD-FED EFF-0.35% Performance of Oneok Inc. Morgan Stanley 15-Oct-15 (723)USD 13,995 USD-FED EFF-0.35% Performance of Pepsico Inc. Morgan Stanley 15-Sep-16 26 USD 44,804 USD-FED EFF-0.35% Performance of Precision Castparts Corp. Morgan Stanley 15-Sep-16 (1,325)USD 38,947 USD-FED EFF-0.35% Performance of Schlumberger Morgan Stanley 18-Dec-15 (943)USD 37,661 USD-FED EFF-0.35% Performance of Starbucks Corp. Morgan Stanley 15-Oct-15 (1,210)USD 38,817 USD-FED EFF-0.35% Performance of Sysco Corp. Morgan Stanley 15-Sep-16 (1,476)USD 28,638 USD-FED EFF-0.35% Performance of Tiffany & Co. Morgan Stanley 15-Sep-16 (476)USD 63,680 USD-FED EFF-0.35% Performance of Whole Foods Market Inc. Morgan Stanley 15-Sep-16 (3,447)USD 19,415 USD-FED EFF-0.35% Performance of Zions Bancorp Morgan Stanley 15-Oct-15 (1,310)USD 6,962 USD-FED EFF-0.35% Performance of Colfax Corp. Morgan Stanley 15-Oct-15 (310)USD 45,337 USD-FED EFF-0.35% Performance of Dunkin Brands Group Inc. Morgan Stanley 15-Oct-15 (470)USD 21,339 USD-FED EFF-0.35% Performance of Eaton Corp PLC Morgan Stanley 15-Sep-16 233 USD 12,205 USD-FED EFF-0.35% Performance of Google Inc. Morgan Stanley 15-Oct-15 (552)USD 17,725 USD-FED EFF-0.35% Performance of Hibbett Sports Inc. Morgan Stanley 18-Dec-15 200 USD 27,917 USD-FED EFF-0.35% Performance of IBM Morgan Stanley 15-Sep-16 (78)USD 95,301 USD-FED EFF-0.35% Performance of IBM Morgan Stanley 15-Oct-15 1,559 USD 6,347 USD-FED EFF-0.35% Performance of Kinder Morgan Inc. Morgan Stanley 15-Oct-15 (201)USD 5,156 USD-FED EFF-0.35% Performance of KLX Inc. Morgan Stanley 15-Sep-16 678 USD 10,857 USD-FED EFF-0.35% Performance of Medivation Inc. Morgan Stanley 15-Oct-15 396 USD 23,212 USD-FED EFF-0.35% Performance of Mondelez International Morgan Stanley 15-Sep-16 (313)USD 54,038 USD-FED EFF-0.35% Performance of Post Holdings Inc. Morgan Stanley 15-Oct-15 (3,166)USD 44,159 USD-FED EFF-0.35% Performance of Spirit Aerosystems Morgan Stanley 15-Sep-16 (1,039)USD 16,779 USD-FED EFF-0.35% Performance of Spirit Airlines Inc. Morgan Stanley 15-Sep-16 (1,051)USD 35,145 USD-FED EFF-0.35% Performance of Spirit Airlines Inc. Morgan Stanley 15-Oct-15 (1,678)USD 19,442 USD-FED EFF-0.35% Performance of Twitter Inc. Morgan Stanley 15-Oct-15 1,652







USD 20,760 USD-FED EFF-0.35% Performance of Virgin America Inc. Morgan Stanley 15-Sep-16 (3,510)USD 53,356 USD-FED EFF-0.45% Performance of Ishares Trust MSCI Morgan Stanley 15-Sep-16 515 USD 20,824 USD-FED EFF-0.70% Performance of Ishares US Real Estate Morgan Stanley 15-Sep-16 (355)USD 19,936 USD-FED EFF-0.88% Performance of Ishares Trust Morgan Stanley 15-Sep-16 (4)USD 11,978 USD-FED EFF-0.88% Performance of Isis Pharmaceuticals Inc. Morgan Stanley 15-Oct-15 (758)USD 20,040 USD-FED EFF-0.95% Performance of Aegerion Pharmaceuticals Morgan Stanley 15-Oct-15 (552)USD 20,703 USD-FED EFF-1.03% Performance of Ishares Russell 2000 ETF Morgan Stanley 15-Sep-16 (290)USD 58,931 USD-FED EFF-1.09% Performance of Ishares 20+ Year Morgan Stanley 15-Oct-15 (2,839)USD 78,730 USD-FED EFF-1.10% Performance of Ishares Msci Canada ETF Morgan Stanley 15-Sep-16 6,768 USD 4,543 USD-FED EFF-1.33% Performance of Garmin Ltd. Morgan Stanley 15-Oct-15 38 USD 29,122 USD-FED EFF-1.61% Performance of Ishares Nasdaq Morgan Stanley 15-Oct-15 (4,245)USD 48,254 USD-FED EFF-1.63% Performance of Ishares US Utilities ETF Morgan Stanley 15-Sep-16 (1,484)USD 8,234 USD-FED EFF-18.90% Performance of Mannkind Corp. Morgan Stanley 15-Oct-15 584 USD 6,767 USD-FED EFF-6.10% Performance of 500.Com Ltd. Morgan Stanley 15-Oct-15 1,703 USD 6,148 USD-FED EFF-9.62% Performance of Cleveland-Cliffs Morgan Stanley 15-Oct-15 (871)USD 10,753 USD-LIBOR 1M Performance of S&P Retail Sector Industry Index (TR) Morgan Stanley 18-Sep-15 (432)USD 5,092 USD-LIBOR 1M-0.25% Performance of Utilities Select Sector TR Index Morgan Stanley 18-Sep-15 (234)USD 15,102 USD-LIBOR 1M-0.25% Performance of S&P United States Index Morgan Stanley 18-Sep-15 (518)USD 3,419 USD-LIBOR 1M-0.25% Performance of Utilities Select Sector TR Index Morgan Stanley 18-Sep-15 (92)USD 13,077 USD-LIBOR 1M-0.25% Performance of NASDAQ Internet Total Return Index Morgan Stanley 18-Sep-15 (326)USD 118,731 USD-LIBOR 1M-0.25% Performance of S&P North American Technology Software Index Morgan Stanley 18-Sep-15 (4,622)USD 7,796 USD-LIBOR 1M-0.25% Performance of S&P Transportation Select Industry Index (TR) Morgan Stanley 18-Sep-15 (309)USD 46,352 USD-LIBOR 1M-0.25% Performance of Utilities Select Sector Index NTR Morgan Stanley 18-Sep-15 (2,139)USD 16,730 USD-LIBOR 1M-0.4% Performance of S&P Smallcap 600 Growth Index Morgan Stanley 18-Sep-15 (933)USD 16,940 USD-LIBOR 1M-0.4% Performance of S&P Smallcap 600 Growth Index Morgan Stanley 18-Sep-15 (933)USD 4,529 USD-LIBOR 1M-0.5% Performance of DB Hybrid Basket 01 Morgan Stanley 18-Sep-15 (153)USD 9,380 USD-LIBOR 1M-1% Performance of MSCI Daily TR Net Emerging Markets Taiwan USD Morgan Stanley 18-Sep-15 (229)USD 419,693 USD-LIBOR 1M-1.35% Performance of Consumer Staples Select Sector Index NTR Morgan Stanley 18-Sep-15 (1,830)

(145,005)

Franklin Multi-Asset Income Fund

Trading Notional Fund receives Fund pays Counterparty Maturity Unrealised currency amount date profit/(loss) EUR

USD 2,000,000 Performance of the 0.15% per annum of Dow-Jones-UBS Commodity Index the Notional Amount JPMorgan Chase Bank 8-May-15 (126,099)







USD 15,000,000 Performance of the Markit iBoxx USD-LIBOR 3M Goldman Sachs International 20-Mar-15 (128,518)USD 26,000,000 Performance of the Markit iBoxx USD-LIBOR 3M Goldman Sachs International 20-Jun-15 26,915USD 10,000,000 Performance of the Markit iBoxx USD-LIBOR 3M Goldman Sachs International 22-Jun-15 104,981USD 20,000,000 Performance of the Markit iBoxx USD-LIBOR 3M Goldman Sachs International 21-Sep-15 (248,322)USD 20,000,000 Performance of the Markit iBoxx USD-LIBOR 3M Morgan Stanley 20-Mar-15 4,684USD 50,000,000 Performance of the Markit iBoxx USD-LIBOR 3M Morgan Stanley 22-Jun-15 (2,904)USD 25,000,000 Performance of the Markit iBoxx USD-LIBOR 3M Morgan Stanley 21-Sep-15 (71,044)

(314,208)

Franklin U.S. Low Duration Fund


USD 10,000,000 Performance of the Markit iBoxx USD-LIBOR 3M Goldman Sachs International 20-Mar-15 (85,679)USD 9,000,000 Performance of the Markit iBoxx USD-LIBOR 3M Goldman Sachs International 20-Jun-15 79,300USD 5,000,000 Performance of the Markit iBoxx USD-LIBOR 3M Goldman Sachs International 22-Jun-15 52,491USD 5,000,000 Performance of the Markit iBoxx USD-LIBOR 3M Morgan Stanley 20-Mar-15 (50,148)USD 15,000,000 Performance of the Markit iBoxx USD-LIBOR 3M Morgan Stanley 22-Jun-15 (7,831)

(11,867)

Note 11 — Open positions on credit default swap contractsAs at December 31, 2014, the Company had entered into the following outstanding contracts:


Nominal Description Counterparty Buy/Sell Trading Market Unrealised Protection currency value profit/(loss) USD USD

200,000 Government of Brazil, Sep. 2017 Barclays Bank Sell USD (1,760) 1,467 1,450,000 Government of Brazil, Dec. 2016 Citigroup Sell USD (4,253) (5,716)

(6,013) (4,249)



30,000 Government of Brazil, 12.25%, 06/06/30, Dec. 2019 Morgan Stanley Buy USD 1,293 513 120,000 CDX.NA.HY.23, Dec. 2019 Deutsche Bank Sell USD 7,620 (1,412) 20,000 Transocean Inc., 7.375%, 04/15/18, Dec. 2019 Deutsche Bank Sell USD (4,304) (1,524) 110,000 Transocean Inc., 7.375%, 04/15/18, Dec. 2019 Morgan Stanley Sell USD (23,672) (3,815)

(19,063) (6,238)

Franklin Real Return Fund


332,500 LCDX.NA.19, Dec. 2017 Barclays Bank Sell USD 12,606 7,917 194,000 LCDX.NA.20, Jun. 2018 Credit Suisse International Sell USD 7,628 2,051

20,234 9,968







10,000,000 CDX.NA.HY.23, Dec. 2019 Bank of America Sell USD 623,488 9,088 19,570,000 LCDX.NA.19, Dec. 2017 Barclays Bank Sell USD 741,938 625,235 4,850,000 LCDX.NA.20, Jun. 2018 Barclays Bank Sell USD 190,701 8,825 19,000,000 MCDX.NA.21, Dec. 2018 Citigroup Sell USD 180,348 545,986 6,000,000 MCDX.NA.23, Dec. 2019 Citigroup Sell USD 43,069 1,795 33,853,000 LCDX.NA.20, Jun. 2018 Credit Suisse International Sell USD 1,331,090 353,209 67,320,000 LCDX.NA.21, Dec. 2018 Credit Suisse International Sell USD 2,493,008 (610,642) 9,975,000 LCDX.NA.19, Dec. 2017 Deutsche Bank Sell USD 378,172 318,688 19,800,000 LCDX.NA.21, Dec. 2018 Goldman Sachs International Sell USD 733,238 (145,388)

6,715,052 1,106,796

Franklin U.S. Low Duration Fund


7,000,000 Hospitality Properties Trust, Mar. 2017 Bank of America Buy USD (697,291) 232,166 3,000,000 DISH DBS Corp., Mar. 2016 Barclays Bank Buy USD (161,544) 110,700 3,460,000 First Data Corp., Mar. 2015 Barclays Bank Buy USD (33,927) 135,648 3,500,000 PACTIV LLC, Jun. 2017 Barclays Bank Buy USD (337,852) (106,845) 4,900,000 Tenet Healthcare Corp., Dec. 2016 Barclays Bank Buy USD (376,278) 74,685 1,400,000 Lennar Corp., Sep. 2019 Citigroup Buy USD (191,573) (29,848) 2,100,000 Lennar Corp., Dec. 2019 Citigroup Buy USD (294,305) (16,488) 3,000,000 Bank of America Corp., Sep. 2017 Credit Suisse International Buy USD (47,516) (54,262) 5,000,000 Beazer Homes USA Inc., Jun. 2019 Credit Suisse International Buy USD (246,580) (18,554) 5,000,000 Centex Corp., Jun. 2016 Credit Suisse International Buy USD (363,641) (10,131) 800,000 Constellation Brands Inc., Jun. 2017 Deutsche Bank Buy USD (90,370) 15,222 1,040,000 First Data Corp., Mar. 2015 Deutsche Bank Buy USD (10,198) 42,292 6,000,000 Government of Hungary, Mar. 2015 Deutsche Bank Buy USD (59,820) 335,219 7,000,000 International Lease Finance Corp., Sep. 2015 Deutsche Bank Buy USD (210,527) 240,564 3,000,000 Lennar Corp., Jun. 2016 Deutsche Bank Buy USD (194,826) 148,992 5,000,000 Springleaf Finance Corp., Dec. 2015 Deutsche Bank Buy USD (203,362) 156,210 2,500,000 Alcatel-Lucent USA Inc., Sep. 2017 Goldman Sachs Buy USD (236,398) (17,984) 2,500,000 HCA Inc., Dec. 2015 Goldman Sachs Buy USD (113,195) (2,682) 6,500,000 Kinder Morgan Inc., Mar. 2016 Goldman Sachs Buy USD (373,652) 98,168 3,000,000 Springleaf Finance Corp., Dec. 2015 Goldman Sachs Buy USD (122,017) 1,723 10,000,000 Constellation Brands Inc., Sep. 2016 Goldman Sachs International Buy USD (812,257) 513,846 7,000,000 DISH DBS Corp., Mar. 2016 Goldman Sachs International Buy USD (376,937) 11,339 5,000,000 Ford Motor Credit Co. LLC, Jun. 2015 Goldman Sachs International Buy USD (112,360) 312,091 3,619,000 The New York Times Co., Dec. 2016 Goldman Sachs International Buy USD (330,182) (153,952) 3,045,000 Toll Brothers Inc., Jun. 2015 Goldman Sachs International Buy USD (68,929) 269,652 3,000,000 USG Corp., Dec. 2016 Goldman Sachs International Buy USD (219,092) 20,609 3,200,000 Berkshire Hathaway Inc., Sep. 2015 Bank of America Sell USD 22,175 (12,964) 3,300,000 Anadarko Petroleum Corp., Sep. 2019 Barclays Bank Sell USD (14,488) (94,244) 3,700,000 First Data Corp., Mar. 2016 Barclays Bank Sell USD 199,676 139,951 3,000,000 Ford Motor Credit Co. LLC Mar. 2019 Barclays Bank Sell USD 517,830 (78,566) 4,100,000 Government of Portugal, Sep. 2019 Barclays Bank Sell USD (164,853) 31,576 1,805,000 LCDX.NA.19, Dec. 2017 Barclays Bank Sell USD 68,431 80,290 9,748,500 LCDX.NA.20, Jun. 2018 Barclays Bank Sell USD 383,308 (6,632) 3,500,000 Tenet Healthcare Corp., Dec. 2018 Barclays Bank Sell USD 334,031 97,339 1,400,000 Beazer Homes USA Inc., Sep. 2019 Citigroup Sell USD 61,263 32,068 2,100,000 Beazer Homes USA Inc., Dec. 2019 Citigroup Sell USD 74,981 12,292 8,250,000 MCDX.NA.21, Dec. 2018 Citigroup Sell USD 78,309 240,444 3,500,000 MCDX.NA.23, Dec. 2019 Citigroup Sell USD 25,123 1,047 2,400,000 Tate & Lyle International Finance PLC, Sep. 2019 Citigroup Sell EUR 13,684 (33,128) 3,000,000 Bank of America Corp., Sep. 2017 Credit Suisse International Sell USD 47,516 54,262 6,460,000 CMBX.NA.AM, Mar. 2049 Credit Suisse International Sell USD (79,317) 12,939 4,465,000 LCDX.NA.19, Dec. 2017 Credit Suisse International Sell USD 169,277 (31,648) 16,434,000 LCDX.NA.21, Dec. 2018 Credit Suisse International Sell USD 608,587 (93,942) 4,000,000 PSEG POWER LLC, Jun. 2019 Credit Suisse International Sell USD (7,901) (4,045) 800,000 First Data Corp., Mar. 2016 Deutsche Bank Sell USD 43,173 47,533 2,800,000 Government of Portugal, Sep. 2019 Deutsche Bank Sell USD (112,583) 42,416 10,877,500 LCDX.NA.19, Dec. 2017 Deutsche Bank Sell USD 412,388 483,853 1,650,000 Iheartcommunications Inc., Dec. 2016 Goldman Sachs Sell USD (140,317) 24,683 7,800,000 Berkshire Hathaway Inc., Sep. 2017 Goldman Sachs International Sell USD 143,289 146,460 7,326,000 LCDX.NA.21, Dec. 2018 Goldman Sachs International Sell USD 271,298 (30,900)

(3,329,749) 3,369,464

Note 11 — Open positions on credit default swap contracts (continued)As at December 31, 2014, the Company had entered into the following outstanding contracts:






1,500,000 DISH DBS Corp., Mar. 2016 Barclays Bank Buy USD (80,772) 16,460 270,000 First Data Corp., Mar. 2015 Barclays Bank Buy USD (2,647) 9,832 280,000 Tenet Healthcare Corp., Dec. 2016 Barclays Bank Buy USD (21,502) 4,268 100,000 Lennar Corp., Sep. 2019 Citigroup Buy USD (13,684) (2,132) 200,000 Lennar Corp., Dec. 2019 Citigroup Buy USD (28,029) (1,570) 500,000 Bank of America Corp., Sep. 2017 Credit Suisse International Buy USD (7,920) (13,299) 500,000 Lennar Corp., Sep. 2019 Credit Suisse International Buy USD (68,419) 2,872 800,000 Constellation Brands Inc., Jun. 2017 Deutsche Bank Buy USD (90,370) 15,222 130,000 First Data Corp., Mar. 2015 Deutsche Bank Buy USD (1,275) 5,286 500,000 Alcatel-Lucent USA Inc., Sep. 2017 Goldman Sachs International Buy USD (47,280) (3,597) 1,000,000 CIT Group Inc., Jun. 2017 Goldman Sachs International Buy USD (88,771) 37,490 1,000,000 Dell Inc., Sep. 2015 Goldman Sachs International Buy USD (4,733) 1,379 500,000 DISH DBS Corp., Mar. 2016 Goldman Sachs International Buy USD (26,924) 810 1,500,000 HCA Inc., Dec. 2015 Goldman Sachs International Buy USD (67,917) (1,610) 2,000,000 Kinder Morgan Inc., Mar. 2016 Goldman Sachs International Buy USD (114,967) 27,340 300,000 Anadarko Petroleum Corp., Sep. 2019 Barclays Bank Sell USD (1,317) (8,568) 300,000 First Data Corp., Mar. 2016 Barclays Bank Sell USD 16,190 12,208 2,755,000 LCDX.NA.19, Dec. 2017 Barclays Bank Sell USD 104,448 65,602 2,667,500 LCDX.NA.20, Jun. 2018 Barclays Bank Sell USD 104,885 (2,542) 200,000 Tenet Healthcare Corp., Dec. 2018 Barclays Bank Sell USD 19,087 5,562 100,000 Beazer Homes USA Inc., Sep. 2019 Citigroup Sell USD 4,376 2,291 200,000 Beazer Homes USA Inc., Dec. 2019 Citigroup Sell USD 7,141 1,171 300,000 MCDX.NA.23, Dec. 2019 Citigroup Sell USD 2,153 90 200,000 Tate & Lyle International Finance PLC, Sep. 2019 Citigroup Sell EUR 1,140 (3,245) 300,000 Bank of America Corp., Sep. 2017 Credit Suisse International Sell USD 4,752 5,426 300,000 Berkshire Hathaway Finance Corp., Mar. 2018 Credit Suisse International Sell USD 6,152 8,001 500,000 CITIGROUP Inc., Sep. 2020 Credit Suisse International Sell USD 4,281 1,553 480,000 CMBX.NA.AM, Mar. 2049 Credit Suisse International Sell USD (5,894) 963 194,000 LCDX.NA.20, Jun. 2018 Credit Suisse International Sell USD 7,628 2,536 300,000 PSEG Power LLC, Jun. 2019 Credit Suisse International Sell USD (593) (304) 200,000 Bank of America Corp., Sep. 2017 Deutsche Bank Sell USD 3,168 7,873 300,000 Berkshire Hathaway Inc., Sep. 2017 Deutsche Bank Sell USD 5,511 8,525 100,000 First Data Corp., Mar. 2016 Deutsche Bank Sell USD 5,397 5,942 500,000 Freeport-McMoRan Copper & Gold Inc., Mar. 2023 Deutsche Bank Sell USD (67,705) (34,500) 250,000 Government of Portugal, Sep. 2019 Deutsche Bank Sell USD (10,052) 3,787 100,000 Government of Poland, Dec. 2019 Goldman Sachs Sell USD 1,572 (252) 150,000 Iheartcommunications Inc., Dec. 2016 Goldman Sachs International Sell USD (12,756) 2,244 600,000 MCDX.NA.23, Dec. 2024 Goldman Sachs International Sell USD (14,627) 535 200,000 Valero Energy Corp., Sep. 2019 Goldman Sachs International Sell USD (2,219) (3,095)

(482,492) 180,554

Note 12 — Open positions on option contractsAs at December 31, 2014, the Company had entered into the following outstanding contracts:

Franklin K2 Alternative Strategies Fund Number of Market Unrealised Purchase/Sale Description Counterparty Trading contracts Commitment value profit/(loss) position currency purchased/(sold) USD USD USD

Currency optionPurchase USD/CNH, Call Option, Strike Price 6.2, Feb. 2015 Deutsche Bank USD 100,000 99,738 814 275 Purchase USD/KRW, Call Option, Strike Price 1095, Jan. 2015 Deutsche Bank USD 100,000 100,113 516 (938)Purchase USD/KRW, Call Option, Strike Price 1175, Jan. 2015 Deutsche Bank USD 100,000 107,428 – (221)Purchase USD/ZAR, Call Option, Strike Price 11.385, Jan. 2015 Deutsche Bank USD 50,000 49,224 930 (24)Purchase USD/COP, Call Option, Strike Price 2120, Jan. 2015 Morgan Stanley USD 50,000 44,379 5,397 4,589 Sale USD/KRW, Call Option, Strike Price 1150, Jan. 2015 Deutsche Bank USD (200,000) 210,284 (6) 754

7,651 4,435

Note 11 — Open positions on credit default swap contracts (continued)As at December 31, 2014, the Company had entered into the following outstanding contracts:




Franklin K2 Alternative Strategies Fund (continued) Number of Market Unrealised Purchase/Sale Description Counterparty Trading contracts Commitment value profit/(loss) position currency purchased/(sold) USD USD USD

Equity optionPurchase iShares Dow Jones US Healthcare Sector Index Fund, Put Option, Strike Price 144.51, Mar. 2015 Deutsche Bank USD 243,802 35,139,139 8,649 1,901 Purchase iShares Nasdaq Biotechnology ETF, Put Option, Strike Price 293.84, Mar. 2015 Deutsche Bank USD 552,723 167,668,583 26,723 (7,135)Purchase AT&T Inc., Put Option, Strike Price 35, Jun. 2015 JPMorgan Chase Bank USD 30 100,770 8,460 (167)Purchase Citigroup Inc., Call Option, Strike Price 50, Jan. 2015 JPMorgan Chase Bank USD 24 129,864 10,536 2,105 Purchase Citigroup Inc., Call Option, Strike Price 55, Jan. 2015 JPMorgan Chase Bank USD 14 75,754 1,050 (186)Purchase Citigroup Inc., Put Option, Strike Price 52.5, Mar. 2015 JPMorgan Chase Bank USD 5 27,055 725 167 Purchase Covidien PLC, Put Option, Strike Price 85, Jan. 2015 JPMorgan Chase Bank USD 22 225,016 660 (6,441)Purchase Forest Oil Corporation, Put Option, Strike Price 1.5, Jan. 2015 JPMorgan Chase Bank USD 16 360 2,080 1,168 Purchase Forest Oil Corporation, Put Option, Strike Price 2.5, Jan. 2015 JPMorgan Chase Bank USD 8 180 1,840 664 Purchase PetSmart, Inc., Put Option, Strike Price 67.5, Jan. 2015 JPMorgan Chase Bank USD 3 24,389 15 (630)Purchase SPDR S&P Retail ETF, Put Option, Strike Price 75, Jan. 2015 JPMorgan Chase Bank USD 2 19,202 6 (174)Purchase Time Warner Cable Inc., Call Option, Strike Price 145, Apr. 2015 JPMorgan Chase Bank USD 9 136,854 13,770 5,344 Purchase Time Warner Cable Inc., Call Option, Strike Price 145, Jan. 2015 JPMorgan Chase Bank USD 9 136,854 7,740 (3,987)Purchase Time Warner Cable Inc., Call Option, Strike Price 150, Jul. 2015 JPMorgan Chase Bank USD 5 76,030 7,550 (565)Purchase Time Warner Cable Inc., Call Option, Strike Price 155, Jan. 2016 JPMorgan Chase Bank USD 1 15,206 1,660 597 Purchase VMware, Inc., Put Option, Strike Price, 75, Apr. 2015 JPMorgan Chase Bank USD 8 66,016 1,920 (1,890)Purchase Alstom SA, Call Option, Strike Price 27, Mar. 2015 Morgan Stanley EUR 3 9,750 407 (188)Purchase Delta Air Lines, Inc., Call Option, Strike Price 50, Feb. 2015 Morgan Stanley USD 7 34,433 1,673 356 Purchase Hewlett-Packard Co., Call Option, Strike Price 39, Feb. 2015 Morgan Stanley USD 3 12,039 630 296 Purchase iShares Dow Jones US Healthcare Sector Index Fund, Put Option, Strike Price 142.92, Mar. 2015 Morgan Stanley USD 652,430 94,034,707 20,516 (2,309)Purchase iShares Nasdaq Biotechnology ETF, Put Option, Strike Price 299.54, Mar. 2015 Morgan Stanley USD 190,513 57,792,109 10,543 (1,541)Purchase Nokia Corp., Call Option, Strike Price 6.8, Mar. 2015 Morgan Stanley EUR 15 11,790 526 41 Purchase Nokia Corp., Call Option, Strike Price 7, Mar. 2015 Morgan Stanley EUR 26 20,436 692 (644)Purchase NVIDIA Corp., Put Option, Strike Price 19, Jan. 2015 Morgan Stanley USD 30 60,150 540 (301)Purchase Prospect Capital Corporation, Put Option, Strike Price 7.5, Feb. 2015 Morgan Stanley USD 30 24,780 300 (11)Purchase Scorpio Tankers Inc., Put Option, Strike Price 7.5, Jan. 2015 Morgan Stanley USD 40 34,760 400 (562)Purchase Synergy Pharmaceuticals Inc., Put Option, Strike Price 2.5, Apr. 2015 Morgan Stanley USD 4 1,220 200 20 Purchase Terex Corporation, Call Option, Strike Price 32, Jan. 2015 Morgan Stanley USD 3 8,364 30 (276)Purchase Vivendi SA, Call Option, Strike Price 20, Feb. 2015 Morgan Stanley EUR 32 80,112 3,795 185 Purchase Vivendi SA, Call Option, Strike Price 21, Feb. 2015 Morgan Stanley EUR 8 20,027 407 (34)

Note 12 — Open positions on option contracts (continued)As at December 31, 2014, the Company had entered into the following outstanding contracts:




Franklin K2 Alternative Strategies Fund (continued) Number of Market Unrealised Purchase/Sale Description Counterparty Trading contracts Commitment value profit/(loss) position currency purchased/(sold) USD USD USD

Sale iShares Dow Jones US Healthcare Sector Index Fund, Call Option, Strike Price 144.51, Mar. 2015 Deutsche Bank USD (243,802) 35,139,139 (7,645) (897)Sale iShares Nasdaq Biotechnology ETF, Call Option, Strike Price 293.84, Mar. 2015 Deutsche Bank USD (552,723) 167,668,583 (43,804) (9,946)Sale AT&T Inc., Call Option, Strike Price 37, Jun. 2015 JPMorgan Chase Bank USD (12) 40,308 (312) 464 Sale Citigroup Inc., Call Option, Strike Price 60, Mar. 2015 JPMorgan Chase Bank USD (5) 27,055 (210) 222 Sale Covidien PLC, Put Option, Strike Price 72.5, Jan. 2015 JPMorgan Chase Bank USD (37) 378,436 (370) 2,591 Sale Dollar General Corp., Put Option, Strike Price 55, Feb. 2015 JPMorgan Chase Bank USD (3) 21,210 (75) 335 Sale Time Warner Cable Inc., Put Option, Strike Price 120, Apr. 2015 JPMorgan Chase Bank USD (8) 121,648 (2,000) 2,538 Sale Time Warner Cable Inc., Put Option, Strike Price 120, Jan. 2015 JPMorgan Chase Bank USD (5) 76,030 (150) 385 Sale Time Warner Cable Inc., Put Option, Strike Price 120, Jul. 2015 JPMorgan Chase Bank USD (5) 76,030 (2,050) (15)Sale Alstom SA, Call Option, Strike Price 30, Mar. 2015 Morgan Stanley EUR (5) 16,250 (145) 174 Sale iShares Dow Jones US Healthcare Sector Index Fund, Call Option, Strike Price 142.92, Mar. 2015 Morgan Stanley USD (652,430) 94,034,707 (25,092) (2,267)Sale iShares Nasdaq Biotechnology ETF, Call Option, Strike Price 299.54, Mar. 2015 Morgan Stanley USD (190,513) 57,792,109 (12,693) (609)Sale Nokia Corp., Put Option, Strike Price 6, Mar. 2015 Morgan Stanley EUR (15) 11,790 (309) 197 Sale Nokia Corp., Put Option, Strike Price 6.2, Mar. 2015 Morgan Stanley EUR (26) 20,436 (755) (129)Sale Terex Corporation, Put Option, Strike Price 25, Jan. 2015 Morgan Stanley USD (3) 8,364 (30) 214

38,403 (20,940)

Index option

Purchase S&P 500 Index, Put Option, Strike Price 1925, Feb. 2015 JPMorgan Chase Bank USD 2 411,780 3,230 (2,336)Purchase S&P 500 Index, Put Option, Strike Price 1950, Feb. 2015 JPMorgan Chase Bank USD 1 205,890 1,935 (438)Purchase Euro Stoxx 50 Index, Put Option, Strike Price 2900, Feb. 2015 Morgan Stanley EUR 18 685,292 8,800 (3,937)Purchase Euro Stoxx 50 Index, Put Option, Strike Price 3000, Feb. 2015 Morgan Stanley EUR 2 76,144 1,484 (329)

Purchase S&P 500 Index, Put Option, Strike Price 1900, Jan. 2015 Morgan Stanley USD 10 2,058,900 3,900 (11,213)

19,349 (18,253)

65,403 (34,758)





Franklin Multi-Asset Income Fund Number of Market Unrealised Purchase/Sale Description Counterparty Trading contracts Commitment value profit/(loss) position currency purchased/(sold) EUR EUR EUR

Index Option

Purchase Euro Stoxx Index, Put Option, Strike Price 2950, Mar. 2015 JPMorgan Chase Bank EUR 160 6,090,356 112,320 (40,349)

Purchase S&P 500 Index, Put Option, Strike Price 1975, Feb. 2015 JPMorgan Chase Bank USD 40 8,235,600 80,661 (43,967)

192,981 (84,316)

Franklin U.S. Low Duration Fund Number of Market Unrealised Purchase/Sale Description Counterparty Trading contracts Commitment value profit/(loss) position currency purchased/(sold) USD USD USD

Swaption

Purchase CDX.NA.HY.23, Put Option, Strike Price 103.5, Mar. 2015 Credit Suisse International USD 12,100,000 12,100,000 130,741 (157,240)

Purchase CDX.NA.IG.23, Put Option, Strike Price 65, Mar. 2015 Credit Suisse International USD 24,000,000 24,000,000 98,904 (45,096)

Sale CDX.NA.HY.23, Put Option, Strike Price 99, Mar. 2015 Credit Suisse International USD (12,100,000) 12,100,000 (52,393) 71,027

Sale CDX.NA.IG.23, Put Option, Strike Price 85, Mar. 2015 Credit Suisse International USD (24,000,000) 24,000,000 (36,624) 33,696

140,628 (97,613)

Franklin U.S. Total Return Fund Number of Market Unrealised Purchase/Sale Description Counterparty Trading contracts Commitment value profit/(loss) position currency purchased/(sold) USD USD USD

Swaption

Purchase CDX.NA.HY.23, Put Option, Strike Price 103.5, Mar. 2015 Credit Suisse International USD 900,000 900,000 9,725 (11,696)

Purchase CDX.NA.IG.23, Put Option, Strike Price 65, Mar. 2015 Credit Suisse International USD 2,000,000 2,000,000 8,242 (3,758)

Sale CDX.NA.HY.23, Put Option, Strike Price 99, Mar. 2015 Credit Suisse International USD (900,000) 900,000 (3,897) 5,283

Sale CDX.NA.IG.23, Put Option, Strike Price 85, Mar. 2015 Credit Suisse International USD (2,000,000) 2,000,000 (3,052) 2,808

11,018 (7,363)

Note 13 — Securities lendingDuring the period, the Company participated in a securities lending programme with J.P. Morgan.

As at December 31, 2014, there were no securities on loan.

During the period, the securities lending programme generated the following revenues and expenses:

Fund Gross Direct and indirect Net currency earnings in operational costs and fees earnings in Fund currency in Fund currency Fund currency

Franklin Euroland Fund EUR 309 25 284

Franklin Global Growth and Value Fund USD 616 49 567

Franklin Mutual Beacon Fund USD 2,769 222 2,547

Franklin Mutual Euroland Fund EUR 103 8 95

Franklin Mutual European Fund EUR 42,346 3,388 38,958

Templeton Euroland Fund EUR 6,963 557 6,406

Templeton European Fund EUR 4,193 335 3,858

Templeton Global Fund USD 22,168 1,773 20,395

Templeton Global (Euro) Fund EUR 10,821 866 9,955

Templeton Global Balanced Fund USD 8,134 651 7,483

Templeton Global Equity Income Fund USD 1,084 87 997

Templeton Growth (Euro) Fund EUR 54,013 4,321 49,692





Note 14 — Investment management feesThe Investment Managers, as noted on pages 4 to 6, receive from the Company a monthly fee equivalent to a certain percentage per annum (as detailed below) of each Fund’s average daily net assets during the accounting period. When Funds invest in other Franklin Templeton funds, a management fee is not applied to the amounts invested. The following percentages apply in respect of the different Funds as at December 31, 2014.No management fee is payable by an investor on the acquisition of Class X shares, instead a fee is paid to the Investment Manager or affiliates under a separate agreement. Other Classes except Class I Class S Class W Class XFranklin Asia Credit Fund 0.550% 0.750%Franklin Biotechnology Discovery Fund 0.700% 0.750% 1.000%Franklin Brazil Opportunities Fund 0.700% 1.000%Franklin Euro Government Bond Fund 0.350% 0.500%Franklin Euro High Yield Fund 0.600% 0.700% 0.800%Franklin Euro Liquid Reserve Fund 0.200% 0.300%Franklin Euro Short Duration Bond Fund 0.300% 0.350% 0.450%Franklin Euro Short-Term Money Market Fund 0.200% 0.250%Franklin Euroland Fund 0.700% 1.000%Franklin European Fund 0.700% 1.000%Franklin European Corporate Bond Fund 0.400% 0.500% 0.650%Franklin European Dividend Fund 0.700% 1.000%Franklin European Growth Fund 0.700% 0.750% 1.000%Franklin European Income Fund 0.600% 0.750% 0.850%Franklin European Small-Mid Cap Growth Fund 0.700% 0.750% 1.000%Franklin European Total Return Fund 0.550% 0.550% 0.750%Franklin GCC Bond Fund 0.550% 0.750%Franklin Global Aggregate Bond Fund 0.400% 0.500% 0.650%Franklin Global Aggregate Investment Grade Bond Fund 0.400% 0.650%Franklin Global Allocation Fund 0.700% 1.000%Franklin Global Convertible Securities Fund 0.600% 0.650% 0.750%Franklin Global Corporate High Yield Fund 0.600% Franklin Global Equity Strategies Fund 0.750% 1.250%Franklin Global Fundamental Strategies Fund 0.700% 1.000%Franklin Global Government Bond Fund 0.400% 0.600%Franklin Global Growth Fund 0.700% 0.750% 1.000%Franklin Global Growth and Value Fund 0.700% 1.000%Franklin Global High Income Bond Fund 0.600% 0.700% 0.800%Franklin Global Listed Infrastructure Fund 0.700% 0.750% 1.000%Franklin Global Real Estate Fund 0.700% 0.750% 1.000%Franklin Global Small-Mid Cap Growth Fund 0.700% 0.750% 1.000%Franklin Gold and Precious Metals Fund 0.700% 1.000%Franklin High Yield Fund 0.600% 0.800%Franklin Income Fund 0.600% 0.850%Franklin India Fund 0.700% 0.625% 0.750% 1.000%Franklin Japan Fund 0.700% 0.750% 1.000%Franklin K2 Alternative Strategies Fund 1.750% 1.850% 2.050%Franklin MENA Fund 1.050% 1.150% 1.500%Franklin Multi-Asset Income Fund 0.600% 0.850%Franklin Natural Resources Fund 0.700% 1.000%Franklin Real Return Fund 0.750%Franklin Strategic Income Fund 0.550% 0.750%Franklin Technology Fund 0.700% 0.750% 1.000%Franklin U.S. Dollar Liquid Reserve Fund 0.200% 0.300%Franklin U.S. Equity Fund 0.700% 0.750% 1.000%Franklin U.S. Focus Fund 0.700% 1.000%Franklin U.S. Government Fund 0.400% 0.500% 0.650%Franklin U.S. Low Duration Fund 0.400% 0.650%Franklin U.S. Opportunities Fund 0.700% 0.750% 1.000%Franklin U.S. Small-Mid Cap Growth Fund 0.700% 1.000%Franklin U.S. Total Return Fund 0.550% 0.750%Franklin World Perspectives Fund 0.700% 0.750% 1.000%Franklin Mutual Beacon Fund 0.700% 1.000%Franklin Mutual Euroland Fund 1.000%Franklin Mutual European Fund 0.700% 0.750% 1.000%Franklin Mutual Global Discovery Fund 0.700% 0.750% 1.000%Templeton Africa Fund 1.100% 1.250% 1.600%Templeton ASEAN Fund 1.350%Templeton Asian Bond Fund 0.550% 0.475% 0.650% 0.750%Templeton Asian Dividend Fund 0.900% 1.000% 1.350%Templeton Asian Growth Fund 0.900% 1.000% 1.350%Templeton Asian Smaller Companies Fund 0.900% 1.000% 1.350%Templeton BRIC Fund 1.100% 1.250% 1.600%Templeton China Fund 1.100% 1.250% 1.600%Templeton Constrained Bond Fund 0.400% 0.600%Templeton Eastern Europe Fund 1.100% 1.250% 1.600%Templeton Emerging Markets Fund 1.100% 1.250% 1.600%Templeton Emerging Markets Balanced Fund 0.900% 1.000% 1.300%Templeton Emerging Markets Bond Fund 0.700% 0.800% 1.000%Templeton Emerging Markets Smaller Companies Fund 1.100% 1.250% 1.600%Templeton Euroland Fund 0.700% 1.000%Templeton European Fund 0.700% 0.750% 1.000%Templeton Frontier Markets Fund 1.100% 1.250% 1.600%Templeton Global Fund 0.700% 0.750% 1.000%Templeton Global (Euro) Fund 0.700% 0.750% 1.000%Templeton Global Balanced Fund 0.600% 0.700% 0.800%Templeton Global Bond Fund 0.550% 0.475% 0.650% 0.750%Templeton Global Bond (Euro) Fund 0.550% 0.650% 0.750%Templeton Global Equity Income Fund 0.700% 1.000%Templeton Global High Yield Fund 0.600% 0.850%Templeton Global Income Fund 0.600% 0.850%Templeton Global Smaller Companies Fund 0.700% 1.000%Templeton Global Total Return Fund 0.550% 0.475% 0.650% 0.750%Templeton Growth (Euro) Fund 0.700% 1.000%Templeton Korea Fund 1.100% 1.600%Templeton Latin America Fund 1.000% 1.100% 1.400%Templeton Thailand Fund 1.100% 1.250% 1.600%




Note 15 — Soft commissionConsistent with obtaining best execution, brokerage commissions on portfolio transactions for the Company may be directed by the Investment Managers to broker-dealers in recognition of research services furnished by them as well as for services rendered in the execution of orders by such broker-dealers.

The receipt of investment research and information and related services permits the Investment Managers to supplement their own research and analysis and makes available to them the views and information of individuals and research staffs of other firms.

Such related services do not include travel, accommodation, entertainment, general administrative goods or services, general office equipment or premises, membership fees, employee salaries or direct money payment.

Note 16 — Connected party transactionsCertain Directors of the Company are or may also be Officers and/or Directors of one or more of the various Investment Managers of the Funds, among others, Franklin Templeton Investment Management Limited, Templeton Asset Management Limited and Templeton Global Advisors Limited and the Registrar and Transfer, Corporate, Domiciliary and Administrative Agent, Franklin Templeton International Services S.à r.l., and the Commission Payer, Lightning Finance Limited/SG Constellation One Inc. All transactions with connected parties were entered into in the ordinary course of business and under normal commercial terms.

The investment management fees that are accrued by the Company in respect of the Management Company are detailed in note 14 to the financial statements.

There are no connected brokers in Franklin Templeton Investments, and no transactions were entered into with connected brokers during the period ended December 31, 2014.

During the period ended December 31, 2014, the Company accrued administration and transfer agency fees and shares’ maintenance and service charges in respect of Franklin Templeton International Services S.à r.l. as Management Company and Principal Distributor of the Funds.

Note 17 — TaxationUnder current tax laws and practice, the Company is not liable in the Grand Duchy of Luxembourg to any taxes on income or on realised or unrealised capital gains.

The Company is liable in the Grand Duchy of Luxembourg to a tax of 0.05% per annum, such tax being paid quarterly, and calculated on the net asset value of each Fund at the end of each relevant quarter (except the Templeton Euro Liquid Reserve Fund, the Templeton Euro Short-Term Money Market Fund and the Franklin U.S. Dollar Liquid Reserve Fund for which the rate is 0.01%). This tax is not applicable for the portion of the assets of a Fund invested in other undertakings for collective investment that have already been subject to such tax. Class I shares and Class X shares may benefit from a reduced rate of 0.01% per annum if all shareholders of these share classes are institutional investors.

Investment income received or capital gains realised by the Company may be subject to tax in the countries of origin. All liabilities in respect of taxes payable on unrealised capital gains on investments are provided for as soon as there is a reasonable certainty that a liability will crystallise.

No stamp duty or other tax is payable in the Grand Duchy of Luxembourg on the issue of shares in the Company.

The Company is registered for Value Added Tax in the Grand Duchy of Luxembourg and subject to account for Value Added Tax in accordance with current laws.

The Company has obtained U.K. Reporting Fund status for certain share classes of the Funds. Details of all share classes holding U.K. Reporting Fund status can be found on our U.K. website: www.franklintempleton.co.uk.

Note 18 — Share classesClass A (acc) shares: No distribution of dividends is made in respect of Class A (acc) shares but the net income attributable is reflected in the increased value of the shares. All other terms and conditions are the same as those which apply for Class A (dis) shares.

Class A (dis) shares: are offered at the applicable net asset value, plus an initial charge of up to 5.75% of the total amount invested varying per asset class. In addition, a maintenance charge of up to 0.50% per annum of the applicable average net asset value is deducted and paid to the Principal Distributor. This charge is accrued daily and is deducted and paid monthly to the Principal Distributor. A contingent deferred sales charge of up to 1%, retained by the Principal Distributor, applies to certain redemptions on qualified investments of USD 1 million or more within 18 months after repurchase.

Class AX (acc) shares: are offered at the applicable net asset value, plus an initial charge of up to 5.75% of the total amount invested varying per asset class. In addition, a maintenance charge of up to 0.50% per annum of the applicable average net asset value is deducted and paid to the Principal Distributor. This charge is accrued daily and is deducted and paid monthly to the Principal Distributor. No distribution of dividends is made in respect of Class AX (acc) shares but the net income attributable is reflected in the increased value of the shares. A contingent deferred sales charge of up to 1% applies to certain redemptions on qualified investments of USD 1 million or more within 18 months after repurchase.

Class B (acc) shares: No distribution of dividends is made in respect of Class B (acc) shares but the net income attributable is reflected in the increased value of the shares. All other terms and conditions are the same as those which apply for Class B (dis) shares.

Class B (dis) shares: are not subject to an initial charge but are subject to a contingent deferred sales charge up to 4% if an investor sells shares within 4 years of purchase. In addition, a maintenance charge of up to 0.75% per annum of the applicable average net asset value and a servicing charge of 1.06% per annum of the applicable average net asset value are applied. These charges are accrued daily and are deducted and paid monthly to the Principal Distributor and/or other parties. Starting from 2011, shares will be automatically converted into Class A shares of the same Fund 7 years after their purchase as more fully disclosed in the prospectus.

Class C (acc) shares: No distribution of dividends is made but the net income attributable is reflected in the increased value of the shares. All other terms and conditions are the same as the those which apply for Class C (dis) shares.

Class C (dis) shares: are not subject to an initial charge but are subject to a contingent deferred sales charge of 1.00% if an investor redeems shares within one year of purchase. In addition, a servicing charge (during the first year of investment) and a maintenance charge (from the second and subsequent years of investment) of 1.08% per annum of the applicable average net asset value is deducted. These charges are accrued daily and are deducted and paid monthly to the Principal Distributor and/or other party.




Note 18 — Share classes (continued)Class I (acc) shares: No distribution of dividends is made but the net income attributable is reflected in the increased value of the shares. All other terms and conditions are the same as those which apply for Class I (dis) shares.

Class I (dis) shares: are offered to institutional investors as more fully described in the current prospectus and addendum of the Company. Purchases of Class I (dis) shares are not subject to an initial sales charge, nor a contingent deferred sales charge or any maintenance or servicing charges. Class I (dis) shares benefit from a reduced Investment Management fee (note 14).

Class N (acc) shares: No distribution of dividends is made but the net income attributable is reflected in the increased value of the shares. All other terms and conditions are the same as these which apply for Class N (dis) shares.

Class N (dis) shares: are subject to an initial charge of up to 3% of the total amount invested. In addition, a maintenance charge of up to 1.25% per annum of the applicable average net asset value is accrued daily and is deducted and paid monthly to the Principal Distributor. Class N (dis) shares may be offered in certain limited circumstances as more fully described in the current prospectus and addendum of the Company.

Class S (acc) shares: No distribution of dividends is made but the net income attributable is reflected in the increased value of the shares. All other terms and conditions are the same as these which apply for Class S (dis) shares.

Class S (dis) shares: are not subject to an entry charge, contingent deferred sales charge nor any maintenance or servicing charge. Class S (dis) shares may be offered in certain limited circumstances as more fully described in the current prospectus and addendum of the Company.

Class W (acc) shares: No distribution of dividends is made but the net income attributable is reflected in the increased value of the shares. All other terms and conditions are the same as these which apply for Class W (dis) shares.

Class W (dis) shares: are not subject to an entry charge, contingent deferred sales charge nor any maintenance or servicing charge. Class W (dis) shares may be offered in certain limited circumstances as more fully described in the current prospectus and addendum of the Company.

Class X (acc) shares: No distribution of dividends is made but the net income attributable is reflected in the increased value of the shares. All other terms and conditions are the same as these which apply for Class X (dis) shares.

Class X (dis) shares: are not subject to an initial charge and no management fees will be payable by an investor on the acquisition of Class X shares (instead a fee is paid to the Investment Manager or affiliates under an agreement between the Investment Manager and the investor). Class X shares are offered to institutional investors in certain limited circumstances as more fully described in the current prospectus and addendum of the Company.

Class Z (acc) shares: No distribution of dividends is made but the net income attributable is reflected in the increased value of the shares. All other terms and conditions are the same as these which apply for Class Z (dis) shares.

Class Z (dis) shares: are not subject to an initial charge, contingent deferred sales charge nor any maintenance or servicing charge. Class Z (dis) shares may be offered in certain limited circumstances as more fully described in the current prospectus and addendum of the Company.

The distributing share classes may have different frequencies. Mdis share classes distribute monthly, Qdis share classes distribute quarterly and Ydis share classes distribute annually.

Hedged share classes: In respect of hedged share classes, the Company offers the following alternatives:

➤ H1: in order to reduce exchange rate fluctuations and return fluctuations, the base currency exposure of the hedged share class is hedged into a specified alternative currency.

➤ H2: a hedging strategy is applied in order to reduce the risk of currency movements between the currency of the hedged share class and other material currencies of the securities held by the Fund.

➤ H4: Where currency controls imposed by a country’s monetary authority prevent free movement of currency (“Restricted Currency”), another hedging methodology is used. The share class is denominated in the base currency of the Fund but hedges the Fund’s base currency into a specified Restricted Currency for investors in that Restricted Currency.

Note 19 — Expenses reimbursementOn a daily basis, for share classes where the expenses are capped, the level of expenses is calculated and compared to the cap and where the level of expenses is higher than the cap, this difference is booked as a decrease of expense (the “waiver fees”). On a monthly basis the waiver fees are deducted from the fees received by Franklin Templeton International Services S.à r.l.

The amount of waiver fees is disclosed as “Expenses reimbursement” in the “Statement of Operations and Changes in Net Assets”.

Note 20 — Statement of changes in the investment portfolioA list, specifying for each Fund total purchases and sales transacted during the period under review, may be obtained, upon request, at the registered office of the Company.




Note 21 — Transaction costs Transaction costs are costs incurred to acquire and dispose of financial assets or liabilities. They include fees and commissions paid to agents, brokers and dealers. No transaction costs are charged by the Custodian. During the period ended December 31, 2014 the Company incurred the following transaction costs:

Fund Currency AmountFranklin Asia Credit Fund USD –*Franklin Asian Flex Cap Fund USD 10,508 Franklin Biotechnology Discovery Fund USD 1,522,201 Franklin Brazil Opportunities Fund USD 56,579 Franklin Euro Government Bond Fund EUR –*Franklin Euro High Yield Fund EUR 22,539 Franklin Euro Liquid Reserve Fund EUR –*Franklin Euro Short Duration Bond Fund EUR –*Franklin Euro Short-Term Money Market Fund EUR –*Franklin Euroland Fund EUR 22,040 Franklin European Fund EUR 3,074 Franklin European Corporate Bond Fund EUR –*Franklin European Dividend Fund EUR 39,989 Franklin European Growth Fund EUR 2,593,438 Franklin European Income Fund EUR 2,401 Franklin European Small-Mid Cap Growth Fund EUR 384,045 Franklin European Total Return Fund EUR –*Franklin GCC Bond Fund USD –*Franklin Global Aggregate Bond Fund USD –*Franklin Global Aggregate Investment Grade Bond Fund USD –*Franklin Global Allocation Fund USD 19,563 Franklin Global Convertible Securities Fund USD 4,923 Franklin Global Corporate High Yield Fund USD –*Franklin Global Equity Strategies Fund USD 65,405 Franklin Global Fundamental Strategies Fund USD 385,921 Franklin Global Government Bond Fund USD –*Franklin Global Growth Fund USD 59,355 Franklin Global Growth and Value Fund USD 23,653 Franklin Global High Income Bond Fund USD –*Franklin Global Listed Infrastructure Fund USD 8,201 Franklin Global Real Estate Fund USD 68,694 Franklin Global Small-Mid Cap Growth Fund USD 122,450 Franklin Gold and Precious Metals Fund USD 83,955 Franklin High Yield Fund USD 22,165 Franklin Income Fund USD 809,265 Franklin India Fund USD 2,986,360 Franklin Japan Fund JPY 39,115,471 Franklin K2 Alternative Strategies Fund USD 53,575 Franklin MENA Fund USD 1,416,387 Franklin Multi-Asset Income Fund EUR 14,198 Franklin Natural Resources Fund USD 79,085 Franklin Real Return Fund USD 140 Franklin Strategic Income Fund USD 17,111 Franklin Technology Fund USD 146,940

Fund Currency AmountFranklin U.S. Dollar Liquid Reserve Fund USD –*Franklin U.S. Equity Fund USD 279,720 Franklin U.S. Focus Fund USD 15,140 Franklin U.S. Government Fund USD –*Franklin U.S. Low Duration Fund USD 9,138 Franklin U.S. Opportunities Fund USD 1,138,192 Franklin U.S. Small-Mid Cap Growth Fund USD 107,370 Franklin U.S. Total Return Fund USD 1,513 Franklin World Perspectives Fund USD 396,063 Franklin Mutual Beacon Fund USD 97,382 Franklin Mutual Euroland Fund EUR 7,748 Franklin Mutual European Fund EUR 1,220,251 Franklin Mutual Global Discovery Fund USD 425,254 Templeton Africa Fund USD 259,501 Templeton ASEAN Fund USD 5,999 Templeton Asian Bond Fund USD –*Templeton Asian Dividend Fund USD 6,621 Templeton Asian Growth Fund USD 416,994 Templeton Asian Smaller Companies Fund USD 609,628 Templeton BRIC Fund USD 636,733 Templeton China Fund USD 177,187 Templeton Constrained Bond Fund USD –*Templeton Eastern Europe Fund EUR 267,999 Templeton Emerging Markets Fund USD 839,814 Templeton Emerging Markets Balanced Fund USD 36,308 Templeton Emerging Markets Bond Fund USD –*Templeton Emerging Markets Smaller Companies Fund USD 159,584 Templeton Euroland Fund EUR 58,226 Templeton European Fund EUR 191,973 Templeton Frontier Markets Fund USD 1,951,520 Templeton Global Fund USD 605,793 Templeton Global (Euro) Fund EUR 145,106 Templeton Global Balanced Fund USD 228,447 Templeton Global Bond Fund USD –*Templeton Global Bond (Euro) Fund EUR –*Templeton Global Equity Income Fund USD 115,716 Templeton Global High Yield Fund USD –*Templeton Global Income Fund USD 381,084 Templeton Global Smaller Companies Fund USD 226,811 Templeton Global Total Return Fund USD –*Templeton Growth (Euro) Fund EUR 1,812,320 Templeton Korea Fund USD 121,220 Templeton Latin America Fund USD 748,715 Templeton Thailand Fund USD 175,960

*For debt securities and derivatives, transaction costs are not separately identifiable from the purchase price of the security and therefore cannot be disclosed separately.

Note 22 — EqualisationThe Funds use an accounting practice known as equalisation, by which a portion of the proceeds from issue and costs of redemption of shares, equivalent on a per share basis to the amount of undistributed net investment income on the date of the transaction, is credited or charged to undistributed income which is disclosed as equalisation in the “Statement of Operations and Changes in Net Assets”. As a result, undistributed net investment income per share is unaffected by issue or redemptions of shares.




Note 23 — Dividends distributedFor the period ended December 31, 2014, the following amounts per share were paid out to distributing share class shareholders.Accumulated dividends have not been paid out and are reflected as an increase in the “Issue of shares” account in the “Statement of Operations and Changes in Net Assets”.

Annual Distribution

Jul-2014Jul-

2014Aug-

2014Sep-

2014Oct-

2014Nov-

2014Dec-

2014Franklin Asia Credit FundA (Mdis) USD* 0.001 A (Mdis) AUD-H1* 0.001 A (Mdis) SGD-H1* 0.001

Franklin Asian Flex Cap Fund A (Ydis) USD** –

Franklin Brazil Opportunities Fund A (Qdis) USD 0.250 0.099 A (Qdis) HKD 0.251 0.100 N (Qdis) USD 0.219 0.099

Franklin Euro Government Bond Fund A (Ydis) EUR 0.117 I (Qdis) EUR 0.037 0.036

Franklin Euro High Yield Fund A (Mdis) EUR 0.022 0.020 0.027 0.022 0.022 0.023 A (Mdis) USD 0.038 0.034 0.045 0.035 0.035 0.036 A (Ydis) EUR 0.302 B (Mdis) EUR 0.027 0.024 0.035 0.028 0.026 0.030 B (Mdis) USD 0.026 0.022 0.034 0.024 0.024 0.026 I (Ydis) EUR 0.521

Franklin Euro Liquid Reserve FundA (Ydis) EUR –

Franklin Euro Short Duration Bond Fund A (Ydis) EUR –

Franklin European Fund A (Ydis) EUR 0.166

Franklin European Corporate Bond Fund A (Ydis) EUR 0.190 I (Ydis) EUR 0.245 N (Ydis) EUR 0.100

Franklin European Dividend Fund A (Mdis) SGD-H1* 0.023 A (Mdis) USD* 0.018 0.028 0.028 A (Ydis) EUR 0.546

Franklin European Growth Fund A (Ydis) GBP 0.177

Franklin European Income Fund A (Mdis) EUR* 0.006 A (Mdis) SGD-H1* 0.006 A (Mdis) USD* 0.006 I (Mdis) EUR* 0.006 N (Mdis) EUR* 0.006 W (Mdis) EUR* 0.006 Z (Mdis) EUR* 0.006

Franklin European Total Return FundA (Mdis) EUR 0.012 0.013 0.013 0.011 0.011 0.011 A (Mdis) USD 0.017 0.018 0.016 0.014 0.014 0.014 N (Mdis) EUR 0.007 0.009 0.007 0.006 0.007 0.006

Franklin GCC Bond Fund A (Mdis) USD 0.027 0.027 0.026 0.026 0.026 0.026 B (Mdis) USD 0.015 0.012 0.013 0.013 0.012 0.014

Franklin Global Aggregate Bond Fund A (Mdis) USD 0.016 0.013 0.011 0.011 0.011 0.010 A (Mdis) EUR 0.012 0.014 0.012 0.011 0.013 0.011 A (Qdis) GBP-H1 0.038 0.036 A (Ydis) EUR-H1 0.147 I (Qdis) EUR-H1 0.055 0.054 I (Qdis) GBP-H1 0.054 0.054




Note 23 — Dividends distributed (continued)

Annual Distribution

Jul-2014Jul-

2014Aug-

2014Sep-

2014Oct-

2014Nov-

2014Dec-

2014Franklin Global Allocation Fund A (Qdis) GBP – – A (Ydis) EUR 0.006 A (Ydis) EUR-H1 – I (Ydis) EUR-H1 0.089

Franklin Global Convertible Securities Fund A (Ydis) EUR 0.027 A (Ydis) EUR-H1 0.027

Franklin Global Corporate High Yield Fund I (Ydis) EUR 0.433 I (Ydis) EUR-H1 0.447

Franklin Global Equity Strategies Fund A (Ydis) EUR 0.029

Franklin Global Fundamental Strategies Fund A (Ydis) EUR 0.072 N (Ydis) EUR 0.022

Franklin Global Government Bond Fund A (Mdis) USD 0.013 0.013 0.012 0.008 0.009 0.006 A (Mdis) EUR 0.013 0.013 0.012 0.009 0.009 0.006 N (Mdis) USD 0.007 0.008 0.005 0.003 0.002 –

Franklin Global High Income Bond Fund A (Mdis) USD 0.048 0.048 0.048 0.043 0.043 0.043 A (Mdis) HKD 0.047 0.044 0.048 0.043 0.043 0.043 A (Mdis) SGD 0.046 0.044 0.047 0.043 0.044 0.044 A (Mdis) SGD-H1 0.046 0.044 0.048 0.043 0.043 0.043 N (Mdis) USD* 0.026

Franklin Global Listed Infrastructure Fund A (Mdis) SGD-H1 0.025 0.025 0.026 0.027 0.027 0.027 A (Qdis) USD 0.148 0.056 A (Ydis) EUR 0.318 W (Qdis) GBP 0.136 0.054

Franklin Global Real Estate Fund A (Qdis) USD 0.079 0.035 A (Qdis) SGD 0.059 0.026 A (Ydis) EUR-H1 0.332 B (Qdis) USD 0.077 0.034 C (Qdis) USD 0.079 0.034 W (Qdis) USD 0.084 0.037

Franklin Gold and Precious Metals Fund A (Ydis) EUR – A (Ydis) EUR-H1 – I (Ydis) USD –

Franklin High Yield Fund A (Mdis) USD 0.031 0.029 0.030 0.030 0.029 0.031 A (Mdis) AUD-H1 0.044 0.044 0.043 0.046 0.043 0.045 A (Mdis) SGD-H1 0.039 0.037 0.038 0.039 0.036 0.039 B (Mdis) USD 0.023 0.021 0.021 0.022 0.020 0.023 I (Mdis) USD 0.055 0.053 0.054 0.053 0.052 0.054 N (Mdis) USD 0.037 0.037 0.037 0.037 0.035 0.038 Z (Mdis) USD 0.050 0.047 0.048 0.047 0.047 0.048

Franklin Income Fund A (Mdis) USD 0.032 0.032 0.032 0.032 0.032 0.032 A (Mdis) EUR-H1 0.026 0.026 0.026 0.026 0.026 0.026 A (Mdis) SGD-H1 0.023 0.023 0.023 0.023 0.023 0.023 B (Mdis) USD 0.017 0.017 0.017 0.017 0.017 0.017 C (Mdis) USD 0.033 0.033 0.033 0.033 0.033 0.033 I (Ydis) EUR-H1 0.169 N (Mdis) EUR-H1 0.021 0.021 0.021 0.021 0.021 0.021 Z (Mdis) USD 0.034 0.034 0.034 0.034 0.034 0.034

Franklin India Fund A (Ydis) EUR – A (Ydis) GBP – I (Ydis) EUR 0.115





Annual Distribution

Jul-2014Jul-

2014Aug-

2014Sep-

2014Oct-

2014Nov-

2014Dec-

2014Franklin Japan Fund A (Ydis) EUR – A (Ydis) GBP –

Franklin K2 Alternative Strategies FundA (Ydis) USDA (Ydis) EUR

Franklin MENA Fund A (Ydis) USD 0.093 A (Ydis) GBP – I (Ydis) USD 0.103

Franklin Multi-Asset Income Fund A (Qdis) EUR 0.098 0.073 A (Ydis) EUR 0.325 I (Qdis) EUR 0.098 0.074

Franklin Natural Resources Fund A (Ydis) USD – A (Ydis) EUR-H1 –

Franklin Real Return Fund A (Ydis) EUR-H1 0.040

Franklin Strategic Income Fund A (Mdis) USD 0.026 0.026 0.024 0.023 0.028 0.022 A (Mdis) AUD-H1 0.022 0.024 0.022 0.022 0.027 0.021 A (Mdis) EUR 0.016 0.019 0.019 0.018 0.023 0.018 A (Mdis) EUR-H1 0.030 0.024 0.021 0.022 0.026 0.020 B (Mdis) USD 0.010 0.012 0.008 0.009 0.014 0.008 C (Mdis) USD 0.020 0.020 0.018 0.017 0.024 0.016 I (Ydis) USD 0.143 N (Mdis) EUR-H1 0.017 0.017 0.016 0.015 0.020 0.014

Franklin U.S. Dollar Liquid Reserve Fund A (Mdis) USD – – – – – – B (Mdis) USD – – – – – –

Franklin U.S. Government Fund A (Mdis) USD 0.019 0.017 0.018 0.018 0.013 0.017 A (Mdis) HKD 0.020 0.018 0.019 0.019 0.014 0.018 A (Mdis) SGD-H1** 0.020 0.018 0.019 B (Mdis) USD 0.009 0.007 0.008 0.008 0.003 0.007 I (Mdis) USD 0.025 0.023 0.024 0.024 0.018 0.023 I (Mdis) JPY-H1 2.413 2.205 2.311 2.313 1.806 2.223 N (Mdis) USD 0.014 0.012 0.012 0.012 0.007 0.011 W (Mdis) USD 0.023 0.021 0.022 0.022 0.017 0.021 Z (Mdis) USD 0.022 0.020 0.021 0.021 0.016 0.020

Franklin U.S. Low Duration Fund A (Mdis) USD 0.005 0.004 0.004 0.004 0.003 0.003 B (Mdis) USD – – – – – – C (Mdis) USD – – – – – – N (Mdis) USD – – – – – –

Franklin U.S. Opportunities Fund A (Ydis) EUR – A (Ydis) GBP – X (Ydis) USD 0.030

Franklin U.S. Total Return Fund A (Mdis) USD 0.017 0.015 0.013 0.013 0.012 0.011 C (Mdis) USD 0.008 0.007 0.006 0.006 0.004 0.004 I (Mdis) USD 0.021 0.019 0.018 0.018 0.016 0.016 N (Mdis) USD 0.010 0.007 0.007 0.007 0.005 0.005

Franklin World Perspectives Fund A (Ydis) GBP –

Franklin Mutual Beacon Fund A (Ydis) USD 0.185





Annual Distribution

Jul-2014Jul-

2014Aug-

2014Sep-

2014Oct-

2014Nov-

2014Dec-

2014Franklin Mutual European Fund A (Ydis) EUR 0.182 A (Ydis) GBP 0.152 B (Ydis) EUR – I (Ydis) EUR 0.319 W (Ydis) EUR 0.149

Franklin Mutual Global Discovery Fund A (Ydis) EUR 0.139 A (Ydis) GBP 0.112

Templeton Africa Fund A (Ydis) EUR 0.164 A (Ydis) EUR-H1 0.166

Templeton ASEAN Fund A (Ydis) USD*

Templeton Asian Bond Fund A (Mdis) USD 0.041 0.037 0.033 0.029 0.027 0.031 A (Mdis) AUD-H1 0.028 0.028 0.023 0.021 0.021 0.022 A (Mdis) EUR 0.032 0.028 0.025 0.023 0.022 0.025 A (Mdis) SGD 0.029 0.026 0.023 0.021 0.019 0.023 A (Mdis) SGD-H1 0.029 0.027 0.023 0.022 0.020 0.022 B (Mdis) USD 0.022 0.020 0.014 0.011 0.010 0.013 C (Mdis) USD 0.032 0.027 0.024 0.020 0.017 0.022 I (Mdis) EUR 0.034 0.035 0.031 0.029 0.029 0.031 N (Mdis) USD 0.030 0.028 0.025 0.021 0.018 0.023 W (Mdis) USD 0.033 0.033 0.027 0.025 0.025 0.026 X (Ydis) USD 0.405

Templeton Asian Dividend Fund A (Mdis) USD 0.034 0.035 0.037 0.039 0.041 0.040 A (Mdis) SGD-H1 0.034 0.035 0.036 0.040 0.042 0.039 A (Qdis) EUR 0.093 0.133 A (Ydis) EUR 0.365 W (Qdis) GBP 0.091 0.129

Templeton Asian Growth Fund A (Ydis) USD 0.094 A (Ydis) EUR 0.068 A (Ydis) GBP 0.055 I (Ydis) EUR-H2 0.140 W (Ydis) EUR 0.107 X (Ydis) USD 0.058 Z (Ydis) USD 0.078 Z (Ydis) EUR-H1 0.088

Templeton Asian Smaller Companies Fund A (Ydis) USD 0.171 X (Ydis) USD 0.059

Templeton Bric Fund A (Ydis) EUR 0.083 A (Ydis) GBP 0.026

Templeton China Fund A (Ydis) EUR – A (Ydis) GBP – I (Ydis) GBP 0.089 W (Ydis) EUR 0.085 Z (Ydis) EUR** 0.070

Templeton Constrained Bond Fund A (Mdis) USD 0.003 0.003 0.003 0.004 0.005 0.005 A (Mdis) EUR 0.004 0.003 0.004 0.005 0.006 0.005 N (Mdis) USD – – – – – –

Templeton Eastern Europe Fund A (Ydis) EUR – A (Ydis) GBP – B (Ydis) EUR –





Annual Distribution

Jul-2014Jul-

2014Aug-

2014Sep-

2014Oct-

2014Nov-

2014Dec-

2014Templeton Emerging Markets Fund A (Ydis) USD 0.088

Templeton Emerging Markets Balanced Fund A (Qdis) USD 0.068 0.053 A (Qdis) GBP 0.065 0.055 A (Qdis) GBP-H1** 0.066 A (Qdis) SGD-H1 0.058 0.053 A (Ydis) EUR 0.263 A (Ydis) EUR-H1 0.247 B (Mdis) USD 0.011 0.011 0.012 0.012 0.005 0.002 I (Ydis) EUR-H1 0.316 W (Qdis) GBP 0.089 0.078 Z (Qdis) GBP 0.082 0.070

Templeton Emerging Markets Bond Fund A (Mdis) USD 0.047 0.052 0.050 0.053 0.058 0.053 A (Mdis) AUD-H1 0.040 0.046 0.042 0.047 0.051 0.048 A (Mdis) HKD 0.042 0.048 0.045 0.048 0.053 0.048 A (Mdis) SGD-H1 0.039 0.044 0.041 0.045 0.049 0.045 A (Qdis) USD 0.264 0.267 A (Qdis) EUR 0.195 0.214 A (Qdis) GBP 0.142 0.142 A (Ydis) EUR-H1 0.603 B (Mdis) USD 0.035 0.039 0.038 0.040 0.046 0.041 B (Qdis) USD 0.183 0.183 I (Qdis) USD 0.240 0.241 I (Qdis) GBP-H1 0.156 0.167 I (Ydis) EUR-H1 0.693 N (Mdis) USD* 0.033 W (Qdis) USD 0.146 0.146 W (Qdis) EUR 0.153 0.170 W (Qdis) GBP 0.139 0.143 W (Qdis) GBP-H1 0.159 0.171 Z (Mdis) USD 0.045 0.050 0.047 0.050 0.054 0.050 Z (Qdis) GBP-H1 0.154 0.164

Templeton Emerging Markets Smaller Companies Fund A (Ydis) USD 0.031 A (Ydis) GBP 0.040

Templeton Euroland Fund A (Ydis) EUR 0.310 B (Ydis) EUR 0.069

Templeton European Fund A (Ydis) USD 0.270

Templeton Frontier Markets Fund A (Ydis) USD 0.205 A (Ydis) GBP 0.192 I (Ydis) GBP 0.424 Z (Ydis) EUR-H1 0.193

Templeton Global Fund A (Ydis) USD 0.158 W (Ydis) USD 0.120 X (Ydis) USD 0.034

Templeton Global (Euro) Fund A (Ydis) EUR 0.068

Templeton Global Balanced Fund A (Qdis) USD 0.110 0.002 C (Qdis) USD 0.028 – I (Ydis) USD 0.194 X (Ydis) USD 0.067



Annual Distribution

Jul-2014Jul-

2014Aug-

2014Sep-

2014Oct-

2014Nov-

2014Dec-

2014Templeton Global Bond Fund A (Mdis) USD 0.041 0.039 0.036 0.038 0.034 0.035 A (Mdis) AUD-H1 0.023 0.022 0.020 0.023 0.019 0.021 A (Mdis) CAD-H1 0.021 0.021 0.019 0.021 0.018 0.019 A (Mdis) EUR 0.030 0.030 0.027 0.030 0.027 0.029 A (Mdis) EUR-H1 0.027 0.025 0.024 0.026 0.022 0.023 A (Mdis) GBP 0.024 0.023 0.022 0.023 0.021 0.023 A (Mdis) GBP-H1 0.021 0.020 0.019 0.020 0.018 0.018 A (Mdis) HKD 0.023 0.021 0.019 0.021 0.018 0.019 A (Mdis) RMB-H1 0.207 0.208 0.187 0.197 0.174 0.186 A (Mdis) SGD 0.023 0.021 0.019 0.021 0.019 0.020 A (Mdis) SGD-H1 0.025 0.024 0.022 0.024 0.021 0.022 A (Ydis) CHF-H1 0.259 A (Ydis) EUR 0.367 A (Ydis) EUR-H1 0.252 B (Mdis) USD 0.015 0.012 0.009 0.012 0.007 0.009 C (Mdis) USD 0.021 0.019 0.016 0.019 0.015 0.017 I (Mdis) EUR 0.031 0.031 0.029 0.032 0.030 0.030 I (Mdis) GBP 0.027 0.028 0.026 0.027 0.027 0.026 I (Mdis) GBP-H1 0.027 0.029 0.026 0.027 0.027 0.025 I (Mdis) JPY 3.045 3.146 2.812 3.125 3.057 3.227 I (Mdis) JPY-H1 2.506 2.614 2.322 2.504 2.395 2.406 I (Ydis) EUR 0.396 I (Ydis) EUR-H1 0.314 N (Mdis) USD 0.016 0.014 0.012 0.014 0.012 0.012 N (Mdis) EUR-H1 0.021 0.020 0.018 0.020 0.017 0.017 N (Ydis) EUR-H1 0.178 W (Mdis) USD 0.022 0.023 0.020 0.021 0.020 0.020 W (Mdis) EUR 0.023 0.023 0.021 0.024 0.022 0.022 W (Mdis) GBP 0.023 0.023 0.021 0.024 0.021 0.023 W (Mdis) GBP-H1 0.025 0.026 0.024 0.024 0.023 0.023 W (Ydis) EUR 0.196 W (Ydis) EUR-H1 0.273 Z (Mdis) USD 0.023 0.023 0.021 0.022 0.020 0.020 Z (Mdis) GBP-H1 0.024 0.025 0.023 0.023 0.022 0.022 Z (Ydis) EUR-H1 0.284

Templeton Global Bond (Euro) Fund A (Ydis) EUR 0.299

Templeton Global Equity Income Fund A (Mdis) RMB-H1* 0.249 A (Qdis) USD 0.080 0.100 A (Qdis) SGD 0.048 0.062 B (Qdis) USD 0.078 0.098 I (Ydis) USD 0.255

Templeton Global High Yield Fund A (Mdis) USD 0.038 0.037 0.038 0.037 0.039 0.038 A (Mdis) EUR 0.027 0.028 0.029 0.030 0.030 0.031

Templeton Global Income Fund A (Mdis) SGD-H1 0.012 0.005 0.009 0.011 0.008 0.006 A (Qdis) USD 0.111 0.036 A (Qdis) EUR-H1 0.080 0.028 A (Qdis) HKD 0.096 0.031 A (Qdis) SGD 0.087 0.029 B (Qdis) USD 0.055 – C (Qdis) USD 0.089 0.014 N (Qdis) EUR-H1 0.066 0.014

Templeton Global Smaller Companies Fund A (Ydis) USD –





Annual Distribution

Jul-2014Jul-

2014Aug-

2014Sep-

2014Oct-

2014Nov-

2014Dec-

2014Templeton Global Total Return Fund A (Mdis) USD 0.050 0.051 0.049 0.054 0.055 0.050 A (Mdis) AUD-H1 0.032 0.035 0.032 0.038 0.036 0.036 A (Mdis) EUR 0.036 0.039 0.038 0.043 0.043 0.042 A (Mdis) EUR-H1 0.032 0.033 0.033 0.036 0.036 0.033 A (Mdis) GBP 0.029 0.031 0.029 0.034 0.035 0.032 A (Mdis) GBP-H1 0.024 0.026 0.025 0.027 0.028 0.026 A (Mdis) HKD 0.032 0.034 0.032 0.035 0.036 0.033 A (Mdis) RMB-H1 0.294 0.317 0.296 0.326 0.330 0.312 A (Mdis) SGD 0.031 0.033 0.031 0.035 0.035 0.034 A (Mdis) SGD-H1 0.033 0.033 0.032 0.036 0.036 0.034 A (Ydis) CHF-H1 0.392 A (Ydis) EUR 0.477 A (Ydis) EUR-H1 0.394 B (Mdis) USD 0.027 0.027 0.026 0.030 0.032 0.028 C (Mdis) USD 0.034 0.035 0.033 0.037 0.038 0.035 I (Mdis) EUR 0.041 0.045 0.043 0.048 0.050 0.046 I (Mdis) GBP 0.042 0.042 0.040 0.045 0.047 0.045 I (Mdis) GBP-H1 0.040 0.043 0.041 0.044 0.045 0.042 I (Mdis) JPY 4.189 4.510 4.206 4.838 5.122 5.058 I (Mdis) JPY-H1 3.298 3.566 3.305 3.726 3.829 3.618 I (Ydis) EUR 0.552 I (Ydis) EUR-H1 0.458 N (Mdis) USD 0.020 0.022 0.021 0.022 0.023 0.021 N (Mdis) EUR-H1 0.030 0.031 0.030 0.035 0.034 0.031 N (Ydis) EUR-H1 0.315 S (Ydis) USD 0.039 W (Mdis) USD 0.030 0.033 0.029 0.033 0.033 0.030 W (Mdis) EUR 0.031 0.033 0.032 0.036 0.037 0.035 W (Mdis) GBP 0.034 0.034 0.032 0.036 0.037 0.035 W (Mdis) GBP-H1 0.029 0.032 0.031 0.033 0.034 0.032 W (Ydis) EUR 0.286 X (Ydis) USD 0.518 Z (Mdis) USD 0.032 0.034 0.032 0.035 0.036 0.033 Z (Mdis) GBP-H1 0.032 0.036 0.034 0.038 0.038 0.035 Z (Ydis) EUR-H1 0.431

Templeton Growth (Euro) Fund A (Ydis) EUR 0.090 A (Ydis) USD 0.123 B (Ydis) EUR – I (Ydis) EUR 0.199 I (Ydis) USD 0.274

Templeton Latin America Fund A (Ydis) USD 0.438 A (Ydis) EUR 0.332 A (Ydis) GBP 0.246 I (Ydis) EUR-H2 0.152 W (Ydis) USD 0.149 X (Ydis) USD** 0.211

* These share classes were launched during the period under review** These share classes were closed during the period under review






Note 24 — Portfolio Turnover RatioThe portfolio turnover ratio, expressed as a percentage, is equal to the total of purchases and sales of securities netted against the absolute value of subscriptions and redemptions, over average net assets of the Fund for a year. It is effectively a measure of how frequently a Fund buys or sells securities.

The portfolio turnover ratio calculation is not applicable to Liquid Reserve and Money Market Funds, as such a ratio is not relevant to such Funds due to the short-term nature of the investments.

Note 25 — Total Expense RatioThe Total Expense Ratio (“TER”), expressed as a percentage, represents how the total expenses of the Funds relate to the average net assets of the Funds for the period ended December 31, 2014. The total expenses comprise the investment management fees, the administration and transfer agency fees, the custodian fees and other expenses as summarised in the “Statement of Operations and Changes in Net Assets”.

Note 26 — Audited annual reports and unaudited semi-annual reportsThe audited annual reports and unaudited semi-annual reports are available on the following Franklin Templeton Investments website, www.franklintempleton.lu, or may be obtained, free of charge, on request at the registered office of the Company. They are only distributed to registered Shareholders in those countries where local regulation so requires.

Note 27 — Global Credit FacilityEffective February 14, 2014, the Company, together with other European and U.S. registered investment funds managed by Franklin Templeton Investments (individually, “Borrower”; collectively “Borrowers”), entered into a joint syndicated senior unsecured credit facility totaling USD 1,500 million (Global Credit Facility) to provide a source of funds to the Borrowers for temporary and emergency purposes, including the ability to meet future unanticipated or unusually large redemption requests.

Under the terms of the Global Credit Facility, the Company will, in addition to interest charged on any borrowings made by the Company and other costs incurred by the Company, pay its share of fees and expenses incurred in connection with the implementation and maintenance of the Global Credit Facility, based upon its relative share of the aggregate net assets of all of the Borrowers, including an annual commitment fee based upon the unused portion of the Global Credit Facility.

Note 28 — AbbreviationsCountries ARE United Arab EmiratesARG ArgentinaAUS AustraliaAUT AustriaBEL BelgiumBGD BangladeshBGR BulgariaBHN BahrainBHS BahamasBIH Bosnia and HerzegovinaBMU BermudaBRA BrazilBWA BotswanaCAN CanadaCHE SwitzerlandCHL ChileCHN ChinaCI Ivory CoastCOL ColombiaCYM Cayman IslandsCZE Czech RepublicDEU GermanyDNK DenmarkECU EcuadorEGY EgyptESP SpainEST Estonia

ETH EthiopiaFIN FinlandFJ FijiFRA FranceGBR United KingdomGE GeorgiaGHA GhanaGRC GreeceHKG Hong KongHRV CroatiaHUN HungaryIDN IndonesiaIND IndiaIOM Isle of ManIQ IraqIRL IrelandISL IcelandISR IsraelITA ItalyJER JerseyJOR JordanJPN JapanKAZ KazakstanKEN KenyaKH CambodiaKOR South KoreaKWD Kuwait

LKA Sri LankaLTU LithuaniaLUX LuxembourgLVA LatviaMAC MacaoMAR MoroccoMEX MexicoMNE MontenegroMNG MongoliaMUS MauritiusMWI MalawiMYS MalaysiaNGA NigeriaNLD NetherlandsNOR NorwayNZL New ZealandOMN OmanPAK PakistanPAN PanamaPER PeruPHL PhilippinesPOL PolandPRT PortugalQAT QatarROM RomaniaRUS RussiaSAU Saudi Arabia

SEN SenegalSER SerbiaSGP SingaporeSLE Sierra LeoneSP SupranationalSSS SlovakiaSVC El SalvadorSVN SloveniaSWE SwedenTHA ThailandTKM TurkmenistanTTO Trinidad and TobagoTUN TunisiaTUR TurkeyTWN TaiwanTZA TanzaniaUKR UkraineURY UruguayUSA United StatesVND VietnamZAF South AfricaZMB ZambiaZWE Zimbabwe

CurrenciesAED United Arab Emirates DirhamAUD Australian DollarBDT Bangladeshi TakaBRL Brazilian RealBWP Botswanan PulaCAD Canadian DollarCHF Swiss FrancCLP Chilean PesoCNH Chinese Renminbi - OffshoreCNY Chinese Yuan RenminbiCZK Czech KorunaDEM Deutsche MarkDKK Danish KroneEGP Egyptian Pound

EUR EuroGBP British Pound SterlingGHS Ghanaian CediHKD Hong Kong DollarHUF Hungarian ForintIDR Indonesian RupiahINR Indian RupeeJOD Jordanian DinarJPY Japanese YenKES Kenyan ShillingKRW South Korean WonKWD Kuwaiti DinarLKR Sri Lanka RupeeMAD Moroccan Dirham

MUR Mauritius RupeeMXN Mexican PesoMYR Malaysian RinggitNGN Nigerian NairaNOK Norwegian KroneNZD New Zealand DollarOMR Omani Rial PEN Peruvian Nuevo SolPHP Philippine PesoPKR Pakistan RupeePLN Polish ZlotyQAR Qatari RialRON New Romanian LeuRSD Serbian Dinar

RUB Russian RubleSEK Swedish KronaSGD Singapore DollarTHB Thai BahtTND Tunisian DinarTRY Turkish LiraTWD New Taiwan DollarUAH Ukrainian HryvniaUSD US DollarUYU Uruguayan Peso VND Vietnamese DongXOF CFA Franc BCEAOZAR South African Rand

Number of shares or

face value DescriptionCountry

codeTrading currency

Marketvalue

% ofnet

assets

Schedule of Investments as of December 31, 2014(Currency — USD)




— Franklin Asia Credit Fund —

TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET BONDS Corporate Bonds 250,000 Pertamina Persero PT, senior note, 144A, 6.00%, 05/03/42 IDN USD 246,406 3.16 200,000 Standard Chartered Bank Hong Kong Ltd., sub. note, Reg S,

5.875%, 06/24/20 HKG USD 221,713 2.84 200,000 Bharti Airtel International Netherlands BV, senior note, Reg S,

5.125%, 03/11/23 IND USD 213,720 2.74 200,000 Franshion Development Ltd., senior note, 144A, 6.75%, 04/15/21 CHN USD 213,681 2.74 200,000 Indosat Palapa Co. BV, senior note, Reg S, 7.375%, 07/29/20 IDN USD 211,788 2.71 200,000 China Shanshui Cement Group, senior note, 144A, 10.50%, 04/27/17 CHN USD 209,000 2.68 200,000 China Overseas Finance Cayman VI Ltd., senior note, Reg S, 4.25%, 05/08/19 CHN USD 206,577 2.65 200,000 Hyundai Capital America, senior note, Reg S, 3.75%, 04/06/16 KOR USD 206,083 2.64 200,000 Siam Commercial Bank PCL, senior note, 144A, 3.50%, 04/07/19 THA USD 205,938 2.64 200,000 Alibaba Group Holding Ltd., senior bond, 144A, 4.50%, 11/28/34 CHN USD 205,227 2.63 200,000 PTT Global Chemical PCL, senior note, Reg S, 4.25%, 09/19/22 THA USD 205,198 2.63 200,000 Oversea-Chinese Banking Corp. Ltd., 144A, sub. bond, 4.00% to 10/14/19,

FRN thereafter, 10/15/24 SGP USD 205,032 2.63 200,000 United Overseas Bank Ltd., sub. note, Reg S, 2.875% to 10/17/17,

FRN thereafter, 10/17/22 SGP USD 201,643 2.58 200,000 Malayan Banking Bhd., sub. note, Reg S, FRN, 3.25%, 09/20/22 † MYS USD 201,616 2.58 200,000 The Export-Import Bank of Korea, senior note, FRN, 0.98%, 01/14/17 † KOR USD 200,766 2.57 200,000 Abja Investment Co. Pte Ltd., senior note, Reg S, 5.95%, 07/31/24 IND USD 200,250 2.57 200,000 Axis Bank Ltd./Dubai, senior note, 144A, 3.25%, 05/21/20 IND USD 198,047 2.54 200,000 Korea East West Power Co. Ltd., senior note, 144A, 2.50%, 06/02/20 KOR USD 197,946 2.54 200,000 AIA Group Ltd., senior note, Reg S, 3.125%, 03/13/23 HKG USD 197,371 2.53 200,000 Sinopec Capital 2013 Ltd., senior note, 144A, 3.125%, 04/24/23 CHN USD 192,151 2.46 200,000 Longfor Properties Co. Ltd., senior note, Reg S, 6.75%, 01/29/23 CHN USD 191,375 2.45 200,000 Wynn Macau Ltd., senior note, 144A, 5.25%, 10/15/21 MO USD 191,375 2.45 150,000 DP World Ltd., 144A, 6.85%, 07/02/37 ARE USD 169,743 2.17 150,000 AerCap Ireland Capital Ltd./AerCap Global Aviation Trust, senior note,

144A, 5.00%, 10/01/21 NLD USD 156,281 2.00 110,000 Vedanta Resources PLC, senior note, Reg S, 9.50%, 07/18/18 IND USD 118,979 1.52 100,000 CLP Power Hong Kong Financing Ltd., senior note, Reg S, 4.75%, 03/19/20 HKG USD 108,491 1.39 100,000 ICICI Bank Ltd., junior sub. bond, 144A, 6.375% to 04/30/17,

FRN thereafter, 04/30/22 IND USD 103,250 1.32 100,000 Flextronics International Ltd., senior note, 4.625%, 02/15/20 SGP USD 102,000 1.31 100,000 Banco De Oro Unibank Inc., senior bond, Reg S, 3.875%, 04/22/16 PHL USD 101,804 1.30 50,000 Mitsui Sumitomo Insurance Co. Ltd., junior sub. note, 144A,

7.00% to 03/15/22, FRN thereafter, 03/15/72 JPN USD 57,622 0.74 50,000 Smithfield Foods Inc., senior note, 144A, 5.875%, 08/01/21 USA USD 51,031 0.65 50,000 NOVA Chemicals Corp., senior bond, 144A, 5.00%, 05/01/25 CAN USD 49,750 0.64 50,000 Constellation Brands Inc., senior note, 3.75%, 05/01/21 USA USD 49,625 0.64 45,000 Chesapeake Energy Corp., senior note, 6.625%, 08/15/20 USA USD 48,038 0.62 50,000 FMG Resources (August 2006) Pty. Ltd., senior note, 144A,

8.25%, 11/01/19 AUS USD 45,688 0.59 40,000 JBS USA LLC/Finance Inc., senior note, 144A, 8.25%, 02/01/20 USA USD 42,300 0.54 40,000 ArcelorMittal, senior note, 5.50%, 03/01/21 LUX USD 41,455 0.53 42,000 WPX Energy Inc., senior note, 6.00%, 01/15/22 USA USD 40,635 0.52 40,000 Equinix Inc., senior note, 4.875%, 04/01/20 USA USD 40,000 0.51 40,000 California Resources Corp., senior note, 144A, 5.50%, 09/15/21 USA USD 34,400 0.44 35,000 First Quantum Minerals Ltd., senior note, 144A, 6.75%, 02/15/20 CAN USD 31,850 0.41 35,000 Peabody Energy Corp., senior note, 6.25%, 11/15/21 USA USD 30,056 0.39 30,000 Linn Energy LLC/Finance Corp., senior note, 7.75%, 02/01/21 USA USD 25,425 0.33

5,971,326 76.52

Government and Municipal Bonds 250,000 Government of the Philippines, senior bond, 4.20%, 01/21/24 PHL USD 271,830 3.48 200,000 Republic of Sri Lanka, senior note, Reg S, 5.125%, 04/11/19 LKA USD 202,424 2.60 200,000 Government of Indonesia, senior bond, 144A, 4.625%, 04/15/43 IDN USD 187,127 2.40 100,000 Government of the Philippines, senior bond, 6.375%, 10/23/34 PHL USD 134,295 1.72

795,676 10.20

Securities Maturing Within One Year 200,000 Shinhan Bank, senior note, Reg S, 4.375%, 09/15/15 KOR USD 204,646 2.62 100,000 CMT MTN Pte. Ltd., senior bond, Reg S, 4.321%, 04/08/15 SGP USD 100,813 1.29

305,459 3.91

TOTAL BONDS 7,072,461 90.63

INVESTMENTS FUNDS Diversified Financial Services 20,534 Templeton Asian Bond Fund, Class I (Acc) LUX USD 396,304 5.08

TOTAL INVESTMENTS FUNDS 396,304 5.08

TOTAL TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET 7,468,765 95.71

Number of shares or



Marketvalue

% ofnet

assets

Schedule of Investments as of December 31, 2014 (continued)(Currency — USD)




— Franklin Asia Credit Fund —

TRANSFERABLE SECURITIES NOT ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING NOR DEALT IN ON ANOTHER REGULATED MARKET

BONDS Corporate Bonds 200,000 Hutchison Whampoa International 09 Ltd., Reg S, 7.625%, 04/09/19 HKG USD 241,468 3.09

TOTAL BONDS 241,468 3.09

TOTAL TRANSFERABLE SECURITIES NOT ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING NOR DEALT IN ON ANOTHER REGULATED MARKET 241,468 3.09

TOTAL INVESTMENTS 7,710,233 98.80

† Floating Rates are indicated as at December 31, 2014

Number of shares or



Marketvalue

% ofnet

assets





TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Biotechnology 2,194,400 Celgene Corp. USA USD 245,465,584 9.70 540,840 Biogen Idec Inc. USA USD 183,588,138 7.26 1,726,600 Gilead Sciences Inc. USA USD 162,749,316 6.43 834,500 Amgen Inc. USA USD 132,927,505 5.25 861,700 Medivation Inc. USA USD 85,833,937 3.39 194,200 Regeneron Pharmaceuticals Inc. USA USD 79,670,550 3.15 822,009 BioMarin Pharmaceutical Inc. USA USD 74,309,614 2.94 985,600 Incyte Corp. USA USD 72,057,216 2.85 336,200 Alexion Pharmaceuticals Inc. USA USD 62,207,086 2.46 463,500 Vertex Pharmaceuticals Inc. USA USD 55,063,800 2.18 315,857 Intercept Pharmaceuticals Inc. USA USD 49,273,692 1.95 481,400 Alnylam Pharmaceuticals Inc. USA USD 46,695,800 1.85 242,200 Puma Biotechnology Inc. USA USD 45,841,194 1.81 301,313 Receptos Inc. USA USD 36,913,856 1.46 982,968 Karyopharm Therapeutics Inc. USA USD 36,792,492 1.45 1,980,523 Celldex Therapeutics Inc. USA USD 36,144,545 1.43 514,000 Isis Pharmaceuticals Inc. USA USD 31,734,360 1.25 1,147,500 Neurocrine Biosciences Inc. USA USD 25,635,150 1.01 1,791,173 Keryx Biopharmaceuticals Inc. USA USD 25,345,098 1.00 893,201 Portola Pharmaceuticals Inc. USA USD 25,295,452 1.00 793,800 Acadia Pharmaceuticals Inc. USA USD 25,203,150 1.00 257,304 Bluebird Bio Inc. USA USD 23,599,923 0.93 2,257,684 Heron Therapeutics Inc. USA USD 22,712,301 0.90 373,999 Auspex Pharmaceuticals Inc. USA USD 19,627,467 0.78 1,545,500 Achillion Pharmaceuticals Inc. USA USD 18,932,375 0.75 389,800 NewLink Genetics Corp. USA USD 15,494,550 0.61 971,032 Tekmira Pharmaceuticals Corp. CAN USD 14,711,135 0.58 378,500 Tesaro Inc. USA USD 14,076,415 0.56 399,200 MacroGenics Inc. USA USD 13,999,944 0.55 446,646 Zafgen Inc. USA USD 13,774,563 0.54 446,226 Immune Design Corp. USA USD 13,734,836 0.54 231,200 Alkermes PLC USA USD 13,539,072 0.54 2,122,777 Orexigen Therapeutics Inc. USA USD 12,864,029 0.51 318,377 Acceleron Pharma Inc. USA USD 12,403,968 0.49 214,500 Kite Pharma Inc. USA USD 12,370,215 0.49 237,800 PTC Therapeutics Inc. USA USD 12,310,906 0.49 2,020,565 Novavax Inc. USA USD 11,981,950 0.47 600,000 La Jolla Pharmaceutical Co. USA USD 11,070,000 0.44 378,372 Alder Biopharmaceuticals Inc. USA USD 11,006,841 0.43 400,000 FibroGen Inc. USA USD 10,936,000 0.43 617,330 Stemline Therapeutics Inc. USA USD 10,531,650 0.42 1,220,700 Amicus Therapeutics Inc. USA USD 10,156,224 0.40 520,146 Mirati Therapeutics Inc. CAN USD 9,633,104 0.38 247,300 Radius Health Inc. USA USD 9,622,443 0.38 1,128,801 ChemoCentryx Inc. USA USD 7,709,711 0.30 435,460 Dynavax Technologies Corp. USA USD 7,341,856 0.29 130,800 Juno Therapeutics Inc. USA USD 6,830,376 0.27 470,900 Dyax Corp. USA USD 6,620,854 0.26 433,400 Sangamo BioSciences Inc. USA USD 6,592,014 0.26 1,540,902 MEI Pharma Inc. USA USD 6,579,652 0.26 370,900 Dicerna Pharmaceuticals Inc. USA USD 6,108,723 0.24 514,100 Eleven Biotherapeutics Inc. USA USD 6,107,508 0.24 131,900 Ultragenyx Pharmaceutical Inc. USA USD 5,787,772 0.23 423,200 Concert Pharmaceuticals Inc. USA USD 5,637,024 0.22 927,783 Aptose Biosciences Inc. CAN CAD 5,488,800 0.22 135,300 SAGE Therapeutics Inc. USA USD 4,951,980 0.20 2,506,800 Oncothyreon Inc. USA USD 4,762,920 0.19 1,597,600 Catalyst Pharmaceutical Partners Inc. USA USD 4,744,872 0.19 409,000 Cara Therapeutics Inc. USA USD 4,077,730 0.16 1,272,200 Threshold Pharmaceuticals Inc. USA USD 4,045,596 0.16 554,885 GlycoMimetics Inc. USA USD 3,995,172 0.16 185,300 Forward Pharma AS, ADR DNK USD 3,859,799 0.15 260,300 Tokai Pharmaceuticals Inc. USA USD 3,836,822 0.15 171,300 ProQR Therapeutics NV NLD USD 3,712,071 0.15 6,592,600 Mast Therapeutics Inc. USA USD 3,691,856 0.15 1,326,900 CytRx Corp. USA USD 3,635,706 0.14 1,251,292 Lpath Inc., A USA USD 3,528,643 0.14 157,600 OncoMed Pharmaceuticals Inc. USA USD 3,429,376 0.14 369,245 Aquinox Pharmaceuticals Inc. CAN USD 2,769,337 0.11 227,737 ADMA Biologics Inc. USA USD 2,543,822 0.10 44,600 Avalanche Biotechnologies Inc. USA USD 2,408,400 0.10 484,100 Heat Biologics Inc. USA USD 2,275,270 0.09 58,200 Biospecifics Technologies Corp. USA USD 2,247,684 0.09 89,000 Bellicum Pharmaceuticals Inc. USA USD 2,050,560 0.08 45,200 OvaScience Inc. USA USD 1,998,744 0.08 277,100 Tonix Pharmaceuticals Holding Corp. USA USD 1,618,264 0.06

— Franklin Biotechnology Discovery Fund —

Number of shares or



Marketvalue

% ofnet

assets






Biotechnology (continued) 90,000 Xencor Inc. USA USD 1,443,600 0.06 835,350 Anthera Pharmaceuticals Inc. USA USD 1,319,853 0.05 421,802 Targacept Inc. USA USD 1,109,339 0.04 67,119 Akebia Therapeutics Inc. USA USD 781,265 0.03 56,682 BIND Therapeutics Inc. USA USD 306,083 0.01

2,003,786,500 79.20

Life Sciences Tools & Services 405,500 Illumina Inc. USA USD 74,847,190 2.96 700,800 Fluidigm Corp. USA USD 23,637,984 0.93 237,000 Genfit FRA EUR 10,805,493 0.43

109,290,667 4.32

Pharmaceuticals 269,800 Shire PLC, ADR IRL USD 57,343,292 2.27 766,600 AbbVie Inc. USA USD 50,166,304 1.98 363,822 Salix Pharmaceuticals Ltd. USA USD 41,817,701 1.65 235,131 Jazz Pharmaceuticals PLC USA USD 38,497,999 1.52 914,147 Sagent Pharmaceuticals Inc. USA USD 22,954,231 0.91 2,298,900 SciClone Pharmaceuticals Inc. USA USD 20,138,364 0.80 580,400 Relypsa Inc. USA USD 17,876,320 0.71 792,600 Aratana Therapeutics Inc. USA USD 14,124,132 0.56 2,525,082 TherapeuticsMD Inc. USA USD 11,236,615 0.44 140,503 GW Pharmaceuticals PLC, ADR GBR USD 9,509,243 0.38 898,500 Marinus Pharmaceuticals Inc. USA USD 9,470,190 0.37 297,100 Intra-Cellular Therapies Inc. USA USD 5,243,815 0.21 248,400 Dermira Inc. USA USD 4,498,524 0.18 229,500 Revance Therapeutics Inc. USA USD 3,887,730 0.15 411,937 Celsus Therapeutics PLC, ADR GBR USD 1,977,297 0.08 49,116 Nuvo Research Inc. CAN CAD 296,071 0.01

309,037,828 12.22

TOTAL SHARES 2,422,114,995 95.74

TOTAL TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING 2,422,114,995 95.74

TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET SHARES Biotechnology 138,900 OvaScience Inc., 144A USA USD 6,142,158 0.24

TOTAL SHARES 6,142,158 0.24

WARRANTS Biotechnology 182,719 Heron Therapeutics Inc., wts., 144A, 07/01/16 USA USD 1,180,363 0.05 5,455,400 Mast Therapeutics Inc., wts., 06/14/18 USA USD 709,202 0.03

1,889,565 0.08

TOTAL WARRANTS 1,889,565 0.08

BONDS Securities Maturing Within One Year 22,500,000 U.S. Treasury Bill, 0.00%, 01/02/15 USA USD 22,500,000 0.89

TOTAL BONDS 22,500,000 0.89



SHARES Biotechnology 166,795 Intarcia Therapeutics Inc., DD ** USA USD 6,178,086 0.24 379,948 Natera Inc, pfd., ** USA USD 2,974,993 0.12 460,869 Aduro Biotech Inc., pfd., D ** USA USD 1,245,683 0.05

10,398,762 0.41

TOTAL SHARES 10,398,762 0.41

Number of shares or



Marketvalue

% ofnet

assets






WARRANTS Biotechnology 223,880 Northwest Biotherapeutics Inc., wts., 02/20/19 ** USA USD 773,367 0.03

TOTAL WARRANTS 773,367 0.03

TOTAL TRANSFERABLE SECURITIES NOT ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING NOR DEALT IN ON ANOTHER REGULATED MARKET 11,172,129 0.44

TOTAL INVESTMENTS 2,463,818,847 97.39

** These securities are submitted to a Fair Valuation

Number of shares or



Marketvalue

% ofnet

assets





TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Consumer Discretionary 25,200 Estacio Participacoes SA BRA BRL 225,875 0.66 12,054 Alpargatas SA, pfd. BRA BRL 32,885 0.10

258,760 0.76

Consumer Staples 6,500 Companhia Brasileira de Distribuicao, pfd., A BRA BRL 241,240 0.71 36,600 Ambev SA BRA BRL 225,178 0.66 3,500 BRF SA BRA BRL 83,552 0.24

549,970 1.61

Financials 31,000 CETIP SA Mercados Organizados BRA BRL 375,616 1.10 100,484 Itausa – Investimentos Itau SA, pfd. BRA BRL 355,050 1.04 16,300 BB Seguridade Participacoes SA BRA BRL 197,256 0.58 12,100 Banco Bradesco SA, pfd. BRA BRL 159,634 0.47 22,300 Sul America SA (units consisting of common stock and preferred stock) BRA BRL 108,332 0.31 1,000 Aliansce Shopping Centers SA BRA BRL 6,164 0.02

1,202,052 3.52

Health Care 23,600 Fleury SA BRA BRL 144,575 0.42

Industrials 19,600 Arteris SA BRA BRL 91,454 0.27 8,800 All America Latina Logistica BRA BRL 16,756 0.05

108,210 0.32

Materials 47,500 Suzano Papel e Celulose SA, pfd., A BRA BRL 201,082 0.59 18,100 Duratex SA BRA BRL 54,692 0.16

255,774 0.75

Utilities 22,000 CPFL Energia SA BRA BRL 153,068 0.45 4,700 Companhia de Gas de Sao Paulo, pfd., A BRA BRL 86,307 0.25

239,375 0.70


TOTAL TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING 2,758,716 8.08

TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET BONDS Corporate Bonds 3,500,000 Centrais Eletricas Brasileiras SA, senior note, Reg S, 5.75%, 10/27/21 BRA USD 3,365,687 9.86

Government and Municipal Bonds 3,475 Nota Do Tesouro Nacional, Index Linked, 6.00%, 08/15/24 BRA BRL 3,254,621 9.54 8,000 Nota Do Tesouro Nacional, 9.7618%, 01/01/17 BRA BRL 2,867,764 8.40 2,858 Nota Do Tesouro Nacional, Index Linked, 6.00%, 05/15/19 BRA BRL 2,682,800 7.86 702 Letras Financeiras do Tesouro, Strip, 09/07/16 BRA BRL 1,721,661 5.05 650 Letras Financeiras do Tesouro, Strip, 09/01/18 BRA BRL 1,599,079 4.69 586 Letras Financeiras do Tesouro, senior note, Strip, 03/01/18 BRA BRL 1,437,185 4.21 1,109 Nota Do Tesouro Nacional, Index Linked, 6.00%, 05/15/35 BRA BRL 1,025,264 3.00 636 Nota Do Tesouro Nacional, Index Linked, 6.00%, 08/15/22 BRA BRL 597,437 1.75 100,000 Government of Brazil, 10.125%, 05/15/27 BRA USD 153,963 0.45 100,000 Government of Brazil, senior bond, 8.875%, 04/15/24 BRA USD 136,000 0.40

15,475,774 45.35

Securities Maturing Within One Year 12,000 Letra Tesouro Nacional, Strip, 04/01/15 BRA BRL 4,390,675 12.87 1,365 Nota Do Tesouro Nacional, Index Linked, 6.00%, 05/15/15 BRA BRL 1,303,076 3.82 170 Letras Financeiras do Tesouro, Strip, 03/07/15 BRA BRL 416,914 1.22 157 Letras Financeiras do Tesouro, Strip, 09/07/15 BRA BRL 385,036 1.13

6,495,701 19.04

TOTAL BONDS 25,337,162 74.25



— Franklin Brazil Opportunities Fund —

Number of shares or



Marketvalue

% ofnet

assets

Schedule of Investments as of December 31, 2014(Currency — EUR)




TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET BONDS Government and Municipal Bonds 9,600,000 Italy Treasury Bond, senior bond, 5.50%, 09/01/22 ITA EUR 12,326,160 8.74 11,400,000 Government of Finland, Reg S, 0.375%, 09/15/20 FIN EUR 11,515,539 8.17 7,200,000 Government of Spain, 5.75%, 07/30/32 ESP EUR 10,611,576 7.53 8,500,000 Government of Spain, senior bond, 4.00%, 04/30/20 ESP EUR 9,864,760 7.00 8,500,000 Government of the Netherlands, Reg S, 1.75%, 07/15/23 NLD EUR 9,362,580 6.64 6,500,000 Government of Poland, 5.25%, 01/20/25 POL EUR 8,818,127 6.26 6,800,000 Italy Treasury Bond, senior bond, Reg S, 4.75%, 09/01/44 ITA EUR 8,817,458 6.25 8,600,000 Government of the Netherlands, 0.25%, 01/15/20 NLD EUR 8,672,455 6.15 7,200,000 Government of Germany, 3.75%, 01/04/19 DEU EUR 8,302,680 5.89 6,000,000 Government of Ireland, 5.00%, 10/18/20 IRL EUR 7,513,350 5.33 6,300,000 Government of the Netherlands, Reg S, 1.25%, 01/15/19 NLD EUR 6,613,425 4.69 5,500,000 KFW, senior note, 3.125%, 06/15/18 DEU EUR 6,087,373 4.32 5,300,000 Italy Treasury Bond, Reg S, 3.50%, 03/01/30 ITA EUR 5,926,725 4.20 4,200,000 Italy Treasury Bond, senior bond, Reg S, 4.75%, 09/01/28 ITA EUR 5,315,961 3.77 3,500,000 Government of Finland, senior bond, Reg S, 2.00%, 04/15/24 FIN EUR 3,927,945 2.79 3,500,000 Government of Bulgaria, Reg S, 2.95%, 09/03/24 BGR EUR 3,516,870 2.49 3,200,000 Government of Latvia, Reg S, 2.625%, 01/21/21 LVA EUR 3,474,656 2.46 3,000,000 Government of Lithuania, senior note, Reg S, 3.375%, 01/22/24 LTU EUR 3,462,795 2.46

134,130,435 95.14

Securities Maturing Within One Year 4,050,000 European Financial Stability Facility, Reg S, 0.08%, 07/15/15 SP EUR 4,051,883 2.88

TOTAL BONDS 138,182,318 98.02



— Franklin Euro Government Bond Fund —

Number of shares or



Marketvalue

% ofnet

assets





TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING INVESTMENTS FUNDS Diversified Financial Services 74,000 iShares Euro High Yield Corporate Bond UCITS ETF $E EUR 8,025,300 0.74

TOTAL INVESTMENTS FUNDS 8,025,300 0.74


TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET SHARES Air Freight & Logistics 777 CEVA Holdings LLC, cvt. pfd., A-2 GBR USD 497,544 0.05 359 CEVA Holdings LLC GBR USD 229,842 0.02 16 CEVA Holdings LLC, cvt. pfd., A-1 GBR USD 13,223 0.00

740,609 0.07

TOTAL SHARES 740,609 0.07

BONDS Corporate Bonds 14,000,000 UPCB Finance II Ltd., senior secured note, Reg S, 6.375%, 07/01/20 NLD EUR 14,736,400 1.37 12,400,000 CNH Industrial Finance Europe SA, senior note, Reg S, 6.25%, 03/09/18 GBR EUR 13,903,500 1.29 10,500,000 Bakkavor Finance 2 PLC, senior secured note, Reg S, 8.25%, 02/15/18 GBR GBP 13,867,573 1.29 10,000,000 Enel SpA, sub. bond, Reg S, 6.625% to 09/15/21, FRN thereafter, 09/15/76 ITA GBP 13,582,267 1.26 12,500,000 Unitymedia Hessen GmbH & Co. KG/Unitymedia NRW GmbH, first lien,

Reg S, 7.50%, 03/15/19 DEU EUR 13,148,250 1.22 10,000,000 Moy Park Bondco PLC, senior note, Reg S, 6.25%, 05/29/21 GBR GBP 12,487,312 1.16 9,000,000 Jaguar Land Rover Automotive PLC, senior note, Reg S, 5.00%, 02/15/22 GBR GBP 12,296,500 1.14 9,000,000 New Look Bondco I PLC, secured note, first lien, Reg S, 8.75%, 05/14/18 GBR GBP 12,211,519 1.13 11,700,000 WMG Acquisition Corp., senior secured note, first lien, Reg S, 6.25%,

01/15/21 USA EUR 11,977,875 1.11 11,000,000 Rexel SA, senior note, Reg S, 5.125%, 06/15/20 FRA EUR 11,825,000 1.10 8,750,000 Pendragon PLC, secured note, Reg S, 6.875%, 05/01/20 GBR GBP 11,687,231 1.09 10,000,000 Telecom Italia SpA, senior bond, Reg S, 5.25%, 02/10/22 ITA EUR 11,406,250 1.06 10,000,000 Almirall SA, senior note, Reg S, 4.625%, 04/01/21 ESP EUR 10,650,000 0.99 9,000,000 UniCredit SpA, sub. note, Reg S, 6.95%, 10/31/22 ITA EUR 10,625,625 0.99 9,820,000 eAccess Ltd., senior note, Reg S, 8.375%, 04/01/18 JPN EUR 10,347,825 0.96 10,500,000 Kedrion SpA, senior note, Reg S, 4.625%, 04/24/19 ITA EUR 10,342,500 0.96 10,000,000 Rhino Bondco SpA, senior secured note, Reg S, 7.25%, 11/15/20 ITA EUR 10,250,000 0.95 9,500,000 PortAventura Entertainment Barcelona BV, secured note, Reg S,

7.25%, 12/01/20 ESP EUR 9,856,250 0.92 9,000,000 La Financiere Atalian SA, senior note, Reg S, 7.25%, 01/15/20 FRA EUR 9,565,785 0.89 9,000,000 Altice Financing SA, senior secured note, Reg S, 8.00%, 12/15/19 LUX EUR 9,551,250 0.89 8,900,000 Ence Energia y Celulosa SA, secured note, Reg S, 7.25%, 02/15/20 ESP EUR 9,349,272 0.87 9,000,000 Rain CII Carbon LLC/CII Carbon Corp., second lien, Reg S, 8.50%, 01/15/21 USA EUR 9,315,000 0.87 7,000,000 Arrow Global Finance PLC, secured note, Reg S, 7.875%, 03/01/20 GBR GBP 9,310,334 0.86 8,500,000 Telecom Italia SpA, senior note, Reg S, 4.50%, 01/25/21 ITA EUR 9,307,500 0.86 9,000,000 Stretford 79 PLC, secured note, Reg S, 6.25%, 07/15/21 GBR GBP 9,158,973 0.85 10,000,000 HCA Inc., senior note, 5.875%, 05/01/23 USA USD 8,729,339 0.81 8,000,000 WEPA Hygieneprodukte GmbH, secured note, Reg S, 6.50%, 05/15/20 DEU EUR 8,681,960 0.81 8,500,000 Marcolin SpA, senior secured note, Reg S, 8.50%, 11/15/19 ITA EUR 8,680,625 0.81 9,000,000 Pfleiderer GmbH, secured note, Reg S, 7.875%, 08/01/19 DEU EUR 8,623,125 0.80 9,200,000 Barry Callebaut Services SA, senior note, 144A, 5.50%, 06/15/23 BEL USD 8,121,281 0.75 6,000,000 Koninklijke KPN NV, senior sub. note, Reg S, 6.875% to 03/14/20,

FRN thereafter, 03/14/73 NLD GBP 8,055,761 0.75 6,000,000 HSS Financing PLC, senior secured note, Reg S, 6.75%, 08/01/19 GBR GBP 8,043,085 0.75 8,000,000 Galapagos SA, senior secured note, Reg S, 5.375%, 06/15/21 DEU EUR 7,965,000 0.74 6,500,000 Lafarge SA, senior note, Reg S, 4.75%, 09/30/20 FRA EUR 7,706,562 0.72 7,750,000 Financiere Gaillon 8 SAS, senior note, Reg S, 7.00%, 09/30/19 FRA EUR 7,556,250 0.70 7,000,000 Avis Budget Finance PLC, senior note, Reg S, 6.00%, 03/01/21 USA EUR 7,376,250 0.69 7,000,000 Huntsman International LLC, senior note, 5.125%, 04/15/21 USA EUR 7,345,625 0.68 7,000,000 Numericable Group SA, first lien, Reg S, 5.375%, 05/15/22 FRA EUR 7,259,980 0.67 8,300,000 Grupo Isolux Corsan Finance BV, senior note, Reg S, 6.625%, 04/15/21 ESP EUR 7,238,430 0.67 6,837,000 LBG Capital No. 2 PLC, cvt., sub. bond, 18, Reg S, 6.385%, 05/12/20 GBR EUR 7,181,140 0.67 7,000,000 IVS F. SpA, senior secured note, first lien, Reg S, 7.125%, 04/01/20 ITA EUR 7,162,260 0.67 7,000,000 Safari Holding Verwaltungs GmbH, secured note, Reg S, 8.25%, 02/15/21 DEU EUR 7,148,750 0.66 5,500,000 IDH Finance PLC, secured note, Reg S, 6.00%, 12/01/18 GBR GBP 7,116,882 0.66 7,000,000 Kerling PLC, senior secured note, first lien, Reg S, 10.625%, 02/01/17 GBR EUR 7,116,655 0.66 5,000,000 Jerrold Finco PLC, secured note, Reg S, 9.75%, 09/15/18 GBR GBP 7,109,153 0.66 6,500,000 Ceramtec Group GmbH, senior note, Reg S, 8.25%, 08/15/21 DEU EUR 7,032,187 0.65 7,000,000 Hertz Holdgs Netherlands BV, senior note, Reg S, 4.375%, 01/15/19 USA EUR 7,008,750 0.65 7,500,000 Galapagos Holding SA, senior note, Reg S, 7.00%, 06/15/22 DEU EUR 6,993,750 0.65 7,100,000 Wind Acquisition Finance SA, senior note, Reg S, 7.00%, 04/23/21 ITA EUR 6,975,253 0.65 7,000,000 Wind Acquisition Finance SA, senior secured note, Reg S, 4.00%, 07/15/20 ITA EUR 6,895,000 0.64 6,000,000 AXA SA, sub. bond, Reg S, 5.25% to 04/16/20, FRN thereafter, 04/16/40 FRA EUR 6,834,660 0.64 8,000,000 Intralot Capital Luxembourg SA, senior note, Reg S, 6.00%, 05/15/21 GRC EUR 6,794,000 0.63 5,000,000 Twinkle Pizza PLC, senior secured note, Reg S, 6.625%, 08/01/21 GBR GBP 6,597,906 0.61

— Franklin Euro High Yield Fund —

Number of shares or



Marketvalue

% ofnet

assets




Corporate Bonds (continued) 5,500,000 Intesa Sanpaolo SpA, junior sub. bond, Reg S, 8.375% to 10/14/19,

FRN thereafter, Perpetual ITA EUR 6,516,977 0.61 6,400,000 Algeco Scotsman Global Finance PLC, secured note, Reg S, 9.00%, 10/15/18 GBR EUR 6,508,000 0.60 6,000,000 Telefonica Europe BV, junior sub. note, Reg S, 5.875% to 03/31/24,

FRN thereafter, Perpetual ESP EUR 6,464,490 0.60 8,000,000 Beverage Packaging Holdings Luxembourg II SA/Beverage Packaging

Holdings II Issuer Inc., senior sub. note, 144A, 6.00%, 06/15/17 USA USD 6,462,810 0.60 7,400,000 ArcelorMittal, senior note, 5.50%, 03/01/21 LUX USD 6,338,100 0.59 6,000,000 Belden Inc., senior sub. bond, Reg S, 5.50%, 04/15/23 USA EUR 6,255,000 0.58 6,000,000 Matterhorn Financing & CY SCA, senior secured note, Reg S,

PIK, 9.00%, 04/15/19 ‡ CHE EUR 6,114,000 0.57 7,900,000 Sprint Corp., senior bond, 7.125%, 06/15/24 USA USD 6,104,546 0.57 5,000,000 Lafarge SA, senior note, Reg S, 6.75%, 12/16/19 FRA EUR 6,084,375 0.57 5,000,000 Odeon & UCI Finco PLC, senior secured note, Reg S, 9.00%, 08/01/18 GBR GBP 6,054,454 0.56 5,500,000 UPC Holding BV, senior note, Reg S, 6.75%, 03/15/23 NLD EUR 6,029,952 0.56 5,000,000 The Royal Bank of Scotland PLC, sub. note, 6.934%, 04/09/18 GBR EUR 5,771,875 0.54 5,000,000 Fiat Chrysler Finance Europe, senior note, Reg S, 6.75%, 10/14/19 GBR EUR 5,740,625 0.53 5,500,000 Ardagh Glass Finance, senior note, Reg S, 8.75%, 02/01/20 IRL EUR 5,700,805 0.53 6,600,000 CHS/Community Health Systems Inc., senior secured note, 5.125%, 08/01/21 USA USD 5,686,364 0.53 6,900,000 Citigroup Inc., junior sub. bond, M, 6.30% to 05/15/24, FRN thereafter,

Perpetual USA USD 5,631,198 0.52 4,000,000 Virgin Media Finance PLC, senior bond, Reg S, 7.00%, 04/15/23 GBR GBP 5,619,693 0.52 5,000,000 HeidelbergCement Finance Luxembourg SA, senior note, Reg S, 3.25%,

10/21/21 DEU EUR 5,490,625 0.51 5,000,000 Telecom Italia SpA, senior note, Reg S, 4.75%, 05/25/18 ITA EUR 5,471,875 0.51 5,000,000 Fiat Chrysler Finance Europe, senior note, Reg S, 7.75%, 10/17/16 GBR EUR 5,462,500 0.51 5,300,000 Cable Communications Systems NV, senior secured note, Reg S, 7.50%,

11/01/20 ROM EUR 5,419,250 0.50 5,000,000 Cerved Technologies SpA, senior sub. note, Reg S, 8.00%, 01/15/21 ITA EUR 5,417,500 0.50 5,000,000 Fresenius Finance BV, senior note, Reg S, 3.00%, 02/01/21 DEU EUR 5,400,000 0.50 5,000,000 Schaeffler Holding Finance BV, senior secured note, Reg S, PIK,

5.75%, 11/15/21 ‡ DEU EUR 5,343,750 0.50 5,000,000 Unione di Banche Italiane SCpA, senior note, Reg S, 2.875%, 02/18/19 ITA EUR 5,333,200 0.50 5,000,000 Cerved Technologies SpA, senior secured note, Reg S, 6.375%, 01/15/20 ITA EUR 5,317,500 0.49 6,400,000 Gamenet SpA, secured note, Reg S, 7.25%, 08/01/18 ITA EUR 5,308,000 0.49 5,000,000 Ardagh Packaging Finance PLC, senior note, Reg S, 9.25%, 10/15/20 LUX EUR 5,293,750 0.49 5,000,000 Sunrise Communications International SA, senior secured note,

Reg S, 7.00%, 12/31/17 CHE EUR 5,187,750 0.48 5,627,000 Calpine Corp., senior secured bond, 144A, 7.875%, 01/15/23 USA USD 5,150,333 0.48 5,000,000 Rabobank Nederland, sub. bond, Reg S, 2.50% to 05/26/21,

FRN thereafter, 05/26/26 NLD EUR 5,097,525 0.47 4,500,000 Spie BondCo 3 SCA, senior note, Reg S, 11.00%, 08/15/19 LUX EUR 5,027,400 0.47 4,500,000 OTE PLC, senior note, Reg S, 7.875%, 02/07/18 GRC EUR 4,928,107 0.46 5,000,000 Rhino Bondco SpA, first lien, Reg S, FRN, 5.582%, 12/15/19 † ITA EUR 4,925,900 0.46 4,500,000 Cegedim SA, senior note, Reg S, 6.75%, 04/01/20 FRA EUR 4,924,687 0.46 4,000,000 Societe Generale SA, junior sub. bond, Reg S, 9.375% to 09/04/19,

FRN thereafter, Perpetual FRA EUR 4,905,000 0.46 6,000,000 Sabine Pass Liquefaction LLC, first lien, 5.625%, 02/01/21 USA USD 4,896,694 0.45 6,400,000 Stena AB, senior bond, 144A, 7.00%, 02/01/24 SWE USD 4,852,893 0.45 5,000,000 Intesa Sanpaolo SpA, senior note, 144A, 6.50%, 02/24/21 ITA USD 4,809,360 0.45 4,500,000 Chesapeake Energy Corp., senior bond, 6.25%, 01/15/17 USA EUR 4,713,750 0.44 4,450,000 Play Finance 2 SA, secured note, first lien, Reg S, 5.25%, 02/01/19 LUX EUR 4,621,325 0.43 6,000,000 Financiere Quick SAS, senior note, Reg S, FRN, 7.582%, 10/15/19 † FRA EUR 4,612,320 0.43 4,000,000 HeidelbergCement Finance Luxembourg SA, senior note, Reg S,

8.00%, 01/31/17 DEU EUR 4,577,500 0.43 5,000,000 Financiere Quick SAS, senior secured note, Reg S, FRN, 4.832%, 04/15/19 † FRA EUR 4,532,350 0.42 4,100,000 Fiat Chrysler Finance Europe, senior note, Reg S, 4.75%, 03/22/21 GBR EUR 4,384,437 0.41 5,000,000 eAccess Ltd., senior note, 144A, 8.25%, 04/01/18 JPN USD 4,346,591 0.40 4,500,000 Abengoa Finance SAU, senior note, Reg S, 8.875%, 02/05/18 ESP EUR 4,334,355 0.40 4,000,000 LBG Capital No. 1 PLC, cvt., sub. bond, 36, 7.625%, 10/14/20 GBR EUR 4,330,000 0.40 4,250,000 Mobile Challenger Intermediate Group SA, senior secured note,

Reg S, PIK, 8.75%, 03/15/19 ‡ CHE EUR 4,324,375 0.40 4,000,000 Telenet Finance II Luxembourg, senior secured note,

Reg S, 6.625%, 02/15/21 LUX EUR 4,264,960 0.40 6,000,000 Linn Energy LLC/Finance Corp., senior note, 6.25%, 11/01/19 USA USD 4,239,670 0.39 5,250,000 Edcon Pty. Ltd., senior secured note, Reg S, 9.50%, 03/01/18 ZAF EUR 4,232,812 0.39 4,000,000 U.S. Coatings Acquisition Inc./Flash Dutch 2 BV, secured note,

Reg S, 5.75%, 02/01/21 USA EUR 4,227,500 0.39 5,000,000 Fresenius Medical Care U.S. Finance II Inc., senior note, 144A,

4.75%, 10/15/24 DEU USD 4,165,806 0.39 5,000,000 Navient Corp., senior note, 4.875%, 06/17/19 USA USD 4,154,546 0.39 4,000,000 EC Finance PLC, secured note, Reg S, 5.125%, 07/15/21 GBR EUR 4,152,500 0.39 4,000,000 Auris Luxembourg II S.à r.l., senior note, Reg S, 8.00%, 01/15/23 DEU EUR 4,135,000 0.38 3,000,000 Pennon Group PLC, senior sub. bond, Reg S, 6.75% to 03/08/18,

FRN thereafter, Perpetual GBR GBP 4,118,890 0.38 4,000,000 Piaggio & C SpA, senior note, Reg S, 4.625%, 04/30/21 ITA EUR 4,117,500 0.38 4,000,000 Banco Bilbao Vizcaya Argentaria SA, junior sub. note,

7.00% to 02/19/19, FRN thereafter, Perpetual ESP EUR 4,090,000 0.38

Schedule of Investments as of December 31, 2014 (continued)(Currency — EUR)


Number of shares or



Marketvalue

% ofnet

assets




Corporate Bonds (continued) 4,000,000 ArcelorMittal, senior note, Reg S, 2.875%, 07/06/20 LUX EUR 4,062,500 0.38 4,000,000 CNH Industrial Finance Europe SA, senior note, Reg S, 2.75%, 03/18/19 GBR EUR 4,062,500 0.38 4,000,000 Deutsche Annington Finance BV, sub. note, Reg S, 4.00% to 12/17/21,

FRN thereafter, Perpetual DEU EUR 4,057,500 0.38 4,250,000 Paroc Group Oy, secured note, 6.25%, 05/15/20 FIN EUR 4,010,937 0.37 3,000,000 Virgin Media Secured Finance PLC, senior secured note, Reg S,

5.50%, 01/15/25 GBR GBP 4,007,051 0.37 5,000,000 Abengoa Finance SAU, senior note, 144A, 8.875%, 11/01/17 ESP USD 4,003,099 0.37 3,469,000 Achmea BV, sub. note, Reg S, 6.00% to 04/04/23, FRN thereafter, 04/04/43 NLD EUR 3,965,015 0.37 5,000,000 FMG Resources (August 2006) Pty. Ltd., senior note, 144A, 6.00%, 04/01/17 AUS USD 3,964,360 0.37 4,700,000 Frontier Communications Corp., senior note, 7.875%, 01/15/27 USA USD 3,894,008 0.36 4,000,000 Ineos Group Holdings SA, senior note, Reg S, 5.75%, 02/15/19 CHE EUR 3,870,000 0.36 4,000,000 Delta Lloyd NV, junior sub. note, Reg S, 4.375% to 06/13/24,

FRN thereafter, Perpetual NLD EUR 3,842,840 0.36 3,500,000 Unitymedia Hessen GmbH & Co. KG/Unitymedia NRW GmbH,

senior secured note, first lien, Reg S, 5.75%, 01/15/23 DEU EUR 3,806,250 0.35 3,750,000 PortAventura Entertainment Barcelona BV, secured note, Reg S,

FRN, 5.707%, 12/01/19 † ESP EUR 3,732,000 0.35 3,000,000 Lowell Group Financing PLC, senior secured note, first lien, Reg S,

5.875%, 04/01/19 GBR GBP 3,591,612 0.33 3,500,000 Loxam SAS, senior sub. note, Reg S, 7.375%, 01/24/20 FRA EUR 3,533,670 0.33 4,000,000 ArcelorMittal, senior note, 6.125%, 06/01/18 LUX USD 3,524,793 0.33 4,000,000 Matterhorn Mobile SA, senior secured bond, Reg S, 6.75%, 05/15/19 CHE CHF 3,508,864 0.33 3,200,000 Infor U.S. Inc., senior note, 10.00%, 04/01/19 USA EUR 3,468,000 0.32 3,000,000 Standard Chartered Bank, sub. note, Reg S, 5.875%, 09/26/17 GBR EUR 3,389,025 0.31 3,900,000 VPI Escrow Corp., senior note, 144A, 6.375%, 10/15/20 CAN USD 3,380,269 0.31 3,000,000 OI European Group BV, senior note, Reg S, 4.875%, 03/31/21 NLD EUR 3,301,875 0.31 2,500,000 UniCredit SpA, junior sub. bond, 5.00%, 02/01/16 ITA GBP 3,298,953 0.31 3,300,000 Guala Closures SpA, senior secured note, Reg S, FRN, 5.453%, 11/15/19 † ITA EUR 3,291,750 0.31 3,000,000 Telefonica Europe BV, sub. note, Reg S, 6.50% to 09/18/18,

FRN thereafter, Perpetual ESP EUR 3,288,540 0.31 2,500,000 HeidelbergCement Finance Luxembourg SA, senior note, 7.50%, 04/03/20 DEU EUR 3,240,138 0.30 3,000,000 Albea Beauty Holdings SA, first lien, Reg S, 8.75%, 11/01/19 FRA EUR 3,226,875 0.30 5,000,000 CGG SA, senior note, 6.50%, 06/01/21 FRA USD 3,161,157 0.29 3,000,000 HP Pelzer Holding GmbH, secured note, Reg S, 7.50%, 07/15/21 DEU EUR 3,153,750 0.29 3,400,000 Cemex Finance LLC, senior secured note, 144A, 9.375%, 10/12/22 MEX USD 3,147,108 0.29 3,000,000 Jarden Corp., senior note, Reg S, 3.75%, 10/01/21 USA EUR 3,146,250 0.29 3,000,000 Convatec Healthcare, senior note, Reg S, 7.375%, 12/15/17 LUX EUR 3,114,375 0.29 2,529,000 Intesa Sanpaolo SpA, sub. note, Reg S, 6.625%, 09/13/23 ITA EUR 3,107,509 0.29 2,000,000 Finmeccanica SpA, senior note, 8.00%, 12/16/19 ITA GBP 3,022,397 0.28 3,000,000 Sunrise Communications International SA, first lien, Reg S, FRN,

4.829%, 12/31/17 † CHE EUR 3,016,065 0.28 3,000,000 Iron Mountain Inc., senior sub. note, 6.75%, 10/15/18 USA EUR 2,998,125 0.28 2,700,000 KM Germany Holdings GmbH, senior secured note, first lien, Reg S,

8.75%, 12/15/20 DEU EUR 2,936,250 0.27 3,000,000 Iglo Foods Bondco PLC, senior secured note, first lien, Reg S,

FRN, 4.582%, 06/15/20 † GBR EUR 2,907,270 0.27 3,000,000 Bormioli Rocco Holdings SA, senior secured bond, Reg S, 10.00%, 08/01/18 ITA EUR 2,902,500 0.27 2,800,000 Intesa Sanpaolo Vita SpA, sub. note, Reg S, 4.75% to 12/17/24,

FRN thereafter, Perpetual ITA EUR 2,865,184 0.27 3,000,000 Paroc Group Oy, secured note, Reg S, FRN, 5.328%, 05/15/20 † FIN EUR 2,854,620 0.27 2,500,000 Buzzi Unicem SpA, senior note, Reg S, 6.25%, 09/28/18 ITA EUR 2,846,875 0.26 2,000,000 Lowell Group Financing PLC, senior secured bond, Reg S, 10.75%, 04/01/19 GBR GBP 2,808,236 0.26 2,000,000 Telefonica Europe BV, junior sub. note, Reg S, 6.75%, Perpetual ESP GBP 2,716,943 0.25 2,500,000 Ono Finance II PLC, senior bond, Reg S, 11.125%, 07/15/19 ESP EUR 2,667,188 0.25 3,100,000 VTR Finance BV, senior secured note, 144A, 6.875%, 01/15/24 LUX USD 2,619,628 0.24 2,500,000 Banco Popolare Societa Cooperativa, senior note, Reg S, 3.50%, 03/14/19 ITA EUR 2,610,925 0.24 2,500,000 Crown European Holdings SA, senior note, Reg S, 4.00%, 07/15/22 FRA EUR 2,606,500 0.24 2,500,000 ArcelorMittal, senior note, Reg S, 3.00%, 03/25/19 LUX EUR 2,578,125 0.24 3,000,000 Abengoa Finance SAU, senior note, Reg S, 6.00%, 03/31/21 ESP EUR 2,577,765 0.24 2,500,000 BPCE SA, 9.00% to 03/17/15, FRN thereafter, Perpetual FRA EUR 2,535,938 0.24 2,500,000 AXA SA, junior sub. bond, Reg S, 3.875% to 10/07/25,

FRN thereafter, Perpetual FRA EUR 2,524,200 0.23 3,100,000 Stena International SA, secured bond, 144A, 5.75%, 03/01/24 SWE USD 2,421,074 0.23 2,000,000 Greif Luxembourg Finance SCA, senior note, Reg S, 7.375%, 07/15/21 USA EUR 2,366,250 0.22 2,500,000 OTE PLC, senior note, Reg S, 3.50%, 07/09/20 GRC EUR 2,366,250 0.22 2,250,000 Astaldi SpA, senior note, Reg S, 7.125%, 12/01/20 ITA EUR 2,303,438 0.21 2,000,000 Premier Foods PLC, secured note, Reg S, FRN, 5.56%, 03/15/20 † GBR GBP 2,297,962 0.21 2,000,000 Peugeot SA, senior note, 5.625%, 07/11/17 FRA EUR 2,180,000 0.20 2,000,000 Deutsche Raststaetten Gruppe IV GmbH, second lien, Reg S, 6.75%, 12/30/20 DEU EUR 2,133,750 0.20 1,962,000 Millipore Corp., senior note, Reg S, 5.875%, 06/30/16 USA EUR 2,113,005 0.20 3,000,000 FMG Resources (August 2006) Pty. Ltd., senior note, 144A, 6.875%, 04/01/22 AUS USD 2,073,347 0.19 2,400,000 Frontier Communications Corp., senior bond, 7.625%, 04/15/24 USA USD 2,052,893 0.19 2,000,000 Unitymedia Hessen GmbH & Co. KG/Unitymedia NRW GmbH,

secured bond, Reg S, 4.00%, 01/15/25 DEU EUR 2,045,000 0.19 2,000,000 Stretford 79 PLC, first lien, FRN, 4.81%, 07/15/20 † GBR GBP 2,035,907 0.19 2,000,000 Ineos Group Holdings SA, senior note, Reg S, 6.50%, 08/15/18 CHE EUR 1,978,750 0.18 2,000,000 Tesco Corporate Treasury Services PLC, senior note, Reg S, 2.50%, 07/01/24 GBR EUR 1,856,790 0.17



Number of shares or



Marketvalue

% ofnet

assets





Corporate Bonds (continued) 1,700,000 Play Finance 1 SA, senior note, Reg S, 6.50%, 08/01/19 LUX EUR 1,806,250 0.17 1,700,000 Ontex Group NV, senior note, Reg S, 4.75%, 11/15/21 BEL EUR 1,791,316 0.17 2,000,000 Constellium NV, senior note, Reg S, 4.625%, 05/15/21 NLD EUR 1,752,140 0.16 2,000,000 Aguila 3 SA, senior secured note, Reg S, 7.875%, 01/31/18 LUX CHF 1,636,558 0.15 1,500,000 BBVA Subordinated Capital SAU, sub. note, Reg S,

3.50% to 04/11/19, FRN thereafter, 04/11/24 ESP EUR 1,555,313 0.14 1,700,000 Royal Bank of Scotland Group PLC, sub. note, 6.125%, 12/15/22 GBR USD 1,528,771 0.14 1,500,000 Altice SA, senior secured note, Reg S, 7.25%, 05/15/22 LUX EUR 1,527,188 0.14 1,300,000 Valeant Pharmaceuticals International Inc., senior note,

144A, 5.625%, 12/01/21 USA USD 1,085,124 0.10 1,000,000 Ineos Finance PLC, senior secured note, 144A, 8.375%, 02/15/19 CHE USD 880,165 0.08 900,000 Hertz Corp., senior note, 6.25%, 10/15/22 USA USD 754,959 0.07 800,000 Valeant Pharmaceuticals International Inc., senior note, 144A,

7.50%, 07/15/21 USA USD 716,529 0.07 1,000,000 CGG SA, senior note, 7.75%, 05/15/17 FRA USD 712,810 0.07 800,000 Cemex Finance LLC, senior secured note, first lien, 144A, 6.00%, 04/01/24 MEX USD 640,083 0.06

1,011,191,589 93.93

Securities Maturing Within One Year 5,000,000 GMAC International Finance BV, senior bond, Reg S, 7.50%, 04/21/15 USA EUR 5,084,375 0.47 5,000,000 Co-Operative Bank PLC, senior note, Reg S, 2.375%, 10/23/15 GBR EUR 4,859,375 0.45 2,500,000 Santander International Debt SA, senior note, Reg S, 3.381%, 12/01/15 ESP EUR 2,566,600 0.24 1,000,000 Abengoa SA, senior note, Reg S, 9.625%, 02/25/15 ESP EUR 1,006,250 0.09

13,516,600 1.25

TOTAL BONDS 1,024,708,189 95.18

TOTAL TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET 1,025,448,798 95.25


BONDS Corporate Bonds 5,000,000 Fresenius Medical Care U.S. Finance II Inc., senior note, 144A,

4.75%, 10/15/24 DEU USD 4,173,554 0.39 2,000,000 Astana Finance BV, 7.875%, 06/08/10 * KAZ EUR 200,000 0.02

4,373,554 0.41

TOTAL BONDS 4,373,554 0.41



‡ Income may be received in additional securities and/or cash * These Corporate Bonds are currently in default † Floating Rates are indicated as at December 31, 2014


Number of shares or



Marketvalue

% ofnet

assets





TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET BONDS Corporate Bonds 3,000,000 JPMorgan Chase & Co., senior note, Reg S, FRN, 0.436%, 05/03/16 † USA EUR 3,007,125 3.32 3,000,000 UBS AG London, senior note, Reg S, FRN, 0.331%, 09/05/16 † CHE EUR 3,005,820 3.31

6,012,945 6.63

Securities Maturing Within One Year 3,100,000 Credit Agricole SA/London, senior note, FRN, 0.479%, 01/14/15 † FRA EUR 3,100,341 3.42 3,000,000 Lloyds Bank PLC, senior note, FRN, 0.379%, 10/14/15 † GBR EUR 3,004,905 3.31 3,000,000 BNP Paribas SA, senior note, FRN, 0.379%, 11/13/15 † FRA EUR 3,004,065 3.31 3,000,000 BNP Paribas SA, senior note, FRN, 0.332%, 04/03/15 † FRA EUR 3,001,275 3.31 3,000,000 Barclays Bank PLC, FRN, 0.288%, 07/31/15 † GBR EUR 3,001,245 3.31 3,000,000 Credit Suisse London, senior note, Reg S, FRN, 0.28%, 08/12/15 † CHE EUR 3,000,915 3.31 3,000,000 JPMorgan Chase & Co., FRN, 0.332%, 03/02/15 † USA EUR 3,000,858 3.31 3,000,000 Procter & Gamble Co., zero cpn., 01/29/15 USA EUR 3,000,099 3.31 3,000,000 Svenska Handelsbanken AB, zero cpn., 01/28/15 SWE EUR 3,000,096 3.31 3,000,000 Abbey National Treasury Services PLC, zero cpn., 01/23/15 FRA EUR 3,000,075 3.31 3,000,000 Mizuho Bank Ltd./London, zero cpn., 01/16/15 GBR EUR 3,000,045 3.31 3,000,000 BPCE SA, zero cpn., 01/22/15 FRA EUR 3,000,006 3.31 3,000,000 Toyota Kreditbank GmbH, zero cpn., 02/27/15 JPN EUR 2,999,880 3.30 3,000,000 Banque Fed Cred Mutuel, zero cpn., 03/12/15 FRA EUR 2,999,871 3.30 3,000,000 Nordea Bank AB, zero cpn., 04/15/15 SWE EUR 2,999,499 3.30 3,000,000 Bank of China Ltd./Sydney, zero cpn., 03/10/15 AUS EUR 2,999,328 3.30 3,000,000 Pohjola Bank PLC, zero cpn., 05/07/15 FIN EUR 2,999,268 3.30 2,500,000 DZ Bank AG Deutsche Zentral-Genossenschaftsbank, zero cpn., 02/23/15 DEU EUR 2,500,080 2.75 2,500,000 Svenska Handelsbanken AB, zero cpn., 02/04/15 SWE EUR 2,500,020 2.75 2,500,000 ABN Amro Bank NV, zero cpn., 02/23/15 NLD EUR 2,499,863 2.75 2,000,000 ABN Amro Bank NV, senior note, Reg S, FRN, 0.372%, 12/03/15 † NLD EUR 2,002,960 2.21 2,000,000 Banque Federative du Credit Mutuel, senior note, Reg S, FRN,

0.381%, 08/26/15 † FRA EUR 2,002,560 2.21 2,000,000 Credit Suisse London, zero cpn., 01/21/15 GBR EUR 1,999,974 2.20 2,000,000 Natixis, zero cpn., 03/04/15 FRA EUR 1,999,796 2.20

66,617,024 73.40

TOTAL BONDS 72,629,969 80.03




— Franklin Euro Liquid Reserve Fund —

Number of shares or



Marketvalue

% ofnet

assets





TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET BONDS Corporate Bonds 1,000,000 GE Capital European Funding, senior note, 3.75%, 04/04/16 USA EUR 1,044,505 1.83 1,000,000 UBS AG London, senior note, Reg S, FRN, 0.331%, 09/05/16 † CHE EUR 1,001,940 1.76 800,000 HSBC France SA, senior note, Reg S, 1.875%, 01/16/20 FRA EUR 853,168 1.49 800,000 KBC Internationale Financieringsmaatschappij NV, senior note,

Reg S, 2.125%, 09/10/18 BEL EUR 847,548 1.48 800,000 Mcdonald’s Corp., senior note, 4.25%, 06/10/16 USA EUR 846,012 1.48 800,000 ELM BV/Swiss Reinsurance Co., junior secured sub. note, Reg S,

5.252% to 05/25/16, FRN thereafter, Perpetual CHE EUR 837,752 1.47 800,000 Intesa Sanpaolo SpA, senior note, Reg S, 4.125%, 01/14/16 ITA EUR 828,856 1.45 700,000 Sampo OYJ, senior note, Reg S, 4.25%, 02/27/17 FIN EUR 755,580 1.32 700,000 Daimler AG, senior note, Reg S, 4.125%, 01/19/17 DEU EUR 755,013 1.32 700,000 Lloyds Bank PLC, senior note, Reg S, 1.875%, 10/10/18 GBR EUR 736,302 1.29 700,000 UniCredit SpA, senior note, Reg S, 2.25%, 12/16/16 ITA EUR 720,198 1.26 700,000 Standard Chartered PLC, senior note, Reg S, FRN, 0.482%, 06/13/17 † GBR EUR 700,896 1.23 600,000 Madrilena Red de Gas Finance BV, senior note, Reg S, 3.779%, 09/11/18 ESP EUR 662,664 1.16 600,000 Bharti Airtel International Netherlands BV, senior note, Reg S, 4.00%,

12/10/18 IND EUR 649,143 1.14 600,000 Yorkshire Building Society, senior note, Reg S, 2.125%, 03/18/19 GBR EUR 628,530 1.10 600,000 Tesco Corporate Treasury Services PLC, senior note, Reg S,

1.375%, 07/01/19 GBR EUR 572,136 1.00 500,000 Zapadoslovenska Energetika AS, senior note, Reg S, 2.875%, 10/14/18 SSS EUR 537,098 0.94 400,000 Edison SpA, senior note, Reg S, 3.875%, 11/10/17 ITA EUR 437,816 0.77 400,000 Pfizer Inc., senior note, Reg S, 4.75%, 06/03/16 USA EUR 425,970 0.75 400,000 Propertize BV, senior note, 0.50%, 02/27/17 NLD EUR 403,880 0.71 300,000 Motability Operations Group PLC, senior note, Reg S, 3.75%, 11/29/17 GBR EUR 328,772 0.58

14,573,779 25.53

Government and Municipal Bonds 4,200,000 Italy Treasury Bond, senior bond, 4.50%, 02/01/18 ITA EUR 4,686,129 8.21 3,800,000 Government of Spain, senior note, 3.75%, 10/31/18 ESP EUR 4,242,434 7.43 4,000,000 KFW, senior note, 3.125%, 07/04/16 DEU EUR 4,187,740 7.34 3,200,000 Government of Spain, senior bond, 4.00%, 04/30/20 ESP EUR 3,713,792 6.50 3,300,000 Italy Treasury Bond, 2.50%, 05/01/19 ITA EUR 3,528,673 6.18 3,300,000 Government of the Netherlands, Reg S, 1.25%, 01/15/19 NLD EUR 3,464,175 6.07 2,600,000 Government of Ireland, 5.50%, 10/18/17 IRL EUR 2,978,911 5.22 1,500,000 European Investment Bank, senior note, 1.00%, 07/13/18 SP EUR 1,552,012 2.72 1,100,000 Government of Latvia, 5.50%, 03/05/18 LVA EUR 1,279,712 2.24 1,100,000 Government of Lithuania, senior bond, 4.85%, 02/07/18 LTU EUR 1,247,021 2.18 1,100,000 Government of Bulgaria, Reg S, 4.25%, 07/09/17 BGR EUR 1,180,889 2.07 4,579,000 Government of Poland, 4.75%, 10/25/16 POL PLN 1,125,097 1.97

33,186,585 58.13

Securities Maturing Within One Year 6,100,000 Italy Treasury Bond, 2.50%, 03/01/15 ITA EUR 6,122,692 10.73 1,000,000 Credit Suisse London, senior note, Reg S, FRN, 0.28%, 08/12/15 † CHE EUR 1,000,305 1.75 700,000 European Financial Stability Facility, Reg S, 0.08%, 07/15/15 SP EUR 700,325 1.23 500,000 Statoil ASA, senior note, Reg S, 4.375%, 03/11/15 NOR EUR 503,778 0.88

8,327,100 14.59

TOTAL BONDS 56,087,464 98.25




— Franklin Euro Short Duration Bond Fund —

Number of shares or



Marketvalue

% ofnet

assets





TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET BONDS Securities Maturing Within One Year 2,500,000 BNP Paribas SA, senior note, FRN, 0.379%, 11/13/15 † FRA EUR 2,504,074 4.22 2,500,000 Banque Federative du Credit Mutuel, senior note, Reg S, FRN,

0.381%, 08/26/15 † FRA EUR 2,503,338 4.22 2,500,000 Barclays Bank PLC, FRN, 0.288%, 07/31/15 † GBR EUR 2,501,677 4.22 2,500,000 Credit Suisse London, senior note, Reg S, FRN, 0.28%, 08/12/15 † CHE EUR 2,500,888 4.21 2,500,000 JPMorgan Chase & Co., FRN, 0.332%, 03/02/15 † USA EUR 2,500,685 4.21 2,500,000 BNP Paribas SA, senior note, FRN, 0.332%, 04/03/15 † FRA EUR 2,500,469 4.21 2,500,000 Mizuho Bank Ltd./London, zero cpn., 01/16/15 GBR EUR 2,499,989 4.21 2,500,000 ABN Amro Bank NV, zero cpn., 02/23/15 NLD EUR 2,499,813 4.21 2,500,000 Svenska Handelsbanken AB, zero cpn., 01/28/15 SWE EUR 2,499,650 4.21 2,500,000 Banque Fed Cred Mutuel, zero cpn., 03/12/15 FRA EUR 2,499,310 4.21 2,000,000 Lloyds Bank PLC, senior note, FRN, 0.379%, 10/14/15 † GBR EUR 2,003,518 3.38 2,000,000 Abbey National Treasury Services PLC, zero cpn., 01/23/15 FRA EUR 1,999,949 3.37 2,000,000 Mizuho Bank Ltd./London, zero cpn., 01/28/15 GBR EUR 1,999,922 3.37 2,000,000 Credit Agricole SA, zero cpn., 02/19/15 FRA EUR 1,999,778 3.37 2,000,000 Credit Suisse London, zero cpn., 01/21/15 GBR EUR 1,999,709 3.37 2,000,000 BPCE SA, zero cpn., 01/22/15 FRA EUR 1,999,634 3.37 2,000,000 Natixis, zero cpn., 03/04/15 FRA EUR 1,999,580 3.37 2,000,000 Nordea Bank AB, zero cpn., 06/08/15 SWE EUR 1,998,941 3.37 2,000,000 Bank of China Ltd./Sydney, zero cpn., 03/10/15 AUS EUR 1,998,086 3.37 1,500,000 DZ Bank AG Deutsche Zentral-Genossenschaftsbank, zero cpn., 02/23/15 DEU EUR 1,499,506 2.53

44,508,516 75.00

TOTAL BONDS 44,508,516 75.00




— Franklin Euro Short-Term Money Market Fund —

Number of shares or



Marketvalue

% ofnet

assets





TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Auto Components 11,771 SHW AG DEU EUR 434,173 1.37

Automobiles 6,337 Volkswagen AG, pfd. DEU EUR 1,170,127 3.69

Banks 139,731 ING Groep NV, IDR NLD EUR 1,513,287 4.77 568,669 Intesa Sanpaolo SpA ITA EUR 1,377,316 4.34 26,316 KBC GROEP NV BEL EUR 1,223,562 3.85

4,114,165 12.96

Beverages 11,577 Anheuser-Busch InBev NV BEL EUR 1,086,617 3.42

Capital Markets 48,018 Banca Generali ITA EUR 1,106,815 3.49

Chemicals 14,740 BASF SE DEU EUR 1,030,031 3.24 6,272 Solvay SA BEL EUR 704,973 2.22 7,234 Arkema FRA EUR 398,376 1.26 19,316 Tikkurila Oy FIN EUR 279,889 0.88

2,413,269 7.60

Construction & Engineering 12,208 Vinci SA FRA EUR 555,586 1.75 53,844 Outotec OYJ FIN EUR 236,160 0.74

791,746 2.49

Construction Materials 27,007 CRH PLC IRL EUR 537,439 1.69

Diversified Telecommunication Services 59,796 Telefonica SA ESP EUR 712,768 2.25 35,715 Deutsche Telekom AG DEU EUR 473,224 1.49

1,185,992 3.74

Electrical Equipment 54,013 Prysmian SpA ITA EUR 818,297 2.58 7,962 Legrand SA FRA EUR 346,705 1.09

1,165,002 3.67

Insurance 9,721 Allianz SE DEU EUR 1,335,179 4.21 246,515 Corporacion Mapfre SA ESP EUR 693,447 2.18 14,195 Vienna Insurance Group AUT EUR 526,351 1.66 4,405 Euler Hermes Group FRA EUR 377,244 1.19

2,932,221 9.24

Internet & Catalog Retail 82,664 Takkt AG DEU EUR 1,125,057 3.54

IT Services 7,242 Cap Gemini SA FRA EUR 430,754 1.36

Machinery 14,251 GEA Group AG DEU EUR 521,587 1.64

Media 82,868 Mediaset Espana Comunicacion SA ESP EUR 865,556 2.73 19,658 GFK AG DEU EUR 668,274 2.10 28,117 Reed Elsevier NV GBR EUR 557,841 1.76

2,091,671 6.59

Metals & Mining 14,084 Aurubis AG DEU EUR 655,540 2.06

Multi-Utilities 47,362 GDF Suez FRA EUR 920,244 2.90

Oil, Gas & Consumable Fuels 36,124 Total SA, B FRA EUR 1,535,993 4.84 49,920 Eni SpA ITA EUR 724,339 2.28

2,260,332 7.12

Pharmaceuticals 20,948 Sanofi FRA EUR 1,584,926 4.99

— Franklin Euroland Fund —

Number of shares or



Marketvalue

% ofnet

assets





Semiconductors & Semiconductor Equipment 10,729 ASML Holding NV NLD EUR 960,246 3.02

Software 21,366 SAP SE DEU EUR 1,244,783 3.92

Textiles, Apparel & Luxury Goods 7,666 LVMH Moet Hennessy Louis Vuitton FRA EUR 1,013,829 3.19 22,274 Gerry Weber International AG DEU EUR 760,657 2.40

1,774,486 5.59

Transportation Infrastructure 21,900 Atlantia SpA ITA EUR 423,327 1.33

TOTAL SHARES 30,930,519 97.42



— Franklin Euroland Fund —

Number of shares or



Marketvalue

% ofnet

assets





— Franklin European Fund —

TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Automobiles 965 Volkswagen AG, pfd. DEU EUR 178,187 2.53

Banks 17,006 ING Groep NV, IDR NLD EUR 184,175 2.62 171,314 Lloyds Banking Group PLC GBR GBP 167,322 2.38 3,267 KBC GROEP NV BEL EUR 151,899 2.16 12,347 DNB ASA NOR NOK 151,198 2.15 11,284 Standard Chartered PLC GBR GBP 139,980 1.99 55,180 Intesa Sanpaolo SpA ITA EUR 133,646 1.90

928,220 13.20

Beverages 1,886 Anheuser-Busch InBev NV BEL EUR 177,020 2.52

Capital Markets 7,595 Banca Generali ITA EUR 175,065 2.49 42,500 Ashmore Group PLC GBR GBP 153,293 2.18

328,358 4.67

Chemicals 1,823 BASF SE DEU EUR 127,391 1.81 947 Solvay SA BEL EUR 106,443 1.51 1,475 Arkema FRA EUR 81,228 1.16

315,062 4.48

Construction & Engineering 2,125 Vinci SA FRA EUR 96,709 1.38 12,726 Outotec OYJ FIN EUR 55,816 0.79

152,525 2.17

Consumer Finance 20,541 International Personal Finance PLC GBR GBP 118,967 1.69

Diversified Telecommunication Services 9,243 Deutsche Telekom AG DEU EUR 122,470 1.74 6,820 Telefonica SA ESP EUR 81,294 1.16

203,764 2.90

Electrical Equipment 14,338 Prysmian SpA ITA EUR 217,221 3.09 1,960 Legrand SA FRA EUR 85,348 1.21

302,569 4.30

Energy Equipment & Services 3,555 TGS Nopec Geophysical Co. ASA NOR NOK 63,589 0.90

Health Care Equipment & Supplies 1,979 Draegerwerk AG & Co. KGAA, pfd. DEU EUR 165,979 2.36

Household Products 1,781 Reckitt Benckiser Group PLC GBR GBP 119,530 1.70

Insurance 1,530 Allianz SE DEU EUR 210,146 2.99 927 Euler Hermes Group FRA EUR 79,388 1.13 25,465 Corporacion Mapfre SA ESP EUR 71,633 1.02 1,827 Vienna Insurance Group AUT EUR 67,745 0.96

428,912 6.10

Internet & Catalog Retail 15,749 Takkt AG DEU EUR 214,344 3.05

IT Services 1,035 Cap Gemini SA FRA EUR 61,562 0.88

Machinery 9,723 IMI PLC GBR GBP 158,191 2.25 2,999 GEA Group AG DEU EUR 109,763 1.56

267,954 3.81

Media 9,614 Reed Elsevier PLC GBR GBP 136,230 1.94 57,404 ITE Group PLC GBR GBP 118,315 1.68 10,018 Mediaset Espana Comunicacion SA ESP EUR 104,638 1.49 2,086 GFK AG DEU EUR 70,914 1.01

430,097 6.12

Number of shares or



Marketvalue

% ofnet

assets





Metals & Mining 4,805 Rio Tinto PLC GBR GBP 185,692 2.64 1,848 Aurubis AG DEU EUR 86,015 1.22

271,707 3.86

Multi-Utilities 25,506 Centrica PLC GBR GBP 91,669 1.30

Oil, Gas & Consumable Fuels 46,121 BP PLC GBR GBP 244,184 3.47 5,393 Total SA, B FRA EUR 229,311 3.26

473,495 6.73

Pharmaceuticals 3,678 Novartis AG CHE CHF 282,351 4.01 3,184 Sanofi FRA EUR 240,902 3.43

523,253 7.44

Semiconductors & Semiconductor Equipment 2,042 ASML Holding NV NLD EUR 182,759 2.60

Software 3,546 SAP SE DEU EUR 206,590 2.94

Textiles, Apparel & Luxury Goods 1,382 LVMH Moet Hennessy Louis Vuitton FRA EUR 182,769 2.60 4,286 Gerry Weber International AG DEU EUR 146,367 2.08

329,136 4.68

Tobacco 5,544 British American Tobacco PLC GBR GBP 249,959 3.56

Wireless Telecommunication Services 26,413 Vodafone Group PLC GBR GBP 75,756 1.08

TOTAL SHARES 6,860,963 97.57



— Franklin European Fund —

Number of shares or



Marketvalue

% ofnet

assets





TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET BONDS Corporate Bonds 1,900,000 GE Capital European Funding, senior note, Reg S, 2.25%, 07/20/20 USA EUR 2,073,660 1.62 2,000,000 Rabobank Nederland, sub. bond, Reg S, 2.50% to 05/26/21,

FRN thereafter, 05/26/26 NLD EUR 2,039,010 1.60 1,900,000 Syngenta Finance NV, senior note, Reg S, 1.875%, 11/02/21 CHE EUR 2,033,636 1.59 1,800,000 ABB Finance BV, senior note, Reg S, 2.625%, 03/26/19 CHE EUR 1,964,565 1.54 1,600,000 The Goldman Sachs Group Inc., senior note, Reg S, 6.375%, 05/02/18 USA EUR 1,899,472 1.49 1,700,000 Allianz SE, sub. note, Reg S, 4.75% to 10/24/23, FRN thereafter, Perpetual DEU EUR 1,897,914 1.48 1,800,000 ELM BV/Swiss Reinsurance Co., junior secured sub. note,

Reg S, 5.252% to 05/25/16, FRN thereafter, Perpetual CHE EUR 1,884,942 1.47 1,600,000 JPMorgan Chase & Co., senior note, Reg S, 3.875%, 09/23/20 USA EUR 1,884,272 1.47 1,800,000 Sparebank 1 SMN, senior note, Reg S, 1.50%, 05/20/19 NOR EUR 1,865,124 1.46 1,800,000 Australia Pacific Airports Melbourne Pty. Ltd., senior secured note,

Reg S, 1.75%, 10/15/24 AUS EUR 1,853,244 1.45 1,500,000 Morgan Stanley, senior note, 5.375%, 08/10/20 USA EUR 1,852,462 1.45 1,700,000 Bank of America Corp., senior note, Reg S, 2.50%, 07/27/20 USA EUR 1,850,076 1.45 1,800,000 Intesa Sanpaolo Vita SpA, sub. note, Reg S, 4.75% to 12/17/24,

FRN thereafter, Perpetual ITA EUR 1,841,904 1.44 1,700,000 McDonald’s Corp., senior bond, Reg S, 2.00%, 06/01/23 USA EUR 1,838,142 1.44 1,700,000 BPCE SA, senior note, Reg S, 2.125%, 03/17/21 FRA EUR 1,836,518 1.44 1,800,000 Citigroup Inc., senior note, Reg S, 1.375%, 10/27/21 USA EUR 1,835,325 1.44 1,700,000 Daimler AG, senior note, Reg S, 4.125%, 01/19/17 DEU EUR 1,833,603 1.43 1,700,000 Danske Bank AS, senior note, Reg S, 3.875%, 02/28/17 DNK EUR 1,831,291 1.43 1,600,000 Achmea BV, sub. note, Reg S, 6.00% to 04/04/23, FRN thereafter, 04/04/43 NLD EUR 1,828,776 1.43 1,800,000 Lloyds Bank PLC, senior note, Reg S, 1.00%, 11/19/21 GBR EUR 1,823,841 1.43 1,600,000 Standard Chartered PLC, senior note, Reg S, 4.125%, 01/18/19 GBR EUR 1,818,416 1.42 1,700,000 HSBC France SA, senior note, Reg S, 1.875%, 01/16/20 FRA EUR 1,812,982 1.42 1,600,000 Aquarius and Investments PLC for Zurich Insurance Co. Ltd.,

secured bond, Reg S, 4.25% to 10/02/23, FRN thereafter, 10/02/43 CHE EUR 1,809,568 1.42 1,700,000 Compass Group PLC, senior note, Reg S, 1.875%, 01/27/23 GBR EUR 1,804,745 1.41 1,500,000 Telstra Corp. Ltd., senior note, Reg S, 3.75%, 05/16/22 AUS EUR 1,802,490 1.41 1,600,000 Gas Natural Fenosa Finance BV, senior note, Reg S, 2.875%, 03/11/24 ESP EUR 1,802,088 1.41 1,500,000 Aviva PLC, sub. bond, Reg S, 6.125% to 07/05/23, FRN thereafter, 07/05/43 GBR EUR 1,794,900 1.40 1,600,000 Societe Generale SA, sub. note, Reg S, 4.00%, 06/07/23 FRA EUR 1,780,696 1.39 1,600,000 Bacardi Ltd., senior note, Reg S, 2.75%, 07/03/23 BMU EUR 1,768,840 1.38 1,600,000 Madrilena Red de Gas Finance BV, senior note, Reg S, 3.779%, 09/11/18 ESP EUR 1,767,104 1.38 1,700,000 UniCredit SpA, senior note, Reg S, 2.25%, 12/16/16 ITA EUR 1,749,053 1.37 1,500,000 RWE Finance BV, senior bond, Reg S, 3.00%, 01/17/24 DEU EUR 1,740,772 1.36 1,600,000 Transurban Finance Co., senior secured note, Reg S, 2.50%, 10/08/20 AUS EUR 1,736,136 1.36 1,600,000 Telefonica Emisiones SAU, senior bond, Reg S, 2.932%, 10/17/29 ESP EUR 1,734,896 1.36 1,500,000 WPP Finance 2013, senior note, Reg S, 3.00%, 11/20/23 GBR EUR 1,723,965 1.35 1,700,000 BNP Paribas SA, sub. bond, Reg S, 2.625% to 10/14/22,

FRN thereafter, 10/14/27 FRA EUR 1,714,815 1.34 1,500,000 AXA SA, sub. bond, Reg S, 5.25% to 04/16/20, FRN thereafter, 04/16/40 FRA EUR 1,708,665 1.34 1,600,000 Pfizer Inc., senior note, Reg S, 4.75%, 06/03/16 USA EUR 1,703,880 1.33 1,500,000 Aeroporti Di Roma SpA, senior note, Reg S, 3.25%, 02/20/21 ITA EUR 1,684,987 1.32 1,600,000 Yorkshire Building Society, senior note, Reg S, 2.125%, 03/18/19 GBR EUR 1,676,080 1.31 1,400,000 Koninklijke KPN NV, senior note, Reg S, 4.25%, 03/01/22 NLD EUR 1,672,909 1.31 1,600,000 Carlsberg Breweries A/S, senior note, Reg S, 2.50%, 05/28/24 DNK EUR 1,659,432 1.30 1,600,000 Klepierre, senior note, Reg S, 1.75%, 11/06/24 FRA EUR 1,639,280 1.28 1,600,000 Casino Guichard Perrachon SA, senior bond, Reg S, 2.33%, 02/07/25 FRA EUR 1,634,288 1.28 1,600,000 WM Morrison Supermarkets PLC, senior note, Reg S, 2.25%, 06/19/20 GBR EUR 1,628,752 1.27 1,400,000 Orange SA, senior bond, Reg S, 3.125%, 01/09/24 FRA EUR 1,623,251 1.27 1,600,000 KBC Groep NV, sub. note, Reg S, 2.375% to 11/25/19, FRN thereafter, 11/25/24 BEL EUR 1,618,000 1.27 1,400,000 ING Bank NV, sub. bond, Reg S, 6.125% to 05/29/18, FRN thereafter, 05/29/23 NLD EUR 1,604,001 1.25 1,500,000 Korea Gas Corp., senior note, Reg S, 2.375%, 04/15/19 KOR EUR 1,603,980 1.25 1,300,000 Barclays Bank PLC, senior sub. note, Reg S, 6.00%, 01/14/21 GBR EUR 1,597,070 1.25 1,500,000 Bharti Airtel International Netherlands BV, senior note, Reg S, 3.375%, 05/20/21 IND EUR 1,593,870 1.25 1,200,000 ABN Amro Bank NV, sub. note, Reg S, 7.125%, 07/06/22 NLD EUR 1,587,852 1.24 1,500,000 Pernod Ricard SA, senior note, Reg S, 2.00%, 06/22/20 FRA EUR 1,585,868 1.24 1,400,000 Intesa Sanpaolo SpA, senior note, 4.00%, 11/08/18 ITA EUR 1,557,500 1.22 1,400,000 EDF SA, senior sub. bond, Reg S, 5.00% to 01/22/26, FRN thereafter, Perpetual FRA EUR 1,553,517 1.22 1,400,000 Edison SpA, senior note, Reg S, 3.875%, 11/10/17 ITA EUR 1,532,356 1.20 1,600,000 Tesco Corporate Treasury Services PLC, senior note, Reg S, 2.50%, 07/01/24 GBR EUR 1,485,432 1.16 1,300,000 Motability Operations Group PLC, senior note, Reg S, 3.75%, 11/29/17 GBR EUR 1,424,677 1.11 1,200,000 CaixaBank, secured note, 2.625%, 03/21/24 ESP EUR 1,361,604 1.07 1,400,000 Areva SA, senior note, Reg S, 3.125%, 03/20/23 FRA EUR 1,353,625 1.06 1,300,000 Turkiye Vakiflar Bankasi Tao, senior note, Reg S, 3.50%, 06/17/19 TUR EUR 1,312,675 1.03 1,200,000 SPP-Distribucia AS, senior note, Reg S, 2.625%, 06/23/21 SSS EUR 1,264,500 0.99 1,100,000 Davide Campari-Milano SpA, senior note, Reg S, 4.50%, 10/25/19 ITA EUR 1,239,667 0.97 1,000,000 Unione di Banche Italiane SCpA, secured note, Reg S, 3.125%, 10/14/20 ITA EUR 1,142,490 0.89 1,000,000 Banco Popular Espanol SA, secured note, Reg S, 2.125%, 10/08/19 ESP EUR 1,064,965 0.83 900,000 The Royal Bank of Scotland PLC, sub. note, 6.934%, 04/09/18 GBR EUR 1,038,938 0.81 1,000,000 Veolia Environnement SA, junior sub. note, Reg S, 4.45% to 04/16/18,

FRN thereafter, Perpetual FRA EUR 1,033,860 0.81 1,000,000 Banco do Brasil SA, senior note, Reg S, 3.75%, 07/25/18 BRA EUR 1,006,655 0.79 900,000 Arkema, senior note, Reg S, 4.75% to 10/29/20, FRN thereafter, Perpetual FRA EUR 911,849 0.71

— Franklin European Corporate Bond Fund —

Number of shares or



Marketvalue

% ofnet

assets





Corporate Bonds (continued) 500,000 Unitymedia Hessen GmbH & Co. KG/Unitymedia NRW GmbH,

senior secured note, first lien, Reg S, 5.625%, 04/15/23 DEU EUR 544,078 0.43 400,000 Virgin Media Secured Finance PLC, senior secured note, Reg S,

5.50%, 01/15/25 GBR GBP 534,273 0.42 500,000 U.S. Coatings Acquisition Inc./Flash Dutch 2 BV, secured note,

Reg S, 5.75%, 02/01/21 USA EUR 528,438 0.41 500,000 Avis Budget Finance PLC, senior note, Reg S, 6.00%, 03/01/21 USA EUR 526,875 0.41 500,000 UPCB Finance II Ltd., senior secured note, Reg S, 6.375%, 07/01/20 NLD EUR 526,300 0.41 500,000 Jarden Corp., senior note, Reg S, 3.75%, 10/01/21 USA EUR 524,375 0.41 500,000 Chesapeake Energy Corp., senior bond, 6.25%, 01/15/17 USA EUR 523,750 0.41 500,000 Celanese US Holdings LLC, senior note, 3.25%, 10/15/19 USA EUR 518,750 0.41 500,400 WMG Acquisition Corp., senior secured note, first lien, Reg S,

6.25%, 01/15/21 USA EUR 512,285 0.40 500,000 Ineos Finance PLC, first lien, senior secured note, Reg S, FRN,

7.25%, 02/15/19 † GBR EUR 511,590 0.40 500,000 Hertz Holdgs Netherlands BV, senior note, Reg S, 4.375%, 01/15/19 USA EUR 500,625 0.39 500,000 Wind Acquisition Finance SA, senior secured note, Reg S,

4.00%, 07/15/20 ITA EUR 492,500 0.39 600,000 InterGen NV, secured bond, 144A, 7.00%, 06/30/23 NLD USD 473,554 0.37 400,000 CNH Industrial Finance Europe SA, senior note, Reg S,

6.25%, 03/09/18 GBR EUR 448,500 0.35 400,000 Play Finance 2 SA, secured note, first lien, Reg S, 5.25%, 02/01/19 LUX EUR 415,400 0.33 400,000 Rain CII Carbon LLC/CII Carbon Corp., second lien, Reg S,

8.50%, 01/15/21 USA EUR 414,000 0.32 400,000 General Motors Financial International BV, senior note, Reg S,

1.875%, 10/15/19 USA EUR 407,000 0.32 400,000 CGG SA, senior note, Reg S, 5.875%, 05/15/20 FRA EUR 349,750 0.27 100,000 Greif Luxembourg Finance SCA, senior note, Reg S, 7.375%, 07/15/21 USA EUR 118,313 0.09

123,106,074 96.30

Securities Maturing Within One Year 1,300,000 Statoil ASA, senior note, Reg S, 4.375%, 03/11/15 NOR EUR 1,309,821 1.02 200,000 GMAC International Finance BV, senior bond, Reg S, 7.50%, 04/21/15 USA EUR 203,375 0.16

1,513,196 1.18

TOTAL BONDS 124,619,270 97.48




— Franklin European Corporate Bond Fund —

Number of shares or



Marketvalue

% ofnet

assets





TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Aerospace & Defense 229,977 BAE Systems PLC GBR GBP 1,398,310 1.84

Air Freight & Logistics 81,082 bpost SA BEL EUR 1,685,289 2.22

Banks 222,562 Standard Chartered PLC GBR GBP 2,760,924 3.63 52,330 KBC GROEP NV BEL EUR 2,433,083 3.20 226,471 HSBC Holdings PLC GBR GBP 1,775,504 2.34 85,638 Swedbank AB, A SWE SEK 1,774,122 2.34

8,743,633 11.51

Capital Markets 104,943 Banca Generali ITA EUR 2,418,936 3.19 658,987 Ashmore Group PLC GBR GBP 2,376,906 3.13

4,795,842 6.32

Chemicals 21,044 BASF SE DEU EUR 1,470,555 1.94 56,233 Tikkurila Oy FIN EUR 814,816 1.07

2,285,371 3.01

Commercial Services & Supplies 180,926 De La Rue PLC GBR GBP 1,213,106 1.60

Construction & Engineering 23,940 Vinci SA FRA EUR 1,089,509 1.43 128,219 Veidekke ASA NOR NOK 1,046,045 1.38

2,135,554 2.81


Diversified Financial Services 135,677 IG Group Holdings PLC GBR GBP 1,256,644 1.65

Diversified Telecommunication Services 326,491 TDC AS DNK DKK 2,070,536 2.73 151,081 Deutsche Telekom AG DEU EUR 2,001,823 2.64 51,872 Vivendi SA FRA EUR 1,073,232 1.41

5,145,591 6.78

Electric Utilities 48,137 SSE PLC GBR GBP 1,005,789 1.32

Energy Equipment & Services 55,761 TGS Nopec Geophysical Co. ASA NOR NOK 997,416 1.31

Gas Utilities 333,988 Snam SpA ITA EUR 1,369,351 1.80

Household Durables 52,938 The Berkeley Group Holdings PLC GBR GBP 1,691,206 2.23

Insurance 11,757 Zurich Insurance Group AG CHE CHF 3,046,311 4.01 16,369 Allianz SE DEU EUR 2,248,282 2.96 18,728 Euler Hermes Group FRA EUR 1,603,866 2.12 535,080 Corporacion Mapfre SA ESP EUR 1,505,180 1.98 122,775 Hiscox Ltd. GBR GBP 1,139,518 1.50

9,543,157 12.57

Internet & Catalog Retail 105,489 Takkt AG DEU EUR 1,435,705 1.89

Media 410,340 ITE Group PLC GBR GBP 845,748 1.11

Metals & Mining 56,656 Rio Tinto PLC GBR GBP 2,189,497 2.88

Multi-Utilities 158,504 National Grid PLC GBR GBP 1,874,595 2.47 89,434 GDF Suez FRA EUR 1,737,702 2.29 460,768 Centrica PLC GBR GBP 1,656,013 2.18

5,268,310 6.94

Oil, Gas & Consumable Fuels 77,002 Total SA, B FRA EUR 3,274,125 4.31 607,493 BP PLC GBR GBP 3,216,327 4.24 142,331 Eni SpA ITA EUR 2,065,223 2.72

8,555,675 11.27

— Franklin European Dividend Fund —

Number of shares or



Marketvalue

% ofnet

assets





Pharmaceuticals 43,448 Sanofi FRA EUR 3,287,276 4.33 105,365 GlaxoSmithKline PLC GBR GBP 1,867,635 2.46

5,154,911 6.79

Tobacco 71,859 British American Tobacco PLC GBR GBP 3,239,861 4.27

Transportation Infrastructure 64,336 Atlantia SpA ITA EUR 1,243,615 1.64

Wireless Telecommunication Services 548,170 Vodafone Group PLC GBR GBP 1,572,227 2.07

TOTAL SHARES 73,722,710 97.08



— Franklin European Dividend Fund —

Number of shares or



Marketvalue

% ofnet

assets





TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Air Freight & Logistics 2,741,695 bpost SA BEL EUR 56,986,131 4.12

Beverages 16,553,021 C&C Group PLC IRL EUR 59,921,936 4.33 583,283 Anheuser-Busch InBev NV BEL EUR 54,746,942 3.95

114,668,878 8.28

Capital Markets 2,813,835 Banca Generali ITA EUR 64,858,897 4.69 15,715,297 Ashmore Group PLC GBR GBP 56,683,646 4.09

121,542,543 8.78

Commercial Services & Supplies 8,198,859 De La Rue PLC GBR GBP 54,973,237 3.97 319,180 Berendsen PLC GBR GBP 4,522,780 0.33

59,496,017 4.30

Construction & Engineering 11,180,156 Outotec OYJ FIN EUR 49,036,164 3.54 858,296 Koninklijke Boskalis Westminster NV NLD EUR 39,009,553 2.82

88,045,717 6.36

Consumer Finance 11,204,516 International Personal Finance PLC GBR GBP 64,892,807 4.69

Electrical Equipment 4,728,112 Prysmian SpA ITA EUR 71,630,897 5.17 1,461,202 Legrand SA FRA EUR 63,628,041 4.60

135,258,938 9.77

Energy Equipment & Services 2,090,246 TGS Nopec Geophysical Co. ASA NOR NOK 37,388,955 2.70

Household Durables 1,714,890 The Berkeley Group Holdings PLC GBR GBP 54,785,434 3.96

Household Products 441,839 Reckitt Benckiser Group PLC GBR GBP 29,653,703 2.14

Independent Power and Renewable Electricity Producers 8,879,623 Drax Group PLC GBR GBP 52,686,048 3.80

Insurance 909,666 Euler Hermes Group FRA EUR 77,903,796 5.63

Internet & Catalog Retail 3,671,397 Takkt AG DEU EUR 49,967,713 3.61

Machinery 2,144,783 IMI PLC GBR GBP 34,895,053 2.52

Media 5,981,155 Mediaset Espana Comunicacion SA ESP EUR 62,473,164 4.51 2,836,918 Reed Elsevier NV GBR EUR 56,284,453 4.07 1,472,731 GFK AG DEU EUR 50,065,490 3.62 17,554,985 ITE Group PLC GBR GBP 36,182,420 2.61

205,005,527 14.81

Pharmaceuticals 799,186 Sanofi FRA EUR 60,466,413 4.37 61,569 Roche Holding AG CHE CHF 13,813,568 0.99

74,279,981 5.36

Professional Services 2,911,270 Experian PLC GBR GBP 40,802,666 2.95

Technology Hardware, Storage & Peripherals 398,699 Neopost SA FRA EUR 18,796,664 1.36

Tobacco 1,014,768 Imperial Tobacco Group PLC GBR GBP 37,072,353 2.68

TOTAL SHARES 1,354,128,924 97.82



— Franklin European Growth Fund —

Number of shares or



Marketvalue

% ofnet

assets





TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Consumer Discretionary 4,399 Eutelsat Communications FRA EUR 117,871 1.45 3,642 The Berkeley Group Holdings PLC GBR GBP 116,351 1.43 39,404 ITE Group PLC GBR GBP 81,215 1.00

315,437 3.88

Consumer Staples 1,785 Anheuser-Busch InBev NV BEL EUR 167,540 2.06 3,666 British American Tobacco PLC GBR GBP 165,287 2.03

332,827 4.09

Energy 7,292 Royal Dutch Shell PLC, A GBR EUR 201,697 2.48 3,122 Total SA, B FRA EUR 132,748 1.63 6,236 Eni SpA ITA EUR 90,484 1.11

424,929 5.22

Financials 1,149 Allianz SE DEU EUR 157,815 1.94 3,231 KBC GROEP NV BEL EUR 150,225 1.85 1,705 Euler Hermes Group FRA EUR 146,016 1.80 6,259 Banca Generali ITA EUR 144,270 1.77 10,973 Standard Chartered PLC GBR GBP 136,122 1.67 13,739 IG Group Holdings PLC GBR GBP 127,251 1.56 513 Partners Group Holding AG CHE CHF 123,455 1.52 5,930 Swedbank AB, A SWE SEK 122,849 1.51 38,935 Corporacion Mapfre SA ESP EUR 109,524 1.35 28,957 Ashmore Group PLC GBR GBP 104,445 1.28 403 Zurich Insurance Group AG CHE CHF 104,420 1.28

1,426,392 17.53

Health Care 2,615 Novartis AG CHE CHF 200,747 2.47 1,811 Sanofi FRA EUR 137,020 1.68 7,412 GlaxoSmithKline PLC GBR GBP 131,381 1.61

469,148 5.76

Industrials 8,782 IMI PLC GBR GBP 142,881 1.76 2,812 Vinci SA FRA EUR 127,974 1.57 6,159 Atlantia SpA ITA EUR 119,053 1.46 7,838 Prysmian SpA ITA EUR 118,746 1.46 14,032 Veidekke ASA NOR NOK 114,477 1.41 5,264 bpost SA BEL EUR 109,412 1.34 10,489 De La Rue PLC GBR GBP 70,329 0.86

802,872 9.86

Materials 1,710 BASF SE DEU EUR 119,495 1.47 2,775 Rio Tinto PLC GBR GBP 107,241 1.32 25,006 Glencore PLC CHE GBP 96,250 1.18 4,727 CRH PLC IRL EUR 94,067 1.15 4,775 Tikkurila Oy FIN EUR 69,190 0.85

486,243 5.97

Telecommunication Services 10,803 Deutsche Telekom AG DEU EUR 143,140 1.76

Utilities 11,880 National Grid PLC GBR GBP 140,502 1.73 6,193 SSE PLC GBR GBP 129,399 1.59 32,484 Centrica PLC GBR GBP 116,748 1.43 27,921 Snam SpA ITA EUR 114,476 1.41

501,125 6.16

TOTAL SHARES 4,902,113 60.23


— Franklin European Income Fund —

Number of shares or



Marketvalue

% ofnet

assets





TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET BONDS Corporate Bonds 100,000 Aviva PLC, sub. bond, Reg S, 6.125% to 07/05/23, FRN thereafter, 07/05/43 GBR EUR 119,660 1.47 100,000 ABB Finance BV, senior note, Reg S, 2.625%, 03/26/19 CHE EUR 109,142 1.34 100,000 GE Capital European Funding, senior note, Reg S, 2.25%, 07/20/20 USA EUR 109,140 1.34 100,000 Lloyds Bank PLC, senior note, Reg S, 1.875%, 10/10/18 GBR EUR 105,186 1.29 100,000 WM Morrison Supermarkets PLC, senior note, Reg S, 2.25%, 06/19/20 GBR EUR 101,797 1.25 100,000 Telefonica Participaciones SAU, cvt., senior sub. note, Reg S, 4.90%, 09/25/17 ESP EUR 100,963 1.24

645,888 7.93

Government and Municipal Bonds 250,000 Italy Treasury Bond, senior bond, 5.50%, 09/01/22 ITA EUR 320,994 3.94 250,000 Government of Spain, senior bond, 4.00%, 04/30/20 ESP EUR 290,140 3.57 250,000 Government of the Netherlands, Reg S, 1.75%, 07/15/23 NLD EUR 275,370 3.38 700,000 Government of Poland, 5.75%, 04/25/29 POL PLN 222,490 2.73 150,000 Italy Treasury Bond, senior bond, Reg S, 4.75%, 09/01/44 ITA EUR 194,503 2.39 100,000 Government of Spain, 5.75%, 07/30/32 ESP EUR 147,383 1.81 140,000 Government of Finland, Reg S, 0.375%, 09/15/20 FIN EUR 141,419 1.74 100,000 Government of Ireland, 5.00%, 10/18/20 IRL EUR 125,222 1.54 100,000 Government of Lithuania, senior note, Reg S, 3.375%, 01/22/24 LTU EUR 115,426 1.42 100,000 Government of Finland, senior bond, Reg S, 2.00%, 04/15/24 FIN EUR 112,227 1.38 100,000 KFW, senior note, 3.125%, 06/15/18 DEU EUR 110,680 1.36 100,000 Government of Latvia, Reg S, 2.625%, 01/21/21 LVA EUR 108,583 1.33 100,000 Government of Bulgaria, Reg S, 2.95%, 09/03/24 BGR EUR 100,482 1.24

2,264,919 27.83

TOTAL BONDS 2,910,807 35.76

INVESTMENTS FUNDS Financials 14,379 FTIF – Franklin Euro High Yield Fund, Class I LUX EUR 264,281 3.25




— Franklin European Income Fund —

Number of shares or



Marketvalue

% ofnet

assets





TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Air Freight & Logistics 5,238,000 TNT Express NV NLD EUR 29,023,758 4.46

Beverages 6,732,926 C&C Group PLC IRL EUR 24,373,192 3.75

Building Products 2,225,101 Uponor OYJ FIN EUR 25,566,411 3.93

Capital Markets 5,084,419 RHJ International BEL EUR 23,439,172 3.60 31,446,000 ABG Sundal Collier Holding ASA NOR NOK 16,871,086 2.60

40,310,258 6.20

Chemicals 5,465,056 Alent PLC GBR GBP 22,598,354 3.47

Commercial Services & Supplies 1,099,500 ISS A/S DNK DKK 26,293,766 4.04

Construction & Engineering 1,348,160 Keller Group PLC GBR GBP 15,282,742 2.35 1,534,750 Morgan Sindall PLC GBR GBP 12,257,629 1.88

27,540,371 4.23

Distributors 3,353,600 Headlam Group PLC GBR GBP 19,008,204 2.92

Diversified Financial Services 466,600 Deutsche Boerse AG DEU EUR 27,632,052 4.25 600,000 Kennedy Wilson Europe Real Estate PLC GBR GBP 8,154,191 1.25 662,756 Hellenic Exchanges – Athens Stock Exchange SA Holdings GRC EUR 3,081,815 0.48

38,868,058 5.98

Electrical Equipment 1,883,300 Prysmian SpA ITA EUR 28,531,995 4.39

Food & Staples Retailing 977,181 Sligro Food Group NV NLD EUR 30,536,906 4.69

Household Products 3,164,889 McBride PLC GBR GBP 3,261,562 0.50

Insurance 333,798 Euler Hermes Group FRA EUR 28,586,461 4.40

IT Services 4,627,475 Optimal Payments PLC IOM GBP 20,431,427 3.14 1,050,819 Sesa SpA ITA EUR 13,650,139 2.10

34,081,566 5.24

Leisure Products 1,336,623 Beneteau FRA EUR 15,518,193 2.39

Machinery 4,369,900 Vesuvius PLC GBR GBP 25,117,605 3.86 1,577,371 Zardoya Otis SA ESP EUR 14,511,813 2.23

39,629,418 6.09

Marine 6,759,420 Irish Continental Group PLC IRL EUR 21,968,115 3.38

Professional Services 5,846,640 Michael Page International PLC GBR GBP 31,022,393 4.77 4,219,700 Sthree PLC GBR GBP 16,042,230 2.47

47,064,623 7.24

Real Estate Investment Trusts (REITs) 22,551,802 Green REIT PLC IRL EUR 28,866,307 4.44 3,137,598 Lar Espana Real Estate Socimi SA ESP EUR 28,790,599 4.42

57,656,906 8.86

Real Estate Management & Development 5,195,000 Countrywide PLC GBR GBP 29,217,728 4.49

Specialty Retail 2,408,667 Carpetright PLC GBR GBP 12,426,718 1.91

Trading Companies & Distributors 3,898,771 Grafton Group PLC IRL GBP 32,042,439 4.93

TOTAL SHARES 634,105,002 97.49



— Franklin European Small-Mid Cap Growth Fund —

Number of shares or



Marketvalue

% ofnet

assets





TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET BONDS Corporate Bonds 4,500,000 Propertize BV, senior note, 0.50%, 02/27/17 NLD EUR 4,543,650 1.98 3,000,000 GE Capital European Funding, senior note, Reg S, 2.25%, 07/20/20 USA EUR 3,274,200 1.43 2,000,000 AXA SA, sub. bond, Reg S, 5.25% to 04/16/20, FRN thereafter, 04/16/40 FRA EUR 2,278,220 1.00 2,000,000 HSBC Holdings PLC, sub. bond, Reg S, 3.375% to 01/10/19,

FRN thereafter, 01/10/24 GBR EUR 2,127,930 0.93 1,700,000 Telstra Corp. Ltd., senior note, Reg S, 3.75%, 05/16/22 AUS EUR 2,042,822 0.89 1,700,000 The Goldman Sachs Group Inc., senior note, Reg S, 6.375%, 05/02/18 USA EUR 2,018,189 0.88 1,700,000 Allianz SE, sub. note, Reg S, 4.75% to 10/24/23, FRN thereafter, Perpetual DEU EUR 1,897,914 0.83 1,700,000 Bacardi Ltd., senior note, Reg S, 2.75%, 07/03/23 BMU EUR 1,879,392 0.82 1,700,000 Madrilena Red de Gas Finance BV, senior note, Reg S, 3.779%, 09/11/18 ESP EUR 1,877,548 0.82 1,400,000 ABN Amro Bank NV, sub. note, Reg S, 7.125%, 07/06/22 NLD EUR 1,852,494 0.81 1,700,000 Yorkshire Building Society, senior note, Reg S, 2.125%, 03/18/19 GBR EUR 1,780,835 0.78 1,700,000 WM Morrison Supermarkets PLC, senior note, Reg S, 2.25%, 06/19/20 GBR EUR 1,730,549 0.76 1,500,000 Achmea BV, sub. note, Reg S, 6.00% to 04/04/23, FRN thereafter, 04/04/43 NLD EUR 1,714,477 0.75 1,600,000 Intesa Sanpaolo SpA, senior note, Reg S, 4.125%, 01/14/16 ITA EUR 1,657,712 0.72 1,500,000 Motability Operations Group PLC, senior note, Reg S, 3.75%, 11/29/17 GBR EUR 1,643,857 0.72 1,500,000 Syngenta Finance NV, senior note, Reg S, 1.875%, 11/02/21 CHE EUR 1,605,503 0.70 1,500,000 Korea Gas Corp., senior note, Reg S, 2.375%, 04/15/19 KOR EUR 1,603,980 0.70 1,500,000 SPP-Distribucia AS, senior note, Reg S, 2.625%, 06/23/21 SSS EUR 1,580,625 0.69 1,200,000 The Royal Bank of Scotland PLC, sub. note, 6.934%, 04/09/18 GBR EUR 1,385,250 0.60 1,200,000 Wind Acquisition Finance SA, senior secured note, Reg S, 4.00%, 07/15/20 ITA EUR 1,182,000 0.52 900,000 Moy Park Bondco PLC, senior note, Reg S, 6.25%, 05/29/21 GBR GBP 1,123,858 0.49 1,000,000 Unitymedia Hessen GmbH & Co. KG/Unitymedia NRW GmbH,

senior secured note, first lien, Reg S, 5.75%, 01/15/23 DEU EUR 1,087,500 0.48 1,000,000 Fiat Chrysler Finance Europe, senior note, Reg S, 4.75%, 03/22/21 GBR EUR 1,069,375 0.47 800,000 Pendragon PLC, secured note, Reg S, 6.875%, 05/01/20 GBR GBP 1,068,547 0.47 1,000,000 Play Finance 2 SA, secured note, first lien, Reg S, 5.25%, 02/01/19 LUX EUR 1,038,500 0.45 1,000,000 Veolia Environnement SA, junior sub. note, Reg S, 4.45% to 04/16/18,

FRN thereafter, Perpetual FRA EUR 1,033,860 0.45 1,000,000 Arkema, senior note, Reg S, 4.75% to 10/29/20, FRN thereafter, Perpetual FRA EUR 1,013,165 0.44 1,000,000 Hertz Holdgs Netherlands BV, senior note, Reg S, 4.375%, 01/15/19 USA EUR 1,001,250 0.44 1,000,000 Kedrion SpA, senior note, Reg S, 4.625%, 04/24/19 ITA EUR 985,000 0.43 1,000,000 Abengoa Finance SAU, senior note, Reg S, 8.875%, 02/05/18 ESP EUR 963,190 0.42 900,000 Ence Energia y Celulosa SA, secured note, Reg S, 7.25%, 02/15/20 ESP EUR 945,432 0.41 913,500 WMG Acquisition Corp., senior secured note, first lien, Reg S, 6.25%, 01/15/21 USA EUR 935,196 0.41 900,000 Rhino Bondco SpA, senior secured note, Reg S, 7.25%, 11/15/20 ITA EUR 922,500 0.40 900,000 Algeco Scotsman Global Finance PLC, secured note, Reg S, 9.00%, 10/15/18 GBR EUR 915,188 0.40 900,000 Galapagos SA, senior secured note, Reg S, 5.375%, 06/15/21 DEU EUR 896,063 0.39 1,000,000 Grupo Isolux Corsan Finance BV, senior note, Reg S, 6.625%, 04/15/21 ESP EUR 872,100 0.38 800,000 La Financiere Atalian SA, senior note, Reg S, 7.25%, 01/15/20 FRA EUR 850,292 0.37 800,000 Rain CII Carbon LLC/CII Carbon Corp., second lien, Reg S, 8.50%, 01/15/21 USA EUR 828,000 0.36 900,000 Edcon Pty. Ltd., senior secured note, Reg S, 9.50%, 03/01/18 ZAF EUR 725,625 0.32

57,951,788 25.31

Government and Municipal Bonds 13,200,000 Government of Finland, Reg S, 0.375%, 09/15/20 FIN EUR 13,333,782 5.83 10,000,000 Italy Treasury Bond, senior bond, 5.50%, 09/01/22 ITA EUR 12,839,750 5.61 11,000,000 Government of Spain, senior bond, 4.00%, 04/30/20 ESP EUR 12,766,160 5.58 8,800,000 Italy Treasury Bond, senior bond, Reg S, 4.75%, 09/01/44 ITA EUR 11,410,828 4.98 8,500,000 Italy Treasury Bond, senior bond, Reg S, 4.75%, 09/01/28 ITA EUR 10,758,492 4.70 8,500,000 Government of Ireland, 5.00%, 10/18/20 IRL EUR 10,643,912 4.65 9,500,000 Italy Treasury Bond, Reg S, 3.50%, 03/01/30 ITA EUR 10,623,375 4.64 7,000,000 Government of Spain, 5.75%, 07/30/32 ESP EUR 10,316,810 4.51 9,500,000 Government of the Netherlands, Reg S, 1.25%, 01/15/19 NLD EUR 9,972,625 4.36 9,000,000 Government of the Netherlands, 0.25%, 01/15/20 NLD EUR 9,075,825 3.96 6,000,000 Government of Finland, senior bond, Reg S, 2.00%, 04/15/24 FIN EUR 6,733,620 2.94 21,000,000 Government of Poland, 5.75%, 04/25/29 POL PLN 6,674,693 2.92 6,000,000 Government of the Netherlands, Reg S, 1.75%, 07/15/23 NLD EUR 6,608,880 2.89 26,000,000 Government of Poland, 3.25%, 07/25/25 POL PLN 6,483,398 2.83 4,800,000 Government of Lithuania, senior note, Reg S, 3.375%, 01/22/24 LTU EUR 5,540,472 2.42 5,500,000 Government of Bulgaria, Reg S, 2.95%, 09/03/24 BGR EUR 5,526,510 2.41 5,000,000 Government of Latvia, Reg S, 2.625%, 01/21/21 LVA EUR 5,429,150 2.37 3,000,000 Government of Ireland, Reg S, 3.90%, 03/20/23 IRL EUR 3,664,515 1.60 1,900,000 Government of Mexico, senior note, 2.75%, 04/22/23 MEX EUR 1,982,925 0.87 550,000 Government of Spain, senior note, Reg S, 5.15%, 10/31/28 ESP EUR 738,392 0.32

161,124,114 70.39

Securities Maturing Within One Year 6,000,000 European Financial Stability Facility, Reg S, 0.08%, 07/15/15 SP EUR 6,002,790 2.62

TOTAL BONDS 225,078,692 98.32



— Franklin European Total Return Fund —

Number of shares or



Marketvalue

% ofnet

assets





TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET BONDS Asset-Backed Securities 660,000 Waha Aerospace BV, senior bond, Reg S, 3.925%, 07/28/20 ARE USD 694,304 3.47 450,867 Nakilat Inc., second lien, Reg S, 6.267%, 12/31/33 QAT USD 508,134 2.54 400,000 Emirates Airline., senior bond, Reg S, 4.50%, 02/06/25 ARE USD 403,346 2.01 322,116 Medjool Ltd., senior note, Reg S, 3.875%, 03/19/23 ARE USD 322,921 1.61 250,000 Ruwais Power Co. PJSC, Reg S, 6.00%, 08/31/36 ARE USD 289,029 1.44 154,850 Ras Laffan Liquefied Natural Gas Co. Ltd. II, secured note, Reg S,

5.298%, 09/30/20 QAT USD 166,838 0.83

2,384,572 11.90

Corporate Bonds 920,000 Burgan Tier 1 Financing, junior sub. bond, 7.25%, Perpetual KWD USD 910,023 4.54 700,000 United Gulf Bank BSC, sub. note, FRN, 2.929%, 10/13/16 † BHN USD 672,000 3.35 600,000 DP World Ltd., cvt., senior note, Reg S, 1.75%, 06/19/24 ARE USD 640,038 3.19 650,000 Emirates NBD Tier 1 Ltd., junior sub. bond, Reg S, 5.75% to 05/30/19,

FRN thereafter, Perpetual ARE USD 639,844 3.19 1,950,000 Anka a Sukuk Ltd., Reg S, 10.00%, 08/25/16 ARE AED 585,459 2.92 500,000 GEMS MEA Sukuk Ltd., junior sub. note, Reg S, 12.00% to 11/21/18,

FRN thereafter, Perpetual ARE USD 575,000 2.87 550,000 Alternatifbank AS, senior note, Reg S, 3.125%, 07/22/19 TUR USD 548,584 2.74 500,000 Banque Marocaine du Commerce Exterieur, senior note, Reg S, 6.25%, 11/27/18 MAR USD 513,437 2.56 500,000 AKCB Finance Ltd., senior note, Reg S, 3.25%, 10/22/18 QAT USD 507,700 2.53 500,000 Emirates NBD PJSC, senior note, Reg S, 3.25%, 11/19/19 ARE USD 502,437 2.51 500,000 Mubadala GE Capital Ltd., senior note, 144A, 3.00%, 11/10/19 ARE USD 496,167 2.48 475,000 Kuwait Energy PLC, senior note, Reg S, 9.50%, 08/04/19 KWD USD 445,892 2.22 400,000 Emirates NBD PJSC, sub. note, Reg S, FRN, 3.734%, 11/27/23 † ARE USD 420,500 2.10 300,000 Kuwait Projects Co., senior note, 9.375%, 07/15/20 KWD USD 377,845 1.89 360,000 National Bank of Oman Ltd., senior note, Reg S, 3.125%, 10/07/19 OMN USD 364,032 1.82 350,000 QNB Finance Ltd., senior note, Reg S, 2.75%, 10/31/18 QAT USD 350,893 1.75 300,000 MAF Global Securities Ltd., sub. bond, Reg S, 7.125% to 10/29/18,

FRN thereafter, Perpetual ARE USD 325,830 1.63 300,000 MAF Global Securities Ltd., senior note, Reg S, 4.75%, 05/07/24 ARE USD 306,849 1.53 300,000 RAKFUNDING Cayman Ltd., senior note, Reg S, 3.25%, 06/24/19 ARE USD 303,966 1.52 250,000 Qtel International Finance Ltd., senior note, Reg S, 5.00%, 10/19/25 QAT USD 270,168 1.35 250,000 OCP SA, senior note, Reg S, 5.625%, 04/25/24 MAR USD 262,844 1.31 250,000 KT Sukuk Varlk Kiralama AS, Reg S, 5.875%, 10/31/16 TUR USD 262,664 1.31 250,000 ICD Funding Ltd., senior note, Reg S, 4.625%, 05/21/24 ARE USD 249,470 1.24 150,000 Dubai Holding Commercial Operations Group, senior note, 6.00%, 02/01/17 ARE GBP 238,385 1.19 200,000 DP World Ltd., Reg S, 6.85%, 07/02/37 ARE USD 226,324 1.13 200,000 Saudi Electricity Global Sukuk Co. 2, senior note, Reg S, 5.06%, 04/08/43 SAU USD 203,740 1.02 200,000 Sabic Capital II BV, senior note, Reg S, 2.625%, 10/03/18 SAU USD 201,939 1.01 200,000 DIB Tier 1 Sukuk Ltd., sub. note, Reg S, 6.25% to 03/20/19,

FRN thereafter, Perpetual ARE USD 200,557 1.00 200,000 ADCB Finance Cayman Ltd., sub. note, Reg S, 3.125% to 05/28/18,

FRN thereafter, 05/28/23 ARE USD 196,981 0.98 200,000 Dar Al-Arkan Sukuk Co. Ltd., senior note, Reg S, 5.75%, 05/17/18 SAU USD 196,942 0.98 200,000 ICD Sukuk Co. Ltd., senior note, Reg S, 3.508%, 05/21/20 ARE USD 196,688 0.98 200,000 Qtel International Finance Ltd., senior note, Reg S, 3.25%, 02/21/23 QAT USD 193,809 0.97 200,000 Genel Energy Finance PLC, senior note, 7.50%, 05/14/19 GBR USD 169,500 0.85

12,556,507 62.66

Government and Municipal Bonds 500,000 Government of Qatar, senior note, Reg S, 5.75%, 01/20/42 QAT USD 592,375 2.96 500,000 Government of Bahrain, Reg S, 6.00%, 09/19/44 BHN USD 480,087 2.39 300,000 Government of Bahrain, senior note, Reg S, 6.125%, 08/01/23 BHN USD 330,615 1.65 300,000 Shariah Government Sukuk, senior note, Reg S, 3.764%, 09/17/24 ARE USD 310,875 1.55 200,000 Government of Qatar, senior bond, Reg S, 6.40%, 01/20/40 QAT USD 254,746 1.27

1,968,698 9.82

Securities Maturing Within One Year 600,000 Dar Al-Arkan International Sukuk Co. II, senior note, Reg S, 10.75%, 02/18/15 SAU USD 605,289 3.02 200,000 BBK BSC, senior note, Reg S, 4.50%, 10/28/15 BHN USD 204,388 1.02

809,677 4.04

TOTAL BONDS 17,719,454 88.42




— Franklin GCC Bond Fund —

Number of shares or



Marketvalue

% ofnet

assets





TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET BONDS Asset-Backed Securities 725,000 FNMA, 4.00%, 01/01/41 USA USD 773,816 3.72 525,000 FNMA, 3.00%, 01/01/30 USA USD 545,733 2.62 105,000 FHLMC, 3.50%, 01/01/42 USA USD 109,184 0.52

1,428,733 6.86

Corporate Bonds 200,000 Svenska Handelsbanken AB, senior note, Reg S, 4.00%, 01/18/19 SWE GBP 341,259 1.64 200,000 Danske Bank AS, senior note, 144A, 3.875%, 04/14/16 DNK USD 206,845 0.99 200,000 Saudi Electricity Global Sukuk Co. 2, 144A, 5.06%, 04/08/43 SAU USD 203,740 0.98 200,000 Royal Bank of Scotland Group PLC, senior note, 1.875%, 03/31/17 GBR USD 199,962 0.96 150,000 The Goldman Sachs Group Inc., senior note, 5.75%, 01/24/22 USA USD 173,672 0.83 160,000 Wal-Mart Stores Inc., senior note, 1.95%, 12/15/18 USA USD 162,216 0.78 155,000 Royal Bank of Canada, senior note, 1.20%, 01/23/17 CAN USD 154,973 0.74 150,000 Sysco Corp., senior note, 3.50%, 10/02/24 USA USD 154,913 0.74 140,000 JPMorgan Chase & Co., senior note, 3.45%, 03/01/16 USA USD 143,763 0.69 115,000 Merrill Lynch & Co. Inc., senior note, 6.875%, 04/25/18 USA USD 132,186 0.63 115,000 Comcast Corp., senior note, 6.30%, 11/15/17 USA USD 130,340 0.63 115,000 Verizon Communications Inc., senior note, 5.15%, 09/15/23 USA USD 127,076 0.61 120,000 Simon Property Group LP, senior bond, 3.375%, 10/01/24 USA USD 122,307 0.59 90,000 News America Inc., 6.40%, 12/15/35 USA USD 117,839 0.57 100,000 Heathrow Funding Ltd., senior secured bond, 144A, 4.875%, 07/15/23 GBR USD 111,413 0.53 105,000 Aflac Inc., senior bond, 3.625%, 11/15/24 USA USD 107,280 0.52 100,000 Ally Financial Inc., senior note, 4.75%, 09/10/18 USA USD 103,750 0.50 100,000 WPP Finance 2010, senior note, 3.75%, 09/19/24 GBR USD 100,814 0.48 100,000 Sprint Corp., senior note, 7.25%, 09/15/21 USA USD 99,625 0.48 85,000 General Motors Co., senior bond, 4.875%, 10/02/23 USA USD 91,375 0.44 85,000 Gilead Sciences Inc., senior bond, 3.50%, 02/01/25 USA USD 87,425 0.42 80,000 Bank of Montreal, senior note, 1.45%, 04/09/18 CAN USD 79,076 0.38 50,000 Citigroup Inc., senior note, 8.125%, 07/15/39 USA USD 76,798 0.37 75,000 Hewlett-Packard Co., 2.60%, 09/15/17 USA USD 76,463 0.37 55,000 Mitsui Sumitomo Insurance Co. Ltd., junior sub. note, 144A,

7.00% to 03/15/22, FRN thereafter, 03/15/72 JPN USD 63,384 0.30 60,000 Toll Brothers Finance Corp., senior bond, 4.375%, 04/15/23 USA USD 59,100 0.28 55,000 Navient Corp., senior note, 4.875%, 06/17/19 USA USD 55,297 0.27 50,000 Bank of America Corp., 3.875%, 03/22/17 USA USD 52,346 0.25 50,000 CIT Group Inc., senior bond, 5.00%, 08/01/23 USA USD 51,500 0.25 45,000 JBS USA LLC/Finance Inc., senior note, 144A, 8.25%, 02/01/20 USA USD 47,587 0.23 30,000 Chesapeake Energy Corp., senior note, 6.125%, 02/15/21 USA USD 31,650 0.15 20,000 Aviation Capital Group Corp., 144A, 6.75%, 04/06/21 USA USD 22,750 0.11 20,000 Calpine Corp., senior secured bond, 144A, 7.875%, 01/15/23 USA USD 22,150 0.11

3,710,874 17.82

Government and Municipal Bonds 1,000,000 Government of Germany, 1.50%, 02/15/23 DEU EUR 1,325,628 6.37 500,000 Italy Treasury Bond, senior bond, 5.50%, 09/01/22 ITA EUR 776,805 3.73 90,000 Government of Mexico, 8.00%, 12/07/23 MEX MXN 704,324 3.38 500,000 Government of France, 2.25%, 05/25/24 FRA EUR 688,457 3.31 60,000,000 Development Bank of Japan, senior bond, 2.30%, 03/19/26 JPN JPY 610,077 2.93 600,000 Government of Canada, 2.75%, 06/01/22 CAN CAD 557,952 2.68 500,000 U.S. Treasury Note, 2.625%, 01/31/18 USA USD 522,011 2.51 385,000 Italy Treasury Bond, Reg S, 3.50%, 03/01/30 ITA EUR 520,937 2.50 50,000,000 Development Bank of Japan, 1.70%, 09/20/22 JPN JPY 465,659 2.24 450,000 U.S. Treasury Note, 0.50%, 06/15/16 USA USD 450,290 2.16 425,000 U.S. Treasury Note, 0.50%, 09/30/16 USA USD 424,419 2.04 1,100,000 Government of Poland, 5.75%, 04/25/29 POL PLN 423,048 2.03 420,000 FNMA, 1.75%, 09/12/19 USA USD 420,538 2.02 420,000 Queensland Treasury Corp., senior bond, Reg S, 5.75%, 07/22/24 AUS AUD 416,708 2.00 420,000 Queensland Treasury Corp., senior note, Reg S, 6.00%, 07/21/22 AUS AUD 415,071 1.99 1,300,000 Government of Poland, 3.25%, 07/25/25 POL PLN 392,246 1.88 310,000 U.S. Treasury Bond, 3.125%, 08/15/44 USA USD 333,807 1.60 1,010,000 Government of Poland, 4.00%, 10/25/23 POL PLN 321,470 1.54 235,000 Government of Hungary, senior note, 6.25%, 01/29/20 HUN USD 264,582 1.27 185,000 U.S. Treasury Bond, 4.50%, 08/15/39 USA USD 246,801 1.19 200,000 Government of Lithuania, senior note, 144A, 6.625%, 02/01/22 LTU USD 242,294 1.16 210,000 FNMA, 2.625%, 09/06/24 USA USD 212,943 1.02 200,000 Government of Qatar, senior note, Reg S, 3.125%, 01/20/17 QAT USD 208,345 1.00 205,000 International Bank for Reconstruction and Development, 0.75%, 12/15/16 SP USD 205,049 0.99 200,000 Inter-American Development Bank, 0.875%, 11/15/16 SP USD 200,591 0.96 130,000 Italy Treasury Bond, senior bond, Reg S, 4.75%, 09/01/28 ITA EUR 199,095 0.96 195,000 Government of Chile, senior bond, 3.125%, 03/27/25 CHL USD 194,453 0.93 193,865 U.S. Treasury Bond, Index Linked, 0.375%, 07/15/23 USA USD 192,093 0.92 100,000 United Kingdom Treasury Note, Reg S, 2.00%, 01/22/16 GBR GBP 158,479 0.76 110,000 Government of the Netherlands, Reg S, 4.50%, 07/15/17 NLD EUR 148,360 0.71 120,000 Government of Poland, senior note, 5.125%, 04/21/21 POL USD 135,494 0.65 125,000 U.S. Treasury Note, 2.625%, 11/15/20 USA USD 130,464 0.63 120,000 Florida Hurricane Catastrophe Fund Finance Corp. Revenue,

Series A, 2.995%, 07/01/20 USA USD 121,536 0.58

— Franklin Global Aggregate Bond Fund —

Number of shares or



Marketvalue

% ofnet

assets





Government and Municipal Bonds (continued) 80,000 California State GO, Build America Bonds, 7.30%, 10/01/39 USA USD 117,919 0.57 70,000 Government of Spain, senior note, Reg S, 5.15%, 10/31/28 ESP EUR 113,712 0.55 75,000 Illinois State GO, 4.961%, 03/01/16 USA USD 78,217 0.38 70,000 Corp Andina De Fomento, 4.375%, 06/15/22 SP USD 75,810 0.37 65,000 JobsOhio Beverage System Statewide Liquor Profits Revenue,

Series B, 4.532%, 01/01/35 USA USD 69,816 0.34 55,000 Chicago GO, Project, Series C1, 7.781%, 01/01/35 USA USD 65,330 0.31 50,000 Government of Peru, senior bond, 6.55%, 03/14/37 PER USD 65,070 0.31 60,000 Government of El Salvador, senior bond, Reg S, 7.65%, 06/15/35 SVC USD 64,527 0.31 55,000 Government of South Africa, 5.50%, 03/09/20 ZAF USD 60,238 0.29 30,000 Illinois State GO, 5.10%, 06/01/33 USA USD 29,811 0.14 20,000 San Diego County Water Authority Financing Agency Water Revenue,

Build America Bonds, San Diego Water, Series B, 6.138%, 05/01/49 USA USD 27,065 0.13

13,397,541 64.34

Securities Maturing Within One Year 1,355,000 U.S. Treasury Bill, 0.00%, 01/29/15 USA USD 1,354,988 6.51 500,000 FHLB, 0.50%, 11/20/15 USA USD 500,825 2.41 250,000 United Kingdom Treasury Note, Reg S, 2.75%, 01/22/15 GBR GBP 390,201 1.87 230,000 Volkswagen International Finance, senior note, 144A, 1.15%, 11/20/15 DEU USD 231,024 1.11 200,000 The Export-Import Bank of Korea, senior note, 1.25%, 11/20/15 KOR USD 200,689 0.96 150,000 FHLB, 0.25%, 02/20/15 USA USD 150,008 0.72 100,000 Korea Hydro & Nuclear Power Co. Ltd., senior note, Reg S,

3.125%, 09/16/15 KOR USD 101,461 0.49 60,000 Hyundai Capital America, senior note, 144A, 1.625%, 10/02/15 KOR USD 60,308 0.29

2,989,504 14.36

TOTAL BONDS 21,526,652 103.38



— Franklin Global Aggregate Bond Fund —

Number of shares or



Marketvalue

% ofnet

assets





TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET BONDS Asset-Backed Securities 1,490,000 FNMA, 4.00%, 01/01/41 USA USD 1,590,325 3.60 1,100,000 FNMA, 3.00%, 01/01/30 USA USD 1,143,441 2.59 270,000 FHLMC, 3.50%, 01/01/42 USA USD 280,758 0.63 150,231 Granite Master Issuer PLC, 2006-3, A3, FRN, 0.245%, 12/20/54 † GBR USD 149,206 0.34

3,163,730 7.16

Corporate Bonds 580,000 Sydney Airport Finance Co. Pty. Ltd., 144A, 3.90%, 03/22/23 AUS USD 597,948 1.35 555,000 Wal-Mart Stores Inc., senior note, 1.95%, 12/15/18 USA USD 562,686 1.27 435,000 Sysco Corp., senior note, 3.50%, 10/02/24 USA USD 449,248 1.02 340,000 News America Inc., 6.40%, 12/15/35 USA USD 445,169 1.01 395,000 Aflac Inc., senior bond, 3.625%, 11/15/24 USA USD 403,579 0.91 395,000 Simon Property Group LP, senior bond, 3.375%, 10/01/24 USA USD 402,593 0.91 395,000 WPP Finance 2010, senior note, 3.75%, 09/19/24 GBR USD 398,215 0.90 310,000 JPMorgan Chase & Co., senior note, 4.25%, 10/15/20 USA USD 333,538 0.75 335,000 Bank of Montreal, senior note, 1.45%, 04/09/18 CAN USD 331,130 0.75 285,000 The Goldman Sachs Group Inc., senior note, 5.75%, 01/24/22 USA USD 329,976 0.75 330,000 Royal Bank of Canada, senior note, 1.20%, 01/23/17 CAN USD 329,943 0.75 330,000 Royal Bank of Scotland Group PLC, senior note, 1.875%, 03/31/17 GBR USD 329,938 0.75 290,000 Comcast Corp., senior note, 6.30%, 11/15/17 USA USD 328,683 0.74 320,000 JPMorgan Chase & Co., senior note, 3.45%, 03/01/16 USA USD 328,601 0.74 285,000 Merrill Lynch & Co. Inc., senior note, 6.875%, 04/25/18 USA USD 327,591 0.74 295,000 Verizon Communications Inc., senior note, 5.15%, 09/15/23 USA USD 325,979 0.74 310,000 Gilead Sciences Inc., senior bond, 3.50%, 02/01/25 USA USD 318,844 0.72 140,000 Citigroup Inc., senior note, 8.125%, 07/15/39 USA USD 215,035 0.49 200,000 Danske Bank AS, senior note, 144A, 3.875%, 04/14/16 DNK USD 206,845 0.47 200,000 UBS AG London, secured note, 144A, 2.25%, 03/30/17 CHE USD 204,602 0.46 60,000 Hewlett-Packard Co., 2.60%, 09/15/17 USA USD 61,170 0.14

7,231,313 16.36

Government and Municipal Bonds 1,650,000 United Kingdom Treasury Note, Reg S, 2.00%, 01/22/16 GBR GBP 2,614,908 5.92 1,300,000 Government of Germany, 1.50%, 02/15/23 DEU EUR 1,723,316 3.90 1,500,000 U.S. Treasury Bond, 3.125%, 08/15/44 USA USD 1,615,195 3.65 1,000,000 Italy Treasury Bond, senior bond, 5.50%, 09/01/22 ITA EUR 1,553,610 3.51 1,520,000 FNMA, 2.625%, 09/06/24 USA USD 1,541,303 3.49 150,000,000 Development Bank of Japan, senior bond, 2.30%, 03/19/26 JPN JPY 1,525,192 3.45 900,000 Government of Spain, senior note, Reg S, 5.15%, 10/31/28 ESP EUR 1,462,015 3.31 185,000 Government of Mexico, 8.00%, 12/07/23 MEX MXN 1,447,776 3.28 1,050,000 Italy Treasury Bond, Reg S, 3.50%, 03/01/30 ITA EUR 1,420,737 3.21 1,400,000 U.S. Treasury Note, 0.50%, 06/30/16 USA USD 1,400,356 3.17 1,200,000 Queensland Treasury Corp., senior note, Reg S, 6.00%, 07/21/22 AUS AUD 1,185,918 2.68 3,000,000 Government of Poland, 5.75%, 04/25/29 POL PLN 1,153,768 2.61 1,200,000 Government of Canada, 2.75%, 06/01/22 CAN CAD 1,115,904 2.52 1,100,000 Queensland Treasury Corp., senior bond, Reg S, 5.75%, 07/22/24 AUS AUD 1,091,377 2.47 3,500,000 Government of Poland, 3.25%, 07/25/25 POL PLN 1,056,046 2.39 1,000,000 U.S. Treasury Note, 1.375%, 09/30/18 USA USD 998,906 2.26 1,000,000 U.S. Treasury Note, 1.75%, 05/15/23 USA USD 973,125 2.20 100,000,000 Development Bank of Japan, 1.70%, 09/20/22 JPN JPY 931,319 2.11 600,000 Government of France, 2.25%, 05/25/24 FRA EUR 826,148 1.87 750,000 Inter-American Development Bank, 0.875%, 11/15/16 SP USD 752,216 1.70 750,000 International Bank for Reconstruction and Development, 0.75%, 12/15/16 SP USD 750,180 1.70 80,000,000 Development Bank of Japan, senior note, 1.75%, 03/17/17 JPN JPY 692,837 1.57 500,000 Government of the Netherlands, Reg S, 4.50%, 07/15/17 NLD EUR 674,363 1.53 570,000 Government of Chile, senior bond, 3.125%, 03/27/25 CHL USD 568,401 1.29 500,000 U.S. Treasury Note, FRN, 0.085%, 01/31/16 † USA USD 499,891 1.13 112,238 U.S. Treasury Bond, Index Linked, 0.375%, 07/15/23 USA USD 111,212 0.25 60,000 California State GO, Build America Bonds, 7.30%, 10/01/39 USA USD 88,439 0.20 80,000 Florida Hurricane Catastrophe Fund Finance Corp.

Revenue, Series A, 2.995%, 07/01/20 USA USD 81,024 0.18 55,000 Government of Poland, senior note, 5.125%, 04/21/21 POL USD 62,101 0.14 45,000 Corp Andina De Fomento, 4.375%, 06/15/22 SP USD 48,735 0.11 25,000 Illinois State GO, 5.10%, 06/01/33 USA USD 24,842 0.06 15,000 JobsOhio Beverage System Statewide Liquor Profits Revenue,

Series B, 4.532%, 01/01/35 USA USD 16,111 0.04

30,007,271 67.90

Securities Maturing Within One Year 2,755,000 U.S. Treasury Bill, 0.00%, 01/29/15 USA USD 2,754,975 6.23 900,000 U.S. Treasury Note, 1.75%, 07/31/15 USA USD 908,332 2.06 590,000 General Electric Capital Corp., senior note, 2.25%, 11/09/15 USA USD 598,299 1.35 250,000 Australia & New Zealand Banking Group Ltd., secured note,

144A, 1.00%, 10/06/15 AUS USD 250,895 0.57 200,000 ING Bank NV, 144A, 2.00%, 09/25/15 NLD USD 201,755 0.46 200,000 The Export-Import Bank of Korea, senior note, 1.25%, 11/20/15 KOR USD 200,689 0.45

— Franklin Global Aggregate Investment Grade Bond Fund —

Number of shares or



Marketvalue

% ofnet

assets





Securities Maturing Within One Year (continued) 155,000 AbbVie Inc., senior note, 1.20%, 11/06/15 USA USD 155,487 0.35 100,000 Metropolitan Life Global Funding I, secured note, 144A, 1.70%, 06/29/15 USA USD 100,548 0.23 60,000 Hyundai Capital America, senior note, 144A, 1.625%, 10/02/15 KOR USD 60,308 0.14 50,000 FHLB, 0.25%, 02/20/15 USA USD 50,003 0.11 40,000 TCI Communications Inc., senior note, 8.75%, 08/01/15 USA USD 41,857 0.10

5,323,148 12.05

TOTAL BONDS 45,725,462 103.47




— Franklin Global Aggregate Investment Grade Bond Fund —

Number of shares or



Marketvalue

% ofnet

assets





TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING INVESTMENTS FUNDS Financials 74,805 iPath Bloomberg Commodity Index Total Return ETN USA USD 2,237,418 4.26


SHARES Consumer Discretionary 7,068 Twenty-First Century Fox Inc., B USA USD 260,739 0.50 132,000 Brilliance China Automotive Holdings Ltd. CHN HKD 211,092 0.40 6,150 Burberry Group PLC GBR GBP 156,827 0.30 7,000 Start Today Co. Ltd. JPN JPY 147,682 0.28 1,900 Whitbread PLC GBR GBP 141,265 0.27 2,550 Luxottica Group SpA ITA EUR 140,390 0.27 4,900 TAL Education Group, ADR CHN USD 137,641 0.26 864 Time Warner Cable Inc. USA USD 131,380 0.25 39,000 ITV PLC GBR GBP 130,819 0.25 2,500 Dollarama Inc. CAN CAD 127,879 0.24 110 The Priceline Group Inc. USA USD 125,423 0.24 1,200 The Walt Disney Co. USA USD 113,028 0.21 1,100 NIKE Inc., B USA USD 105,765 0.20 340 Amazon.com Inc. USA USD 105,519 0.20 2,985 General Motors Co. USA USD 104,206 0.20 5,725 Reed Elsevier PLC GBR GBP 98,159 0.19 550 Charter Communications Inc., A USA USD 91,641 0.17 98,000 Guangzhou Automobile Group Co. Ltd., H CHN HKD 89,103 0.17 1,609 CBS Corp., B USA USD 89,042 0.17 1,400 Toyota Motor Corp. JPN JPY 88,306 0.17 1,050 Tractor Supply Co. USA USD 82,761 0.16 9,300 Nissan Motor Co. Ltd. JPN JPY 82,037 0.16 480 Advance Auto Parts Inc. USA USD 76,454 0.14 13,810 Kingfisher PLC GBR GBP 73,295 0.14 2,600 LKQ Corp. USA USD 73,112 0.14 1,050 Under Armour Inc., A USA USD 71,295 0.14 5,480 Ekornes ASA NOR NOK 69,683 0.13 100 Chipotle Mexican Grill Inc. USA USD 68,451 0.13 9,090 Marks & Spencer Group PLC GBR GBP 67,839 0.13 720 Starbucks Corp. USA USD 59,076 0.11 684 Time Warner Inc. USA USD 58,427 0.11 640 Cie Generale des Etablissements Michelin, B FRA EUR 58,289 0.11 266 Hyundai Mobis Co. Ltd. KOR KRW 57,395 0.11 3,150 TRI Pointe Homes Inc. USA USD 48,038 0.09 208 Volkswagen AG, pfd. DEU EUR 46,473 0.09 190 Tesla Motors Inc. USA USD 42,258 0.08 550 Michael Kors Holdings Ltd. USA USD 41,305 0.08 700 BorgWarner Inc. USA USD 38,465 0.07 567 Kohl’s Corp. USA USD 34,610 0.07 201 Hyundai Motor Co. KOR KRW 31,057 0.06 4,700 Grendene SA BRA BRL 27,059 0.05 406 Comcast Corp., Special A USA USD 23,371 0.04 51,400 Springland International Holdings Ltd. CHN HKD 17,898 0.03 892 Truworths International Ltd. ZAF ZAR 5,961 0.01 700 Cia Hering BRA BRL 5,334 0.01

3,855,849 7.33

Consumer Staples 1,700 Reckitt Benckiser Group PLC GBR GBP 138,054 0.26 3,044 Unilever PLC GBR GBP 124,690 0.24 2,210 British American Tobacco PLC GBR GBP 120,566 0.23 1,753 Lorillard Inc. USA USD 110,334 0.21 1,637 The Kroger Co. USA USD 105,112 0.20 34,560 Tesco PLC GBR GBP 101,812 0.19 1,810 Altria Group Inc. USA USD 89,179 0.17 9,900 Dairy Farm International Holdings Ltd. HKG USD 89,100 0.17 800 Monster Beverage Corp. USA USD 86,680 0.17 836 PepsiCo Inc. USA USD 79,052 0.15 1,036 Walgreens Boots Alliance Inc. USA USD 78,943 0.15 1,671 Imperial Tobacco Group PLC GBR GBP 73,866 0.14 690 CVS Health Corp. USA USD 66,454 0.13 500 Mead Johnson Nutrition Co., A USA USD 50,270 0.10 452 Philip Morris International Inc. USA USD 36,815 0.07 3,596 Avon Products Inc. USA USD 33,767 0.06 1,065 Metro AG DEU EUR 32,616 0.06 450 Whole Foods Market Inc. USA USD 22,689 0.04 50,500 Univanich Palm Oil PCL, fgn. THA THB 16,280 0.03 81 Energizer Holdings Inc. USA USD 10,413 0.02 233 Coca-Cola Enterprises Inc. USA USD 10,303 0.02

1,476,995 2.81

— Franklin Global Allocation Fund —

Number of shares or



Marketvalue

% ofnet

assets





Energy 104,000 PetroChina Co. Ltd., H CHN HKD 115,079 0.22 3,320 Royal Dutch Shell PLC, A GBR EUR 111,116 0.21 13,500 WorleyParsons Ltd. AUS AUD 111,109 0.21 2,110 Total SA, B FRA EUR 108,558 0.21 72,700 Inner Mongolia Yitai Coal Co. Ltd., B CHN USD 104,324 0.20 15,701 BP PLC GBR GBP 100,585 0.19 69,000 CNOOC Ltd. CHN HKD 92,902 0.18 1,380 Apache Corp. USA USD 86,485 0.16 2,500 Suncor Energy Inc. CAN CAD 79,440 0.15 1,385 Baker Hughes Inc. USA USD 77,657 0.15 2,741 Marathon Oil Corp. USA USD 77,543 0.15 1,877 LUKOIL Holdings, ADR RUS USD 74,705 0.14 9,728 Petroleo Brasileiro SA, ADR, pfd. BRA USD 73,738 0.14 1,180 Technip SA FRA EUR 70,555 0.13 8,884 Talisman Energy Inc. CAN CAD 69,618 0.13 2,000 Royal Dutch Shell PLC, B GBR GBP 69,612 0.13 3,000 Cenovus Energy Inc. CAN CAD 61,925 0.12 5,059 SBM Offshore NV NLD EUR 59,873 0.11 4,500 Amec Foster Wheeler PLC GBR GBP 59,831 0.11 3,226 Eni SpA ITA EUR 56,639 0.11 2,770 Noble Corp. PLC USA USD 45,899 0.09 3,750 Petrofac Ltd. GBR GBP 41,091 0.08 1,132 CONSOL Energy Inc. USA USD 38,273 0.07 750 Murphy Oil Corp. USA USD 37,890 0.07 15,200 TMK OAO, GDR, Reg S RUS USD 35,264 0.07 4,000 Ensign Energy Services Inc. CAN CAD 35,135 0.07 420 Anadarko Petroleum Corp. USA USD 34,650 0.07 2,511 BG Group PLC GBR GBP 33,855 0.06 3,566 Talisman Energy Inc. CAN USD 27,922 0.05 1,398 Transocean Ltd. USA USD 25,625 0.05 2,710 Dragon Oil PLC TKM GBP 22,704 0.04 1,979 Saipem SpA ITA EUR 20,989 0.04 970 Rice Energy Inc. USA USD 20,341 0.04 4,200 Trican Well Service Ltd. CAN CAD 20,145 0.04 20,000 Kunlun Energy Co. Ltd. CHN HKD 18,984 0.04 262 Ensco PLC, A USA USD 7,847 0.02 716 Paragon Offshore PLC USA USD 1,983 0.00

2,129,891 4.05

Financials 31,460 Aberdeen Asset Management PLC GBR GBP 211,937 0.40 2,780 Deutsche Boerse AG DEU EUR 199,204 0.38 75,500 China Merchants Bank Co. Ltd., H CHN HKD 189,481 0.36 7,500 Azimut Holding SpA ITA EUR 163,622 0.31 1,562 PNC Financial Services Group Inc. USA USD 142,501 0.27 2,432 American International Group Inc. USA USD 136,216 0.26 3,928 KB Financial Group Inc. KOR KRW 129,825 0.25 7,000 United Overseas Bank Ltd. SGP SGD 129,612 0.25 5,000 Credit Suisse Group AG CHE CHF 126,121 0.24 19,718 Dewan Housing Finance Corp. Ltd. IND INR 123,482 0.23 2,050 BNP Paribas SA FRA EUR 122,189 0.23 4,141 Hana Financial Group Inc. KOR KRW 121,153 0.23 1,200 American Tower Corp. USA USD 118,620 0.23 8,800 Banco Bradesco SA, ADR, pfd. BRA USD 117,656 0.22 306,165 Bank Danamon Indonesia Tbk PT IDN IDR 111,861 0.21 1,900 Bank of Nova Scotia CAN CAD 108,494 0.21 393,400 Land and Houses PCL, fgn. THA THB 108,281 0.21 919 ACE Ltd. USA USD 105,575 0.20 1,678 JPMorgan Chase & Co. USA USD 105,009 0.20 57,000 United Bank Ltd. PAK PKR 98,811 0.19 770 Signature Bank USA USD 96,989 0.18 7,081 ING Groep NV, IDR NLD EUR 92,792 0.18 9,190 HSBC Holdings PLC GBR GBP 87,179 0.17 1,605 Citigroup Inc. USA USD 86,847 0.17 1,000 T. Rowe Price Group Inc. USA USD 85,860 0.16 11,161 Aegon NV NLD EUR 84,527 0.16 3,620 AXA SA FRA EUR 84,122 0.16 180 Alleghany Corp. USA USD 83,430 0.16 12,660 UniCredit SpA ITA EUR 81,725 0.16 6,050 Itau Unibanco Holding SA, ADR BRA USD 78,710 0.15 14,100 Siam Commercial Bank PCL, fgn. THA THB 78,047 0.15 1,075 The Allstate Corp. USA USD 75,519 0.14 650 SVB Financial Group USA USD 75,445 0.14 1,392 MetLife Inc. USA USD 75,293 0.14 19,040 Barclays PLC GBR GBP 72,265 0.14 290 Intercontinental Exchange Inc. USA USD 63,594 0.12 1,431 SunTrust Banks Inc. USA USD 59,959 0.11 1,017 Wells Fargo & Co. USA USD 55,752 0.11


Number of shares or



Marketvalue

% ofnet

assets





Financials (continued) 7,340 Aviva PLC GBR GBP 55,431 0.11 159 Zurich Insurance Group AG CHE CHF 49,849 0.09 1,028 CIT Group Inc. USA USD 49,169 0.09 12,000 China Life Insurance Co. Ltd., H CHN HKD 46,892 0.09 2,960 Standard Chartered PLC GBR GBP 44,430 0.08 190 Muenchener Rueckversicherungs-Gesellschaft AG DEU EUR 38,106 0.07 1,500 Ally Financial Inc. USA USD 35,430 0.07 1,920 GAM Holding Ltd. CHE CHF 34,762 0.07 810 Societe Generale SA FRA EUR 34,294 0.07 9,200 BM&F BOVESPA SA BRA BRL 34,100 0.06 340 Swiss Re AG CHE CHF 28,607 0.05 6,150 MLP AG DEU EUR 27,608 0.05 4,400 Bangkok Bank PCL, fgn. THA THB 25,961 0.05 951 Citizens Financial Group Inc. USA USD 23,642 0.05 516 Korea Investment Holdings Co. Ltd. KOR KRW 22,881 0.04 3,106 LIC Housing Finance Ltd. IND INR 21,484 0.04 622 Columbia Banking System Inc. USA USD 17,173 0.03 314 KIWOOM Securities Co. Ltd. KOR KRW 13,235 0.03

4,690,759 8.92

Health Care 2,470 Celgene Corp. USA USD 276,294 0.52 960 Roche Holding AG CHE CHF 260,616 0.50 4,359 Teva Pharmaceutical Industries Ltd., ADR ISR USD 250,686 0.48 3,094 Medtronic Inc. USA USD 223,387 0.42 790 Actavis PLC USA USD 203,354 0.39 3,449 Merck & Co. Inc. USA USD 195,869 0.37 17,500 Elekta AB, B SWE SEK 178,835 0.34 480 Biogen Idec Inc. USA USD 162,936 0.31 7,300 GN Store Nord AS DNK DKK 159,879 0.30 2,700 Alkermes PLC USA USD 158,112 0.30 820 Illumina Inc. USA USD 151,356 0.29 1,800 CSL Ltd. AUS AUD 127,394 0.24 610 McKesson Corp. USA USD 126,624 0.24 750 Perrigo Co. PLC USA USD 125,370 0.24 2,100 Bristol-Myers Squibb Co. USA USD 123,963 0.24 1,900 Cochlear Ltd. AUS AUD 120,540 0.23 921 Stryker Corp. USA USD 86,878 0.16 1,212 Eli Lilly & Co. USA USD 83,616 0.16 794 Cigna Corp. USA USD 81,711 0.15 1,260 Hospira Inc. USA USD 77,175 0.15 180 Regeneron Pharmaceuticals Inc. USA USD 73,845 0.14 1,100 Cerner Corp. USA USD 71,126 0.13 2,050 Envision Healthcare Holdings Inc. USA USD 71,114 0.13 750 Sanofi FRA EUR 68,661 0.13 2,970 GlaxoSmithKline PLC GBR GBP 63,700 0.12 450 Bayer AG DEU EUR 61,528 0.12 1,330 Insulet Corp. USA USD 61,260 0.12 350 Jazz Pharmaceuticals PLC USA USD 57,305 0.11 2,390 QIAGEN NV NLD EUR 55,987 0.11 950 Quintiles Transnational Holdings Inc. USA USD 55,926 0.11 330 Lonza Group AG CHE CHF 37,242 0.07 1,411 Getinge AB, B SWE SEK 32,167 0.06 13,700 Shanghai Pharmaceuticals Holding Co. Ltd., H CHN HKD 30,920 0.06 380 UCB SA BEL EUR 29,059 0.05 470 Gerresheimer AG DEU EUR 25,563 0.05 7,200 Sinopharm Group Co. CHN HKD 25,535 0.05 270 MorphoSys AG DEU EUR 25,035 0.05 150 Basilea Pharmaceutica AG CHE CHF 13,903 0.03

4,034,471 7.67

Industrials 6,800 Weir Group PLC GBR GBP 196,190 0.37 90 SGS SA CHE CHF 185,124 0.35 10,500 Experian PLC GBR GBP 178,066 0.34 5,400 DSV AS, B DNK DKK 165,117 0.31 610 Precision Castparts Corp. USA USD 146,937 0.28 170,000 Noble Group Ltd. HKG SGD 146,286 0.28 3,300 GEA Group AG DEU EUR 146,144 0.28 1,600 MTU Aero Engines AG DEU EUR 139,702 0.27 870 Stericycle Inc. USA USD 114,040 0.22 950 IHS Inc., A USA USD 108,186 0.21 3,650 HD Supply Holdings Inc. USA USD 107,638 0.20 900 Union Pacific Corp. USA USD 107,217 0.20 630 Roper Industries Inc. USA USD 98,501 0.19 3,400 Recruit Holdings Co. Ltd. JPN JPY 97,609 0.19 900 Pall Corp. USA USD 91,089 0.17 45 A.P. Moeller-Maersk AS, B DNK DKK 90,440 0.17


Number of shares or



Marketvalue

% ofnet

assets





Industrials (continued) 900 Honeywell International Inc. USA USD 89,928 0.17 2,420 Hyundai Development Co. KOR KRW 85,626 0.16 33,000 SembCorp Marine Ltd. SGP SGD 81,205 0.15 718 Huntington Ingalls Industries Inc. USA USD 80,746 0.15 600 The Boeing Co. USA USD 77,988 0.15 7,100 ITOCHU Corp. JPN JPY 76,555 0.15 8,510 BAE Systems PLC GBR GBP 62,609 0.12 950 AMETEK Inc. USA USD 49,999 0.09 420 Siemens AG DEU EUR 47,644 0.09 1,110 Compagnie de Saint-Gobain FRA EUR 47,317 0.09 2,720 Deutsche Lufthansa AG DEU EUR 45,517 0.09 370 Kansas City Southern USA USD 45,151 0.09 444 Caterpillar Inc. USA USD 40,639 0.08 647 B/E Aerospace Inc. USA USD 37,539 0.07 1,069 Daewoo International Corp. KOR KRW 30,738 0.06 5,760 Carillion PLC GBR GBP 30,149 0.06 39,000 Sinopec Engineering Group Co. Ltd. CHN HKD 26,406 0.05 2,020 Kloeckner & Co. SE DEU EUR 21,907 0.04 2,253 CNH Industrial NV GBR EUR 18,265 0.03 2,570 Meyer Burger Technology AG CHE CHF 16,673 0.03 1,836 CNH Industrial NV GBR EUR 14,884 0.03 323 KLX Inc. USA USD 13,324 0.03 8,077 Jain Irrigation Systems Ltd. IND INR 8,969 0.02 2,731 Serco Group PLC GBR GBP 6,841 0.01

3,174,905 6.04

Information Technology 5,476 Apple Inc. USA USD 604,441 1.15 230 Samsung Electronics Co. Ltd. KOR KRW 279,047 0.53 2,520 MasterCard Inc., A USA USD 217,123 0.41 2,750 Facebook Inc., A USA USD 214,555 0.41 4,530 Microsoft Corp. USA USD 210,418 0.40 750 Visa Inc., A USA USD 196,650 0.37 24,000 The Sage Group PLC GBR GBP 174,213 0.33 10,300 ARM Holdings PLC GBR GBP 159,743 0.30 2,500 Dassault Systemes SA FRA EUR 152,883 0.29 650 LinkedIn Corp., A USA USD 149,312 0.28 1,700 Check Point Software Technologies Ltd. ISR USD 133,569 0.25 4,880 Symantec Corp. USA USD 125,196 0.24 950 MercadoLibre Inc. ARG USD 121,287 0.23 9,000 YASKAWA Electric Corp. JPN JPY 116,570 0.22 3,947 Cisco Systems Inc. USA USD 109,786 0.21 1,850 Salesforce.com Inc. USA USD 109,724 0.21 7,729 Xerox Corp. USA USD 107,124 0.20 2,200 Electronic Arts Inc. USA USD 103,433 0.20 1,600 Cavium Inc. USA USD 98,912 0.19 2,000 Microchip Technology Inc. USA USD 90,220 0.17 3,600 Applied Materials Inc. USA USD 89,712 0.17 800 ASML Holding NV NLD EUR 86,636 0.16 1,980 Tata Consultancy Services Ltd. IND INR 80,358 0.15 530 FleetCor Technologies Inc. USA USD 78,816 0.15 720 NetSuite Inc. USA USD 78,602 0.15 334,000 GCL-Poly Energy Holdings Ltd. CHN HKD 77,965 0.15 1,470 Cognizant Technology Solutions Corp., A USA USD 77,410 0.15 1,000 QUALCOMM Inc. USA USD 74,330 0.14 370 CoStar Group Inc. USA USD 67,943 0.13 1,672 Hewlett-Packard Co. USA USD 67,097 0.13 7,168 Trina Solar Ltd., ADR CHN USD 66,376 0.13 1,700 Infosys Ltd., ADR IND USD 53,482 0.10 29,600 Kingboard Chemical Holdings Ltd. HKG HKD 50,008 0.10 1,336 CA Inc. USA USD 40,681 0.08 350 SanDisk Corp. USA USD 34,293 0.07 380 ANSYS Inc. USA USD 31,160 0.06 1,600 Capcom Co. Ltd. JPN JPY 24,249 0.05 540 Mobileye NV USA USD 21,902 0.04 600 CANON Inc. JPN JPY 19,231 0.04 19,000 Digital China Holdings Ltd. CHN HKD 17,643 0.03

4,612,100 8.77

Materials 540 Syngenta AG CHE CHF 173,808 0.33 4,200 Umicore SA BEL EUR 169,256 0.32 1,530 Ecolab Inc. USA USD 159,916 0.30 20,850 Vale SA, ADR, pfd., A BRA USD 151,371 0.29 16,500 Impala Platinum Holdings Ltd. ZAF ZAR 108,121 0.21 35 Sika AG CHE CHF 103,359 0.20 1,700 Symrise AG DEU EUR 103,117 0.20 1,820 International Paper Co. USA USD 97,516 0.19


Number of shares or



Marketvalue

% ofnet

assets





Materials (continued) 8,710 Compania de Minas Buenaventura SA, ADR PER USD 83,268 0.16 310 POSCO KOR KRW 78,084 0.15 2,727 Arab Potash Co. PLC JOR JOD 74,748 0.14 1,550 MeadWestvaco Corp. USA USD 68,804 0.13 2,783 Freeport-McMoRan Inc., B USA USD 65,011 0.12 450 Praxair Inc. USA USD 58,302 0.11 2,400 CRH PLC IRL EUR 57,790 0.11 1,200 Cytec Industries Inc. USA USD 55,404 0.11 6,300 HudBay Minerals Inc. CAN CAD 54,903 0.10 2,074 ThyssenKrupp AG DEU EUR 53,353 0.10 690 Akzo Nobel NV NLD EUR 48,132 0.09 1,821 Kumba Iron Ore Ltd. ZAF ZAR 37,776 0.07 934 Anglo American PLC GBR GBP 17,477 0.03

1,819,516 3.46

Telecommunication Services 15,535 Telefonica SA ESP EUR 224,064 0.43 37,403 Vodafone Group PLC GBR GBP 129,805 0.25 134,000 China Telecom Corp. Ltd., H CHN HKD 77,767 0.15 4,500 China Mobile Ltd. CHN HKD 52,638 0.10 13,780 Koninklijke KPN NV NLD EUR 43,819 0.08 1,930 Telenor ASA NOR NOK 39,137 0.07 783 Mobile TeleSystems, ADR RUS USD 5,622 0.01

572,852 1.09

Utilities 2,104 NRG Energy Inc. USA USD 56,703 0.11

TOTAL SHARES 26,424,041 50.25

WARRANTS Financials 78,680 Land and Houses PCL, wts., 5/05/17 THA THB 13,161 0.02



TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET SHARES Energy 29,800 Gazprom OAO, ADR RUS USD 138,570 0.26 1,000 LUKOIL Holdings, ADR RUS USD 39,800 0.08

178,370 0.34


BONDS Corporate Bonds 175,000 Snam SpA, senior note, Reg S, 2.375%, 06/30/17 ITA EUR 221,241 0.42 175,000 Toyota Motor Credit Corp., senior note, Reg S, 1.25%, 08/01/17 JPN EUR 217,462 0.41 170,000 Anheuser-Busch InBev NV, senior note, Reg S, 1.25%, 03/24/17 BEL EUR 210,184 0.40 170,000 BMW Finance NV, senior note, FRN, 0.301%, 09/05/16 † DEU EUR 205,996 0.39 140,000 Chevron Corp., senior note, 0.889%, 06/24/16 USA USD 140,444 0.27 100,000 Abbey National Treasury Services PLC, senior note, Reg S, 2.00%, 01/14/19 GBR EUR 127,590 0.24 100,000 Volkswagen Bank GmbH, senior note, Reg S, FRN, 0.481%, 05/09/16 † DEU EUR 121,405 0.23 120,000 Anheuser-Busch InBev Finance, senior note, 0.80%, 01/15/16 BEL USD 120,244 0.23 115,000 Costco Wholesale Corp., senior note, 1.125%, 12/15/17 USA USD 114,344 0.22 85,000 BMW US Capital LLC, senior note, 1.25%, 07/20/16 DEU EUR 104,538 0.20 100,000 Bank of Montreal, senior note, 1.45%, 04/09/18 CAN USD 98,845 0.19 85,000 Toyota Motor Credit Corp., senior note, 2.10%, 01/17/19 JPN USD 85,304 0.16 85,000 Johnson & Johnson, senior note, 1.65%, 12/05/18 USA USD 85,302 0.16 85,000 Royal Bank of Canada, senior note, 1.20%, 01/23/17 CAN USD 84,985 0.16 85,000 The Walt Disney Co., senior note, 1.10%, 12/01/17 USA USD 84,582 0.16 78,000 iHeartCommunications Inc., senior secured note, first lien, 9.00%, 12/15/19 USA USD 77,122 0.15 55,000 The Procter & Gamble Co., senior note, 1.45%, 08/15/16 USA USD 55,675 0.11 50,000 Avaya Inc., senior note, 144A, 10.50%, 03/01/21 USA USD 43,000 0.08 33,000 Avaya Inc., senior secured note, 144A, 7.00%, 04/01/19 USA USD 32,340 0.06 28,000 NGPL PipeCo LLC, senior secured note, 144A, 9.625%, 06/01/19 USA USD 28,210 0.05 13,000 First Data Corp., senior note, 11.75%, 08/15/21 USA USD 14,982 0.03 18,000 Walter Energy Inc., first lien, 144A, 9.50%, 10/15/19 USA USD 13,770 0.03 7,000 NGPL PipeCo LLC, secured note, 144A, 7.119%, 12/15/17 USA USD 6,912 0.01 6,000 Walter Energy Inc., second lien, 144A, PIK, 11.50%, 04/01/20 ‡ USA USD 2,010 0.01

2,296,487 4.37

Government and Municipal Bonds 825,000 U.S. Treasury Note, FRN, 0.085%, 01/31/16 † USA USD 824,819 1.57 600,000 U.S. Treasury Note, 0.50%, 06/30/16 USA USD 600,152 1.14


Number of shares or



Marketvalue

% ofnet

assets





Government and Municipal Bonds (continued) 74,418 Mexican Udibonos, Index Linked, 5.00%, 06/16/16 MEX MXN 536,416 1.02 970,000 Government of Poland, 4.75%, 10/25/16 POL PLN 288,387 0.55 38,560 Government of Mexico, 6.25%, 06/16/16 MEX MXN 271,546 0.52 200,000 Deutsche Bahn Finance BV, senior note, 4.00%, 01/16/17 DEU EUR 261,131 0.50 200,000 Government of Slovenia, senior note, Reg S, 5.85%, 05/10/23 SVN USD 228,572 0.43 590 Nota Do Tesouro Nacional, senior note, 10.00%, 01/01/19 BRA BRL 204,463 0.39 180,000 FHLB, 0.375%, 06/24/16 USA USD 179,640 0.34 106,370 Government of Ireland, senior bond, 5.40%, 03/13/25 IRL EUR 177,474 0.34 165,000 International Bank for Reconstruction and Development, 0.75%, 12/15/16 SP USD 165,040 0.31 125,000 Government of France, 3.25%, 04/25/16 FRA EUR 157,738 0.30 37,360,000 Government of Hungary, B, 6.75%, 02/24/17 HUN HUF 156,529 0.30 170,000 Province of Ontario, FRN, 1.43%, 12/03/18 † CAN CAD 147,316 0.28 170,000 Government of Canada, 1.25%, 09/01/18 CAN CAD 146,754 0.28 220,000 Government of Ukraine, 144A, 7.75%, 09/23/20 UKR USD 134,042 0.25 110,000 Government of the Netherlands, 144A, Strip, 04/15/16 NLD EUR 133,191 0.25 84,000 Government of Ireland, 5.00%, 10/18/20 IRL EUR 127,276 0.24 455,000 Government of Poland, Strip, 01/25/16 POL PLN 126,159 0.24 27,950,000 Government of Hungary, B, 5.50%, 06/24/25 HUN HUF 124,177 0.24 133,000,000 Korea Monetary Stabilization Bond, senior note, 2.46%, 08/02/16 KOR KRW 122,295 0.23 118,000 Government of France, senior note, 144A, 1.375%, 01/29/18 FRA USD 118,336 0.22 200,000 Government of Ukraine, senior note, Reg S, 7.50%, 04/17/23 UKR USD 117,906 0.22 80,000 Government of Hungary, 6.00%, 01/11/19 HUN EUR 112,614 0.21 118 Nota Do Tesouro Nacional, Index Linked, 6.00%, 08/15/22 BRA BRL 110,845 0.21 85,000 France Treasury Note, 2.25%, 02/25/16 FRA EUR 105,545 0.20 105,200,000 Korea Treasury Bond, senior note, 2.75%, 06/10/16 KOR KRW 97,074 0.18 75,000 Government of the Netherlands, Reg S, 1.25%, 01/15/19 NLD EUR 95,265 0.18 90,000 Government of Portugal, Reg S, 5.125%, 10/15/24 PRT USD 94,896 0.18 75,000 Government of Austria, senior note, 144A, 1.15%, 10/19/18 AUT EUR 94,765 0.18 75,000 Government of Finland, 144A, 1.125%, 09/15/18 FIN EUR 94,558 0.18 75,000 Government of France, 1.00%, 05/25/19 FRA EUR 94,337 0.18 75,000 Government of Germany, 0.50%, 04/12/19 DEU EUR 92,868 0.18 315,000 Government of Poland, 5.00%, 04/25/16 POL PLN 92,640 0.18 85,000 Inter-American Development Bank, 0.875%, 11/15/16 SP USD 85,251 0.16 250 Letra Tesouro Nacional, Strip, 01/01/16 BRA BRL 83,322 0.16 88,900,000 Korea Treasury Bond, senior note, 3.00%, 12/10/16 KOR KRW 82,676 0.16 4,700,000 Government of India, senior note, 8.83%, 11/25/23 IND INR 78,485 0.15 73,960 U.S. Treasury Note, Index Linked, 0.125%, 04/15/18 USA USD 73,729 0.14 77,800,000 Korea Monetary Stabilization Bond, senior note, 2.79%, 06/02/16 KOR KRW 71,832 0.14 60,000 Government of Hungary, 5.375%, 02/21/23 HUN USD 65,131 0.12 100,000 Government of Ukraine, senior note, Reg S, 6.75%, 11/14/17 UKR USD 61,217 0.12 10,910,000 Government of Hungary, A, 7.00%, 06/24/22 HUN HUF 51,291 0.10 11,210,000 Government of Hungary, A, 6.00%, 11/24/23 HUN HUF 50,976 0.10 40,000 Government of Hungary, 4.125%, 02/19/18 HUN USD 41,549 0.08 40 Nota Do Tesouro Nacional, Index Linked, 6.00%, 05/15/19 BRA BRL 37,548 0.07 140 Letra Tesouro Nacional, Strip, 01/01/18 BRA BRL 36,782 0.07 1,900,000 Government of India, senior bond, 8.60%, 06/02/28 IND INR 31,832 0.06 90 Nota Do Tesouro Nacional, 10.00%, 01/01/23 BRA BRL 30,028 0.06 1,900,000 Government of India, senior bond, 7.80%, 05/03/20 IND INR 29,859 0.06 30 Nota Do Tesouro Nacional, Index Linked, 6.00%, 05/15/23 BRA BRL 28,137 0.05 19,000 Government of Ireland, 4.50%, 04/18/20 IRL EUR 27,714 0.05 29,800,000 Korea Monetary Stabilization Bond, senior note, 2.80%, 04/02/16 KOR KRW 27,487 0.05 18,000 Government of Ireland, 5.90%, 10/18/19 IRL EUR 27,397 0.05 22,000 Government of Hungary, senior note, 6.25%, 01/29/20 HUN USD 24,769 0.05 5,730,000 Government of Hungary, A, 6.75%, 11/24/17 HUN HUF 24,511 0.05 1,400,000 Government of India, senior note, 8.12%, 12/10/20 IND INR 22,321 0.04 22,700,000 Korea Monetary Stabilization Bond, senior note, 2.22%, 10/02/16 KOR KRW 20,803 0.04 20 Nota Do Tesouro Nacional, Index Linked, 6.00%, 08/15/18 BRA BRL 18,774 0.04 20 Nota Do Tesouro Nacional, Index Linked, 6.00%, 08/15/20 BRA BRL 18,760 0.04 50 Letra Tesouro Nacional, Strip, 10/01/16 BRA BRL 15,188 0.03 3,350,000 Government of Hungary, 6.50%, 06/24/19 HUN HUF 14,576 0.03 10,000 Government of Hungary, senior note, Reg S, 4.375%, 07/04/17 HUN EUR 12,998 0.02 1,792 Mexican Udibonos, Index Linked, 3.50%, 12/14/17 MEX MXN 12,980 0.02 1,739 Mexican Udibonos, Index Linked, 4.00%, 06/13/19 MEX MXN 12,887 0.02 600,000 Government of India, senior bond, 8.28%, 09/21/27 IND INR 9,731 0.02 600,000 Government of India, senior note, 8.35%, 05/14/22 IND INR 9,703 0.02 9,500,000 Korea Monetary Stabilization Bond, senior note, 2.07%, 12/02/16 KOR KRW 8,683 0.02 2,110,000 Government of Hungary, 5.50%, 12/22/16 HUN HUF 8,624 0.02 6,000 Government of Hungary, senior note, 6.375%, 03/29/21 HUN USD 6,867 0.01 20,000 Government of Poland, 4.75%, 04/25/17 POL PLN 6,017 0.01 1,460,000 Government of Hungary, 4.00%, 04/25/18 HUN HUF 5,802 0.01 1,220,000 Government of Hungary, A, 5.50%, 12/20/18 HUN HUF 5,116 0.01 300,000 Government of India, senior note, 7.16%, 05/20/23 IND INR 4,514 0.01 2,500 Government of Portugal, senior note, Reg S, 5.65%, 02/15/24 PRT EUR 3,747 0.01 10 Letra Tesouro Nacional, Strip, 07/01/16 BRA BRL 3,135 0.01 100,000 Government of India, senior note, 7.28%, 06/03/19 IND INR 1,546 0.00 1,000 Government of Portugal, senior bond, Reg S, 4.95%, 10/25/23 PRT EUR 1,435 0.00 158 Mexican Udibonos, Index Linked, 2.50%, 12/10/20 MEX MXN 1,099 0.00 30,000 Government of Hungary, 7.50%, 11/12/20 HUN HUF 140 0.00

7,731,735 14.70


Number of shares or



Marketvalue

% ofnet

assets






Securities Maturing Within One Year 500,000 U.S. Treasury Note, 0.375%, 03/15/15 USA USD 500,351 0.95 300,000 FHLB, 0.25%, 02/20/15 USA USD 300,017 0.57 320,000,000 Korea Monetary Stabilization Bond, senior bond, 2.81%, 10/02/15 KOR KRW 294,185 0.56 278,500,000 Korea Monetary Stabilization Bond, senior note, 2.90%, 12/02/15 KOR KRW 256,520 0.49 250,000 U.S. Treasury Note, 1.25%, 09/30/15 USA USD 251,929 0.48 250,000 U.S. Treasury Note, 0.25%, 05/15/15 USA USD 250,195 0.48 821,000 Government of Poland, Strip, 07/25/15 POL PLN 229,820 0.44 175,000 GE Capital European Funding, senior note, Reg S, 2.00%, 02/27/15 USA EUR 212,339 0.40 720,000 Bank of Negara Monetary Note, 0.00%, 05/19/15 MYS MYR 203,346 0.39 208,100,000 Korea Monetary Stabilization Bond, senior bond, 2.47%, 04/02/15 KOR KRW 190,455 0.36 250,000 Monetary Authority of Singapore Treasury Bill, 0.00%, 03/27/15 SGP SGD 188,424 0.36 166,950,000 Korea Treasury Bond, senior note, 2.75%, 12/10/15 KOR KRW 153,603 0.29 20,310 Government of Mexico, 6.00%, 06/18/15 MEX MXN 139,551 0.27 480,000 Bank of Negara Monetary Note, 0.00%, 03/03/15 MYS MYR 136,529 0.26 458,000 Government of Malaysia, 4.72%, 09/30/15 MYS MYR 132,264 0.25 450,000 Bank of Negara Monetary Note, 0.00%, 03/24/15 MYS MYR 127,746 0.24 100,000 Caterpillar International Finance Ltd., senior note, 1.375%, 05/18/15 USA EUR 121,512 0.23 100,000 Societe Generale SA, senior note, Reg S, FRN, 0.431%, 04/17/15 † FRA EUR 121,099 0.23 160,000 Monetary Authority of Singapore Treasury Bill, 0.00%, 01/02/15 SGP SGD 120,773 0.23 160,000 Monetary Authority of Singapore Treasury Bill, 0.00%, 01/09/15 SGP SGD 120,758 0.23 380,000 Bank of Negara Monetary Note, 0.00%, 08/11/15 MYS MYR 106,509 0.20 100,000 HSBC USA Inc., senior note, 2.375%, 02/13/15 USA USD 100,198 0.19 13,450 Government of Mexico, 8.00%, 12/17/15 MEX MXN 95,283 0.18 107,000 Government of Canada, 1.00%, 02/01/15 CAN CAD 92,142 0.17 80,000 John Deere Capital Corp., 0.70%, 09/04/15 USA USD 80,245 0.15 90,000 Canada Treasury Bill, 0.00%, 02/12/15 CAN CAD 77,424 0.15 235,000 Government of Poland, 5.50%, 04/25/15 POL PLN 67,202 0.13 71,920,000 Korea Monetary Stabilization Bond, senior bond, 2.80%, 08/02/15 KOR KRW 66,030 0.13 206,000 Government of Poland, 6.25%, 10/24/15 POL PLN 60,272 0.11 210,000 Bank of Negara Monetary Note, 0.00%, 05/05/15 MYS MYR 59,384 0.11 80,600 Mexico Treasury Bill, 0.00%, 04/01/15 MEX MXN 54,263 0.10 190,000 Bank of Negara Monetary Note, 0.00%, 01/20/15 MYS MYR 54,251 0.10 58,010,000 Korea Treasury Bond, senior note, 3.25%, 06/10/15 KOR KRW 53,305 0.10 78,290 Mexico Treasury Bill, 0.00%, 03/12/15 MEX MXN 52,782 0.10 78,900 Mexico Treasury Bill, 0.00%, 06/11/15 MEX MXN 52,776 0.10 50,000 Hewlett-Packard Co., senior note, 2.35%, 03/15/15 USA USD 50,160 0.10 73,210 Mexico Treasury Bill, 0.00%, 11/12/15 MEX MXN 48,272 0.09 170,000 Bank of Negara Monetary Note, 0.00%, 05/28/15 MYS MYR 47,972 0.09 51,700,000 Korea Monetary Stabilization Bond, 0.00%, 01/13/15 KOR KRW 47,247 0.09 68,060 Mexico Treasury Bill, 0.00%, 04/16/15 MEX MXN 45,746 0.09 60,000 Monetary Authority of Singapore Treasury Bill, 0.00%, 01/30/15 SGP SGD 45,267 0.09 140,000 Bank of Negara Monetary Note, 0.00%, 03/05/15 MYS MYR 39,814 0.08 58,340 Mexico Treasury Bill, 0.00%, 09/17/15 MEX MXN 38,663 0.07 130,000 Bank of Negara Monetary Note, 0.00%, 04/16/15 MYS MYR 36,826 0.07 120,000 Government of Malaysia, 3.835%, 08/12/15 MYS MYR 34,420 0.07 40,000 Canada Treasury Bill, 0.00%, 03/12/15 CAN CAD 34,389 0.07 115,000 Government of Malaysia, 3.741%, 02/27/15 MYS MYR 32,911 0.06 35,900,000 Korea Monetary Stabilization Bond, senior note, 2.13%, 10/08/15 KOR KRW 32,838 0.06 100,000 Bank of Negara Monetary Note, 0.00%, 11/03/15 MYS MYR 27,788 0.05 38,890 Mexico Treasury Bill, 0.00%, 10/01/15 MEX MXN 25,744 0.05 80,000 Bank of Negara Monetary Note, 0.00%, 01/08/15 MYS MYR 22,868 0.04 20,460,000 Korea Monetary Stabilization Bond, senior note, 2.74%, 02/02/15 KOR KRW 18,716 0.04 50 Letra Tesouro Nacional, Strip, 10/01/15 BRA BRL 17,195 0.03 50,000 Bank of Negara Monetary Note, 0.00%, 10/27/15 MYS MYR 13,903 0.03 40,000 Government of Malaysia, 3.197%, 10/15/15 MYS MYR 11,423 0.02 40,000 Bank of Negara Monetary Note, 0.00%, 01/22/15 MYS MYR 11,419 0.02 40,000 Bank of Negara Monetary Note, 0.00%, 02/17/15 MYS MYR 11,392 0.02 40,000 Bank of Negara Monetary Note, 0.00%, 04/23/15 MYS MYR 11,324 0.02 40,000 Bank of Negara Monetary Note, 0.00%, 06/30/15 MYS MYR 11,252 0.02 30,000 Bank of Negara Monetary Note, 0.00%, 06/16/15 MYS MYR 8,451 0.02 30,000 Bank of Negara Monetary Note, 0.00%, 07/16/15 MYS MYR 8,426 0.02 30,000 Bank of Negara Monetary Note, 0.00%, 08/18/15 MYS MYR 8,403 0.02 10,000 Monetary Authority of Singapore Treasury Bill, 0.00%, 01/20/15 SGP SGD 7,546 0.01 20,000 Bank of Negara Monetary Note, 0.00%, 02/10/15 MYS MYR 5,700 0.01 20,000 Bank of Negara Monetary Note, 0.00%, 04/28/15 MYS MYR 5,659 0.01 20,000 Bank of Negara Monetary Note, 0.00%, 06/03/15 MYS MYR 5,641 0.01 20,000 Bank of Negara Monetary Note, 0.00%, 06/04/15 MYS MYR 5,640 0.01 5,070 Mexico Treasury Bill, Strip, 05/28/15 MEX MXN 3,397 0.01 10,000 Bank of Negara Monetary Note, 0.00%, 10/01/15 MYS MYR 2,788 0.01 650,000 Government of Hungary, A, 8.00%, 02/12/15 HUN HUF 2,501 0.00 860 Mexico Treasury Bill, 0.00%, 06/25/15 MEX MXN 575 0.00

5,905,758 11.23

TOTAL BONDS 15,933,980 30.30



† Floating Rates are indicated as at December 31, 2014 ‡ Income may be received in additional securities and/or cash

Number of shares or



Market value

% ofnet

assets





— Franklin Global Convertible Securities Fund —

TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Aluminium 50,000 Alcoa Inc., 5.375%, cvt. pfd. USA USD 2,522,500 1.80

Electric Utilities 38,000 Dominion Resources Inc., 6.00%, cvt. pfd., B USA USD 2,284,560 1.63 34,000 NextEra Energy Inc., 5.799%, cvt. pfd. USA USD 1,961,460 1.40 3,000 Dominion Resources Inc., 6.125%, cvt. pfd., A USA USD 180,030 0.13

4,426,050 3.16

Household Appliances 26,100 Stanley Black & Decker Inc., 4.75%, cvt. pfd. USA USD 3,588,750 2.56

Industrial Machinery 35,000 United Technologies Corp., 7.50%, cvt. pfd. USA USD 2,146,550 1.53

Steel 116,000 Cliffs Natural Resources Inc., 7.00%, cvt. pfd. USA USD 777,200 0.56 5,000 ArcelorMittal, 6.00%, cvt. pfd. LUX USD 86,500 0.06

863,700 0.62

Wireless Telecommunication Services 22,200 T-Mobile US Inc., 5.50%, cvt. pfd. USA USD 1,176,378 0.84

TOTAL SHARES 14,723,928 10.51


TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET SHARES Electric Utilities 9,000 NextEra Energy Inc., 5.599%, cvt. pfd. USA USD 625,905 0.45

Energy Equipment & Services 120,000 McDermott International Inc., 6.25%, cvt. pfd. USA USD 1,524,000 1.09


BONDS Corporate Bonds 2,200,000 Steinhoff Finance Holding, cvt., senior note, Reg S, 6.375%, 05/26/17 ZAF EUR 3,746,925 2.68 3,000,000 Vipshop Holdings Ltd., cvt., senior note, 1.50%, 03/15/19 CHN USD 3,585,000 2.56 2,800,000 BioMarin Pharmaceutical Inc., cvt., senior sub. note, 1.50%, 10/15/20 USA USD 3,445,750 2.46 3,000,000 Jarden Corp., cvt., sub. bond, 144A, 1.125%, 03/15/34 USA USD 3,376,875 2.41 2,200,000 Electronic Arts Inc., cvt., senior note, 0.75%, 07/15/16 USA USD 3,324,750 2.37 2,900,000 ServiceNow Inc., cvt., zero cpn., 11/01/18 USA USD 3,313,250 2.37 2,900,000 Salesforce.com Inc., cvt., senior note, 0.25%, 04/01/18 USA USD 3,311,437 2.36 3,000,000 Siemens Financieringsmaatschappij NV, cvt., senior note, Reg S,

1.05%, 08/16/17 DEU USD 3,283,395 2.34 2,900,000 NetSuite Inc., cvt., senior note, 0.25%, 06/01/18 USA USD 3,262,500 2.33 3,300,000 Ctrip.com International Ltd., cvt., senior note, 1.25%, 10/15/18 CHN USD 3,215,833 2.30 3,000,000 JDS Uniphase Corp., senior bond, cvt., 0.625%, 08/15/33 USA USD 3,183,750 2.27 2,400,000 Adidas AG, cvt., senior note, Reg S, 0.25%, 06/14/19 DEU EUR 3,166,855 2.26 2,270,000 Brookdale Senior Living Inc., cvt., senior note, 2.75%, 06/15/18 USA USD 3,099,969 2.21 2,700,000 The Priceline Group Inc., cvt., senior note, 0.35%, 06/15/20 USA USD 3,024,000 2.16 26,315 Technip SA, cvt., senior bond, Reg S, 0.25%, 01/01/17 FRA EUR 3,022,181 2.16 2,650,000 Yahoo! Inc., cvt., zero cpn., 12/01/18 USA USD 3,011,062 2.15 3,135,000 Shutterfly Inc., cvt., 0.25%, 05/15/18 USA USD 2,984,128 2.13 2,450,000 SanDisk Corp., cvt., senior note, 0.50%, 10/15/20 USA USD 2,955,312 2.11 2,000,000 Trulia Inc., cvt., 2.75%, 12/15/20 USA USD 2,898,620 2.07 3,100,000 SINA Corp., cvt., senior note, 1.00%, 12/01/18 CHN USD 2,864,323 2.05 3,300,000 Yandex NV, cvt., senior note, 144A, 1.125%, 12/15/18 RUS USD 2,747,250 1.96 2,560,000 HeartWare International Inc., cvt., senior note, 3.50%, 12/15/17 USA USD 2,747,200 1.96 2,300,000 Iconix Brand Group Inc., cvt., senior sub. note, 2.50%, 06/01/16 USA USD 2,715,438 1.94 1,900,000 Liberty Interactive LLC, cvt., senior note, 0.75%, 03/30/43 USA USD 2,709,875 1.93 1,925,000 Take-Two Interactive Software Inc., cvt., senior note, 1.00%, 07/01/18 USA USD 2,696,203 1.92 1,485,000 Intel Corp., cvt., junior sub., 3.25%, 08/01/39 USA USD 2,584,836 1.85 2,340,000 Bottomline Technologies Inc., cvt., senior note, 1.50%, 12/01/17 USA USD 2,492,100 1.78 2,500,000 Liberty Media Corp., cvt., senior note, 1.375%, 10/15/23 USA USD 2,478,125 1.77 2,110,000 Forest City Enterprises Inc., cvt., senior note, 4.25%, 08/15/18 USA USD 2,415,950 1.72 2,700,000 B2Gold Corp., cvt., senior sub. note, 3.25%, 10/01/18 CAN USD 2,406,510 1.72 2,100,000 Abengoa SA, cvt., senior note, Reg S, 6.25%, 01/17/19 ESP EUR 2,352,509 1.68 1,750,000 Concur Technologies Inc., cvt., senior note, 0.50%, 06/15/18 USA USD 2,318,750 1.66 2,500,000 Fluidigm Corp., cvt., senior bond, 2.75%, 02/01/34 USA USD 2,265,625 1.62 2,000,000 UTI Worldwide Inc., cvt., senior note, 144A, 4.50%, 03/01/19 USA USD 2,218,750 1.58 930,000 Novellus Systems Inc., cvt., senior note, 2.625%, 05/15/41 USA USD 2,136,675 1.53 1,360,000 Proofpoint Inc., cvt., senior note, 1.25%, 12/15/18 USA USD 1,864,050 1.33 1,510,000 Cemex SAB de CV, cvt., sub. note, 3.75%, 03/15/18 MEX USD 1,839,663 1.31 1,500,000 HomeAway Inc., cvt., senior note, 144A, 0.125%, 04/01/19 USA USD 1,410,938 1.01 920,000 Xilinx Inc., cvt., senior note, 2.625%, 06/15/17 USA USD 1,389,200 0.99

Number of shares or



Market value

% ofnet

assets





Corporate Bonds (continued) 2,010,000 Cobalt International Energy Inc., cvt., senior note, 2.625%, 12/01/19 USA USD 1,216,050 0.87 1,000,000 Qihoo 360 Technologies Co. Ltd., cvt., senior note, 144A, 1.75%, 08/15/21 CHN USD 832,500 0.59 500,000 Grand City Properties SA, cvt., first lien, Reg S, 1.50%, 02/24/19 DEU EUR 813,011 0.58 140,000 Molycorp Inc., cvt., senior note, 5.50%, 02/01/18 USA USD 43,400 0.03

110,770,523 79.08

Securities Maturing Within One Year 2,600,000 Volkswagen International Finance, cvt., Reg S, 5.50%, 11/09/15 DEU EUR 3,499,311 2.50 3,300,000 Billion Express Investments Ltd., cvt., senior bond, Reg S, 0.75%, 10/18/15 CHN USD 3,300,396 2.36 1,400,000 MGM Resorts International, cvt., senior note, 4.25%, 04/15/15 USA USD 1,655,500 1.18

8,455,207 6.04

TOTAL BONDS 119,225,730 85.12



— Franklin Global Convertible Securities Fund —

Number of shares or



Market value

% ofnet

assets





— Franklin Global Corporate High Yield Fund —

TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Financials 1,000 GMAC Capital Trust I, 8.125%, pfd. USA USD 26,380 0.09


TOTAL TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING 26,380 0.09

TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET BONDS Corporate Bonds 400,000 Sprint Nextel Corp., senior note, 144A, 7.00%, 03/01/20 USA USD 434,000 1.44 400,000 First Data Corp., senior secured bond, second lien, 144A, 8.25%, 01/15/21 USA USD 430,000 1.43 400,000 HCA Inc., senior note, 5.875%, 05/01/23 USA USD 422,500 1.41 300,000 The Royal Bank of Scotland PLC, sub. note, 6.934%, 04/09/18 GBR EUR 419,038 1.39 400,000 Intelsat Jackson Holdings SA, senior bond, 5.50%, 08/01/23 LUX USD 398,750 1.33 300,000 Ally Financial Inc., senior note, 7.50%, 09/15/20 USA USD 352,500 1.17 300,000 Tenet Healthcare Corp., senior note, 8.125%, 04/01/22 USA USD 336,000 1.12 300,000 CSC Holdings LLC, senior note, 6.75%, 11/15/21 USA USD 332,625 1.11 300,000 Bank of America Corp., junior sub. bond, M, 8.125% to 05/15/18,

FRN thereafter, Perpetual USA USD 325,125 1.08 200,000 Virgin Media Secured Finance PLC, senior secured note, Reg S,

5.50%, 01/15/25 GBR GBP 323,235 1.08 250,000 U.S. Coatings Acquisition Inc./Flash Dutch 2 BV, secured note, Reg S,

5.75%, 02/01/21 USA EUR 319,705 1.06 250,000 Avis Budget Finance PLC, senior note, Reg S, 6.00%, 03/01/21 USA EUR 318,759 1.06 300,000 CIT Group Inc., secured note, 144A, 5.50%, 02/15/19 USA USD 317,437 1.06 300,000 Chesapeake Energy Corp., senior note, 6.125%, 02/15/21 USA USD 316,500 1.05 300,000 MGM Resorts International, senior note, 6.75%, 10/01/20 USA USD 315,750 1.05 300,000 VPI Escrow Corp., senior note, 144A, 6.375%, 10/15/20 CAN USD 314,625 1.05 300,000 ArcelorMittal, senior note, 5.50%, 03/01/21 LUX USD 310,909 1.04 300,000 Gannett Co. Inc., senior note, 5.125%, 07/15/20 USA USD 307,500 1.02 300,000 Navient Corp., senior note, 5.50%, 01/15/19 USA USD 307,500 1.02 300,000 Calpine Corp., senior bond, 5.75%, 01/15/25 USA USD 304,125 1.01 300,000 DISH DBS Corp., senior note, 5.125%, 05/01/20 USA USD 303,000 1.01 300,000 CCO Holdings LLC/CCO Holdings Capital Corp., senior bond,

5.25%, 09/30/22 USA USD 300,375 1.00 300,000 JPMorgan Chase & Co., junior sub. bond, R, 6.00% to 08/01/23,

FRN thereafter, Perpetual USA USD 297,750 0.99 300,000 Citigroup Inc., junior sub. bond, M, 6.30% to 05/15/24,

FRN thereafter, Perpetual USA USD 296,250 0.99 300,000 FMG Resources (August 2006) Pty. Ltd., senior note, 144A,

8.25%, 11/01/19 AUS USD 274,125 0.91 200,000 Telecom Italia SpA, senior bond, Reg S, 5.375%, 01/29/19 ITA EUR 270,435 0.90 200,000 Ceramtec Group GmbH, senior note, Reg S, 8.25%, 08/15/21 DEU EUR 261,814 0.87 250,000 Eldorado Gold Corp., senior note, 144A, 6.125%, 12/15/20 CAN USD 243,750 0.81 200,000 Wind Acquisition Finance SA, senior note, Reg S, 7.00%, 04/23/21 ITA EUR 237,748 0.79 200,000 Ineos Group Holdings SA, senior note, Reg S, 5.75%, 02/15/19 CHE EUR 234,135 0.78 250,000 Peabody Energy Corp., senior note, 6.00%, 11/15/18 USA USD 228,125 0.76 200,000 Cemex Finance LLC, senior secured note, 144A, 9.375%, 10/12/22 MEX USD 224,000 0.75 200,000 Energy Transfer Equity LP, senior note, first lien, 7.50%, 10/15/20 USA USD 223,000 0.74 200,000 CenturyLink Inc., senior bond, 6.75%, 12/01/23 USA USD 219,750 0.73 250,000 Linn Energy LLC/Finance Corp., senior note, 6.25%, 11/01/19 USA USD 213,750 0.71 200,000 ArcelorMittal, senior note, 6.125%, 06/01/18 LUX USD 213,250 0.71 200,000 KB Home, senior bond, 7.50%, 09/15/22 USA USD 213,000 0.71 200,000 The Goodyear Tire & Rubber Co., senior note, 6.50%, 03/01/21 USA USD 213,000 0.71 200,000 Alcatel-Lucent USA Inc., senior note, 144A, 6.75%, 11/15/20 FRA USD 212,100 0.71 200,000 Neuberger Berman Group LLC/Finance Corp., senior note, 144A,

5.875%, 03/15/22 USA USD 211,500 0.70 200,000 UPCB Finance III Ltd., senior secured note, 144A, 6.625%, 07/01/20 NLD USD 210,500 0.70 200,000 eAccess Ltd., senior note, 144A, 8.25%, 04/01/18 JPN USD 210,375 0.70 200,000 CONSOL Energy Inc., senior note, 8.25%, 04/01/20 USA USD 208,250 0.69 200,000 Frontier Communications Corp., senior bond, 7.625%, 04/15/24 USA USD 207,000 0.69 200,000 JBS USA LLC/Finance Inc., senior note, 144A, 7.25%, 06/01/21 USA USD 207,000 0.69 200,000 1011778 BC ULC/New Red Finance Inc., secured note, second lien, 144A,

6.00%, 04/01/22 CAN USD 206,000 0.69 200,000 OneMain Financial Holdings Inc., senior note, 144A, 7.25%, 12/15/21 USA USD 206,000 0.69 200,000 Reynolds Group Issuer Inc./LLC/SA, first lien, 5.75%, 10/15/20 USA USD 206,000 0.69 200,000 Millicom International Cellular SA, senior note, 144A, 6.625%, 10/15/21 LUX USD 205,625 0.68 200,000 Grifols Worldwide Operations Ltd., senior note, 144A, 5.25%, 04/01/22 USA USD 205,040 0.68 200,000 Jaguar Holding Co. I, senior note, 144A, PIK, 9.375%, 10/15/17 ‡ USA USD 204,900 0.68 200,000 T-Mobile USA Inc., senior note, 6.125%, 01/15/22 USA USD 203,750 0.68 200,000 Hertz Corp., senior note, 6.25%, 10/15/22 USA USD 203,000 0.68 200,000 Alere Inc., senior sub. note, 6.50%, 06/15/20 USA USD 202,500 0.67 200,000 Blackboard Inc., senior note, 144A, 7.75%, 11/15/19 USA USD 201,500 0.67 200,000 Equinix Inc., senior note, 4.875%, 04/01/20 USA USD 200,000 0.67 200,000 Dole Food Co. Inc., senior secured note, 144A, 7.25%, 05/01/19 USA USD 199,750 0.66 200,000 NOVA Chemicals Corp., senior bond, 144A, 5.00%, 05/01/25 CAN USD 199,000 0.66

Number of shares or



Market value

% ofnet

assets





Corporate Bonds (continued) 200,000 Ardagh Packaging Finance PLC/Ardagh MP Holdings USA Inc.,

senior note, 144A, 6.75%, 01/31/21 LUX USD 197,875 0.66 200,000 Sabine Pass Liquefaction LLC, first lien, 5.625%, 02/01/21 USA USD 197,500 0.66 150,000 Unitymedia Hessen GmbH & Co. KG/Unitymedia NRW GmbH,

senior secured note, first lien, Reg S, 5.75%, 01/15/23 DEU EUR 197,381 0.66 200,000 iHeartCommunications Inc., senior secured bond, first lien,

9.00%, 03/01/21 USA USD 196,750 0.65 200,000 WMG Acquisition Corp., senior note, 144A, 5.625%, 04/15/22 USA USD 194,500 0.65 200,000 Taylor Morrison Communities Inc./Monarch Communities Inc.,

senior note, 144A, 5.625%, 03/01/24 USA USD 194,000 0.65 200,000 InterGen NV, secured bond, 144A, 7.00%, 06/30/23 NLD USD 191,000 0.64 200,000 Digicel Group Ltd., senior note, 144A, 6.00%, 04/15/21 BMU USD 190,125 0.63 200,000 BMC Software Finance Inc., senior note, 144A, 8.125%, 07/15/21 USA USD 189,000 0.63 200,000 Martin Midstream Partners LP/Martin Midstream Finance Corp.,

senior note, 7.25%, 02/15/21 USA USD 189,000 0.63 150,000 Rain CII Carbon LLC/CII Carbon Corp., second lien, Reg S,

8.50%, 01/15/21 USA EUR 187,852 0.63 200,000 Sprint Nextel Corp., senior note, 6.00%, 11/15/22 USA USD 184,750 0.62 200,000 Stena AB, senior bond, 144A, 7.00%, 02/01/24 SWE USD 183,500 0.61 250,000 Texas Competitive Electric Holdings Co. LLC/Texas Competitive

Electric Holdings Finance Inc., senior secured note, first lien, 144A, 11.50%, 10/01/20 * USA USD 178,125 0.59

200,000 Ultra Petroleum Corp., senior bond, 144A, 6.125%, 10/01/24 USA USD 173,000 0.58 200,000 Clayton Williams Energy Inc., senior note, 7.75%, 04/01/19 USA USD 171,000 0.57 200,000 California Resources Corp., senior bond, 144A, 6.00%, 11/15/24 USA USD 170,000 0.57 150,000 Navient Corp., senior note, 8.45%, 06/15/18 USA USD 167,625 0.56 100,000 New Look Bondco I PLC, secured note, first lien, Reg S, 8.75%, 05/14/18 GBR GBP 164,177 0.55 150,000 Landry’s Inc., senior note, 144A, 9.375%, 05/01/20 USA USD 159,750 0.53 150,000 Clear Channel Worldwide Holdings Inc., senior sub. note, 7.625%, 03/15/20 USA USD 158,625 0.53 150,000 Regency Energy Partners LP/Regency Energy Finance Corp.,

senior note, 144A, 8.375%, 06/01/19 USA USD 157,875 0.53 150,000 AerCap Ireland Capital Ltd./AerCap Global Aviation Trust,

senior note, 144A, 5.00%, 10/01/21 NLD USD 156,281 0.52 200,000 BreitBurn Energy Partners LP/BreitBurn Finance Corp., senior bond,

7.875%, 04/15/22 USA USD 155,500 0.52 200,000 CGG SA, senior note, 6.50%, 06/01/21 FRA USD 153,000 0.51 200,000 Halcon Resources Corp., senior note, 9.75%, 07/15/20 USA USD 151,000 0.50 150,000 Post Holdings Inc., senior note, 7.375%, 02/15/22 USA USD 150,375 0.50 150,000 Edcon Pty. Ltd., senior secured note, Reg S, 9.50%, 03/01/18 ZAF EUR 146,334 0.49 157,000 First Quantum Minerals Ltd., senior note, 144A, 7.00%, 02/15/21 CAN USD 142,085 0.47 200,000 Ocean Rig UDW Inc., senior note, 144A, 7.25%, 04/01/19 USA USD 141,375 0.47 150,000 First Quantum Minerals Ltd., senior note, 144A, 6.75%, 02/15/20 CAN USD 136,500 0.45 100,000 Play Finance 1 SA, senior note, Reg S, 6.50%, 08/01/19 LUX EUR 128,562 0.43 100,000 Play Finance 2 SA, secured note, first lien, Reg S, 5.25%, 02/01/19 LUX EUR 125,658 0.42 100,000 Celanese US Holdings LLC, senior note, 3.25%, 10/15/19 USA EUR 125,537 0.42 200,000 EnQuest PLC, senior note, 144A, 7.00%, 04/15/22 GBR USD 122,875 0.41 100,000 Galapagos SA, senior secured note, Reg S, 5.375%, 06/15/21 DEU EUR 120,471 0.40 100,000 Wind Acquisition Finance SA, senior secured note, Reg S, 4.00%, 07/15/20 ITA EUR 119,185 0.40 90,000 KM Germany Holdings GmbH, senior secured note, first lien, Reg S,

8.75%, 12/15/20 DEU EUR 118,429 0.39 100,000 Financiere Gaillon 8 SAS, senior note, Reg S, 7.00%, 09/30/19 FRA EUR 117,975 0.39 100,000 Iglo Foods Bondco PLC, senior secured note, first lien, Reg S, FRN,

4.582%, 06/15/20 † GBR EUR 117,260 0.39 100,000 Galapagos Holding SA, senior note, Reg S, 7.00%, 06/15/22 DEU EUR 112,833 0.38 100,000 HCA Inc., senior secured note, 6.50%, 02/15/20 USA USD 112,300 0.37 150,000 Quicksilver Resources Inc., secured note, second lien, 144A, FRN,

7.00%, 06/21/19 † USA USD 112,125 0.37 200,000 Energy XXI Gulf Coast Inc., senior note, 144A, 6.875%, 03/15/24 USA USD 108,500 0.36 100,000 CHS/Community Health Systems Inc., senior note, 7.125%, 07/15/20 USA USD 106,750 0.36 100,000 Sterling International Inc., senior note, 11.00%, 10/01/19 USA USD 106,750 0.36 100,000 CHS/Community Health Systems Inc., senior note, 5.125%, 08/01/21 USA USD 106,438 0.35 100,000 Toll Brothers Finance Corp., senior bond, 5.625%, 01/15/24 USA USD 106,000 0.35 100,000 Ineos Finance PLC, senior secured note, 144A, 7.50%, 05/01/20 CHE USD 105,188 0.35 100,000 Cemex SAB de CV, senior secured note, 144A, 9.00%, 01/11/18 MEX USD 104,625 0.35 100,000 Aviv Healthcare Properties LP/Aviv Healthcare Capital Corp., senior note,

6.00%, 10/15/21 USA USD 104,375 0.35 100,000 Reynolds Group Issuer Inc./LLC/SA, senior note, 9.00%, 04/15/19 USA USD 104,000 0.35 100,000 CHS/Community Health Systems Inc., senior secured note, first lien,

5.125%, 08/15/18 USA USD 103,750 0.35 100,000 Hertz Corp., senior note, 6.75%, 04/15/19 USA USD 103,500 0.34 100,000 CIT Group Inc., senior note, 5.00%, 08/15/22 USA USD 103,125 0.34 100,000 Reynolds Group Issuer Inc./LLC/SA, senior note, 8.25%, 02/15/21 USA USD 103,000 0.34 100,000 Sirius XM Radio Inc., senior bond, 144A, 6.00%, 07/15/24 USA USD 102,750 0.34 100,000 Steel Dynamics Inc., senior bond, 144A, 5.50%, 10/01/24 USA USD 102,750 0.34 100,000 T-Mobile USA Inc., senior bond, 6.50%, 01/15/24 USA USD 102,750 0.34 100,000 AECOM Technology Corp., senior note, 144A, 5.75%, 10/15/22 USA USD 102,500 0.34 100,000 E*TRADE Financial Corp., senior note, 5.375%, 11/15/22 USA USD 102,500 0.34 100,000 DaVita HealthCare Partners Inc., senior bond, 5.125%, 07/15/24 USA USD 102,188 0.34


Number of shares or



Market value

% ofnet

assets





Corporate Bonds (continued) 100,000 Owens-Brockway Glass Container Inc., senior note, 144A, 5.00%, 01/15/22 USA USD 102,125 0.34 100,000 Energy Transfer Equity LP, senior bond, first lien, 5.875%, 01/15/24 USA USD 102,000 0.34 100,000 Olin Corp., senior bond, 5.50%, 08/15/22 USA USD 101,750 0.34 100,000 Scientific Games International Inc., senior secured note, first lien, 144A,

7.00%, 01/01/22 USA USD 101,750 0.34 100,000 Anna Merger Sub Inc., senior note, 144A, 7.75%, 10/01/22 USA USD 101,500 0.34 100,000 Constellation Brands Inc., senior bond, 4.75%, 11/15/24 USA USD 101,500 0.34 100,000 Cott Beverages Inc., senior note, 144A, 6.75%, 01/01/20 USA USD 100,250 0.33 100,000 Frontier Communications Corp., senior note, 7.875%, 01/15/27 USA USD 100,250 0.33 100,000 Regency Energy Partners LP/Regency Energy Finance Corp., senior note,

5.875%, 03/01/22 USA USD 100,250 0.33 100,000 Florida East Coast Holdings Corp., senior note, 144A, 9.75%, 05/01/20 USA USD 100,000 0.33 100,000 IHS Inc., senior note, 144A, 5.00%, 11/01/22 USA USD 99,500 0.33 100,000 Florida East Coast Holdings Corp., secured note, first lien, 144A,

6.75%, 05/01/19 USA USD 99,250 0.33 100,000 JBS USA LLC/Finance Inc., senior bond, 144A, 5.875%, 07/15/24 USA USD 99,250 0.33 200,000 Goodrich Petroleum Corp., senior note, 8.875%, 03/15/19 USA USD 99,000 0.33 100,000 KB Home, senior note, 4.75%, 05/15/19 USA USD 98,750 0.33 100,000 iHeartCommunications Inc., senior secured note, first lien, 144A,

9.00%, 09/15/22 USA USD 98,250 0.33 100,000 Sabine Pass Liquefaction LLC, first lien, 5.625%, 04/15/23 USA USD 98,250 0.33 100,000 Post Holdings Inc., senior note, 144A, 6.75%, 12/01/21 USA USD 97,250 0.32 100,000 Polymer Group Inc., senior note, 144A, 6.875%, 06/01/19 USA USD 96,375 0.32 100,000 NGL Energy Partners LP/NGL Energy Finance Corp., senior note, 144A,

5.125%, 07/15/19 USA USD 96,125 0.32 100,000 CONSOL Energy Inc., senior note, 144A, 5.875%, 04/15/22 USA USD 93,500 0.31 100,000 Sanchez Energy Corp., senior note, 7.75%, 06/15/21 USA USD 93,500 0.31 100,000 Sprint Corp., senior bond, 7.125%, 06/15/24 USA USD 93,500 0.31 100,000 Financiere Quick SAS, senior note, Reg S, FRN, 7.582%, 10/15/19 † FRA EUR 93,015 0.31 100,000 Scientific Games International Inc., senior note, 144A, 10.00%, 12/01/22 USA USD 92,125 0.31 100,000 Memorial Resource Development Corp., senior note, 144A,

5.875%, 07/01/22 USA USD 90,750 0.30 100,000 Barminco Finance Pty. Ltd., senior note, 144A, 9.00%, 06/01/18 AUS USD 90,063 0.30 90,000 CHC Helicopter SA, senior secured note, first lien, 9.25%, 10/15/20 CAN USD 87,750 0.29 100,000 Radio One Inc., senior sub. note, 144A, 9.25%, 02/15/20 USA USD 87,500 0.29 100,000 Compressco Partners LP/Finance Corp., senior note, 144A,

7.25%, 08/15/22 USA USD 87,000 0.29 100,000 California Resources Corp., senior note, 144A, 5.50%, 09/15/21 USA USD 86,000 0.29 100,000 Sanchez Energy Corp., senior note, 144A, 6.125%, 01/15/23 USA USD 84,250 0.28 200,000 Samson Investment Co., senior note, 9.75%, 02/15/20 USA USD 83,875 0.28 100,000 FMG Resources (August 2006) Pty. Ltd., senior note, 144A,

6.875%, 04/01/22 AUS USD 83,625 0.28 100,000 Linn Energy LLC/Finance Corp., senior note, 6.50%, 09/15/21 USA USD 81,500 0.27 100,000 24 Hour Holdings III LLC, senior note, 144A, 8.00%, 06/01/22 USA USD 80,500 0.27 100,000 Offshore Group Investment Ltd., senior secured note, first lien,

7.50%, 11/01/19 USA USD 75,125 0.25 100,000 Caesars Entertainment Operating Co. Inc., senior secured note, first lien,

9.00%, 02/15/20 USA USD 74,500 0.25 65,000 First Data Corp., senior note, 11.25%, 01/15/21 USA USD 73,938 0.25 100,000 Caesars Entertainment Operating Co. Inc., senior secured note, first lien,

11.25%, 06/01/17 USA USD 73,800 0.25 100,000 Offshore Group Investment Ltd., senior bond, first lien, 7.125%, 04/01/23 USA USD 72,000 0.24 65,000 Penn Virginia Resource Partners LP/Penn Virginia Resource Finance Corp.,

senior note, 8.375%, 06/01/20 USA USD 69,713 0.23 100,000 Triangle USA Petroleum Corp., senior note, 144A, 6.75%, 07/15/22 USA USD 66,500 0.22 65,000 CHC Helicopter SA, senior note, 9.375%, 06/01/21 CAN USD 61,425 0.20 100,000 Energy XXI Gulf Coast Inc., senior note, 7.50%, 12/15/21 USA USD 54,500 0.18 50,000 Alere Inc., senior note, 7.25%, 07/01/18 USA USD 52,250 0.17 100,000 Midstates Petroleum Co. Inc./LLC, senior note, 9.25%, 06/01/21 USA USD 51,000 0.17 50,000 Peabody Energy Corp., senior note, 6.25%, 11/15/21 USA USD 42,938 0.14

28,393,656 94.52

TOTAL BONDS 28,393,656 94.52



* These Corporate Bonds are currently in default † Floating Rates are indicated as at December 31, 2014 ‡ Income may be received in additional securities and/or cash


Number of shares or



Market value

% ofnet

assets





— Franklin Global Equity Strategies Fund —

TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Automobiles & Components 378,000 Brilliance China Automotive Holdings Ltd. CHN HKD 604,492 0.79 918,000 Astra International Tbk PT IDN IDR 550,355 0.72 1,600 Volkswagen AG, pfd. DEU EUR 357,482 0.46 3,377 Cie Generale des Etablissements Michelin, B FRA EUR 307,566 0.40 49,000 Great Wall Motor Co. Ltd., H CHN HKD 279,632 0.36 29,500 Nissan Motor Co. Ltd. JPN JPY 260,225 0.34 4,000 Toyota Motor Corp. JPN JPY 252,301 0.33 16,883 Pirelli & C. SpA ITA EUR 229,003 0.30 6,150 General Motors Co. USA USD 214,697 0.28 732 Hyundai Motor Co. KOR KRW 113,104 0.15 88,500 BAIC Motor Corp. Ltd., H, Reg S CHN HKD 102,151 0.13

3,271,008 4.26

Banks 15,732 Citigroup Inc. USA USD 851,259 1.11 54,658 Itau Unibanco Holding SA, ADR BRA USD 711,101 0.93 10,600 JPMorgan Chase & Co. USA USD 663,348 0.86 93,600 Kasikornbank PCL, fgn. THA THB 651,898 0.85 109,300 Siam Commercial Bank PCL, fgn. THA THB 605,006 0.79 45,755 ING Groep NV, IDR NLD EUR 599,587 0.78 767,326 Industrial and Commercial Bank of China Ltd., H CHN HKD 560,110 0.73 9,255 BNP Paribas SA FRA EUR 551,641 0.72 11,115 SunTrust Banks Inc. USA USD 465,719 0.61 12,710 KB Financial Group Inc. KOR KRW 420,080 0.55 110,099 Akbank TAS TUR TRY 408,560 0.53 474,000 China Construction Bank Corp., H CHN HKD 388,176 0.50 7,010 Wells Fargo & Co. USA USD 384,288 0.50 28,097 Commerzbank AG DEU EUR 373,291 0.49 3,926 PNC Financial Services Group Inc. USA USD 358,169 0.47 310,800 Bank Central Asia Tbk PT IDN IDR 329,370 0.43 34,544 HSBC Holdings PLC GBR GBP 327,693 0.43 33,679 HSBC Holdings PLC GBR HKD 321,199 0.42 45,743 UniCredit SpA ITA EUR 295,287 0.38 21,270 Credit Agricole SA FRA EUR 276,927 0.36 71,980 Barclays PLC GBR GBP 273,195 0.36 17,500 DBS Group Holdings Ltd. SGP SGD 272,117 0.35 245,000 Bank Rakyat Indonesia Persero Tbk PT IDN IDR 230,460 0.30 4,163 Societe Generale SA FRA EUR 176,253 0.23 40,000 Turkiye Garanti Bankasi AS TUR TRY 161,460 0.21 3,154 Citizens Financial Group Inc. USA USD 78,408 0.10 11,700 Bangkok Bank PCL, fgn. THA THB 69,033 0.09

10,803,635 14.08

Capital Goods 20,040 Hyundai Development Co. KOR KRW 709,066 0.92 36,130 Daewoo Shipbuilding & Marine Engineering Co. Ltd. KOR KRW 616,063 0.80 8,189 Navistar International Corp. USA USD 274,168 0.36 8,775 Koninklijke Philips NV NLD EUR 256,419 0.33 2,128 Siemens AG DEU EUR 241,395 0.32 150,000 United Tractors Tbk PT IDN IDR 210,133 0.27 4,350 FLSmidth & Co. AS DNK DKK 192,449 0.25 4,600 Jardine Strategic Holdings Ltd. HKG USD 157,320 0.21 1,534 Caterpillar Inc. USA USD 140,407 0.18 2,310 B/E Aerospace Inc. USA USD 134,026 0.18 18,028 BAE Systems PLC GBR GBP 132,633 0.17 2,079 Safran SA FRA EUR 128,924 0.17 1,200 Jardine Matheson Holdings Ltd. HKG USD 73,140 0.10 1,155 KLX Inc. USA USD 47,644 0.06 23,493 Dongfang Electric Corp. Ltd., H CHN HKD 43,205 0.06 1,995 CNH Industrial NV GBR EUR 16,173 0.02

3,373,165 4.40

Commercial & Professional Services 86,480 Sporton International Inc. TWN TWD 427,605 0.56 31,306 Serco Group PLC GBR GBP 78,416 0.10

506,021 0.66

Consumer Durables & Apparel 6,699 Fila Korea Ltd. KOR KRW 682,909 0.89 50,190 Merida Industry Co. Ltd. TWN TWD 340,139 0.44

1,023,048 1.33

Consumer Services 3,403,400 The Erawan Group PCL, fgn. THA THB 480,285 0.63 9,341 Accor SA FRA EUR 422,040 0.55 1,096,300 Melco Crown Philippines Resorts Corp. PHL PHP 332,427 0.43

Number of shares or



Market value

% ofnet

assets






Consumer Services (continued) 754,400 Perfect Shape PRC Holdings Ltd. CHN HKD 188,261 0.24 160,000 NagaCorp Ltd. KH HKD 130,824 0.17 4,721 Melco Crown Entertainment Ltd., ADR HKG USD 119,913 0.16 46,400 MGM China Holdings Ltd. HKG HKD 118,005 0.15

1,791,755 2.33

Diversified Financials 40,300 Remgro Ltd. ZAF ZAR 885,105 1.15 32,973 Bajaj Holdings and Investment Ltd. IND INR 734,340 0.96 18,206 Credit Suisse Group AG CHE CHF 459,270 0.60 9,990 Morgan Stanley USA USD 387,612 0.51 3,100 CIT Group Inc. USA USD 148,273 0.19 5,400 Ally Financial Inc. USA USD 127,548 0.17 790 Capital One Financial Corp. USA USD 65,215 0.08

2,807,363 3.66

Energy 61,900 Talisman Energy Inc. CAN CAD 485,072 0.63 71,349 BP PLC GBR GBP 457,080 0.60 560,000 China Petroleum and Chemical Corp., H CHN HKD 451,383 0.59 5,649 SK Innovation Co. Ltd. KOR KRW 439,521 0.57 136,685 China Shenhua Energy Co. Ltd., H CHN HKD 403,676 0.53 11,441 Royal Dutch Shell PLC, A GBR EUR 382,914 0.50 7,410 Total SA, B FRA EUR 381,239 0.50 6,645 Baker Hughes Inc. USA USD 372,585 0.48 271,000 CNOOC Ltd. CHN HKD 364,877 0.48 42,942 Petroleo Brasileiro SA, ADR, pfd. BRA USD 325,500 0.42 4,190 Apache Corp. USA USD 262,587 0.34 234,000 PetroChina Co. Ltd., H CHN HKD 258,929 0.34 6,450 LUKOIL Holdings, ADR RUS USD 256,710 0.33 6,112 Royal Dutch Shell PLC, B GBR GBP 212,733 0.28 12,540 Noble Corp. PLC USA USD 207,788 0.27 11,677 Eni SpA ITA EUR 205,014 0.27 213,400 Kunlun Energy Co. Ltd. CHN HKD 202,558 0.26 14,902 BG Group PLC GBR GBP 200,920 0.26 6,937 Marathon Oil Corp. USA USD 196,248 0.26 19,230 Galp Energia SGPS SA, B PRT EUR 196,175 0.26 1,190 Chevron Corp. USA USD 133,494 0.17 3,556 CONSOL Energy Inc. USA USD 120,228 0.16 1,440 Anadarko Petroleum Corp. USA USD 118,800 0.15 6,302 Transocean Ltd. USA USD 115,516 0.15 1,610 Murphy Oil Corp. USA USD 81,337 0.11 810 Technip SA FRA EUR 48,432 0.06 2,298 Repsol SA ESP EUR 43,224 0.06 3,252 Saipem SpA ITA EUR 34,490 0.04 1,019 Ensco PLC, A USA USD 30,519 0.04 3,000 Paragon Offshore PLC USA USD 8,310 0.01

6,997,859 9.12

Food & Staples Retailing 18,210 Metro AG DEU EUR 557,683 0.73 4,263 CVS Health Corp. USA USD 410,570 0.53 3,552 Walgreens Boots Alliance Inc. USA USD 270,662 0.35 2,804 Empire Co. Ltd., A CAN CAD 211,571 0.28 67,429 Tesco PLC GBR GBP 198,642 0.26

1,649,128 2.15

Food, Beverage & Tobacco 2,154,000 Thai Beverage PCL, fgn. THA SGD 1,121,875 1.46 6,157 Lorillard Inc. USA USD 387,521 0.50 6,381 Altria Group Inc. USA USD 314,392 0.41 3,178 PepsiCo Inc. USA USD 300,512 0.39 4,522 British American Tobacco PLC GBR GBP 246,695 0.32 21,000 Anadolu Efes Biracilik Ve Malt Sanayii AS TUR TRY 204,268 0.27 446,500 Oldtown Bhd. MYS MYR 191,549 0.25 2,165 Philip Morris International Inc. USA USD 176,339 0.23 260,700 Univanich Palm Oil PCL, fgn. THA THB 84,046 0.11 1,201 Coca-Cola Enterprises Inc. USA USD 53,108 0.07

3,080,305 4.01

Health Care Equipment & Services 13,602 Medtronic Inc. USA USD 982,065 1.28 13,510 Getinge AB, B SWE SEK 307,994 0.40 2,931 Stryker Corp. USA USD 276,481 0.36 13,000 St. Shine Optical Co. Ltd. TWN TWD 214,401 0.28 1,918 Cigna Corp. USA USD 197,381 0.26

1,978,322 2.58

Number of shares or



Market value

% ofnet

assets





Household & Personal Products 9,423 Avon Products Inc. USA USD 88,482 0.12

Insurance 15,636 American International Group Inc. USA USD 875,772 1.14 3,507 ACE Ltd. USA USD 402,884 0.53 14,765 AXA SA FRA EUR 343,110 0.45 904 Zurich Insurance Group AG CHE CHF 283,421 0.37 3,709 The Allstate Corp. USA USD 260,557 0.34 33,471 Aviva PLC GBR GBP 252,770 0.33 36,239 RSA Insurance Group PLC GBR GBP 245,713 0.32 2,020 PartnerRe Ltd. USA USD 230,543 0.30 2,690 Swiss Re AG CHE CHF 226,331 0.29 3,880 MetLife Inc. USA USD 209,869 0.27 39,549 China Pacific Insurance (Group) Co. Ltd., H CHN HKD 199,684 0.26 40,090 Direct Line Insurance Group PLC GBR GBP 182,028 0.24 38,000 China Life Insurance Co. Ltd., H CHN HKD 148,492 0.19 14,831 Lancashire Holdings Ltd. GBR GBP 129,456 0.17 590 Muenchener Rueckversicherungs-Gesellschaft AG DEU EUR 118,329 0.15 29,238 Storebrand ASA NOR NOK 114,275 0.15 3,800 NN Group NV NLD EUR 114,237 0.15 54,805 PICC Property and Casualty Co. Ltd., H CHN HKD 106,586 0.14

4,444,057 5.79

Materials 215,000 Anhui Conch Cement Co. Ltd., H CHN HKD 806,879 1.05 70,200 Vale SA, ADR, pfd., A BRA USD 509,652 0.66 17,525 CRH PLC IRL EUR 421,985 0.55 54,000 Tata Chemicals Ltd. IND INR 373,121 0.49 4,476 Akzo Nobel NV NLD EUR 312,230 0.41 65,400 Green Seal Holding Ltd. TWN TWD 305,810 0.40 11,185 ThyssenKrupp AG DEU EUR 287,730 0.37 219,000 Semen Indonesia (Persero) Tbk PT IDN IDR 286,460 0.37 891 POSCO KOR KRW 224,428 0.29 13,774 Mining and Metallurgical Co. Norilsk Nickel OJSC, ADR RUS USD 195,866 0.26 7,271 Anglo American PLC GBR GBP 136,056 0.18 4,327 Freeport-McMoRan Inc., B USA USD 101,079 0.13 3,288 Kumba Iron Ore Ltd. ZAF ZAR 68,208 0.09

4,029,504 5.25

Media 10,610 Comcast Corp., Special A USA USD 610,765 0.80 28,265 Reed Elsevier PLC GBR GBP 484,623 0.63 472,300 Major Cineplex Group PCL, fgn. THA THB 398,611 0.52 2,197 Time Warner Cable Inc. USA USD 334,076 0.43 8,230 Twenty-First Century Fox Inc., A USA USD 316,073 0.41 14,589 Sky PLC GBR GBP 204,431 0.27 2,340 Time Warner Inc. USA USD 199,883 0.26 3,668 Twenty-First Century Fox Inc., B USA USD 135,313 0.18 1,420 The Walt Disney Co. USA USD 133,750 0.17 7,950 News Corp., A USA USD 124,735 0.16 1,200 CBS Corp., B USA USD 66,408 0.09

3,008,668 3.92

Pharmaceuticals, Biotechnology & Life Sciences 16,328 Teva Pharmaceutical Industries Ltd., ADR ISR USD 939,023 1.22 15,560 Merck & Co. Inc. USA USD 883,653 1.15 3,100 Amgen Inc. USA USD 493,799 0.64 1,780 Roche Holding AG CHE CHF 483,225 0.63 11,640 Pfizer Inc. USA USD 362,586 0.47 3,710 Sanofi FRA EUR 339,645 0.44 15,600 GlaxoSmithKline PLC GBR GBP 334,584 0.44 2,820 Merck KGaA DEU EUR 267,585 0.35 3,763 Eli Lilly & Co. USA USD 259,609 0.34 4,139 Hospira Inc. USA USD 253,514 0.33 34,033 Biocon Ltd. IND INR 229,757 0.30 795 Actavis PLC USA USD 204,641 0.27 1,892 Novartis AG, ADR CHE USD 175,313 0.23 6,430 QIAGEN NV NLD EUR 150,627 0.20 990 Novartis AG CHE CHF 91,960 0.12 690 Gilead Sciences Inc. USA USD 65,039 0.08

5,534,560 7.21

Real Estate 352,700 China Vanke Co. Ltd., H CHN HKD 785,097 1.02 5,072,000 Quality Houses PCL, fgn. THA THB 564,584 0.74 9,757,466 Sansiri PCL, fgn. THA THB 504,492 0.66 17,000 Dalian Wanda Commercial Properties Co. Ltd., H CHN HKD 108,196 0.14

1,962,369 2.56


Number of shares or



Market value

% ofnet

assets





Retailing 141,012 Kingfisher PLC GBR GBP 748,403 0.98 56,227 Truworths International Ltd. ZAF ZAR 375,738 0.49 2,400 Dufry AG CHE CHF 359,686 0.47 2,790 Target Corp. USA USD 211,789 0.28 4,225 Best Buy Co. Inc. USA USD 164,690 0.21 19,284 Marks & Spencer Group PLC GBR GBP 143,918 0.19 1,945 Kohl’s Corp. USA USD 118,723 0.15 47,822 Esprit Holdings Ltd. HKG HKD 57,234 0.07

2,180,181 2.84

Semiconductors & Semiconductor Equipment 26,070 MediaTek Inc. TWN TWD 380,536 0.50

Software & Services 28,071 Microsoft Corp. USA USD 1,303,898 1.70 20,530 Tata Consultancy Services Ltd. IND INR 833,202 1.09 50,000 Tencent Holdings Ltd. CHN HKD 725,437 0.95 5,012 Check Point Software Technologies Ltd. ISR USD 393,793 0.51 10,542 Symantec Corp. USA USD 270,455 0.35 17,762 Xerox Corp. USA USD 246,181 0.32 2,480 Oracle Corp. USA USD 111,525 0.15 1,240 SAP SE DEU EUR 87,413 0.11

3,971,904 5.18

Technology Hardware & Equipment 1,031 Samsung Electronics Co. Ltd. KOR KRW 1,250,857 1.63 24,520 Cisco Systems Inc. USA USD 682,024 0.89 16,440 Hewlett-Packard Co. USA USD 659,737 0.86 5,694 Apple Inc. USA USD 628,504 0.82 44,000 Catcher Technology Co. Ltd. TWN TWD 342,675 0.45 16,220 Flextronics International Ltd. SGP USD 181,339 0.24 13,554 Ericsson, B SWE SEK 163,970 0.21 8,000 Konica Minolta Inc. JPN JPY 88,462 0.11

3,997,568 5.21

Telecommunication Services 167,065 Vodafone Group PLC GBR GBP 579,790 0.76 40,500 China Mobile Ltd. CHN HKD 473,739 0.62 25,121 Telefonica SA ESP EUR 362,325 0.47 53,243 Turkcell Iletisim Hizmetleri AS TUR TRY 326,252 0.43 30,350 TDC AS DNK DKK 232,893 0.30 66,930 Koninklijke KPN NV NLD EUR 212,829 0.28 60,000 Singapore Telecommunications Ltd. SGP SGD 176,631 0.23 12,637 HSBC Bank PLC (CRTP Etihad Etisalat Co., 144A) SAU USD 148,851 0.19 6,610 Telenor ASA NOR NOK 134,040 0.17 2,687 Verizon Communications Inc. USA USD 125,698 0.16 2,060 China Telecom Corp. Ltd., ADR CHN USD 120,943 0.16 4,138 Vivendi SA FRA EUR 103,594 0.14 1,289 Mobile TeleSystems, ADR RUS USD 9,255 0.01

3,006,840 3.92

Transportation 27,080 Deutsche Lufthansa AG DEU EUR 453,165 0.59 584,000 China Shipping Development Co. Ltd., H CHN HKD 399,930 0.52 51,811 International Consolidated Airlines Group SA GBR GBP 392,564 0.51 175 A.P. Moeller-Maersk AS, B DNK DKK 351,712 0.46 2,550 United Parcel Service Inc., B USA USD 283,483 0.37 192,700 Airasia Bhd. MYS MYR 149,905 0.20 13,932 TNT Express NV NLD EUR 93,409 0.12 56,959 CAR Inc. CHN HKD 76,690 0.10

2,200,858 2.87

Utilities 570,500 Perusahaan Gas Negara (Persero) Tbk PT IDN IDR 276,382 0.36 7,424 NRG Energy Inc. USA USD 200,077 0.26 25,940 Enel SpA ITA EUR 116,008 0.15

592,467 0.77

TOTAL SHARES 72,679,603 94.72

RIGHTS Energy 2,298 Repsol SA, rts., 01/08/15 ESP EUR 1,271 0.00

TOTAL RIGHTS 1,271 0.00



Number of shares or



Market value

% ofnet

assets





TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET SHARES Energy 31,100 Gazprom OAO, ADR RUS USD 144,615 0.19

Materials 8,800 Mining and Metallurgical Co. Norilsk Nickel OJSC, ADR RUS USD 125,136 0.16 704 NewPage Holdings Inc. USA USD 63,888 0.08

189,024 0.24


BONDS Corporate Bonds 281,000 iHeartCommunications Inc., senior secured note, first lien, 9.00%, 12/15/19 USA USD 277,839 0.36 150,000 Avaya Inc., senior secured note, 144A, 7.00%, 04/01/19 USA USD 147,000 0.19 122,000 Avaya Inc., senior note, 144A, 10.50%, 03/01/21 USA USD 104,920 0.14 103,000 Walter Energy Inc., first lien, 144A, 9.50%, 10/15/19 USA USD 78,795 0.11 28,000 Walter Energy Inc., second lien, 144A, PIK, 11.50%, 04/01/20 ‡ USA USD 9,380 0.01

617,934 0.81

Government and Municipal Bonds 100,000 Puerto Rico Commonwealth GO, Refunding, Series A, 8.00%, 07/01/35 USA USD 87,375 0.11




SHARES Diversified Financials 28,000 Hightower Holding LLC, pfd., A, 2 ** USA USD 65,139 0.08


BONDS Corporate Bonds 176,000 NewPage Corp., Escrow Account ** USA USD 0 0.00

TOTAL BONDS 0 0.00

WARRANTS Real Estate 2,439,366 Sansiri PCL, wts., 11/24/17 THA THB 22,999 0.03




** These securities are submitted to a Fair Valuation ‡ Income may be received in additional securities and/or cash


Number of shares or



Market value

% ofnet

assets





TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Aerospace & Defense 61,830 B/E Aerospace Inc. USA USD 3,587,377 0.19 414,473 BAE Systems PLC GBR GBP 3,049,304 0.17 47,225 Safran SA FRA EUR 2,928,540 0.16 30,915 KLX Inc. USA USD 1,275,244 0.07

10,840,465 0.59

Air Freight & Logistics 43,670 United Parcel Service Inc., B USA USD 4,854,794 0.26 393,142 TNT Express NV NLD EUR 2,635,864 0.14

7,490,658 0.40

Airlines 600,710 Deutsche Lufthansa AG DEU EUR 10,052,461 0.54 1,181,519 International Consolidated Airlines Group SA GBR GBP 8,952,181 0.49

19,004,642 1.03

Auto Components 113,584 Cie Generale des Etablissements Michelin, B FRA EUR 10,344,856 0.56 216,891 Pirelli & C. SpA ITA EUR 2,941,931 0.16

13,286,787 0.72

Automobiles 37,803 Volkswagen AG, pfd. DEU EUR 8,446,192 0.46 760,500 Nissan Motor Co. Ltd. JPN JPY 6,708,521 0.36 89,400 Toyota Motor Corp. JPN JPY 5,638,933 0.30 146,590 General Motors Co. USA USD 5,117,457 0.28 19,531 Hyundai Motor Co., pfd., 2 KOR KRW 2,392,805 0.13 14,729 Hyundai Motor Co. KOR KRW 2,275,820 0.12

30,579,728 1.65

Banks 352,574 Citigroup Inc. USA USD 19,077,779 1.03 224,970 JPMorgan Chase & Co. USA USD 14,078,623 0.76 196,101 BNP Paribas SA FRA EUR 11,688,521 0.63 843,504 ING Groep NV, IDR NLD EUR 11,053,529 0.60 253,581 SunTrust Banks Inc. USA USD 10,625,044 0.57 651,221 Commerzbank AG DEU EUR 8,651,992 0.47 258,431 KB Financial Group Inc. KOR KRW 8,541,436 0.46 855,608 HSBC Holdings PLC GBR HKD 8,159,997 0.44 10,824,654 Industrial and Commercial Bank of China Ltd., H CHN HKD 7,901,462 0.43 1,973,397 Barclays PLC GBR GBP 7,489,899 0.40 982,348 UniCredit SpA ITA EUR 6,341,400 0.34 471,630 Credit Agricole SA FRA EUR 6,140,434 0.33 328,500 DBS Group Holdings Ltd. SGP SGD 5,108,016 0.28 92,650 Wells Fargo & Co. USA USD 5,079,073 0.27 100,830 Societe Generale SA FRA EUR 4,268,930 0.23 30,530 PNC Financial Services Group Inc. USA USD 2,785,252 0.15 93,316 Hana Financial Group Inc. KOR KRW 2,730,135 0.15 250,474 HSBC Holdings PLC GBR GBP 2,376,058 0.13 72,337 Citizens Financial Group Inc. USA USD 1,798,298 0.10 260,100 Bangkok Bank PCL, fgn. THA THB 1,534,653 0.08

145,430,531 7.85

Beverages 64,187 PepsiCo Inc. USA USD 6,069,523 0.33 9,656 Coca-Cola Enterprises Inc. USA USD 426,988 0.02

6,496,511 0.35

Biotechnology 73,320 Amgen Inc. USA USD 11,679,143 0.63 16,620 Gilead Sciences Inc. USA USD 1,566,601 0.09

13,245,744 0.72

Capital Markets 421,334 Credit Suisse Group AG CHE CHF 10,628,703 0.58 239,970 Morgan Stanley USA USD 9,310,836 0.50

19,939,539 1.08

Chemicals 112,185 Akzo Nobel NV NLD EUR 7,825,633 0.42 66,203 Arkema FRA EUR 4,411,417 0.24

12,237,050 0.66

Commercial Services & Supplies 637,168 Serco Group PLC GBR GBP 1,595,998 0.09

— Franklin Global Fundamental Strategies Fund —

Number of shares or



Market value

% ofnet

assets





Communications Equipment 369,430 Cisco Systems Inc. USA USD 10,275,695 0.56 199,407 Ericsson, B SWE SEK 2,412,336 0.13

12,688,031 0.69

Construction & Engineering 202,800 FLSmidth & Co. AS DNK DKK 8,972,110 0.48 5,944,000 Sinopec Engineering Group Co. Ltd. CHN HKD 4,024,529 0.22

12,996,639 0.70

Construction Materials 279,442 CRH PLC IRL EUR 6,728,684 0.36 9,778,000 Xinyi Glass Holdings Ltd. CHN HKD 4,930,645 0.27 24,754 CRH PLC IRL GBP 595,738 0.03

12,255,067 0.66

Consumer Finance 131,970 Ally Financial Inc. USA USD 3,117,131 0.17 18,780 Capital One Financial Corp. USA USD 1,550,289 0.08

4,667,420 0.25

Containers & Packaging 312,672 Rexam PLC GBR GBP 2,211,648 0.12

Diversified Financial Services 33,679 CIT Group Inc. USA USD 1,610,867 0.09

Diversified Telecommunication Services 591,411 Telefonica SA ESP EUR 8,530,039 0.46 2,309,020 Koninklijke KPN NV NLD EUR 7,342,406 0.40 1,581,000 Singapore Telecommunications Ltd. SGP SGD 4,654,212 0.25 78,620 China Telecom Corp. Ltd., ADR CHN USD 4,615,780 0.25 504,773 TDC AS DNK DKK 3,873,407 0.21 3,390,132 Telecom Italia SpA ITA EUR 3,618,017 0.20 98,061 Vivendi SA FRA EUR 2,454,947 0.13 116,480 Telenor ASA NOR NOK 2,362,029 0.13 43,962 Verizon Communications Inc. USA USD 2,056,542 0.11 79,710 Orange SA FRA EUR 1,364,755 0.07

40,872,134 2.21

Electric Utilities 1,451,251 Enel SpA ITA EUR 6,490,226 0.35

Electrical Equipment 232,621 Dongfang Electric Corp. Ltd., H CHN HKD 427,805 0.02

Electronic Equipment, Instruments & Component 172,160 Flextronics International Ltd. SGP USD 1,924,749 0.10

Energy Equipment & Services 155,574 Baker Hughes Inc. USA USD 8,723,034 0.47 292,020 Noble Corp. PLC USA USD 4,838,771 0.26 18,540 Technip SA FRA EUR 1,108,547 0.06 53,900 Transocean Ltd. USA USD 987,987 0.05 68,488 Saipem SpA ITA EUR 726,360 0.04 9,821 Ensco PLC, A USA USD 294,139 0.02 58,373 Paragon Offshore PLC USA USD 161,693 0.01

16,840,531 0.91

Food & Staples Retailing 394,131 Metro AG DEU EUR 12,070,301 0.65 99,756 CVS Health Corp. USA USD 9,607,500 0.52 119,338 Walgreens Boots Alliance Inc. USA USD 9,093,556 0.49 1,599,076 Tesco PLC GBR GBP 4,710,786 0.25 55,490 Empire Co. Ltd., A CAN CAD 4,186,897 0.23

39,669,040 2.14

Health Care Equipment & Supplies 284,524 Medtronic Inc. USA USD 20,542,633 1.11 80,419 Stryker Corp. USA USD 7,585,924 0.41 238,910 Getinge AB, B SWE SEK 5,446,551 0.29

33,575,108 1.81

Health Care Providers & Services 34,076 Cigna Corp. USA USD 3,506,761 0.19

Hotels, Restaurants & Leisure 165,696 Accor SA FRA EUR 7,486,377 0.40

Independent Power and Renewable Electricity Producers 75,607 NRG Energy Inc. USA USD 2,037,609 0.11


Number of shares or



Market value

% ofnet

assets





Industrial Conglomerates 307,234 Koninklijke Philips NV NLD EUR 8,977,838 0.49 39,582 Siemens AG DEU EUR 4,490,083 0.24 61,088 Jardine Strategic Holdings Ltd. HKG USD 2,089,210 0.11 23,801 Jardine Matheson Holdings Ltd. HKG USD 1,450,671 0.08

17,007,802 0.92

Insurance 264,822 American International Group Inc. USA USD 14,832,680 0.80 1,320,427 RSA Insurance Group PLC GBR GBP 8,952,950 0.48 117,454 The Allstate Corp. USA USD 8,251,143 0.45 1,766,013 Direct Line Insurance Group PLC GBR GBP 8,018,570 0.43 383,112 Assicurazioni Generali SpA ITA EUR 7,880,614 0.43 76,410 Swiss Re AG CHE CHF 6,428,985 0.35 256,507 AXA SA FRA EUR 5,960,722 0.32 786,604 Aviva PLC GBR GBP 5,940,356 0.32 1,112,841 China Pacific Insurance (Group) Co. Ltd., H CHN HKD 5,618,778 0.30 630,970 Lancashire Holdings Ltd. GBR GBP 5,507,560 0.30 2,800,237 PICC Property and Casualty Co. Ltd., H CHN HKD 5,445,944 0.29 181,109 NN Group NV NLD EUR 5,444,580 0.29 16,410 Zurich Insurance Group AG CHE CHF 5,144,837 0.28 37,720 ACE Ltd. USA USD 4,333,274 0.23 37,240 PartnerRe Ltd. USA USD 4,250,201 0.23 665,627 Friends Life Group Ltd. GBR GBP 3,799,372 0.20 68,290 MetLife Inc. USA USD 3,693,806 0.20 929,659 Storebrand ASA NOR NOK 3,633,522 0.20 15,260 Muenchener Rueckversicherungs-Gesellschaft AG DEU EUR 3,060,507 0.17 166 White Mountains Insurance Group Ltd. USA USD 104,598 0.01

116,302,999 6.28

IT Services 156,540 Xerox Corp. USA USD 2,169,644 0.12

Life Sciences Tools & Services 100,300 QIAGEN NV NLD EUR 2,349,588 0.13

Machinery 104,880 Navistar International Corp. USA USD 3,511,382 0.19 16,841 Caterpillar Inc. USA USD 1,541,457 0.08 128,893 CNH Industrial NV GBR EUR 1,044,936 0.06 94,864 CNH Industrial NV GBR EUR 769,062 0.04

6,866,837 0.37

Marine 3,885 A.P. Moeller-Maersk AS, B DNK DKK 7,807,998 0.42

Media 225,961 Comcast Corp., Special A USA USD 13,007,445 0.70 118,195 CBS Corp., B USA USD 6,540,912 0.35 167,590 Twenty-First Century Fox Inc., A USA USD 6,436,294 0.35 66,555 Time Warner Inc. USA USD 5,685,128 0.31 304,160 Reed Elsevier PLC GBR GBP 5,215,036 0.28 49,070 The Walt Disney Co. USA USD 4,621,903 0.25 322,425 Sky PLC GBR GBP 4,518,049 0.25 2,704,787 Nine Entertainment Co. Holdings Ltd. AUS AUD 4,218,156 0.23 7,424,000 Sinomedia Holding Ltd. CHN HKD 4,193,620 0.23 25,776 Time Warner Cable Inc. USA USD 3,919,499 0.21 102,298 Twenty-First Century Fox Inc., B USA USD 3,773,773 0.20 235,522 News Corp., A USA USD 3,695,340 0.20 35,132 RTL Group SA DEU EUR 3,363,369 0.18 87,700 Reed Elsevier NV GBR EUR 2,105,361 0.11

71,293,885 3.85

Metals & Mining 230,841 ThyssenKrupp AG DEU EUR 5,938,292 0.32 149,500 Voestalpine AG AUT EUR 5,932,452 0.32 22,400 POSCO KOR KRW 5,642,189 0.30 311,837 Mining and Metallurgical Co. Norilsk Nickel OJSC, ADR RUS USD 4,434,322 0.24 97,408 Anglo American PLC GBR GBP 1,822,717 0.10 56,726 Freeport-McMoRan Inc., B USA USD 1,325,119 0.07

25,095,091 1.35

Multiline Retail 1,096,519 Marks & Spencer Group PLC GBR GBP 8,183,382 0.44 56,920 Target Corp. USA USD 4,320,797 0.23 19,567 Kohl’s Corp. USA USD 1,194,370 0.07

13,698,549 0.74


Number of shares or



Market value

% ofnet

assets





Oil, Gas & Consumable Fuels 4,164,061 China Shenhua Energy Co. Ltd., H CHN HKD 12,297,861 0.66 1,511,613 Talisman Energy Inc. CAN CAD 11,845,579 0.64 1,261,157 BP PLC GBR GBP 8,079,295 0.44 150,710 Total SA, B FRA EUR 7,753,909 0.42 344,419 Eni SpA ITA EUR 6,046,999 0.33 169,450 Royal Dutch Shell PLC, A GBR EUR 5,671,254 0.31 157,510 Royal Dutch Shell PLC, B GBR GBP 5,482,257 0.30 350,300 BG Group PLC GBR GBP 4,723,009 0.25 75,320 Apache Corp. USA USD 4,720,304 0.25 4,867,400 Kunlun Energy Co. Ltd. CHN HKD 4,680,474 0.25 351,180 Galp Energia SGPS SA, B PRT EUR 3,582,566 0.19 441,500 Talisman Energy Inc. CAN USD 3,456,945 0.19 409,262 Petroleo Brasileiro SA, ADR, pfd. BRA USD 3,102,206 0.17 26,110 Chevron Corp. USA USD 2,929,020 0.16 34,180 Anadarko Petroleum Corp. USA USD 2,819,850 0.15 84,141 Marathon Oil Corp. USA USD 2,380,349 0.13 21,500 Murphy Oil Corp. USA USD 1,086,180 0.06 54,930 Repsol SA ESP EUR 1,033,203 0.05 21,218 CONSOL Energy Inc. USA USD 717,380 0.04 1,130 Royal Dutch Shell PLC, A GBR GBP 37,930 0.00

92,446,570 4.99

Paper & Forest Products 69,770 International Paper Co. USA USD 3,738,277 0.20

Personal Products 248,120 Avon Products Inc. USA USD 2,329,847 0.13

Pharmaceuticals 361,704 Teva Pharmaceutical Industries Ltd., ADR ISR USD 20,801,597 1.12 260,460 Merck & Co. Inc. USA USD 14,791,523 0.80 35,050 Roche Holding AG CHE CHF 9,515,183 0.51 129,503 Eli Lilly & Co. USA USD 8,934,412 0.48 268,700 Pfizer Inc. USA USD 8,370,005 0.45 89,040 Sanofi FRA EUR 8,151,487 0.44 369,337 GlaxoSmithKline PLC GBR GBP 7,921,433 0.43 62,650 Merck KGaA DEU EUR 5,944,746 0.32 53,045 Novartis AG, ADR CHE USD 4,915,150 0.27 18,785 Actavis PLC USA USD 4,835,447 0.26 53,663 Hospira Inc. USA USD 3,286,859 0.18 9,530 Novartis AG CHE CHF 885,230 0.05

98,353,072 5.31

Real Estate Management & Development 406,800 Dalian Wanda Commercial Properties Co. Ltd., H CHN HKD 2,589,078 0.14 156,865 Dolphin Capital Investors Ltd. GRC GBP 67,850 0.00

2,656,928 0.14

Road & Rail 1,293,253 CAR Inc. CHN HKD 1,741,249 0.09

Semiconductors & Semiconductor Equipment 31,928 SK Hynix Semiconductor Inc. KOR KRW 1,393,872 0.08

Software 455,210 Microsoft Corp. USA USD 21,144,505 1.14 198,746 Symantec Corp. USA USD 5,098,829 0.28 40,990 Check Point Software Technologies Ltd. ISR USD 3,220,584 0.17 33,800 SAP SE DEU EUR 2,382,717 0.13 46,340 Oracle Corp. USA USD 2,083,910 0.11

33,930,545 1.83

Specialty Retail 2,683,873 Kingfisher PLC GBR GBP 14,244,316 0.77 43,376 Dufry AG CHE CHF 6,500,728 0.35 127,990 Best Buy Co. Inc. USA USD 4,989,050 0.27 7,201,922 China ZhengTong Auto Services Holdings Ltd. CHN HKD 3,167,232 0.17 4,463,500 Baoxin Auto Group Ltd. CHN HKD 2,584,633 0.14

31,485,959 1.70

Technology Hardware, Storage & Peripherals 19,041 Samsung Electronics Co. Ltd. KOR KRW 23,101,418 1.25 323,501 Hewlett-Packard Co. USA USD 12,982,095 0.70 67,960 Apple Inc. USA USD 7,501,425 0.41 370,700 Konica Minolta Inc. JPN JPY 4,099,124 0.22 2,543 Samsung Electronics Co. Ltd., pfd. KOR KRW 2,415,682 0.13

50,099,744 2.71


Number of shares or



Market value

% ofnet

assets





Tobacco 79,363 Lorillard Inc. USA USD 4,995,107 0.27 78,051 British American Tobacco PLC GBR GBP 4,258,033 0.23 56,330 Altria Group Inc. USA USD 2,775,379 0.15 14,790 Philip Morris International Inc. USA USD 1,204,646 0.06

13,233,165 0.71

Wireless Telecommunication Services 4,190,318 Vodafone Group PLC GBR GBP 14,542,270 0.79 1,153,637 Turkcell Iletisim Hizmetleri AS TUR TRY 7,069,036 0.38 191,000 China Mobile Ltd. CHN HKD 2,234,177 0.12 34,877 Mobile TeleSystems, ADR RUS USD 250,417 0.01

24,095,900 1.30

TOTAL SHARES 1,097,505,186 59.26

RIGHTS Oil, Gas & Consumable Fuels 54,930 Repsol SA, rts., 01/08/15 ESP EUR 30,375 0.00



TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET SHARES Paper & Forest Products 6,404 NewPage Holdings Inc. USA USD 581,163 0.03


BONDS Corporate Bonds 2,808,000 iHeartCommunications Inc., senior secured note, first lien,

9.00%, 12/15/19 USA USD 2,776,410 0.15 2,357,000 Walter Energy Inc., first lien, 144A, 9.50%, 10/15/19 USA USD 1,803,105 0.10 1,658,000 Avaya Inc., senior secured note, 144A, 7.00%, 04/01/19 USA USD 1,624,840 0.09 1,590,000 NGPL PipeCo LLC, senior secured note, 144A, 9.625%, 06/01/19 USA USD 1,601,925 0.09 1,418,000 Avaya Inc., senior note, 144A, 10.50%, 03/01/21 USA USD 1,219,480 0.06 844,000 First Data Corp., senior note, 11.75%, 08/15/21 USA USD 972,710 0.05 555,000 Baggot Securities Ltd., secured bond, Reg S, 10.24%, Perpetual IRL EUR 703,496 0.04 435,000 NGPL PipeCo LLC, secured note, 144A, 7.119%, 12/15/17 USA USD 429,562 0.02 510,000 State Export-Import Bank of Ukraine, (BIZ FIN), loan participation, Reg S,

8.75%, 01/22/18 UKR USD 297,712 0.02 631,000 Walter Energy Inc., second lien, 144A, PIK, 11.50%, 04/01/20 ‡ USA USD 211,385 0.01

11,640,625 0.63

Government and Municipal Bonds 3,336,460,000 Government of Hungary, 5.50%, 12/22/16 HUN HUF 13,637,286 0.74 9,590,000 Government of Portugal, Reg S, 3.875%, 02/15/30 PRT EUR 12,195,176 0.66 11,803,080,000 Korea Monetary Stabilization Bond, senior note, 2.80%, 04/02/16 KOR KRW 10,887,127 0.59 38,000,000 Government of Malaysia, senior note, 3.172%, 07/15/16 MYS MYR 10,808,237 0.58 35,660,000 Government of Poland, 4.75%, 10/25/16 POL PLN 10,601,952 0.57 1,451,260 Government of Mexico, 6.25%, 06/16/16 MEX MXN 10,220,036 0.55 8,943,000,000 Korea Monetary Stabilization Bond, senior note, 2.46%, 08/02/16 KOR KRW 8,223,192 0.44 13,240,000 Government of Ukraine, Reg S, 9.25%, 07/24/17 UKR USD 8,154,185 0.44 4,613,420 Government of Ireland, senior bond, 5.40%, 03/13/25 IRL EUR 7,697,292 0.42 1,027,150 Government of Mexico, 7.25%, 12/15/16 MEX MXN 7,439,872 0.40 25,350,000 Government of Poland, Strip, 07/25/16 POL PLN 6,962,675 0.38 19,600 Letra Tesouro Nacional, Strip, 07/01/16 BRA BRL 6,144,875 0.33 5,610,000 Government of Portugal, Reg S, 5.125%, 10/15/24 PRT USD 5,915,184 0.32 305,200,000 Government of India, senior note, 8.83%, 11/25/23 IND INR 5,096,504 0.28 4,330,000 Government of Serbia, Reg S, 7.25%, 09/28/21 SER USD 4,867,461 0.26 1,137,280,000 Government of Hungary, A, 6.75%, 11/24/17 HUN HUF 4,864,809 0.26 4,359,025 Government of Russia, senior bond, Reg S, 7.50%, 03/31/30 RUS USD 4,555,835 0.25 1,040,860,000 Government of Hungary, 6.50%, 06/24/19 HUN HUF 4,528,704 0.24 13,520 Nota Do Tesouro Nacional, 10.00%, 01/01/23 BRA BRL 4,510,819 0.24 1,038,280,000 Government of Hungary, A, 5.50%, 12/20/18 HUN HUF 4,353,727 0.24 2,789,000 Government of Ireland, 5.00%, 10/18/20 IRL EUR 4,225,871 0.23 6,310,000 Government of Ukraine, senior note, Reg S, 7.80%, 11/28/22 UKR USD 3,770,951 0.20 3,930,890,000 Korea Monetary Stabilization Bond, senior note, 2.79%, 06/02/16 KOR KRW 3,629,335 0.20 10,460 Letra Tesouro Nacional, Strip, 01/01/16 BRA BRL 3,486,205 0.19 33,427,000,000 Government of Indonesia, FR34, 12.80%, 06/15/21 IDN IDR 3,361,864 0.18 33,290,000,000 Government of Indonesia, FR46, 9.50%, 07/15/23 IDN IDR 2,965,457 0.16 704,700,000 Government of Hungary, 5.50%, 02/12/16 HUN HUF 2,810,753 0.15 1,990,000 Government of Hungary, senior note, Reg S, 5.75%, 06/11/18 HUN EUR 2,749,918 0.15 2,897 Nota Do Tesouro Nacional, Index Linked, 6.00%, 05/15/23 BRA BRL 2,717,132 0.15 2,860 Nota Do Tesouro Nacional, Index Linked, 6.00%, 08/15/22 BRA BRL 2,686,588 0.15 2,853,440,000 Korea Monetary Stabilization Bond, senior note, 2.78%, 02/02/16 KOR KRW 2,628,191 0.14 2,580 Nota Do Tesouro Nacional, Index Linked, 6.00%, 05/15/19 BRA BRL 2,421,842 0.13


Number of shares or



Market value

% ofnet

assets





Government and Municipal Bonds (continued) 6,825,000 Government of Poland, 5.75%, 09/23/22 POL PLN 2,387,092 0.13 8,507,000 Government of Poland, Strip, 01/25/16 POL PLN 2,358,751 0.13 126,300,000 Government of India, senior bond, 8.60%, 06/02/28 IND INR 2,115,963 0.11 271,200 Government of Mexico, 7.75%, 12/14/17 MEX MXN 2,011,884 0.11 121,800,000 Government of India, senior bond, 7.80%, 05/03/20 IND INR 1,914,145 0.10 2,050,900,000 Korea Treasury Bond, senior note, 3.00%, 12/10/16 KOR KRW 1,907,307 0.10 3,000,000 Government of Ukraine, senior note, Reg S, 7.50%, 04/17/23 UKR USD 1,768,590 0.10 1,340,000 Government of Romania, senior note, Reg S, 5.25%, 06/17/16 ROM EUR 1,737,573 0.09 1,842,800,000 Korea Treasury Bond, senior note, 2.75%, 06/10/16 KOR KRW 1,700,459 0.09 1,755 Nota Do Tesouro Nacional, Index Linked, 6.00%, 08/15/18 BRA BRL 1,647,380 0.09 389,450,000 Government of Hungary, 4.00%, 04/25/18 HUN HUF 1,547,549 0.08 1,600 Nota Do Tesouro Nacional, Index Linked, 6.00%, 08/15/16 BRA BRL 1,513,812 0.08 91,500,000 Government of India, senior note, 8.12%, 12/10/20 IND INR 1,458,818 0.08 1,561,000 Puerto Rico Commonwealth GO, Refunding, Series A, 8.00%, 07/01/35 USA USD 1,363,924 0.07 1,180,000 Government of Slovenia, senior note, Reg S, 5.50%, 10/26/22 SVN USD 1,311,458 0.07 277,470,000 Government of Hungary, B, 5.50%, 06/24/25 HUN HUF 1,232,746 0.07 267,120,000 Government of Hungary, A, 6.00%, 11/24/23 HUN HUF 1,214,682 0.07 1,315,000,000 Korea Monetary Stabilization Bond, senior note, 2.07%, 12/02/16 KOR KRW 1,201,922 0.07 1,050,000 Government of Slovenia, senior note, Reg S, 5.85%, 05/10/23 SVN USD 1,200,003 0.07 1,060,000 Government of Hungary, 5.375%, 02/21/23 HUN USD 1,150,657 0.06 4,065,000 Government of Poland, FRN, 2.69%, 01/25/17 † POL PLN 1,148,910 0.06 4,124,000 Government of Poland, FRN, 2.69%, 01/25/21 † POL PLN 1,147,494 0.06 3,800 Letra Tesouro Nacional, Strip, 01/01/17 BRA BRL 1,122,057 0.06 3,585,000 Government of Poland, 5.00%, 04/25/16 POL PLN 1,054,335 0.06 775,000 Government of Hungary, senior note, Reg S, 4.375%, 07/04/17 HUN EUR 1,007,308 0.05 3,230 Letra Tesouro Nacional, Strip, 10/01/16 BRA BRL 981,157 0.05 760,000 Government of Lithuania, Reg S, 7.375%, 02/11/20 LTU USD 918,088 0.05 186,860,000 Government of Hungary, A, 7.00%, 06/24/22 HUN HUF 878,481 0.05 8,193,000,000 Government of Indonesia, FR35, 12.90%, 06/15/22 IDN IDR 851,218 0.05 571,000 Government of Ireland, 4.50%, 04/18/20 IRL EUR 832,875 0.05 2,380 Nota Do Tesouro Nacional, senior note, 10.00%, 01/01/19 BRA BRL 824,782 0.04 610,000 Government of Hungary, senior note, Reg S, 3.875%, 02/24/20 HUN EUR 802,831 0.04 2,200 Nota Do Tesouro Nacional, 10.00%, 01/01/17 BRA BRL 788,635 0.04 87,490,000 Government of Sri Lanka, A, 9.00%, 05/01/21 LKA LKR 711,743 0.04 464,000 Government of Ireland, 5.90%, 10/18/19 IRL EUR 706,221 0.04 150,170,000 Government of Hungary, 7.50%, 11/12/20 HUN HUF 699,354 0.04 610,000 Government of Hungary, senior note, 6.375%, 03/29/21 HUN USD 698,102 0.04 600,000 Government of Iceland, Reg S, 5.875%, 05/11/22 ISL USD 674,049 0.04 640,000 Government of Serbia, senior note, Reg S, 4.875%, 02/25/20 SER USD 642,371 0.03 6,812,000,000 Government of Indonesia, FR47, 10.00%, 02/15/28 IDN IDR 630,873 0.03 680 Nota Do Tesouro Nacional, Index Linked, 6.00%, 05/15/45 BRA BRL 629,814 0.03 36,800,000 Government of India, senior bond, 8.28%, 09/21/27 IND INR 596,859 0.03 570,000 Government of Hungary, 4.125%, 02/19/18 HUN USD 592,073 0.03 35,900,000 Government of India, senior note, 8.35%, 05/14/22 IND INR 580,551 0.03 26,150,000 Government of the Philippines, senior note, 1.625%, 04/25/16 PHL PHP 578,300 0.03 2,160 Letra Tesouro Nacional, Strip, 01/01/18 BRA BRL 567,498 0.03 900,000 Government of Ukraine, senior note, Reg S, 7.95%, 02/23/21 UKR USD 547,596 0.03 62,020,000 Government of Sri Lanka, 10.60%, 09/15/19 LKA LKR 535,331 0.03 64,260,000 Government of Sri Lanka, D, 8.50%, 06/01/18 LKA LKR 510,967 0.03 4,868,000,000 Government of Indonesia, FR42, 10.25%, 07/15/27 IDN IDR 462,234 0.03 54,420,000 Government of Sri Lanka, A, 8.00%, 11/15/18 LKA LKR 426,531 0.02 330,000 Government of Lithuania, Reg S, 6.125%, 03/09/21 LTU USD 384,836 0.02 3,934,000,000 Government of Indonesia, FR43, 10.25%, 07/15/22 IDN IDR 361,874 0.02 41,660,000 Government of Sri Lanka, 10.60%, 07/01/19 LKA LKR 358,005 0.02 44,900,000 Government of Sri Lanka, C, 8.50%, 04/01/18 LKA LKR 356,274 0.02 340,000 Government of Serbia, senior note, Reg S, 5.25%, 11/21/17 SER USD 349,476 0.02 380,900,000 Korea Monetary Stabilization Bond, senior note, 2.22%, 10/02/16 KOR KRW 349,065 0.02 22,600,000 Government of India, senior note, 7.16%, 05/20/23 IND INR 340,068 0.02 45,799 Mexican Udibonos, Index Linked, 5.00%, 06/16/16 MEX MXN 330,132 0.02 350 Nota Do Tesouro Nacional, Index Linked, 6.00%, 08/15/20 BRA BRL 328,293 0.02 35,206 Mexican Udibonos, Index Linked, 3.50%, 12/14/17 MEX MXN 255,025 0.01 750 Nota Do Tesouro Nacional, 10.00%, 01/01/21 BRA BRL 254,684 0.01 200,000 Government of Hungary, senior note, Reg S, 3.50%, 07/18/16 HUN EUR 251,864 0.01 53,910,000 Government of Hungary, B, 6.75%, 02/24/17 HUN HUF 225,869 0.01 720,000 Government of Poland, 4.75%, 04/25/17 POL PLN 216,599 0.01 220 Nota Do Tesouro Nacional, Index Linked, 6.00%, 08/15/24 BRA BRL 206,048 0.01 118,500 Government of Portugal, senior note, Reg S, 5.65%, 02/15/24 PRT EUR 177,587 0.01 20,607 Mexican Udibonos, Index Linked, 4.00%, 06/13/19 MEX MXN 152,691 0.01 200,000 Government of Ukraine, senior note, Reg S, 6.25%, 06/17/16 UKR USD 128,901 0.01 200,000 Financing of Infrastructure Projects State Enterprise, Reg S,

7.40%, 04/20/18 UKR USD 121,060 0.01 16,444 Mexican Udibonos, Index Linked, 2.50%, 12/10/20 MEX MXN 114,344 0.01 13,500,000 Government of Sri Lanka, A, 6.40%, 08/01/16 LKA LKR 102,818 0.01 1,020,000,000 Government of Indonesia, FR39, 11.75%, 08/15/23 IDN IDR 102,412 0.01 12,260,000 Government of Sri Lanka, B, 8.50%, 07/15/18 LKA LKR 97,462 0.01 12,400,000 Government of Sri Lanka, A, 5.80%, 01/15/17 LKA LKR 92,933 0.01 12,100,000 Government of Sri Lanka, B, 6.40%, 10/01/16 LKA LKR 91,910 0.01 3,470,000 Government of the Philippines, senior bond, 7.00%, 01/27/16 PHL PHP 80,410 0.00


Number of shares or



Market value

% ofnet

assets





Government and Municipal Bonds (continued) 4,800,000 Government of India, senior note, 7.28%, 06/03/19 IND INR 74,222 0.00 47,300 Government of Portugal, senior bond, Reg S, 4.95%, 10/25/23 PRT EUR 67,898 0.00 7,070,000 Government of Sri Lanka, 11.20%, 07/01/22 LKA LKR 64,045 0.00 100,000 Government of Ukraine, Reg S, 7.75%, 09/23/20 UKR USD 60,928 0.00 6,450,000 Government of Sri Lanka, A, 7.50%, 08/15/18 LKA LKR 49,687 0.00 2,020,000 Government of the Philippines, senior bond, 9.125%, 09/04/16 PHL PHP 48,883 0.00 35,000,000 Korea Treasury Bond, senior bond, 5.00%, 09/10/16 KOR KRW 33,541 0.00 2,650,000 Government of Sri Lanka, 8.25%, 03/01/17 LKA LKR 20,770 0.00 187,000,000 Government of Indonesia, FR44, 10.00%, 09/15/24 IDN IDR 17,115 0.00

251,280,137 13.57

Securities Maturing Within One Year 30,523,900,000 Korea Monetary Stabilization Bond, senior note, 2.90%, 12/02/15 KOR KRW 28,114,829 1.52 32,677,860 Mexico Treasury Bill, 0.00%, 04/01/15 MEX MXN 21,999,827 1.19 19,900,000 Monetary Authority of Singapore Treasury Bill, 0.00%, 03/27/15 SGP SGD 14,998,588 0.81 49,021,000 Government of Poland, 6.25%, 10/24/15 POL PLN 14,342,599 0.77 15,062,000,000 Korea Monetary Stabilization Bond, senior bond, 2.81%, 10/02/15 KOR KRW 13,846,915 0.75 1,841,310 Government of Mexico, 8.00%, 12/17/15 MEX MXN 13,044,257 0.70 34,100,000 Bank of Negara Monetary Note, 0.00%, 04/28/15 MYS MYR 9,649,135 0.52 10,270,000 Monetary Authority of Singapore Treasury Bill, 0.00%, 01/20/15 SGP SGD 7,749,648 0.42 24,430,000 Government of Malaysia, 3.197%, 10/15/15 MYS MYR 6,976,437 0.38 21,840,000 Bank of Negara Monetary Note, 0.00%, 05/19/15 MYS MYR 6,168,168 0.33 20,750,000 Bank of Negara Monetary Note, 0.00%, 03/24/15 MYS MYR 5,890,531 0.32 852,820 Government of Mexico, 6.00%, 06/18/15 MEX MXN 5,859,769 0.32 8,476,340 Mexico Treasury Bill, 0.00%, 06/11/15 MEX MXN 5,669,767 0.31 39,760,000 Government of Sweden, 4.50%, 08/12/15 SWE SEK 5,233,198 0.28 4,893,500,000 Korea Monetary Stabilization Bond, senior note, 2.76%, 06/02/15 KOR KRW 4,486,687 0.24 4,817,980,000 Korea Monetary Stabilization Bond, senior bond, 2.47%, 04/02/15 KOR KRW 4,409,459 0.24 4,533 Nota Do Tesouro Nacional, Index Linked, 6.00%, 05/15/15 BRA BRL 4,327,358 0.23 4,561,130,000 Korea Treasury Bond, senior note, 2.75%, 12/10/15 KOR KRW 4,196,485 0.23 13,400,000 Bank of Negara Monetary Note, 0.00%, 01/20/15 MYS MYR 3,826,157 0.21 4,067,100,000 Korea Monetary Stabilization Bond, senior note, 2.74%, 02/02/15 KOR KRW 3,720,361 0.20 4,159,000 Canada Treasury Bill, 0.00%, 02/12/15 CAN CAD 3,577,832 0.19 5,231,900 Mexico Treasury Bill, 0.00%, 04/16/15 MEX MXN 3,516,613 0.19 11,573,000 Government of Malaysia, 4.72%, 09/30/15 MYS MYR 3,342,120 0.18 4,813,950 Mexico Treasury Bill, 0.00%, 11/12/15 MEX MXN 3,174,151 0.17 4,648,080 Mexico Treasury Bill, 0.00%, 03/12/15 MEX MXN 3,133,656 0.17 3,571,000 Government of Canada, 1.00%, 02/01/15 CAN CAD 3,075,135 0.17 3,510,000 Monetary Authority of Singapore Treasury Bill, 0.00%, 02/13/15 SGP SGD 2,647,549 0.14 9,180,000 Bank of Negara Monetary Note, 0.00%, 02/17/15 MYS MYR 2,614,456 0.14 9,030,000 Government of Malaysia, 3.835%, 08/12/15 MYS MYR 2,590,072 0.14 8,570,000 Bank of Negara Monetary Note, 0.00%, 05/28/15 MYS MYR 2,418,375 0.13 3,527,070 Mexico Treasury Bill, 0.00%, 09/17/15 MEX MXN 2,337,467 0.13 7,240,000 Bank of Negara Monetary Note, 0.00%, 04/23/15 MYS MYR 2,049,604 0.11 3,038,290 Mexico Treasury Bill, 0.00%, 10/01/15 MEX MXN 2,011,275 0.11 6,030,000 Bank of Negara Monetary Note, 0.00%, 01/22/15 MYS MYR 1,721,443 0.09 5,915,000 Bank of Negara Monetary Note, 0.00%, 01/08/15 MYS MYR 1,690,778 0.09 5,690,000 Bank of Negara Monetary Note, 0.00%, 08/11/15 MYS MYR 1,594,827 0.09 1,803,000 Canada Treasury Bill, 0.00%, 03/12/15 CAN CAD 1,550,104 0.08 2,280,740 Mexico Treasury Bill, 0.00%, 06/25/15 MEX MXN 1,523,716 0.08 1,882,250 Mexico Treasury Bill, 0.00%, 03/19/15 MEX MXN 1,268,598 0.07 1,570,000 Monetary Authority of Singapore Treasury Bill, 0.00%, 01/02/15 SGP SGD 1,185,084 0.06 3,400 Letra Tesouro Nacional, Strip, 10/01/15 BRA BRL 1,169,226 0.06 1,223,830,000 Korea Monetary Stabilization Bond, senior bond, 2.80%, 08/02/15 KOR KRW 1,123,604 0.06 3,820,000 Government of Malaysia, 3.741%, 02/27/15 MYS MYR 1,093,220 0.06 136,400,000 Government of Sri Lanka, A, 11.00%, 08/01/15 LKA LKR 1,069,513 0.06 3,430,000 Bank of Negara Monetary Note, 0.00%, 03/03/15 MYS MYR 975,615 0.05 3,370,000 Bank of Negara Monetary Note, 0.00%, 03/05/15 MYS MYR 958,375 0.05 3,070,000 Bank of Negara Monetary Note, 0.00%, 07/16/15 MYS MYR 862,304 0.05 3,020,000 Bank of Negara Monetary Note, 0.00%, 06/04/15 MYS MYR 851,663 0.05 2,850,000 Bank of Negara Monetary Note, 0.00%, 05/05/15 MYS MYR 805,931 0.04 875,150,000 Korea Monetary Stabilization Bond, senior note, 2.66%, 06/09/15 KOR KRW 802,133 0.04 2,620,000 Bank of Negara Monetary Note, 0.00%, 02/10/15 MYS MYR 746,661 0.04 2,492,000 Government of Poland, 5.50%, 04/25/15 POL PLN 712,628 0.04 2,360,000 Bank of Negara Monetary Note, 0.00%, 08/18/15 MYS MYR 661,050 0.03 2,330,000 Bank of Negara Monetary Note, 0.00%, 04/16/15 MYS MYR 660,037 0.03 964,320 Mexico Treasury Bill, 0.00%, 12/10/15 MEX MXN 633,714 0.03 621,800,000 Korea Monetary Stabilization Bond, 0.00%, 01/13/15 KOR KRW 568,242 0.03 1,993,000 Government of Poland, Strip, 07/25/15 POL PLN 557,895 0.03 720,000 Monetary Authority of Singapore Treasury Bill, 0.00%, 02/23/15 SGP SGD 542,979 0.03 555,000 Government of Canada, 1.50%, 08/01/15 CAN CAD 479,334 0.03 521,000,000 Korea Treasury Bond, senior note, 3.25%, 06/10/15 KOR KRW 478,745 0.03 490,000 Canada Treasury Bill, 0.00%, 04/23/15 CAN CAD 420,776 0.02 1,500,000 Bank of Negara Monetary Note, 0.00%, 10/01/15 MYS MYR 418,130 0.02 431,800,000 Korea Monetary Stabilization Bond, senior note, 2.13%, 10/08/15 KOR KRW 394,970 0.02 1,390,000 Bank of Negara Monetary Note, 0.00%, 08/04/15 MYS MYR 389,852 0.02 15,840,000 Philippine Treasury Bill, 0.00%, 10/07/15 PHL PHP 348,544 0.02 460,000 Monetary Authority of Singapore Treasury Bill, 0.00%, 01/09/15 SGP SGD 347,179 0.02


Number of shares or



Market value

% ofnet

assets





Securities Maturing Within One Year (continued) 1,160,000 Bank of Negara Monetary Note, 0.00%, 06/16/15 MYS MYR 326,767 0.02 1,130,000 Bank of Negara Monetary Note, 0.00%, 06/30/15 MYS MYR 317,870 0.02 1,070,000 Bank of Negara Monetary Note, 0.00%, 09/08/15 MYS MYR 299,132 0.02 12,240,000 Philippine Treasury Bill, 0.00%, 12/02/15 PHL PHP 268,537 0.01 700,000 Bank of Negara Monetary Note, 0.00%, 09/22/15 MYS MYR 195,295 0.01 48,730,000 Government of Hungary, 7.75%, 08/24/15 HUN HUF 193,539 0.01 24,240,000 Government of Sri Lanka, A, 6.50%, 07/15/15 LKA LKR 185,388 0.01 550,000 Bank of Negara Monetary Note, 0.00%, 06/03/15 MYS MYR 155,118 0.01 40,260,000 Government of Hungary, A, 8.00%, 02/12/15 HUN HUF 154,927 0.01 6,470,000 Philippine Treasury Bill, 0.00%, 06/03/15 PHL PHP 143,329 0.01 205,030 Mexico Treasury Bill, Strip, 05/28/15 MEX MXN 137,380 0.01 480,000 Bank of Negara Monetary Note, 0.00%, 04/07/15 MYS MYR 136,087 0.01 450,000 Bank of Negara Monetary Note, 0.00%, 03/12/15 MYS MYR 127,888 0.01 440,000 Bank of Negara Monetary Note, 0.00%, 11/03/15 MYS MYR 122,265 0.01 4,940,000 Philippine Treasury Bill, 0.00%, 11/04/15 PHL PHP 108,540 0.01 12,980,000 Government of Sri Lanka, A, 8.50%, 11/01/15 LKA LKR 100,753 0.01 4,260,000 Philippine Treasury Bill, 0.00%, 05/06/15 PHL PHP 94,515 0.01 100,000 Government of Ukraine, senior bond, Reg S, 4.95%, 10/13/15 UKR EUR 82,246 0.00 220,000 Bank of Negara Monetary Note, 0.00%, 10/27/15 MYS MYR 61,173 0.00 1,940,000 Philippine Treasury Bill, 0.00%, 09/02/15 PHL PHP 42,767 0.00 1,590,000 Philippine Treasury Bill, 0.00%, 04/08/15 PHL PHP 35,330 0.00 15,400 Mexico Treasury Bill, 0.00%, 07/23/15 MEX MXN 10,261 0.00 860,000 Government of Sri Lanka, A, 11.75%, 03/15/15 LKA LKR 6,631 0.00 100,000 Philippine Treasury Bill, 0.00%, 08/05/15 PHL PHP 2,208 0.00 20,000 Philippine Treasury Bill, 0.00%, 07/08/15 PHL PHP 442 0.00

252,913,738 13.66

TOTAL BONDS 515,834,500 27.86



SHARES Diversified Financial Services 232,000 Hightower Holding LLC, pfd., A, 2 ** USA USD 539,725 0.03 230,000 Hightower Holding LLC, pfd., A ** USA USD 248,745 0.01

788,470 0.04


BONDS Corporate Bonds 1,601,000 NewPage Corp., Escrow Account ** USA USD 0 0.00

TOTAL BONDS 0 0.00



† Floating Rates are indicated as at December 31, 2014 ** These securities are submitted to a Fair Valuation ‡ Income may be received in additional securities and/or cash


Number of shares or



Market value

% ofnet

assets





TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET BONDS Government and Municipal Bonds 900,000 U.S. Treasury Note, 0.375%, 01/15/16 USA USD 900,808 5.09 800,000 U.S. Treasury Note, 1.875%, 08/31/17 USA USD 818,406 4.62 800,000 U.S. Treasury Note, 1.00%, 08/31/16 USA USD 805,828 4.55 550,000 Italy Treasury Bond, Reg S, 3.50%, 03/01/30 ITA EUR 744,195 4.20 450,000 United Kingdom Treasury Bond, Reg S, 4.00%, 09/07/16 GBR GBP 743,230 4.20 550,000 Government of Germany, 1.50%, 02/15/23 DEU EUR 729,095 4.12 450,000 Italy Treasury Bond, senior bond, Reg S, 4.75%, 09/01/28 ITA EUR 689,176 3.89 500,000 Government of Finland, senior bond, Reg S, 2.00%, 04/15/24 FIN EUR 678,973 3.83 600,000 U.S. Treasury Note, 2.625%, 11/15/20 USA USD 626,227 3.54 450,000 U.S. Treasury Bond, 4.375%, 11/15/39 USA USD 590,485 3.34 550,000 Queensland Treasury Corp., senior bond, Reg S, 5.75%, 07/22/24 AUS AUD 545,689 3.08 350,000 Italy Treasury Bond, senior bond, 5.50%, 09/01/22 ITA EUR 543,763 3.07 300,000 Government of Spain, senior note, Reg S, 5.15%, 10/31/28 ESP EUR 487,338 2.75 1,150,000 Government of Poland, 5.75%, 04/25/29 POL PLN 442,278 2.50 450,000 Government of Canada, 2.75%, 06/01/22 CAN CAD 418,464 2.36 400,000 Queensland Treasury Corp., senior note, Reg S, 6.00%, 07/21/22 AUS AUD 395,306 2.23 1,300,000 Government of Poland, 3.25%, 07/25/25 POL PLN 392,246 2.22 50,000 Government of Mexico, 8.00%, 12/07/23 MEX MXN 391,291 2.21 450,000 Government of Singapore, 2.375%, 04/01/17 SGP SGD 352,225 1.99 250,000 Government of France, 2.25%, 05/25/24 FRA EUR 344,228 1.94 900,000 Government of Poland, 4.00%, 10/25/23 POL PLN 286,459 1.62 1,000,000 Government of Malaysia, senior note, 3.654%, 10/31/19 MYS MYR 283,855 1.60 200,000 Government of the Netherlands, Reg S, 4.50%, 07/15/17 NLD EUR 269,745 1.52 200,000 Government of France, 1.75%, 11/25/24 FRA EUR 263,433 1.49 200,000 Government of Peru, senior bond, 6.55%, 03/14/37 PER USD 260,279 1.47 35,000 Government of Mexico, 7.75%, 12/14/17 MEX MXN 259,646 1.47 200,000 Government of Lithuania, senior note, Reg S, 6.625%, 02/01/22 LTU USD 242,294 1.37 160,531 U.S. Treasury Bond, Index Linked, 3.375%, 04/15/32 USA USD 228,331 1.29 750,000 Government of Malaysia, senior bond, 4.24%, 02/07/18 MYS MYR 217,879 1.23 200,000 Government of Chile, 3.875%, 08/05/20 CHL USD 215,280 1.22 200,000 Government of Indonesia, Reg S, 4.875%, 05/05/21 IDN USD 212,668 1.20 179,455 U.S. Treasury Note, Index Linked, 2.00%, 01/15/16 USA USD 182,168 1.03 163,321 U.S. Treasury Note, Index Linked, 1.25%, 07/15/20 USA USD 171,729 0.97 100,000 Government of Mexico, senior bond, 5.95%, 03/19/19 MEX USD 113,548 0.64

14,846,565 83.85

Securities Maturing Within One Year 800,000 U.S. Treasury Note, 2.125%, 05/31/15 USA USD 806,625 4.56 250,000 United Kingdom Treasury Note, Reg S, 2.75%, 01/22/15 GBR GBP 390,201 2.20 900,000 Government of Malaysia, 3.197%, 10/15/15 MYS MYR 257,012 1.45 186,534 U.S. Treasury Note, Index Linked, 1.625%, 01/15/15 USA USD 186,243 1.05 150,000 Government of Germany, 2.25%, 04/10/15 DEU EUR 182,616 1.03

1,822,697 10.29

TOTAL BONDS 16,669,262 94.14



— Franklin Global Government Bond Fund —

Number of shares or



Market value

% ofnet

assets





— Franklin Global Growth Fund —

TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Aerospace & Defense 55,000 MTU Aero Engines AG DEU EUR 4,802,248 2.43

Banks 49,000 Signature Bank USA USD 6,172,040 3.12 77,000 Bank of Nova Scotia CAN CAD 4,396,874 2.23 235,000 United Overseas Bank Ltd. SGP SGD 4,351,261 2.20

14,920,175 7.55

Biotechnology 84,000 Alkermes PLC USA USD 4,919,040 2.49 52,000 CSL Ltd. AUS AUD 3,680,260 1.86

8,599,300 4.35

Capital Markets 790,000 Aberdeen Asset Management PLC GBR GBP 5,321,994 2.70 16,500 Partners Group Holding AG CHE CHF 4,804,617 2.43

10,126,611 5.13

Chemicals 16,000 Syngenta AG CHE CHF 5,149,869 2.61 53,000 W.R. Grace & Co. USA USD 5,055,670 2.56 33,000 Praxair Inc. USA USD 4,275,480 2.16

14,481,019 7.33

Consumer Finance 65,000 Discover Financial Services USA USD 4,256,850 2.15

Diversified Financial Services 22,000 Intercontinental Exchange Inc. USA USD 4,824,380 2.44

Diversified Telecommunication Services 118,000 Level 3 Communications Inc. USA USD 5,826,840 2.95

Electrical Equipment 50,000 Rockwell Automation Inc. USA USD 5,560,000 2.81

Energy Equipment & Services 64,000 Schlumberger Ltd. USA USD 5,466,240 2.77 93,000 FMC Technologies Inc. USA USD 4,356,120 2.20

9,822,360 4.97

Health Care Equipment & Supplies 73,000 Cochlear Ltd. AUS AUD 4,631,270 2.34

Health Care Providers & Services 103,000 Catamaran Corp. USA USD 5,330,250 2.70

Health Care Technology 46,000 athenahealth Inc. USA USD 6,702,200 3.39

Hotels, Restaurants & Leisure 8,500 Chipotle Mexican Grill Inc. USA USD 5,818,335 2.95


Industrial Conglomerates 63,000 Danaher Corp. USA USD 5,399,730 2.73

Internet & Catalog Retail 5,200 The Priceline Group Inc. USA USD 5,929,092 3.00

Internet Software & Services 25,000 MercadoLibre Inc. ARG USD 3,191,750 1.62

IT Services 20,500 Visa Inc., A USA USD 5,375,100 2.72

Leisure Products 35,000 Polaris Industries Inc. USA USD 5,293,400 2.68

Media 110,000 Discovery Communications Inc., A USA USD 3,789,500 1.92 65,000 Discovery Communications Inc., C USA USD 2,191,800 1.11

5,981,300 3.03

Pharmaceuticals 19,000 Roche Holding AG CHE CHF 5,158,016 2.61

Number of shares or



Market value

% ofnet

assets





Professional Services 2,900 SGS SA CHE CHF 5,965,097 3.02 84,000 Verisk Analytics Inc., A USA USD 5,380,200 2.72

11,345,297 5.74

Semiconductors & Semiconductor Equipment 340,000 ARM Holdings PLC GBR GBP 5,273,082 2.67 28,000 ASML Holding NV NLD EUR 3,032,260 1.53

8,305,342 4.20

Software 70,000 Adobe Systems Inc. USA USD 5,089,000 2.58 67,000 Dassault Systemes SA FRA EUR 4,097,278 2.07

9,186,278 4.65

Technology Hardware, Storage & Peripherals 40,000 Apple Inc. USA USD 4,415,200 2.24

Textiles, Apparel & Luxury Goods 185,000 Burberry Group PLC GBR GBP 4,717,561 2.39

Trading Companies & Distributors 6,800,000 Noble Group Ltd. HKG SGD 5,851,449 2.96

TOTAL SHARES 190,480,224 96.40



— Franklin Global Growth Fund —

Number of shares or



Market value

% ofnet

assets





— Franklin Global Growth and Value Fund —

TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Aerospace & Defense 10,000 MTU Aero Engines AG DEU EUR 873,136 1.29

Air Freight & Logistics 54,680 TNT Express NV NLD EUR 366,608 0.54

Airlines 162,226 Qantas Airways Ltd. AUS AUD 317,898 0.47 15,930 Deutsche Lufthansa AG DEU EUR 266,577 0.40

584,475 0.87

Auto Components 3,120 Cie Generale des Etablissements Michelin, B FRA EUR 284,159 0.42 690 Hyundai Mobis Co. Ltd. KOR KRW 148,881 0.22 7,400 Unipres Corp. JPN JPY 122,402 0.18

555,442 0.82

Automobiles 47,800 Nissan Motor Co. Ltd. JPN JPY 421,653 0.62 4,900 Toyota Motor Corp. JPN JPY 309,069 0.46 7,300 General Motors Co. USA USD 254,843 0.38

985,565 1.46

Banks 9,000 Signature Bank USA USD 1,133,640 1.68 44,000 United Overseas Bank Ltd. SGP SGD 814,704 1.21 13,500 Bank of Nova Scotia CAN CAD 770,881 1.14 10,700 BNP Paribas SA FRA EUR 637,769 0.94 10,238 Citigroup Inc. USA USD 553,978 0.82 7,810 JPMorgan Chase & Co. USA USD 488,750 0.72 51,370 HSBC Holdings PLC GBR GBP 487,309 0.72 27,270 Credit Agricole SA FRA EUR 355,044 0.53 54,674 UniCredit SpA ITA EUR 352,940 0.52 10,070 Hana Financial Group Inc. KOR KRW 294,617 0.44 17,600 DBS Group Holdings Ltd. SGP SGD 273,671 0.41 19,704 ING Groep NV, IDR NLD EUR 258,207 0.38 47,630 Barclays PLC GBR GBP 180,777 0.27

6,602,287 9.78

Beverages 9,800 Suntory Beverage & Food Ltd. JPN JPY 341,047 0.51

Biotechnology 14,700 Alkermes PLC USA USD 860,832 1.28 10,000 CSL Ltd. AUS AUD 707,742 1.05 4,210 Amgen Inc. USA USD 670,611 0.99 5,310 Gilead Sciences Inc. USA USD 500,521 0.74

2,739,706 4.06

Building Products 7,650 Compagnie de Saint-Gobain FRA EUR 326,106 0.48

Capital Markets 150,000 Aberdeen Asset Management PLC GBR GBP 1,010,505 1.50 3,000 Partners Group Holding AG CHE CHF 873,567 1.29 7,670 Morgan Stanley USA USD 297,596 0.44 8,850 Credit Suisse Group AG CHE CHF 223,253 0.33 36,272 MLP AG DEU EUR 162,828 0.24

2,567,749 3.80

Chemicals 2,900 Syngenta AG CHE CHF 933,414 1.38 9,000 W.R. Grace & Co. USA USD 858,510 1.27 5,400 Praxair Inc. USA USD 699,624 1.04 5,590 Akzo Nobel NV NLD EUR 389,939 0.58 8,670 Chemtura Corp. USA USD 214,409 0.32 3,320 The Dow Chemical Co. USA USD 151,425 0.22

3,247,321 4.81

Commercial Services & Supplies 4,820 The ADT Corp. USA USD 174,629 0.26


Consumer Finance 12,500 Discover Financial Services USA USD 818,625 1.21 3,500 Capital One Financial Corp. USA USD 288,925 0.43

1,107,550 1.64

Number of shares or



Market value

% ofnet

assets





Diversified Financial Services 3,600 Intercontinental Exchange Inc. USA USD 789,444 1.17 7,500 Voya Financial Inc. USA USD 317,850 0.47

1,107,294 1.64

Diversified Telecommunication Services 20,200 Level 3 Communications Inc. USA USD 997,476 1.48 795,330 China Telecom Corp. Ltd., H CHN HKD 461,569 0.68 25,943 Telefonica SA ESP EUR 374,181 0.55 120,690 Singapore Telecommunications Ltd. SGP SGD 355,292 0.53 15,630 Telenor ASA NOR NOK 316,952 0.47

2,505,470 3.71

Electrical Equipment 8,700 Rockwell Automation Inc. USA USD 967,440 1.43

Electronic Equipment, Instruments & Components 400,000 Digital China Holdings Ltd. CHN HKD 371,424 0.55 10,660 Knowles Corp. USA USD 251,043 0.37

622,467 0.92

Energy Equipment & Services 11,000 Schlumberger Ltd. USA USD 939,510 1.39 16,500 FMC Technologies Inc. USA USD 772,860 1.14 15,660 Noble Corp. PLC USA USD 259,486 0.38 3,600 Technip SA FRA EUR 215,252 0.32 4,385 Saipem SpA ITA EUR 46,506 0.07 770 Halliburton Co. USA USD 30,284 0.05

2,263,898 3.35

Food & Staples Retailing 5,750 CVS Health Corp. USA USD 553,782 0.82 10,060 Metro AG DEU EUR 308,089 0.46 91,910 Tesco PLC GBR GBP 270,762 0.40

1,132,633 1.68

Food Products 477,000 China Agri-Industries Holdings Ltd. CHN HKD 191,318 0.28

Health Care Equipment & Supplies 11,500 Cochlear Ltd. AUS AUD 729,584 1.08 7,590 Medtronic Inc. USA USD 547,998 0.81

1,277,582 1.89

Health Care Providers & Services 18,000 Catamaran Corp. USA USD 931,500 1.38 122,700 Shanghai Pharmaceuticals Holding Co. Ltd., H CHN HKD 276,923 0.41

1,208,423 1.79

Health Care Technology 7,500 athenahealth Inc. USA USD 1,092,750 1.62

Hotels, Restaurants & Leisure 1,500 Chipotle Mexican Grill Inc. USA USD 1,026,765 1.52

Household Durables 2,687 LG Electronics Inc. KOR KRW 145,189 0.22

Household Products 9,500 Reckitt Benckiser Group PLC GBR GBP 771,479 1.14

Industrial Conglomerates 11,000 Danaher Corp. USA USD 942,810 1.40 1,070 Siemens AG DEU EUR 121,378 0.18

1,064,188 1.58

Insurance 102,000 China Life Insurance Co. Ltd., H CHN HKD 398,584 0.59 6,260 American International Group Inc. USA USD 350,623 0.52 13,046 AXA SA FRA EUR 303,164 0.45 39,640 Aviva PLC GBR GBP 299,357 0.44 32,220 Aegon NV NLD EUR 244,015 0.36 5,810 The Hartford Financial Services Group Inc. USA USD 242,219 0.36 2,337 Swiss Re AG CHE CHF 196,630 0.29 6,070 NN Group NV NLD EUR 182,479 0.27 14,600 UNIQA Insurance Group AG AUT EUR 137,388 0.21

2,354,459 3.49

Internet & Catalog Retail 900 The Priceline Group Inc. USA USD 1,026,189 1.52


Number of shares or



Market value

% ofnet

assets





Internet Software & Services 4,700 MercadoLibre Inc. ARG USD 600,049 0.89

IT Services 3,600 Visa Inc., A USA USD 943,920 1.40

Leisure Products 6,200 Polaris Industries Inc. USA USD 937,688 1.39

Life Sciences Tools & Services 8,480 QIAGEN NV NLD EUR 198,649 0.29

Machinery 3,250 Stanley Black & Decker Inc. USA USD 312,260 0.46 73,000 Weichai Power Co. Ltd., H CHN HKD 306,915 0.45 4,580 Navistar International Corp. USA USD 153,338 0.23

772,513 1.14

Media 20,000 Discovery Communications Inc., A USA USD 689,000 1.02 11,830 Twenty-First Century Fox Inc., A USA USD 454,331 0.68 24,650 News Corp., A USA USD 386,758 0.57 6,600 Comcast Corp., Special A USA USD 379,929 0.56 9,800 Discovery Communications Inc., C USA USD 330,456 0.49 19,800 Sky PLC GBR GBP 277,452 0.41

2,517,926 3.73

Metals & Mining 7,820 Allegheny Technologies Inc. USA USD 271,901 0.40

Multiline Retail 8,370 Macy’s Inc. USA USD 550,327 0.82 46,190 Marks & Spencer Group PLC GBR GBP 344,719 0.51

895,046 1.33

Oil, Gas & Consumable Fuels 24,976 Eni SpA ITA EUR 438,506 0.65 8,430 Total SA, B FRA EUR 433,717 0.64 39,650 Talisman Energy Inc. CAN CAD 310,712 0.46 30,280 Galp Energia SGPS SA, B PRT EUR 308,902 0.46 164,000 Kunlun Energy Co. Ltd. CHN HKD 155,668 0.23 18,910 Petroleo Brasileiro SA, ADR, pfd. BRA USD 143,338 0.21 3,000 Suncor Energy Inc. CAN CAD 95,328 0.14

1,886,171 2.79

Pharmaceuticals 5,810 Roche Holding AG CHE CHF 1,577,267 2.33 10,843 Teva Pharmaceutical Industries Ltd., ADR ISR USD 623,581 0.92 2,050 Actavis PLC USA USD 527,691 0.78 24,650 H. Lundbeck AS DNK DKK 491,807 0.73 4,872 Sanofi FRA EUR 446,025 0.66 3,620 Merck KGaA DEU EUR 343,495 0.51 11,320 GlaxoSmithKline PLC GBR GBP 242,788 0.36 2,170 UCB SA BEL EUR 165,944 0.25

4,418,598 6.54

Professional Services 510 SGS SA CHE CHF 1,049,034 1.55 16,300 Verisk Analytics Inc., A USA USD 1,044,015 1.55

2,093,049 3.10

Semiconductors & Semiconductor Equipment 61,500 ARM Holdings PLC GBR GBP 953,807 1.41 5,000 ASML Holding NV NLD EUR 541,475 0.80

1,495,282 2.21

Software 13,000 Adobe Systems Inc. USA USD 945,100 1.40 19,210 Microsoft Corp. USA USD 892,304 1.32 12,000 Dassault Systemes SA FRA EUR 733,841 1.09 4,430 SAP SE DEU EUR 312,291 0.46

2,883,536 4.27

Specialty Retail 6,840 Best Buy Co. Inc. USA USD 266,623 0.39 41,930 Kingfisher PLC GBR GBP 222,538 0.33

489,161 0.72


Number of shares or



Market value

% ofnet

assets





Technology Hardware, Storage & Peripherals 6,800 Apple Inc. USA USD 750,584 1.11 511 Samsung Electronics Co. Ltd. KOR KRW 619,969 0.92 9,060 Hewlett-Packard Co. USA USD 363,578 0.54 19,000 Konica Minolta Inc. JPN JPY 210,098 0.31

1,944,229 2.88

Textiles, Apparel & Luxury Goods 34,500 Burberry Group PLC GBR GBP 879,761 1.30

Trading Companies & Distributors 1,180,000 Noble Group Ltd. HKG SGD 1,015,399 1.50

Wireless Telecommunication Services 115,657 Vodafone Group PLC GBR GBP 401,381 0.59 23,500 China Mobile Ltd. CHN HKD 274,886 0.41

676,267 1.00

TOTAL SHARES 64,545,614 95.57




Number of shares or



Market value

% ofnet

assets





TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Consumer Finance 3,500 GMAC Capital Trust I, 8.125%, pfd. USA USD 92,330 0.10



TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET SHARES Paper & Forest Products 100 NewPage Holdings Inc. USA USD 9,075 0.01


Corporate Bonds 1,800,000 HCA Inc., senior note, 5.875%, 05/01/23 USA USD 1,901,250 2.01 2,000,000 Sprint Nextel Corp., senior note, 6.00%, 11/15/22 USA USD 1,847,500 1.95 1,400,000 CCO Holdings LLC/CCO Holdings Capital Corp., senior bond,

5.25%, 09/30/22 USA USD 1,401,750 1.48 1,400,000 Intelsat Jackson Holdings SA, senior bond, 5.50%, 08/01/23 LUX USD 1,395,625 1.47 1,200,000 CSC Holdings LLC, senior note, 144A, 5.25%, 06/01/24 USA USD 1,209,000 1.28 1,400,000 FMG Resources (August 2006) Pty. Ltd., senior note, 144A,

6.875%, 04/01/22 AUS USD 1,170,750 1.24 1,300,000 Peabody Energy Corp., senior note, 6.25%, 11/15/21 USA USD 1,116,375 1.18 1,200,000 First Quantum Minerals Ltd., senior note, 144A, 7.00%, 02/15/21 CAN USD 1,086,000 1.15 1,000,000 First Data Corp., senior secured bond, second lien, 144A,

8.25%, 01/15/21 USA USD 1,075,000 1.13 1,000,000 CHS/Community Health Systems Inc., senior note, 5.125%, 08/01/21 USA USD 1,064,375 1.12 1,000,000 DaVita HealthCare Partners Inc., senior bond, 5.125%, 07/15/24 USA USD 1,021,875 1.08 1,000,000 Alere Inc., senior sub. note, 6.50%, 06/15/20 USA USD 1,012,500 1.07 1,000,000 Valeant Pharmaceuticals International Inc., senior note, 144A,

5.625%, 12/01/21 USA USD 1,010,000 1.07 1,000,000 Blackboard Inc., senior note, 144A, 7.75%, 11/15/19 USA USD 1,007,500 1.06 1,000,000 Frontier Communications Corp., senior note, 7.875%, 01/15/27 USA USD 1,002,500 1.06 1,000,000 JPMorgan Chase & Co., junior sub. bond, R, 6.00% to 08/01/23,

FRN thereafter, Perpetual USA USD 992,500 1.05 900,000 CenturyLink Inc., senior bond, 6.75%, 12/01/23 USA USD 988,875 1.04 1,000,000 Citigroup Inc., junior sub. bond, M, 6.30% to 05/15/24,

FRN thereafter, Perpetual USA USD 987,500 1.04 1,000,000 Sabine Pass Liquefaction LLC, first lien, 5.625%, 04/15/23 USA USD 982,500 1.04 1,000,000 Eldorado Gold Corp., senior note, 144A, 6.125%, 12/15/20 CAN USD 975,000 1.03 1,000,000 DISH DBS Corp., senior bond, 5.00%, 03/15/23 USA USD 970,000 1.02 1,000,000 InterGen NV, secured bond, 144A, 7.00%, 06/30/23 NLD USD 955,000 1.01 800,000 Wind Acquisition Finance SA, senior note, Reg S, 7.00%, 04/23/21 ITA EUR 950,992 1.00 1,000,000 BMC Software Finance Inc., senior note, 144A, 8.125%, 07/15/21 USA USD 945,000 1.00 900,000 WMG Acquisition Corp., senior note, 144A, 5.625%, 04/15/22 USA USD 875,250 0.92 900,000 Taylor Morrison Communities Inc./Monarch Communities Inc.,

senior note, 144A, 5.625%, 03/01/24 USA USD 873,000 0.92 700,000 Algeco Scotsman Global Finance PLC, secured note, Reg S,

9.00%, 10/15/18 GBR EUR 861,293 0.91 1,000,000 Linn Energy LLC/Finance Corp., senior note, 6.25%, 11/01/19 USA USD 855,000 0.90 800,000 Landry’s Inc., senior note, 144A, 9.375%, 05/01/20 USA USD 852,000 0.90 800,000 Alcatel-Lucent USA Inc., senior note, 144A, 6.75%, 11/15/20 FRA USD 848,400 0.90 800,000 Sirius XM Radio Inc., senior bond, 144A, 6.00%, 07/15/24 USA USD 822,000 0.87 800,000 Energy Transfer Equity LP, senior bond, first lien, 5.875%, 01/15/24 USA USD 816,000 0.86 800,000 Calpine Corp., senior bond, 5.75%, 01/15/25 USA USD 811,000 0.86 800,000 Hub Holdings LLC/Hub Holdings Finance Inc., senior note, 144A, PIK,

8.125%, 07/15/19 ‡ USA USD 796,000 0.84 800,000 LMI Aerospace Inc., senior secured note, second lien, 144A,

7.375%, 07/15/19 USA USD 784,000 0.83 700,000 Tenet Healthcare Corp., senior note, 8.125%, 04/01/22 USA USD 784,000 0.83 1,000,000 BreitBurn Energy Partners LP/BreitBurn Finance Corp., senior bond,

7.875%, 04/15/22 USA USD 777,500 0.82 800,000 Stena AB, senior bond, 144A, 7.00%, 02/01/24 SWE USD 734,000 0.77 1,000,000 Atlas Energy Holdings Operating Co. LLC/Atlas Resource Finance Corp.,

senior note, 7.75%, 01/15/21 USA USD 730,000 0.77 700,000 ArcelorMittal, senior note, 5.50%, 03/01/21 LUX USD 725,455 0.77 700,000 Reynolds Group Issuer Inc./LLC/SA, senior note, 8.25%, 02/15/21 USA USD 721,000 0.76 700,000 T-Mobile USA Inc., senior note, 6.125%, 01/15/22 USA USD 713,125 0.75 700,000 Regency Energy Partners LP/Regency Energy Finance Corp.,

senior note, 5.875%, 03/01/22 USA USD 701,750 0.74 700,000 NOVA Chemicals Corp., senior bond, 144A, 5.00%, 05/01/25 CAN USD 696,500 0.74 700,000 Navient Corp., senior note, 6.125%, 03/25/24 USA USD 689,500 0.73 500,000 UPC Holding BV, senior note, Reg S, 6.75%, 03/15/23 NLD EUR 663,295 0.70

— Franklin Global High Income Bond Fund —

Number of shares or



Market value

% ofnet

assets





Corporate Bonds (continued) 800,000 Gaz Capital SA, (OJSC Gazprom), loan participation, senior note, 144A,

3.85%, 02/06/20 RUS USD 662,084 0.70 700,000 Martin Midstream Partners LP/Martin Midstream Finance Corp.,

senior note, 7.25%, 02/15/21 USA USD 661,500 0.70 500,000 Ceramtec Group GmbH, senior note, Reg S, 8.25%, 08/15/21 DEU EUR 654,534 0.69 900,000 Offshore Group Investment Ltd., senior bond, first lien, 7.125%, 04/01/23 USA USD 648,000 0.68 800,000 24 Hour Holdings III LLC, senior note, 144A, 8.00%, 06/01/22 USA USD 644,000 0.68 800,000 LUKOIL International Finance BV, senior note, 144A, 4.563%, 04/24/23 RUS USD 640,104 0.68 500,000 Avis Budget Finance PLC, senior note, Reg S, 6.00%, 03/01/21 USA EUR 637,519 0.67 900,000 Ocean Rig UDW Inc., senior note, 144A, 7.25%, 04/01/19 USA USD 636,188 0.67 600,000 Millicom International Cellular SA, senior note, 144A, 6.625%, 10/15/21 LUX USD 616,875 0.65 800,000 Memorial Production Partners LP/Memorial Production Finance Corp.,

senior note, 144A, 6.875%, 08/01/22 USA USD 612,000 0.65 600,000 MGM Resorts International, senior note, 6.00%, 03/15/23 USA USD 606,000 0.64 700,000 Ultra Petroleum Corp., senior bond, 144A, 6.125%, 10/01/24 USA USD 605,500 0.64 600,000 Ardagh Packaging Finance PLC/Ardagh MP Holdings USA Inc.,

senior note, 144A, 6.75%, 01/31/21 LUX USD 593,625 0.63 600,000 iHeartCommunications Inc., senior secured bond, first lien,

9.00%, 03/01/21 USA USD 590,250 0.62 400,000 Odeon & UCI Finco PLC, senior secured note, Reg S, 9.00%, 08/01/18 GBR GBP 586,071 0.62 600,000 Digicel Group Ltd., senior note, 144A, 6.00%, 04/15/21 BMU USD 570,375 0.60 500,000 Galapagos Holding SA, senior note, Reg S, 7.00%, 06/15/22 DEU EUR 564,162 0.60 600,000 Sanchez Energy Corp., senior note, 7.75%, 06/15/21 USA USD 561,000 0.59 600,000 Memorial Resource Development Corp., senior note, 144A,

5.875%, 07/01/22 USA USD 544,500 0.57 1,000,000 Energy XXI Gulf Coast Inc., senior note, 144A, 6.875%, 03/15/24 USA USD 542,500 0.57 500,000 KB Home, senior bond, 7.50%, 09/15/22 USA USD 532,500 0.56 700,000 Halcon Resources Corp., senior note, 8.875%, 05/15/21 USA USD 530,250 0.56 700,000 American Energy-Permian Basin LLC/AEPB Finance Corp., senior note,

144A, 7.375%, 11/01/21 USA USD 518,000 0.55 500,000 JBS USA LLC/Finance Inc., senior note, 144A, 7.25%, 06/01/21 USA USD 517,500 0.55 500,000 OneMain Financial Holdings Inc., senior note, 144A, 7.25%, 12/15/21 USA USD 515,000 0.54 400,000 Play Finance 1 SA, senior note, Reg S, 6.50%, 08/01/19 LUX EUR 514,250 0.54 600,000 Clayton Williams Energy Inc., senior note, 7.75%, 04/01/19 USA USD 513,000 0.54 600,000 California Resources Corp., senior bond, 144A, 6.00%, 11/15/24 USA USD 510,000 0.54 800,000 Alpha Natural Resources Inc., second lien, 144A, 7.50%, 08/01/20 USA USD 506,000 0.53 300,000 Virgin Media Finance PLC, senior bond, Reg S, 6.375%, 10/15/24 GBR GBP 505,019 0.53 500,000 Post Holdings Inc., senior note, 7.375%, 02/15/22 USA USD 501,250 0.53 400,000 Rain CII Carbon LLC/CII Carbon Corp., second lien, Reg S,

8.50%, 01/15/21 USA EUR 500,940 0.53 500,000 Dole Food Co. Inc., senior secured note, 144A, 7.25%, 05/01/19 USA USD 499,375 0.53 300,000 Virgin Media Secured Finance PLC, senior secured note, Reg S,

5.50%, 01/15/25 GBR GBP 484,853 0.51 500,000 Polymer Group Inc., senior note, 144A, 6.875%, 06/01/19 USA USD 481,875 0.51 500,000 Ineos Group Holdings SA, senior note, 144A, 5.875%, 02/15/19 CHE USD 475,000 0.50 360,000 KM Germany Holdings GmbH, senior secured note, first lien, Reg S,

8.75%, 12/15/20 DEU EUR 473,715 0.50 400,000 Financiere Gaillon 8 SAS, senior note, Reg S, 7.00%, 09/30/19 FRA EUR 471,900 0.50 400,000 Iglo Foods Bondco PLC, senior secured note, first lien, Reg S, FRN,

4.582%, 06/15/20 † GBR EUR 469,040 0.50 700,000 W&T Offshore Inc., senior note, 8.50%, 06/15/19 USA USD 465,500 0.49 600,000 CGG SA, senior note, 6.50%, 06/01/21 FRA USD 459,000 0.48 600,000 Quicksilver Resources Inc., secured note, second lien, 144A, FRN,

7.00%, 06/21/19 † USA USD 448,500 0.47 400,000 Cemex Finance LLC, senior secured note, 144A, 9.375%, 10/12/22 MEX USD 448,000 0.47 500,000 Radio One Inc., senior sub. note, 144A, 9.25%, 02/15/20 USA USD 437,500 0.46 400,000 Frontier Communications Corp., senior bond, 7.625%, 04/15/24 USA USD 414,000 0.44 400,000 E*TRADE Financial Corp., senior note, 5.375%, 11/15/22 USA USD 410,000 0.43 400,000 Owens-Brockway Glass Container Inc., senior bond, 144A,

5.375%, 01/15/25 USA USD 404,500 0.43 450,000 Abengoa Finance SAU, senior note, 144A, 7.75%, 02/01/20 ESP USD 401,625 0.42 400,000 Cemex Finance LLC, senior secured note, first lien, 144A,

6.00%, 04/01/24 MEX USD 387,250 0.41 400,000 Ardagh Packaging Finance PLC/Ardagh MP Holdings USA Inc.,

senior note, 144A, 6.00%, 06/30/21 LUX USD 383,000 0.40 500,000 Caesars Entertainment Operating Co. Inc., senior secured note,

8.50%, 02/15/20 USA USD 380,000 0.40 400,000 Digicel Group Ltd., senior note, 144A, 7.125%, 04/01/22 BMU USD 378,000 0.40 900,000 Samson Investment Co., senior note, 9.75%, 02/15/20 USA USD 377,438 0.40 600,000 EnQuest PLC, senior note, 144A, 7.00%, 04/15/22 GBR USD 368,625 0.39 390,000 CHC Helicopter SA, senior note, 9.375%, 06/01/21 CAN USD 368,550 0.39 400,000 Barminco Finance Pty. Ltd., senior note, 144A, 9.00%, 06/01/18 AUS USD 360,250 0.38 700,000 Midstates Petroleum Co. Inc./LLC, senior note, 9.25%, 06/01/21 USA USD 357,000 0.38


Number of shares or



Market value

% ofnet

assets





Corporate Bonds (continued) 500,000 Texas Competitive Electric Holdings Co. LLC/Texas Competitive


300,000 Ineos Group Holdings SA, senior note, Reg S, 5.75%, 02/15/19 CHE EUR 351,202 0.37 700,000 Goodrich Petroleum Corp., senior note, 8.875%, 03/15/19 USA USD 346,500 0.37 300,000 Calpine Corp., senior secured note, first lien, 144A, 6.00%, 01/15/22 USA USD 321,000 0.34 300,000 Sterling International Inc., senior note, 11.00%, 10/01/19 USA USD 320,250 0.34 300,000 Unitymedia KabelBW GmbH, senior bond, 144A, 6.125%, 01/15/25 DEU USD 310,875 0.33 300,000 Rain CII Carbon LLC/CII Carbon Corp., second lien, 144A,

8.25%, 01/15/21 USA USD 308,250 0.33 300,000 Tenet Healthcare Corp., senior note, 144A, 5.50%, 03/01/19 USA USD 308,250 0.33 300,000 Navient Corp., senior note, 5.50%, 01/15/19 USA USD 307,500 0.32 300,000 Anna Merger Sub Inc., senior note, 144A, 7.75%, 10/01/22 USA USD 304,500 0.32 300,000 Constellation Brands Inc., senior bond, 4.75%, 11/15/24 USA USD 304,500 0.32 300,000 Cott Beverages Inc., senior note, 144A, 6.75%, 01/01/20 USA USD 300,750 0.32 300,000 JBS USA LLC/Finance Inc., senior bond, 144A, 5.875%, 07/15/24 USA USD 297,750 0.31 300,000 KB Home, senior note, 4.75%, 05/15/19 USA USD 296,250 0.31 300,000 Navient Corp., senior note, 5.00%, 10/26/20 USA USD 295,125 0.31 300,000 NGL Energy Partners LP/NGL Energy Finance Corp., senior note, 144A,

5.125%, 07/15/19 USA USD 288,375 0.30 300,000 Post Holdings Inc., senior note, 144A, 6.00%, 12/15/22 USA USD 282,375 0.30 200,000 The Royal Bank of Scotland PLC, sub. note, 6.934%, 04/09/18 GBR EUR 279,359 0.29 300,000 Financiere Quick SAS, senior note, Reg S, FRN, 7.582%, 10/15/19 † FRA EUR 279,045 0.29 300,000 Scientific Games International Inc., senior note, 144A, 10.00%, 12/01/22 USA USD 276,375 0.29 300,000 First Quantum Minerals Ltd., senior note, 144A, 6.75%, 02/15/20 CAN USD 273,000 0.29 300,000 iHeartCommunications Inc., senior note, 10.00%, 01/15/18 USA USD 260,250 0.27 275,000 Visant Corp., senior note, 10.00%, 10/01/17 USA USD 242,000 0.26 300,000 Penn Virginia Corp., senior note, 8.50%, 05/01/20 USA USD 241,500 0.25 300,000 American Energy-Permian Basin LLC/AEPB Finance Corp., senior note,

144A, 7.125%, 11/01/20 USA USD 223,500 0.24 200,000 Energy Transfer Equity LP, senior note, first lien, 7.50%, 10/15/20 USA USD 223,000 0.24 300,000 Caesars Entertainment Operating Co. Inc., senior secured note, first lien,

9.00%, 02/15/20 USA USD 222,000 0.23 200,000 MGM Resorts International, senior note, 7.75%, 03/15/22 USA USD 222,000 0.23 200,000 CSC Holdings LLC, senior note, 6.75%, 11/15/21 USA USD 221,750 0.23 200,000 Bank of America Corp., junior sub. bond, M, 8.125% to 05/15/18,

FRN thereafter, Perpetual USA USD 216,750 0.23 200,000 Valeant Pharmaceuticals International Inc., senior note, 144A,

7.50%, 07/15/21 USA USD 216,750 0.23 200,000 JBS USA LLC/Finance Inc., senior note, 144A, 8.25%, 02/01/20 USA USD 211,500 0.22 200,000 MGM Resorts International, senior note, 6.75%, 10/01/20 USA USD 210,500 0.22 200,000 Reynolds Group Issuer Inc./LLC/SA, senior note, 9.00%, 04/15/19 USA USD 208,000 0.22 200,000 Scientific Games International Inc., senior secured note, first lien, 144A,

7.00%, 01/01/22 USA USD 203,500 0.21 200,000 JPMorgan Chase & Co., junior sub. note, X, 6.10% to 10/01/24,

FRN thereafter, Perpetual USA USD 200,000 0.21 300,000 Triangle USA Petroleum Corp., senior note, 144A, 6.75%, 07/15/22 USA USD 199,500 0.21 200,000 IHS Inc., senior note, 144A, 5.00%, 11/01/22 USA USD 199,000 0.21 200,000 Florida East Coast Holdings Corp., secured note, first lien, 144A,

6.75%, 05/01/19 USA USD 198,500 0.21 200,000 Sprint Corp., senior bond, 7.875%, 09/15/23 USA USD 198,440 0.21 200,000 Post Holdings Inc., senior note, 144A, 6.75%, 12/01/21 USA USD 194,500 0.21 200,000 Cemex SAB de CV, first lien, 144A, 5.70%, 01/11/25 MEX USD 193,250 0.20 200,000 Sprint Corp., senior bond, 7.125%, 06/15/24 USA USD 187,000 0.20 180,000 CHC Helicopter SA, senior secured note, first lien, 9.25%, 10/15/20 CAN USD 175,500 0.19 200,000 Compressco Partners LP/Finance Corp., senior note, 144A,

7.25%, 08/15/22 USA USD 174,000 0.18 200,000 Sanchez Energy Corp., senior note, 144A, 6.125%, 01/15/23 USA USD 168,500 0.18 100,000 New Look Bondco I PLC, secured note, first lien, Reg S, 8.75%, 05/14/18 GBR GBP 164,177 0.17 200,000 Caesars Entertainment Operating Co. Inc., senior secured note, first lien,

11.25%, 06/01/17 USA USD 147,600 0.16 138,000 Del Monte Corp., senior note, 7.625%, 02/15/19 USA USD 135,930 0.14 100,000 Unitymedia Hessen GmbH & Co. KG/Unitymedia NRW GmbH,

senior secured note, first lien, Reg S, 5.625%, 04/15/23 DEU EUR 131,667 0.14 150,000 Linn Energy LLC/Finance Corp., senior note, 6.50%, 05/15/19 USA USD 129,000 0.14 100,000 Ineos Group Holdings SA, senior note, Reg S, 6.50%, 08/15/18 CHE EUR 119,714 0.13 100,000 First Data Corp., senior bond, 12.625%, 01/15/21 USA USD 119,000 0.13 150,000 Halcon Resources Corp., senior note, 9.75%, 07/15/20 USA USD 113,250 0.12 100,000 KB Home, senior note, 7.00%, 12/15/21 USA USD 105,438 0.11 100,000 Cemex SAB de CV, senior secured note, 144A, 9.00%, 01/11/18 MEX USD 104,625 0.11 100,000 Alere Inc., senior note, 7.25%, 07/01/18 USA USD 104,500 0.11 100,000 T-Mobile USA Inc., senior note, 6.542%, 04/28/20 USA USD 103,625 0.11 100,000 T-Mobile USA Inc., senior bond, 6.50%, 01/15/24 USA USD 102,750 0.11 100,000 T-Mobile USA Inc., senior bond, 6.375%, 03/01/25 USA USD 101,850 0.11 100,000 TransDigm Inc., senior sub. bond, 6.50%, 07/15/24 USA USD 101,000 0.11 100,000 TransDigm Inc., senior sub. note, 6.00%, 07/15/22 USA USD 100,250 0.11 100,000 Florida East Coast Holdings Corp., senior note, 144A, 9.75%, 05/01/20 USA USD 100,000 0.11


Number of shares or



Market value

% ofnet

assets





Corporate Bonds (continued) 100,000 iHeartCommunications Inc., senior secured note, first lien, 144A,

9.00%, 09/15/22 USA USD 98,250 0.10 100,000 Edcon Pty. Ltd., senior secured note, Reg S, 9.50%, 03/01/18 ZAF EUR 97,556 0.10 100,000 Linn Energy LLC/Finance Corp., senior note, 6.50%, 09/15/21 USA USD 81,500 0.09 100,000 Offshore Group Investment Ltd., senior secured note, first lien,

7.50%, 11/01/19 USA USD 75,125 0.08 100,000 Halcon Resources Corp., senior note, 9.25%, 02/15/22 USA USD 74,250 0.08 70,588 Ardagh Packaging Finance PLC/Ardagh MP Holdings USA Inc.,

senior note, 144A, 7.00%, 11/15/20 LUX USD 71,647 0.07 100,000 Energy XXI Gulf Coast Inc., senior note, 7.50%, 12/15/21 USA USD 54,500 0.06 100,000 Edcon Holdings Pty. Ltd., senior secured note, Reg S, 13.375%, 06/30/19 ZAF EUR 45,375 0.05 32,000 First Data Corp., senior note, 11.25%, 01/15/21 USA USD 36,400 0.04

87,382,077 92.25

Government and Municipal Bonds 9,086,583 Government of Uruguay, senior bond, Index Linked, 4.375%, 12/15/28 URY UYU 376,549 0.40 200,000 Government of Ukraine, senior note, Reg S, 7.80%, 11/28/22 UKR USD 119,523 0.13 200,000 Government of Ukraine, senior note, Reg S, 7.50%, 04/17/23 UKR USD 117,906 0.12

613,978 0.65

TOTAL BONDS 87,996,055 92.90




TOTAL BONDS 0 0.00

TOTAL TRANSFERABLE SECURITIES NOT ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING NOR DEALT IN ON ANOTHER REGULATED MARKET 0 0.00


* These Corporate Bonds are currently in default † Floating Rates are indicated as at December 31, 2014 ** These securities are submitted to a Fair Valuation ‡ Income may be received in additional securities and/or cash


Number of shares or



Market value

% ofnet

assets





TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Airport Services 2,660 Aeroports de Paris (ADP) FRA EUR 322,665 2.44 7,900 Japan Airport Terminal Co. Ltd. JPN JPY 315,473 2.39 390 Flughafen Zuerich AG CHE CHF 261,451 1.98 45,223 Sydney Airport AUS AUD 173,915 1.32 45,994 Auckland International Airport Ltd. NZL NZD 151,743 1.15 1,037 Grupo Aeroportuario del Sureste SAB de CV, ADR MEX USD 136,718 1.03 2,024 Grupo Aeroportuario del Pacifico SAB de CV, ADR MEX USD 127,917 0.97 21,780 BBA Aviation PLC GBR GBP 122,214 0.93

1,612,096 12.21

Electric Utilities 4,180 NextEra Energy Inc. USA USD 444,292 3.36 71,845 Enel SpA ITA EUR 321,302 2.43 7,280 ITC Holdings Corp. USA USD 294,330 2.23 11,310 SSE PLC GBR GBP 285,941 2.17 4,320 Edison International USA USD 282,874 2.14 41,652 Iberdrola SA ESP EUR 282,083 2.14 6,060 Portland General Electric Co. USA USD 229,250 1.74 2,560 UIL Holdings Corp. USA USD 111,462 0.84 2,870 Exelon Corp. USA USD 106,420 0.81 3,100 Enersis SA, ADR CHL USD 49,693 0.38 5,634 Companhia Energetica de Minas Gerais, ADR, pfd. BRA USD 28,001 0.21

2,435,648 18.45

Gas Utilities 2,720 New Jersey Resources Corp. USA USD 166,464 1.26 2,730 Atmos Energy Corp. USA USD 152,170 1.15 6,100 ENN Energy Holdings Ltd. CHN HKD 34,615 0.26

353,249 2.67

Highways & Railtracks 30,478 Atlantia SpA ITA EUR 712,859 5.40 98,480 Transurban Group AUS AUD 689,909 5.23 39,500 Groupe Eurotunnel SA FRA EUR 511,406 3.87 18,229 Abertis Infraestructuras SA ESP EUR 362,398 2.75 38,828 Qube Logistics Holdings Ltd. AUS AUD 77,038 0.58 21,539 Macquarie Atlas Roads Group AUS AUD 56,277 0.43

2,409,887 18.26

Independent Power Producers & Energy Traders 3,140 NRG Energy Inc. USA USD 84,623 0.64

Marine Ports & Services 105,000 China Merchants Holdings International Co. Ltd. CHN HKD 352,756 2.67 171,000 COSCO Pacific Ltd. CHN HKD 243,468 1.84 12,000 Kamigumi Co. Ltd. JPN JPY 107,757 0.82 134,000 Hutchison Port Holdings Trust SGP USD 92,460 0.70 2,400 Mitsubishi Logistics Corp. JPN JPY 35,432 0.27

831,873 6.30

Multi-Utilities 30,670 National Grid PLC GBR GBP 438,901 3.32 5,540 Dominion Resources Inc. USA USD 426,026 3.23 15,260 GDF Suez FRA EUR 358,767 2.72 1,810 Sempra Energy USA USD 201,562 1.53 3,810 Public Service Enterprise Group Inc. USA USD 157,772 1.20 3,860 RWE AG DEU EUR 119,801 0.91 5,390 Suez Environnement Co. FRA EUR 94,144 0.71 19,580 Centrica PLC GBR GBP 85,149 0.64 1,280 NorthWestern Corp. USA USD 72,422 0.55 1,550 Ameren Corp. USA USD 71,501 0.54 3,820 E.ON SE DEU EUR 65,612 0.50

2,091,657 15.85

Oil & Gas Storage & Transportation 7,330 Enbridge Inc. CAN CAD 377,089 2.86 4,040 Cheniere Energy Inc. USA USD 284,416 2.16 4,768 Energy Transfer Equity LP USA USD 273,588 2.07 7,130 Altagas Ltd. CAN CAD 266,105 2.02 5,650 The Williams Cos. Inc. USA USD 253,911 1.92 14,140 Veresen Inc. CAN CAD 223,561 1.69 5,360 Pembina Pipeline Corp. CAN CAD 195,429 1.48 3,189 Western Gas Equity Partners LP USA USD 192,073 1.46 3,800 Kinder Morgan Inc. USA USD 160,778 1.22 1,854 Magellan Midstream Partners LP USA USD 153,252 1.16

— Franklin Global Listed Infrastructure Fund —

Number of shares or



Market value

% ofnet

assets





Oil & Gas Storage & Transportation (continued) 1,630 SemGroup Corp., A USA USD 111,476 0.84 4,462 Ultrapar Participacoes SA, ADR BRA USD 85,090 0.65 2,245 Cheniere Energy Partners LP USA USD 71,840 0.54 874 MarkWest Energy Partners LP USA USD 58,724 0.45 1,650 Enlink Midstream LLC USA USD 58,674 0.44 1,060 Spectra Energy Corp. USA USD 38,478 0.29

2,804,484 21.25

Renewable Electricity 6,540 Pattern Energy Group Inc. USA USD 161,277 1.22 8,900 Boralex Inc., A CAN CAD 98,484 0.75

259,761 1.97

Water Utilities 127,000 Sound Global Ltd. CHN HKD 147,736 1.12 2,250 American Water Works Co. Inc. USA USD 119,925 0.91

267,661 2.03

TOTAL SHARES 13,150,939 99.63



— Franklin Global Listed Infrastructure Fund —

Number of shares or



Market value

% ofnet

assets





TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Hotels, Resorts & Cruiselines 16,966 Starwood Hotels & Resorts Worldwide Inc. USA USD 1,375,433 0.32 85,198 Melia Hotels International SA ESP EUR 913,374 0.22

2,288,807 0.54

Real Estate Investment Trusts 118,142 Simon Property Group Inc. USA USD 21,514,840 5.06 83,085 Vornado Realty Trust USA USD 9,779,935 2.30 123,075 Health Care REIT Inc. USA USD 9,313,085 2.19 213,431 Prologis Inc. USA USD 9,183,936 2.16 123,865 Equity Residential USA USD 8,898,462 2.09 68,760 Boston Properties Inc. USA USD 8,848,724 2.08 370,478 Host Hotels & Resorts Inc. USA USD 8,806,262 2.07 276,472 General Growth Properties Inc. USA USD 7,777,157 1.83 176,135 HCP Inc. USA USD 7,755,224 1.82 41,217 Public Storage USA USD 7,618,962 1.79 383,629 Land Securities Group PLC GBR GBP 6,918,426 1.63 1,060,711 The Link REIT HKG HKD 6,634,616 1.56 30,959 Essex Property Trust Inc. USA USD 6,396,129 1.50 50,749 SL Green Realty Corp. USA USD 6,040,146 1.42 35,179 AvalonBay Communities Inc. USA USD 5,747,897 1.35 448,227 British Land Co. PLC GBR GBP 5,428,521 1.28 117,466 Pebblebrook Hotel Trust USA USD 5,359,974 1.26 75,527 Kilroy Realty Corp. USA USD 5,216,650 1.23 69,335 Ventas Inc. USA USD 4,971,319 1.17 53,061 Alexandria Real Estate Equities Inc. USA USD 4,708,633 1.11 498,556 Hammerson PLC GBR GBP 4,701,450 1.10 1,370,903 Stockland AUS AUD 4,611,690 1.08 53,960 The Macerich Co. USA USD 4,500,804 1.06 1,572,867 Scentre Group AUS AUD 4,494,861 1.06 75,900 Extra Space Storage Inc. USA USD 4,450,776 1.05 377,113 Great Portland Estates PLC GBR GBP 4,338,008 1.02 139,086 UDR Inc. USA USD 4,286,631 1.01 115,297 Apartment Investment & Management Co., A USA USD 4,283,284 1.01 61,465 Digital Realty Trust Inc. USA USD 4,075,129 0.96 543,734 Westfield Corp. AUS AUD 4,004,509 0.94 1,837 Nippon Prologis REIT Inc. JPN JPY 3,995,178 0.94 29,766 Federal Realty Investment Trust USA USD 3,972,570 0.93 60,464 Regency Centers Corp. USA USD 3,856,394 0.91 644 Kenedix Office Investment Corp. JPN JPY 3,638,540 0.85 68,198 Equity Lifestyle Properties Inc. USA USD 3,515,607 0.83 47,452 Wereldhave N.V. NLD EUR 3,272,764 0.77 42,474 Taubman Centers Inc. USA USD 3,245,863 0.76 174,155 DDR Corp. USA USD 3,197,486 0.75 196,850 Brandywine Realty Trust USA USD 3,145,663 0.74 88,685 Weingarten Realty Investors USA USD 3,096,880 0.73 2,007 Hulic REIT Inc. JPN JPY 3,050,071 0.72 138,126 CubeSmart USA USD 3,048,441 0.72 76,039 American Assets Trust Inc. USA USD 3,027,113 0.71 68,061 Highwoods Properties Inc. USA USD 3,013,741 0.71 42,812 WP Carey Inc. USA USD 3,001,121 0.70 563 Japan Real Estate Investment Corp. JPN JPY 2,725,141 0.64 1,847,292 Mirvac Group AUS AUD 2,684,799 0.63 105,419 STAG Industrial Inc. USA USD 2,582,766 0.61 109,677 RioCan REIT CAN CAD 2,496,244 0.59 61,139 Canadian REIT CAN CAD 2,410,811 0.57 1,604,530 Suntec REIT SGP SGD 2,373,852 0.56 93,891 Kimco Realty Corp. USA USD 2,360,420 0.55 128,127 Sunstone Hotel Investors Inc. USA USD 2,115,377 0.50 43,403 Realty Income Corp. USA USD 2,070,757 0.49 72,889 Douglas Emmett Inc. USA USD 2,070,048 0.49 67,722 Sabra Health Care REIT Inc. USA USD 2,056,717 0.48 171,300 Spirit Realty Capital Inc. USA USD 2,036,757 0.48 91,887 Senior Housing Properties Trust USA USD 2,031,622 0.48 227 Activia Properties Inc. JPN JPY 1,981,573 0.47 886,530 TF Administradora Industrial S de RL de CV MEX MXN 1,860,114 0.44 30,387 Post Properties Inc. USA USD 1,785,844 0.42 41,276 Eurocommercial Properties NV, IDR NLD EUR 1,756,529 0.41 959,326 Ascendas REIT SGP SGD 1,723,427 0.40 1,836,730 Mapletree Logistics Trust SGP SGD 1,642,908 0.39 29,322 Boardwalk REIT CAN CAD 1,553,908 0.36 19,639 Camden Property Trust USA USD 1,450,144 0.34 65,800 First Industrial Realty Trust Inc. USA USD 1,352,848 0.32 66,660 Paramount Group Inc. USA USD 1,239,209 0.29 31,923 Liberty Property Trust USA USD 1,201,262 0.28 1,063 GLP J-REIT JPN JPY 1,185,202 0.28 105 Hoshino Resorts REIT Inc. JPN JPY 1,108,492 0.26

— Franklin Global Real Estate Fund —

Number of shares or



Market value

% ofnet

assets





Real Estate Investment Trusts (continued) 2,532 Invincible Investment Corp. JPN JPY 1,062,880 0.25 25,866 Education Realty Trust Inc. USA USD 946,437 0.22 19,602 Coresite Realty Corp. USA USD 765,458 0.18 446,837 CapitaMall Trust SGP SGD 688,064 0.16 66 Activia Properties Inc., Reg S JPN JPY 576,140 0.13

304,639,222 71.63

Real Estate Ownership, Management & Development 576,706 Mitsui Fudosan Co. Ltd. JPN JPY 15,665,996 3.68 49,751 Unibail-Rodamco SE FRA EUR 12,813,295 3.01 490,593 Mitsubishi Estate Co. Ltd. JPN JPY 10,462,845 2.46 1,012,059 Hong Kong Land Holdings Ltd. HKG USD 6,841,519 1.61 407,559 Sun Hung Kai Properties Ltd. HKG HKD 6,218,022 1.46 704,850 The Wharf Holdings Ltd. HKG HKD 5,090,515 1.20 1,064,124 Goodman Group AUS AUD 4,943,798 1.16 101,642 Klepierre FRA EUR 4,394,319 1.03 593,597 Tokyo Tatemono Co. Ltd. JPN JPY 4,364,356 1.03 90,641 Derwent London PLC GBR GBP 4,263,894 1.00 166,270 Gagfah SA DEU EUR 3,721,954 0.88 48,146 LEG Immobilien AG DEU EUR 3,611,330 0.85 1,646,486 Global Logistic Properties Ltd. SGP SGD 3,082,190 0.73 599,645 Hysan Development Co. Ltd. HKG HKD 2,679,628 0.63 1,062,616 CapitaLand Ltd. SGP SGD 2,654,936 0.63 1,615,804 Sino Land Co. Ltd. HKG HKD 2,592,305 0.61 193,431 Hufvudstaden AB, A SWE SEK 2,519,854 0.59 889,449 Keppel Land Ltd. SGP SGD 2,296,132 0.54 907,859 Federation Centres AUS AUD 2,127,436 0.50 45,956 Deutsche Euroshop AG DEU EUR 2,012,687 0.47 89,695 Hemfosa Fastigheter AB SWE SEK 1,897,613 0.45 114,330 Castellum AB SWE SEK 1,789,911 0.42 12,788 Howard Hughes Corp. USA USD 1,667,811 0.39 222,736 Unite Group PLC GBR GBP 1,614,380 0.38 568,853 Hang Lung Properties Ltd. HKG HKD 1,595,645 0.38 1,798,000 KWG Property Holdings Ltd. CHN HKD 1,231,292 0.29 318,897 China Overseas Land & Investment Ltd. CHN HKD 950,035 0.22 42,342 Hispania Activos Inmobiliarios SAU ESP EUR 555,375 0.13 5,106 Deutsche Euroshop AG, Reg S DEU EUR 223,622 0.05

113,882,695 26.78

TOTAL SHARES 420,810,724 98.95

WARRANTS Real Estate Ownership, Management & Development 34,796 Sun Hung Kai Properties Ltd., wts., 04/22/16 HKG HKD 87,955 0.02




— Franklin Global Real Estate Fund —

Number of shares or



Marketvalue

% ofnet

assets





— Franklin Global Small-Mid Cap Growth Fund —


Beverages 2,411,900 C&C Group PLC IRL EUR 10,564,604 3.41

Building Products 440,543 Uponor OYJ FIN EUR 6,124,825 1.97

Capital Markets 561,100 FXCM Inc., A USA USD 9,297,427 3.00 13,599,400 ABG Sundal Collier Holding ASA NOR NOK 8,828,415 2.85 5,151,847 ARA Asset Management Ltd. SGP SGD 6,610,915 2.13

24,736,757 7.98

Chemicals 2,060,420 Alent PLC GBR GBP 10,309,161 3.32

Commercial Services & Supplies 440,300 ISS A/S DNK DKK 12,740,651 4.11

Construction & Engineering 483,457 Morgan Sindall PLC GBR GBP 4,672,099 1.51

Diversified Financial Services 167,100 Deutsche Boerse AG DEU EUR 11,973,751 3.86

Electrical Equipment 511,800 Prysmian SpA ITA EUR 9,382,061 3.03

Electronic Equipment, Instruments & Components 485,700 Esprinet SpA ITA EUR 3,367,504 1.09

Food & Staples Retailing 216,965 Sligro Food Group NV NLD EUR 8,203,989 2.65

Hotels, Restaurants & Leisure 4,141,617 Dalata Hotel Group PLC IRL EUR 14,733,388 4.75 697,117 ClubLink Enterprises Ltd. CAN CAD 6,567,457 2.12

21,300,845 6.87

Insurance 26,900 Markel Corp. USA USD 18,368,396 5.93 25,700 Fairfax Financial Holdings Ltd. CAN CAD 13,473,107 4.35 296,600 ProAssurance Corp. USA USD 13,391,490 4.32 129,200 RenaissanceRe Holdings Ltd. USA USD 12,560,824 4.05 170,200 Arch Capital Group Ltd. USA USD 10,058,820 3.24 55,900 Euler Hermes Group FRA EUR 5,792,604 1.87

73,645,241 23.76

Leisure Products 383,776 Beneteau FRA EUR 5,391,323 1.74

Machinery 1,696,166 Vesuvius PLC GBR GBP 11,796,697 3.80 491,822 Zardoya Otis SA ESP EUR 5,474,963 1.77

17,271,660 5.57

Media 278,000 ASATSU-DK Inc. JPN JPY 6,746,706 2.18

Personal Products 830,600 Aderans Co. Ltd. JPN JPY 7,874,497 2.54

Professional Services 1,506,900 Michael Page International PLC GBR GBP 9,674,728 3.12 805,000 Sthree PLC GBR GBP 3,703,091 1.19

13,377,819 4.31

Real Estate Investment Trusts (REITs) 7,771,248 Green REIT PLC IRL EUR 12,036,109 3.88 2,000,000 Irish Residential Properties REIT PLC IRL EUR 2,562,780 0.83

14,598,889 4.71

Real Estate Management & Development 1,954,400 Countrywide PLC GBR GBP 13,300,247 4.29

Number of shares or



Marketvalue

% ofnet

assets





Thrifts & Mortgage Finance 501,100 SI Financial Group Inc. USA USD 5,582,254 1.80

Trading Companies & Distributors 1,207,700 Grafton Group PLC IRL GBP 12,009,979 3.87

TOTAL SHARES 304,065,830 98.08



— Franklin Global Small-Mid Cap Growth Fund —

Number of shares or



Marketvalue

% ofnet

assets





— Franklin Gold and Precious Metals Fund —

TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Gold and Diversified Resources 853,100 Nevsun Resources Ltd. CAN CAD 3,291,184 4.21 177,412 Sandfire Resources NL AUS AUD 659,099 0.85 535,040 PanAust Ltd. AUS AUD 618,157 0.79

4,568,440 5.85

Gold Exploration and Development 1,265,000 Guyana Goldfields Inc. CAN CAD 3,071,948 3.93 591,636 Acacia Mining Plc GBR GBP 2,355,255 3.01 1,859,500 Torex Gold Resources Inc. CAN CAD 1,969,589 2.52 4,219,100 Romarco Minerals Inc. CAN CAD 1,780,288 2.28 155,000 Imperial Metals Corp. CAN CAD 1,332,099 1.71 227,000 Pretium Resources Inc. CAN CAD 1,311,664 1.68 2,740,000 Stornoway Diamond Corp. CAN CAD 1,250,549 1.60 955,800 Ivanhoe Mines Ltd., A CAN CAD 839,540 1.07 9,199,134 Red 5 Ltd. AUS AUD 691,021 0.88 2,850,000 Amara Mining PLC GBR GBP 644,133 0.82 800,500 Midway Gold Corp. USA USD 592,370 0.76 1,491,348 Nautilus Minerals Inc. CAN CAD 488,019 0.63 300,600 Continental Gold Ltd. CAN CAD 478,889 0.61 930,000 Lydian International Ltd. CAN CAD 376,405 0.48 2,928,400 St. Augustine Gold and Copper Ltd. CAN CAD 302,612 0.39 358,843 RTG Mining Inc. AUS CAD 205,495 0.26 438,200 Midas Gold Corp. CAN CAD 177,355 0.23 950,000 Belo Sun Mining Corp. CAN CAD 167,707 0.22 205,366 RTG Mining Inc., IDR AUS AUD 125,761 0.16 3,448,667 Kula Gold Ltd. AUS AUD 118,265 0.15 268,500 INV Metals Inc. CAN CAD 55,492 0.07 223,300 Lion One Metals Ltd. CAN CAD 45,189 0.06 35,000 Chalice Gold Mines Ltd. AUS AUD 3,072 0.00

18,382,717 23.52

Long Life Gold Mines 450,424 Newcrest Mining Ltd. AUS AUD 4,005,028 5.12 213,000 Goldcorp Inc. CAN USD 3,944,760 5.05 639,950 Eldorado Gold Corp. CAN CAD 3,901,697 4.99 2,290,755 B2Gold Corp. CAN CAD 3,748,060 4.80 55,000 Randgold Resources Ltd., ADR JER USD 3,707,550 4.74 588,800 Centerra Gold Inc. CAN CAD 3,062,521 3.92 249,020 AngloGold Ashanti Ltd., ADR ZAF USD 2,166,474 2.77 192,000 Barrick Gold Corp. CAN USD 2,064,000 2.64 1,919,400 Centamin PLC EGY CAD 1,735,518 2.22 232,300 Alamos Gold Inc. CAN CAD 1,660,357 2.12 1,695,000 Centamin PLC EGY GBP 1,556,136 1.99 175,400 AngloGold Ashanti Ltd. ZAF ZAR 1,542,495 1.97 166,500 Detour Gold Corp. CAN CAD 1,360,676 1.74 39,022,576 G-Resources Group Ltd. HKG HKD 915,934 1.17 29,835 Agnico Eagle Mines Ltd. CAN CAD 743,017 0.95 358,100 Alacer Gold Corp. USA CAD 718,513 0.92 200,700 SEMAFO Inc. CAN CAD 515,036 0.66 30,190 Osisko Gold Royalties Ltd. CAN CAD 425,845 0.55 16,300 Agnico Eagle Mines Ltd. CAN USD 405,707 0.52 51,000 Gold Fields Ltd., ADR ZAF USD 231,030 0.30 11,000 Newmont Mining Corp. USA USD 207,900 0.27 59,000 AuRico Gold Inc. CAN CAD 195,608 0.25 52,856 Kinross Gold Corp. CAN CAD 148,384 0.19

38,962,246 49.85

Medium Life Gold Mines 425,400 Primero Mining Corp. CAN CAD 1,637,492 2.09 136,000 New Gold Inc. CAN CAD 583,234 0.75 136,004 Yamana Gold Inc. CAN CAD 549,286 0.70 2,408,826 Beadell Resources Ltd. AUS AUD 442,532 0.57 2,866,316 St. Barbara Ltd. AUS AUD 245,736 0.31 366,000 Teranga Gold Corp. CAN CAD 143,406 0.18 715,800 Silver Lake Resources Ltd. AUS AUD 113,968 0.15 57,800 China Gold International Resources Corp. Ltd. CAN CAD 102,534 0.13 183,010 Teranga Gold Corp., IDR CAN AUD 68,737 0.09 17,900 China Gold International Resources Corp. Ltd. CAN HKD 31,442 0.04

3,918,367 5.01

Platinum & Palladium 294,400 Impala Platinum Holdings Ltd. ZAF ZAR 1,929,148 2.47 4,015,600 Platinum Group Metals Ltd. CAN CAD 1,901,899 2.43 2,735,850 Platinum Group Metals Ltd. CAN USD 1,332,085 1.70

Number of shares or



Marketvalue

% ofnet

assets





— Franklin Gold and Precious Metals Fund —

Platinum & Palladium (continued) 35,600 Anglo American Platinum Ltd. ZAF ZAR 1,050,099 1.34 537,780 Eastern Platinum Ltd. CAN CAD 652,977 0.84 86,907 Royal Bafokeng Platinum Ltd. ZAF ZAR 396,115 0.51 120,860 Northam Platinum Ltd. ZAF ZAR 383,550 0.49

7,645,873 9.78

Silver Mines 119,000 Fresnillo PLC MEX GBP 1,420,818 1.82 80,000 Tahoe Resources Inc. USA CAD 1,112,594 1.42 100,000 MAG Silver Corp. CAN CAD 819,806 1.05 238,000 Hochschild Mining PLC PER GBP 326,454 0.42

3,679,672 4.71

TOTAL SHARES 77,157,315 98.72

WARRANTS Gold Exploration and Development 1,250,000 Stornoway Diamond Corp., wts., 05/21/16 CAN CAD 80,732 0.10 400,000 Ivanhoe Mines Ltd., wts., 12/10/15 CAN CAD 24,112 0.03 18,833 RTG Mining Inc., wts., 06/04/17 AUS CAD 1,865 0.00

106,709 0.13




SHARES Gold Exploration and Development 1,000,000 Romarco Minerals Inc., Reg S ** CAN CAD 363,758 0.47


WARRANTS Gold Exploration and Development 125,000 Colossus Minerals Inc., wts., 08/09/15 ** CAN CAD 0 0.00

TOTAL WARRANTS 0 0.00




Number of shares or



Marketvalue

% ofnet

assets





— Franklin High Yield Fund —

TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Consumer Finance 230,800 GMAC Capital Trust I, 8.125%, pfd. USA USD 6,088,504 0.15



TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET SHARES Air Freight & Logistics 7,720 CEVA Holdings LLC, cvt. pfd., A-2 GBR USD 5,982,675 0.15 3,566 CEVA Holdings LLC GBR USD 2,763,704 0.07 141 CEVA Holdings LLC, cvt. pfd., A-1 GBR USD 141,000 0.00

8,887,379 0.22

Paper & Forest Products 56,000 NewPage Holdings Inc. USA USD 5,082,000 0.12

TOTAL SHARES 13,969,379 0.34

BONDS Corporate Bonds 52,000,000 Wind Acquisition Finance SA, senior note, second lien, 144A, 7.375%, 04/23/21 ITA USD 49,140,000 1.20 40,000,000 Energy Transfer Equity LP, senior bond, first lien, 5.875%, 01/15/24 USA USD 40,800,000 1.00 55,000,000 Texas Competitive Electric Holdings Co. LLC/Texas Competitive Electric Holdings Finance Inc., senior secured note, first lien, 144A, 11.50%, 10/01/20 * USA USD 39,187,500 0.96 45,000,000 Peabody Energy Corp., senior note, 6.25%, 11/15/21 USA USD 38,643,750 0.94 36,200,000 HCA Inc., senior secured note, first lien, 5.00%, 03/15/24 USA USD 37,286,000 0.91 36,000,000 CHC Helicopter SA, senior secured note, first lien, 9.25%, 10/15/20 CAN USD 35,100,000 0.86 32,000,000 Bank of America Corp., junior sub. bond, M, 8.125% to 05/15/18, FRN thereafter, Perpetual, 01/01/00 USA USD 34,680,000 0.85 33,100,000 ArcelorMittal, senior note, 5.50%, 03/01/21 LUX USD 34,303,681 0.84 32,400,000 VPI Escrow Corp., senior note, 144A, 6.375%, 10/15/20 CAN USD 33,979,500 0.83 33,300,000 JPMorgan Chase & Co., junior sub. bond, R, 6.00% to 08/01/23, FRN thereafter, Perpetual, 01/01/00 USA USD 33,050,250 0.81 30,300,000 Alcatel-Lucent USA Inc., senior note, 144A, 6.75%, 11/15/20 FRA USD 32,133,150 0.78 31,000,000 Navient Corp., senior note, 5.50%, 01/15/19 USA USD 31,775,000 0.78 30,000,000 HCA Inc., senior note, 5.875%, 05/01/23 USA USD 31,687,500 0.77 32,000,000 Eldorado Gold Corp., senior note, 144A, 6.125%, 12/15/20 CAN USD 31,200,000 0.76 30,995,000 Navistar International Corp., senior note, 8.25%, 11/01/21 USA USD 30,685,050 0.75 32,000,000 BMC Software Finance Inc., senior note, 144A, 8.125%, 07/15/21 USA USD 30,240,000 0.74 28,900,000 Alere Inc., senior note, 7.25%, 07/01/18 USA USD 30,200,500 0.74 28,000,000 1011778 BC ULC/New Red Finance Inc., secured note, second lien, 144A, 6.00%, 04/01/22 CAN USD 28,840,000 0.70 30,000,000 InterGen NV, secured bond, 144A, 7.00%, 06/30/23 NLD USD 28,650,000 0.70 27,000,000 CSC Holdings LLC, senior note, 144A, 5.25%, 06/01/24 USA USD 27,202,500 0.66 29,450,000 First Quantum Minerals Ltd., senior note, 144A, 7.00%, 02/15/21 CAN USD 26,652,250 0.65 27,500,000 WPX Energy Inc., senior note, 6.00%, 01/15/22 USA USD 26,606,250 0.65 25,000,000 Regency Energy Partners LP/Regency Energy Finance Corp., senior note, 144A, 8.375%, 06/01/19 USA USD 26,312,500 0.64 26,000,000 Equinix Inc., senior bond, 5.375%, 04/01/23 USA USD 26,130,000 0.64 25,400,000 Sirius XM Radio Inc., senior bond, 144A, 6.00%, 07/15/24 USA USD 26,098,500 0.64 29,900,000 Ultra Petroleum Corp., senior bond, 144A, 6.125%, 10/01/24 USA USD 25,863,500 0.63 25,000,000 Reynolds Group Issuer Inc./LLC/SA, senior note, 8.50%, 05/15/18 USA USD 25,625,000 0.63 24,600,000 OneMain Financial Holdings Inc., senior note, 144A, 7.25%, 12/15/21 USA USD 25,338,000 0.62 25,000,000 PBF Holding Co. LLC, first lien, 8.25%, 02/15/20 USA USD 25,250,000 0.62 25,000,000 Citigroup Inc., junior sub. bond, M, 6.30% to 05/15/24, FRN thereafter, Perpetual, 01/01/00 USA USD 24,687,500 0.60 25,000,000 Sabine Pass Liquefaction LLC, first lien, 5.625%, 02/01/21 USA USD 24,687,500 0.60 22,000,000 Tenet Healthcare Corp., senior note, 8.125%, 04/01/22 USA USD 24,640,000 0.60 27,000,000 First Quantum Minerals Ltd., senior note, 144A, 6.75%, 02/15/20 CAN USD 24,570,000 0.60 23,000,000 KB Home, senior bond, 7.50%, 09/15/22 USA USD 24,495,000 0.60 24,300,000 Nielsen Finance LLC/Co., senior note, 144A, 5.00%, 04/15/22 USA USD 24,451,875 0.60 25,000,000 Abengoa Finance SAU, senior note, 144A, 8.875%, 11/01/17 ESP USD 24,218,750 0.59 23,700,000 iHeartCommunications Inc., senior secured bond, first lien, 9.00%, 03/01/21 USA USD 23,314,875 0.57 21,825,000 Univision Communications Inc., senior secured note, 144A, 6.875%, 05/15/19 USA USD 22,779,844 0.56 26,300,000 Clayton Williams Energy Inc., senior note, 7.75%, 04/01/19 USA USD 22,486,500 0.55 21,500,000 Virgin Media Secured Finance PLC, senior secured bond, first lien, 144A, 5.50%, 01/15/25 GBR USD 22,265,937 0.54 20,675,000 First Data Corp., senior secured bond, second lien, 144A, 8.25%, 01/15/21 USA USD 22,225,625 0.54 23,000,000 Cemex SAB de CV, first lien, 144A, 5.70%, 01/11/25 MEX USD 22,223,750 0.54 26,000,000 Drill Rigs Holdings Inc., secured note, 144A, 6.50%, 10/01/17 USA USD 21,710,000 0.53 20,000,000 Sprint Nextel Corp., senior note, 8.375%, 08/15/17 USA USD 21,650,000 0.53 22,100,000 Algeco Scotsman Global Finance PLC, senior secured note, first lien, 144A, 8.50%, 10/15/18 GBR USD 21,478,437 0.52

Number of shares or



Marketvalue

% ofnet

assets






Corporate Bonds (continued) 26,500,000 Memorial Production Partners LP/Memorial Production Finance Corp., senior note, 7.625%, 05/01/21 USA USD 21,332,500 0.52 20,700,000 Millicom International Cellular SA, senior note, 144A, 6.625%, 10/15/21 LUX USD 21,282,187 0.52 20,000,000 UPCB Finance III Ltd., senior secured note, 144A, 6.625%, 07/01/20 NLD USD 21,050,000 0.51 20,000,000 Par Pharmaceutical Cos. Inc., senior note, 7.375%, 10/15/20 USA USD 21,000,000 0.51 23,700,000 Visant Corp., senior note, 10.00%, 10/01/17 USA USD 20,856,000 0.51 20,000,000 Jaguar Holding Co. I, senior note, 144A, PIK, 9.375%, 10/15/17 ‡ USA USD 20,490,000 0.50 20,800,000 Digicel Group Ltd., senior note, 144A, 8.25%, 09/30/20 BMU USD 20,358,000 0.50 27,000,000 Offshore Group Investment Ltd., senior secured note, first lien, 7.50%, 11/01/19 USA USD 20,283,750 0.50 20,000,000 Valeant Pharmaceuticals International Inc., senior note, 144A, 5.625%, 12/01/21 USA USD 20,200,000 0.49 20,000,000 Blackboard Inc., senior note, 144A, 7.75%, 11/15/19 USA USD 20,150,000 0.49 21,300,000 Martin Midstream Partners LP/Martin Midstream Finance Corp., senior note, 7.25%, 02/15/21 USA USD 20,128,500 0.49 18,900,000 The Goodyear Tire & Rubber Co., senior note, 6.50%, 03/01/21 USA USD 20,128,500 0.49 20,000,000 Dole Food Co. Inc., senior secured note, 144A, 7.25%, 05/01/19 USA USD 19,975,000 0.49 22,000,000 Barminco Finance Pty. Ltd., senior note, 144A, 9.00%, 06/01/18 AUS USD 19,813,750 0.48 25,100,000 BreitBurn Energy Partners LP/BreitBurn Finance Corp., senior bond, 7.875%, 04/15/22 USA USD 19,515,250 0.48 18,900,000 Reynolds Group Issuer Inc./LLC/SA, first lien, 5.75%, 10/15/20 USA USD 19,467,000 0.48 19,600,000 Post Holdings Inc., senior note, 144A, 6.75%, 12/01/21 USA USD 19,061,000 0.47 24,700,000 CGG SA, senior note, 6.875%, 01/15/22 FRA USD 18,818,312 0.46 19,800,000 CONSOL Energy Inc., senior note, 144A, 5.875%, 04/15/22 USA USD 18,513,000 0.45 18,000,000 DISH DBS Corp., senior note, 5.875%, 07/15/22 USA USD 18,495,000 0.45 20,000,000 Sprint Nextel Corp., senior note, 6.00%, 11/15/22 USA USD 18,475,000 0.45 25,000,000 Caesars Entertainment Operating Co. Inc., senior secured note, first lien, 11.25%, 06/01/17 USA USD 18,450,000 0.45 19,300,000 DigitalGlobe Inc., senior note, 144A, 5.25%, 02/01/21 USA USD 18,431,500 0.45 17,300,000 CIT Group Inc., senior note, 5.375%, 05/15/20 USA USD 18,349,245 0.45 17,800,000 D.R. Horton Inc., senior note, 3.75%, 03/01/19 USA USD 17,666,500 0.43 17,000,000 Unitymedia KabelBW GmbH, senior bond, 144A, 6.125%, 01/15/25 DEU USD 17,616,250 0.43 17,400,000 Zachry Holdings Inc., senior note, 144A, 7.50%, 02/01/20 USA USD 17,574,000 0.43 18,000,000 Taylor Morrison Communities Inc./Monarch Communities Inc., senior note, 144A, 5.625%, 03/01/24 USA USD 17,460,000 0.43 17,000,000 Terex Corp., senior note, 6.00%, 05/15/21 USA USD 17,425,000 0.43 20,000,000 Vanguard Natural Resources LLC/Finance Corp., senior note, 7.875%, 04/01/20 USA USD 17,355,000 0.42 21,500,000 24 Hour Holdings III LLC, senior note, 144A, 8.00%, 06/01/22 USA USD 17,307,500 0.42 17,500,000 iHeartCommunications Inc., senior secured note, first lien, 144A, 9.00%, 09/15/22 USA USD 17,193,750 0.42 15,000,000 Sprint Nextel Corp., senior note, 144A, 9.00%, 11/15/18 USA USD 17,098,500 0.42 17,100,000 JBS USA LLC/Finance Inc., senior bond, 144A, 5.875%, 07/15/24 USA USD 16,971,750 0.41 16,000,000 Toll Brothers Finance Corp., senior bond, 5.625%, 01/15/24 USA USD 16,960,000 0.41 16,600,000 NRG Yield Operating LLC, senior bond, 144A, 5.375%, 08/15/24 USA USD 16,932,000 0.41 16,400,000 T-Mobile USA Inc., senior bond, 6.375%, 03/01/25 USA USD 16,703,400 0.41 18,700,000 Linn Energy LLC/Finance Corp., senior note, 8.625%, 04/15/20 USA USD 16,362,500 0.40 15,000,000 Royal Bank of Scotland Group PLC, sub. note, 6.125%, 12/15/22 GBR USD 16,321,875 0.40 15,000,000 Intelsat Jackson Holdings SA, senior note, 7.50%, 04/01/21 LUX USD 16,106,250 0.39 15,000,000 CHS/Community Health Systems Inc., senior note, 8.00%, 11/15/19 USA USD 16,050,000 0.39 15,000,000 Chesapeake Energy Corp., senior note, 6.625%, 08/15/20 USA USD 16,012,500 0.39 15,000,000 Gannett Co. Inc., senior bond, 6.375%, 10/15/23 USA USD 15,975,000 0.39 15,000,000 LSB Industries Inc., senior secured note, first lien, 7.75%, 08/01/19 USA USD 15,675,000 0.38 15,400,000 Anna Merger Sub Inc., senior note, 144A, 7.75%, 10/01/22 USA USD 15,631,000 0.38 16,400,000 QEP Resources Inc., senior note, 5.375%, 10/01/22 USA USD 15,580,000 0.38 15,000,000 Hertz Corp., senior note, 6.75%, 04/15/19 USA USD 15,525,000 0.38 15,000,000 Marquette Transportation Co. Inc./Finance Corp., senior secured note, 10.875%, 01/15/17 USA USD 15,525,000 0.38 14,380,000 Univision Communications Inc., senior secured bond, first lien, 144A, 6.75%, 09/15/22 USA USD 15,458,500 0.38 15,000,000 Standard Pacific Corp., senior note, 6.25%, 12/15/21 USA USD 15,450,000 0.38 15,400,000 Cott Beverages Inc., senior note, 144A, 6.75%, 01/01/20 USA USD 15,438,500 0.38 14,900,000 Intelsat Jackson Holdings SA, senior bond, 6.625%, 12/15/22 LUX USD 15,384,250 0.38 14,300,000 Sterling International Inc., senior note, 11.00%, 10/01/19 USA USD 15,265,250 0.37 15,700,000 Ardagh Packaging Finance PLC/Ardagh MP Holdings USA Inc., senior secured note, 144A, FRN, 3.241%, 12/15/19 † LUX USD 15,209,375 0.37 14,800,000 Gannett Co. Inc., senior note, 5.125%, 07/15/20 USA USD 15,170,000 0.37 15,000,000 Calpine Corp., senior note, 5.375%, 01/15/23 USA USD 15,168,750 0.37 14,700,000 Rain CII Carbon LLC/CII Carbon Corp., second lien, 144A, 8.25%, 01/15/21 USA USD 15,104,250 0.37 15,000,000 Post Holdings Inc., senior note, 7.375%, 02/15/22 USA USD 15,037,500 0.37 15,000,000 Intelsat Jackson Holdings SA, senior bond, 5.50%, 08/01/23 LUX USD 14,953,125 0.37 14,200,000 AerCap Ireland Capital Ltd./AerCap Global Aviation Trust, senior note, 144A, 5.00%, 10/01/21 NLD USD 14,794,625 0.36 15,000,000 CCO Holdings LLC/CCO Holdings Capital Corp., senior bond, 5.125%, 02/15/23 USA USD 14,718,750 0.36 19,000,000 EPL Oil & Gas Inc., senior note, 8.25%, 02/15/18 USA USD 14,535,000 0.36 15,000,000 Ineos Group Holdings SA, senior note, 144A, 6.125%, 08/15/18 CHE USD 14,475,000 0.35 17,000,000 California Resources Corp., senior bond, 144A, 6.00%, 11/15/24 USA USD 14,450,000 0.35

Number of shares or



Marketvalue

% ofnet

assets






Corporate Bonds (continued) 14,000,000 Calpine Corp., senior bond, 5.75%, 01/15/25 USA USD 14,192,500 0.35 13,800,000 Gannett Co. Inc., senior note, 5.125%, 10/15/19 USA USD 14,179,500 0.35 15,000,000 Stena International SA, secured bond, 144A, 5.75%, 03/01/24 SWE USD 14,175,000 0.35 14,000,000 MGM Resorts International, senior note, 6.00%, 03/15/23 USA USD 14,140,000 0.35 20,000,000 Ocean Rig UDW Inc., senior note, 144A, 7.25%, 04/01/19 USA USD 14,137,500 0.35 15,000,000 QEP Resources Inc., senior note, 5.25%, 05/01/23 USA USD 14,100,000 0.34 16,700,000 Sanchez Energy Corp., senior note, 144A, 6.125%, 01/15/23 USA USD 14,069,750 0.34 14,600,000 Murray Energy Corp., senior secured note, 144A, 8.625%, 06/15/21 USA USD 14,016,000 0.34 13,000,000 DISH DBS Corp., senior note, 6.75%, 06/01/21 USA USD 14,007,500 0.34 12,600,000 Sprint Nextel Corp., senior note, 144A, 7.00%, 03/01/20 USA USD 13,671,000 0.33 18,600,000 Atlas Energy Holdings Operating Co. LLC/Atlas Resource Finance Corp., senior note, 7.75%, 01/15/21 USA USD 13,578,000 0.33 12,900,000 JBS USA LLC/Finance Inc., senior note, 144A, 7.25%, 06/01/21 USA USD 13,351,500 0.33 13,000,000 VTR Finance BV, senior secured note, 144A, 6.875%, 01/15/24 LUX USD 13,292,500 0.32 14,000,000 CBC Ammo LLC/CBC FinCo Inc., senior note, 144A, 7.25%, 11/15/21 BRA USD 13,230,000 0.32 14,300,000 Scientific Games International Inc., senior note, 144A, 10.00%, 12/01/22 USA USD 13,173,875 0.32 31,200,000 Samson Investment Co., senior note, 9.75%, 02/15/20 USA USD 13,084,500 0.32 12,900,000 Florida East Coast Holdings Corp., secured note, first lien, 144A, 6.75%, 05/01/19 USA USD 12,803,250 0.31 15,800,000 Penn Virginia Corp., senior note, 8.50%, 05/01/20 USA USD 12,719,000 0.31 17,000,000 Quicksilver Resources Inc., secured note, second lien, 144A, FRN, 7.00%, 06/21/19 † USA USD 12,707,500 0.31 14,000,000 Memorial Resource Development Corp., senior note, 144A, 5.875%, 07/01/22 USA USD 12,705,000 0.31 12,400,000 Royal Bank of Scotland Group PLC, sub. note, 5.125%, 05/28/24 GBR USD 12,632,500 0.31 13,700,000 Stena AB, senior bond, 144A, 7.00%, 02/01/24 SWE USD 12,569,750 0.31 18,900,000 W&T Offshore Inc., senior note, 8.50%, 06/15/19 USA USD 12,568,500 0.31 11,800,000 MGM Resorts International, senior note, 6.625%, 12/15/21 USA USD 12,449,000 0.30 25,000,000 Goodrich Petroleum Corp., senior note, 8.875%, 03/15/19 USA USD 12,375,000 0.30 13,000,000 Digicel Group Ltd., senior note, 144A, 6.00%, 04/15/21 BMU USD 12,358,125 0.30 12,000,000 Grifols Worldwide Operations Ltd., senior note, 144A, 5.25%, 04/01/22 USA USD 12,302,400 0.30 14,000,000 Radio One Inc., senior sub. note, 144A, 9.25%, 02/15/20 USA USD 12,250,000 0.30 11,700,000 CHS/Community Health Systems Inc., senior secured note, first lien,

5.125%, 08/15/18 USA USD 12,138,750 0.30 10,000,000 First Data Corp., senior bond, 12.625%, 01/15/21 USA USD 11,900,000 0.29 12,500,000 Sprint Corp., senior bond, 7.125%, 06/15/24 USA USD 11,687,500 0.29 11,600,000 CCO Holdings LLC/CCO Holdings Capital Corp., senior bond, 5.25%, 09/30/22 USA USD 11,614,500 0.28 10,975,000 JBS USA LLC/Finance Inc., senior note, 144A, 8.25%, 02/01/20 USA USD 11,606,062 0.28 12,000,000 Lucent Technologies Inc., senior bond, 6.45%, 03/15/29 FRA USD 11,520,000 0.28 11,300,000 Scientific Games International Inc., senior secured note, first lien, 144A,

7.00%, 01/01/22 USA USD 11,497,750 0.28 15,000,000 Halcon Resources Corp., senior note, 8.875%, 05/15/21 USA USD 11,362,500 0.28 15,000,000 Halcon Resources Corp., senior note, 9.75%, 07/15/20 USA USD 11,325,000 0.28 11,000,000 Videotron Ltd., senior bond, 144A, 5.375%, 06/15/24 CAN USD 11,247,500 0.27 10,492,000 Viridian Group FundCo II, senior note, 144A, 11.125%, 04/01/17 GBR USD 11,239,555 0.27 11,600,000 Cemex Finance LLC, senior secured note, first lien, 144A, 6.00%, 04/01/24 MEX USD 11,230,250 0.27 10,000,000 Frontier Communications Corp., senior note, 8.50%, 04/15/20 USA USD 11,200,000 0.27 15,000,000 Caesars Entertainment Operating Co. Inc., senior secured note, first lien, 9.00%, 02/15/20 USA USD 11,175,000 0.27 10,000,000 Navient Corp., senior note, 8.45%, 06/15/18 USA USD 11,175,000 0.27 10,000,000 CSC Holdings LLC, senior note, 6.75%, 11/15/21 USA USD 11,087,500 0.27 13,000,000 Linn Energy LLC/Finance Corp., senior note, 7.75%, 02/01/21 USA USD 11,017,500 0.27 10,199,000 Penn Virginia Resource Partners LP/Penn Virginia Resource Finance Corp., senior note, 8.375%, 06/01/20 USA USD 10,938,427 0.27 10,000,000 Calpine Corp., senior secured bond, first lien, 144A, 5.875%, 01/15/24 USA USD 10,700,000 0.26 10,000,000 E*TRADE Financial Corp., senior note, 6.375%, 11/15/19 USA USD 10,650,000 0.26 10,000,000 The Goodyear Tire & Rubber Co., senior note, 8.25%, 08/15/20 USA USD 10,650,000 0.26 11,555,555 FMG Resources (August 2006) Pty. Ltd., senior note, 144A, 6.875%, 02/01/18 AUS USD 10,551,667 0.26 10,000,000 Chesapeake Energy Corp., senior note, 6.125%, 02/15/21 USA USD 10,550,000 0.26 10,000,000 Ineos Finance PLC, senior secured note, 144A, 7.50%, 05/01/20 CHE USD 10,518,750 0.26 10,700,000 Sabine Pass Liquefaction LLC, first lien, 5.625%, 04/15/23 USA USD 10,512,750 0.26 10,600,000 Taylor Morrison Communities Inc./Monarch Communities Inc., senior note, 144A, 5.25%, 04/15/21 USA USD 10,494,000 0.26 11,200,000 Sanchez Energy Corp., senior note, 7.75%, 06/15/21 USA USD 10,472,000 0.26 12,100,000 BreitBurn Energy Partners LP/BreitBurn Finance Corp., senior note,

8.625%, 10/15/20 USA USD 10,466,500 0.26 17,000,000 EnQuest PLC, senior note, 144A, 7.00%, 04/15/22 GBR USD 10,444,375 0.26 10,600,000 Navient Corp., senior note, 5.00%, 10/26/20 USA USD 10,427,750 0.25 10,000,000 CenturyLink Inc., senior note, 5.80%, 03/15/22 USA USD 10,425,000 0.25 15,200,000 Chaparral Energy Inc., senior note, 9.875%, 10/01/20 USA USD 10,412,000 0.25 10,100,000 E*TRADE Financial Corp., senior note, 5.375%, 11/15/22 USA USD 10,352,500 0.25 10,000,000 United Rentals North America Inc., senior bond, 5.75%, 11/15/24 USA USD 10,325,000 0.25 10,200,000 Owens-Brockway Glass Container Inc., senior bond, 144A, 5.375%, 01/15/25 USA USD 10,314,750 0.25 10,000,000 CIT Group Inc., senior note, 5.00%, 08/15/22 USA USD 10,312,500 0.25 10,000,000 Steel Dynamics Inc., senior bond, 144A, 5.50%, 10/01/24 USA USD 10,275,000 0.25 10,000,000 Crown Castle International Corp., senior bond, 5.25%, 01/15/23 USA USD 10,250,000 0.25 10,000,000 Steel Dynamics Inc., senior note, 144A, 5.125%, 10/01/21 USA USD 10,187,500 0.25 11,800,000 California Resources Corp., senior note, 144A, 5.50%, 09/15/21 USA USD 10,148,000 0.25 9,800,000 Clear Channel Worldwide Holdings Inc., senior note, 6.50%, 11/15/22 USA USD 10,143,000 0.25

Number of shares or



Marketvalue

% ofnet

assets






Corporate Bonds (continued) 10,000,000 Hertz Corp., senior note, 5.875%, 10/15/20 USA USD 10,125,000 0.25 9,500,000 U.S. Coatings Acquisition Inc./Flash Dutch 2 BV, senior note, 144A, 7.375%, 05/01/21 USA USD 10,117,500 0.25 9,700,000 Virgin Media Secured Finance PLC, senior secured note, first lien, 144A, 5.375%, 04/15/21 GBR USD 10,112,250 0.25 9,900,000 DISH DBS Corp., senior note, 144A, 5.875%, 11/15/24 USA USD 9,974,250 0.24 9,300,000 Ardagh Packaging Finance PLC/Ardagh MP Holdings USA Inc., senior note, 144A, 9.125%, 10/15/20 LUX USD 9,904,500 0.24 10,000,000 CommScope Inc., senior note, 144A, 5.00%, 06/15/21 USA USD 9,900,000 0.24 19,000,000 Midstates Petroleum Co. Inc./LLC, senior note, 9.25%, 06/01/21 USA USD 9,690,000 0.24 9,100,000 KB Home, senior note, 7.00%, 12/15/21 USA USD 9,594,813 0.23 15,000,000 Alpha Natural Resources Inc., second lien, 144A, 7.50%, 08/01/20 USA USD 9,487,500 0.23 9,500,000 KB Home, senior note, 4.75%, 05/15/19 USA USD 9,381,250 0.23 9,400,000 Sprint Corp., senior bond, 7.875%, 09/15/23 USA USD 9,326,680 0.23 14,000,000 Triangle USA Petroleum Corp., senior note, 144A, 6.75%, 07/15/22 USA USD 9,310,000 0.23 11,900,000 Atlas Energy Holdings Operating Co. LLC/Atlas Resource Finance Corp., senior note, 144A, 9.25%, 08/15/21 USA USD 9,282,000 0.23 7,500,000 Kerling PLC, senior secured note, first lien, Reg S, 10.625%, 02/01/17 GBR EUR 9,226,235 0.23 8,900,000 CommScope Holdings Co. Inc., senior note, 144A, PIK, 6.625%, 06/01/20 ‡ USA USD 9,211,500 0.23 10,000,000 FMG Resources (August 2006) Pty. Ltd., senior note, 144A, 8.25%, 11/01/19 AUS USD 9,137,500 0.22 9,000,000 Penn Virginia Resource Partners LP/Penn Virginia Resource Finance Corp., senior note, 6.50%, 05/15/21 USA USD 9,135,000 0.22 12,300,000 American Energy-Permian Basin LLC/AEPB Finance Corp., senior note, 144A, 7.375%, 11/01/21 USA USD 9,102,000 0.22 8,100,000 Frontier Communications Corp., senior note, 8.75%, 04/15/22 USA USD 9,092,250 0.22 9,600,000 Oasis Petroleum Inc., senior note, 6.875%, 03/15/22 USA USD 8,784,000 0.21 8,000,000 Jaguar Holding Co. II/Merger Sub Inc., senior note, 144A, 9.50%, 12/01/19 USA USD 8,610,000 0.21 9,000,000 Ineos Group Holdings SA, senior note, 144A, 5.875%, 02/15/19 CHE USD 8,550,000 0.21 10,000,000 Linn Energy LLC/Finance Corp., senior note, 6.25%, 11/01/19 USA USD 8,550,000 0.21 8,000,000 CHS/Community Health Systems Inc., senior note, 7.125%, 07/15/20 USA USD 8,540,000 0.21 8,000,000 Clear Channel Worldwide Holdings Inc., senior sub. note, 7.625%, 03/15/20 USA USD 8,460,000 0.21 8,100,000 T-Mobile USA Inc., senior note, 6.542%, 04/28/20 USA USD 8,393,625 0.20 15,200,000 Energy XXI Gulf Coast Inc., senior note, 144A, 6.875%, 03/15/24 USA USD 8,246,000 0.20 8,100,000 Tenet Healthcare Corp., senior note, 144A, 5.00%, 03/01/19 USA USD 8,130,375 0.20 9,200,000 Compressco Partners LP/Finance Corp., senior note, 144A, 7.25%, 08/15/22 USA USD 8,004,000 0.20 8,000,000 JPMorgan Chase & Co., junior sub. bond, V, 5.00% to 07/30/19, FRN thereafter, Perpetual, 01/01/00 USA USD 7,867,496 0.19 7,300,000 MGM Resorts International, senior note, 6.75%, 10/01/20 USA USD 7,683,250 0.19 10,000,000 Memorial Production Partners LP/Memorial Production Finance Corp., senior note, 144A, 6.875%, 08/01/22 USA USD 7,650,000 0.19 8,000,000 Wind Acquisition Finance SA, senior secured note, first lien, 144A, 4.75%, 07/15/20 ITA USD 7,600,000 0.19 8,000,000 Digicel Group Ltd., senior note, 144A, 7.125%, 04/01/22 BMU USD 7,560,000 0.18 10,500,000 Offshore Group Investment Ltd., senior bond, first lien, 7.125%, 04/01/23 USA USD 7,560,000 0.18 7,400,000 CCOH Safari LLC, senior bond, 5.75%, 12/01/24 USA USD 7,501,750 0.18 6,800,000 CenturyLink Inc., senior bond, 6.75%, 12/01/23 USA USD 7,471,500 0.18 7,500,000 IHS Inc., senior note, 144A, 5.00%, 11/01/22 USA USD 7,462,500 0.18 7,000,000 Cemex SAB de CV, senior secured note, 144A, 9.00%, 01/11/18 MEX USD 7,323,750 0.18 7,000,000 HCA Inc., senior secured bond, first lien, 5.25%, 04/15/25 USA USD 7,323,750 0.18 8,000,000 Oasis Petroleum Inc., senior note, 6.50%, 11/01/21 USA USD 7,320,000 0.18 7,100,000 Dynegy Finance I Inc./Dynegy Finance II Inc., senior secured bond, first lien, 144A, 7.625%, 11/01/24 USA USD 7,250,875 0.18 7,100,000 Owens-Brockway Glass Container Inc., senior note, 144A, 5.00%, 01/15/22 USA USD 7,250,875 0.18 7,000,000 inVentiv Health Inc., senior secured note, 144A, 9.00%, 01/15/18 USA USD 7,175,000 0.18 7,000,000 TransDigm Inc., senior sub. note, 6.00%, 07/15/22 USA USD 7,017,500 0.17 6,900,000 TransDigm Inc., senior sub. bond, 6.50%, 07/15/24 USA USD 6,969,000 0.17 6,900,000 Frontier Communications Corp., senior note, 7.875%, 01/15/27 USA USD 6,917,250 0.17 6,900,000 Florida East Coast Holdings Corp., senior note, 144A, 9.75%, 05/01/20 USA USD 6,900,000 0.17 12,400,000 Energy XXI Gulf Coast Inc., senior note, 7.50%, 12/15/21 USA USD 6,758,000 0.17 7,000,000 NGL Energy Partners LP/NGL Energy Finance Corp., senior note, 144A, 5.125%, 07/15/19 USA USD 6,728,750 0.16 6,500,000 T-Mobile USA Inc., senior note, 6.731%, 04/28/22 USA USD 6,719,375 0.16 6,500,000 T-Mobile USA Inc., senior note, 6.633%, 04/28/21 USA USD 6,695,000 0.16 8,800,000 Halcon Resources Corp., senior note, 9.25%, 02/15/22 USA USD 6,534,000 0.16 7,000,000 Oasis Petroleum Inc., senior note, 6.875%, 01/15/23 USA USD 6,405,000 0.16 6,200,000 Clear Channel Worldwide Holdings Inc., senior note, 6.50%, 11/15/22 USA USD 6,339,500 0.15 5,200,000 MGM Resorts International, senior note, 8.625%, 02/01/19 USA USD 5,921,500 0.14 6,500,000 Abengoa Finance SAU, senior note, 144A, 7.75%, 02/01/20 ESP USD 5,801,250 0.14 5,400,000 Pinnacle Entertainment Inc., senior note, 6.375%, 08/01/21 USA USD 5,589,000 0.14 5,000,000 MGM Resorts International, senior note, 7.75%, 03/15/22 USA USD 5,550,000 0.14 5,200,000 T-Mobile USA Inc., senior bond, 6.50%, 01/15/24 USA USD 5,343,000 0.13 5,000,000 CCO Holdings LLC/CCO Holdings Capital Corp., senior note, 6.50%, 04/30/21 USA USD 5,268,750 0.13 5,000,000 CIT Group Inc., senior note, 5.25%, 03/15/18 USA USD 5,225,000 0.13 5,400,000 Ardagh Packaging Finance PLC/Ardagh MP Holdings USA Inc., senior note, 144A, 6.00%, 06/30/21 LUX USD 5,170,500 0.13 4,544,000 First Data Corp., senior note, 11.25%, 01/15/21 USA USD 5,168,800 0.13 5,000,000 Navient Corp., senior note, 4.875%, 06/17/19 USA USD 5,027,000 0.12 4,700,000 Ardagh Packaging Finance PLC, senior note, 144A, 9.125%, 10/15/20 LUX USD 5,017,250 0.12

Number of shares or



Marketvalue

% ofnet

assets






Corporate Bonds (continued) 5,000,000 JPMorgan Chase & Co., junior sub. note, X, 6.10% to 10/01/24, FRN thereafter, Perpetual, 01/01/00 USA USD 5,000,000 0.12 4,700,000 Albea Beauty Holdings SA, first lien, 144A, 8.375%, 11/01/19 FRA USD 4,958,500 0.12 5,000,000 CommScope Inc., senior bond, 144A, 5.50%, 06/15/24 USA USD 4,950,000 0.12 5,667,000 CGG SA, senior note, 7.75%, 05/15/17 FRA USD 4,887,788 0.12 5,000,000 Chesapeake Energy Corp., senior note, 4.875%, 04/15/22 USA USD 4,887,500 0.12 4,500,000 Tenet Healthcare Corp., first lien, 6.00%, 10/01/20 USA USD 4,843,485 0.12 4,700,000 AECOM Technology Corp., senior note, 144A, 5.75%, 10/15/22 USA USD 4,817,500 0.12 4,800,000 Oasis Petroleum Inc., senior note, 7.25%, 02/01/19 USA USD 4,632,000 0.11 4,315,000 Taylor Morrison Communities Inc./Monarch Communities Inc., senior note,

144A, 7.75%, 04/15/20 USA USD 4,595,475 0.11 4,300,000 M/I Homes Inc., senior note, 8.625%, 11/15/18 USA USD 4,482,750 0.11 4,200,000 Chesapeake Energy Corp., senior note, 5.75%, 03/15/23 USA USD 4,347,000 0.11 4,200,000 Ally Financial Inc., senior bond, 5.125%, 09/30/24 USA USD 4,273,500 0.10 4,200,000 Alere Inc., senior sub. note, 6.50%, 06/15/20 USA USD 4,252,500 0.10 5,000,000 FMG Resources (August 2006) Pty. Ltd., senior note, 144A, 6.875%, 04/01/22 AUS USD 4,181,250 0.10 5,800,000 Chaparral Energy Inc., senior note, 8.25%, 09/01/21 USA USD 4,002,000 0.10 4,225,000 CHC Helicopter SA, senior note, 9.375%, 06/01/21 CAN USD 3,992,625 0.10 4,000,000 Post Holdings Inc., senior note, 144A, 6.00%, 12/15/22 USA USD 3,765,000 0.09 3,600,000 CHS/Community Health Systems Inc., senior secured note, 5.125%, 08/01/21 USA USD 3,753,000 0.09 3,600,000 Frontier Communications Corp., senior bond, 7.625%, 04/15/24 USA USD 3,726,000 0.09 3,600,000 Tenet Healthcare Corp., senior note, 144A, 5.50%, 03/01/19 USA USD 3,699,000 0.09 3,300,000 CHS/Community Health Systems Inc., senior note, 5.125%, 08/01/21 USA USD 3,512,438 0.09 3,300,000 Ardagh Packaging Finance PLC/Ardagh MP Holdings USA Inc., senior note, 144A, 6.75%, 01/31/21 LUX USD 3,264,938 0.08 4,900,000 Chaparral Energy Inc., senior note, 7.625%, 11/15/22 USA USD 3,258,500 0.08 3,100,000 Ardagh Packaging Finance PLC/Ardagh MP Holdings USA Inc., senior note, 144A, 6.25%, 01/31/19 LUX USD 3,038,000 0.07 2,900,000 T-Mobile USA Inc., senior note, 6.125%, 01/15/22 USA USD 2,954,375 0.07 2,800,000 AECOM Technology Corp., senior bond, 144A, 5.875%, 10/15/24 USA USD 2,870,000 0.07 3,500,000 Linn Energy LLC/Finance Corp., senior note, 6.50%, 09/15/21 USA USD 2,852,500 0.07 3,000,000 Linn Energy LLC/Finance Corp., senior note, 6.50%, 05/15/19 USA USD 2,580,000 0.06 2,400,000 Calpine Corp., senior secured note, first lien, 144A, 6.00%, 01/15/22 USA USD 2,568,000 0.06 2,600,000 Sabine Pass Liquefaction LLC, senior secured, first lien, 5.75%, 05/15/24 USA USD 2,564,250 0.06 2,000,000 FMG Resources (August 2006) Pty. Ltd., senior note, 144A, 6.00%, 04/01/17 AUS USD 1,918,750 0.05 1,600,000 Cemex SAB de CV, secured note, 144A, 5.875%, 03/25/19 MEX USD 1,623,000 0.04 1,588,235 Ardagh Packaging Finance PLC/Ardagh MP Holdings USA Inc., senior note, 144A, 7.00%, 11/15/20 LUX USD 1,612,059 0.04 1,400,000 Clear Channel Worldwide Holdings Inc., senior sub. note, 7.625%, 03/15/20 USA USD 1,459,500 0.04 1,100,000 Virgin Media Finance PLC, senior bond, 144A, 6.375%, 04/15/23 GBR USD 1,157,750 0.03 4,000,000 Quicksilver Resources Inc., senior note, 9.125%, 08/15/19 USA USD 1,020,000 0.02

3,850,940,436 94.03

TOTAL BONDS 3,850,940,436 94.03



BONDS Corporate Bonds 1,733,089 Goss Graphic Systems Inc., senior sub. note, 12.25%, 11/19/05 **,* USA USD 173 0.00 28,000,000 NewPage Corp., Escrow Account ** USA USD 0 0.00

173 0.00

Securities Maturing Within One Year 20,000,000 Fontainebleau Las Vegas, senior secured note, first lien, 144A, 11.00%,

06/15/15 * USA USD 250,000 0.01


WARRANTS Casinos & Gaming 97,263 Station Casinos Inc., wts., 06/17/18 ** USA USD 125,469 0.00




* These Corporate Bonds are currently in default † Floating Rates are indicated as at December 31, 2014 ** These securities are submitted to a Fair Valuation ‡ Income may be received in additional securities and/or cash

Number of shares or



Marketvalue

% ofnet

assets





— Franklin Income Fund —

TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Consumer Discretionary 867,400 Target Corp. USA USD 65,844,334 1.58 1,202,200 General Motors Co. USA USD 41,968,802 1.01 1,500,000 Ford Motor Co. USA USD 23,250,000 0.56 400,000 Comcast Corp., A USA USD 23,204,000 0.56 100,000 Las Vegas Sands Corp. USA USD 5,816,000 0.14 23,014 Dex Media Inc. USA USD 206,436 0.00

160,289,572 3.85

Consumer Staples 215,100 PepsiCo Inc. USA USD 20,339,856 0.49

Energy 1,004,900 Royal Dutch Shell PLC, A, ADR GBR USD 67,278,055 1.62 1,614,000 BP PLC, ADR GBR USD 61,525,680 1.48 450,000 Chevron Corp. USA USD 50,481,000 1.21 500,000 Total SA, B, ADR FRA USD 25,600,000 0.61 250,000 Exxon Mobil Corp. USA USD 23,112,500 0.55 262,500 Devon Energy Corp. USA USD 16,067,625 0.39 350,000 Diamond Offshore Drilling Inc. USA USD 12,848,500 0.31 150,000 Schlumberger Ltd. USA USD 12,811,500 0.31 350,000 Spectra Energy Corp. USA USD 12,705,000 0.30 150,000 Occidental Petroleum Corp. USA USD 12,091,500 0.29 240,700 HollyFrontier Corp. USA USD 9,021,436 0.22 498,400 Eni SpA ITA EUR 8,750,458 0.21 200,000 Halliburton Co. USA USD 7,866,000 0.19 155,600 The Williams Cos. Inc. USA USD 6,992,664 0.17 500,000 Canadian Oil Sands Ltd. CAN CAD 4,486,545 0.11

331,638,463 7.97

Financials 631,000 Wells Fargo & Co. USA USD 34,591,420 0.83 524,800 JPMorgan Chase & Co. USA USD 32,841,984 0.79 599,134 MetLife Inc. USA USD 32,407,158 0.78 15,000 Bank of America Corp., 7.25%, cvt. pfd., L USA USD 17,444,550 0.42 14,000 Wells Fargo & Co., 7.50%, cvt. pfd., A USA USD 16,974,930 0.41 774,500 Bank of America Corp. USA USD 13,855,805 0.33 500,000 Morgan Stanley, 6.375%, pfd., I USA USD 12,655,000 0.30 103,900 Royal Bank of Canada CAN CAD 7,179,278 0.17 250,000 Outfront Media Inc. USA USD 6,710,000 0.16 550,000 HSBC Holdings PLC GBR GBP 5,217,436 0.12 120,000 GMAC Capital Trust I, 8.125%, pfd. USA USD 3,165,600 0.08 45,000 FelCor Lodging Trust Inc., 7.80%, cvt. pfd., A USA USD 1,149,300 0.03

184,192,461 4.42

Health Care 1,927,200 Pfizer Inc. USA USD 60,032,280 1.44 728,600 Merck & Co. Inc. USA USD 41,377,194 1.00 500,000 Sanofi, ADR FRA USD 22,805,000 0.55 180,000 Johnson & Johnson USA USD 18,822,600 0.45 249,900 Eli Lilly & Co. USA USD 17,240,601 0.42 35,900 Roche Holding AG CHE CHF 9,745,937 0.23 100,000 Bristol-Myers Squibb Co. USA USD 5,903,000 0.14

175,926,612 4.23

Industrials 2,500,000 General Electric Co. USA USD 63,175,000 1.52 500,000 Waste Management Inc. USA USD 25,660,000 0.62 130,000 Lockheed Martin Corp. USA USD 25,034,100 0.60 250,000 Deere & Co. USA USD 22,117,500 0.53 200,000 Raytheon Co. USA USD 21,634,000 0.52 500,000 Republic Services Inc. USA USD 20,125,000 0.48 127,100 The Boeing Co. USA USD 16,520,458 0.40 40,000 United Technologies Corp. USA USD 4,600,000 0.11

198,866,058 4.78

Information Technology 400,000 Apple Inc. USA USD 44,152,000 1.06 1,131,000 Intel Corp. USA USD 41,043,990 0.99 617,300 Microsoft Corp. USA USD 28,673,585 0.69 200,000 KLA-Tencor Corp. USA USD 14,064,000 0.34 250,000 Xilinx Inc. USA USD 10,822,500 0.26 376,200 Cisco Systems Inc. USA USD 10,464,003 0.25 150,000 Texas Instruments Inc. USA USD 8,019,750 0.19

157,239,828 3.78

Number of shares or



Marketvalue

% ofnet

assets






Materials 1,284,700 Rio Tinto PLC, ADR GBR USD 59,173,282 1.42 650,000 E. I. du Pont de Nemours and Co. USA USD 48,061,000 1.16 1,000,000 The Dow Chemical Co. USA USD 45,610,000 1.10 1,542,600 BHP Billiton PLC AUS GBP 33,385,795 0.80 325,000 Agrium Inc. CAN USD 30,784,000 0.74 300,000 LyondellBasell Industries NV, A USA USD 23,817,000 0.57 1,000,000 Freeport-McMoRan Inc., B USA USD 23,360,000 0.56 412,400 Alcoa Inc., 5.375%, cvt. pfd. USA USD 20,805,580 0.50 350,000 The Mosaic Co. USA USD 15,977,500 0.38 150,000 BASF SE DEU EUR 12,683,220 0.31 480,600 Barrick Gold Corp. CAN USD 5,166,450 0.12 200,000 Goldcorp Inc. CAN USD 3,704,000 0.09 170,000 ArcelorMittal, 6.00%, cvt. pfd. LUX USD 2,941,000 0.07

325,468,827 7.82

Telecommunication Services 1,288,600 AT&T Inc. USA USD 43,284,074 1.04 839,800 Verizon Communications Inc. USA USD 39,285,844 0.94 375,000 CenturyLink Inc. USA USD 14,842,500 0.36 2,727,271 Vodafone Group PLC GBR GBP 9,464,845 0.23 1,644,400 Telstra Corp. Ltd. AUS AUD 8,015,636 0.19

114,892,899 2.76

Utilities 1,699,600 Exelon Corp. USA USD 63,021,168 1.51 1,224,100 The Southern Co. USA USD 60,115,551 1.44 1,107,700 PG&E Corp. USA USD 58,973,948 1.42 500,000 Duke Energy Corp. USA USD 41,770,000 1.00 300,000 Dominion Resources Inc. USA USD 23,070,000 0.55 600,000 Xcel Energy Inc. USA USD 21,552,000 0.52 200,000 Entergy Corp. USA USD 17,496,000 0.42 150,000 Sempra Energy USA USD 16,704,000 0.40 141,315 NextEra Energy Inc. USA USD 15,020,371 0.36 400,000 PPL Corp. USA USD 14,532,000 0.35 300,000 Ameren Corp. USA USD 13,839,000 0.33 200,000 Pinnacle West Capital Corp. USA USD 13,662,000 0.33 350,000 FirstEnergy Corp. USA USD 13,646,500 0.33 238,900 Dominion Resources Inc., 6.375%, cvt. pfd., A USA USD 12,425,189 0.30 350,000 Dynegy Inc. USA USD 10,622,500 0.25 150,000 American Electric Power Co. Inc. USA USD 9,108,000 0.22 200,000 Public Service Enterprise Group Inc. USA USD 8,282,000 0.20 100,000 NextEra Energy Inc., 5.799%, cvt. pfd. USA USD 5,769,000 0.14 100,000 Exelon Corp., 6.50%, cvt. pfd. USA USD 5,250,000 0.13 83,000 Dominion Resources Inc., 6.125%, cvt. pfd., A USA USD 4,980,830 0.12 200,000 TECO Energy Inc. USA USD 4,098,000 0.10 3,171,100 HK Electric Investments & HK Electric Investments Ltd.,144A HKG HKD 2,093,905 0.05 33,000 Dominion Resources Inc., 6.00%, cvt. pfd., B USA USD 1,983,960 0.05

438,015,922 10.52

TOTAL SHARES 2,106,870,498 50.62

WARRANTS Utilities 31,757 Dynegy Inc., wts., 10/02/17 USA USD 127,981 0.00



TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET SHARES Consumer Discretionary 1,000,000 Morgan Stanley into Ford Motor Co., 7.00%, cvt. pfd., 144A USA USD 16,000,600 0.38 60,000 Fiat Chrysler Automobiles NV, 7.875%, cvt., pfd. GBR USD 6,450,000 0.16

22,450,600 0.54

Consumer Staples 280,000 Citigroup Inc. into Whole Foods Market Inc., 7.00%, cvt. pfd., 144A USA USD 12,476,632 0.30

Energy 180,000 JPMorgan Chase & Co. into Anadarko Petroleum Corp., 7.00%, cvt. pfd., 144A USA USD 14,910,624 0.36 148,000 Barclays Bank PLC into Anadarko Petroleum Corp., 6.00%, cvt. pfd., 144A USA USD 12,594,489 0.30 375,000 Citigroup Inc. into Cabot Oil & Gas Corp., 6.00%, cvt. pfd., 144A USA USD 11,255,325 0.27 126,000 Citigroup Inc. into Anadarko Petroleum Corp., 8.00%, cvt. pfd., 144A USA USD 10,610,019 0.25 180,000 JPMorgan Chase & Co. into The Williams Cos. Inc., 8.50%, cvt. pfd., 144A USA USD 7,876,314 0.19 145,000 Credit Suisse New York into Baker Hughes Inc., 6.00%, cvt. pfd., 144A USA USD 7,875,400 0.19 75,000 Penn Virginia Corp., 6.00%, cvt. pfd., 144A USA USD 4,940,625 0.12 500,000 Deutsche Bank AG/London into Peabody Energy Corp., 10.00%, cvt. pfd., 144A USA USD 4,286,785 0.10

Number of shares or



Marketvalue

% ofnet

assets






Energy (continued) 3,500 Chesapeake Energy Corp., 5.75%, cvt. pfd., 144A USA USD 3,591,875 0.09 100,000 Sanchez Energy Corp., 6.50%, cvt. pfd., B USA USD 3,418,000 0.08 8,325 Halcon Resources Corp., 5.75%, cvt. pfd., A USA USD 2,712,909 0.07 40,000 SandRidge Energy Inc., 7.00%, cvt. pfd. USA USD 2,234,000 0.05 40,000 Sanchez Energy Corp., 4.875%, cvt. pfd. USA USD 1,288,112 0.03

87,594,477 2.10

Financials 175,000 Credit Suisse New York into Metlife Inc., 6.00%, cvt. pfd., 144A USA USD 9,649,675 0.24 124,300 FHLMC, 8.375%, pfd., Z USA USD 490,985 0.01 121,700 FNMA, 8.25%, pfd. USA USD 470,979 0.01

10,611,639 0.26

Industrials 1,479 CEVA Holdings LLC GBR USD 1,146,450 0.03 1,408 CEVA Holdings LLC, cvt. pfd., A-2 GBR USD 1,091,177 0.03 44 CEVA Holdings LLC, cvt. pfd., A-1 GBR USD 44,000 0.00

2,281,627 0.06

Information Technology 572,000 Bank of America Corp. into FreescaleSemiconductor Ltd., 7.00%, cvt. pfd., 144A USA USD 13,081,754 0.31

Materials 250,000 Wells Fargo & Co. into Freeport-McMoRan Inc., 7.50%, cvt. pfd., 144A USA USD 6,264,450 0.15

Utilities 50,000 NextEra Energy Inc., 5.599%, cvt. pfd. USA USD 3,477,250 0.08

TOTAL SHARES 158,238,429 3.80

BONDS Corporate Bonds 32,800,000 iHeartCommunications Inc., senior secured note, first lien, 144A,

9.00%, 09/15/22 USA USD 32,226,000 0.77 22,000,000 Tenet Healthcare Corp., senior note, 8.125%, 04/01/22 USA USD 24,640,000 0.59 25,000,000 Abengoa Yield PLC, senior note, 144A, 7.00%, 11/15/19 ESP USD 24,546,875 0.59 18,263,000 First Data Corp., senior bond, 12.625%, 01/15/21 USA USD 21,732,970 0.52 20,000,000 Dynegy Finance I Inc./Dynegy Finance II Inc., senior note, 144A, 6.75%, 11/01/19 USA USD 20,375,000 0.49 20,000,000 Calpine Corp., senior bond, 5.75%, 01/15/25 USA USD 20,275,000 0.49 20,000,000 Tenet Healthcare Corp., 4.375%, 10/01/21 USA USD 19,950,000 0.48 18,400,000 First Data Corp., senior secured bond, second lien, 144A, 8.25%, 01/15/21 USA USD 19,780,000 0.48 25,000,000 Cobalt International Energy Inc., cvt., senior bond, 3.125%, 05/15/24 USA USD 16,890,625 0.41 17,000,000 iHeartCommunications Inc., senior secured bond, first lien, 9.00%, 03/01/21 USA USD 16,723,750 0.40 15,000,000 T-Mobile USA Inc., senior note, 6.464%, 04/28/19 USA USD 15,637,500 0.38 15,000,000 Dynegy Finance I Inc./Dynegy Finance II Inc., senior note, 144A, 7.375%, 10/08/22 USA USD 15,281,250 0.37 15,000,000 Intelsat Jackson Holdings SA, senior bond, 5.50%, 08/01/23 LUX USD 14,953,125 0.36 15,100,000 Citigroup Inc., junior sub. bond, M, 6.30% to 05/15/24, FRN thereafter, Perpetual USA USD 14,911,250 0.36 16,000,000 Sprint Nextel Corp., senior note, 6.00%, 11/15/22 USA USD 14,780,000 0.36 15,000,000 JPMorgan Chase & Co., junior sub. bond, V, 5.00% to 07/30/19, FRN thereafter, Perpetual USA USD 14,751,555 0.35 15,000,000 Citigroup Inc., junior sub. note, 5.90% to 02/15/23, FRN thereafter, Perpetual USA USD 14,700,000 0.35 14,100,000 Sprint Corp., senior bond, 7.875%, 09/15/23 USA USD 13,990,020 0.34 13,200,000 Sabine Pass Liquefaction LLC, senior secured, first lien, 5.75%, 05/15/24 USA USD 13,018,500 0.31 12,500,000 Jaguar Holding Co. I, senior note, 144A, PIK, 9.375%, 10/15/17 ‡ USA USD 12,806,250 0.31 12,500,000 HCA Inc., senior secured bond, first lien, 4.75%, 05/01/23 USA USD 12,750,000 0.31 12,200,000 Nielsen Finance LLC/Co., senior note, 144A, 5.00%, 04/15/22 USA USD 12,276,250 0.30 15,000,000 Walter Energy Inc., first lien, 144A, 9.50%, 10/15/19 USA USD 11,475,000 0.28 12,000,000 Bank of America Corp., junior sub. bond, U, 5.20% to 06/01/23, FRN thereafter, Perpetual USA USD 11,115,000 0.27 10,400,000 HCA Inc., senior secured note, first lien, 5.00%, 03/15/24 USA USD 10,712,000 0.26 10,000,000 DaVita HealthCare Partners Inc., senior note, 5.75%, 08/15/22 USA USD 10,637,500 0.26 10,500,000 CCO Holdings LLC/CCO Holdings Capital Corp., senior bond, 5.75%, 01/15/24 USA USD 10,631,250 0.26 10,000,000 DISH DBS Corp., senior note, 5.875%, 07/15/22 USA USD 10,275,000 0.25 10,000,000 CCOH Safari LLC, senior note, 5.50%, 12/01/22 USA USD 10,175,000 0.24 10,000,000 The ADT Corp., senior note, 5.25%, 03/15/20 USA USD 10,175,000 0.24 10,420,000 iStar Financial Inc., senior note, 5.00%, 07/01/19 USA USD 10,159,500 0.24 10,000,000 Calpine Corp., senior note, 5.375%, 01/15/23 USA USD 10,112,500 0.24 10,000,000 Numericable Group SA, senior note, first lien, 144A, 6.00%, 05/15/22 FRA USD 10,056,500 0.24 10,000,000 BWAY Holding Co., senior note, 144A, 9.125%, 08/15/21 USA USD 10,050,000 0.24 10,000,000 T-Mobile USA Inc., senior note, 6.00%, 03/01/23 USA USD 10,050,000 0.24 10,700,000 CONSOL Energy Inc., senior note, 144A, 5.875%, 04/15/22 USA USD 10,004,500 0.24 10,000,000 JPMorgan Chase & Co., junior sub. note, X, 6.10% to 10/01/24, FRN thereafter, Perpetual USA USD 10,000,000 0.24 9,700,000 Sirius XM Radio Inc., senior bond, 144A, 6.00%, 07/15/24 USA USD 9,966,750 0.24 10,000,000 JPMorgan Chase & Co., junior sub. bond, R, 6.00% to 08/01/23, FRN thereafter, Perpetual USA USD 9,925,000 0.24 10,000,000 CommScope Inc., senior bond, 144A, 5.50%, 06/15/24 USA USD 9,900,000 0.24

Number of shares or



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% ofnet

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Corporate Bonds (continued) 10,000,000 NGL Energy Partners LP/NGL Energy Finance Corp., senior note, 144A,

6.875%, 10/15/21 USA USD 9,900,000 0.24 10,000,000 Citigroup Inc., junior sub. bond, 5.95% to 01/30/23, FRN thereafter, Perpetual USA USD 9,862,500 0.24 10,000,000 Diamondback Energy Inc., senior note, 7.625%, 10/01/21 USA USD 9,812,500 0.24 10,000,000 Crown Americas LLC/Crown Americas Capital Corp. IV, senior bond, 4.50%,

01/15/23 USA USD 9,750,000 0.23 10,000,000 DISH DBS Corp., senior bond, 5.00%, 03/15/23 USA USD 9,700,000 0.23 10,000,000 InterGen NV, secured bond, 144A, 7.00%, 06/30/23 NLD USD 9,550,000 0.23 10,000,000 Denbury Resources Inc., senior note, 5.50%, 05/01/22 USA USD 9,200,000 0.22 9,000,000 Univision Communications Inc., senior secured note, first lien, 144A,

5.125%, 05/15/23 USA USD 9,135,000 0.22 10,000,000 MEG Energy Corp., senior bond, 144A, 7.00%, 03/31/24 CAN USD 9,100,000 0.22 9,700,000 Sanchez Energy Corp., senior note, 7.75%, 06/15/21 USA USD 9,069,500 0.22 10,000,000 Alliance One International Inc., secured note, second lien, 9.875%,

07/15/21 USA USD 8,975,000 0.22 10,200,000 Denbury Resources Inc., senior sub. note, 4.625%, 07/15/23 USA USD 8,899,500 0.21 9,000,000 CCO Holdings LLC/CCO Holdings Capital Corp., senior bond, 5.125%,

02/15/23 USA USD 8,831,250 0.21 8,400,000 United Rentals North America Inc., senior bond, 5.75%, 11/15/24 USA USD 8,673,000 0.21 8,800,000 Sabine Pass Liquefaction LLC, first lien, 5.625%, 04/15/23 USA USD 8,646,000 0.21 13,000,000 W&T Offshore Inc., senior note, 8.50%, 06/15/19 USA USD 8,645,000 0.21 8,900,000 Cemex Finance LLC, senior secured note, first lien, 144A, 6.00%, 04/01/24 MEX USD 8,616,312 0.21 10,000,000 Peabody Energy Corp., senior note, 6.25%, 11/15/21 USA USD 8,587,500 0.21 8,500,000 Tenet Healthcare Corp., senior secured note, first lien, 4.50%, 04/01/21 USA USD 8,553,125 0.21 9,000,000 BMC Software Finance Inc., senior note, 144A, 8.125%, 07/15/21 USA USD 8,505,000 0.20 8,500,000 JBS USA LLC/Finance Inc., senior bond, 144A, 5.875%, 07/15/24 USA USD 8,436,250 0.20 8,000,000 KB Home, senior note, 7.00%, 12/15/21 USA USD 8,435,000 0.20 8,300,000 DISH DBS Corp., senior note, 144A, 5.875%, 11/15/24 USA USD 8,362,250 0.20 7,800,000 Shea Homes LP/Funding Corp., senior secured note, 8.625%, 05/15/19 USA USD 8,229,000 0.20 7,700,000 Reynolds Group Issuer Inc./LLC/SA, senior secured note, 7.875%, 08/15/19 USA USD 8,133,125 0.20 8,766,000 Citigroup Inc., junior sub. bond, 5.35% to 05/15/23, FRN thereafter, Perpetual USA USD 8,130,465 0.20 10,000,000 Bill Barrett Corp., senior note, 7.00%, 10/15/22 USA USD 8,100,000 0.19 9,000,000 Calumet Specialty Products Partners LP/Calumet Finance Corp., senior note,

144A, 6.50%, 04/15/21 USA USD 8,077,500 0.19 7,900,000 Wells Fargo & Co., junior sub. bond, S, 5.90% to 06/15/24, FRN thereafter, Perpetual USA USD 7,979,000 0.19 9,000,000 Stone Energy Corp., senior bond, 7.50%, 11/15/22 USA USD 7,785,000 0.19 7,500,000 1011778 BC ULC/New Red Finance Inc., secured note, second lien, 144A,

6.00%, 04/01/22 CAN USD 7,725,000 0.19 8,200,000 Sprint Corp., senior bond, 7.125%, 06/15/24 USA USD 7,667,000 0.18 7,400,000 JBS USA LLC/Finance Inc., senior note, 144A, 7.25%, 06/01/21 USA USD 7,659,000 0.18 6,900,000 Verizon Communications Inc., senior note, 5.15%, 09/15/23 USA USD 7,624,597 0.18 10,000,000 CGG SA, senior note, 6.875%, 01/15/22 FRA USD 7,618,750 0.18 7,336,000 Hertz Corp., senior note, 6.75%, 04/15/19 USA USD 7,592,760 0.18 8,000,000 Wind Acquisition Finance SA, senior note, second lien, 144A, 7.375%,

04/23/21 ITA USD 7,560,000 0.18 7,500,000 Chesapeake Energy Corp., senior note, 5.375%, 06/15/21 USA USD 7,532,812 0.18 8,000,000 Rice Energy Inc., senior note, 144A, 6.25%, 05/01/22 USA USD 7,480,000 0.18 7,700,000 Antero Resources Finance Corp., senior note, 5.375%, 11/01/21 USA USD 7,478,625 0.18 7,500,000 NGPL PipeCo LLC, secured note, 144A, 7.119%, 12/15/17 USA USD 7,406,250 0.18 6,800,000 JPMorgan Chase & Co., junior sub. note, I, 7.90% to 04/30/19, FRN thereafter, Perpetual USA USD 7,352,840 0.18 9,100,000 24 Hour Holdings III LLC, senior note, 144A, 8.00%, 06/01/22 USA USD 7,325,500 0.18 7,700,000 Stena International SA, secured bond, 144A, 5.75%, 03/01/24 SWE USD 7,276,500 0.17 7,100,000 DaVita HealthCare Partners Inc., senior bond, 5.125%, 07/15/24 USA USD 7,255,312 0.17 8,400,000 California Resources Corp., senior note, 144A, 5.50%, 09/15/21 USA USD 7,224,000 0.17 8,000,000 First Quantum Minerals Ltd., senior note, 144A, 7.25%, 05/15/22 CAN USD 7,220,000 0.17 7,000,000 Telecom Italia SpA, senior note, 144A, 5.303%, 05/30/24 ITA USD 7,109,375 0.17 6,500,000 Kinder Morgan Inc., senior secured bond, first lien, 144A, 5.625%, 11/15/23 USA USD 6,969,690 0.17 6,700,000 Millicom International Cellular SA, senior note, 144A, 6.625%, 10/15/21 LUX USD 6,888,437 0.17 9,000,000 CGG SA, senior note, 6.50%, 06/01/21 FRA USD 6,885,000 0.17 12,600,000 Energy XXI Gulf Coast Inc., senior note, 144A, 6.875%, 03/15/24 USA USD 6,835,500 0.16 7,000,000 Regal Entertainment Group, senior note, 5.75%, 03/15/22 USA USD 6,720,000 0.16 6,700,000 Cott Beverages Inc., senior note, 144A, 6.75%, 01/01/20 USA USD 6,716,750 0.16 10,000,000 Energy XXI Gulf Coast Inc., senior note, 9.25%, 12/15/17 USA USD 6,650,000 0.16 6,587,000 Rockies Express Pipeline LLC, senior note, 144A, 6.00%, 01/15/19 USA USD 6,636,402 0.16 7,500,000 Abengoa Greenfield SA, senior note, 144A, 6.50%, 10/01/19 ESP USD 6,557,812 0.16 6,200,000 HCA Inc., senior note, 5.875%, 05/01/23 USA USD 6,548,750 0.16 8,400,000 BreitBurn Energy Partners LP/BreitBurn Finance Corp., senior bond,

7.875%, 04/15/22 USA USD 6,531,000 0.16 5,000,000 Verizon Communications Inc., senior bond, 6.55%, 09/15/43 USA USD 6,415,125 0.15 6,100,000 Freescale Semiconductor Inc., senior secured note, 144A, 6.00%, 01/15/22 USA USD 6,389,750 0.15 6,300,000 Iron Mountain Inc., senior sub. bond, 5.75%, 08/15/24 USA USD 6,370,875 0.15 6,000,000 CCO Holdings LLC/CCO Holdings Capital Corp., senior note, 6.50%, 04/30/21 USA USD 6,322,500 0.15 7,500,000 Sanchez Energy Corp., senior note, 144A, 6.125%, 01/15/23 USA USD 6,318,750 0.15 5,500,000 Aviation Capital Group Corp., 144A, 6.75%, 04/06/21 USA USD 6,256,250 0.15

Number of shares or



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Corporate Bonds (continued) 5,450,000 HCA Inc., senior note, 7.50%, 02/15/22 USA USD 6,240,250 0.15 6,000,000 WhiteWave Foods Co., senior note, 5.375%, 10/01/22 USA USD 6,195,000 0.15 5,800,000 KB Home, senior bond, 7.50%, 09/15/22 USA USD 6,177,000 0.15 5,000,000 Kinder Morgan Inc., senior note, MTN, 7.75%, 01/15/32 USA USD 6,175,000 0.15 6,652,000 Dollar General Corp., senior bond, 3.25%, 04/15/23 USA USD 6,065,719 0.15 6,000,000 CBS Outdoor Americas Capital LLC/CBS Outdoor Americas Capital Corp., senior note, 144A, 5.25%, 02/15/22 USA USD 6,060,000 0.15 6,000,000 CommScope Inc., senior note, 144A, 5.00%, 06/15/21 USA USD 5,940,000 0.14 5,000,000 Chrysler Group LLC/CG Co-Issuer Inc., senior secured note, 8.25%, 06/15/21 USA USD 5,562,500 0.13 7,200,000 EXCO Resources Inc., senior note, 7.50%, 09/15/18 USA USD 5,539,500 0.13 6,000,000 Peabody Energy Corp., senior note, 6.00%, 11/15/18 USA USD 5,475,000 0.13 5,000,000 Dynacast International LLC/Finance Inc., 9.25%, 07/15/19 USA USD 5,387,500 0.13 5,200,000 Royal Bank of Scotland Group PLC, sub. note, 5.125%, 05/28/24 GBR USD 5,297,500 0.13 5,000,000 Chrysler Group LLC/CG Co-Issuer Inc., senior secured note, 8.00%, 06/15/19 USA USD 5,281,250 0.13 5,000,000 Cemex SAB de CV, secured note, 144A, 7.25%, 01/15/21 MEX USD 5,259,375 0.13 5,000,000 HCA Inc., senior secured bond, first lien, 5.25%, 04/15/25 USA USD 5,231,250 0.13 5,000,000 Unitymedia Hessen GmbH & Co. KG/Unitymedia NRW GmbH,

senior secured bond, 144A, 5.50%, 01/15/23 DEU USD 5,225,000 0.13 5,000,000 Ahern Rentals Inc., secured note, second lien, 144A, 9.50%, 06/15/18 USA USD 5,200,000 0.13 5,000,000 JBS USA LLC/Finance Inc., senior note, 144A, 7.25%, 06/01/21 USA USD 5,175,000 0.12 5,000,000 T-Mobile USA Inc., senior note, 6.731%, 04/28/22 USA USD 5,168,750 0.12 5,000,000 Albertsons Holdings/Saturn Acquisition, senior note, 144A, 7.75%, 10/15/22 USA USD 5,150,000 0.12 5,000,000 OneMain Financial Holdings Inc., senior note, 144A, 7.25%, 12/15/21 USA USD 5,150,000 0.12 5,000,000 T-Mobile USA Inc., senior note, 6.633%, 04/28/21 USA USD 5,150,000 0.12 5,000,000 T-Mobile USA Inc., senior bond, 6.625%, 04/01/23 USA USD 5,145,000 0.12 5,000,000 Mallinckrodt International Finance SA/Mallinckrodt CB LLC, senior note, 144A, 5.75%, 08/01/22 USA USD 5,143,750 0.12 5,000,000 WR Grace & Co-Conn, senior note, 144A, 5.125%, 10/01/21 USA USD 5,137,500 0.12 5,000,000 Ashtead Capital Inc., second lien, 144A, 5.625%, 10/01/24 GBR USD 5,134,375 0.12 5,000,000 OneMain Financial Holdings Inc., senior note, 144A, 6.75%, 12/15/19 USA USD 5,112,500 0.12 5,000,000 Access Midstream Partner LP/ACMP Finance Corp., senior note, 4.875%,

05/15/23 USA USD 5,100,000 0.12 5,000,000 HD Supply Inc., first lien, 144A, 5.25%, 12/15/21 USA USD 5,100,000 0.12 5,000,000 The AES Corp., senior bond, 5.50%, 03/15/24 USA USD 5,099,000 0.12 5,000,000 Sabine Pass Liquefaction LLC, first lien, 6.25%, 03/15/22 USA USD 5,093,750 0.12 5,000,000 Bombardier Inc., senior note, 144A, 6.00%, 10/15/22 CAN USD 5,056,250 0.12 5,000,000 CBS Outdoor Americas Capital LLC/CBS Outdoor Americas Capital Corp., senior bond, 144A, 5.875%, 03/15/25 USA USD 5,050,000 0.12 5,000,000 Freescale Semiconductor Inc., secured note, 144A, 5.00%, 05/15/21 USA USD 5,025,000 0.12 5,000,000 Sprint Nextel Corp., senior note, 7.00%, 08/15/20 USA USD 5,025,000 0.12 5,000,000 Weyerhaeuser Real Estate Co., senior bond, 144A, 5.875%, 06/15/24 USA USD 5,018,750 0.12 5,800,000 Ultra Petroleum Corp., senior bond, 144A, 6.125%, 10/01/24 USA USD 5,017,000 0.12 5,000,000 Lundin Mining Corp., senior secured note, 144A, 7.875%, 11/01/22 CAN USD 5,012,500 0.12 5,000,000 JPMorgan Chase & Co., junior sub. bond, 6.125% to 04/30/24, FRN thereafter, Perpetual USA USD 5,012,450 0.12 5,000,000 CCO Holdings LLC/CCO Holdings Capital Corp., senior bond, 5.25%, 09/30/22 USA USD 5,006,250 0.12 5,000,000 Belden Inc., senior sub. note, 144A, 5.50%, 09/01/22 USA USD 4,987,500 0.12 5,000,000 The AES Corp., senior bond, 4.875%, 05/15/23 USA USD 4,987,500 0.12 5,000,000 MGM Resorts International, senior note, 5.25%, 03/31/20 USA USD 4,975,000 0.12 5,000,000 Inmarsat Finance PLC, senior note, 144A, 4.875%, 05/15/22 GBR USD 4,962,500 0.12 5,000,000 Sabine Pass Liquefaction LLC, first lien, 5.625%, 02/01/21 USA USD 4,937,500 0.12 5,000,000 Navient Corp., senior note, 6.125%, 03/25/24 USA USD 4,925,000 0.12 7,500,000 American Energy-Woodford LLC/Finance Corp., senior note, 144A, 9.00%,

09/15/22 USA USD 4,875,000 0.12 5,000,000 HudBay Minerals Inc., senior note, 144A, 9.50%, 10/01/20 CAN USD 4,875,000 0.12 6,500,000 Rex Energy Corp., senior note, 144A, 6.25%, 08/01/22 USA USD 4,866,875 0.12 5,000,000 Ardagh Packaging Finance PLC/Ardagh MP Holdings USA Inc., senior note, 144A, 6.00%, 06/30/21 LUX USD 4,787,500 0.12 5,000,000 Transocean Inc., senior bond, 6.50%, 11/15/20 USA USD 4,747,460 0.11 5,000,000 Sirius XM Radio Inc., senior note, 144A, 4.625%, 05/15/23 USA USD 4,700,000 0.11 5,000,000 Jefferies Finance LLC/JFIN Co-Issuer Corp., senior note, 144A, 7.50%, 04/15/21 USA USD 4,668,750 0.11 4,500,000 CommScope Holdings Co. Inc., senior note, 144A, PIK, 6.625%, 06/01/20 ‡ USA USD 4,657,500 0.11 4,700,000 Navistar International Corp., senior note, 8.25%, 11/01/21 USA USD 4,653,000 0.11 4,500,000 Tenet Healthcare Corp., senior note, 144A, 5.50%, 03/01/19 USA USD 4,623,750 0.11 5,000,000 The ADT Corp., senior bond, 4.125%, 06/15/23 USA USD 4,537,500 0.11 5,000,000 The Williams Cos. Inc., senior bond, 3.70%, 01/15/23 USA USD 4,498,035 0.11 4,400,000 Alere Inc., senior sub. note, 6.50%, 06/15/20 USA USD 4,455,000 0.11 5,900,000 Offshore Group Investment Ltd., senior secured note, first lien, 7.50%, 11/01/19 USA USD 4,432,375 0.11 4,500,000 NCR Corp., senior note, 5.00%, 07/15/22 USA USD 4,410,000 0.11 4,200,000 Reynolds Group Issuer Inc./LLC/SA, senior secured note, 6.875%, 02/15/21 USA USD 4,404,750 0.11 4,802,000 Bill Barrett Corp., senior note, 7.625%, 10/01/19 USA USD 4,393,830 0.11 4,500,000 AMC Networks Inc., 4.75%, 12/15/22 USA USD 4,387,500 0.11 5,000,000 PetroQuest Energy Inc., senior note, 10.00%, 09/01/17 USA USD 4,387,500 0.11 7,100,000 EnQuest PLC, senior note, 144A, 7.00%, 04/15/22 GBR USD 4,362,063 0.10 3,900,000 Cablevision Systems Corp., senior note, 7.75%, 04/15/18 USA USD 4,304,625 0.10 5,000,000 Boxer Parent Co. Inc., senior note, 144A, PIK, 9.00%, 10/15/19 ‡ USA USD 4,275,000 0.10 5,000,000 California Resources Corp., senior bond, 144A, 6.00%, 11/15/24 USA USD 4,250,000 0.10

Number of shares or



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% ofnet

assets






Corporate Bonds (continued) 5,000,000 Linn Energy LLC/Finance Corp., senior note, 7.75%, 02/01/21 USA USD 4,237,500 0.10 4,004,000 Freescale Semiconductor Inc., senior note, 8.05%, 02/01/20 USA USD 4,234,230 0.10 3,900,000 Valeant Pharmaceuticals International Inc., senior note, 144A, 7.50%, 07/15/21 USA USD 4,226,625 0.10 4,000,000 Virgin Media Secured Finance PLC, senior secured bond, first lien, 144A,

5.50%, 01/15/25 GBR USD 4,142,500 0.10 4,300,000 Denbury Resources Inc., senior bond, 6.375%, 08/15/21 USA USD 4,106,500 0.10 4,000,000 Cemex SAB de CV, senior secured note, 144A, 6.50%, 12/10/19 MEX USD 4,102,500 0.10 4,800,000 Oro Negro Drilling Pte Ltd., senior secured note, 144A, 7.50%, 01/24/19 MEX USD 4,068,000 0.10 4,000,000 The Goldman Sachs Group Inc., junior sub. note, 5.70% to 05/10/19, FRN thereafter, Perpetual USA USD 4,061,000 0.10 4,000,000 TransDigm Inc., senior sub. bond, 6.50%, 07/15/24 USA USD 4,040,000 0.10 4,000,000 TransDigm Inc., senior sub. note, 6.00%, 07/15/22 USA USD 4,010,000 0.10 7,400,000 Hercules Offshore Inc., senior note, 144A, 10.25%, 04/01/19 USA USD 3,959,000 0.10 4,050,000 CHC Helicopter SA, senior secured note, first lien, 9.25%, 10/15/20 CAN USD 3,948,750 0.10 5,000,000 Atlas Energy Holdings Operating Co. LLC/Atlas Resource Finance Corp., senior note, 9.25%, 08/15/21 USA USD 3,900,000 0.09 4,500,000 Linn Energy LLC/Finance Corp., senior note, 6.50%, 05/15/19 USA USD 3,870,000 0.09 5,000,000 Memorial Production Partners LP/Memorial Production Finance Corp., senior note, 144A, 6.875%, 08/01/22 USA USD 3,825,000 0.09 5,000,000 Niska Gas Storage Canada ULC/Finance Corp., senior note, 144A, 6.50%,

04/01/19 USA USD 3,787,500 0.09 3,600,000 VPI Escrow Corp., senior note, 144A, 6.375%, 10/15/20 CAN USD 3,775,500 0.09 5,000,000 Halcon Resources Corp., senior note, 9.75%, 07/15/20 USA USD 3,775,000 0.09 10,000,000 Alpha Natural Resources Inc., cvt., senior note, 4.875%, 12/15/20 USA USD 3,712,500 0.09 3,246,000 First Data Corp., senior note, 10.625%, 06/15/21 USA USD 3,692,325 0.09 3,245,000 First Data Corp., senior note, 11.25%, 01/15/21 USA USD 3,691,188 0.09 3,500,000 Frontier Communications Corp., senior note, 7.125%, 01/15/23 USA USD 3,578,750 0.09 5,000,000 Ocean Rig UDW Inc., senior note, 144A, 7.25%, 04/01/19 USA USD 3,534,375 0.09 3,400,000 T-Mobile USA Inc., senior note, 6.542%, 04/28/20 USA USD 3,523,250 0.08 3,000,000 Frontier Communications Corp., senior note, 9.25%, 07/01/21 USA USD 3,476,250 0.08 3,200,000 Calpine Corp., senior secured note, first lien, 144A, 6.00%, 01/15/22 USA USD 3,424,000 0.08 4,000,000 Linn Energy LLC/Finance Corp., senior note, 6.25%, 11/01/19 USA USD 3,420,000 0.08 3,200,000 The Goodyear Tire & Rubber Co., senior note, 6.50%, 03/01/21 USA USD 3,408,000 0.08 3,300,000 NRG Yield Operating LLC, senior bond, 144A, 5.375%, 08/15/24 USA USD 3,366,000 0.08 3,800,000 Visant Corp., senior note, 10.00%, 10/01/17 USA USD 3,344,000 0.08 4,600,000 Offshore Group Investment Ltd., senior bond, first lien, 7.125%, 04/01/23 USA USD 3,312,000 0.08 3,100,000 Reynolds Group Issuer Inc./LLC/SA, senior note, 9.875%, 08/15/19 USA USD 3,301,500 0.08 2,800,000 Ineos Group Holdings SA, senior note, 144A, 5.75%, 02/15/19 CHE EUR 3,277,890 0.08 5,000,000 SandRidge Energy Inc., senior note, 7.50%, 02/15/23 USA USD 3,225,000 0.08 3,000,000 Chesapeake Energy Corp., senior note, 6.50%, 08/15/17 USA USD 3,210,000 0.08 3,250,000 TransDigm Inc., senior sub. note, 5.50%, 10/15/20 USA USD 3,193,125 0.08 3,000,000 Reynolds Group Issuer Inc./LLC/SA, senior note, 8.25%, 02/15/21 USA USD 3,090,000 0.07 5,000,000 Paragon Offshore PLC, senior note, 144A, 6.75%, 07/15/22 USA USD 3,087,500 0.07 3,100,000 Infor Software Parent LLC/Inc., senior note, 144A, PIK, 7.125%, 05/01/21 ‡ USA USD 3,053,500 0.07 5,000,000 Energy XXI Gulf Coast Inc., 7.75%, 06/15/19 USA USD 3,050,000 0.07 3,000,000 Cumulus Media Holdings Inc., senior note, 7.75%, 05/01/19 USA USD 3,041,250 0.07 2,500,000 Sprint Nextel Corp., 11.50%, 11/15/21 USA USD 3,018,750 0.07 3,590,752 iHeartCommunications Inc., senior note, PIK, 14.00%, 02/01/21 ‡ USA USD 2,939,928 0.07 3,000,000 HudBay Minerals Inc., senior note, 9.50%, 10/01/20 CAN USD 2,925,000 0.07 3,000,000 Ball Corp., senior bond, 4.00%, 11/15/23 USA USD 2,910,000 0.07 4,600,000 Alpha Natural Resources Inc., second lien, 144A, 7.50%, 08/01/20 USA USD 2,909,500 0.07 3,300,000 Linn Energy LLC/Finance Corp., senior note, 8.625%, 04/15/20 USA USD 2,887,500 0.07 2,800,000 AmSurg Corp., senior note, 144A, 5.625%, 07/15/22 USA USD 2,884,000 0.07 2,800,000 Reynolds Group Issuer Inc./LLC/SA, first lien, 5.75%, 10/15/20 USA USD 2,884,000 0.07 2,500,000 Sprint Nextel Corp., senior note, 144A, 9.00%, 11/15/18 USA USD 2,849,750 0.07 5,000,000 Molycorp Inc., first lien, 10.00%, 06/01/20 USA USD 2,800,000 0.07 3,015,000 Rex Energy Corp., senior note, 8.875%, 12/01/20 USA USD 2,713,500 0.07 2,800,000 Abengoa Finance SAU, senior note, 144A, 8.875%, 11/01/17 ESP USD 2,712,500 0.07 9,000,000 Arch Coal Inc., senior note, 7.25%, 06/15/21 USA USD 2,666,250 0.06 2,500,000 AngloGold Ashanti Holdings PLC, senior note, 8.50%, 07/30/20 ZAF USD 2,660,938 0.06 2,500,000 CHS/Community Health Systems Inc., senior note, 5.125%, 08/01/21 USA USD 2,660,938 0.06 2,900,000 Stena AB, senior bond, 144A, 7.00%, 02/01/24 SWE USD 2,660,750 0.06 2,500,000 CCO Holdings LLC/CCO Holdings Capital Corp., senior note, 7.375%, 06/01/20 USA USD 2,656,250 0.06 2,500,000 U.S. Foods Inc., 8.50%, 06/30/19 USA USD 2,652,500 0.06 2,500,000 Sabine Pass LNG LP, senior secured note, 7.50%, 11/30/16 USA USD 2,612,500 0.06 4,000,000 SandRidge Energy Inc., senior note, 7.50%, 03/15/21 USA USD 2,580,000 0.06 2,500,000 CIT Group Inc., senior bond, 5.00%, 08/01/23 USA USD 2,575,000 0.06 2,900,000 CEVA Group PLC, senior note, first lien, 144A, 4.00%, 05/01/18 GBR USD 2,573,750 0.06 5,000,000 Midstates Petroleum Co. Inc./LLC, senior note, 9.25%, 06/01/21 USA USD 2,550,000 0.06 2,500,000 EP Energy LLC/Everest Acquisition Finance Inc., senior note, 9.375%, 05/01/20 USA USD 2,537,500 0.06 2,200,000 MGM Resorts International, senior note, 8.625%, 02/01/19 USA USD 2,505,250 0.06 2,000,000 Cemex SAB de CV, cvt., sub. note, 3.75%, 03/15/18 MEX USD 2,436,640 0.06 2,500,000 Algeco Scotsman Global Finance PLC, senior secured note, first lien, 144A,

8.50%, 10/15/18 GBR USD 2,429,688 0.06 2,200,000 Sterling International Inc., senior note, 11.00%, 10/01/19 USA USD 2,348,500 0.06 2,300,000 Ardagh Packaging Finance PLC/Ardagh MP Holdings USA Inc., senior note, 144A, 6.75%, 01/31/21 LUX USD 2,275,563 0.05 3,000,000 Halcon Resources Corp., senior note, 8.875%, 05/15/21 USA USD 2,272,500 0.05

Number of shares or



Marketvalue

% ofnet

assets






Corporate Bonds (continued) 2,000,000 Frontier Communications Corp., senior note, 8.50%, 04/15/20 USA USD 2,240,000 0.05 2,000,000 MGM Resorts International, senior note, 10.00%, 11/01/16 USA USD 2,235,000 0.05 2,000,000 International Lease Finance Corp., senior note, 8.75%, 03/15/17 USA USD 2,220,000 0.05 2,500,000 American Energy-Permian Basin LLC, cvt., 144A, PIK, 8.00%, 05/01/22 ‡ USA USD 2,187,500 0.05 2,300,000 Ineos Group Holdings SA, senior note, 144A, 5.875%, 02/15/19 CHE USD 2,185,000 0.05 2,900,000 Halcon Resources Corp., senior note, 9.25%, 02/15/22 USA USD 2,153,250 0.05 2,100,000 Valeant Pharmaceuticals International Inc., senior note, 144A,

5.625%, 12/01/21 USA USD 2,121,000 0.05 2,100,000 Ardagh Packaging Finance PLC/Ardagh MP Holdings USA Inc., senior note, 144A, 6.25%, 01/31/19 LUX USD 2,058,000 0.05 2,100,000 NGL Energy Partners LP/NGL Energy Finance Corp., senior note, 144A,

5.125%, 07/15/19 USA USD 2,018,625 0.05 1,800,000 Cemex Finance LLC, senior secured note, 144A, 9.375%, 10/12/22 MEX USD 2,016,000 0.05 2,500,000 Penn Virginia Corp., senior note, 8.50%, 05/01/20 USA USD 2,012,500 0.05 2,000,000 Altice SA, senior secured note, 144A, 7.75%, 05/15/22 LUX USD 2,007,500 0.05 2,000,000 Tenet Healthcare Corp., senior note, 144A, 5.00%, 03/01/19 USA USD 2,007,500 0.05 2,500,000 Magnum Hunter Resources Corp., senior note, 9.75%, 05/15/20 USA USD 1,987,500 0.05 2,000,000 Cinemark USA Inc., senior note, 5.125%, 12/15/22 USA USD 1,965,000 0.05 1,900,000 Regency Energy Partners LP/Regency Energy Finance Corp., senior note, 5.875%, 03/01/22 USA USD 1,904,750 0.05 2,070,000 First Quantum Minerals Ltd., senior note, 144A, 6.75%, 02/15/20 CAN USD 1,883,700 0.05 2,070,000 First Quantum Minerals Ltd., senior note, 144A, 7.00%, 02/15/21 CAN USD 1,873,350 0.05 1,700,000 CenturyLink Inc., senior bond, 6.75%, 12/01/23 USA USD 1,867,875 0.05 1,950,000 Antero Resources Corp., senior note, 144A, 5.125%, 12/01/22 USA USD 1,847,625 0.04 2,000,000 Oasis Petroleum Inc., senior note, 6.875%, 03/15/22 USA USD 1,830,000 0.04 1,700,000 JBS USA LLC/Finance Inc., senior note, 144A, 8.25%, 02/01/20 USA USD 1,797,750 0.04 1,400,000 Kerling PLC, senior secured note, 144A, 10.625%, 02/01/17 GBR EUR 1,722,230 0.04 1,600,000 Kinder Morgan Inc., senior secured note, 144A, 5.00%, 02/15/21 USA USD 1,666,725 0.04 1,500,000 Best Buy Co. Inc., senior note, 5.50%, 03/15/21 USA USD 1,567,500 0.04 2,000,000 Consolidated Minerals Ltd., senior secured note, 144A, 8.00%, 05/15/20 JER USD 1,512,500 0.04 3,500,000 Samson Investment Co., senior note, 9.75%, 02/15/20 USA USD 1,467,813 0.04 1,500,000 NCR Corp., senior note, 4.625%, 02/15/21 USA USD 1,462,500 0.04 1,300,000 CSC Holdings LLC, senior note, 6.75%, 11/15/21 USA USD 1,441,375 0.03 1,353,000 Cemex SAB de CV, senior secured note, 144A, 9.00%, 01/11/18 MEX USD 1,415,576 0.03 2,000,000 SandRidge Energy Inc., senior note, 8.75%, 01/15/20 USA USD 1,380,000 0.03 1,300,000 CHS/Community Health Systems Inc., senior secured note,

5.125%, 08/01/21 USA USD 1,355,250 0.03 5,000,000 Quicksilver Resources Inc., senior note, 11.00%, 07/01/21 USA USD 1,275,000 0.03 1,100,000 The Goodyear Tire & Rubber Co., senior note, 8.25%, 08/15/20 USA USD 1,171,500 0.03 1,100,000 MGM Resorts International, senior note, 6.75%, 10/01/20 USA USD 1,157,750 0.03 1,000,000 Cablevision Systems Corp., senior note, 8.625%, 09/15/17 USA USD 1,115,000 0.03 2,500,000 Hercules Offshore Inc., senior note, 144A, 6.75%, 04/01/22 USA USD 1,087,500 0.03 800,000 Infor U.S. Inc., senior note, 9.375%, 04/01/19 USA USD 859,000 0.02 4,000,000 Walter Energy Inc., senior note, 9.875%, 12/15/20 USA USD 840,000 0.02 1,500,000 Midstates Petroleum Co. Inc./LLC, senior note, 10.75%, 10/01/20 USA USD 810,000 0.02 725,000 Academy Ltd./Finance Corp., senior note, 144A, 9.25%, 08/01/19 USA USD 764,875 0.02 2,500,000 Arch Coal Inc., senior note, 7.00%, 06/15/19 USA USD 762,500 0.02 500,000 CBS Outdoor Americas Capital LLC/CBS Outdoor Americas Capital Corp., senior bond, 144A, 5.625%, 02/15/24 USA USD 503,750 0.01 1,000,000 Alpha Natural Resources Inc., senior note, 6.25%, 06/01/21 USA USD 285,000 0.01 57,000 Freescale Semiconductor Inc., senior note, 10.75%, 08/01/20 USA USD 62,415 0.00 100,000 Motors Liquidation Co., Escrow Account, 6.25%, cvt. pfd., C USA USD 1,000 0.00

1,729,215,928 41.55

Securities Maturing Within One Year 5,000,000 Volkswagen International Finance, cvt., sub. note, 144A, 5.50%, 11/09/15 DEU EUR 6,729,445 0.16

TOTAL BONDS 1,735,945,373 41.71



SHARES Information Technology 2,294,067 First Data Holdings Inc., B ** USA USD 9,765,453 0.24




‡ Income may be received in additional securities and/or cash ** These securities are submitted to a Fair Valuation

Number of shares or



Marketvalue

% ofnet

assets





— Franklin India Fund —

TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Auto Components 142,000 Bosch Ltd. IND INR 43,836,854 1.34 2,800,000 Balkrishna Industries Ltd. IND INR 27,227,096 0.83 1,630,000 Bharat Forge Ltd. IND INR 24,418,323 0.75

95,482,273 2.92

Automobiles 4,555,000 Mahindra & Mahindra Ltd. IND INR 89,203,137 2.73 10,350,000 Tata Motors Ltd., A IND INR 55,120,092 1.69 2,100,000 Tata Motors Ltd. IND INR 16,509,162 0.50

160,832,391 4.92

Banks 36,052,390 ICICI Bank Ltd. IND INR 201,952,866 6.18 11,751,116 HDFC Bank Ltd. IND INR 177,399,254 5.43 16,400,000 Axis Bank Ltd. IND INR 130,710,875 4.00 9,600,000 Yes Bank Ltd. IND INR 117,580,392 3.60 22,770,440 State Bank of India IND INR 112,651,094 3.44 4,650,000 Kotak Mahindra Bank Ltd. IND INR 93,236,059 2.85 5,700,000 IndusInd Bank Ltd. IND INR 72,562,307 2.22 10,795,475 Punjab National Bank Ltd. IND INR 37,523,417 1.15 1,434,400 Bank of Baroda IND INR 24,664,808 0.75 5,400,000 Union Bank of India Ltd. IND INR 20,508,606 0.63 1,414,000 Karur Vysya Bank Ltd. IND INR 12,871,471 0.39

1,001,661,149 30.64

Chemicals 4,767,000 Asian Paints Ltd. IND INR 56,892,427 1.74 4,432,982 Pidilite Industries Ltd. IND INR 38,190,384 1.17 2,200,000 Rallis India Ltd. IND INR 7,519,473 0.23 1,480,000 Coromandel International Ltd. IND INR 7,244,452 0.22

109,846,736 3.36

Construction & Engineering 4,980,000 Larsen & Toubro Ltd. IND INR 118,082,922 3.61 9,980,622 Voltas Ltd. IND INR 38,396,143 1.18

156,479,065 4.79

Construction Materials 1,510,000 Ultra Tech Cement Ltd. IND INR 64,104,633 1.96 215,057 Shree Cements Ltd. IND INR 32,089,329 0.98 3,475,000 Ramco Cements Ltd. IND INR 19,016,439 0.58

115,210,401 3.52

Consumer Finance 6,281,284 Mahindra & Mahindra Financial Services Ltd. IND INR 32,843,836 1.01

Diversified Financial Services 1,209,464 Credit Analysis and Research Ltd. IND INR 28,430,606 0.87 133,728 Crisil Ltd. IND INR 4,028,918 0.12

32,459,524 0.99

Electrical Equipment 2,540,419 Amara Raja Batteries Ltd. IND INR 33,103,834 1.01 5,810,000 Havell’s India Ltd. IND INR 25,379,289 0.78

58,483,123 1.79

Food Products 343,000 Nestle India Ltd. IND INR 34,742,660 1.06 964,000 Kaveri Seed Co. Ltd. IND INR 11,797,855 0.36

46,540,515 1.42

Gas Utilities 1,901,000 GAIL India Ltd. IND INR 13,414,211 0.41

Hotels, Restaurants & Leisure 8,319,975 Indian Hotels Co. Ltd. IND INR 16,551,517 0.51

Industrial Conglomerates 1,200,000 Aditya Birla Nuvo Ltd. IND INR 32,156,421 0.98

Number of shares or



Marketvalue

% ofnet

assets





— Franklin India Fund —

IT Services 3,920,000 Infosys Ltd. IND INR 122,668,295 3.75 1,970,000 Cognizant Technology Solutions Corp., A USA USD 103,740,200 3.17 2,354,200 Tata Consultancy Services Ltd. IND INR 95,544,256 2.92 3,245,000 HCL Technologies Ltd. IND INR 82,207,353 2.52 600,000 Tech Mahindra Ltd. IND INR 24,686,761 0.76

428,846,865 13.12

Machinery 4,779,545 Cummins India Ltd. IND INR 66,285,052 2.03 179,963 Eicher Motors Ltd. IND INR 43,038,664 1.31 775,000 SKF India Ltd. IND INR 16,597,307 0.51 800,000 AIA Engineering Ltd. IND INR 13,737,765 0.42

139,658,788 4.27

Media 13,000,000 Jagran Prakashan Ltd. IND INR 28,161,339 0.86

Metals & Mining 19,077,900 Hindalco Industries Ltd. IND INR 47,683,401 1.46 5,000,000 Tata Steel Ltd. IND INR 31,680,812 0.97

79,364,213 2.43

Oil, Gas & Consumable Fuels 7,044,064 Bharat Petroleum Corp. Ltd. IND INR 72,189,503 2.21 3,300,000 Coal India Ltd. IND INR 20,095,265 0.62 9,314,863 Gujarat Mineral Development Corp. Ltd. IND INR 19,092,255 0.58 3,679,992 Petronet LNG Ltd. IND INR 12,175,178 0.37

123,552,201 3.78

Personal Products 10,650,000 Marico Ltd. IND INR 54,935,314 1.68

Pharmaceuticals 9,926,874 Sun Pharmaceutical Industries Ltd. IND INR 130,166,696 3.98 1,625,000 Dr. Reddy’s Laboratories Ltd. IND INR 83,684,858 2.56 3,901,613 Torrent Pharmaceuticals Ltd. IND INR 69,964,119 2.14 900,000 Cadila Healthcare Ltd. IND INR 22,840,168 0.70 390,000 Pfizer Ltd. IND INR 13,330,594 0.41

319,986,435 9.79

Textiles, Apparel & Luxury Goods 5,963,551 Titan Co. Ltd. IND INR 36,106,754 1.10

Transportation Infrastructure 5,392,600 Gujarat Pipavav Port Ltd. IND INR 17,687,317 0.54

Wireless Telecommunication Services 16,225,000 Bharti Airtel Ltd. IND INR 90,783,811 2.78 7,034,375 Idea Cellular Ltd. IND INR 17,163,272 0.52

107,947,083 3.30

TOTAL SHARES 3,208,207,471 98.13

BONDS Hotels, Restaurants & Leisure 1,354,495 Indian Hotels Co. Ltd., cvt., zero cpn., 03/01/16 IND INR 2,501,416 0.08

TOTAL BONDS 2,501,416 0.08



Number of shares or



Marketvalue

% ofnet

assets


Schedule of Investments as of December 31, 2014(Currency — JPY)



— Franklin Japan Fund —

TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Auto Components 342,100 Sumitomo Electric Industries Ltd. JPN JPY 517,597,300 1.99 119,800 Bridgestone Corp. JPN JPY 503,040,200 1.94 135,400 NGK Spark Plug Co. Ltd. JPN JPY 497,595,000 1.92 75,000 Denso Corp. JPN JPY 423,900,000 1.63 162,500 Keihin Corp. JPN JPY 291,687,500 1.12

2,233,820,000 8.60

Automobiles 223,800 Toyota Motor Corp. JPN JPY 1,691,480,400 6.51 174,800 Mazda Motor Corp. JPN JPY 511,727,000 1.97 180,100 Yamaha Motor Co. Ltd. JPN JPY 439,804,200 1.70

2,643,011,600 10.18

Banks 1,176,100 Mitsubishi UFJ Financial Group Inc. JPN JPY 781,518,450 3.01 162,100 Sumitomo Mitsui Financial Group Inc. JPN JPY 709,187,500 2.73 2,538,200 Mizuho Financial Group Inc. JPN JPY 513,985,500 1.98 553,400 Resona Holdings Inc. JPN JPY 338,625,460 1.30 565,400 Seven Bank Ltd. JPN JPY 287,223,200 1.11 414,000 The 77 Bank Ltd. JPN JPY 263,718,000 1.01

2,894,258,110 11.14

Building Products 463,000 Asahi Glass Co. Ltd. JPN JPY 272,707,000 1.05

Capital Markets 63,400 Jafco Co. Ltd. JPN JPY 264,061,000 1.02

Chemicals 63,400 Shin-Etsu Chemical Co. Ltd. JPN JPY 498,704,400 1.92 1,411,000 Teijin Ltd. JPN JPY 452,931,000 1.74

951,635,400 3.66

Commercial Services & Supplies 56,500 Secom Co. Ltd. JPN JPY 392,392,500 1.51

Construction & Engineering 719,000 Taisei Corp. JPN JPY 493,953,000 1.90 312,000 Maeda Corp. JPN JPY 307,944,000 1.19 57,300 SHO-BOND Holdings Co. Ltd. JPN JPY 270,169,500 1.04

1,072,066,500 4.13

Diversified Telecommunication Services 58,200 Nippon Telegraph & Telephone Corp. JPN JPY 361,480,200 1.39

Electrical Equipment 407,000 Mitsubishi Electric Corp. JPN JPY 588,522,000 2.27 69,800 Nidec Corp. JPN JPY 547,999,800 2.11 872,000 Fuji Electric Co. Ltd. JPN JPY 422,048,000 1.62

1,558,569,800 6.00

Electronic Equipment, Instruments & Components 10,100 Keyence Corp. JPN JPY 543,481,000 2.09 467,000 Hitachi Ltd. JPN JPY 420,626,900 1.62 320,000 Shimadzu Corp. JPN JPY 394,240,000 1.52 24,600 Murata Manufacturing Co. Ltd. JPN JPY 325,950,000 1.26 49,600 Hamamatsu Photonics K.K. JPN JPY 286,688,000 1.10

1,970,985,900 7.59

Food & Staples Retailing 116,800 Seven & I Holdings Co. Ltd. JPN JPY 509,072,800 1.96

Food Products 175,100 Fuji Oil Co. Ltd. JPN JPY 269,303,800 1.04

Health Care Equipment & Supplies 95,200 Terumo Corp. JPN JPY 262,466,400 1.01 217,400 NIKKISO Co. Ltd. JPN JPY 243,488,000 0.94

505,954,400 1.95

Hotels, Restaurants & Leisure 12,200 Oriental Land Co. Ltd. JPN JPY 338,550,000 1.30

Household Durables 304,100 Panasonic Corp. JPN JPY 433,950,700 1.67 110,400 Sony Corp. JPN JPY 272,964,000 1.05

706,914,700 2.72

Number of shares or



Marketvalue

% ofnet

assets


Schedule of Investments as of December 31, 2014 (continued)(Currency — JPY)



— Franklin Japan Fund —

Insurance 115,100 Tokio Marine Holdings Inc. JPN JPY 452,745,850 1.74

IT Services 119,500 NTT Data Corp. JPN JPY 539,542,500 2.08

Machinery 183,000 NGK Insulators Ltd. JPN JPY 456,402,000 1.76 13,400 SMC Corp. JPN JPY 428,398,000 1.65 235,000 Kubota Corp. JPN JPY 413,835,000 1.59 175,600 Daifuku Co. Ltd. JPN JPY 238,113,600 0.91 80,200 Metawater Co. Ltd. JPN JPY 194,084,000 0.75

1,730,832,600 6.66

Media 82,800 CyberAgent Inc. JPN JPY 375,498,000 1.45

Metals & Mining 187,000 Hitachi Metals Ltd. JPN JPY 385,594,000 1.48

Multiline Retail 65,600 Izumi Co. Ltd. JPN JPY 278,800,000 1.07 173,000 J Front Retailing Co. Ltd. JPN JPY 243,411,000 0.94

522,211,000 2.01

Personal Products 75,300 KAO Corp. JPN JPY 358,202,100 1.38

Pharmaceuticals 184,100 Chugai Pharmaceutical Co. Ltd. JPN JPY 545,672,400 2.10 123,800 Shionogi & Co. Ltd. JPN JPY 386,875,000 1.49 42,500 Santen Pharmaceutical Co. Ltd. JPN JPY 274,975,000 1.06 155,800 Astellas Pharma Inc. JPN JPY 262,756,700 1.01

1,470,279,100 5.66

Professional Services 67,100 Recruit Holdings Co. Ltd. JPN JPY 230,824,000 0.89

Real Estate Management & Development 140,000 Mitsui Fudosan Co. Ltd. JPN JPY 455,700,000 1.75 91,000 Sumitomo Realty & Development Co. Ltd. JPN JPY 375,966,500 1.45 161,700 Daiwa House Industry Co. Ltd. JPN JPY 370,778,100 1.43

1,202,444,600 4.63

Road & Rail 59,100 East Japan Railway Co. JPN JPY 539,169,300 2.08

Technology Hardware, Storage & Peripherals 1,613,000 NEC Corp. JPN JPY 569,389,000 2.19

Transportation Infrastructure 355,000 Kamigumi Co. Ltd. JPN JPY 381,980,000 1.47

Wireless Telecommunication Services 72,400 KDDI Corp. JPN JPY 552,918,800 2.13

TOTAL SHARES 26,256,414,560 101.09



Number of shares or



Marketvalue

% ofnet

assets





— Franklin K2 Alternative Strategies Fund —

TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING INVESTMENTS FUNDS Financials 254 iShares Russell 2000 ETF USA USD 30,396 0.05


SHARES Consumer Discretionary 4,598 Wyndham Worldwide Corp. USA USD 394,325 0.55 3,271 Marriott International Inc., A USA USD 255,236 0.36 3,537 CBS Corp., B USA USD 195,738 0.27 10,988 International Game Technology USA USD 189,543 0.26 147 NVR Inc. USA USD 187,474 0.26 2,830 Macy’s Inc. USA USD 186,073 0.26 4,738 The Ryland Group Inc. USA USD 182,697 0.25 1,684 The Home Depot Inc. USA USD 176,769 0.25 259 AutoZone Inc. USA USD 160,350 0.22 3,168 Liberty Global PLC GBR USD 159,049 0.22 4,059 Best Buy Co. Inc. USA USD 158,220 0.22 1,385 TRW Automotive Holdings Corp. USA USD 142,447 0.20 1,512 Time Warner Inc. USA USD 129,155 0.18 1,705 TripAdvisor Inc. USA USD 127,295 0.18 1,349 McDonald’s Corp. USA USD 126,401 0.18 1,530 Family Dollar Stores Inc. USA USD 121,191 0.17 657 Buffalo Wild Wings Inc. USA USD 118,510 0.17 1,415 Starbucks Corp. USA USD 116,101 0.16 1,930 Life Time Fitness Inc. USA USD 109,277 0.15 771 Cracker Barrel Old Country Store Inc. USA USD 108,526 0.15 2,380 Carnival Corp. USA USD 107,885 0.15 814 Signet Jewelers Ltd. USA USD 107,098 0.15 4,816 Pulte Group Inc. USA USD 103,351 0.14 2,303 Lennar Corp., A USA USD 103,197 0.14 664 Polaris Industries Inc. USA USD 100,423 0.14 921 Tiffany & Co. USA USD 98,418 0.14 1,665 Brinker International Inc. USA USD 97,719 0.14 1,454 Harley-Davidson Inc. USA USD 95,833 0.13 1,776 Brunswick Corp. USA USD 91,038 0.13 1,206 DISH Network Corp., A USA USD 87,905 0.12 3,186 Sonic Corp. USA USD 86,755 0.12 852 NIKE Inc., B USA USD 81,920 0.11 3,235 Bloomin’ Brands Inc. USA USD 80,099 0.11 796 The Walt Disney Co. USA USD 74,975 0.10 1,508 Sotheby’s USA USD 65,115 0.09 826 The Madison Square Garden Co., A USA USD 62,165 0.09 905 Skechers USA Inc., A USA USD 50,001 0.07 971 Liberty Broadband Corp., A USA USD 48,637 0.07 1,535 IMAX Corp. CAN USD 47,432 0.07 499 Vail Resorts Inc. USA USD 45,474 0.06 1,195 Liberty Ventures, A USA USD 45,075 0.06 1,272 General Motors Co. USA USD 44,406 0.06 280 Time Warner Cable Inc. USA USD 42,577 0.06 1,045 Twenty-First Century Fox Inc., A USA USD 40,133 0.06 1,116 Liberty Media Corp., A USA USD 39,361 0.06 166 Tesla Motors Inc. USA USD 36,920 0.05 1,215 Markit Ltd. USA USD 32,112 0.05 175 Charter Communications Inc., A USA USD 29,159 0.04 9,800 Wynn Macau Ltd. MAC HKD 27,613 0.04 230 Expedia Inc. USA USD 19,633 0.03 212 Jack in the Box Inc. USA USD 16,952 0.02 905 Coupons.com Inc. USA USD 16,064 0.02 47 Netflix Inc. USA USD 16,056 0.02 149 Lowe’s Cos. Inc. USA USD 10,251 0.01 15 Amazon.com Inc. USA USD 4,655 0.01 847 Cambian Group PLC GBR GBP 2,673 0.00

5,403,457 7.52

Consumer Staples 2,698 Costco Wholesale Corp. USA USD 382,442 0.53 5,470 Safeway Inc. USA USD 192,107 0.27 3 Lindt & Spruengli Chocolate Works Ltd. CHE CHF 172,480 0.24 1,661 Constellation Brands Inc., A USA USD 163,060 0.23 2,387 The Kroger Co. USA USD 153,269 0.21 1,488 Church & Dwight Co. Inc. USA USD 117,269 0.16 1,307 Brown-Forman Corp., B USA USD 114,807 0.16 795 Walgreens Boots Alliance Inc. USA USD 60,579 0.09 862 Whole Foods Market Inc. USA USD 43,462 0.06 315 Tyson Foods Inc., 4.75%, cvt. pfd. USA USD 15,857 0.02

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Consumer Staples (continued) 100 CVS Health Corp. USA USD 9,631 0.01 59 Wal-Mart Stores Inc. USA USD 5,067 0.01 100 Altria Group Inc. USA USD 4,927 0.01

1,434,957 2.00

Energy 3,276 Dresser-Rand Group Inc. USA USD 267,977 0.37 912 Occidental Petroleum Corp. USA USD 73,516 0.10 1,517 The Williams Cos. Inc. USA USD 68,174 0.10 733 Marathon Petroleum Corp. USA USD 66,161 0.09 817 MPLX LP USA USD 60,041 0.08 1,388 Halliburton Co. USA USD 54,590 0.08 410 Kinder Morgan Inc. USA USD 17,347 0.02 51 Exxon Mobil Corp. USA USD 4,715 0.01 3,200 Forest Oil Corp. USA USD 720 0.00

613,241 0.85

Financials 3,400 Wells Fargo & Co. USA USD 186,388 0.26 1,676 Moody’s Corp. USA USD 160,577 0.22 10,420 Commerzbank AG DEU EUR 138,444 0.19 5,517 NorthStar Asset Management Group Inc. USA USD 124,519 0.17 2,226 Realogy Holdings Corp. USA USD 99,035 0.14 1,573 American International Group Inc. USA USD 88,104 0.12 977 CME Group Inc. USA USD 86,611 0.12 1,571 Lazard Ltd., A USA USD 78,597 0.11 2,404 Essent Group Ltd. USA USD 61,807 0.09 870 Ramco-Gershenson Properties Trust, 7.25%, cvt. pfd. USA USD 59,125 0.08 3,016 NorthStar Realty Finance Corp. USA USD 53,021 0.08 850 Ryman Hospitality Properties Inc. USA USD 44,829 0.06 355 W. R. Berkley Corp. USA USD 18,197 0.03 280 Weyerhaeuser Co., 6.375%, cvt. pfd., A USA USD 16,156 0.02 2,388 Banca Popolare dell’’Emilia Romagn ITA EUR 15,792 0.02 380 SEI Investments Co. USA USD 15,215 0.02 19,603 Banca Popolare di Milano Scarl ITA EUR 12,868 0.02 1,029 Banco Popolare Societa Cooperativa ITA EUR 12,526 0.02 120 Crown Castle International Corp. USA USD 12,359 0.02 202 MSCI Inc. USA USD 9,583 0.01

1,293,753 1.80

Health Care 2,726 Covidien PLC USA USD 278,815 0.39 1,784 Becton Dickinson and Co. USA USD 248,261 0.35 2,194 Celgene Corp. USA USD 245,421 0.34 2,468 BioMarin Pharmaceutical Inc. USA USD 223,107 0.31 2,829 HCA Holdings Inc. USA USD 207,620 0.29 2,210 Incyte Corp. USA USD 161,573 0.23 4,602 Celesio AG DEU EUR 148,794 0.21 601 Shire PLC, ADR IRL USD 127,737 0.18 2,035 Isis Pharmaceuticals Inc. USA USD 125,641 0.17 327 Biogen Idec Inc. USA USD 111,000 0.15 863 Thermo Fisher Scientific Inc. USA USD 108,125 0.15 1,067 Alnylam Pharmaceuticals Inc. USA USD 103,499 0.14 397 Actavis PLC USA USD 102,192 0.14 1,144 Pacira Pharmaceuticals Inc. USA USD 101,427 0.14 1,044 Bluebird Bio Inc. USA USD 95,756 0.13 996 Gilead Sciences Inc. USA USD 93,883 0.13 910 Cubist Pharmaceuticals Inc. USA USD 91,592 0.13 1,319 Eli Lilly & Co. USA USD 90,998 0.13 461 Illumina Inc. USA USD 85,091 0.12 399 Allergan Inc. USA USD 84,823 0.12 456 Alexion Pharmaceuticals Inc. USA USD 84,374 0.12 533 Intercept Pharmaceuticals Inc. USA USD 83,148 0.12 390 McKesson Corp. USA USD 80,956 0.11 1,371 Bristol-Myers Squibb Co. USA USD 80,930 0.11 1,067 AstraZeneca PLC, ADR GBR USD 75,096 0.10 1,134 Cerner Corp. USA USD 73,324 0.10 699 Centene Corp. USA USD 72,591 0.10 993 Endo International PLC USA USD 71,615 0.10 557 Vertex Pharmaceuticals Inc. USA USD 66,172 0.09 388 Perrigo Co. PLC USA USD 64,858 0.09 232 Roche Holding AG CHE CHF 62,982 0.09 413 Valeant Pharmaceuticals International Inc. CAN CAD 59,104 0.08 1,289 OvaScience Inc. USA USD 57,000 0.08 1,843 Aerie Pharmaceuticals Inc. USA USD 53,797 0.07 471 Universal Health Services Inc., B USA USD 52,404 0.07 1,185 Zoetis Inc. USA USD 50,991 0.07


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Health Care (continued) 1,251 Tetraphase Pharmaceuticals Inc. USA USD 49,677 0.07 428 Salix Pharmaceuticals Ltd. USA USD 49,194 0.07 464 Cigna Corp. USA USD 47,750 0.07 388 Receptos Inc. USA USD 47,534 0.07 749 Acadia Healthcare Co. Inc. USA USD 45,846 0.06 1,239 Otonomy Inc. USA USD 41,296 0.06 1,253 Acadia Pharmaceuticals Inc. USA USD 39,783 0.06 239 Jazz Pharmaceuticals PLC USA USD 39,132 0.05 3,232 BioDelivery Sciences International Inc. USA USD 38,849 0.05 586 AbbVie Inc. USA USD 38,348 0.05 917 Acceleron Pharma Inc. USA USD 35,726 0.05 1,977 Aratana Therapeutics Inc. USA USD 35,230 0.05 2,503 GenMark Diagnostics Inc. USA USD 34,066 0.05 1,228 The Medicines Co. USA USD 33,979 0.05 771 Ultragenyx Pharmaceutical Inc. USA USD 33,832 0.05 943 Fluidigm Corp. USA USD 31,807 0.04 1,088 Alder Biopharmaceuticals Inc. USA USD 31,650 0.04 306 UnitedHealth Group Inc. USA USD 30,934 0.04 912 WuXi Pharmatech Cayman Inc., ADR CHN USD 30,707 0.04 876 Envision Healthcare Holdings Inc. USA USD 30,388 0.04 1,056 EXACT Sciences Corp. USA USD 28,977 0.04 674 Novo Nordisk AS, ADR DNK USD 28,524 0.04 1,856 Sangamo BioSciences Inc. USA USD 28,230 0.04 895 Portola Pharmaceuticals Inc. USA USD 25,346 0.04 1,774 Dyax Corp. USA USD 24,942 0.03 472 Auspex Pharmaceuticals Inc. USA USD 24,771 0.03 458 Molina Healthcare Inc. USA USD 24,517 0.03 531 Chimerix Inc. USA USD 21,378 0.03 1,255 Novadaq Technologies Inc. CAN USD 20,858 0.03 174 Agios Pharmaceuticals Inc. USA USD 19,495 0.03 903 Applied Genetic Technologies Corp./DE USA USD 18,981 0.03 821 Neurocrine Biosciences Inc. USA USD 18,341 0.03 373 Genfit FRA EUR 17,007 0.02 983 Flamel Technologies SA, ADR FRA USD 16,839 0.02 243 GW Pharmaceuticals PLC, ADR GBR USD 16,446 0.02 2,050 Kindred Biosciences Inc. USA USD 15,273 0.02 368 Acorda Therapeutics Inc. USA USD 15,040 0.02 87 The Cooper Cos. Inc. USA USD 14,102 0.02 654 Prothena Corp. PLC IRL USD 13,577 0.02 1,123 Castlight Health Inc., B USA USD 13,139 0.02 510 IMS Health Holdings Inc. USA USD 13,076 0.02 600 Calithera Biosciences Inc. USA USD 12,120 0.02 1,282 Derma Sciences Inc. USA USD 11,935 0.02 705 Insmed Inc. USA USD 10,906 0.02 696 Eagle Pharmaceuticals Inc. USA USD 10,788 0.02 202 Tenet Healthcare Corp. USA USD 10,235 0.01 3,662 Synta Pharmaceuticals Corp. USA USD 9,704 0.01 278 Premier Inc., A USA USD 9,321 0.01 556 Regulus Therapeutics Inc. USA USD 8,918 0.01 437 Flexion Therapeutics Inc. USA USD 8,823 0.01 406 ProQR Therapeutics NV NLD USD 8,798 0.01 250 KYTHERA Biopharmaceuticals Inc. USA USD 8,670 0.01 317 Atara Biotherapeutics Inc. USA USD 8,480 0.01 79 Johnson & Johnson USA USD 8,261 0.01 286 Tornier NV USA USD 7,293 0.01 857 Amicus Therapeutics Inc. USA USD 7,130 0.01 215 Zafgen Inc. USA USD 6,631 0.01 108 Kite Pharma Inc. USA USD 6,228 0.01 2,368 Fibrocell Science Inc. USA USD 6,062 0.01 328 Dermira Inc. USA USD 5,940 0.01 108 Avalanche Biotechnologies Inc. USA USD 5,832 0.01 134 ZS Pharma Inc. USA USD 5,570 0.01 441 Retrophin Inc. USA USD 5,398 0.01 610 XenoPort Inc. USA USD 5,350 0.01 163 Pfizer Inc. USA USD 5,077 0.01 541 Verastem Inc. USA USD 4,945 0.01 614 Assembly Biosciences Inc. USA USD 4,826 0.01 677 Foamix Pharmaceuticals Ltd. ISR USD 4,746 0.01 917 Medgenics Inc. ISR USD 4,640 0.01 124 MacroGenics Inc. USA USD 4,349 0.01 721 Vascular Biogenics Ltd. ISR USD 4,261 0.01 307 Cara Therapeutics Inc. USA USD 3,061 0.00 375 Innocoll AG, ADR DEU USD 2,209 0.00 106 Revance Therapeutics Inc. USA USD 1,796 0.00 2,197 InspireMD Inc. USA USD 1,708 0.00 38 Intersect ENT Inc. USA USD 705 0.00

5,340,000 7.43

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Industrials 3,806 Union Pacific Corp. USA USD 453,409 0.63 7,150 Delta Air Lines Inc. USA USD 351,708 0.49 4,387 United Continental Holdings Inc. USA USD 293,446 0.41 5,373 American Airlines Group Inc. USA USD 288,154 0.40 4,343 Fortune Brands Home & Security Inc. USA USD 196,608 0.27 1,751 Pall Corp. USA USD 177,219 0.25 1,464 MAN SE DEU EUR 163,263 0.23 708 TransDigm Group Inc. USA USD 139,016 0.19 16,368 International Consolidated Airlines Group SA GBR GBP 124,010 0.17 831 General Dynamics Corp. USA USD 114,362 0.16 886 Ryder System Inc. USA USD 82,265 0.11 1,481 Solarcity Corp. USA USD 79,204 0.11 2,834 Edenred FRA EUR 78,719 0.11 1,122 Toro Co. USA USD 71,595 0.10 301 Canadian Pacific Railway Ltd. CAN USD 58,000 0.08 627 Spirit Airlines Inc. USA USD 47,389 0.06 4,337 Air France-KLM FRA EUR 41,795 0.06 921 Nielsen NV USA USD 41,196 0.06 3,308 Sanitec Corp. FIN SEK 41,055 0.06 326 Rockwell Automation Inc. USA USD 36,251 0.05 574 Fluor Corp. USA USD 34,802 0.05 245 Kansas City Southern USA USD 29,897 0.04 669 The Timken Co. USA USD 28,553 0.04 348 Verisk Analytics Inc., A USA USD 22,289 0.03 151 The Boeing Co. USA USD 19,627 0.03 596 Hertz Global Holdings Inc. USA USD 14,864 0.02 3,206 Sthree PLC GBR GBP 14,747 0.02 1,370 Atento SA LUX USD 14,316 0.02 3,322 Irish Continental Group PLC IRL EUR 12,818 0.02 157 ManpowerGroup USA USD 10,703 0.01 210 West Corp. USA USD 6,930 0.01 79 Equifax Inc. USA USD 6,389 0.01 105 Robert Half International Inc. USA USD 6,130 0.01 155 FTI Consulting Inc. USA USD 5,988 0.01 352 JetBlue Airways Corp. USA USD 5,583 0.01 70 Huron Consulting Group Inc. USA USD 4,787 0.01 228 Experian PLC GBR GBP 3,866 0.01 16 Greenbrier Cos. Inc. USA USD 860 0.00 64 Air Canada, B CAN CAD 654 0.00

3,122,467 4.35

Information Technology 1,202 FleetCor Technologies Inc. USA USD 178,749 0.25 5,371 EMC Corp. USA USD 159,734 0.22 1,403 Apple Inc. USA USD 154,863 0.22 6,675 Riverbed Technology Inc. USA USD 136,237 0.19 1,424 MasterCard Inc., A USA USD 122,692 0.17 13,794 Nokia OYJ, A FIN EUR 109,496 0.15 3,651 NCR Corp., W/I USA USD 106,390 0.15 21,275 Sonus Networks Inc. USA USD 84,462 0.12 1,476 Yahoo! Inc. USA USD 74,553 0.10 2,675 Cisco Systems Inc. USA USD 74,405 0.10 2,130 Vantiv Inc., A USA USD 72,250 0.10 3,705 Genpact Ltd. USA USD 70,136 0.10 2,650 Freescale Semiconductor Ltd. USA USD 66,859 0.09 7,732 Nokia Corp., ADR FIN USD 60,773 0.08 1,595 Micron Technology Inc. USA USD 55,841 0.08 1,815 HomeAway Inc. USA USD 54,051 0.08 279 CoStar Group Inc. USA USD 51,233 0.07 486 Alibaba Group Holding Ltd., ADR CHN USD 50,515 0.07 204 Baidu Inc., ADR CHN USD 46,506 0.06 755 Verint Systems Inc. USA USD 44,001 0.06 1,750 Applied Materials Inc. USA USD 43,610 0.06 790 Yelp Inc. USA USD 43,237 0.06 377 Western Digital Corp. USA USD 41,734 0.06 1,000 Forrester Research Inc. USA USD 39,360 0.05 628 VeriSign Inc. USA USD 35,796 0.05 730 EPAM Systems Inc. USA USD 34,857 0.05 2,350 Bankrate Inc. USA USD 29,210 0.04 847 FireEye Inc. USA USD 26,748 0.04 1,800 Sumco Corp. JPN JPY 26,283 0.04 345 Adobe Systems Inc. USA USD 25,081 0.03 18,300 Lenovo Group Ltd. CHN HKD 24,071 0.03 3,670 Applied Micro Circuits Corp. USA USD 23,928 0.03 345 Red Hat Inc. USA USD 23,853 0.03 1,325 Xoom Corp. USA USD 23,201 0.03 795 Exlservice Holdings Inc. USA USD 22,824 0.03 695 Marketo Inc. USA USD 22,740 0.03

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Information Technology (continued) 242 Accenture PLC, A USA USD 21,613 0.03 822 LendingClub Corp. USA USD 20,797 0.03 560 Fleetmatics Group PLC USA USD 19,874 0.03 340 Qihoo 360 Technologies Co. Ltd., ADR CHN USD 19,468 0.03 255 QUALCOMM Inc. USA USD 18,954 0.03 505 VeriFone Systems Inc. USA USD 18,786 0.03 1,530 Ruckus Wireless Inc. USA USD 18,391 0.03 140 F5 Networks Inc. USA USD 18,265 0.03 315 Heartland Payment Systems Inc. USA USD 16,994 0.02 780 Web.com Group Inc. USA USD 14,812 0.02 285 Guidewire Software Inc. USA USD 14,430 0.02 760 Aruba Networks Inc. USA USD 13,817 0.02 745 UbiSoft Entertainment SA FRA EUR 13,671 0.02 160 Gartner Inc., A USA USD 13,474 0.02 175 NXP Semiconductors NV NLD USD 13,370 0.02 465 Nimble Storage Inc. USA USD 12,787 0.02 89 FactSet Research Systems Inc. USA USD 12,527 0.02 585 Activision Blizzard Inc. USA USD 11,788 0.02 535 QIWI PLC, ADR RUS USD 10,802 0.02 41 Visa Inc., A USA USD 10,750 0.02 470 EVERTEC Inc. PRI USD 10,401 0.01 99 WEX Inc. USA USD 9,793 0.01 170 Demandware Inc. USA USD 9,782 0.01 42 Equinix Inc. USA USD 9,523 0.01 205 Microsoft Corp. USA USD 9,522 0.01 160 Salesforce.com Inc. USA USD 9,490 0.01 14 Google Inc., C USA USD 7,370 0.01 115 TE Connectivity Ltd. USA USD 7,274 0.01 210 Hubspot Inc. USA USD 7,058 0.01 75 Intuit Inc. USA USD 6,914 0.01 155 Dealertrack Technologies Inc. USA USD 6,868 0.01 82 Global Payments Inc. USA USD 6,620 0.01 400 InvenSense Inc. USA USD 6,504 0.01 75 Automatic Data Processing Inc. USA USD 6,253 0.01 95 Akamai Technologies Inc. USA USD 5,981 0.01 105 Cognizant Technology Solutions Corp., A USA USD 5,529 0.01 914 Just Eat PLC GBR GBP 4,412 0.01 110 Cardtronics Inc. USA USD 4,244 0.01 73 Texas Instruments Inc. USA USD 3,903 0.01 155 Zendesk Inc. USA USD 3,777 0.01 12 Alliance Data Systems Corp. USA USD 3,433 0.00 100 Benefitfocus Inc. USA USD 3,284 0.00 45 Hewlett-Packard Co. USA USD 1,806 0.00

2,725,390 3.80

Materials 3,805 W.R. Grace & Co. USA USD 362,959 0.51 752 The Sherwin-Williams Co. USA USD 197,806 0.28 11,376 Louisiana-Pacific Corp. USA USD 188,386 0.26 1,463 Ecolab Inc. USA USD 152,913 0.21 5,200 Canfor Corp. CAN CAD 132,663 0.18 4,253 ThyssenKrupp AG DEU EUR 109,411 0.15 1,897 FMC Corp. USA USD 108,186 0.15 510 LyondellBasell Industries NV, A USA USD 40,489 0.06 4,559 Impala Platinum Holdings Ltd. ZAF ZAR 29,866 0.04 276 Crown Holdings Inc. USA USD 14,048 0.02 157 Vulcan Materials Co. USA USD 10,320 0.01 5,824 Thompson Creek Metals Co. USA CAD 9,726 0.01 186 Alcoa Inc., 5.375%, cvt. pfd. USA USD 9,384 0.01 590 Graphic Packaging Holding Co. USA USD 8,036 0.01 4,472 B2Gold Corp. CAN CAD 7,245 0.01 405 Stillwater Mining Co. USA USD 5,970 0.01 315 ArcelorMittal, 6.00%, cvt. pfd. LUX USD 5,449 0.01 149 Tronox Ltd., A USA USD 3,558 0.01

1,396,415 1.94

Telecommunication Services 8,256 T-Mobile U.S. Inc. USA USD 222,417 0.31 41,546 Koninklijke KPN NV NLD EUR 132,117 0.18 1,806 Level 3 Communications Inc. USA USD 89,180 0.13 16,156 Telecom Italia SpA ITA EUR 13,557 0.02 258 Zayo Group Holdings Inc. USA USD 7,887 0.01

465,158 0.65

Utilities 155 Dominion Resources Inc., 6.375%, cvt. pfd., A USA USD 8,062 0.01

TOTAL SHARES 21,802,900 30.35

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RIGHTS Consumer Discretionary 125 Liberty Broadband Corp., rts., 01/09/15 USA USD 1,188 0.00



TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET SHARES Consumer Staples 500 Bunge Ltd., 4.875%, cvt. pfd. USA USD 56,250 0.08

Energy 585 SandRidge Energy Inc., 7.00%, cvt. pfd. USA USD 32,394 0.04 1,255 PetroQuest Energy Inc., 6.875%, cvt., pfd., B USA USD 30,120 0.04 480 Rex Energy Corp., 6.00%, cvt. pfd., A USA USD 25,637 0.04 9 Chesapeake Energy Corp., 5.75%, cvt. pfd., 144A USA USD 9,236 0.01

97,387 0.13

Financials 20 Ally Financial Inc., 7.00%, pfd., 144A USA USD 20,092 0.03


BONDS Asset-Backed Securities 35,000 SNAAC Auto Receivables Trust, 2014-1, 1A, 2.88%, 01/15/20 USA USD 35,229 0.05 30,000 Americredit Automobile Receiveables Trust, 2012-3, 2.42%, 05/08/18 USA USD 30,454 0.04 30,000 CarMax Auto Owner Trust, 2013-1, A4, 0.89%, 08/17/18 USA USD 29,863 0.04 25,000 Ford Credit Auto Lease Trust, 2013-B, A3, 0.76%, 09/15/16 USA USD 25,019 0.04 25,000 Nissan Auto Receivables 2014-B Owner Trust, 2014-B, 1.11%, 05/15/19 USA USD 24,957 0.03 20,000 BMW Vehicle Owner Trust, 2014-A, A3, 0.97%, 11/26/18 USA USD 19,984 0.03 20,000 First Investors Auto Owner Trust, 2014-1A, D, 3.28%, 04/15/21 USA USD 19,760 0.03 15,000 Honda Auto Receivables 2014-2 Owner Trust, A3, 0.77%, 03/19/18 USA USD 14,971 0.02 15,000 Honda Auto Receivables 2014-1 Owner Trust, 2014-1, 0.67%, 11/21/17 USA USD 14,968 0.02 13,954 GMACM Mortgage Loan Trust, 2003-J7, A-7, 5.00%, 11/25/33 USA USD 14,040 0.02 15,267 Credit Suisse First Boston Mortgage Securities, 5.50%, 11/25/35 USA USD 13,682 0.02 11,496 Wells Fargo Mortgage Backed Securities Trust, 2005-AR10, FRN, 2.614%,

06/25/35 † USA USD 11,723 0.02 10,000 Americredit Automobile Receiveables Trust, 2013-4, 1.66%, 09/10/18 USA USD 10,055 0.01 10,000 BMW Vehicle Owner Trust, 2013-A, A3, 0.67%, 11/27/17 USA USD 10,001 0.01 9,300 Wells Fargo Mortgage Backed Securities Trust, FRN, 2.615%, 12/25/33 † USA USD 9,336 0.01 8,644 Structured ARM Loan Trust, FRN, 2.63%, 09/25/34 † USA USD 8,585 0.01 9,132 GSR Mortgage Loan Trust, 2005-AR4, 4A1, FRN, 2.47%, 07/25/35 † USA USD 8,546 0.01 7,000 CarMax Auto Owner Trust, 2013-4, A3, 0.80%, 07/16/18 USA USD 6,994 0.01 5,777 Ford Credit Auto Owner Trust, 0.55%, 07/15/17 USA USD 5,776 0.01 5,000 Ford Credit Auto Owner Trust, 2014-C, A3, 1.06%, 05/15/19 USA USD 4,989 0.01 5,000 Honda Auto Receivables Owner Trust, 2014-4, A3, 0.99%, 09/17/18 USA USD 4,989 0.01

323,921 0.45

Corporate Bonds 356,000 DISH DBS Corp., senior note, 144A, 5.875%, 11/15/24 USA USD 358,670 0.50 307,000 Postmedia Network Inc., senior secured note, 12.50%, 07/15/18 CAN USD 323,117 0.45 305,000 CCOH Safari LLC, senior bond, 5.75%, 12/01/24 USA USD 309,194 0.43 250,000 ROC Finance LLC/ROC Finance 1 Corp., secured note, 144A, 12.125%,

09/01/18 USA USD 265,000 0.37 225,000 Intelsat Luxembourg SA, senior note, 7.75%, 06/01/21 LUX USD 226,406 0.32 200,000 Kindred Escrow Corp. II, senior note, 144A, 8.75%, 01/15/23 USA USD 216,250 0.30 158,000 Kindred Escrow Corp. II, senior secured note, 144A, 8.00%, 01/15/20 USA USD 168,665 0.23 150,000 Sprint Corp., senior bond, 7.875%, 09/15/23 USA USD 148,830 0.21 130,000 Avaya Inc., secured note, 144A, 9.00%, 04/01/19 USA USD 133,575 0.19 125,000 Dynegy Finance I Inc./Dynegy Finance II Inc., senior note, 144A, 7.375%,

11/01/22 USA USD 127,344 0.18 127,000 Windstream Corp., 7.50%, 06/01/22 USA USD 127,159 0.18 125,000 MGM Resorts International, senior note, 6.00%, 03/15/23 USA USD 126,250 0.18 120,000 MSCI Inc., senior note, 144A, 5.25%, 11/15/24 USA USD 124,500 0.17 125,000 SGH Escrow Corp., 10.00%, 01/15/19 USA USD 120,000 0.17 132,000 Visant Corp., senior note, 10.00%, 10/01/17 USA USD 116,160 0.16 110,000 Equinix Inc., senior note, 5.375%, 01/01/22 USA USD 111,584 0.16 100,000 The Mcclatchy Co., first lien, senior secured note, 9.00%, 12/15/22 USA USD 109,375 0.15 100,000 Neiman Marcus Group Ltd. LLC, senior note, 144A, 8.00%, 10/15/21 USA USD 106,250 0.15 100,000 Frontier Communications Corp., senior note, 7.125%, 01/15/23 USA USD 102,250 0.14 80,000 Frontier Communications Corp., senior bond, 6.875%, 01/15/25 USA USD 80,200 0.11 80,000 Intelsat Jackson Holdings SA, senior bond, 5.50%, 08/01/23 LUX USD 79,812 0.11 80,000 Tenet Healthcare Corp., 4.375%, 10/01/21 USA USD 79,800 0.11 80,000 R. R. Donnelley & Sons Co., senior bond, 6.00%, 04/01/24 USA USD 79,200 0.11 80,000 Cenveo Corp., cvt., 7.00%, 05/15/17 USA USD 78,800 0.11 80,000 Endo Finance LLC & Endo Finance Inc., 5.375%, 01/15/23 USA USD 78,600 0.11 70,000 Cowen Group Inc., cvt., senior note, 144A, 3.00%, 03/15/19 USA USD 75,644 0.11

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% ofnet

assets






Corporate Bonds (continued) 75,000 Cott Beverages Inc., senior note, 144A, 6.75%, 01/01/20 USA USD 75,187 0.10 49,000 Electronic Arts Inc., cvt., senior note, 0.75%, 07/15/16 USA USD 74,051 0.10 75,000 SunEdison Inc., cvt., senior note, 144A, 0.25%, 01/15/20 USA USD 73,031 0.10 65,000 NXP Semiconductors NV, 144A, 1.00%, 12/01/19 NLD USD 66,909 0.09 65,000 SUPERVALU Inc., 7.75%, 11/15/22 USA USD 64,025 0.09 60,000 Sequenom Inc., cvt., 5.00%, 10/01/17 USA USD 61,950 0.09 60,000 E*TRADE Financial Corp., senior note, 5.375%, 11/15/22 USA USD 61,500 0.09 60,000 RWT Holdings Inc., cvt., 5.625%, 11/15/19 USA USD 61,200 0.09 60,000 NCL Corp. Ltd., 5.25%, 11/15/19 BMU USD 60,750 0.08 50,000 Fomento de Construcciones y Contratas SA, 6.50%, 10/30/20 ESP EUR 60,344 0.08 60,000 Kennedy-Wilson Inc., 5.875%, 04/01/24 USA USD 60,300 0.08 60,000 CDW LLC/CDW Finance Corp., senior note, 5.50%, 12/01/24 USA USD 60,225 0.08 55,000 Carriage Services Inc., cvt., sub. note, 144A, 2.75%, 03/15/21 USA USD 59,778 0.08 60,000 IAS Operating Partnership LP, senior note, 144A, 5.00%, 03/15/18 USA USD 57,075 0.08 60,000 SM Energy Co., senior note, 144A, 6.125%, 11/15/22 USA USD 56,550 0.08 55,000 IHS Inc., senior note, 144A, 5.00%, 11/01/22 USA USD 54,725 0.08 50,000 Vector Group Ltd., cvt., FRN, 1.75%, 04/15/20 † USA USD 53,219 0.07 50,000 Scientific Games International Inc., senior secured note, first lien, 144A,

7.00%, 01/01/22 USA USD 50,875 0.07 50,000 The ADT Corp., senior note, 5.25%, 03/15/20 USA USD 50,875 0.07 50,000 Dana Holding Corp., 5.50%, 12/15/24 USA USD 50,750 0.07 50,000 Navistar International Corp., cvt., 4.75%, 04/15/19 USA USD 48,062 0.07 50,000 TiVo Inc., cvt., 2.00%, 10/01/21 USA USD 48,062 0.07 45,000 Michaels Stores Inc., 5.875%, 12/15/20 USA USD 45,675 0.06 45,000 KLX Inc., senior note, 144A, 5.875%, 12/01/22 USA USD 45,562 0.06 46,000 Sprint Corp., senior bond, 7.125%, 06/15/24 USA USD 43,010 0.06 45,000 Griffon Corp., senior note, 5.25%, 03/01/22 USA USD 42,637 0.06 40,000 ServiceMaster Co. of Tennesse, senior note, 7.00%, 08/15/20 USA USD 41,600 0.06 35,000 Red Hat Inc., cvt., 0.25%, 10/01/19 USA USD 41,475 0.06 40,000 HD Supply Inc., first lien, 144A, 5.25%, 12/15/21 USA USD 40,800 0.06 40,000 Sealed Air Corp., senior bond, 144A, 5.125%, 12/01/24 USA USD 40,500 0.06 40,000 Springleaf Finance Corp., 5.25%, 12/15/19 USA USD 39,300 0.05 37,000 Dynegy Finance I Inc./Dynegy Finance II Inc., senior secured bond, first lien, 144A, 7.625%, 11/01/24 USA USD 37,786 0.05 35,000 Akamai Technologies Inc., cvt., zero cpn., 02/15/19 USA USD 36,488 0.05 35,000 Rialto Holdings LLC/Rialto Corp., senior note, 144A, 7.00%, 12/01/18 USA USD 35,591 0.05 35,000 HCA Inc., senior secured note, first lien, 4.25%, 10/15/19 USA USD 35,569 0.05 35,000 Ally Financial Inc., senior note, 3.75%, 11/18/19 USA USD 34,562 0.05 30,000 Quidel Corp., cvt., 3.25%, 12/15/20 USA USD 33,581 0.05 30,000 Royal Bank of Scotland Group PLC, sub. note, 6.125%, 12/15/22 GBR USD 32,704 0.05 50,000 Amyris Inc., cvt., senior note, 144A, 6.50%, 05/15/19 USA USD 32,031 0.04 30,000 General Motors Co., 5.20%, 04/01/45 USA USD 31,725 0.04 30,000 Essar Steel Algoma Inc., 9.50%, 11/15/19 CAN USD 30,337 0.04 30,000 Building Materials Corp. of America, senior bond, 144A, 5.375%, 11/15/24 USA USD 30,075 0.04 25,000 Isis Pharmaceuticals Inc., cvt., 1.00%, 11/15/21 USA USD 28,109 0.04 30,000 BioScrip Inc., 8.875%, 02/15/21 USA USD 27,113 0.04 25,000 Lee Enterprises Inc., senior secured note, first lien, 144A, 9.50%, 03/15/22 USA USD 25,781 0.04 25,000 CCOH Safari LLC, senior note, 5.50%, 12/01/22 USA USD 25,438 0.04 30,000 Petrobras Global Finance BV, 5.625%, 05/20/43 NLD USD 24,608 0.03 25,000 Oceaneering International Inc., senior note, 4.65%, 11/15/24 USA USD 24,527 0.03 25,000 Realogy Group LLC/Realogy Co-Issuer Corp., senior note, 144A, 5.25%, 12/01/21 USA USD 24,406 0.03 23,000 VPI Escrow Corp., senior note, 144A, 6.375%, 10/15/20 USA USD 24,121 0.03 25,000 AK Steel Corp., 7.625%, 10/01/21 USA USD 23,000 0.03 45,000 Solazyme Inc., cvt., senior sub. note, 5.00%, 10/01/19 USA USD 21,234 0.03 20,000 KLA-Tencor Corp., 4.65%, 11/01/24 USA USD 20,745 0.03 20,000 Owens-Brockway Glass Container Inc., senior note, 144A, 5.00%, 01/15/22 USA USD 20,425 0.03 20,000 Moog Inc., senior note, 144A, 5.25%, 12/01/22 USA USD 20,300 0.03 20,000 Micron Technology Inc., 5.50%, 02/01/25 USA USD 20,250 0.03 20,000 Owens-Brockway Glass Container Inc., senior bond, 144A, 5.375%, 01/15/25 USA USD 20,225 0.03 20,000 Concho Resources Inc., senior bond, 5.50%, 04/01/23 USA USD 20,194 0.03 20,000 Regency Energy Partners LP/Regency Energy Finance Corp., 5.75%, 09/01/20 USA USD 20,150 0.03 20,000 Becton Dickinson & Co., FRN, 0.691%, 06/15/16 † USA USD 20,012 0.03 20,000 Chevron Corp., FRN, 0.402%, 11/15/17 † USA USD 19,991 0.03 20,000 Diamondback Energy Inc., senior note, 7.625%, 10/01/21 USA USD 19,625 0.03 20,000 Chesapeake Energy Corp., senior note, 4.875%, 04/15/22 USA USD 19,550 0.03 20,000 Whiting Petroleum Corp., senior sub. note, 6.50%, 10/01/18 USA USD 19,400 0.03 20,000 Cimarex Energy Co., senior note, 4.375%, 06/01/24 USA USD 19,150 0.03 20,000 BMC Software Finance Inc., senior note, 144A, 8.125%, 07/15/21 USA USD 18,900 0.03 20,000 QEP Resources Inc., senior note, 5.25%, 05/01/23 USA USD 18,800 0.03 20,000 MEG Energy Corp., 6.375%, 01/30/23 CAN USD 17,950 0.02 20,000 Continental Resources Inc., 3.80%, 06/01/24 USA USD 17,733 0.02 20,000 SM Energy Co., 5.00%, 01/15/24 USA USD 17,400 0.02 20,000 Baytex Energy Corp., senior note, 144A, 5.625%, 06/01/24 CAN USD 17,075 0.02 20,000 California Resources Corp., senior bond, 144A, 6.00%, 11/15/24 USA USD 17,000 0.02 25,000 Cobalt International Energy Inc., cvt., senior bond, 3.125%, 05/15/24 USA USD 16,891 0.02 15,000 Choice Hotels International Inc., senior note, 5.70%, 08/28/20 USA USD 16,238 0.02 16,000 DISH DBS Corp., senior note, 5.125%, 05/01/20 USA USD 16,160 0.02 15,000 Violin Memory Inc., cvt., 4.25%, 10/01/19 USA USD 15,600 0.02 15,000 Time Warner Cable Inc., 4.50%, 09/15/42 USA USD 15,481 0.02

Number of shares or



Marketvalue

% ofnet

assets






Corporate Bonds (continued) 15,000 Omnicare Inc., senior bond, 5.00%, 12/01/24 USA USD 15,450 0.02 15,000 IGI Laboratories Inc., cvt., 3.75%, 12/15/19 USA USD 15,169 0.02 15,000 Morgan Stanley, senior sub. bond, 4.35%, 09/08/26 USA USD 15,110 0.02 15,000 Tesoro Logistics LP/Tesoro Finance Corp., 6.25%, 10/15/22 USA USD 15,038 0.02 15,000 Bank of America Corp., senior sub. bond, 4.25%, 10/22/26 USA USD 14,987 0.02 15,000 iStar Financial Inc., 4.00%, 11/01/17 USA USD 14,644 0.02 15,000 Targa Resources Partners LP/Finance Corp., 4.125%, 11/15/19 USA USD 14,513 0.02 15,000 Lexicon Pharmaceuticals Inc., cvt., 5.25%, 12/01/21 USA USD 13,781 0.02 15,000 Targa Resources Partners LP/Finance Corp., 4.25%, 11/15/23 USA USD 13,725 0.02 15,000 Rosetta Resources Inc., 5.875%, 06/01/22 USA USD 13,650 0.02 12,000 Monster Worldwide Inc., 3.50%, 10/15/19 USA USD 12,795 0.02 3,000 Gilead Sciences Inc., cvt., senior note, 1.625%, 05/01/16 USA USD 12,422 0.02 12,000 Priceline Group Inc., cvt., 0.90%, 09/15/21 USA USD 11,460 0.02 9,000 Palo Alto Networks Inc., cvt., senior note, 144A, zero cpn., 07/01/19 USA USD 11,413 0.02 10,000 Choice Hotels International Inc., senior bond, 5.75%, 07/01/22 USA USD 10,775 0.01 10,000 Integra Lifesciences Holdings Corp., cvt., senior note, 1.625%, 12/15/16 USA USD 10,681 0.01 10,000 Photronics Inc., cvt., 3.25%, 04/01/16 USA USD 10,394 0.01 10,000 PROS Holdings Inc., cvt., 2.00%, 12/01/19 USA USD 10,363 0.01 10,000 Fresenius Medical Care U.S. Finance II Inc., senior note, 144A, 4.75%, 10/15/24 DEU USD 10,150 0.01 10,000 Sanmina Corp., senior note, 144A, 4.375%, 06/01/19 USA USD 9,950 0.01 10,000 iStar Financial Inc., senior note, 5.00%, 07/01/19 USA USD 9,750 0.01 10,000 LGI Homes Inc., cvt., 4.25%, 11/15/19 USA USD 9,738 0.01 5,000 Lennar Corp., cvt., 144A, 3.25%, 11/15/21 USA USD 9,713 0.01 10,000 TTM Technologies Inc., cvt., 1.75%, 12/15/20 USA USD 9,656 0.01 10,000 Antero Resources Corp., senior note, 144A, 5.125%, 12/01/22 USA USD 9,475 0.01 10,000 RSP Permian Inc., senior note, 144A, 6.625%, 10/01/22 USA USD 9,350 0.01 10,000 Whiting Petroleum Corp., 5.75%, 03/15/21 USA USD 9,300 0.01 10,000 Rosetta Resources Inc., senior note, 5.625%, 05/01/21 USA USD 9,201 0.01 10,000 Ultra Petroleum Corp., senior bond, 144A, 6.125%, 10/01/24 USA USD 8,650 0.01 10,000 Atrium Windows and Doors Inc., senior secured note, 144A, 7.75%, 05/01/19 USA USD 8,450 0.01 10,000 Bonanza Creek Energy Inc., senior note, 5.75%, 02/01/23 USA USD 7,925 0.01 5,000 Greenbrier Cos. Inc., cvt., 3.50%, 04/01/18 USA USD 7,544 0.01 6,000 Ciena Corp., senior note, 144A, 3.75%, 10/15/18 USA USD 7,459 0.01 6,000 MercadoLibre Inc., cvt., senior note, 144A, 2.25%, 07/01/19 ARG USD 7,155 0.01 5,000 Ally Financial Inc., senior note, 8.00%, 03/15/20 USA USD 5,913 0.01 5,000 Acorda Therapeutics Inc., cvt., 1.75%, 06/15/21 USA USD 5,778 0.01 5,000 Emergent Biosolutions Inc., cvt., senior note, 144A, 2.875%, 01/15/21 USA USD 5,634 0.01 5,000 Jarden Corp., cvt., sub. bond, 144A, 1.125%, 03/15/34 USA USD 5,628 0.01 6,000 ARC Properties Operating Partnership LP, 3.00%, 02/06/19 USA USD 5,562 0.01 5,000 CIT Group Inc., senior bond, 5.00%, 08/01/23 USA USD 5,150 0.01 5,000 DISH DBS Corp., senior note, 5.875%, 07/15/22 USA USD 5,138 0.01 5,000 L-3 Communications Inc., 5.75%, 12/01/22 USA USD 5,056 0.01 5,000 Synergy Pharmaceuticals Inc., cvt., 7.50%, 11/01/19 USA USD 5,006 0.01 5,000 Owens Corning, 4.20%, 12/01/24 USA USD 4,948 0.01 5,000 Redwood Trust Inc., cvt., 4.625%, 04/15/18 USA USD 4,944 0.01 5,000 Oasis Petroleum Inc., senior note, 7.25%, 02/01/19 USA USD 4,825 0.01 5,000 Finisar Corp., cvt., 0.50%, 12/15/33 USA USD 4,750 0.01 5,000 Renewable Energy Group Inc., cvt., 2.75%, 06/15/19 USA USD 4,744 0.01 5,000 Whiting Petroleum Corp., senior note, 5.00%, 03/15/19 USA USD 4,700 0.01 5,000 Oasis Petroleum Inc., senior note, 6.875%, 03/15/22 USA USD 4,575 0.01 5,000 Genworth Holdings Inc., 4.80%, 02/15/24 USA USD 4,082 0.01

7,112,937 9.90

Government and Municipal Bonds 1,050,000 Government of Mexico, 8.50%, 11/18/38 MEX MXN 88,355 0.12 840,000 Government of Mexico, M, 4.75%, 06/14/18 MEX MXN 56,879 0.08

145,234 0.20

Securities Maturing Within One Year 1,195,400 U.S. Treasury Bill, 03/12/15 USA USD 1,195,371 1.66 233,000 FHLMC, 0.00%, 04/20/15 USA USD 232,978 0.32 128,000 U.S. Treasury Bill, 05/07/15 USA USD 127,980 0.18 128,000 U.S. Treasury Bill, 05/14/15 USA USD 127,980 0.18 128,000 U.S. Treasury Bill, 05/21/15 USA USD 127,978 0.18 128,000 U.S. Treasury Bill, 05/28/15 USA USD 127,971 0.18 128,000 U.S. Treasury Bill, 06/04/15 USA USD 127,963 0.18 8,000 Mylan Inc., cvt., senior note, 3.75%, 09/15/15 USA USD 33,850 0.05 15,000 U.S. Treasury Bill, 04/09/15 USA USD 14,999 0.02

2,117,070 2.95

TOTAL BONDS 9,699,162 13.50




Number of shares or



Marketvalue

% ofnet

assets





— Franklin MENA Fund —

TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Airlines 17,650,000 Air Arabia PJSC ARE AED 7,207,906 2.97

Automobiles 854,761 Ghabbour Auto EGY EGP 3,705,931 1.53

Banks 1,663,392 Commercial International Bank Egypt SAE EGY EGP 11,422,654 4.70 1,893,077 First Gulf Bank PJSC ARE AED 8,761,740 3.61 148,248 Qatar National Bank QAT QAR 8,666,831 3.57 729,839 Deutsche Bank AG/London (CRTP Samba Financial Group, 144A) SAU USD 7,507,571 3.09 4,754,344 Bank Muscat SAOG OMN OMR 7,211,409 2.97 3,824,256 Union National Bank PJSC/Abu Dhabi ARE AED 6,038,765 2.49 681,063 HSBC Bank PLC (CRTP Banque Saudi Fransi) SAU USD 5,717,194 2.36 2,156,408 Merrill Lynch International & Co. CV (CRTP Emirates NBD PJSC) ARE USD 5,219,223 2.15 378,599 Merrill Lynch International & Co. CV (CRTP Samba Financial Group) SAU USD 3,894,501 1.60 270,000 Credit Suisse Nassau (CRTP Al Rajhi Bank) SAU USD 3,687,591 1.52 175,000 HSBC Bank PLC (CRTP Al Rajhi Bank) SAU USD 2,390,105 0.98 220,000 Credit Suisse Nassau (CRTP Banque Saudi Fransi, Reg S) SAU USD 1,846,793 0.76 130,000 Deutsche Bank AG/London (CRTP Al Rajhi Bank, 144A) SAU USD 1,775,507 0.73 110,000 Merrill Lynch International & Co. CV (CRTP Al Rajhi Bank) SAU USD 1,502,352 0.62 110,000 Credit Suisse Nassau (CRTP Banque Saudi Fransi) SAU USD 923,397 0.38 250,000 Emirates NBD PJSC ARE AED 605,083 0.25

77,170,716 31.78

Capital Markets 3,488,144 Egyptian Financial Group-Hermes Holding EGY EGP 7,517,751 3.10 11,831,320 Amanat Holdings PJSC ARE AED 2,631,652 1.08

10,149,403 4.18

Chemicals 260,000 Deutsche Bank AG/London (CRTP Saudi Basic Industries Corp., 144A) SAU USD 5,820,197 2.40 415,000 HSBC Bank PLC (CRTP Yanbu National Petrochemicals Co.) SAU USD 5,308,532 2.18 350,000 Morgan Stanley BV (CRTP Yanbu National Petrochemicals Co., Reg S) SAU USD 4,477,075 1.84 195,000 Credit Suisse Nassau (CRTP Saudi Basic Industries Corp.) SAU USD 4,365,148 1.80 182,120 HSBC Bank PLC (CRTP Saudi Basic Industries Corp., 144A) SAU USD 4,076,824 1.68 95,000 Credit Suisse Nassau (CRTP Yanbu National Petrochemicals Co., Reg S) SAU USD 1,215,206 0.50 22,800 Merrill Lynch International & Co. CV (CRTP Saudi Basic Industries Corp.) SAU USD 510,387 0.21

25,773,369 10.61

Construction Materials 134,327 Qatar National Cement Co. QAT QAR 4,868,925 2.00

Diversified Financial Services 4,151,611 Kuwait Projects Co. Holding KSC KWD KWD 9,923,605 4.09

Energy Equipment & Services 310,062 Gulf International Services QSC QAT QAR 8,267,298 3.40 3,174,516 Gulf Marine Services PLC ARE GBP 4,948,118 2.04

13,215,416 5.44

Hotels, Restaurants & Leisure 356,665 Merrill Lynch International & Co. CV (CRTP Al Tayyar Travel Group) SAU USD 11,310,780 4.66

Industrial Conglomerates 908,510 Deutsche Bank AG/London (CRTP National Industrialization Co., 144A) SAU USD 6,488,579 2.67

Real Estate Investment Trust (REIT) 4,572,640 Emirates REIT CEIC Ltd. ARE USD 5,944,432 2.45

Real Estate Management & Development 7,240,827 Emaar Properties PJSC ARE AED 14,311,922 5.89 2,285,000 Mabanee Co. SAKC KWD KWD 7,490,524 3.09 4,579,744 Talaat Moustafa Group EGY EGP 6,277,088 2.59 6,000,000 Aldar Properties PJSC ARE AED 4,328,828 1.78 170,614 Residences Dar Saada MAR MAD 3,716,568 1.53 638,686 Medinet Nasr Housing EGY EGP 2,675,316 1.10 269,541 Douja Promotion Groupe Addoha SA MAR MAD 1,117,823 0.46

39,918,069 16.44

Tobacco 220,389 Eastern Tobacco EGY EGP 6,781,461 2.79

Trading Companies & Distributors 2,773,790 ALAFCO Aviation Lease and Finance Co. KSCC KWD KWD 2,348,984 0.97

TOTAL SHARES 224,807,576 92.58


Number of shares or



Marketvalue

% ofnet

assets





TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET SHARES Real Estate Management & Development 2,834,970 Morgan Stanley BV (CRTP Dar Al Arkan Real Estate Development Co., Reg S) SAU USD 6,157,312 2.54




— Franklin MENA Fund —

Number of shares or



Marketvalue

% ofnet

assets





— Franklin Multi-Asset Income Fund —

TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING INVESTMENTS FUNDS Financials 54,300 iShares MSCI Japan EUR Hedged UCITS ETF JPN EUR 2,235,259 4.36 64,900 iShares MSCI Europe UCITS ETF Dist IRL EUR 1,394,701 2.72 14,600 iShares MSCI World UCITS ETF DIST IRL EUR 438,657 0.86

4,068,617 7.94


SHARES Consumer Discretionary 7,538 The Berkeley Group Holdings PLC GBR GBP 240,816 0.47 12,787 Takkt AG DEU EUR 174,031 0.34 111,400 BEC World PCL, fgn. THA THB 142,803 0.28 53,589 ITE Group PLC GBR GBP 110,452 0.21 26,000 UMW Holdings Bhd. MYS MYR 67,354 0.13 558,000 Victory City International Holdings Ltd. HKG HKD 66,611 0.13 23,600 MGM China Holdings Ltd. HKG HKD 49,603 0.10 9,300 Giordano International Ltd. HKG HKD 3,420 0.01

855,090 1.67

Consumer Staples 9,291 British American Tobacco PLC GBR GBP 418,897 0.82 9,300 British American Tobacco Malaysia Bhd. MYS MYR 143,102 0.28 256,000 Thai Beverage PCL, fgn. THA SGD 110,193 0.21 37,000 Carlsberg Brewery Malaysia Bhd. MYS MYR 102,672 0.20

774,864 1.51

Energy 79,334 BP PLC GBR GBP 420,028 0.82 9,226 Total SA, B FRA EUR 392,290 0.76 19,051 Eni SpA ITA EUR 276,430 0.54 3,060 Enbridge Inc. CAN CAD 130,099 0.25 7,049 TGS Nopec Geophysical Co. ASA NOR NOK 126,088 0.25 1,660 Cheniere Energy Inc. USA USD 96,582 0.19 1,968 Energy Transfer Equity LP USA USD 93,325 0.18 2,820 Altagas Ltd. CAN CAD 86,982 0.17 2,310 The Williams Cos. Inc. USA USD 85,795 0.17 32,500 China Shenhua Energy Co. Ltd., H CHN HKD 79,325 0.15 5,860 Veresen Inc. CAN CAD 76,570 0.15 82,000 PetroChina Co. Ltd., H CHN HKD 74,988 0.15 108,000 China Petroleum and Chemical Corp., H CHN HKD 71,944 0.14 2,340 Pembina Pipeline Corp. CAN CAD 70,511 0.14 1,316 Western Gas Equity Partners LP USA USD 65,506 0.13 1,580 Kinder Morgan Inc. USA USD 55,248 0.11 775 Magellan Midstream Partners LP USA USD 52,943 0.10 670 SemGroup Corp., A USA USD 37,869 0.07 1,844 Ultrapar Participacoes SA, ADR BRA USD 29,062 0.06 922 Cheniere Energy Partners LP USA USD 24,383 0.05 690 Enlink Midstream LLC USA USD 20,278 0.04 361 MarkWest Energy Partners LP USA USD 20,046 0.04 440 Spectra Energy Corp. USA USD 13,200 0.02

2,399,492 4.68

Financials 1,651 Zurich Insurance Group AG CHE CHF 427,784 0.83 29,379 Standard Chartered PLC GBR GBP 364,452 0.71 7,507 KBC GROEP NV BEL EUR 349,038 0.68 14,655 Banca Generali ITA EUR 337,798 0.66 84,458 Ashmore Group PLC GBR GBP 304,632 0.59 2,195 Allianz SE DEU EUR 301,483 0.59 12,255 Swedbank AB, A SWE SEK 253,881 0.50 2,499 Euler Hermes Group FRA EUR 214,014 0.42 74,968 Corporacion Mapfre SA ESP EUR 210,885 0.41 170,895 Hatton National Bank PLC LKA LKR 164,703 0.32 17,183 IG Group Holdings PLC GBR GBP 159,150 0.31 19,395 HSBC Holdings PLC GBR GBP 152,054 0.30 16,223 Hiscox Ltd. GBR GBP 150,571 0.29 104,885 United Bank Ltd. PAK PKR 150,266 0.29 219,000 China Construction Bank Corp., H CHN HKD 148,221 0.29 338,800 Sunway REIT MYS MYR 121,722 0.24 9,288 DBS Group Holdings Ltd. SGP SGD 119,359 0.23 16,343 Oversea-Chinese Banking Corp. Ltd. SGP SGD 106,642 0.21 21,500 Siam Commercial Bank PCL, fgn. THA THB 98,354 0.19 35,000 BOC Hong Kong (Holdings) Ltd. HKG HKD 96,618 0.19 154,200 Industrial and Commercial Bank of China Ltd., H CHN HKD 93,024 0.18

Number of shares or



Marketvalue

% ofnet

assets






Financials (continued) 21,000 Public Bank Bhd. MYS MYR 90,835 0.18 56,200 KLCC Property Holdings Bhd. MYS MYR 89,133 0.17 64,000 CapitaMall Trust SGP SGD 81,447 0.16 73,000 Keppel REIT Management Ltd. SGP SGD 55,558 0.11 244,100 Land and Houses PCL, fgn. THA THB 55,526 0.11 224,300 Land and Houses PCL, NVDR THA THB 51,022 0.10 199,000 Quality Houses PCL, fgn. THA THB 18,307 0.04

4,766,479 9.30

Health Care 6,102 Sanofi FRA EUR 461,677 0.90 14,505 GlaxoSmithKline PLC GBR GBP 257,107 0.50

718,784 1.40

Industrials 21,058 Atlantia SpA ITA EUR 407,051 0.79 12,105 bpost SA BEL EUR 251,603 0.49 40,695 Transurban Group AUS AUD 235,613 0.46 16,320 Groupe Eurotunnel SA FRA EUR 174,624 0.34 28,362 BAE Systems PLC GBR GBP 172,447 0.34 24,774 De La Rue PLC GBR GBP 166,109 0.32 3,547 Vinci SA FRA EUR 161,424 0.32 16,802 Veidekke ASA NOR NOK 137,075 0.27 7,482 Abertis Infraestructuras SA ESP EUR 122,929 0.24 64,000 Shin Zu Shing Co. Ltd. TWN TWD 120,321 0.24 84,600 Dynasty Ceramic PCL, fgn. THA THB 120,144 0.24 43,000 China Merchants Holdings International Co. Ltd. CHN HKD 119,390 0.23 1,090 Aeroports de Paris (ADP) FRA EUR 109,273 0.21 3,200 Japan Airport Terminal Co. Ltd. JPN JPY 105,609 0.21 160 Flughafen Zuerich AG CHE CHF 88,646 0.17 67,000 COSCO Pacific Ltd. CHN HKD 78,838 0.15 18,698 Sydney Airport AUS AUD 59,427 0.12 18,533 Auckland International Airport Ltd. NZL NZD 50,532 0.10 422 Grupo Aeroportuario del Sureste SAB de CV, ADR MEX USD 45,981 0.09 824 Grupo Aeroportuario del Pacifico SAB de CV, ADR MEX USD 43,039 0.08 182,700 Hexindo Adiperkasa Tbk PT IDN IDR 42,731 0.08 8,870 BBA Aviation PLC GBR GBP 41,134 0.08 57,000 Hutchison Port Holdings Trust SGP USD 32,504 0.06 4,000 Kamigumi Co. Ltd. JPN JPY 29,685 0.06 16,053 Qube Logistics Holdings Ltd. AUS AUD 26,323 0.05 10,000 SembCorp Marine Ltd. SGP SGD 20,337 0.04 8,839 Macquarie Atlas Roads Group AUS AUD 19,086 0.04 600 Mitsubishi Logistics Corp. JPN JPY 7,321 0.01 33,000 Rickmers Maritime SGP SGD 5,764 0.01

2,994,960 5.84

Information Technology 117,100 Delta Electronics (Thailand) PCL, fgn. THA THB 207,505 0.41 9,000 VTech Holdings Ltd. HKG HKD 106,861 0.21 81,000 Synnex Technology International Corp. TWN TWD 97,502 0.19 10,000 Asustek Computer Inc. TWN TWD 90,475 0.18 19,000 Simplo Technology Co. Ltd. TWN TWD 78,138 0.15 6,000 Novatek Microelectronics Corp. Ltd. TWN TWD 27,887 0.05

608,368 1.19

Materials 7,338 Rio Tinto PLC GBR GBP 283,580 0.55 274,000 Fauji Fertilizer Co. Ltd. PAK PKR 262,449 0.51 2,882 BASF SE DEU EUR 201,394 0.39 6,920 CRH PLC IRL EUR 137,708 0.27 7,240 Tikkurila Oy FIN EUR 104,908 0.21

990,039 1.93

Telecommunication Services 45,981 TDC AS DNK DKK 291,602 0.57 21,407 Deutsche Telekom AG DEU EUR 283,643 0.55 78,084 Vodafone Group PLC GBR GBP 223,956 0.44 7,444 Vivendi SA FRA EUR 154,016 0.30 485,000 Telekomunikasi Indonesia Persero Tbk PT, B IDN IDR 92,722 0.18 38,000 Singapore Telecommunications Ltd. SGP SGD 92,451 0.18 6,500 China Mobile Ltd. CHN HKD 62,837 0.12 22,500 Intouch Holdings PCL, NVDR THA THB 44,536 0.09 11,400 Grameenphone Ltd. BGD BDT 43,526 0.09

1,289,289 2.52

Number of shares or



Marketvalue

% ofnet

assets





Utilities 34,455 National Grid PLC GBR GBP 407,492 0.79 18,614 GDF Suez FRA EUR 361,670 0.71 71,066 Centrica PLC GBR GBP 255,413 0.50 11,387 SSE PLC GBR GBP 237,924 0.46 46,953 Snam SpA ITA EUR 192,507 0.38 1,720 NextEra Energy Inc. USA USD 151,090 0.29 2,280 Dominion Resources Inc. USA USD 144,902 0.28 18,000 Cheung Kong Infrastructure Holdings Ltd. HKG HKD 110,410 0.22 29,825 Enel SpA ITA EUR 110,233 0.22 13,000 Power Assets Holdings Ltd. HKG HKD 104,196 0.20 253,500 Perusahaan Gas Negara (Persero) Tbk PT IDN IDR 101,496 0.20 2,970 ITC Holdings Corp. USA USD 99,237 0.19 1,780 Edison International USA USD 96,326 0.19 17,103 Iberdrola SA ESP EUR 95,726 0.19 2,530 Portland General Electric Co. USA USD 79,099 0.15 750 Sempra Energy USA USD 69,025 0.13 1,110 New Jersey Resources Corp. USA USD 56,142 0.11 2,690 Pattern Energy Group Inc. USA USD 54,823 0.11 1,580 Public Service Enterprise Group Inc. USA USD 54,073 0.11 1,110 Atmos Energy Corp. USA USD 51,133 0.10 52,000 Sound Global Ltd. CHN HKD 49,992 0.10 1,580 RWE AG DEU EUR 40,527 0.08 920 American Water Works Co. Inc. USA USD 40,526 0.08 1,040 UIL Holdings Corp. USA USD 37,423 0.07 1,150 Exelon Corp. USA USD 35,241 0.07 3,700 Boralex Inc., A CAN CAD 33,837 0.07 2,190 Suez Environnement Co. FRA EUR 31,613 0.06 1,290 NRG Energy Inc. USA USD 28,732 0.06 550 NorthWestern Corp. USA USD 25,718 0.05 640 Ameren Corp. USA USD 24,399 0.05 1,570 E.ON SE DEU EUR 22,286 0.04 1,267 Enersis SA, ADR CHL USD 16,785 0.03 2,351 Companhia Energetica de Minas Gerais, ADR, pfd. BRA USD 9,657 0.02 1,600 ENN Energy Holdings Ltd. CHN HKD 7,504 0.01

3,237,157 6.32

TOTAL SHARES 18,634,522 36.36


TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET BONDS Corporate Bonds 201,000 Morgan Stanley, senior note, 5.50%, 07/28/21 USA USD 188,785 0.37 195,000 Merrill Lynch & Co. Inc., senior note, 6.875%, 04/25/18 USA USD 185,241 0.36 165,000 Verizon Communications Inc., senior bond, 6.55%, 09/15/43 USA USD 174,958 0.34 210,000 Abbey National Treasury Services PLC, senior note, 1.375%, 03/13/17 GBR USD 173,448 0.34 200,000 Royal Bank of Scotland Group PLC, senior note, 1.875%, 03/31/17 GBR USD 165,258 0.32 180,000 General Electric Capital Corp., senior note, 5.625%, 09/15/17 USA USD 165,206 0.32 130,000 Citigroup Inc., senior note, 8.125%, 07/15/39 USA USD 165,021 0.32 100,000 Imperial Tobacco Finance PLC, Reg S, 7.75%, 06/24/19 GBR GBP 158,348 0.31 100,000 Svenska Handelsbanken AB, senior note, Reg S, 4.00%, 01/18/19 SWE GBP 141,016 0.27 120,000 Time Warner Inc., 7.625%, 04/15/31 USA USD 138,623 0.27 100,000 Bupa Finance PLC, sub. note, Reg S, 5.00%, 04/25/23 GBR GBP 135,949 0.27 100,000 WM Morrison Supermarkets PLC, Reg S, 4.625%, 12/08/23 GBR GBP 131,669 0.26 150,000 Walgreens Boots Alliance Inc., senior note, 3.80%, 11/18/24 USA USD 126,688 0.25 115,000 News America Inc., 6.40%, 12/15/35 USA USD 124,440 0.24 100,000 Barclays Bank PLC, senior sub. note, Reg S, 6.00%, 01/14/21 GBR EUR 122,851 0.24 100,000 Rabobank Nederland, senior note, Reg S, 4.125%, 01/12/21 NLD EUR 120,061 0.23 100,000 RWE Finance BV, senior bond, Reg S, 3.00%, 01/17/24 DEU EUR 116,051 0.23 100,000 Orange SA, senior bond, Reg S, 3.125%, 01/09/24 FRA EUR 115,946 0.23 140,000 Mondelez International Inc., senior note, 2.25%, 02/01/19 USA USD 115,339 0.22 100,000 WPP Finance 2013, senior note, Reg S, 3.00%, 11/20/23 GBR EUR 114,931 0.22 100,000 AXA SA, sub. bond, Reg S, 5.25% to 04/16/20, FRN thereafter, 04/16/40 FRA EUR 113,911 0.22 100,000 Standard Chartered PLC, senior note, Reg S, 4.125%, 01/18/19 GBR EUR 113,651 0.22 137,000 Rio Tinto Finance USA PLC, senior note, 1.625%, 08/21/17 GBR USD 113,358 0.22 100,000 Gas Natural Fenosa Finance BV, senior note, Reg S, 2.875%, 03/11/24 ESP EUR 112,630 0.22 100,000 Casino Guichard Perrachon SA, senior note, Reg S, 3.311%, 01/25/23 FRA EUR 112,381 0.22 100,000 Allianz SE, sub. note, Reg S, 4.75% to 10/24/23, FRN thereafter, Perpetual DEU EUR 111,642 0.22 100,000 Bacardi Ltd., senior note, Reg S, 2.75%, 07/03/23 BMU EUR 110,552 0.22 115,000 The Goldman Sachs Group Inc., senior note, 5.75%, 01/24/22 USA USD 110,040 0.21 100,000 Motability Operations Group PLC, senior note, Reg S, 3.75%, 11/29/17 GBR EUR 109,590 0.21 100,000 ABB Finance BV, senior note, Reg S, 2.625%, 03/26/19 CHE EUR 109,142 0.21 100,000 BPCE SA, senior note, Reg S, 2.125%, 03/17/21 FRA EUR 108,030 0.21 130,000 Becton Dickinson & Co., senior note, 1.80%, 12/15/17 USA USD 107,920 0.21 100,000 Daimler AG, senior note, Reg S, 4.125%, 01/19/17 DEU EUR 107,859 0.21 100,000 Danske Bank AS, senior note, Reg S, 3.875%, 02/28/17 DNK EUR 107,723 0.21 130,000 Freeport-McMoRan Copper & Gold Inc., senior note, 2.30%, 11/14/17 USA USD 107,649 0.21


Number of shares or



Marketvalue

% ofnet

assets





Corporate Bonds (continued) 100,000 Syngenta Finance NV, senior note, Reg S, 1.875%, 11/02/21 CHE EUR 107,033 0.21 100,000 Compass Group PLC, senior note, Reg S, 1.875%, 01/27/23 GBR EUR 106,161 0.21 100,000 SPP-Distribucia AS, senior note, Reg S, 2.625%, 06/23/21 SSS EUR 105,375 0.21 100,000 Lloyds Bank PLC, senior note, Reg S, 1.875%, 10/10/18 GBR EUR 105,186 0.20 100,000 Yorkshire Building Society, senior note, Reg S, 2.125%, 03/18/19 GBR EUR 104,755 0.20 100,000 Carlsberg Breweries A/S, senior note, Reg S, 2.50%, 05/28/24 DNK EUR 103,714 0.20 100,000 Intesa Sanpaolo SpA, senior note, Reg S, 4.125%, 01/14/16 ITA EUR 103,607 0.20 100,000 Ford Motor Credit Co. LLC, senior note, 8.125%, 01/15/20 USA USD 102,478 0.20 135,000 Dollar General Corp., senior bond, 3.25%, 04/15/23 USA USD 101,737 0.20 120,000 Simon Property Group LP, senior bond, 3.375%, 10/01/24 USA USD 101,080 0.20 100,000 Delta Lloyd NV, junior sub. note, Reg S, 4.375% to 06/13/24, FRN thereafter, Perpetual NLD EUR 96,071 0.19 115,000 Viacom Inc., senior note, 2.50%, 09/01/18 USA USD 95,965 0.19 115,000 Altria Group Inc., senior note, 2.625%, 01/14/20 USA USD 95,427 0.19 115,000 Express Scripts Holding Co., senior bond, 3.50%, 06/15/24 USA USD 94,897 0.18 100,000 Heathrow Funding Ltd., senior secured bond, 144A, 4.875%, 07/15/23 GBR USD 92,077 0.18 100,000 HSBC USA Inc., sub. note, 5.00%, 09/27/20 USA USD 90,682 0.18 100,000 Sysco Corp., senior bond, 4.50%, 10/02/44 USA USD 90,018 0.18 101,000 American Tower Corp., senior note, 3.40%, 02/15/19 USA USD 85,040 0.17 100,000 LYB International Finance BV, senior note, 4.00%, 07/15/23 NLD USD 84,540 0.16 100,000 General Electric Capital Corp., junior sub. bond, C, 5.25% to 06/15/23, FRN thereafter, Perpetual USA USD 82,929 0.16 100,000 Anheuser-Busch InBev Worldwide Inc., senior note, 1.375%, 07/15/17 BEL USD 82,628 0.16 100,000 Ensco PLC, senior bond, 4.50%, 10/01/24 USA USD 79,800 0.16 95,000 Anthem Inc., senior bond, 3.30%, 01/15/23 USA USD 78,573 0.15 90,000 BNP Paribas SA, 2.375%, 09/14/17 FRA USD 75,644 0.15 50,000 Tesco PLC, senior note, 6.125%, 02/24/22 GBR GBP 70,618 0.14 75,000 Valero Energy Corp., 6.125%, 06/15/17 USA USD 68,127 0.13 75,000 Sydney Airport Finance Co. Pty. Ltd., 144A, 3.90%, 03/22/23 AUS USD 63,902 0.12 80,000 Weatherford International Ltd./Bermuda, 7.00%, 03/15/38 USA USD 63,757 0.12 70,000 Juniper Networks Inc., senior note, 3.10%, 03/15/16 USA USD 59,023 0.12 60,000 Kinder Morgan Energy Partners LP, senior note, 6.50%, 09/01/39 USA USD 55,362 0.11 60,000 CSC Holdings LLC, senior note, 6.75%, 11/15/21 USA USD 54,979 0.11 55,000 Ally Financial Inc., senior note, 7.50%, 09/15/20 USA USD 53,409 0.10 60,000 Chesapeake Energy Corp., senior note, 6.625%, 08/15/20 USA USD 52,934 0.10 55,000 MetLife Inc., junior sub. note, 6.40% to 12/15/36, FRN thereafter, 12/15/66 USA USD 50,909 0.10 60,000 Enterprise Products Operating LLC, senior bond, 3.90%, 02/15/24 USA USD 50,598 0.10 53,000 Sprint Nextel Corp., senior note, 144A, 9.00%, 11/15/18 USA USD 49,930 0.10 60,000 Constellation Brands Inc., senior note, 4.25%, 05/01/23 USA USD 49,339 0.10 50,000 Mitsui Sumitomo Insurance Co. Ltd., junior sub. note, 144A, 7.00% to 03/15/22, FRN thereafter, 03/15/72 JPN USD 47,622 0.09 50,000 Navient Corp., senior note, 8.45%, 06/15/18 USA USD 46,178 0.09 50,000 CenturyLink Inc., senior bond, 6.75%, 12/01/23 USA USD 45,403 0.09 50,000 HCA Inc., senior secured note, first lien, 5.875%, 03/15/22 USA USD 45,351 0.09 50,000 Valeant Pharmaceuticals International Inc., senior note, 144A, 7.50%, 07/15/21 USA USD 44,783 0.09 40,000 Health Care REIT Inc., senior note, 6.50%, 03/15/41 USA USD 43,752 0.09 45,000 Aviation Capital Group Corp., 144A, 6.75%, 04/06/21 USA USD 42,304 0.08 60,000 California Resources Corp., senior bond, 144A, 6.00%, 11/15/24 USA USD 42,149 0.08 50,000 NOVA Chemicals Corp., senior bond, 144A, 5.00%, 05/01/25 CAN USD 41,116 0.08 50,000 QEP Resources Inc., senior note, 5.375%, 10/01/22 USA USD 39,256 0.08 40,000 Gilead Sciences Inc., senior note, 4.40%, 12/01/21 USA USD 36,504 0.07 40,000 Neuberger Berman Group LLC/Finance Corp., senior note, 144A, 5.875%, 03/15/22 USA USD 34,959 0.07 40,000 ArcelorMittal, senior bond, 6.75%, 03/01/41 LUX USD 33,594 0.07 35,000 Sealed Air Corp., senior note, 144A, 6.50%, 12/01/20 USA USD 31,818 0.06 40,000 Peabody Energy Corp., senior note, 6.25%, 11/15/21 USA USD 28,388 0.06 40,000 Linn Energy LLC/Finance Corp., senior note, 7.75%, 02/01/21 USA USD 28,017 0.05 30,000 Intelsat Jackson Holdings SA, senior note, 7.50%, 04/01/21 LUX USD 26,622 0.05 17,778 FMG Resources (August 2006) Pty. Ltd., senior note, 144A, 6.875%, 02/01/18 AUS USD 13,416 0.03

8,215,443 16.03

Government and Municipal Bonds 200,000 Government of Russia, senior note, 144A, 3.50%, 01/16/19 RUS USD 149,784 0.29 132,000 Government of Mexico, senior note, 4.00%, 10/02/23 MEX USD 114,136 0.23 60,000 California State GO, Build America Bonds, Various Purpose, 7.55%, 04/01/39 USA USD 76,572 0.15 75,000 Florida Hurricane Catastrophe Fund Finance Corp. Revenue, Series A, 2.995%, 07/01/20 USA USD 62,777 0.12 75,000 Illinois State GO, 5.10%, 06/01/33 USA USD 61,592 0.12

464,861 0.91

Securities Maturing Within One Year 157,000 JPMorgan Chase & Co., 5.15%, 10/01/15 USA USD 133,399 0.26 100,000 Statoil ASA, senior note, Reg S, 4.375%, 03/11/15 NOR EUR 100,755 0.20 110,000 Hyundai Capital America, senior note, 144A, 1.625%, 10/02/15 KOR USD 91,376 0.18 100,000 The Export-Import Bank of Korea, senior note, 5.875%, 01/14/15 KOR USD 82,744 0.16


Number of shares or



Marketvalue

% ofnet

assets





Securities Maturing Within One Year (continued) 100,000 Telefonica Emisiones SAU, senior note, 4.949%, 01/15/15 ESP USD 82,723 0.16 80,000 Williams Partners LP, senior note, 3.80%, 02/15/15 USA USD 66,306 0.13 70,000 Duke Realty LP, senior note, 7.375%, 02/15/15 USA USD 58,273 0.12 70,000 AbbVie Inc., senior note, 1.20%, 11/06/15 USA USD 58,033 0.11 50,000 Government of Poland, senior note, 3.875%, 07/16/15 POL USD 42,130 0.08 40,000 Puerto Rico Commonwealth Government Development Bank Revenue, senior note, Series A, 3.448%, 02/01/15 USA USD 32,505 0.06

748,244 1.46

TOTAL BONDS 9,428,548 18.40

INVESTMENTS FUNDS Financials 550,010 FTIF Franklin Income Fund, Class Z (Mdis) USD LUX USD 5,172,817 10.09 321,510 FTIF Templeton Global Bond Fund, Class I (Mdis) EUR LUX EUR 4,642,604 9.06 310,484 FTSIIF Franklin Emerging Market Corporate Debt Fund, Class I (acc) EUR LUX EUR 3,812,746 7.44 131,939 FTIF Templeton Euro Government Bond Fund, Class I (Qdis) EUR LUX EUR 1,443,416 2.82 41,760 FTIF Franklin U.S. Government Fund, Class I (Mdis) USD LUX USD 342,366 0.67

15,413,949 30.08



TRANSFERABLE SECURITIES NOT ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING NOR DEALT IN ON ANOTHER REGULATED MARKET BONDS Corporate Bonds 125,000 GDF Suez, senior note, 144A, 1.625%, 10/10/17 FRA USD 103,334 0.20 115,000 Georgia-Pacific LLC, 144A, 3.734%, 07/15/23 USA USD 97,381 0.19 100,000 Asciano Finance Ltd., senior note, 144A, 5.00%, 04/07/18 AUS USD 88,652 0.17 100,000 EDF SA, sub. note, 144A, 5.25% to 01/29/23, FRN thereafter, Perpetual POL USD 84,768 0.17 95,000 Glencore Funding LLC, senior note, 144A, 2.50%, 01/15/19 CHE USD 77,383 0.15 50,000 Telstra Corp. Ltd., 144A, 4.80%, 10/12/21 AUS USD 46,788 0.09

498,306 0.97

Securities Maturing Within One Year 80,000 Commonwealth Bank of Australia, senior note, 144A, 3.50%, 03/19/15 AUS USD 66,557 0.13





Number of shares or



Marketvalue

% ofnet

assets





— Franklin Natural Resources Fund —

TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Coal & Consumable Fuels 189,890 Peabody Energy Corp. USA USD 1,469,749 0.83

Commodity Chemicals 30,900 Axiall Corp. USA USD 1,312,323 0.75 13,600 LyondellBasell Industries NV, A USA USD 1,079,704 0.61

2,392,027 1.36

Construction Materials 10,000 Martin Marietta Materials Inc. USA USD 1,103,200 0.63

Diversified Metals & Mining 111,710 BHP Billiton PLC, ADR AUS USD 4,803,530 2.73 685,432 Glencore PLC CHE GBP 3,192,328 1.81 134,500 Freeport-McMoRan Inc., B USA USD 3,141,920 1.78 66,200 Rio Tinto PLC, ADR GBR USD 3,049,172 1.73 147,000 Teck Resources Ltd., B CAN USD 2,005,080 1.14 328,896 Sandfire Resources NL AUS AUD 1,221,873 0.69 79,200 First Quantum Minerals Ltd. ZMB CAD 1,126,021 0.64 832,981 PanAust Ltd. AUS AUD 962,383 0.55 98,800 Imperial Metals Corp. CAN CAD 849,106 0.48 1,551,600 MMG Ltd. AUS HKD 480,251 0.27 385,900 Nautilus Minerals Inc. CAN CAD 126,279 0.07

20,957,943 11.89

Fertilizers & Agricultural Chemicals 21,400 The Mosaic Co. USA USD 976,910 0.56

Gold 112,400 Goldcorp Inc. CAN USD 2,081,648 1.18 23,900 Randgold Resources Ltd., ADR JER USD 1,611,099 0.91 99,250 Barrick Gold Corp. CAN USD 1,066,937 0.61 637,982 B2Gold Corp. CAN CAD 1,043,846 0.59 36,900 Agnico Eagle Mines Ltd. CAN CAD 918,965 0.52 86,397 Newcrest Mining Ltd. AUS AUD 768,215 0.44 79,860 AngloGold Ashanti Ltd., ADR ZAF USD 694,782 0.39 26,535,824 G-Resources Group Ltd. HKG HKD 622,846 0.35 1,106,400 Romarco Minerals Inc. CAN CAD 466,856 0.27

9,275,194 5.26

Integrated Oil & Gas 83,280 Occidental Petroleum Corp. USA USD 6,713,201 3.81 55,600 Chevron Corp. USA USD 6,237,208 3.54 39,800 Exxon Mobil Corp. USA USD 3,679,510 2.09 45,760 Hess Corp. USA USD 3,378,003 1.92 48,690 Total SA, B, ADR FRA USD 2,492,928 1.41 42,800 BP PLC, ADR GBR USD 1,631,536 0.93 23,500 Royal Dutch Shell PLC, A, ADR GBR USD 1,573,325 0.89 110,000 Petroleo Brasileiro SA, ADR BRA USD 803,000 0.45

26,508,711 15.04

Oil & Gas Drilling 259,500 Pioneer Energy Services Corp. USA USD 1,437,630 0.82 60,980 Rowan Cos. PLC USA USD 1,422,054 0.81 27,033 Ensco PLC, A USA USD 809,638 0.46 35,600 Noble Corp. PLC USA USD 589,892 0.33

4,259,214 2.42

Oil & Gas Equipment & Services 74,861 Schlumberger Ltd. USA USD 6,393,878 3.63 99,211 Halliburton Co. USA USD 3,901,969 2.21 51,420 Oceaneering International Inc. USA USD 3,024,010 1.72 48,748 Baker Hughes Inc. USA USD 2,733,300 1.55 53,500 Cameron International Corp. USA USD 2,672,325 1.52 112,480 Superior Energy Services Inc. USA USD 2,266,472 1.29 44,340 FMC Technologies Inc. USA USD 2,076,885 1.18 22,060 Dril-Quip Inc. USA USD 1,692,664 0.96 38,800 RigNet Inc. USA USD 1,591,964 0.90 54,800 Hornbeck Offshore Services Inc. USA USD 1,368,356 0.78 86,700 C&J Energy Services Inc. USA USD 1,145,307 0.65 99,200 Weatherford International PLC USA USD 1,135,840 0.64 13,290 National Oilwell Varco Inc. USA USD 870,894 0.49 22,128 PHI Inc. USA USD 827,587 0.47 31,500 Forum Energy Technologies Inc. USA USD 652,995 0.37 11,160 Oil States International Inc. USA USD 545,724 0.31 253,100 Key Energy Services Inc. USA USD 422,677 0.24 27,400 RPC Inc. USA USD 357,296 0.20

33,680,143 19.11

Number of shares or



Marketvalue

% ofnet

assets





— Franklin Natural Resources Fund —

Oil & Gas Exploration & Production 83,166 Anadarko Petroleum Corp. USA USD 6,861,195 3.89 143,300 Cabot Oil & Gas Corp., A USA USD 4,243,113 2.41 38,120 Concho Resources Inc. USA USD 3,802,470 2.16 127,870 Marathon Oil Corp. USA USD 3,617,442 2.05 111,740 Southwestern Energy Co. USA USD 3,049,385 1.73 19,100 Pioneer Natural Resources Co. USA USD 2,843,035 1.61 37,100 EQT Corp. USA USD 2,808,470 1.59 46,500 Diamondback Energy Inc. USA USD 2,779,770 1.58 52,400 Noble Energy Inc. USA USD 2,485,332 1.41 79,918 Canadian Natural Resources Ltd. CAN CAD 2,472,038 1.40 22,200 Cimarex Energy Co. USA USD 2,353,200 1.34 52,700 SM Energy Co. USA USD 2,033,166 1.15 136,200 EnCana Corp. CAN USD 1,889,094 1.07 30,700 Devon Energy Corp. USA USD 1,879,147 1.07 88,600 Matador Resources Co. USA USD 1,792,378 1.02 16,700 EOG Resources Inc. USA USD 1,537,569 0.87 92,400 Oasis Petroleum Inc. USA USD 1,528,296 0.87 379,620 Gran Tierra Energy Inc. COL USD 1,461,537 0.83 245,100 Rex Energy Corp. USA USD 1,250,010 0.71 195,400 Callon Petroleum Co. USA USD 1,064,930 0.61 119,070 Cobalt International Energy Inc. USA USD 1,058,532 0.60 141,200 Tullow Oil PLC GBR GBP 910,946 0.52 362,000 Ophir Energy PLC GBR GBP 798,413 0.45 93,900 Eclipse Resources Corp. USA USD 660,117 0.38 36,800 MEG Energy Corp. CAN CAD 619,539 0.35 34,872 California Resources Corp. USA USD 192,145 0.11

55,991,269 31.78

Oil & Gas Refining & Marketing 39,605 Phillips 66 USA USD 2,839,679 1.61 54,500 HollyFrontier Corp. USA USD 2,042,660 1.16 26,600 Valero Energy Corp. USA USD 1,316,700 0.75 10,500 Marathon Petroleum Corp. USA USD 947,730 0.54

7,146,769 4.06

Silver 25,600 Tahoe Resources Inc. USA CAD 356,030 0.20

Specialty Chemicals 18,900 Celanese Corp., A USA USD 1,133,244 0.64

TOTAL SHARES 165,250,403 93.78


TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET SHARES Oil & Gas Exploration & Production 29,600 Sanchez Energy Corp., 4.875%, cvt. pfd. USA USD 953,203 0.54 17,400 Sanchez Energy Corp., 6.50%, cvt. pfd., B USA USD 594,732 0.34

1,547,935 0.88


BONDS Corporate Bonds 1,034,000 Cobalt International Energy Inc., cvt., senior bond, 3.125%, 05/15/24 USA USD 698,596 0.39 1,289,000 Molycorp Inc., cvt., senior note, 6.00%, 09/01/17 USA USD 399,590 0.23

1,098,186 0.62

TOTAL BONDS 1,098,186 0.62



Number of shares or



Marketvalue

% ofnet

assets





TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Energy 600 Exxon Mobil Corp. USA USD 55,470 0.61 400 Chevron Corp. USA USD 44,872 0.49 500 Schlumberger Ltd. USA USD 42,705 0.47 500 Anadarko Petroleum Corp. USA USD 41,250 0.46 400 Occidental Petroleum Corp. USA USD 32,244 0.36 1,000 Marathon Oil Corp. USA USD 28,290 0.31 700 Halliburton Co. USA USD 27,531 0.30 350 Devon Energy Corp. USA USD 21,423 0.24 600 Southwestern Energy Co. USA USD 16,374 0.18 1,400 Weatherford International PLC USA USD 16,030 0.18 100 Pioneer Natural Resources Co. USA USD 14,885 0.16 300 Noble Energy Inc. USA USD 14,229 0.16 1,400 Peabody Energy Corp. USA USD 10,836 0.12 160 California Resources Corp. USA USD 882 0.01

367,021 4.05

Materials 2,400 Goldcorp Inc. CAN USD 44,448 0.49 900 The Dow Chemical Co. USA USD 41,049 0.45 1,300 Freeport-McMoRan Inc., B USA USD 30,368 0.34 600 Nucor Corp. USA USD 29,430 0.33 800 Potash Corp. of Saskatchewan Inc. CAN USD 28,256 0.31 400 BHP Billiton Ltd., ADR AUS USD 18,928 0.21 400 Rio Tinto PLC, ADR GBR USD 18,424 0.20

210,903 2.33


INVESTMENTS FUNDS Diversified Financial Services 28,200 iShares US Property Yield UCITS ETF USA GBP 799,987 8.84



TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET BONDS Corporate Bonds 50,000 Ally Financial Inc., senior note, 7.50%, 09/15/20 USA USD 58,750 0.65 50,000 Energy Transfer Equity LP, senior note, first lien, 7.50%, 10/15/20 USA USD 55,750 0.62 50,000 MGM Resorts International, senior note, 7.75%, 03/15/22 USA USD 55,500 0.61 50,000 HCA Inc., senior secured note, first lien, 5.875%, 03/15/22 USA USD 54,875 0.61 50,000 Sprint Nextel Corp., senior note, 144A, 7.00%, 03/01/20 USA USD 54,250 0.60 50,000 ArcelorMittal, senior note, 6.25%, 02/25/22 LUX USD 53,375 0.59 50,000 Chesapeake Energy Corp., senior note, 6.625%, 08/15/20 USA USD 53,375 0.59 50,000 CIT Group Inc., secured note, 144A, 5.50%, 02/15/19 USA USD 52,906 0.58 50,000 Reynolds Group Issuer Inc./LLC/SA, first lien, 5.75%, 10/15/20 USA USD 51,500 0.57 50,000 Frontier Communications Corp., senior note, 7.875%, 01/15/27 USA USD 50,125 0.55 50,000 Sabine Pass Liquefaction LLC, first lien, 5.625%, 02/01/21 USA USD 49,375 0.55 22,222 FMG Resources (August 2006) Pty. Ltd., senior note, 144A, 6.875%, 02/01/18 AUS USD 20,292 0.22

610,073 6.74

Government and Municipal Bonds US – Issued 1,161,821 U.S. Treasury Note, Index Linked, 0.125%, 04/15/16 USA USD 1,158,554 12.79 717,822 U.S. Treasury Note, Index Linked, 2.00%, 01/15/16 USA USD 728,673 8.05 470,449 U.S. Treasury Bond, Index Linked, 0.125%, 04/15/17 USA USD 470,982 5.20 270,431 U.S. Treasury Note, Index Linked, 2.50%, 07/15/16 USA USD 281,988 3.12

TOTAL US – ISSUED 2,640,197 29.16

Non US – Issued 660,000 Government of Malaysia, senior note, 3.172%, 07/15/16 MYS MYR 187,722 2.07 200,000,000 Korea Treasury Bond, senior note, 2.75%, 06/10/16 KOR KRW 184,552 2.04 640,000 Government of Poland, FRN, 2.69%, 01/25/17 † POL PLN 180,886 2.00 648,000 Government of Poland, FRN, 2.69%, 01/25/21 † POL PLN 180,305 1.99 24,244 Mexican Udibonos, Index Linked, 5.00%, 06/16/16 MEX MXN 174,753 1.93 160,000,000 Korea Treasury Bond, senior note, 3.00%, 12/10/16 KOR KRW 148,798 1.64 9,670,000 Government of Hungary, A, 5.50%, 12/20/18 HUN HUF 40,548 0.45 20 Nota Do Tesouro Nacional, Index Linked, 6.00%, 08/15/18 BRA BRL 18,774 0.21 16 Nota Do Tesouro Nacional, Index Linked, 6.00%, 08/15/16 BRA BRL 15,138 0.17 1,000,000 Government of Hungary, 5.50%, 12/22/16 HUN HUF 4,087 0.04 550 Government of Mexico, 7.25%, 12/15/16 MEX MXN 3,984 0.04 150 Government of Mexico, 6.25%, 06/16/16 MEX MXN 1,056 0.01

— Franklin Real Return Fund —

Number of shares or



Marketvalue

% ofnet

assets





— Franklin Real Return Fund —

Government and Municipal Bonds Non US – Issued (continued) 110,000 Government of Hungary, A, 6.75%, 11/24/17 HUN HUF 471 0.01 30,000 Government of Hungary, A, 6.00%, 11/24/23 HUN HUF 136 0.00 20,000 Government of Hungary, A, 7.00%, 06/24/22 HUN HUF 94 0.00 20,000 Government of Hungary, 7.50%, 11/12/20 HUN HUF 93 0.00

TOTAL NON US – ISSUED 1,141,397 12.60

3,781,594 41.76

Securities Maturing Within One Year 1,098,696 U.S. Treasury Note, Index Linked, 1.875%, 07/15/15 USA USD 1,102,387 12.17 808,316 U.S. Treasury Note, Index Linked, 1.625%, 01/15/15 USA USD 807,053 8.91 328,711 U.S. Treasury Note, Index Linked, 0.50%, 04/15/15 USA USD 324,499 3.58 21,820 Government of Mexico, 8.00%, 12/17/15 MEX MXN 154,578 1.71 110,000,000 Korea Monetary Stabilization Bond, senior bond, 2.47%, 04/02/15 KOR KRW 100,673 1.11 330,000 Government of Malaysia, 3.197%, 10/15/15 MYS MYR 94,237 1.04 50 Nota Do Tesouro Nacional, Index Linked, 6.00%, 05/15/15 BRA BRL 47,732 0.53 146,000 Government of Malaysia, 4.72%, 09/30/15 MYS MYR 42,163 0.46 145,000 Government of Malaysia, 3.741%, 02/27/15 MYS MYR 41,497 0.46 60,000 Government of Malaysia, 3.835%, 08/12/15 MYS MYR 17,210 0.19 34 Letra Tesouro Nacional, Strip, 01/01/15 BRA BRL 12,788 0.14 370,000 Government of Hungary, A, 8.00%, 02/12/15 HUN HUF 1,424 0.02

2,746,241 30.32

TOTAL BONDS 7,137,908 78.82




Number of shares or



Marketvalue

% ofnet

assets





TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING INVESTMENTS FUNDS Diversified Financial Services 450,000 iShares $ High Yield Corporate Bond UCITS ETF USA USD 48,359,250 2.82


SHARES Consumer Finance 15,400 GMAC Capital Trust I, 8.125%, pfd. USA USD 406,252 0.02



TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET SHARES Air Freight & Logistics 97 CEVA Holdings LLC, cvt. pfd., A-2 GBR USD 75,252 0.01 45 CEVA Holdings LLC GBR USD 34,767 0.00

110,019 0.01

Paper & Forest Products 3,000 NewPage Holdings Inc. USA USD 272,250 0.01


BONDS Asset-Backed Securities 13,221,000 FNMA, 4.00%, 01/01/41 USA USD 14,111,197 0.82 12,374,000 FNMA, 3.00%, 01/01/43 USA USD 12,518,041 0.73 5,880,000 JPMorgan Chase Commercial Mortgage Securities Trust, 2006-CB17, AM,

5.464%, 12/12/43 USA USD 6,099,265 0.36 5,495,000 Greenwich Capital Commercial Funding Corp., 2006-GG7, AJ, FRN,

5.82%, 07/10/38 † USA USD 5,646,220 0.33 4,896,002 FNMA, 3.00%, 08/01/28 USA USD 5,098,736 0.30 4,500,000 Bear Stearns Commercial Mortgage Securities Inc., 2006-PW12, AJ, FRN,

5.751%, 09/11/38 † USA USD 4,635,738 0.27 4,370,000 Bear Stearns Commercial Mortgage Securities Inc., 2006-PW13, AJ,

5.611%, 09/11/41 USA USD 4,490,212 0.26 4,000,000 Eaton Vance CDO Ltd., 144A, 1.685%, 07/15/26 CYM USD 3,971,200 0.23 3,808,000 Banc of America Commercial Mortgage Trust, 2006-4, AJ,

5.695%, 07/10/46 USA USD 3,956,455 0.23 3,592,272 Bear Stearns Adjustable Rate Mortgage Trust, 2004-4, A6, FRN,

3.517%, 06/25/34 † USA USD 3,704,455 0.22 3,630,000 Atrium XI, 11A, C, 144A, FRN, 3.435%, 10/23/25 † CYM USD 3,581,176 0.21 3,340,000 Citigroup/Deutsche Bank Commercial Mortgage Trust, 2006-CD3, AJ, FRN,

5.688%, 10/15/48 † USA USD 3,257,853 0.19 2,760,000 Bear Stearns Commercial Mortgage Securities Inc., 2006-PW11, AJ, FRN,

5.605%, 03/11/39 † USA USD 2,850,956 0.17 2,693,000 GNMA, II, SF, 3.50%, 01/01/43 USA USD 2,827,019 0.17 2,481,000 Citigroup Commercial Mortgage Trust, 2007-C6, AM, FRN,

5.706%, 06/10/17 † USA USD 2,653,179 0.15 2,475,000 Greenwich Capital Commercial Funding Corp., 2007-GG9, A4,

5.444%, 03/10/39 USA USD 2,642,327 0.15 2,360,000 Morgan Stanley Capital I Trust, 2007-IQ16, AMA, FRN, 6.094%,

12/12/49 † USA USD 2,575,702 0.15 2,450,000 JPMorgan Chase Commercial Mortgage Securities Trust, 2006-LDP7, AJ,

FRN, 5.873%, 04/15/45 † USA USD 2,464,896 0.14 2,170,000 Morgan Stanley Capital I Trust, 2007-IQ16, AM, FRN, 6.099%, 12/12/49 † USA USD 2,388,177 0.14 2,430,000 Citigroup Commercial Mortgage Trust, 2006-C5, AJ, 5.482%, 10/15/49 USA USD 2,384,486 0.14 1,666,863 Talisman 6 Finance, Reg S, FRN, 0.262%, 10/22/16 † DEU EUR 1,992,620 0.12 1,790,000 LB-UBS Commercial Mortgage Trust, 2006-C4, AM, FRN, 5.857%,

06/15/38 † USA USD 1,901,211 0.11 1,880,000 BCAP LLC Trust, 2009-RR1, 2A2, 144A, FRN, 2.615%, 05/26/35 † USA USD 1,866,558 0.11 1,860,000 Atrium CDO Corp., 10A, C, 144A, FRN, 2.829%, 07/16/25 † USA USD 1,780,206 0.10 1,644,724 FNMA, 3.00%, 08/01/27 USA USD 1,714,402 0.10 1,530,000 Bear Stearns Commercial Mortgage Securities Inc., 2007-PW16, AM,

FRN, 5.706%, 06/11/40 † USA USD 1,669,497 0.10 1,646,534 Thornburg Mortgage Securities Trust, 2005-1, A3, FRN,

2.234%, 04/25/45 † USA USD 1,657,880 0.10 1,566,929 Opteum Mortgage Acceptance Corp. Trust, 2005-4, 1APT, FRN,

0.48%, 11/25/35 † USA USD 1,487,111 0.09 1,419,290 FNMA, 3.00%, 03/01/27 USA USD 1,479,491 0.09 1,461,964 CT CDO IV Ltd., 2006-4A, A1, 144A, FRN, 0.475%, 10/20/43 † USA USD 1,449,479 0.08 1,500,000 Catamaran CLO Ltd., 2013-1A, C, 144A, FRN, 2.834%, 01/27/25 † CYM USD 1,419,090 0.08 1,430,000 ING Investment Management CLO Ltd., 2013-2A, B, 144A,

FRN, 2.914%, 04/25/25 † USA USD 1,375,088 0.08 1,408,723 Structured Asset Mortgage Investments Trust, 2003-AR2, A1,

FRN, 0.904%, 12/19/33 † USA USD 1,362,223 0.08

— Franklin Strategic Income Fund —

Number of shares or



Marketvalue

% ofnet

assets





Asset-Backed Securities (continued) 1,300,000 Gleneagles CLO Ltd., 2005-1A, A2, 144A, FRN, 0.632%, 11/01/17 † USA USD 1,292,109 0.08 1,300,000 G-Force LLC, 2005-RRA, C, 144A, 5.20%, 08/22/36 USA USD 1,256,262 0.07 1,190,000 Greenwich Capital Commercial Funding Corp., 2007-GG9, AM,

5.475%, 03/10/39 USA USD 1,249,096 0.07 1,176,471 Cent CLO LP, 2013-17A, D, 144A, FRN, 3.233%, 01/30/25 † CYM USD 1,141,142 0.07 1,081,618 FNMA, 3.00%, 02/01/27 USA USD 1,127,519 0.07 1,065,818 MortgageIT Trust, 2004-1, A2, 2.29%, 11/25/34 USA USD 1,035,611 0.06 928,086 FNMA, 5.00%, 08/01/40 USA USD 1,027,986 0.06 1,000,000 Mountain View CLO II Ltd., 2006-2A, C, 144A, FRN, 0.93%, 01/12/21 † USA USD 945,240 0.06 884,000 FHLMC, 3.50%, 01/01/42 USA USD 919,222 0.05 939,982 Structured Asset Securities Corp., 2005-2XS, 2A2, 1.651%, 02/25/35 USA USD 910,993 0.05 870,000 FNMA, 3.50%, 01/01/42 USA USD 906,975 0.05 912,800 Eaton Vance CDO Ltd., 2014-1A, B, 144A, FRN, 2.285%, 07/15/26 † USA USD 888,547 0.05 900,000 Merrill Lynch Mortgage Investors Trust, 2005-A6, 2A3, FRN,

0.55%, 08/25/35 † USA USD 835,572 0.05 800,000 Merrill Lynch Mortgage Trust, 2005-CKI1, AJ, FRN, 5.282%, 11/12/37 † USA USD 822,096 0.05 820,693 Thornburg Mortgage Securities Trust, 2005-2, A1, FRN,

2.135%, 07/25/45 † USA USD 799,927 0.05 856,974 MortgageIT Trust, 05-5, A1, FRN, 0.43%, 12/25/35 † USA USD 792,541 0.05 855,268 Impac Secured Assets Trust, 2007-2, FRN, 0.42%, 04/25/37 † USA USD 791,734 0.05 723,572 FNMA, 4.50%, 05/01/41 USA USD 786,692 0.05 646,747 FNMA, 2.50%, 06/01/27 USA USD 660,445 0.04 670,000 ING Investment Management CLO Ltd., 2013-1A, C, 144A, FRN,

3.731%, 04/15/24 † CYM USD 636,868 0.04 640,000 CIFC Funding Ltd., 2007-3A, A1J, 144A, FRN, 0.634%, 07/26/21 † USA USD 615,642 0.04 565,000 Morgan Stanley Capital I Trust, 2006-HQ8, AJ, FRN, 5.497%, 03/12/44 † USA USD 580,547 0.03 544,116 Greenwich Capital Commercial Funding Corp., 2006-GG7, A4, FRN,

5.883%, 07/10/38 † USA USD 569,130 0.03 378,379 Westchester CLO Ltd., 2007-1A, A1A, 144A, FRN, 0.457%, 08/01/22 † USA USD 374,655 0.02 380,000 ING Investment Management CLO Ltd., 2013-1A, B, 144A, FRN,

3.131%, 04/15/24 † CYM USD 367,027 0.02 304,779 FNMA, 5.50%, 07/01/38 USA USD 344,531 0.02 315,000 FHLMC, 4.00%, 01/01/41 USA USD 335,795 0.02 341,492 Newcastle CDO IV Ltd., 2004-5A, 1, 144A, FRN, 0.595%, 12/24/39 † USA USD 335,615 0.02 320,518 FNMA, 3.00%, 07/01/27 USA USD 334,112 0.02 334,300 Eaton Vance CDO Ltd., 2014-1A, C, 144A, FRN, 3.235%, 07/15/26 † USA USD 325,301 0.02 261,739 FNMA, 3.00%, 08/01/28 USA USD 272,567 0.02 235,102 FHLMC, 4.50%, 09/01/40 USA USD 255,205 0.02 229,174 FHLMC, 5.00%, 05/01/41 USA USD 253,806 0.02 204,767 FHLMC, 4.50%, 10/01/40 USA USD 222,237 0.01 157,631 FNMA, 6.00%, 02/01/37 USA USD 178,919 0.01 133,862 FNMA, 5.50%, 02/01/38 USA USD 149,602 0.01 141,660 Wells Fargo Mortgage Backed Securities Trust, 2004-W, A9, FRN,

2.616%, 11/25/34 † USA USD 145,724 0.01 127,093 FHLMC, 5.00%, 03/01/28 USA USD 140,190 0.01 128,147 FNMA, 3.50%, 02/01/26 USA USD 135,621 0.01 116,928 FNMA, 5.00%, 02/01/40 USA USD 130,728 0.01 118,277 FNMA, 5.50%, 09/01/23 USA USD 129,128 0.01 130,000 ARES CLO Funds, 2007-12A, B, 144A, FRN, 1.233%, 11/25/20 † USA USD 128,136 0.01 106,720 FNMA, 6.00%, 05/01/38 USA USD 120,965 0.01 88,014 Cent CDO Ltd., 2007-15A, A2B, 144A, FRN, 0.579%, 03/11/21 † USA USD 82,577 0.00 54,632 FNMA, 5.50%, 02/01/38 USA USD 61,056 0.00 53,680 FNMA, 6.00%, 11/01/36 USA USD 60,967 0.00 56,994 Wells Fargo Mortgage Backed Securities Trust, 2007-3, 3A1,

5.50%, 04/25/37 USA USD 58,937 0.00 60,000 ColumbusNova CLO Ltd., 2007-2A, A2, 144A, FRN, 1.231%, 10/15/21 † USA USD 58,685 0.00 39,951 FHLMC, 6.00%, 11/01/37 USA USD 45,126 0.00 39,096 FNMA, 6.00%, 11/01/37 USA USD 44,434 0.00 36,041 GNMA, SF, 5.50%, 06/15/38 USA USD 41,131 0.00 36,453 FNMA, 4.50%, 05/01/24 USA USD 39,218 0.00 34,142 FNMA, 5.50%, 12/01/37 USA USD 38,156 0.00 33,595 FNMA, 5.50%, 07/01/37 USA USD 37,545 0.00 33,690 FNMA, 5.00%, 07/01/40 USA USD 37,424 0.00 33,237 FNMA, 5.50%, 03/01/34 USA USD 37,370 0.00 31,470 FNMA, 6.00%, 12/01/37 USA USD 35,706 0.00 28,989 FHLMC, 5.50%, 11/01/37 USA USD 32,450 0.00 23,904 FHLMC, 6.00%, 08/01/37 USA USD 27,160 0.00 20,927 FHLMC, 6.00%, 01/01/38 USA USD 23,665 0.00 17,942 FNMA, 6.00%, 05/01/36 USA USD 20,385 0.00 17,670 FNMA, 6.50%, 08/01/36 USA USD 20,137 0.00 16,242 FNMA, 6.00%, 12/01/36 USA USD 18,392 0.00 15,702 FNMA, 5.00%, 05/01/28 USA USD 17,339 0.00 15,342 FHLMC, 5.50%, 11/01/38 USA USD 17,114 0.00 14,657 FNMA, 5.50%, 06/01/38 USA USD 16,380 0.00 13,984 FNMA, 6.50%, 10/01/37 USA USD 15,936 0.00 13,572 FNMA, 5.50%, 04/01/38 USA USD 15,168 0.00 13,231 FNMA, 5.50%, 06/01/37 USA USD 14,787 0.00 13,362 FNMA, 4.50%, 09/01/24 USA USD 14,420 0.00


Number of shares or



Marketvalue

% ofnet

assets





Asset-Backed Securities (continued) 12,020 FNMA, 5.00%, 07/01/23 USA USD 12,983 0.00 11,479 FNMA, 5.00%, 02/01/27 USA USD 12,675 0.00 11,373 FHLMC, 5.50%, 05/01/22 USA USD 12,423 0.00 11,499 FNMA, 4.50%, 07/01/23 USA USD 12,082 0.00 10,953 FHLMC, 5.50%, 03/01/23 USA USD 11,961 0.00 8,909 FNMA, 6.50%, 11/01/36 USA USD 10,154 0.00 9,163 GNMA, SF, 5.00%, 06/15/37 USA USD 10,096 0.00 8,799 FHLMC, 5.50%, 05/01/37 USA USD 9,847 0.00 7,668 FNMA, 6.00%, 05/01/38 USA USD 8,702 0.00 7,511 FNMA, 6.50%, 11/01/35 USA USD 8,561 0.00 6,796 FHLMC, 5.00%, 02/01/23 USA USD 7,148 0.00 5,723 FNMA, 5.50%, 11/01/36 USA USD 6,398 0.00 5,062 FHLMC, 6.00%, 11/01/37 USA USD 5,723 0.00 5,088 FNMA, 5.00%, 01/01/24 USA USD 5,365 0.00 4,666 FHLMC, 6.00%, 02/01/39 USA USD 5,272 0.00 4,517 FNMA, 5.50%, 07/01/37 USA USD 5,048 0.00 4,595 FNMA, 5.00%, 12/01/23 USA USD 4,960 0.00 2,989 FNMA, 6.50%, 10/01/37 USA USD 3,517 0.00 2,691 FNMA, 5.50%, 10/01/17 USA USD 2,844 0.00 2,112 FNMA, 5.50%, 09/01/23 USA USD 2,229 0.00 1,793 FNMA, 5.00%, 11/01/22 USA USD 1,937 0.00

139,375,496 8.12

Corporate Bonds 6,000,000 Energy Transfer Equity LP, senior note, first lien, 7.50%, 10/15/20 USA USD 6,690,000 0.39 6,500,000 Deutsche Bank AG, sub. bond, 4.296% to 05/24/23, FRN thereafter,

05/24/28 DEU USD 6,324,467 0.37 6,000,000 Nippon Life Insurance Co., sub. bond, 144A, 5.10% to 10/16/24,

FRN thereafter, 10/16/44 JPN USD 6,274,530 0.37 5,500,000 First Data Corp., senior secured bond, second lien, 144A, 8.25%,

01/15/21 USA USD 5,912,500 0.34 6,000,000 FMG Resources (August 2006) Pty. Ltd., senior note, 144A, 8.25%,

11/01/19 AUS USD 5,482,500 0.32 5,500,000 Freeport-McMoRan Inc., senior note, 4.55%, 11/14/24 USA USD 5,351,115 0.31 5,100,000 Wells Fargo & Co., junior sub. bond, S, 5.90% to 06/15/24,

FRN thereafter, Perpetual USA USD 5,151,000 0.30 4,500,000 CSC Holdings LLC, senior note, 6.75%, 11/15/21 USA USD 4,989,375 0.29 6,000,000 LUKOIL International Finance BV, senior note, 144A, 4.563%, 04/24/23 RUS USD 4,800,780 0.28 3,900,000 Ally Financial Inc., senior note, 7.50%, 09/15/20 USA USD 4,582,500 0.27 4,100,000 Verizon Communications Inc., senior note, 5.15%, 09/15/23 USA USD 4,530,557 0.26 4,500,000 Zoetis Inc., senior bond, 3.25%, 02/01/23 USA USD 4,446,738 0.26 4,000,000 Bank of America Corp., junior sub. bond, M, 8.125% to 05/15/18,

FRN thereafter, Perpetual USA USD 4,335,000 0.25 4,300,000 INVISTA Finance LLC, senior secured note, 144A, 4.25%, 10/15/19 USA USD 4,321,500 0.25 4,500,000 InterGen NV, secured bond, 144A, 7.00%, 06/30/23 NLD USD 4,297,500 0.25 5,000,000 Peabody Energy Corp., senior note, 6.25%, 11/15/21 USA USD 4,293,750 0.25 5,500,000 BreitBurn Energy Partners LP/BreitBurn Finance Corp., senior bond,

7.875%, 04/15/22 USA USD 4,276,250 0.25 4,500,000 BMC Software Finance Inc., senior note, 144A, 8.125%, 07/15/21 USA USD 4,252,500 0.25 4,000,000 Alcatel-Lucent USA Inc., senior note, 144A, 6.75%, 11/15/20 FRA USD 4,242,000 0.25 4,000,000 HCA Inc., senior note, 5.875%, 05/01/23 USA USD 4,225,000 0.25 4,000,000 Chesapeake Energy Corp., senior note, 5.75%, 03/15/23 USA USD 4,140,000 0.24 4,000,000 CIT Group Inc., senior note, 5.00%, 08/15/22 USA USD 4,125,000 0.24 4,000,000 Jaguar Holding Co. I, senior note, 144A, PIK, 9.375%, 10/15/17 ‡ USA USD 4,098,000 0.24 4,500,000 First Quantum Minerals Ltd., senior note, 144A, 7.00%, 02/15/21 CAN USD 4,072,500 0.24 3,900,000 iHeartCommunications Inc., senior secured bond, first lien, 9.00%, 03/01/21 USA USD 3,836,625 0.22 3,500,000 Kinder Morgan Finance Co. LLC, senior secured note, 144A, 6.00%, 01/15/18 USA USD 3,810,800 0.22 3,500,000 The Goodyear Tire & Rubber Co., senior note, 6.50%, 03/01/21 USA USD 3,727,500 0.22 4,000,000 Sprint Nextel Corp., senior note, 6.00%, 11/15/22 USA USD 3,695,000 0.22 3,500,000 ArcelorMittal, senior note, 5.50%, 03/01/21 LUX USD 3,627,277 0.21 3,500,000 1011778 BC ULC/New Red Finance Inc., secured note, second lien,

144A, 6.00%, 04/01/22 CAN USD 3,605,000 0.21 3,500,000 Reynolds Group Issuer Inc./LLC/SA, senior note, 8.25%, 02/15/21 USA USD 3,605,000 0.21 3,500,000 Navient Corp., senior note, 5.50%, 01/15/19 USA USD 3,587,500 0.21 3,000,000 Wind Acquisition Finance SA, senior note, Reg S, 7.00%, 04/23/21 ITA EUR 3,566,221 0.21 3,500,000 T-Mobile USA Inc., senior bond, 6.375%, 03/01/25 USA USD 3,564,750 0.21 5,000,000 Texas Competitive Electric Holdings Co. LLC/Texas Competitive

Electric Holdings Finance Inc., senior secured note, first lien, 144A, 11.50%, 10/01/20 * USA USD 3,562,500 0.21

3,500,000 PBF Holding Co. LLC, first lien, 8.25%, 02/15/20 USA USD 3,535,000 0.21 2,700,000 Ceramtec Group GmbH, senior note, Reg S, 8.25%, 08/15/21 DEU EUR 3,534,486 0.21 3,500,000 Equinix Inc., senior bond, 5.375%, 04/01/23 USA USD 3,517,500 0.21 3,300,000 Gannett Co. Inc., senior bond, 6.375%, 10/15/23 USA USD 3,514,500 0.20 3,500,000 CCO Holdings LLC/CCO Holdings Capital Corp., senior bond, 5.25%, 09/30/22 USA USD 3,504,375 0.20 3,000,000 Mitsui Sumitomo Insurance Co. Ltd., junior sub. note, 144A,

7.00% to 03/15/22, FRN thereafter, 03/15/72 JPN USD 3,457,335 0.20 3,500,000 Sabine Pass Liquefaction LLC, first lien, 5.625%, 02/01/21 USA USD 3,456,250 0.20 3,400,000 Hertz Corp., senior note, 6.25%, 10/15/22 USA USD 3,451,000 0.20


Number of shares or



Marketvalue

% ofnet

assets






Corporate Bonds (continued) 4,000,000 Clayton Williams Energy Inc., senior note, 7.75%, 04/01/19 USA USD 3,420,000 0.20 2,000,000 Virgin Media Finance PLC, senior bond, Reg S, 6.375%, 10/15/24 GBR GBP 3,366,792 0.20 3,000,000 MetLife Inc., junior sub. note, 6.40% to 12/15/36, FRN thereafter, 12/15/66 USA USD 3,360,000 0.20 3,000,000 ArcelorMittal, senior note, 6.25%, 02/25/22 LUX USD 3,202,500 0.19 3,000,000 Chesapeake Energy Corp., senior note, 6.625%, 08/15/20 USA USD 3,202,500 0.19 3,000,000 Xstrata Finance Canada Ltd., senior note, 144A, 4.95%, 11/15/21 CHE USD 3,169,539 0.18 3,000,000 VPI Escrow Corp., senior note, 144A, 6.375%, 10/15/20 CAN USD 3,146,250 0.18 3,000,000 Citigroup Inc., senior note, 3.875%, 10/25/23 USA USD 3,124,020 0.18 3,000,000 Unitymedia KabelBW GmbH, senior bond, 144A, 6.125%, 01/15/25 DEU USD 3,108,750 0.18 2,200,000 The Royal Bank of Scotland PLC, sub. note, 6.934%, 04/09/18 GBR EUR 3,072,946 0.18 3,000,000 JPMorgan Chase & Co., sub. note, 3.875%, 09/10/24 USA USD 3,006,162 0.18 3,000,000 Intelsat Jackson Holdings SA, senior bond, 5.50%, 08/01/23 LUX USD 2,990,625 0.17 3,500,000 California Resources Corp., senior bond, 144A, 6.00%, 11/15/24 USA USD 2,975,000 0.17 2,800,000 JBS USA LLC/Finance Inc., senior note, 144A, 8.25%, 02/01/20 USA USD 2,961,000 0.17 3,000,000 Cencosud SA, senior note, 144A, 4.875%, 01/20/23 CHL USD 2,958,495 0.17 3,000,000 Del Monte Corp., senior note, 7.625%, 02/15/19 USA USD 2,955,000 0.17 2,500,000 Financiere Gaillon 8 SAS, senior note, Reg S, 7.00%, 09/30/19 FRA EUR 2,949,375 0.17 3,100,000 Martin Midstream Partners LP/Martin Midstream Finance Corp.,

senior note, 7.25%, 02/15/21 USA USD 2,929,500 0.17 3,500,000 Gaz Capital SA, (OJSC Gazprom), loan participation, senior note,

144A, 3.85%, 02/06/20 RUS USD 2,896,617 0.17 2,500,000 General Electric Capital Corp., sub. note, 5.30%, 02/11/21 USA USD 2,857,230 0.17 3,000,000 Digicel Group Ltd., senior note, 144A, 6.00%, 04/15/21 BMU USD 2,851,875 0.17 3,000,000 Stena International SA, secured bond, 144A, 5.75%, 03/01/24 SWE USD 2,835,000 0.17 2,900,000 DISH DBS Corp., senior bond, 5.00%, 03/15/23 USA USD 2,813,000 0.16 2,900,000 Abengoa Finance SAU, senior note, 144A, 8.875%, 11/01/17 ESP USD 2,809,375 0.16 2,700,000 Tenet Healthcare Corp., senior note, 144A, 5.50%, 03/01/19 USA USD 2,774,250 0.16 2,500,000 Citigroup Inc., sub. bond, 5.50%, 09/13/25 USA USD 2,771,932 0.16 4,000,000 W&T Offshore Inc., senior note, 8.50%, 06/15/19 USA USD 2,660,000 0.16 2,500,000 Intelsat Jackson Holdings SA, senior note, 7.25%, 10/15/20 LUX USD 2,646,875 0.15 2,500,000 MGM Resorts International, senior note, 6.625%, 12/15/21 USA USD 2,637,500 0.15 2,700,000 Post Holdings Inc., senior note, 144A, 6.75%, 12/01/21 USA USD 2,625,750 0.15 2,500,000 Virgin Media Secured Finance PLC, senior secured bond, first lien,

144A, 5.50%, 01/15/25 GBR USD 2,589,062 0.15 2,500,000 Frontier Communications Corp., senior bond, 7.625%, 04/15/24 USA USD 2,587,500 0.15 2,500,000 Millicom International Cellular SA, senior note, 144A, 6.625%, 10/15/21 LUX USD 2,570,312 0.15 2,500,000 Owens-Brockway Glass Container Inc., senior note, 144A, 5.00%, 01/15/22 USA USD 2,553,125 0.15 2,500,000 Cemex SAB de CV, secured note, 144A, 5.875%, 03/25/19 MEX USD 2,535,937 0.15 2,500,000 Nielsen Finance LLC/Co., senior note, 144A, 5.00%, 04/15/22 USA USD 2,515,625 0.15 2,400,000 Sirius XM Radio Inc., senior bond, 144A, 6.00%, 07/15/24 USA USD 2,466,000 0.14 2,000,000 Kerling PLC, senior secured note, first lien, Reg S, 10.625%, 02/01/17 GBR EUR 2,460,329 0.14 4,500,000 Energy XXI Gulf Coast Inc., senior note, 144A, 6.875%, 03/15/24 USA USD 2,441,250 0.14 2,500,000 Cemex SAB de CV, first lien, 144A, 5.70%, 01/11/25 MEX USD 2,415,625 0.14 2,300,000 Dynegy Finance I Inc./Dynegy Finance II Inc., senior secured bond,

first lien, 144A, 7.625%, 11/01/24 USA USD 2,348,875 0.14 2,500,000 First Quantum Minerals Ltd., senior note, 144A, 6.75%, 02/15/20 CAN USD 2,275,000 0.13 2,200,000 Terex Corp., senior note, 6.00%, 05/15/21 USA USD 2,255,000 0.13 2,500,000 Barminco Finance Pty. Ltd., senior note, 144A, 9.00%, 06/01/18 AUS USD 2,251,563 0.13 2,000,000 Tenet Healthcare Corp., senior note, 8.125%, 04/01/22 USA USD 2,240,000 0.13 2,000,000 Bank of America Corp., senior note, 5.65%, 05/01/18 USA USD 2,223,644 0.13 2,100,000 KB Home, senior note, 7.00%, 12/15/21 USA USD 2,214,188 0.13 2,300,000 Ardagh Packaging Finance PLC/Ardagh MP Holdings USA Inc.,

senior note, 144A, 6.00%, 06/30/21 LUX USD 2,202,250 0.13 2,000,000 Royal Bank of Scotland Group PLC, sub. note, 6.125%, 12/15/22 GBR USD 2,176,250 0.13 2,000,000 Energy Transfer Partners LP, senior note, 5.20%, 02/01/22 USA USD 2,142,190 0.13 2,500,000 Linn Energy LLC/Finance Corp., senior note, 6.25%, 11/01/19 USA USD 2,137,500 0.12 2,000,000 CHS/Community Health Systems Inc., senior note, 5.125%, 08/01/21 USA USD 2,128,750 0.12 1,900,000 Navient Corp., senior note, 8.45%, 06/15/18 USA USD 2,123,250 0.12 2,000,000 Neuberger Berman Group LLC/Finance Corp., senior note, 144A,

5.875%, 03/15/22 USA USD 2,115,000 0.12 2,500,000 Sanchez Energy Corp., senior note, 144A, 6.125%, 01/15/23 USA USD 2,106,250 0.12 5,000,000 Samson Investment Co., senior note, 9.75%, 02/15/20 USA USD 2,096,875 0.12 2,000,000 Access Midstream Partner LP/ACMP Finance Corp., senior note,

5.875%, 04/15/21 USA USD 2,095,000 0.12 2,000,000 DaVita HealthCare Partners Inc., senior bond, 5.125%, 07/15/24 USA USD 2,043,750 0.12 2,000,000 Calpine Corp., senior bond, 5.75%, 01/15/25 USA USD 2,027,500 0.12 2,000,000 Sealed Air Corp., senior bond, 144A, 5.125%, 12/01/24 USA USD 2,025,000 0.12 2,000,000 Valeant Pharmaceuticals International Inc., senior note, 144A,

5.625%, 12/01/21 USA USD 2,020,000 0.12 2,070,000 CHC Helicopter SA, senior secured note, first lien, 9.25%, 10/15/20 CAN USD 2,018,250 0.12 2,000,000 Glencore Funding LLC, senior note, 144A, 4.625%, 04/29/24 CHE USD 2,017,800 0.12 2,000,000 DISH DBS Corp., senior note, 144A, 5.875%, 11/15/24 USA USD 2,015,000 0.12 2,500,000 Penn Virginia Corp., senior note, 8.50%, 05/01/20 USA USD 2,012,500 0.12 1,900,000 Clear Channel Worldwide Holdings Inc., senior sub. note, 7.625%, 03/15/20 USA USD 2,009,250 0.12 2,000,000 Frontier Communications Corp., senior note, 7.875%, 01/15/27 USA USD 2,005,000 0.12 2,000,000 Sealed Air Corp., senior note, 144A, 4.875%, 12/01/22 USA USD 1,990,000 0.12 2,000,000 JPMorgan Chase & Co., sub. note, 3.375%, 05/01/23 USA USD 1,980,762 0.12 2,000,000 Sabine Pass Liquefaction LLC, senior secured, first lien, 5.75%, 05/15/24 USA USD 1,972,500 0.12

Number of shares or



Marketvalue

% ofnet

assets





Corporate Bonds (continued) 1,200,000 New Look Bondco I PLC, secured note, first lien, Reg S, 8.75%, 05/14/18 GBR GBP 1,970,125 0.12 2,000,000 Navient Corp., senior note, 6.125%, 03/25/24 USA USD 1,970,000 0.11 2,100,000 Sanchez Energy Corp., senior note, 7.75%, 06/15/21 USA USD 1,963,500 0.11 2,100,000 Financiere Quick SAS, senior note, Reg S, FRN, 7.582%, 10/15/19 † FRA EUR 1,953,317 0.11 2,000,000 Edcon Pty. Ltd., senior secured note, Reg S, 9.50%, 03/01/18 ZAF EUR 1,951,125 0.11 1,900,000 Gannett Co. Inc., senior note, 5.125%, 07/15/20 USA USD 1,947,500 0.11 2,100,000 Scientific Games International Inc., senior note, 144A, 10.00%, 12/01/22 USA USD 1,934,625 0.11 1,500,000 U.S. Coatings Acquisition Inc./Flash Dutch 2 BV, secured note,

Reg S, 5.75%, 02/01/21 USA EUR 1,918,228 0.11 2,500,000 CGG SA, senior note, 6.50%, 06/01/21 FRA USD 1,912,500 0.11 1,800,000 Toll Brothers Finance Corp., senior bond, 5.625%, 01/15/24 USA USD 1,908,000 0.11 2,500,000 Halcon Resources Corp., senior note, 8.875%, 05/15/21 USA USD 1,893,750 0.11 1,500,000 Celanese US Holdings LLC, senior note, 3.25%, 10/15/19 USA EUR 1,883,062 0.11 1,800,000 AerCap Ireland Capital Ltd./AerCap Global Aviation Trust, senior note,

144A, 5.00%, 10/01/21 NLD USD 1,875,375 0.11 2,000,000 CONSOL Energy Inc., senior note, 144A, 5.875%, 04/15/22 USA USD 1,870,000 0.11 2,500,000 Caesars Entertainment Operating Co. Inc., senior secured note,

first lien, 11.25%, 06/01/17 USA USD 1,845,000 0.11 1,800,000 E*TRADE Financial Corp., senior note, 5.375%, 11/15/22 USA USD 1,845,000 0.11 1,700,000 E*TRADE Financial Corp., senior note, 6.375%, 11/15/19 USA USD 1,810,500 0.11 2,500,000 Offshore Group Investment Ltd., senior bond, first lien, 7.125%, 04/01/23 USA USD 1,800,000 0.10 1,500,000 Wind Acquisition Finance SA, senior secured note, Reg S, 4.00%, 07/15/20 ITA EUR 1,787,775 0.10 3,500,000 Midstates Petroleum Co. Inc./LLC, senior note, 9.25%, 06/01/21 USA USD 1,785,000 0.10 1,800,000 iHeartCommunications Inc., senior secured note, first lien, 144A,

9.00%, 09/15/22 USA USD 1,768,500 0.10 1,600,000 JPMorgan Chase & Co., senior note, 4.25%, 10/15/20 USA USD 1,721,486 0.10 2,000,000 Linn Energy LLC/Finance Corp., senior note, 7.75%, 02/01/21 USA USD 1,695,000 0.10 1,700,000 Constellation Brands Inc., senior note, 4.25%, 05/01/23 USA USD 1,691,500 0.10 1,500,000 Merrill Lynch & Co. Inc., senior note, 6.40%, 08/28/17 USA USD 1,672,389 0.10 1,600,000 T-Mobile USA Inc., senior note, 6.542%, 04/28/20 USA USD 1,658,000 0.10 1,300,000 Avis Budget Finance PLC, senior note, Reg S, 6.00%, 03/01/21 USA EUR 1,657,549 0.10 1,500,000 Sealed Air Corp., senior note, 144A, 6.50%, 12/01/20 USA USD 1,650,000 0.10 1,600,000 Steel Dynamics Inc., senior bond, 144A, 5.50%, 10/01/24 USA USD 1,644,000 0.10 1,600,000 Steel Dynamics Inc., senior note, 144A, 5.125%, 10/01/21 USA USD 1,630,000 0.10 1,600,000 Scientific Games International Inc., senior secured note, first lien,

144A, 7.00%, 01/01/22 USA USD 1,628,000 0.09 1,500,000 Valeant Pharmaceuticals International Inc., senior note, 144A,

7.50%, 07/15/21 USA USD 1,625,625 0.09 1,600,000 Calpine Corp., senior note, 5.375%, 01/15/23 USA USD 1,618,000 0.09 1,500,000 CHS/Community Health Systems Inc., senior note, 8.00%, 11/15/19 USA USD 1,605,000 0.09 1,500,000 CHS/Community Health Systems Inc., senior note, 7.125%, 07/15/20 USA USD 1,601,250 0.09 1,500,000 DaVita HealthCare Partners Inc., senior note, 5.75%, 08/15/22 USA USD 1,595,625 0.09 1,600,000 KB Home, senior note, 4.75%, 05/15/19 USA USD 1,580,000 0.09 1,200,000 Unitymedia Hessen GmbH & Co. KG/Unitymedia NRW GmbH,

senior secured note, first lien, Reg S, 5.75%, 01/15/23 DEU EUR 1,579,050 0.09 1,500,000 eAccess Ltd., senior note, 144A, 8.25%, 04/01/18 JPN USD 1,577,813 0.09 1,500,000 Meritor Inc., senior note, 6.75%, 06/15/21 USA USD 1,575,000 0.09 1,500,000 CONSOL Energy Inc., senior note, 8.25%, 04/01/20 USA USD 1,561,875 0.09 1,500,000 Intelsat Jackson Holdings SA, senior bond, 6.625%, 12/15/22 LUX USD 1,548,750 0.09 1,170,000 KM Germany Holdings GmbH, senior secured note, first lien, Reg S,

8.75%, 12/15/20 DEU EUR 1,539,574 0.09 2,500,000 EnQuest PLC, senior note, 144A, 7.00%, 04/15/22 GBR USD 1,535,938 0.09 1,500,000 Univision Communications Inc., senior secured note, first lien,

144A, 5.125%, 05/15/23 USA USD 1,522,500 0.09 1,500,000 CCOH Safari LLC, senior bond, 5.75%, 12/01/24 USA USD 1,520,625 0.09 1,500,000 MGM Resorts International, senior note, 6.00%, 03/15/23 USA USD 1,515,000 0.09 1,500,000 JPMorgan Chase & Co., senior note, 3.25%, 09/23/22 USA USD 1,511,298 0.09 1,500,000 Kinder Morgan Inc., senior bond, 4.30%, 06/01/25 USA USD 1,508,108 0.09 1,500,000 Regency Energy Partners LP/Regency Energy Finance Corp., senior note,

5.875%, 03/01/22 USA USD 1,503,750 0.09 2,000,000 Offshore Group Investment Ltd., senior secured note, first lien,

7.50%, 11/01/19 USA USD 1,502,500 0.09 1,400,000 Sterling International Inc., senior note, 11.00%, 10/01/19 USA USD 1,494,500 0.09 1,500,000 JPMorgan Chase & Co., junior sub. bond, R, 6.00% to 08/01/23,

FRN thereafter, Perpetual USA USD 1,488,750 0.09 1,500,000 Citigroup Inc., junior sub. bond, M, 6.30% to 05/15/24, FRN thereafter,

Perpetual USA USD 1,481,250 0.09 2,000,000 Caesars Entertainment Operating Co. Inc., senior secured note, first lien,

9.00%, 02/15/20 USA USD 1,480,000 0.09 1,500,000 Digicel Group Ltd., senior note, 144A, 8.25%, 09/30/20 BMU USD 1,468,125 0.09 1,500,000 Glencore Funding LLC, senior note, 144A, 4.125%, 05/30/23 CHE USD 1,466,207 0.09 1,400,000 DISH DBS Corp., senior note, 5.875%, 07/15/22 USA USD 1,438,500 0.08 1,400,000 Grifols Worldwide Operations Ltd., senior note, 144A, 5.25%, 04/01/22 USA USD 1,435,280 0.08 1,400,000 JBS USA LLC/Finance Inc., senior bond, 144A, 5.875%, 07/15/24 USA USD 1,389,500 0.08 1,400,000 Navistar International Corp., senior note, 8.25%, 11/01/21 USA USD 1,386,000 0.08 1,100,000 Play Finance 2 SA, secured note, first lien, Reg S, 5.25%, 02/01/19 LUX EUR 1,382,243 0.08 1,400,000 Sabine Pass Liquefaction LLC, first lien, 5.625%, 04/15/23 USA USD 1,375,500 0.08 1,500,000 Oasis Petroleum Inc., senior note, 6.875%, 03/15/22 USA USD 1,372,500 0.08


Number of shares or



Marketvalue

% ofnet

assets






Corporate Bonds (continued) 1,200,000 Sprint Nextel Corp., senior note, 144A, 9.00%, 11/15/18 USA USD 1,367,880 0.08 1,300,000 Novelis Inc., senior note, 8.375%, 12/15/17 CAN USD 1,350,375 0.08 1,300,000 Reynolds Group Issuer Inc./LLC/SA, senior note, 8.50%, 05/15/18 USA USD 1,332,500 0.08 1,300,000 VTR Finance BV, senior secured note, 144A, 6.875%, 01/15/24 LUX USD 1,329,250 0.08 1,300,000 Omnicare Inc., senior note, 4.75%, 12/01/22 USA USD 1,322,750 0.08 1,500,000 Visant Corp., senior note, 10.00%, 10/01/17 USA USD 1,320,000 0.08 1,200,000 Sprint Nextel Corp., senior note, 8.375%, 08/15/17 USA USD 1,299,000 0.08 1,300,000 Florida East Coast Holdings Corp., secured note, first lien, 144A,

6.75%, 05/01/19 USA USD 1,290,250 0.08 1,164,000 Calpine Corp., senior secured bond, 144A, 7.875%, 01/15/23 USA USD 1,289,130 0.08 1,200,000 Hertz Corp., senior note, 6.75%, 04/15/19 USA USD 1,242,000 0.07 1,100,000 General Electric Capital Corp., senior note, 4.65%, 10/17/21 USA USD 1,241,666 0.07 1,100,000 Frontier Communications Corp., senior note, 8.50%, 04/15/20 USA USD 1,232,000 0.07 1,400,000 California Resources Corp., senior note, 144A, 5.50%, 09/15/21 USA USD 1,204,000 0.07 1,300,000 Gaz Capital SA, (OJSC Gazprom), loan participation, senior bond,

Reg S, 6.51%, 03/07/22 RUS USD 1,174,160 0.07 1,100,000 HCA Inc., senior secured bond, first lien, 5.25%, 04/15/25 USA USD 1,150,875 0.07 1,100,000 Videotron Ltd., senior bond, 144A, 5.375%, 06/15/24 CAN USD 1,124,750 0.07 1,500,000 Quicksilver Resources Inc., secured note, second lien, 144A, FRN,

7.00%, 06/21/19 † USA USD 1,121,250 0.07 1,200,000 Stena AB, senior bond, 144A, 7.00%, 02/01/24 SWE USD 1,101,000 0.06 1,000,000 CenturyLink Inc., senior bond, 6.75%, 12/01/23 USA USD 1,098,750 0.06 1,000,000 CIT Group Inc., senior note, 144A, 6.625%, 04/01/18 USA USD 1,088,750 0.06 1,000,000 Ally Financial Inc., senior note, 6.25%, 12/01/17 USA USD 1,082,500 0.06 1,000,000 Novelis Inc., senior note, 8.75%, 12/15/20 CAN USD 1,065,000 0.06 1,000,000 CGG SA, senior note, Reg S, 5.875%, 05/15/20 FRA EUR 1,057,994 0.06 1,000,000 DISH DBS Corp., senior note, 7.125%, 02/01/16 USA USD 1,053,750 0.06 1,000,000 EDF SA, junior sub. bond, 144A, 5.625% to 01/22/24, FRN thereafter,

Perpetual FRA USD 1,052,925 0.06 1,000,000 CenturyLink Inc., senior note, 5.80%, 03/15/22 USA USD 1,042,500 0.06 1,000,000 Reynolds Group Issuer Inc./LLC/SA, senior note, 9.00%, 04/15/19 USA USD 1,040,000 0.06 1,000,000 Citigroup Inc., sub. note, 4.05%, 07/30/22 USA USD 1,036,343 0.06 1,500,000 Chaparral Energy Inc., senior note, 8.25%, 09/01/21 USA USD 1,035,000 0.06 900,000 HCA Inc., senior note, 7.50%, 02/15/22 USA USD 1,030,500 0.06 1,000,000 HCA Inc., senior secured note, first lien, 5.00%, 03/15/24 USA USD 1,030,000 0.06 1,000,000 Crown Castle International Corp., senior bond, 5.25%, 01/15/23 USA USD 1,025,000 0.06 1,000,000 Penn Virginia Resource Partners LP/Penn Virginia Resource Finance Corp.,

senior note, 6.50%, 05/15/21 USA USD 1,015,000 0.06 900,000 Frontier Communications Corp., senior note, 8.75%, 04/15/22 USA USD 1,010,250 0.06 1,000,000 CONSOL Energy Inc., senior note, 6.375%, 03/01/21 USA USD 1,005,000 0.06 1,000,000 Tenet Healthcare Corp., senior note, 144A, 5.00%, 03/01/19 USA USD 1,003,750 0.06 1,000,000 JPMorgan Chase & Co., junior sub. note, X, 6.10% to 10/01/24,

FRN thereafter, Perpetual USA USD 1,000,000 0.06 1,500,000 Energy XXI Gulf Coast Inc., senior note, 9.25%, 12/15/17 USA USD 997,500 0.06 1,000,000 Ineos Group Holdings SA, senior note, 144A, 6.125%, 08/15/18 CHE USD 965,000 0.06 900,000 Univision Communications Inc., senior secured note, first lien, 144A,

7.875%, 11/01/20 USA USD 963,000 0.06 900,000 Ardagh Packaging Finance PLC, senior note, 144A, 9.125%, 10/15/20 LUX USD 960,750 0.06 1,000,000 Ineos Group Holdings SA, senior note, 144A, 5.875%, 02/15/19 CHE USD 950,000 0.06 700,000 Unitymedia KabelBW GmbH, senior secured note, Reg S, 9.50%, 03/15/21 DEU EUR 949,699 0.06 1,000,000 Post Holdings Inc., senior note, 144A, 6.00%, 12/15/22 USA USD 941,250 0.05 1,000,000 Sprint Corp., senior bond, 7.125%, 06/15/24 USA USD 935,000 0.05 975,000 CHC Helicopter SA, senior note, 9.375%, 06/01/21 CAN USD 921,375 0.05 700,000 Play Finance 1 SA, senior note, Reg S, 6.50%, 08/01/19 LUX EUR 899,937 0.05 900,000 Sprint Corp., senior bond, 7.875%, 09/15/23 USA USD 892,980 0.05 800,000 MGM Resorts International, senior note, 7.75%, 03/15/22 USA USD 888,000 0.05 900,000 JPMorgan Chase & Co., junior sub. bond, V, 5.00% to 07/30/19,

FRN thereafter, Perpetual USA USD 885,093 0.05 800,000 Access Midstream Partner LP/ACMP Finance Corp., senior note,

6.125%, 07/15/22 USA USD 854,000 0.05 800,000 CenturyLink Inc., senior note, 6.00%, 04/01/17 USA USD 853,000 0.05 800,000 CIT Group Inc., senior note, 5.375%, 05/15/20 USA USD 848,520 0.05 700,000 Ineos Group Holdings SA, senior note, Reg S, 6.50%, 08/15/18 CHE EUR 838,001 0.05 780,000 Penn Virginia Resource Partners LP/Penn Virginia Resource Finance Corp.,

senior note, 8.375%, 06/01/20 USA USD 836,550 0.05 800,000 CCO Holdings LLC/CCO Holdings Capital Corp., senior note, 7.25%, 10/30/17 USA USD 833,400 0.05 1,000,000 Linn Energy LLC/Finance Corp., senior note, 6.50%, 09/15/21 USA USD 815,000 0.05 800,000 T-Mobile USA Inc., senior note, 6.125%, 01/15/22 USA USD 815,000 0.05 800,000 Ally Financial Inc., senior bond, 5.125%, 09/30/24 USA USD 814,000 0.05 700,000 Cemex Finance LLC, senior secured note, 144A, 9.375%, 10/12/22 MEX USD 784,000 0.05 800,000 Cemex Finance LLC, senior secured note, first lien, 144A, 6.00%, 04/01/24 MEX USD 774,500 0.05 700,000 HCA Inc., senior secured note, first lien, 5.875%, 03/15/22 USA USD 768,250 0.04 600,000 UPCB Finance II Ltd., senior secured note, Reg S, 6.375%, 07/01/20 NLD EUR 764,188 0.04 1,000,000 CGG SA, senior note, 6.875%, 01/15/22 FRA USD 761,875 0.04 700,000 Sprint Nextel Corp., senior note, 144A, 7.00%, 03/01/20 USA USD 759,500 0.04 700,000 Calpine Corp., senior secured bond, first lien, 144A, 5.875%, 01/15/24 USA USD 749,000 0.04 700,000 Barry Callebaut Services SA, senior note, 144A, 5.50%, 06/15/23 BEL USD 747,688 0.04 700,000 KB Home, senior bond, 7.50%, 09/15/22 USA USD 745,500 0.04

Number of shares or



Marketvalue

% ofnet

assets





Corporate Bonds (continued) 649,000 First Data Corp., senior note, 11.25%, 01/15/21 USA USD 738,238 0.04 700,000 Univision Communications Inc., senior secured note, 144A, 6.875%, 05/15/19 USA USD 730,625 0.04 700,000 AmSurg Corp., senior note, 144A, 5.625%, 07/15/22 USA USD 721,000 0.04 700,000 Reynolds Group Issuer Inc./LLC/SA, first lien, 5.75%, 10/15/20 USA USD 721,000 0.04 700,000 Alere Inc., senior sub. note, 6.50%, 06/15/20 USA USD 708,750 0.04 700,000 TransDigm Inc., senior sub. bond, 6.50%, 07/15/24 USA USD 707,000 0.04 700,000 TransDigm Inc., senior sub. note, 6.00%, 07/15/22 USA USD 701,750 0.04 900,000 Halcon Resources Corp., senior note, 9.75%, 07/15/20 USA USD 679,500 0.04 900,000 Caesars Entertainment Operating Co. Inc., senior secured note, first lien,

9.00%, 02/15/20 USA USD 670,500 0.04 1,000,000 Chaparral Energy Inc., senior note, 7.625%, 11/15/22 USA USD 665,000 0.04 600,000 Kinder Morgan Inc., senior note, 7.00%, 06/15/17 USA USD 664,500 0.04 600,000 CenturyLink Inc., senior note, 6.45%, 06/15/21 USA USD 646,500 0.04 600,000 HCA Holdings Inc., senior note, 7.75%, 05/15/21 USA USD 642,750 0.04 600,000 Ineos Finance PLC, senior secured note, 144A, 7.50%, 05/01/20 CHE USD 631,125 0.04 600,000 Pinnacle Entertainment Inc., senior note, 6.375%, 08/01/21 USA USD 621,000 0.04 500,000 Mobile Challenger Intermediate Group SA, senior secured note, Reg S,

PIK, 8.75%, 03/15/19 ‡ CHE EUR 615,587 0.04 600,000 AECOM Technology Corp., senior note, 144A, 5.75%, 10/15/22 USA USD 615,000 0.04 600,000 Smithfield Foods Inc., senior note, 144A, 5.875%, 08/01/21 USA USD 612,375 0.04 600,000 Florida East Coast Holdings Corp., senior note, 144A, 9.75%, 05/01/20 USA USD 600,000 0.04 800,000 Halcon Resources Corp., senior note, 9.25%, 02/15/22 USA USD 594,000 0.03 500,000 Ineos Group Holdings SA, senior note, Reg S, 5.75%, 02/15/19 CHE EUR 585,337 0.03 543,000 Univision Communications Inc., senior secured bond, first lien, 144A,

6.75%, 09/15/22 USA USD 583,725 0.03 700,000 Gaz Capital SA, (OJSC Gazprom), loan participation, senior note, Reg S,

3.85%, 02/06/20 RUS USD 579,324 0.03 600,000 Peabody Energy Corp., senior note, 6.00%, 11/15/18 USA USD 547,500 0.03 500,000 UPCB Finance VI Ltd., senior secured note, first lien, 144A, 6.875%,

01/15/22 NLD USD 544,688 0.03 500,000 Intelsat Jackson Holdings SA, senior note, 7.50%, 04/01/21 LUX USD 536,875 0.03 500,000 Kinder Morgan Inc., senior secured bond, first lien, 144A, 5.625%,

11/15/23 USA USD 536,130 0.03 400,000 UPC Holding BV, senior note, Reg S, 6.75%, 03/15/23 NLD EUR 530,636 0.03 500,000 Virgin Media Finance PLC, senior bond, 144A, 6.375%, 04/15/23 GBR USD 526,250 0.03 400,000 UPC Holding BV, senior note, Reg S, 6.375%, 09/15/22 NLD EUR 524,837 0.03 500,000 Cemex SAB de CV, senior secured note, 144A, 9.00%, 01/11/18 MEX USD 523,125 0.03 500,000 Pinnacle Entertainment Inc., senior sub. note, 7.75%, 04/01/22 USA USD 522,500 0.03 500,000 Clear Channel Worldwide Holdings Inc., senior note, 6.50%, 11/15/22 USA USD 517,500 0.03 500,000 CommScope Holdings Co. Inc., senior note, 144A, PIK, 6.625%, 06/01/20 ‡ USA USD 517,500 0.03 500,000 Peabody Energy Corp., senior note, 7.375%, 11/01/16 USA USD 516,250 0.03 500,000 T-Mobile USA Inc., senior bond, 6.50%, 01/15/24 USA USD 513,750 0.03 500,000 Frontier Communications Corp., senior note, 7.125%, 01/15/23 USA USD 511,250 0.03 500,000 Royal Bank of Scotland Group PLC, sub. note, 5.125%, 05/28/24 GBR USD 509,375 0.03 454,000 Freeport-McMoran Oil & Gas LLC/FCX Oil & Gas Inc., senior note,

6.875%, 02/15/23 USA USD 506,210 0.03 500,000 Ardagh Packaging Finance PLC/Ardagh MP Holdings USA Inc.,

senior note, 144A, 6.75%, 01/31/21 LUX USD 494,688 0.03 500,000 Regency Energy Partners LP/Regency Energy Finance Corp.,

senior note, 5.00%, 10/01/22 USA USD 475,000 0.03 500,000 Digicel Group Ltd., senior note, 144A, 7.125%, 04/01/22 BMU USD 472,500 0.03 400,000 Cablevision Systems Corp., senior note, 8.625%, 09/15/17 USA USD 446,000 0.03 500,000 Linn Energy LLC/Finance Corp., senior note, 8.625%, 04/15/20 USA USD 437,500 0.03 400,000 CCO Holdings LLC/CCO Holdings Capital Corp., senior note, 8.125%,

04/30/20 USA USD 422,000 0.02 400,000 Neuberger Berman Group LLC/Finance Corp., senior note, 144A,

5.625%, 03/15/20 USA USD 420,000 0.02 400,000 M/I Homes Inc., senior note, 8.625%, 11/15/18 USA USD 417,000 0.02 400,000 CHS/Community Health Systems Inc., senior secured note, first lien,

5.125%, 08/15/18 USA USD 415,000 0.02 400,000 JBS USA LLC/Finance Inc., senior note, 144A, 7.25%, 06/01/21 USA USD 414,000 0.02 400,000 AECOM Technology Corp., senior bond, 144A, 5.875%, 10/15/24 USA USD 410,000 0.02 400,000 inVentiv Health Inc., senior secured note, 144A, 9.00%, 01/15/18 USA USD 410,000 0.02 444,444 FMG Resources (August 2006) Pty. Ltd., senior note, 144A, 6.875%,

02/01/18 AUS USD 405,833 0.02 400,000 Gannett Co. Inc., senior bond, 144A, 5.50%, 09/15/24 USA USD 402,000 0.02 300,000 Unitymedia Hessen GmbH & Co. KG/Unitymedia NRW GmbH,

senior secured note, first lien, Reg S, 5.625%, 04/15/23 DEU EUR 395,000 0.02 400,000 Ardagh Packaging Finance PLC/Ardagh MP Holdings USA Inc.,

senior note, 144A, 6.25%, 01/31/19 LUX USD 392,000 0.02 400,000 FMG Resources (August 2006) Pty. Ltd., senior note, 144A,

6.00%, 04/01/17 AUS USD 383,750 0.02 400,000 Abengoa Finance SAU, senior note, 144A, 7.75%, 02/01/20 ESP USD 357,000 0.02 1,400,000 Quicksilver Resources Inc., senior note, 9.125%, 08/15/19 USA USD 357,000 0.02 300,000 GMAC Inc., sub. note, 8.00%, 12/31/18 USA USD 341,250 0.02 300,000 CSC Holdings LLC, senior bond, 7.625%, 07/15/18 USA USD 338,250 0.02 300,000 Sealed Air Corp., senior note, 144A, 8.375%, 09/15/21 USA USD 336,750 0.02 600,000 Energy XXI Gulf Coast Inc., senior note, 7.50%, 12/15/21 USA USD 327,000 0.02


Number of shares or



Marketvalue

% ofnet

assets





Corporate Bonds (continued) 400,000 Chaparral Energy Inc., senior note, 9.875%, 10/01/20 USA USD 274,000 0.02 600,000 Edcon Holdings Pty. Ltd., senior secured note, Reg S, 13.375%, 06/30/19 ZAF EUR 272,250 0.02 264,706 Ardagh Packaging Finance PLC/Ardagh MP Holdings USA Inc.,

senior note, 144A, 7.00%, 11/15/20 LUX USD 268,676 0.02 200,000 eAccess Ltd., senior note, Reg S, 8.375%, 04/01/18 JPN EUR 255,007 0.02 200,000 Algeco Scotsman Global Finance PLC, secured note, Reg S, 9.00%,

10/15/18 GBR EUR 246,084 0.01 200,000 First Data Corp., senior bond, 12.625%, 01/15/21 USA USD 238,000 0.01 200,000 CSC Holdings LLC, senior note, 8.625%, 02/15/19 USA USD 233,250 0.01 200,000 Kinder Morgan Inc., senior note, 6.50%, 09/15/20 USA USD 226,570 0.01 200,000 Calpine Corp., senior secured note, first lien, 144A, 6.00%, 01/15/22 USA USD 214,000 0.01 200,000 Ineos Finance PLC, senior secured note, 144A, 8.375%, 02/15/19 CHE USD 213,000 0.01 200,000 MGM Resorts International, senior note, 6.75%, 10/01/20 USA USD 210,500 0.01 200,000 UPCB Finance III Ltd., senior secured note, 144A, 6.625%, 07/01/20 NLD USD 210,500 0.01 200,000 Kinder Morgan Inc., senior secured note, 144A, 5.00%, 02/15/21 USA USD 208,341 0.01 200,000 Reynolds Group Issuer Inc./LLC/SA, senior secured note, first lien,

7.125%, 04/15/19 USA USD 207,250 0.01 200,000 Peabody Energy Corp., senior note, 6.50%, 09/15/20 USA USD 174,500 0.01 200,000 CGG SA, senior note, 7.75%, 05/15/17 FRA USD 172,500 0.01 200,000 Linn Energy LLC/Finance Corp., senior note, 6.50%, 05/15/19 USA USD 172,000 0.01 100,000 Reynolds Group Issuer Inc./LLC/SA, senior note, 9.875%, 08/15/19 USA USD 106,500 0.01 100,000 Reynolds Group Issuer Inc./LLC/SA, senior secured note, 7.875%,

08/15/19 USA USD 105,625 0.01 100,000 CIT Group Inc., senior note, 5.25%, 03/15/18 USA USD 104,500 0.01 50,000 Chesapeake Energy Corp., senior note, 7.25%, 12/15/18 USA USD 55,000 0.00 50,000 HCA Inc., senior note, 6.50%, 02/15/16 USA USD 52,313 0.00

572,567,896 33.35

Government and Municipal Bonds 32,210,000 Government of Singapore, senior note, 1.125%, 04/01/16 SGP SGD 24,475,515 1.43 75,500,000 Government of Malaysia, senior note, 3.172%, 07/15/16 MYS MYR 21,474,260 1.25 342,368,083 Government of Uruguay, senior bond, Index Linked, 4.375%, 12/15/28 URY UYU 14,187,753 0.83 12,500,000 Government of Portugal, Reg S, 5.125%, 10/15/24 PRT USD 13,180,000 0.77 13,564,000,000 Korea Treasury Bond, senior note, 3.00%, 12/10/16 KOR KRW 12,614,325 0.73 38,000,000 Government of Poland, 4.75%, 10/25/16 POL PLN 11,297,650 0.66 8,000,000 U.S. Treasury Bond, 6.25%, 08/15/23 USA USD 10,655,312 0.62 1,274,200 Government of Mexico, 7.25%, 12/15/16 MEX MXN 9,229,309 0.54 1,216,090 Government of Mexico, 6.25%, 06/16/16 MEX MXN 8,563,926 0.50 7,000,000 U.S. Treasury Note, 3.75%, 11/15/18 USA USD 7,627,536 0.44 21,000 Nota Do Tesouro Nacional, senior note, 10.00%, 01/01/19 BRA BRL 7,277,490 0.42 325,370,000 Government of the Philippines, senior note, 1.625%, 04/25/16 PHL PHP 7,195,470 0.42 18,400 Nota Do Tesouro Nacional, 10.00%, 01/01/17 BRA BRL 6,595,858 0.38 5,665,000 Government of Serbia, senior note, Reg S, 4.875%, 02/25/20 SER USD 5,685,989 0.33 3,714,000 Government of Ireland, 5.00%, 10/18/20 IRL EUR 5,627,424 0.33 4,500,000 New York State Urban Development Corp. Revenue, State Personal

Income Tax, General Purpose, Series C, 5.00%, 03/15/29 USA USD 5,299,335 0.31 5,490 Nota Do Tesouro Nacional, Index Linked, 6.00%, 08/15/18 BRA BRL 5,153,344 0.30 1,063,180,000 Government of Hungary, A, 6.00%, 11/24/23 HUN HUF 4,834,628 0.28 4,400,000 U.S. Treasury Note, 3.875%, 05/15/18 USA USD 4,782,765 0.28 204,440,000 Government of the Philippines, senior bond, 7.00%, 01/27/16 PHL PHP 4,737,474 0.28 943,440,000 Government of Hungary, 7.50%, 11/12/20 HUN HUF 4,393,679 0.26 3,980,000 Government of Hungary, 5.375%, 02/21/23 HUN USD 4,320,389 0.25 3,840,000 Government of Serbia, Reg S, 7.25%, 09/28/21 SER USD 4,316,640 0.25 3,750,000 Minnesota State GO, Various Purpose, Refunding, Series F, 4.00%,

10/01/24 USA USD 4,258,200 0.25 4,000,000 Florida Hurricane Catastrophe Fund Finance Corp. Revenue, Series A,

2.995%, 07/01/20 USA USD 4,051,200 0.24 3,565,000 New York City Municipal Water Finance Authority Water and Sewer

System Revenue, Second General Resolution, Fiscal 2014, Refunding, Series BB, 5.00%, 06/15/46 USA USD 4,027,915 0.23

3,500,000 Government of Hungary, senior note, 6.25%, 01/29/20 HUN USD 3,940,580 0.23 6,140,000 Government of Ukraine, Reg S, 9.25%, 07/24/17 UKR USD 3,781,472 0.22 13,515,000 Government of Poland, Strip, 01/25/16 POL PLN 3,747,329 0.22 836,180,000 Government of Hungary, A, 6.75%, 11/24/17 HUN HUF 3,576,829 0.21 3,200,000 Massachusetts State GO, Consolidated Loan of 2014, Series A,

4.50%, 12/01/43 USA USD 3,453,696 0.20 5,600,000 Government of Ukraine, senior note, Reg S, 7.80%, 11/28/22 UKR USD 3,346,644 0.19 2,860,000 Government of Hungary, senior note, 6.375%, 03/29/21 HUN USD 3,273,070 0.19 2,900,000 Nassau County GO, General Improvement Bonds, Series B, 5.00%,

04/01/43 USA USD 3,197,859 0.19 2,700,000 Nassau County GO, General Improvement Bonds, Series B, 5.00%,

04/01/39 USA USD 3,014,091 0.18 5,850,000 Puerto Rico Electric Power Authority Power Revenue, Series A,

6.75%, 07/01/36 USA USD 2,961,913 0.17 69,316,811 Government of Uruguay, senior bond, Index Linked, 5.00%, 09/14/18 URY UYU 2,939,757 0.17 2,630,000 Illinois State GO, 5.877%, 03/01/19 USA USD 2,906,466 0.17 2,655,000 California State GO, Various Purpose, Refunding, 5.25%, 03/01/38 USA USD 2,888,746 0.17


Number of shares or



Marketvalue

% ofnet

assets





Government and Municipal Bonds (continued) 9,700,000 Government of Poland, FRN, 2.69%, 01/25/21 † POL PLN 2,699,004 0.16 600,300,000 Government of Hungary, 5.50%, 02/12/16 HUN HUF 2,394,345 0.14 2,810,000 Puerto Rico Sales Tax FICO Sales Tax Revenue, first subordinate, Series A,

6.50%, 08/01/44 USA USD 2,255,390 0.13 1,935,000 Arkansas State GO, Four-Lane Highway Construction and Improvement

Bonds, 3.25%, 06/15/22 USA USD 2,096,340 0.12 1,900,000 U.S. Treasury Note, 3.625%, 02/15/21 USA USD 2,092,375 0.12 7,090,000 Government of Poland, 5.00%, 04/25/16 POL PLN 2,085,142 0.12 1,953,870 U.S. Treasury Note, Index Linked, 1.125%, 01/15/21 USA USD 2,034,239 0.12 1,900,000 U.S. Treasury Note, 2.375%, 03/31/16 USA USD 1,946,683 0.11 1,245,000 California State GO, Various Purpose, 7.60%, 11/01/40 USA USD 1,943,856 0.11 1,575,000 South Carolina State Public Service Authority Revenue, Refunding,

Series B, 5.00%, 12/01/38 USA USD 1,769,701 0.10 1,160,000 Government of Ireland, 4.50%, 04/18/20 IRL EUR 1,692,005 0.10 3,000,000 Puerto Rico Electric Power Authority Power Revenue, Series XX, 5.25%,

07/01/40 USA USD 1,518,930 0.09 900,000 Government of Ireland, senior bond, 5.40%, 03/13/25 IRL EUR 1,501,611 0.09 16,920,000,000 Government of Indonesia, FR61, 7.00%, 05/15/22 IDN IDR 1,318,352 0.08 1,100,000 Illinois State GO, Build America Bonds, 7.35%, 07/01/35 USA USD 1,294,975 0.08 1,980,000 Government of Ukraine, senior note, Reg S, 7.95%, 02/23/21 UKR USD 1,204,711 0.07 2,000,000 Government of Ukraine, senior note, Reg S, 7.50%, 04/17/23 UKR USD 1,179,060 0.07 763,000 Government of Ireland, 5.90%, 10/18/19 IRL EUR 1,161,308 0.07 1,900,000 Government of Ukraine, Reg S, 7.75%, 09/23/20 UKR USD 1,157,632 0.07 1,000,000 Evansville Local Public Improvement Bond Bank Revenue,

Sewage Works Project, Series A, 5.00%, 07/01/36 USA USD 1,134,590 0.07 1,500,000 Puerto Rico Sales Tax FICO Sales Tax Revenue, first subordinate,

Series A, 5.75%, 08/01/37 USA USD 1,117,440 0.06 1,500,000 Puerto Rico Sales Tax FICO Sales Tax Revenue, Refunding, Series B,

6.05%, 08/01/38 USA USD 1,095,075 0.06 1,050,000 Government of Hungary, 4.125%, 02/19/18 HUN USD 1,090,661 0.06 1,000,000 U.S. Treasury Note, 3.125%, 05/15/19 USA USD 1,066,289 0.06 900,000 U.S. Treasury Note, 3.50%, 05/15/20 USA USD 981,844 0.06 600,000 California State GO, Build America Bonds, Various Purpose,

7.625%, 03/01/40 USA USD 921,600 0.05 122,800 Government of Mexico, 7.75%, 12/14/17 MEX MXN 910,986 0.05 1,220,000 Puerto Rico Sales Tax FICO Sales Tax Revenue, Refunding, Series B,

6.05%, 08/01/37 USA USD 892,186 0.05 750,000 New York City HDC Revenue, Series B1, 5.00%, 07/01/33 USA USD 858,015 0.05 770,000 New Jersey EDA Revenue, School Facilities Construction, Refunding,

Series NN, 5.00%, 03/01/30 USA USD 844,405 0.05 796,062 U.S. Treasury Note, Index Linked, 0.125%, 04/15/16 USA USD 793,824 0.05 737,482 U.S. Treasury Note, Index Linked, 0.625%, 07/15/21 USA USD 748,372 0.04 6,470,000,000 Government of Indonesia, FR34, 12.80%, 06/15/21 IDN IDR 650,709 0.04 3,745,000 Puerto Rico Sales Tax FICO Sales Tax Revenue, Refunding, Series A,

NATL RE, FGIC Insured, zero cpn., 08/01/45 USA USD 537,857 0.03 5,381,000,000 Government of Indonesia, FR40, 11.00%, 09/15/25 IDN IDR 525,283 0.03 513 Nota Do Tesouro Nacional, Index Linked, 6.00%, 08/15/16 BRA BRL 485,366 0.03 116,760,000 Government of Hungary, 5.50%, 12/22/16 HUN HUF 477,239 0.03 4,800,000,000 Government of Indonesia, FR36, 11.50%, 09/15/19 IDN IDR 444,813 0.03 1,160,000 Government of Poland, 5.75%, 09/23/22 POL PLN 405,718 0.02 975,000 Puerto Rico Sales Tax FICO Sales Tax Revenue, Capital Appreciation,

Series A, zero cpn., 08/01/25 USA USD 392,545 0.02 300,000 U.S. Treasury Bond, 9.00%, 11/15/18 USA USD 386,719 0.02 85,270,000 Government of Hungary, A, 5.50%, 12/20/18 HUN HUF 357,555 0.02 300,000 California State GO, Various Purpose, Refunding, 5.00%, 06/01/37 USA USD 324,555 0.02 300,000 U.S. Treasury Note, 3.125%, 10/31/16 USA USD 313,594 0.02 224,000 Government of Ireland, senior bond, 4.50%, 10/18/18 IRL EUR 313,567 0.02 835,000 Puerto Rico Sales Tax FICO Revenue, Capital Appreciation, Refunding,

Series A, zero cpn., 08/01/26 USA USD 308,449 0.02 6,910,000 Uruguay Notas del Tesoro, 9.50%, 01/27/16 URY UYU 284,056 0.02 225,000 California State GO, Various Purpose, 5.25%, 11/01/40 USA USD 259,495 0.01 200,000 U.S. Treasury Bond, 8.125%, 08/15/19 USA USD 258,625 0.01 2,776,000,000 Government of Indonesia, FR47, 10.00%, 02/15/28 IDN IDR 257,091 0.01 691,000 Government of Poland, FRN, 2.69%, 01/25/17 † POL PLN 195,301 0.01 2,126,000,000 Government of Indonesia, FR44, 10.00%, 09/15/24 IDN IDR 194,576 0.01 200 Nota Do Tesouro Nacional, Index Linked, 6.00%, 05/15/17 BRA BRL 189,688 0.01 40,800,000 Government of Hungary, 6.50%, 06/24/19 HUN HUF 177,518 0.01 130,000 U.S. Treasury Note, 4.75%, 08/15/17 USA USD 142,751 0.01 5,330,000 Government of the Philippines, senior bond, 9.125%, 09/04/16 PHL PHP 128,984 0.01 120,000 California State GO, Various Purpose, Refunding, NATL Insured,

4.50%, 12/01/32 USA USD 125,203 0.01 115,000 California State GO, Various Purpose, Refunding, Series 1,

AGMC Insured, 4.75%, 09/01/31 USA USD 118,958 0.01 1,278,000,000 Government of Indonesia, FR31, 11.00%, 11/15/20 IDN IDR 118,452 0.01 1,132,000,000 Government of Indonesia, FR35, 12.90%, 06/15/22 IDN IDR 117,610 0.01 80,000 U.S. Treasury Bond, 7.25%, 08/15/22 USA USD 110,041 0.01 1,000,000,000 Government of Indonesia, FR37, 12.00%, 09/15/26 IDN IDR 104,441 0.01


Number of shares or



Marketvalue

% ofnet

assets






Government and Municipal Bonds (continued) 1,100,000,000 Government of Indonesia, FR46, 9.50%, 07/15/23 IDN IDR 97,987 0.01 65,000 California State GO, Various Purpose, 6.00%, 11/01/39 USA USD 78,628 0.00 500,000 Puerto Rico Sales Tax FICO Sales Tax Revenue, Capital Appreciation,

Refunding, Series A, NATL Insured, zero cpn., 08/01/46 USA USD 67,390 0.00 8,110,000 Government of Sri Lanka, A, 8.00%, 11/15/18 LKA LKR 63,564 0.00 5,530,000 Government of Sri Lanka, A, 9.00%, 05/01/21 LKA LKR 44,987 0.00 230,000,000 Government of Indonesia, FR39, 11.75%, 08/15/23 IDN IDR 23,093 0.00 2,210,000 Government of Sri Lanka, D, 8.50%, 06/01/18 LKA LKR 17,573 0.00 2,100,000 Government of Sri Lanka, A, 6.40%, 08/01/16 LKA LKR 15,994 0.00 2,310,000 Government of Hungary, A, 7.00%, 06/24/22 HUN HUF 10,860 0.00 600,000 Government of Sri Lanka, C, 8.50%, 04/01/18 LKA LKR 4,761 0.00

313,824,380 18.28

Securities Maturing Within One Year 16,945,220,000 Korea Treasury Bond, senior note, 2.75%, 12/10/15 KOR KRW 15,590,514 0.91 2,177,180 Government of Mexico, 8.00%, 12/17/15 MEX MXN 15,423,636 0.90 10,212,700,000 Korea Monetary Stabilization Bond, senior bond, 2.47%, 04/02/15 KOR KRW 9,346,755 0.54 67,000,000 Government of Sweden, 4.50%, 08/12/15 SWE SEK 8,818,518 0.51 27,107,000 Government of Malaysia, 4.72%, 09/30/15 MYS MYR 7,828,120 0.46 7,580,000 Government of Canada, 1.00%, 05/01/15 CAN CAD 6,528,624 0.38 6,891,040,000 Korea Monetary Stabilization Bond, senior note, 2.74%, 02/02/15 KOR KRW 6,303,548 0.37 1,036,600,000 Government of Hungary, 7.75%, 08/24/15 HUN HUF 4,117,023 0.24 14,315,000 Government of Malaysia, 3.835%, 08/12/15 MYS MYR 4,105,967 0.24 4,076,800,000 Korea Monetary Stabilization Bond, senior note, 2.76%, 06/02/15 KOR KRW 3,737,882 0.22 11,785,000 Government of Poland, 6.25%, 10/24/15 POL PLN 3,448,064 0.20 11,425,000 Government of Malaysia, 3.197%, 10/15/15 MYS MYR 3,262,619 0.19 75,490,000 Uruguay Notas del Tesoro, 10.25%, 08/22/15 URY UYU 3,073,752 0.18 10,025,000 Government of Malaysia, 3.741%, 02/27/15 MYS MYR 2,868,988 0.17 70,324,000 Uruguay Treasury Bill, Strip, 08/20/15 URY UYU 2,656,628 0.15 3,000,000 Government of Canada, 1.00%, 02/01/15 CAN CAD 2,583,423 0.15 2,710,900,000 Korea Monetary Stabilization Bond, senior bond, 2.80%, 08/02/15 KOR KRW 2,488,889 0.14 7,531,000 Government of Poland, 5.50%, 04/25/15 POL PLN 2,153,614 0.12 1,400,000 MGM Resorts International, senior note, 6.625%, 07/15/15 USA USD 1,428,000 0.08 4,800,000 Government of Poland, Strip, 07/25/15 POL PLN 1,343,650 0.08 1,500,000 Government of Canada, 1.50%, 08/01/15 CAN CAD 1,295,496 0.08 1,288,280,000 Korea Treasury Bond, senior note, 3.25%, 06/10/15 KOR KRW 1,183,796 0.07 1,010 Nota Do Tesouro Nacional, Index Linked, 6.00%, 05/15/15 BRA BRL 964,181 0.06 970,000,000 Korea Monetary Stabilization Bond, senior bond, 2.81%, 10/02/15 KOR KRW 891,748 0.05 20,336,442 Uruguay Notas del Tesoro, Index Linked, 4.00%, 06/14/15 URY UYU 834,143 0.05 12,610,000 Uruguay Notas del Tesoro, 10.50%, 03/21/15 URY UYU 513,253 0.03 500,000 Gaz Capital SA, (OJSC Gazprom), loan participation, senior note,

Reg S, 5.092%, 11/29/15 RUS USD 491,112 0.03 400,000 U.S. Treasury Note, 4.125%, 05/15/15 USA USD 405,953 0.02 36,740,000 Government of Hungary, A, 8.00%, 02/12/15 HUN HUF 141,381 0.01 15,000,000 Government of Sri Lanka, A, 11.00%, 08/01/15 LKA LKR 117,615 0.01 10,190 Government of Mexico, 6.00%, 06/18/15 MEX MXN 70,016 0.00 540,000 Uruguay Treasury Bill, Strip, 07/02/15 URY UYU 20,737 0.00 2,370,000 Government of Sri Lanka, A, 6.50%, 07/15/15 LKA LKR 18,126 0.00 90,000 Government of Sri Lanka, A, 11.75%, 03/15/15 LKA LKR 694 0.00

114,056,465 6.64

TOTAL BONDS 1,139,824,237 66.39


Number of shares or



Marketvalue

% ofnet

assets






BONDS Corporate Bonds 5,000,000 EDF SA, sub. note, 144A, 5.25% to 01/29/23, FRN thereafter, Perpetual POL USD 5,128,500 0.30 1,500,000 NewPage Corp., Escrow Account ** USA USD 0 0.00

5,128,500 0.30

Government and Municipal Bonds 12,150,000 U.S. Treasury Note, 2.00%, 05/31/21 USA USD 12,205,525 0.71

Securities Maturing Within One Year 150,000 Fontainebleau Las Vegas, senior secured note, first lien, 144A,

11.00%, 06/15/15 * USA USD 1,875 0.00

TOTAL BONDS 17,335,900 1.01



* These Corporate Bonds are currently in default † Floating Rates are indicated as at December 31, 2014 ‡ Income may be received in additional securities and/or cash ** These securities are submitted to a Fair Valuation


Number of shares or



Marketvalue

% ofnet

assets





TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Aerospace & Defense 190,000 DigitalGlobe Inc. USA USD 5,884,300 0.65

Auto Components 125,000 BorgWarner Inc. USA USD 6,868,750 0.75

Communications Equipment 1,200,000 Ericsson, B, ADR SWE USD 14,520,000 1.60 115,000 Palo Alto Networks Inc. USA USD 14,095,550 1.55 150,000 QUALCOMM Inc. USA USD 11,149,500 1.22 710,000 JDS Uniphase Corp. USA USD 9,741,200 1.07 350,000 Cisco Systems Inc. USA USD 9,735,250 1.07

59,241,500 6.51

Diversified Financial Services 60,000 Intercontinental Exchange Inc. USA USD 13,157,400 1.44

Electrical Equipment 50,500 Acuity Brands Inc. USA USD 7,073,535 0.78

Health Care Equipment & Supplies 85,000 DexCom Inc. USA USD 4,679,250 0.51

Internet & Catalog Retail 67,000 Amazon.com Inc. USA USD 20,793,450 2.28 14,300 The Priceline Group Inc. USA USD 16,305,003 1.79 27,000 Netflix Inc. USA USD 9,223,470 1.01 80,006 Shutterfly Inc. USA USD 3,335,850 0.37

49,657,773 5.45

Internet Software & Services 252,000 Facebook Inc., A USA USD 19,661,040 2.16 35,000 Google Inc., C USA USD 18,424,000 2.02 77,723 Equinix Inc. USA USD 17,622,136 1.94 61,000 LinkedIn Corp., A USA USD 14,012,310 1.54 100,000 Alibaba Group Holding Ltd., ADR CHN USD 10,394,000 1.14 202,000 Yahoo! Inc. USA USD 10,203,020 1.12 15,000 Google Inc., A USA USD 7,959,900 0.87 200,000 Twitter Inc. USA USD 7,174,000 0.79 92,000 Demandware Inc. USA USD 5,293,680 0.58 175,000 HomeAway Inc. USA USD 5,211,500 0.57 252,500 Pandora Media Inc. USA USD 4,502,075 0.49 11,000 Baidu Inc., ADR CHN USD 2,507,670 0.28

122,965,331 13.50

IT Services 70,500 Visa Inc., A USA USD 18,485,100 2.03 201,000 MasterCard Inc., A USA USD 17,318,160 1.90 322,000 Cognizant Technology Solutions Corp., A USA USD 16,956,520 1.86 114,000 FleetCor Technologies Inc. USA USD 16,952,940 1.86 263,000 Fidelity National Information Services Inc. USA USD 16,358,600 1.80 56,500 Alliance Data Systems Corp. USA USD 16,161,825 1.78

102,233,145 11.23

Life Sciences Tools & Services 20,000 Illumina Inc. USA USD 3,691,600 0.41

Media 95,000 The Walt Disney Co. USA USD 8,948,050 0.98 150,000 Global Eagle Entertainment Inc. USA USD 2,041,500 0.23

10,989,550 1.21

Professional Services 116,000 IHS Inc., A USA USD 13,210,080 1.45

Real Estate Investment Trust (REIT) 172,000 American Tower Corp. USA USD 17,002,200 1.87

Semiconductors & Semiconductor Equipment 845,000 Applied Materials Inc. USA USD 21,057,400 2.31 160,000 Avago Technologies Ltd. SGP USD 16,094,400 1.77 296,000 Texas Instruments Inc. USA USD 15,825,640 1.74 200,000 NXP Semiconductors NV NLD USD 15,280,000 1.68 191,500 Lam Research Corp. USA USD 15,193,610 1.67 427,500 Maxim Integrated Products Inc. USA USD 13,624,425 1.50 302,000 Xilinx Inc. USA USD 13,073,580 1.44 230,000 Analog Devices Inc. USA USD 12,769,600 1.40 255,000 ARM Holdings PLC, ADR GBR USD 11,806,500 1.30 374,330 Semtech Corp. USA USD 10,320,278 1.13

— Franklin Technology Fund —

Number of shares or



Marketvalue

% ofnet

assets





— Franklin Technology Fund —

Semiconductors & Semiconductor Equipment (continued) 340,000 Freescale Semiconductor Ltd. USA USD 8,578,200 0.94 134,630 Cavium Inc. USA USD 8,322,827 0.91 1,115,000 Lattice Semiconductor Corp. USA USD 7,682,350 0.84 450,000 Intersil Corp., A USA USD 6,511,500 0.71 126,000 Intel Corp. USA USD 4,572,540 0.50

180,712,850 19.84

Software 310,000 Salesforce.com Inc. USA USD 18,386,100 2.02 390,000 Electronic Arts Inc. USA USD 18,335,850 2.01 252,000 Red Hat Inc. USA USD 17,423,280 1.91 227,500 Adobe Systems Inc. USA USD 16,539,250 1.82 180,000 VMware Inc., A USA USD 14,853,600 1.63 166,000 ANSYS Inc. USA USD 13,612,000 1.50 442,500 Fortinet Inc. USA USD 13,567,050 1.49 275,000 Microsoft Corp. USA USD 12,773,750 1.40 240,000 Guidewire Software Inc. USA USD 12,151,200 1.33 90,000 NetSuite Inc. USA USD 9,825,300 1.08 112,000 Workday Inc. USA USD 9,140,320 1.00 410,000 Activision Blizzard Inc. USA USD 8,261,500 0.91 101,000 ServiceNow Inc. USA USD 6,852,850 0.75 190,000 BroadSoft Inc. USA USD 5,513,800 0.61 215,029 Bottomline Technologies Inc. USA USD 5,435,933 0.60 68,000 Mobileye NV USA USD 2,758,080 0.30 35,000 Splunk Inc. USA USD 2,063,250 0.23 200,000 Mobile Iron Inc. USA USD 1,992,000 0.22 150,000 A10 Networks Inc. USA USD 654,000 0.07

190,139,113 20.88

Technology Hardware, Storage & Peripherals 171,000 SanDisk Corp. USA USD 16,754,580 1.84 151,000 Western Digital Corp. USA USD 16,715,700 1.83 136,000 Apple Inc. USA USD 15,011,680 1.65 139,000 Stratasys Ltd. USA USD 11,552,290 1.27 300,000 EMC Corp. USA USD 8,922,000 0.98

68,956,250 7.57

Wireless Telecommunication Services 80,000 SBA Communications Corp. USA USD 8,860,800 0.97

TOTAL SHARES 865,323,427 95.02


TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET BONDS Securities Maturing Within One Year 15,000,000 U.S. Treasury Bill, 0.00%, 01/02/15 USA USD 15,000,000 1.65

TOTAL BONDS 15,000,000 1.65



Number of shares or



Marketvalue

% ofnet

assets





— Franklin U.S. Dollar Liquid Reserve Fund —

TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET BONDS Securities Maturing Within One Year 26,700,000 FNMA, 0.00%, 02/17/15 USA USD 26,699,493 7.62 25,896,000 FNMA, 0.00%, 01/02/15 USA USD 25,896,000 7.39 25,000,000 FHLB, 0.00%, 01/02/15 USA USD 25,000,000 7.13 20,000,000 FHLB, 0.00%, 01/06/15 USA USD 19,999,980 5.71 20,000,000 International Finance Corp., 0.00%, 01/07/15 SP USD 19,999,900 5.71 20,000,000 Exxon Mobil Corp., zero cpn., 01/05/15 USA USD 19,999,720 5.71 15,000,000 Johnson & Johnson, zero cpn., 01/05/15 USA USD 14,999,850 4.28 15,000,000 Total Capital Canada Ltd., zero cpn., 01/15/15 CAN USD 14,999,370 4.28 14,960,000 International Finance Corp., 0.00%, 01/26/15 SP USD 14,940,456 4.26 10,000,000 Province of Ontario, zero cpn., 01/06/15 USA USD 9,999,900 2.85 10,000,000 Johnson & Johnson, zero cpn., 01/12/15 USA USD 9,999,770 2.85 7,500,000 KFW, zero cpn., 01/14/15 DEU USD 7,499,655 2.14 7,300,000 FHLB, 0.00%, 01/09/15 USA USD 7,299,985 2.08 5,300,000 Exxon Mobil Corp., zero cpn., 01/27/15 USA USD 5,299,534 1.51 5,018,000 Province of Ontario, zero cpn., 01/07/15 USA USD 5,017,940 1.43 5,000,000 International Bank for Reconstruction and Development, 0.00%, 01/08/15 SP USD 4,999,990 1.43 5,000,000 General Electric Capital Corp., zero cpn., 03/11/15 USA USD 4,998,960 1.43 4,000,000 FHLB, 0.00%, 01/30/15 USA USD 3,999,968 1.14 3,480,000 FNMA, 0.00%, 01/05/15 USA USD 3,479,997 0.99 2,785,000 FHLMC, 0.00%, 01/07/15 USA USD 2,784,997 0.79 2,750,000 FNMA, 0.00%, 01/20/15 USA USD 2,749,986 0.78 2,600,000 FHLB, 0.00%, 01/07/15 USA USD 2,599,997 0.74 2,500,000 FHLMC, 0.00%, 03/17/15 USA USD 2,499,897 0.71 2,346,000 Procter & Gamble Co., zero cpn., 01/29/15 USA USD 2,345,869 0.67 2,030,000 Microsoft Corp., zero cpn., 02/02/15 USA USD 2,029,858 0.58 2,000,000 International Finance Corp., 0.00%, 01/02/15 SP USD 1,999,994 0.57 1,700,000 FFCB, 0.00%, 03/31/15 USA USD 1,699,917 0.48 1,200,000 FNMA, 0.00%, 03/16/15 USA USD 1,199,951 0.34 1,000,000 FHLMC, 0.00%, 03/09/15 USA USD 999,963 0.29 1,000,000 FNMA, 0.00%, 04/27/15 USA USD 999,898 0.29

267,040,795 76.18

TOTAL BONDS 267,040,795 76.18



Number of shares or



Marketvalue

% ofnet

assets





TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Consumer Discretionary 568,900 Twenty-First Century Fox Inc., B USA USD 20,986,721 3.21 174,872 The Walt Disney Co. USA USD 16,471,194 2.52 169,600 NIKE Inc., B USA USD 16,307,040 2.49 183,120 BorgWarner Inc. USA USD 10,062,444 1.54 106,400 Altice SA LUX EUR 8,401,833 1.28 17,500 Target Corp. USA USD 1,328,425 0.20

73,557,657 11.24

Consumer Staples 167,834 CVS Health Corp. USA USD 16,164,093 2.47

Energy 176,150 Schlumberger Ltd. USA USD 15,044,971 2.30 157,300 Anadarko Petroleum Corp. USA USD 12,977,250 1.98 379,200 Marathon Oil Corp. USA USD 10,727,568 1.64 31,100 Exxon Mobil Corp. USA USD 2,875,195 0.44 60,400 Halliburton Co. USA USD 2,375,532 0.36 20,500 Chevron Corp. USA USD 2,299,690 0.35 32,500 Oasis Petroleum Inc. USA USD 537,550 0.08

46,837,756 7.15

Financials 699,100 The Hartford Financial Services Group Inc. USA USD 29,145,479 4.45 673,700 The Charles Schwab Corp. USA USD 20,339,003 3.11 333,900 MetLife Inc. USA USD 18,060,651 2.76 379,300 LPL Financial Holdings Inc. USA USD 16,897,815 2.58 264,370 JPMorgan Chase & Co. USA USD 16,544,275 2.53 238,600 Discover Financial Services USA USD 15,625,914 2.39 274,810 Citigroup Inc. USA USD 14,869,969 2.27 290,600 CBRE Group Inc. USA USD 9,953,050 1.52 25,151 BlackRock Inc. USA USD 8,992,991 1.37

150,429,147 22.98

Health Care 270,200 Valeant Pharmaceuticals International Inc. CAN USD 38,668,322 5.90 112,211 Actavis PLC USA USD 28,884,234 4.41 48,300 Allergan Inc. USA USD 10,268,097 1.57 104,575 Zoetis Inc. USA USD 4,499,862 0.69 76,443 Pfizer Inc. USA USD 2,381,199 0.36 21,870 Johnson & Johnson USA USD 2,286,946 0.35 24,600 Express Scripts Holding Co. USA USD 2,082,882 0.32

89,071,542 13.60

Industrials 506,700 The ADT Corp. USA USD 18,357,741 2.80 199,400 Genesee & Wyoming Inc. USA USD 17,930,048 2.74 32,800 Precision Castparts Corp. USA USD 7,900,864 1.21 44,700 FedEx Corp. USA USD 7,762,602 1.18 37,920 United Technologies Corp. USA USD 4,360,800 0.67 27,700 The Boeing Co. USA USD 3,600,446 0.55

59,912,501 9.15

Information Technology 97,716 Equinix Inc. USA USD 22,155,149 3.38 283,300 Adobe Systems Inc. USA USD 20,595,910 3.15 270,592 QUALCOMM Inc. USA USD 20,113,103 3.07 423,395 Microsoft Corp. USA USD 19,666,698 3.00 188,100 MasterCard Inc., A USA USD 16,206,696 2.48 235,600 Motorola Solutions Inc. USA USD 15,804,048 2.41 370,700 Maxim Integrated Products Inc. USA USD 11,814,209 1.80 17,280 Google Inc., C USA USD 9,096,192 1.39 16,980 Google Inc., A USA USD 9,010,607 1.38 26,560 Visa Inc., A USA USD 6,964,032 1.06 56,100 Oracle Corp. USA USD 2,522,817 0.39 11,550 Apple Inc. USA USD 1,274,889 0.20

155,224,350 23.71

— Franklin U.S. Equity Fund —

Number of shares or



Marketvalue

% ofnet

assets





Materials 177,000 Agrium Inc. CAN USD 16,765,440 2.56 325,600 Axiall Corp. USA USD 13,828,232 2.11 80,400 LyondellBasell Industries NV, A USA USD 6,382,956 0.98 42,666 Cytec Industries Inc. USA USD 1,969,889 0.30

38,946,517 5.95

TOTAL SHARES 630,143,563 96.25


TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET SHARES Health Care 385,240 Roche Holding AG, ADR CHE USD 13,094,308 2.00

TOTAL SHARES 13,094,308 2.00



— Franklin U.S. Equity Fund —

Number of shares or



Marketvalue

% ofnet

assets





— Franklin U.S. Focus Fund —

TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Consumer Discretionary 29,670 Twenty-First Century Fox Inc., B USA USD 1,094,526 2.99 10,015 The Walt Disney Co. USA USD 943,313 2.57 9,540 NIKE Inc., B USA USD 917,271 2.50 13,430 BorgWarner Inc. USA USD 737,979 2.01 5,580 Altice SA LUX EUR 440,622 1.20

4,133,711 11.27

Consumer Staples 9,910 CVS Health Corp. USA USD 954,432 2.60

Energy 10,200 Schlumberger Ltd. USA USD 871,182 2.38 8,510 Anadarko Petroleum Corp. USA USD 702,075 1.91 20,310 Marathon Oil Corp. USA USD 574,570 1.57

2,147,827 5.86

Financials 38,270 The Hartford Financial Services Group Inc. USA USD 1,595,476 4.35 38,620 The Charles Schwab Corp. USA USD 1,165,938 3.18 19,125 MetLife Inc. USA USD 1,034,471 2.82 21,760 LPL Financial Holdings Inc. USA USD 969,408 2.64 17,465 Citigroup Inc. USA USD 945,031 2.58 14,720 JPMorgan Chase & Co. USA USD 921,178 2.51 25,520 CBRE Group Inc. USA USD 874,060 2.38 12,755 Discover Financial Services USA USD 835,325 2.28 2,100 BlackRock Inc. USA USD 750,876 2.05

9,091,763 24.79

Health Care 13,055 Valeant Pharmaceuticals International Inc. CAN USD 1,868,301 5.09 5,565 Actavis PLC USA USD 1,432,487 3.91 4,420 Allergan Inc. USA USD 939,648 2.56 2,320 Roche Holding AG CHE CHF 629,821 1.72

4,870,257 13.28

Industrials 11,610 Genesee & Wyoming Inc. USA USD 1,043,971 2.85 27,520 The ADT Corp. USA USD 997,050 2.72 3,025 FedEx Corp. USA USD 525,322 1.43 1,780 Precision Castparts Corp. USA USD 428,766 1.17

2,995,109 8.17

Information Technology 5,061 Equinix Inc. USA USD 1,147,481 3.13 13,030 MasterCard Inc., A USA USD 1,122,665 3.06 15,390 Adobe Systems Inc. USA USD 1,118,853 3.05 14,665 QUALCOMM Inc. USA USD 1,090,049 2.97 22,150 Microsoft Corp. USA USD 1,028,868 2.81 12,855 Motorola Solutions Inc. USA USD 862,313 2.35 20,275 Maxim Integrated Products Inc. USA USD 646,164 1.76 1,030 Google Inc., C USA USD 542,192 1.48 1,020 Google Inc., A USA USD 541,273 1.48

8,099,858 22.09

Materials 9,390 Agrium Inc. CAN USD 889,421 2.43 19,232 Axiall Corp. USA USD 816,783 2.23 7,355 LyondellBasell Industries NV, A USA USD 583,913 1.59

2,290,117 6.25

TOTAL SHARES 34,583,074 94.31



Number of shares or



Marketvalue

% ofnet

assets





TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET BONDS Asset-Backed Securities 218,490,403 GNMA, II, SF, 3.50%, 08/20/42 - 12/20/44 USA USD 229,696,585 19.70 185,616,893 GNMA, II, SF, 4.00%, 05/20/40 - 09/20/44 USA USD 199,527,576 17.12 142,492,273 GNMA, II, SF, 4.50%, 05/20/33 - 10/20/44 USA USD 156,254,950 13.41 124,701,474 GNMA, SF, 5.00%, 07/15/33 - 05/15/40 USA USD 138,417,573 11.87 76,303,209 GNMA, SF, 4.50%, 03/15/39 - 04/15/41 USA USD 84,083,601 7.21 45,826,767 GNMA, SF, 6.00%, 10/15/23 - 01/15/38 USA USD 52,769,214 4.53 46,841,139 GNMA, SF, 5.50%, 11/15/28 - 11/15/39 USA USD 52,679,728 4.52 44,295,510 GNMA, II, SF, 5.00%, 10/20/32 - 06/20/44 USA USD 49,347,826 4.23 26,619,394 GNMA, II, SF, 5.50%, 05/20/34 - 01/20/36 USA USD 30,059,720 2.58 24,031,965 GNMA, II, SF, 6.00%, 06/20/34 - 07/20/39 USA USD 27,268,615 2.34 22,846,509 GNMA, SF, 4.00%, 11/15/40 - 09/15/41 USA USD 24,664,283 2.12 19,429,616 GNMA, SF, 6.50%, 07/15/23 - 07/15/38 USA USD 22,475,601 1.93 15,000,000 GNMA, II, SF, 3.00%, 01/01/43 USA USD 15,340,547 1.32 8,870,488 GNMA, II, SF, 6.50%, 03/20/27 - 10/20/38 USA USD 10,213,727 0.88 6,638,286 GNMA, SF, 7.00%, 03/15/22 - 09/15/32 USA USD 7,376,884 0.63 5,118,888 GNMA, SF, 3.50%, 04/15/43 - 05/15/43 USA USD 5,414,559 0.46 3,875,543 GNMA, II, SF, 7.00%, 05/20/26 - 03/20/33 USA USD 4,616,363 0.40 3,079,620 GNMA, SF, 7.50%, 02/15/17 - 08/15/33 USA USD 3,594,904 0.31 2,388,896 GNMA, SF, 8.00%, 11/15/16 - 12/15/30 USA USD 2,667,130 0.23 1,876,544 GNMA, II, SF, 7.50%, 12/20/17 - 09/20/32 USA USD 2,272,670 0.19 1,723,952 GNMA, 6.00%, 11/15/28 - 05/20/34 USA USD 1,935,023 0.17 950,983 GNMA, II, SF, 8.00%, 06/20/22 - 07/20/31 USA USD 1,137,627 0.10 740,323 GNMA, SF, 8.50%, 06/15/16 - 06/15/28 USA USD 770,893 0.07 583,667 GNMA, SF, 9.00%, 08/15/16 - 03/15/25 USA USD 691,703 0.06 558,822 GNMA, 6.50%, 04/20/34 USA USD 619,769 0.05 304,889 GNMA, 7.50%, 04/15/31 USA USD 342,545 0.03 250,870 GNMA, SF, 10.00%, 02/15/16 - 03/15/25 USA USD 275,058 0.02 197,206 GNMA, II, SF, 8.50%, 11/20/21 - 05/20/29 USA USD 238,827 0.02 92,677 GNMA, 8.00%, 05/20/17 - 01/15/31 USA USD 98,841 0.01 91,340 GNMA, SF, 9.50%, 10/15/16 - 06/15/25 USA USD 93,968 0.01 74,786 GNMA, II, SF, 9.50%, 05/20/16 - 07/20/25 USA USD 80,506 0.01 49,847 GNMA, II, 8.00%, 03/20/17 - 03/20/27 USA USD 56,660 0.00 31,958 GNMA, SF, 8.625%, 10/15/18 USA USD 34,558 0.00 22,742 GNMA, 9.50%, 10/15/18 - 11/15/21 USA USD 25,601 0.00 23,412 GNMA, II, 9.00%, 05/20/16 - 06/20/17 USA USD 23,514 0.00 18,688 GNMA, SF, 7.95%, 01/15/21 USA USD 18,766 0.00 18,410 GNMA, SF, 7.80%, 02/15/20 USA USD 18,484 0.00 12,850 GNMA, SF, 10.50%, 12/15/17 - 04/15/25 USA USD 14,089 0.00 7,099 GNMA, II, SF, 9.00%, 10/20/16 USA USD 7,400 0.00 7,011 GNMA, SF, 7.75%, 03/15/27 USA USD 7,192 0.00 3,281 GNMA, SF, 8.30%, 07/15/17 USA USD 3,294 0.00 2,515 GNMA, SF, 11.00%, 08/15/17 - 04/15/21 USA USD 2,573 0.00

1,125,238,947 96.53

Securities Maturing Within One Year 40 GNMA, II, SF, 9.50%, 12/20/15 USA USD 41 0.00

TOTAL BONDS 1,125,238,988 96.53



— Franklin U.S. Government Fund —

Number of shares or



Marketvalue

% ofnet

assets





— Franklin U.S. Low Duration Fund —

TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET BONDS Asset-Backed Securities 9,240,000 American Express Credit Account Master Trust, 2012-1, A, FRN,

0.431%, 01/15/20 † USA USD 9,239,653 0.56 9,210,000 Discover Card Execution Note Trust, 2012-A5, A5, FRN, 0.361%, 01/16/18 † USA USD 9,209,516 0.56 9,160,000 Chase Issuance Trust, 2014-A3, A3, FRN, 0.361%, 05/15/18 † USA USD 9,158,901 0.55 8,850,000 Citibank Credit Card Issuance Trust, 2013-A1, A1, FRN, 0.267%, 04/24/17 † USA USD 8,844,708 0.53 8,880,000 Capital One Multi-Asset Execution Trust, 2007-A2, A2, FRN, 0.241%, 12/16/19 † USA USD 8,832,989 0.53 8,255,101 Colony MFM Trust, 2014-1, A, 144A, 2.5432%, 04/20/55 USA USD 8,230,694 0.50 8,130,000 Chase Issuance Trust, 2012-A6, A, FRN, 0.291%, 08/15/17 † USA USD 8,126,268 0.49 7,500,000 Citibank Credit Card Issuance Trust, 2005-A9, A9, 5.10%, 11/20/17 USA USD 7,793,059 0.47 7,410,000 Capital One Multi-Asset Execution Trust, 2006-A6, A3, 5.05%, 12/17/18 USA USD 7,757,433 0.47 7,005,425 FNMA, ARM, 2.268%, 09/01/39 USA USD 7,472,038 0.45 6,834,101 Commercial Mortgage Trust, 2007-C9, A1A, FRN, 6.01%, 12/10/49 † USA USD 7,404,772 0.45 7,370,000 Citibank Credit Card Issuance Trust, 2013-A11, A11, FRN, 0.397%, 02/07/18 † USA USD 7,370,936 0.45 7,370,000 Bank of America Credit Card Trust, 2014-A2, A, FRN, 0.431%, 09/16/19 † USA USD 7,360,360 0.44 7,270,000 Capital One Multi-Asset Execution Trust, 2007-A1, A1, FRN,

0.211%, 11/15/19 † USA USD 7,239,030 0.44 7,000,000 Trade MAPS Ltd., 2013-1A, A, 144A, FRN, 0.862%, 12/10/18 † IRL USD 7,021,350 0.42 6,800,000 American Express Credit Account Master Trust, 2008-6, A, FRN,

1.361%, 02/15/18 † USA USD 6,836,989 0.41 5,900,000 Discover Card Execution Note Trust, 2014-A1, A1, FRN, 0.591%, 07/15/21 † USA USD 5,918,603 0.36 6,259,690 WaMu Mortgage Pass-Through Certificates, 2005-AR13, A1A1,

0.456%, 10/25/45 USA USD 5,900,209 0.36 5,650,000 JPMorgan Chase Commercial Mortgage Securities Trust, 2006-CB17, AM,

5.464%, 12/12/43 USA USD 5,860,688 0.35 5,830,000 Discover Card Execution Note Trust, 2010-A2, A2, FRN, 0.741%, 03/15/18 † USA USD 5,842,992 0.35 5,780,000 JPMorgan Chase Commercial Mortgage Securities Trust, 2006-LDP7,

AJ, FRN, 5.873%, 04/15/45 † USA USD 5,815,142 0.35 5,600,000 Chase Issuance Trust, 2014-A5, A5, FRN, 0.531%, 04/15/21 † USA USD 5,587,725 0.34 5,100,000 Morgan Stanley Capital I Trust, 2006-HQ8, AJ, FRN, 5.497%, 03/12/44 † USA USD 5,240,337 0.32 4,965,000 Banc of America Commercial Mortgage Trust, 2006-4, AJ, 5.695%, 07/10/46 USA USD 5,158,561 0.31 5,000,482 ARCap REIT Inc., 2004-RR3, A2, 144A, FRN, 4.76%, 09/21/45 † USA USD 5,130,694 0.31 4,960,000 Greenwich Capital Commercial Funding Corp., 2006-GG7, AJ, FRN,

5.82%, 07/10/38 † USA USD 5,096,497 0.31 4,900,000 Citigroup Commercial Mortgage Trust, 2006-C5, AJ, 5.482%, 10/15/49 USA USD 4,808,223 0.29 4,800,000 Citibank Credit Card Issuance Trust, 2013-A12, A12, FRN, 0.462%, 11/07/18 † USA USD 4,796,839 0.29 5,177,572 Merrill Lynch Mortgage Investors Trust, 2005-A10, A, FRN, 0.38%, 02/25/36 † USA USD 4,781,912 0.29 4,520,000 Bear Stearns Commercial Mortgage Securities Inc., 2006-PW12, AJ, FRN,

5.751%, 09/11/38 † USA USD 4,656,341 0.28 4,700,000 Novastar Home Equity Loan, 2004-4, M4, FRN, 1.82%, 03/25/35 † USA USD 4,636,089 0.28 4,620,000 Chase Issuance Trust, 2013-A3, A3, FRN, 0.441%, 04/15/20 † USA USD 4,608,411 0.28 4,740,000 ARES CLO Ltd., 2007-3RA, B, 144A, FRN, 0.599%, 04/16/21 † USA USD 4,555,330 0.28 4,600,000 West CLO Ltd., 2014-1A, B, 144A, FRN, 3.083%, 07/18/26 † USA USD 4,455,031 0.27 4,440,000 Discover Card Execution Note Trust, 2012-A3, A3, 0.86%, 11/15/17 USA USD 4,446,953 0.27 4,420,000 Citibank Credit Card Issuance Trust, 2008-A6, A6, FRN, 1.365%, 05/22/17 † USA USD 4,437,516 0.27 4,290,000 Chase Issuance Trust, 2012-A9, A9, FRN, 0.311%, 10/16/17 † USA USD 4,288,106 0.26 4,230,000 Discover Card Execution Note Trust, 2013-A6, A6, FRN, 0.611%, 04/15/21 † USA USD 4,245,795 0.26 3,965,726 ML-CFC Commercial Mortgage Trust, 2006-3, A1A, FRN, 5.409%, 07/12/46 † USA USD 4,207,810 0.25 4,153,566 Babson CLO Inc., 2007-1A, A1, 144A, FRN, 0.456%, 01/18/21 † USA USD 4,129,018 0.25 3,437,904 Talisman 6 Finance, Reg S, FRN, 0.262%, 10/22/16 † DEU EUR 4,109,779 0.25 4,061,961 Structured ARM Loan Trust, 04-12, 3A1, FRN, 2.414%, 09/25/34 † USA USD 4,090,574 0.25 3,936,817 Structured Asset Investment Loan Trust, 2004-BNC2, A2, FRN,

1.21%, 12/25/34 † USA USD 3,881,601 0.23 3,900,000 Chase Issuance Trust, 2007-B1, B1, FRN, 0.411%, 04/15/19 † USA USD 3,877,374 0.23 3,858,868 Thornburg Mortgage Securities Trust, 2007-4, 1A1, FRN, 2.341%, 09/25/37 † USA USD 3,795,820 0.23 3,780,000 Ford Credit Auto Owner Trust, 2012-A, A4, 1.15%, 06/15/17 USA USD 3,792,196 0.23 3,800,000 American Residential Properties Trust, 2014-SFR1, B, 144A, FRN,

1.912%, 09/17/31 † USA USD 3,783,337 0.23 3,437,354 FHLMC, ARM, 2.335%, 05/01/37 USA USD 3,702,225 0.22 3,701,702 Ford Credit Auto Owner Trust, 2012-D, A3, 0.51%, 04/15/17 USA USD 3,701,627 0.22 3,400,000 Wachovia Bank Commercial Mortgage Trust, 2006-C27, AM, FRN,

5.795%, 07/15/45 † USA USD 3,621,418 0.22 3,619,107 CT CDO IV Ltd., 2006-4A, A1, 144A, FRN, 0.465%, 10/20/43 † USA USD 3,588,200 0.22 3,457,000 Bear Stearns Commercial Mortgage Securities Inc., 2006-PW11, AJ, FRN,

5.605%, 03/11/39 † USA USD 3,570,925 0.22 3,322,280 Bear Stearns Commercial Mortgage Securities Trust, 2006-PW13, A4,

5.54%, 09/11/41 USA USD 3,495,776 0.21 3,510,567 Colony American Homes, 2014-1A, A, 144A, FRN, 1.40%, 05/17/31 † USA USD 3,495,489 0.21 3,243,419 FHLMC, ARM, 2.354%, 11/01/37 USA USD 3,474,562 0.21 3,400,000 CT CDO III Ltd., 2005-3A, C, 144A, 5.471%, 06/25/35 USA USD 3,390,616 0.21 3,230,000 Wachovia Bank Commercial Mortgage Trust, 2006-C23, AM, FRN,

5.466%, 01/15/45 † USA USD 3,363,883 0.20 3,136,125 Greenwich Capital Commercial Funding Corp., 2007-GG9, A4,

5.444%, 03/10/39 USA USD 3,348,149 0.20 3,158,566 FNMA, 3.50%, 10/01/25 USA USD 3,341,983 0.20 3,265,000 Citibank Credit Card Issuance Trust, 2003-A7, A7, 4.15%, 07/07/17 USA USD 3,326,899 0.20 3,320,000 SWAY Residential 2014-1 Trust, 2014-1, A, 144A, FRN, 1.457%, 01/17/20 † USA USD 3,308,646 0.20

Number of shares or



Marketvalue

% ofnet

assets





Asset-Backed Securities (continued) 3,000,000 Bear Stearns Commercial Mortgage Securities Inc., 2007-PW16, AM,

FRN, 5.706%, 06/11/40 † USA USD 3,273,523 0.20 3,149,437 Morgan Stanley Capital I Trust, 2006-HQ8, A4, FRN, 5.417%, 03/12/44 † USA USD 3,230,186 0.20 3,348,900 Catamaran CLO Ltd., 2014-2A, B, 144A, FRN, 3.233%, 10/18/26 † USA USD 3,227,435 0.20 3,120,000 Bear Stearns Commercial Mortgage Securities Inc., 2006-PW13, AJ,

5.611%, 09/11/41 USA USD 3,205,827 0.19 3,000,000 Wachovia Bank Commercial Mortgage Trust, 2006-C28, AM, FRN,

5.603%, 10/15/48 † USA USD 3,198,354 0.19 3,250,736 ARES XI CLO Ltd., 2007-11A, A1C, 144A, FRN, 0.50%, 10/11/21 † USA USD 3,193,523 0.19 3,200,000 Chase Issuance Trust, 2007-C1, C1, FRN, 0.621%, 04/15/19 † USA USD 3,182,974 0.19 3,073,693 Credit Suisse First Boston Mortgage Securities Corp., 2004-AR3, 5A1, FRN,

0.267%, 04/25/34 † USA USD 3,144,619 0.19 3,000,000 LB-UBS Commercial Mortgage Trust, 2006-C4, AJ, FRN, 5.857%, 06/15/38 † USA USD 3,133,995 0.19 3,139,342 First Franklin Mortgage Loan Asset-Backed Certificates, 2005-FF6, M1, FRN,

0.59%, 05/25/36 † USA USD 3,104,578 0.19 3,110,000 Invitation Homes Trust, 2014-SFR2, B, 144A, FRN, 1.762%, 09/17/31 † USA USD 3,086,830 0.19 3,137,376 Ace Securities Corp., 2005-HE1, M4, FRN, 1.25%, 02/25/35 † USA USD 3,081,587 0.19 3,130,000 GSAA Home Equity Trust, 05-5, M3, FRN, 1.115%, 02/25/35 † USA USD 2,955,728 0.18 2,800,000 LB-UBS Commercial Mortgage Trust, 2001-C3, E, 144A, FRN, 6.95%, 06/15/36 † USA USD 2,834,294 0.17 2,645,933 Wells Fargo Mortgage Backed Securities Trust, 2004-V, 2A1, FRN,

2.632%, 10/25/34 † USA USD 2,682,478 0.16 2,640,000 Citigroup/Deutsche Bank Commercial Mortgage Trust, 2005-CD1, E, FRN,

5.219%, 07/15/44 † USA USD 2,652,498 0.16 2,695,256 First Horizon Alternative Mortgage Securities Trust, 04-AA5, 2A1, FRN,

2.092%, 12/25/34 † USA USD 2,641,578 0.16 2,649,195 Crest Ltd., 2004-1A, B1, 144A, FRN, 0.723%, 01/28/40 † USA USD 2,625,484 0.16 2,612,471 American Homes 4 Rent, 2014-SFR1, A, 144A, FRN, 1.25%, 06/17/31 † USA USD 2,584,395 0.16 2,430,000 Citibank Credit Card Issuance Trust, 2006-A3, A3, FRN, 5.30%, 03/15/18 † USA USD 2,561,790 0.16 2,590,789 American Home Mortgage Investment Trust, 2004-3, 4A, FRN,

1.833%, 10/25/34 † USA USD 2,556,541 0.15 2,608,102 GSAMP Trust, 2005-HE3, M2, FRN, 1.175%, 06/25/35 † USA USD 2,533,758 0.15 2,503,280 Park Place Securities Inc. Asset-Backed Pass-Through Certificates,

2004-WHQ2, M2, FRN, 1.115%, 02/25/35 † USA USD 2,505,651 0.15 2,500,000 Resource Capital Corp. Ltd., 2014-CRE2, A, 144A, FRN, 1.212%, 06/15/17 † CYM USD 2,479,750 0.15 2,409,481 ARCap Resecuritization Trust, 2004-A1, A, 144A, 4.73%, 04/21/24 USA USD 2,441,142 0.15 2,430,000 Apidos CDO, 2013-14A, C2, 144A, 4.85%, 04/15/25 USA USD 2,358,631 0.14 2,200,000 CD Commercial Mortgage Trust, 2005-CD1, AJ, FRN, 5.219%, 07/15/44 † USA USD 2,258,869 0.14 2,065,762 FNMA, 4.00%, 04/01/25 USA USD 2,207,963 0.13 2,000,000 Citigroup Commercial Mortgage Trust, 2007-C6, AM, FRN, 5.706%, 06/10/17 † USA USD 2,138,798 0.13 2,000,000 Banc of America Commercial Mortgage Trust, 2006-4, AM, 5.675%, 07/10/46 USA USD 2,131,285 0.13 2,151,879 Ownit Mortgage Loan Asset-Backed Certificates, 2005-2, M4, FRN,

1.10%, 03/25/36 † USA USD 2,121,920 0.13 2,025,000 Merrill Lynch Mortgage Trust, 2005-CKI1, AJ, FRN, 5.282%, 11/12/37 † USA USD 2,080,931 0.13 2,000,950 Wells Fargo Mortgage Backed Securities Trust, 2005-AR, 1A1, FRN,

2.61%, 02/25/35 † USA USD 2,015,563 0.12 1,988,000 Bear Stearns Commercial Mortgage Securities Trust, 2005-T20, E, FRN,

5.288%, 10/12/42 † USA USD 1,993,186 0.12 1,980,000 Wachovia Bank Commercial Mortgage Trust, 2007-WHL8, A2, 144A, FRN,

0.301%, 06/15/20 † USA USD 1,949,467 0.12 1,920,000 American Express Credit Account Master Trust, 2012-3, A, FRN,

0.311%, 03/15/18 † USA USD 1,919,273 0.12 1,875,303 G-Force LLC, 2005-RRA, B, 144A, 5.09%, 08/22/36 USA USD 1,910,043 0.12 1,856,976 LB-UBS Commercial Mortgage Trust, 2005-C3, A5, 4.739%, 07/15/30 USA USD 1,868,314 0.11 1,715,928 FNMA, ARM, 2.109%, 12/01/36 USA USD 1,815,815 0.11 1,660,000 Bear Stearns Commercial Mortgage Securities Trust, 2007-PW16, A4, FRN,

5.706%, 06/11/40 † USA USD 1,793,043 0.11 1,812,492 Merrill Lynch Mortgage Investors Trust Inc., 2003-G, A2, FRN,

1.007%, 01/25/29 † USA USD 1,767,160 0.11 1,799,583 G-Force LLC, 2005-RR2, A3FL, 144A, FRN, 0.47%, 12/25/39 † USA USD 1,757,725 0.11 1,814,864 Fairfield Street Solar, 2004-1A, A1, 144A, FRN, 0.586%, 11/28/39 † CYM USD 1,746,879 0.11 1,804,197 Thornburg Mortgage Securities Trust, 2003-4, A1, FRN, 0.81%, 09/25/43 † USA USD 1,735,744 0.11 1,740,000 West CLO Ltd., 2014-1A, A2, 144A, FRN, 2.333%, 07/18/26 † USA USD 1,710,481 0.10 1,700,000 Citibank Credit Card Issuance Trust, 2014-A9, A9, FRN, 0.358%, 05/09/18 † USA USD 1,700,487 0.10 1,625,344 Kildare Securities Ltd., 2007-1A, A2, 144A, FRN, 0.358%, 12/10/43 † IRL USD 1,622,691 0.10 1,603,689 N-Star Real Estate CDO Ltd., 2006-6A, A1, 144A, FRN, 0.573%, 06/16/41 † CYM USD 1,581,799 0.10 1,640,000 Cent CDO XI Ltd., 2006-11A, B, 144A, FRN, 1.033%, 04/25/19 † USA USD 1,565,757 0.09 1,583,008 MASTR Adjustable Rate Mortgages Trust, 2007-1, I2A2, FRN,

0.33%, 01/25/47 † USA USD 1,564,214 0.09 1,577,174 Residential Asset Securities Corp., 2006-KS7, A3, FRN, 0.32%, 09/25/36 † USA USD 1,537,715 0.09 1,491,050 ABSC Manufactured Housing Contract Resecuritization Trust, 2004-0K1, A4,

144A, 5.019%, 04/16/30 USA USD 1,509,204 0.09 1,509,744 Wells Fargo Mortgage Backed Securities Trust, 2005-AR10, 2A3, FRN,

2.616%, 06/25/35 † USA USD 1,500,204 0.09 1,500,000 Chase Issuance Trust, 2007-A2, A2, FRN, 0.211%, 04/15/19 † USA USD 1,492,350 0.09 1,480,559 Ameriquest Mortgage Securities Inc. Asset-Backed Pass-Through Certificates,

2004-R7, A1, FRN, 0.61%, 08/25/34 † USA USD 1,481,194 0.09 1,450,000 Wells Fargo Home Equity Trust Mortgage Pass-Through Certificates,

2004-1, A3, FRN, 0.54%, 04/25/34 † USA USD 1,386,112 0.08


Number of shares or



Marketvalue

% ofnet

assets





Asset-Backed Securities (continued) 1,470,634 WaMu Mortgage Pass-Through Certificates, 2005-AR8, 1A1A, FRN,

0.44%, 07/25/45 † USA USD 1,373,824 0.08 1,365,043 Wells Fargo Mortgage Backed Securities Trust, 2004-I, 2A1,

FRN, 2.654%, 06/25/34 † USA USD 1,365,609 0.08 1,373,046 Ameriquest Mortgage Securities Inc. Asset-Backed Pass-Through Certificates,

2004-R4, M1, FRN, 0.995%, 06/25/34 † USA USD 1,345,861 0.08 1,300,000 LB-UBS Commercial Mortgage Trust, 2006-C1, AJ, FRN, 5.276%, 02/15/41 † USA USD 1,332,734 0.08 1,308,249 Granite Master Issuer PLC, 2006-2, A4, FRN, 0.245%, 12/20/54 † GBR USD 1,298,176 0.08 1,358,550 Sequoia Mortgage Trust, 2003-4, 1A2, FRN, 0.987%, 07/20/33 † USA USD 1,283,429 0.08 1,330,000 Landmark IX CDO Ltd., 2007-9A, C, 144A, FRN, 0.931%, 04/15/21 † USA USD 1,283,423 0.08 1,258,565 Newcastle CDO IV Ltd., 2004-5A, 1, 144A, FRN, 0.576%, 12/24/39 † USA USD 1,236,905 0.08 1,108,485 FNMA, 5.00%, 01/01/39 USA USD 1,223,976 0.07 1,174,114 Holmes Master Issuer PLC, 2011-3A, A2, 144A, FRN, 1.781%, 10/15/54 † GBR USD 1,174,915 0.07 1,057,759 FNMA, 5.00%, 04/01/38 USA USD 1,167,965 0.07 1,079,235 FNMA, 4.00%, 07/01/19 USA USD 1,143,763 0.07 1,077,374 FNMA, 3.00%, 03/01/27 USA USD 1,123,089 0.07 1,100,000 Wachovia Bank Commercial Mortgage Trust, 2003-C7, F, 144A,

FRN, 5.004%, 10/15/35 † USA USD 1,108,822 0.07 1,106,684 Long Beach Mortgage Loan Trust, 2005-WL2, M1, FRN, 0.64%, 08/25/35 † USA USD 1,099,995 0.07 1,024,842 FHLMC, ARM, 2.378%, 10/01/36 USA USD 1,095,901 0.07 1,107,500 Eaton Vance CDO Ltd., 2014-1A, B, 144A, FRN, 2.285%, 07/15/26 † USA USD 1,078,074 0.07 1,083,014 Granite Master Issuer PLC, 2006-3, A3, FRN, 0.245%, 12/20/54 † GBR USD 1,075,629 0.07 1,078,220 Structured Asset Securities Corp., 2006-WF1, A5, FRN, 0.47%, 02/25/36 † USA USD 1,062,807 0.06 1,040,321 Countrywide Asset-Backed Certificates, 2004-7, MV3, FRN, 1.22%, 12/25/34 † USA USD 1,036,921 0.06 1,030,404 MASTR ARM Trust, 2007-3, 12A2, FRN, 0.37%, 05/25/47 † USA USD 1,016,531 0.06 933,237 FNMA, ARM, 2.278%, 02/01/37 USA USD 996,104 0.06 975,918 Silver Bay Realty Trust, 2014-1, A, 144A, FRN, 1.165%, 09/17/31 † USA USD 963,586 0.06 970,000 ColumbusNova CLO IV Ltd., 2007-2A, B, 144A, 1.481%, 10/15/21 USA USD 954,247 0.06 940,531 Mach One 2004-1A ULC, G, 144A, FRN, 6.82%, 05/28/40 † USA USD 940,578 0.06 948,500 Eaton Vance CDO Ltd., 2014-1A, C, 144A, FRN, 3.235%, 07/15/26 † USA USD 922,966 0.06 900,000 JPMorgan Chase Commercial Mortgage Securities Trust, 2005-LDP5, A,

FRN, 5.393%, 12/15/44 † USA USD 910,832 0.06 970,000 Argent Securities Inc., 2005-W2, A2C, FRN, 0.53%, 10/25/35 † USA USD 905,664 0.06 900,000 American Express Credit Account Master Trust, 2005-2, A,

FRN, 0.261%, 10/16/17 † USA USD 899,795 0.05 855,000 JPMorgan Chase Commercial Mortgage Securities Trust, 2006-LDP7, A4,

FRN, 5.873%, 04/15/45 † USA USD 893,395 0.05 870,000 LB-UBS Commercial Mortgage Trust, 2004-C7, H, 144A,

FRN, 5.239%, 10/15/36 † USA USD 892,851 0.05 894,773 Seawall SPC, 2006-1A, C1, 144A, FRN, 1.406%, 04/15/46 † USA USD 892,715 0.05 809,164 Residential Funding Mortgage Securities II, 2004-HI3, A5,

FRN, 5.48%, 06/25/34 † USA USD 840,452 0.05 826,341 Bayview Financial Acquisition Trust, 2004-D, M1, FRN, 0.80%, 08/28/44 † USA USD 827,773 0.05 810,000 Emerson Park CLO Ltd., 2013-1A, C2, 144A, 5.64%, 07/15/25 USA USD 821,745 0.05 851,305 GSAA Home Equity Trust, FRN, 0.54%, 06/25/35 † USA USD 819,666 0.05 860,927 Sequoia Mortgage Trust, 2003-4, 1A1, FRN, 0.785%, 07/20/33 † USA USD 813,311 0.05 753,794 FNMA, 4.00%, 07/01/25 USA USD 800,779 0.05 700,182 FHLMC, ARM, 2.158%, 08/01/35 USA USD 746,508 0.05 730,000 Highbridge Loan Management Ltd., 2013-2A, B2, 144A, 5.80%, 10/20/24 USA USD 735,658 0.04 733,518 Structured Asset Mortgage Investments Trust, 2003-AR2, A1,

FRN, 0.904%, 12/19/33 † USA USD 709,305 0.04 690,000 Park Place Securities Inc., 2005-WCW1, M1, FRN, 0.62%, 09/25/35 † USA USD 686,664 0.04 610,157 FNMA, 5.00%, 05/01/35 USA USD 676,096 0.04 625,000 Greenwich Capital Commercial Funding Corp., 2006-GG7, AM,

FRN, 6.014%, 07/10/38 † USA USD 659,215 0.04 630,225 FNMA, 3.00%, 12/01/27 USA USD 656,507 0.04 620,154 Wells Fargo Mortgage Backed Securities Trust, 2005-AR3, 2A1,

FRN, 2.644%, 03/25/35 † USA USD 625,888 0.04 646,449 WaMu Mortgage Pass-Through Certificates, 2005-AR8, 1A1A,

FRN, 0.46%, 07/25/45 † USA USD 608,554 0.04 600,000 Master Asset-Backed Securities Trust, 2004-HE1, M2,

FRN, 1.265%, 09/25/34 † USA USD 595,990 0.04 553,919 FHLMC, ARM, 2.425%, 06/01/34 USA USD 591,052 0.04 547,103 FHLMC, ARM, 2.37%, 02/01/36 USA USD 585,794 0.04 538,865 FHLMC, ARM, 2.266%, 06/01/35 USA USD 578,434 0.04 528,565 FNMA, ARM, 1.887%, 03/01/36 USA USD 563,642 0.03 563,635 Countrywide Asset-Backed Certificates, 2004-14, M1, FRN, 0.68%, 06/25/35 † USA USD 563,363 0.03 532,518 FHLMC, ARM, 1.917%, 07/01/24 USA USD 561,913 0.03 575,444 MLCC Mortgage Investors Inc., 2005-1, 2A2, FRN, 2.297%, 04/25/35 † USA USD 560,840 0.03 527,202 FNMA, ARM, 1.945%, 11/01/35 USA USD 556,281 0.03 483,917 FNMA, ARM, 2.293%, 06/01/36 USA USD 517,166 0.03 488,715 MASTR Alternative Loan Trust, 2004-4, 5A1, 5.50%, 04/25/19 USA USD 510,422 0.03 477,684 FNMA, ARM, 2.383%, 08/01/35 USA USD 507,468 0.03 453,552 FNMA, ARM, 2.087%, 08/01/33 USA USD 492,257 0.03 460,668 FNMA, ARM, 2.33%, 03/01/37 USA USD 490,839 0.03 455,114 FHLMC, ARM, 2.37%, 05/01/36 USA USD 487,896 0.03 461,199 MASTR Alternative Loan Trust, 2004-11, 2A1, FRN, 5.561%, 11/25/19 † USA USD 482,647 0.03 441,093 FNMA, ARM, 2.371%, 10/01/36 USA USD 472,166 0.03


Number of shares or



Marketvalue

% ofnet

assets






Asset-Backed Securities (continued) 477,324 Merrill Lynch Mortgage Investors Trust, 2003-A, 1A, FRN, 0.91%, 03/25/28 † USA USD 469,438 0.03 423,596 FNMA, 5.00%, 07/01/35 USA USD 468,466 0.03 427,219 FHLMC, ARM, 3.478%, 04/01/40 USA USD 458,641 0.03 429,830 FNMA, ARM, 2.445%, 04/01/36 USA USD 458,539 0.03 438,696 FNMA, 2005-122, FN, FRN, 0.52%, 01/25/36 † USA USD 437,586 0.03 440,000 Silver Bay Realty Trust, 2014-1, B, 144A, FRN, 1.615%, 09/17/31 † USA USD 433,763 0.03 416,981 MASTR Alternative Loan Trust, 2003-6, 2A1, 5.00%, 08/25/18 USA USD 432,605 0.03 405,339 FNMA, ARM, 2.625%, 05/01/34 USA USD 428,732 0.03 392,267 FNMA, ARM, 5.089%, 08/01/35 USA USD 426,867 0.03 395,454 FNMA, ARM, 2.415%, 06/01/35 USA USD 426,669 0.03 394,893 FNMA, ARM, 2.413%, 02/01/37 USA USD 423,376 0.03 440,422 Countrywide Asset-Backed Certificates, 2004-1, M1, FRN, 0.92%, 03/25/34 † USA USD 423,111 0.03 393,405 FNMA, ARM, 2.435%, 09/01/34 USA USD 422,539 0.03 389,478 FHLMC, ARM, 2.298%, 08/01/34 USA USD 417,443 0.03 385,563 FNMA, ARM, 2.329%, 03/01/36 USA USD 416,111 0.03 377,374 FHLMC, ARM, 2.255%, 11/01/35 USA USD 404,851 0.02 374,104 FHLMC, ARM, 2.606%, 09/01/35 USA USD 403,273 0.02 381,358 FHLMC, ARM, 4.592%, 01/01/35 USA USD 402,662 0.02 379,488 FNMA, ARM, 2.263%, 02/01/33 USA USD 401,906 0.02 368,933 FHLMC, ARM, 2.546%, 04/01/37 USA USD 394,668 0.02 366,008 FNMA, ARM, 1.835%, 01/01/33 USA USD 384,971 0.02 377,146 FNMA, ARM, 2.455%, 02/01/38 USA USD 379,921 0.02 375,644 Crest Ltd., 2003-2A, C2, 144A, 5.709%, 12/28/38 USA USD 378,206 0.02 355,203 FNMA, ARM, 2.152%, 05/01/37 USA USD 377,863 0.02 352,573 FNMA, ARM, 2.166%, 11/01/39 USA USD 377,330 0.02 361,560 FHLMC, ARM, 1.917%, 04/01/25 USA USD 377,000 0.02 348,447 FNMA, ARM, 1.96%, 03/01/35 USA USD 371,312 0.02 370,000 Mercedes-Benz Auto Lease Trust, 2013-A, A4, 0.72%, 12/17/18 USA USD 370,176 0.02 344,559 FNMA, ARM, 1.951%, 09/01/34 USA USD 367,985 0.02 344,914 FNMA, ARM, 1.885%, 01/01/36 USA USD 366,255 0.02 356,419 FNMA, ARM, 2.28%, 07/01/35 USA USD 366,058 0.02 340,779 FNMA, ARM, 2.492%, 01/01/27 USA USD 364,005 0.02 352,840 MASTR Alternative Loan Trust, 2003-1, 3A1, 5.00%, 02/25/18 USA USD 363,049 0.02 338,124 FHLMC, ARM, 4.754%, 05/01/38 USA USD 358,896 0.02 355,492 JPMorgan Mortgage Acquisition Corp., 2005-FLD1, M2,

FRN, 0.905%, 07/25/35 † USA USD 354,704 0.02 324,510 FNMA, ARM, 2.202%, 03/01/35 USA USD 346,548 0.02 322,180 FNMA, ARM, 2.30%, 01/01/36 USA USD 344,851 0.02 324,779 FNMA, ARM, 2.428%, 12/01/36 USA USD 342,696 0.02 368,056 Credit Suisse First Boston Mortgage Securities Corp., 2001-HE8, M1,

FRN, 1.22%, 02/25/31 † USA USD 340,293 0.02 328,745 MASTR Alternative Loan Trust, 2003-9, 1A1, 5.50%, 12/25/18 USA USD 339,994 0.02 312,830 FNMA, ARM, 1.766%, 01/01/35 USA USD 332,240 0.02 307,657 FNMA, ARM, 2.274%, 03/01/33 USA USD 328,622 0.02 322,497 Aames Mortgage Investment Trust, 2005-4, M1, FRN, 0.875%, 10/25/35 † USA USD 323,173 0.02 305,716 FHLMC, ARM, 5.181%, 02/01/38 USA USD 320,940 0.02 297,153 FNMA, ARM, 2.371%, 10/01/33 USA USD 320,166 0.02 320,000 Chase Issuance Trust, 2007-A8, A, FRN, 0.181%, 03/15/17 † USA USD 319,880 0.02 292,920 FHLMC, ARM, 2.348%, 03/01/33 USA USD 312,551 0.02 310,805 Anthracite Ltd., 2005-HY2A, A, 144A, FRN, 0.524%, 07/26/45 † CYM USD 311,209 0.02 293,318 FNMA, ARM, 2.63%, 05/01/33 USA USD 309,814 0.02 304,768 FNMA, 2005-58, FC, FRN, 0.42%, 07/25/35 † USA USD 306,520 0.02 286,666 Citigroup Mortgage Loan Trust Inc., 2006-WFH3, A3, FRN, 0.32%, 10/25/36 † USA USD 286,809 0.02 268,735 FHLMC, ARM, 3.317%, 09/01/40 USA USD 286,473 0.02 263,784 FHLMC, ARM, 2.375%, 07/01/36 USA USD 282,654 0.02 257,929 FHLMC, ARM, 2.233%, 07/01/36 USA USD 276,641 0.02 252,371 FNMA, ARM, 5.29%, 07/01/36 USA USD 271,227 0.02 265,556 FDIC Structured Sale Guaranteed Notes, 2010-S1, 1A, 144A,

FRN, 0.704%, 02/25/48 † USA USD 265,686 0.02 265,577 Park Place Securities Inc. Asset-Backed Pass-Through Certificates,

2004-MCW1, M1, FRN, 1.107%, 10/25/34 † USA USD 265,259 0.02 251,110 FNMA, ARM, 1.986%, 05/01/35 USA USD 263,882 0.02 245,575 FNMA, ARM, 2.189%, 12/01/35 USA USD 262,634 0.02 237,415 FHLMC, ARM, 2.393%, 04/01/36 USA USD 253,915 0.02 237,249 FNMA, ARM, 1.917%, 11/01/32 USA USD 245,686 0.02 232,096 FHLMC, ARM, 2.00%, 08/01/36 USA USD 244,815 0.02 227,250 FHLMC, ARM, 2.37%, 05/01/36 USA USD 244,044 0.01 225,169 FNMA, ARM, 2.477%, 06/01/36 USA USD 238,927 0.01 222,423 FNMA, ARM, 2.376%, 06/01/33 USA USD 237,900 0.01 221,642 FHLMC, ARM, 2.25%, 10/01/35 USA USD 235,540 0.01 218,348 FNMA, ARM, 1.668%, 04/01/27 USA USD 229,420 0.01 213,225 FNMA, ARM, 2.308%, 11/01/35 USA USD 228,872 0.01 222,224 FNMA, ARM, 3.016%, 07/01/30 USA USD 228,223 0.01 211,775 FHLMC, ARM, 2.33%, 12/01/36 USA USD 226,020 0.01 245,827 First Franklin Mortgage Loan Asset-Backed Certificates, 2001-FF2, A1,

FRN, 0.79%, 11/25/31 † USA USD 221,941 0.01 208,041 FHLMC, ARM, 2.301%, 05/01/35 USA USD 221,614 0.01 202,654 FHLMC, ARM, 2.379%, 05/01/37 USA USD 215,741 0.01

Number of shares or



Marketvalue

% ofnet

assets






Asset-Backed Securities (continued) 202,818 FHLMC, ARM, 2.318%, 03/01/39 USA USD 215,162 0.01 211,587 JPMorgan Mortgage Acquisition Corp., 2006-ACC1, A4,

FRN, 0.32%, 05/25/36 † USA USD 209,186 0.01 194,449 FHLMC, ARM, 2.406%, 02/01/37 USA USD 208,695 0.01 197,085 FHLMC, ARM, 4.173%, 03/01/38 USA USD 208,490 0.01 194,552 FNMA, ARM, 1.995%, 12/01/34 USA USD 206,392 0.01 185,097 FNMA, 5.00%, 06/01/38 USA USD 204,382 0.01 190,915 FHLMC, ARM, 3.408%, 06/01/25 USA USD 196,892 0.01 185,399 FHLMC, ARM, 2.25%, 08/01/29 USA USD 194,802 0.01 182,956 FHLMC, ARM, 2.146%, 12/01/35 USA USD 193,940 0.01 179,276 FNMA, ARM, 2.49%, 03/01/38 USA USD 192,984 0.01 178,169 FHLMC, ARM, 2.461%, 04/01/32 USA USD 189,917 0.01 189,371 JPMorgan Chase Commercial Mortgage Securities Trust,

2004-LN2, A2, 5.115%, 07/15/41 USA USD 189,655 0.01 174,089 FHLMC, ARM, 2.348%, 02/01/33 USA USD 185,549 0.01 171,300 FNMA, ARM, 2.397%, 06/01/36 USA USD 184,309 0.01 172,391 FHLMC, ARM, 4.997%, 03/01/38 USA USD 183,713 0.01 170,001 FHLMC, ARM, 2.37%, 03/01/36 USA USD 181,218 0.01 171,726 FNMA, ARM, 2.11%, 05/01/24 USA USD 180,570 0.01 170,270 FNMA, ARM, 2.02%, 04/01/36 USA USD 180,547 0.01 166,770 FNMA, ARM, 2.126%, 02/01/33 USA USD 176,818 0.01 163,837 FNMA, ARM, 2.49%, 02/01/35 USA USD 176,388 0.01 171,737 FNMA, ARM, 2.50%, 08/01/37 USA USD 176,081 0.01 165,496 FHLMC, ARM, 2.10%, 09/01/33 USA USD 174,622 0.01 160,909 FNMA, ARM, 1.137%, 12/01/37 USA USD 173,458 0.01 162,433 FNMA, ARM, 2.086%, 02/01/25 USA USD 172,823 0.01 162,431 FNMA, ARM, 2.29%, 01/01/33 USA USD 170,876 0.01 161,099 FNMA, ARM, 2.314%, 02/01/35 USA USD 168,888 0.01 156,249 FNMA, ARM, 2.408%, 03/01/38 USA USD 167,293 0.01 154,365 FHLMC, ARM, 2.455%, 02/01/37 USA USD 166,305 0.01 152,494 FNMA, ARM, 2.438%, 08/01/35 USA USD 161,634 0.01 155,992 FNMA, ARM, 2.50%, 02/01/30 USA USD 160,335 0.01 158,102 FNMA, ARM, 2.333%, 09/01/32 USA USD 159,413 0.01 146,486 FHLMC, ARM, 2.547%, 06/01/37 USA USD 157,846 0.01 149,398 FNMA, ARM, 1.787%, 06/01/35 USA USD 156,947 0.01 147,178 FNMA, ARM, 2.131%, 10/01/35 USA USD 156,530 0.01 143,226 FHLMC, ARM, 2.494%, 07/01/37 USA USD 153,564 0.01 142,280 FNMA, ARM, 2.348%, 07/01/35 USA USD 153,235 0.01 140,257 FHLMC, ARM, 2.712%, 03/01/35 USA USD 150,563 0.01 137,494 Vanderbilt Acquistion Loan Trust, 2002-1, M1, 7.33%, 05/07/32 USA USD 149,616 0.01 137,860 FHLMC, ARM, 2.301%, 02/01/34 USA USD 146,773 0.01 136,461 FHLMC, ARM, 2.415%, 09/01/36 USA USD 146,140 0.01 138,774 FNMA, ARM, 2.385%, 10/01/33 USA USD 145,839 0.01 135,793 FNMA, ARM, 2.621%, 03/01/36 USA USD 145,710 0.01 135,240 FNMA, ARM, 2.25%, 07/01/33 USA USD 145,344 0.01 135,807 FHLMC, ARM, 2.376%, 02/01/36 USA USD 143,392 0.01 136,949 FHLMC, ARM, 2.285%, 12/01/37 USA USD 142,939 0.01 139,361 FNMA, ARM, 2.372%, 12/01/28 USA USD 142,841 0.01 132,144 FHLMC, ARM, 4.833%, 12/01/34 USA USD 140,413 0.01 138,129 Anthracite Ltd., 2004-1A, BFL, 144A, FRN, 0.714%, 03/23/39 † CYM USD 137,894 0.01 132,201 FNMA, ARM, 1.481%, 02/01/44 USA USD 137,834 0.01 130,689 FHLMC, ARM, 2.375%, 11/01/34 USA USD 137,371 0.01 133,628 FNMA, ARM, 2.708%, 03/01/39 USA USD 136,989 0.01 140,452 Structured Asset Investment Loan Trust, 2003-BC12, 3A,

FRN, 0.91%, 11/25/33 † USA USD 136,043 0.01 125,752 FNMA, ARM, 4.426%, 02/01/38 USA USD 135,819 0.01 129,151 FHLMC, ARM, 2.34%, 10/01/29 USA USD 134,769 0.01 125,897 FHLMC, ARM, 2.331%, 12/01/34 USA USD 134,159 0.01 124,873 FNMA, ARM, 2.14%, 10/01/34 USA USD 132,772 0.01 124,992 FNMA, ARM, 2.393%, 09/01/33 USA USD 132,016 0.01 124,125 FHLMC, ARM, 2.564%, 04/01/30 USA USD 131,039 0.01 123,055 FHLMC, ARM, 2.385%, 06/01/37 USA USD 130,509 0.01 118,331 FNMA, ARM, 1.93%, 07/01/33 USA USD 125,794 0.01 118,647 FHLMC, ARM, 1.825%, 07/01/37 USA USD 124,387 0.01 115,471 FHLMC, ARM, 2.346%, 09/01/37 USA USD 123,359 0.01 117,880 FHLMC, ARM, 2.502%, 01/01/32 USA USD 121,058 0.01 117,353 FHLMC, ARM, 2.649%, 06/01/23 USA USD 120,317 0.01 115,707 FHLMC, ARM, 4.021%, 08/01/23 USA USD 118,688 0.01 111,900 FNMA, ARM, 1.967%, 11/01/35 USA USD 118,131 0.01 113,525 FHLMC, ARM, 2.29%, 12/01/23 USA USD 116,740 0.01 113,770 FNMA, ARM, 2.395%, 03/01/31 USA USD 116,654 0.01 109,643 FHLMC, ARM, 2.348%, 12/01/32 USA USD 115,806 0.01 110,289 FNMA, ARM, 2.50%, 07/01/33 USA USD 115,090 0.01 105,688 FNMA, ARM, 2.03%, 11/01/33 USA USD 112,651 0.01 103,868 FNMA, ARM, 2.05%, 02/01/33 USA USD 109,659 0.01 105,441 FNMA, ARM, 1.917%, 10/01/32 USA USD 108,422 0.01 98,528 FNMA, ARM, 2.091%, 07/01/34 USA USD 106,816 0.01 101,358 FHLMC, ARM, 2.071%, 11/01/21 USA USD 105,131 0.01

Number of shares or



Marketvalue

% ofnet

assets






Asset-Backed Securities (continued) 100,019 FNMA, ARM, 2.257%, 09/01/33 USA USD 105,104 0.01 102,452 FNMA, ARM, 2.26%, 10/01/43 USA USD 103,234 0.01 94,665 FNMA, ARM, 2.345%, 06/01/34 USA USD 101,657 0.01 93,419 FHLMC, ARM, 5.696%, 05/01/36 USA USD 99,855 0.01 94,375 FHLMC, ARM, 2.183%, 10/01/23 USA USD 99,344 0.01 91,303 FHLMC, ARM, 2.233%, 06/01/36 USA USD 97,792 0.01 96,769 FNMA, ARM, 1.46%, 04/01/32 USA USD 97,190 0.01 92,351 FHLMC, ARM, 2.464%, 12/01/30 USA USD 97,029 0.01 89,509 FHLMC, ARM, 2.678%, 02/01/37 USA USD 96,387 0.01 88,863 FNMA, ARM, 2.315%, 02/01/36 USA USD 95,174 0.01 87,909 FHLMC, ARM, 2.375%, 05/01/37 USA USD 94,372 0.01 87,935 FHLMC, ARM, 2.44%, 03/01/36 USA USD 94,239 0.01 89,729 GNMA, ARM, 1.625%, 08/20/29 USA USD 92,902 0.01 82,795 FHLMC, ARM, 4.87%, 04/01/38 USA USD 88,594 0.01 83,483 FNMA, ARM, 2.252%, 02/01/34 USA USD 88,521 0.01 85,936 Countryplace Manufactured Housing Contract Trust,

2005-A3, 144A, 4.80%, 12/15/35 USA USD 87,515 0.01 80,657 FHLMC, ARM, 2.375%, 06/01/37 USA USD 85,875 0.01 80,386 FHLMC, ARM, 2.35%, 10/01/33 USA USD 85,707 0.01 81,309 GNMA, ARM, 1.625%, 12/20/23 USA USD 84,176 0.01 79,311 FHLMC, ARM, 2.055%, 11/01/35 USA USD 83,541 0.01 80,617 FHLMC, ARM, 4.44%, 12/01/30 USA USD 81,555 0.01 79,022 GNMA, ARM, 1.625%, 11/20/24 USA USD 81,139 0.01 89,410 Chase Funding Mortgage Loan Asset-Backed Certificates, 2004-2, 2A2,

FRN, 0.67%, 02/25/35 † USA USD 79,769 0.01 75,240 FNMA, ARM, 1.513%, 09/01/40 USA USD 78,777 0.01 73,542 FHLMC, ARM, 2.375%, 07/01/34 USA USD 78,619 0.00 71,960 FNMA, ARM, 2.325%, 04/01/47 USA USD 75,073 0.00 69,745 FNMA, ARM, 2.073%, 11/01/36 USA USD 73,978 0.00 71,654 FHLMC, ARM, 1.962%, 03/01/24 USA USD 73,665 0.00 69,072 FNMA, ARM, 2.383%, 01/01/35 USA USD 73,616 0.00 66,631 FNMA, ARM, 2.145%, 02/01/31 USA USD 70,655 0.00 67,472 FHLMC, ARM, 2.584%, 11/01/20 USA USD 70,051 0.00 68,041 FHLMC, ARM, 2.233%, 07/01/36 USA USD 69,918 0.00 64,713 FNMA, ARM, 2.279%, 02/01/34 USA USD 69,117 0.00 66,319 GNMA, ARM, 1.625%, 07/20/32 USA USD 68,850 0.00 66,135 GNMA, ARM, 1.625%, 11/20/29 USA USD 68,662 0.00 64,091 FHLMC, ARM, 2.375%, 11/01/31 USA USD 67,904 0.00 65,101 GNMA, ARM, 1.625%, 04/20/28 USA USD 67,570 0.00 63,742 FNMA, ARM, 2.037%, 04/01/37 USA USD 67,165 0.00 63,142 FNMA, ARM, 2.318%, 04/01/36 USA USD 66,364 0.00 64,706 FNMA, ARM, 2.458%, 08/01/32 USA USD 66,042 0.00 61,464 FNMA, ARM, 3.647%, 02/01/30 USA USD 65,025 0.00 65,756 Morgan Stanley ABS Capital I Inc. Trust, 2004-HE6, A2,

FRN, 0.85%, 08/25/34 † USA USD 63,113 0.00 59,733 FNMA, ARM, 2.094%, 05/01/36 USA USD 63,025 0.00 58,694 FHLMC, ARM, 1.945%, 04/01/37 USA USD 61,982 0.00 58,145 FNMA, ARM, 2.194%, 11/01/36 USA USD 61,942 0.00 58,640 FNMA, ARM, 1.947%, 03/01/19 USA USD 61,805 0.00 59,667 FNMA, ARM, 1.313%, 08/01/42 USA USD 61,600 0.00 57,714 FNMA, ARM, 2.123%, 10/01/32 USA USD 61,231 0.00 56,185 FNMA, ARM, 2.32%, 07/01/37 USA USD 60,725 0.00 54,987 FNMA, ARM, 2.63%, 04/01/33 USA USD 58,336 0.00 57,111 FNMA, ARM, 2.666%, 03/01/18 USA USD 57,284 0.00 50,739 FNMA, ARM, 2.323%, 09/01/34 USA USD 53,917 0.00 50,011 FNMA, ARM, 2.078%, 07/01/35 USA USD 53,624 0.00 50,415 FNMA, ARM, 2.105%, 12/01/32 USA USD 53,447 0.00 49,362 FNMA, ARM, 2.455%, 02/01/36 USA USD 53,138 0.00 50,315 FNMA, ARM, 2.288%, 07/01/31 USA USD 52,245 0.00 49,279 FHLMC, ARM, 2.322%, 09/01/24 USA USD 50,869 0.00 47,634 FNMA, ARM, 1.973%, 07/01/20 USA USD 49,950 0.00 48,267 FHLMC, ARM, 2.085%, 04/01/24 USA USD 48,469 0.00 45,615 FHLMC, ARM, 2.585%, 08/01/37 USA USD 48,355 0.00 46,817 GNMA, ARM, 1.625%, 12/20/24 USA USD 48,097 0.00 43,775 FNMA, ARM, 2.393%, 05/01/33 USA USD 44,186 0.00 41,927 FHLMC, ARM, 3.657%, 07/01/21 USA USD 43,718 0.00 39,530 FHLMC, ARM, 2.515%, 01/01/37 USA USD 42,248 0.00 41,010 FNMA, ARM, 2.253%, 04/01/36 USA USD 41,305 0.00 37,706 FNMA, ARM, 2.34%, 07/01/33 USA USD 40,287 0.00 37,639 FHLMC, ARM, 2.358%, 06/01/31 USA USD 39,750 0.00 37,820 FNMA, ARM, 2.449%, 08/01/37 USA USD 39,467 0.00 38,298 GNMA, ARM, 3.50%, 02/20/21 USA USD 39,336 0.00 38,407 FHLMC, ARM, 5.595%, 02/01/28 USA USD 38,582 0.00 36,569 FNMA, ARM, 2.325%, 04/01/38 USA USD 38,179 0.00 36,935 FNMA, ARM, 2.723%, 10/01/25 USA USD 37,725 0.00 34,615 FNMA, ARM, 2.162%, 12/01/39 USA USD 36,694 0.00 34,438 FNMA, ARM, 2.625%, 10/01/28 USA USD 34,788 0.00 31,885 FNMA, ARM, 2.388%, 09/01/32 USA USD 34,158 0.00

Number of shares or



Marketvalue

% ofnet

assets






Asset-Backed Securities (continued) 33,053 FNMA, ARM, 4.477%, 09/01/25 USA USD 33,795 0.00 31,811 FNMA, ARM, 2.398%, 02/01/33 USA USD 32,995 0.00 30,591 FNMA, ARM, 2.42%, 08/01/34 USA USD 32,272 0.00 32,122 Green Tree Financial Corp., 1999-3, A7, 6.74%, 02/01/31 USA USD 32,198 0.00 30,616 FNMA, ARM, 2.40%, 07/01/27 USA USD 32,010 0.00 30,336 FHLMC, ARM, 2.356%, 10/01/23 USA USD 31,354 0.00 27,442 FNMA, ARM, 2.393%, 01/01/36 USA USD 29,252 0.00 27,853 FHLMC, ARM, 2.095%, 07/01/37 USA USD 29,102 0.00 28,495 FNMA, ARM, 2.357%, 02/01/30 USA USD 29,006 0.00 26,993 FNMA, ARM, 2.352%, 01/01/21 USA USD 28,820 0.00 25,277 FNMA, ARM, 2.005%, 08/01/31 USA USD 26,633 0.00 25,823 FHLMC, ARM, 2.408%, 07/01/31 USA USD 26,471 0.00 25,725 FNMA, ARM, 2.075%, 09/01/31 USA USD 26,460 0.00 24,846 FHLMC, ARM, 2.25%, 01/01/37 USA USD 25,422 0.00 22,876 FHLMC, ARM, 2.388%, 02/01/36 USA USD 24,365 0.00 23,170 FNMA, ARM, 2.125%, 12/01/31 USA USD 24,234 0.00 21,997 FHLMC, ARM, 2.293%, 08/01/31 USA USD 23,331 0.00 21,116 FNMA, ARM, 1.513%, 08/01/40 USA USD 21,880 0.00 19,300 FNMA, ARM, 2.277%, 06/01/34 USA USD 20,782 0.00 19,399 FNMA, ARM, 2.436%, 04/01/24 USA USD 20,186 0.00 19,103 FNMA, ARM, 1.737%, 10/01/32 USA USD 20,076 0.00 67,770 First Plus Home Loan Trust, 1998-5, M1, FRN, 7.42%, 12/10/24 †* USA USD 19,457 0.00 17,343 FNMA, ARM, 2.415%, 08/01/32 USA USD 17,976 0.00 17,426 FNMA, ARM, 2.456%, 04/01/33 USA USD 17,934 0.00 17,263 FNMA, ARM, 4.22%, 04/01/18 USA USD 17,427 0.00 16,041 FNMA, ARM, 1.829%, 06/01/35 USA USD 17,128 0.00 15,865 FHLMC, ARM, 2.476%, 12/01/31 USA USD 16,321 0.00 15,542 FHLMC, ARM, 2.401%, 09/01/30 USA USD 16,218 0.00 18,082 Argent Securities Inc., 2004-W1, AV2, FRN, 0.81%, 03/25/34 † USA USD 15,911 0.00 15,307 FNMA, ARM, 3.222%, 01/01/33 USA USD 15,757 0.00 15,179 FNMA, ARM, 5.383%, 02/01/38 USA USD 15,516 0.00 13,972 FNMA, ARM, 2.372%, 05/01/36 USA USD 14,933 0.00 13,705 FNMA, ARM, 1.731%, 05/01/32 USA USD 14,599 0.00 13,718 FHLMC, ARM, 2.097%, 08/01/25 USA USD 13,766 0.00 12,415 FNMA, ARM, 5.07%, 09/01/35 USA USD 13,342 0.00 12,175 FHLMC, ARM, 2.356%, 08/01/23 USA USD 12,648 0.00 12,585 FNMA, ARM, 2.305%, 12/01/27 USA USD 12,647 0.00 11,458 FNMA, ARM, 2.396%, 05/01/27 USA USD 11,785 0.00 10,165 FNMA, ARM, 2.249%, 04/01/33 USA USD 10,865 0.00 10,760 FNMA, ARM, 2.723%, 10/01/27 USA USD 10,859 0.00 10,138 FHLMC, ARM, 2.526%, 07/01/29 USA USD 10,576 0.00 10,231 FNMA, ARM, 2.597%, 12/01/29 USA USD 10,562 0.00 10,097 FHLMC, ARM, 2.563%, 02/01/31 USA USD 10,348 0.00 8,398 FNMA, ARM, 2.93%, 03/01/36 USA USD 8,995 0.00 8,295 FNMA, ARM, 2.435%, 08/01/33 USA USD 8,864 0.00 7,846 FHLMC, ARM, 2.349%, 11/01/29 USA USD 8,187 0.00 7,692 FNMA, ARM, 2.19%, 03/01/37 USA USD 7,969 0.00 7,827 First Plus Home Loan Trust, 1998-1, M1, 6.95%, 01/10/24 * USA USD 7,931 0.00 7,377 FNMA, ARM, 2.318%, 11/01/34 USA USD 7,893 0.00 7,193 FHLMC, ARM, 2.348%, 04/01/33 USA USD 7,654 0.00 7,219 FNMA, ARM, 1.356%, 04/01/37 USA USD 7,564 0.00 7,182 FHLMC, ARM, 2.54%, 05/01/29 USA USD 7,474 0.00 7,186 FNMA, ARM, 2.122%, 11/01/32 USA USD 7,386 0.00 6,855 FHLMC, ARM, 5.961%, 12/01/36 USA USD 7,127 0.00 6,577 FHLMC, ARM, 2.042%, 03/01/18 USA USD 6,773 0.00 6,159 FNMA, ARM, 2.333%, 03/01/35 USA USD 6,509 0.00 5,770 FNMA, ARM, 2.249%, 09/01/27 USA USD 5,801 0.00 5,704 FHLMC, ARM, 2.357%, 07/01/31 USA USD 5,749 0.00 10,459 Structured Asset Investment Loan Trust, 2003-BC2, M3,

FRN, 5.045%, 04/25/33 † USA USD 5,303 0.00 5,214 FNMA, ARM, 2.63%, 10/01/32 USA USD 5,246 0.00 4,918 FNMA, ARM, 1.93%, 06/01/33 USA USD 5,200 0.00 4,389 FNMA, ARM, 2.258%, 06/01/36 USA USD 4,756 0.00 4,447 FNMA, ARM, 3.32%, 04/01/41 USA USD 4,691 0.00 4,679 Asset-Backed Securities Corp. Home Equity Loan Trust, 2004-HE7, A4,

FRN, 1.17%, 10/25/34 † USA USD 4,427 0.00 3,788 FNMA, ARM, 2.025%, 11/01/33 USA USD 3,882 0.00 3,625 FHLMC, ARM, 2.395%, 11/01/27 USA USD 3,645 0.00 3,456 Residential Asset Securities Corp., 2005-AHL2, A2, FRN, 0.43%, 10/25/35 † USA USD 3,462 0.00 3,454 Countrywide Asset-Backed Certificates, 2003-BC3, A2, FRN, 0.79%, 09/25/33 † USA USD 3,306 0.00 2,721 FNMA, ARM, 2.351%, 05/01/36 USA USD 2,953 0.00 2,678 FNMA, ARM, 2.252%, 03/01/25 USA USD 2,857 0.00 2,140 FHLMC, ARM, 1.625%, 01/01/17 USA USD 2,176 0.00 1,348 Asset-Backed Securities Corp. Home Equity Loan Trust, 2004-HE7, A2,

FRN, 0.93%, 10/25/34 † USA USD 1,239 0.00

548,578,185 33.12

Number of shares or



Marketvalue

% ofnet

assets






Corporate Bonds 12,500,000 Australia & New Zealand Banking Group Ltd., senior note, 1.25%, 01/10/17 AUS USD 12,516,437 0.76 11,000,000 Morgan Stanley, senior note, FRN, 1.514%, 04/25/18 † USA USD 11,184,052 0.68 11,000,000 Wachovia Corp., sub. note, FRN, 0.601%, 10/15/16 † USA USD 10,960,389 0.66 10,000,000 Constellation Brands Inc., senior note, A, 7.25%, 09/01/16 USA USD 10,825,000 0.65 10,000,000 DISH DBS Corp., senior note, 7.125%, 02/01/16 USA USD 10,537,500 0.64 10,000,000 JPMorgan Chase & Co., senior note, 2.20%, 10/22/19 USA USD 9,924,980 0.60 9,600,000 Fifth Third Bank, senior note, FRN, 0.742%, 11/18/16 † USA USD 9,624,787 0.58 8,300,000 CNOOC Nexen Finance 2014 ULC, senior note, 1.625%, 04/30/17 CHN USD 8,264,650 0.50 8,000,000 Oracle Corp., senior note, FRN, 0.811%, 01/15/19 † USA USD 8,065,208 0.49 7,500,000 Prudential Financial Inc., senior note, FRN, 1.012%, 08/15/18 † USA USD 7,552,005 0.46 7,500,000 Statoil ASA, senior note, FRN, 0.692%, 11/08/18 † NOR USD 7,510,987 0.45 7,000,000 Hospitality Properties Trust, senior note, 5.625%, 03/15/17 USA USD 7,501,718 0.45 7,000,000 The Export-Import Bank of China, senior note, 144A, 2.50%, 07/31/19 CHN USD 6,987,995 0.42 6,500,000 Kinder Morgan Finance Co. LLC, senior bond, 5.70%, 01/05/16 USA USD 6,749,353 0.41 6,600,000 Bayer US Finance LLC, senior note, 144A, 2.375%, 10/08/19 DEU USD 6,633,607 0.40 6,400,000 Bank of America Corp., senior note, FRN, 1.271%, 01/15/19 † USA USD 6,497,293 0.39 6,400,000 United Overseas Bank Ltd., senior note, Reg S, 2.50%, 03/18/20 SGP USD 6,438,784 0.39 6,200,000 Capital One Bank USA NA, senior note, 2.30%, 06/05/19 USA USD 6,158,367 0.37 6,000,000 Citigroup Inc., sub. note, FRN, 0.506%, 06/09/16 † USA USD 5,944,716 0.36 4,600,000 Banco Popular Espanol SA, secured note, Reg S, 2.125%, 10/08/19 ESP EUR 5,927,595 0.36 5,800,000 Sysco Corp., senior note, 1.45%, 10/02/17 USA USD 5,797,918 0.35 5,500,000 HCP Inc., senior note, 3.75%, 02/01/19 USA USD 5,777,678 0.35 5,700,000 CNPC General Capital Ltd., senior note, 144A, FRN, 1.133%, 05/14/17 † HKG USD 5,699,287 0.34 5,600,000 Maxim Integrated Products Inc., senior note, 2.50%, 11/15/18 USA USD 5,592,507 0.34 5,500,000 Coca-Cola Femsa SAB de CV, senior note, 2.375%, 11/26/18 MEX USD 5,522,055 0.33 5,200,000 Boston Properties LP, senior note, 3.70%, 11/15/18 USA USD 5,487,680 0.33 5,000,000 Centex Corp., senior note, 6.50%, 05/01/16 USA USD 5,333,500 0.32 5,000,000 New York Life Global Funding, secured note, 144A, 2.10%, 01/02/19 USA USD 5,022,690 0.30 5,000,000 Metlife Inc., senior note, 1.903%, 12/15/17 USA USD 5,013,785 0.30 5,000,000 New York Life Global Funding, secured note, 144A, 2.15%, 06/18/19 USA USD 4,995,510 0.30 4,100,000 UniCredit SpA, senior note, Reg S, FRN, 1.03%, 04/10/17 † ITA EUR 4,984,366 0.30 5,000,000 Bank of America NA, sub. note, FRN, 0.521%, 06/15/16 † USA USD 4,968,000 0.30 5,000,000 Korea Exchange Bank, senior note, Reg S, 2.00%, 04/02/18 KOR USD 4,958,200 0.30 4,800,000 American Tower Corp., senior note, 3.40%, 02/15/19 USA USD 4,890,197 0.30 3,900,000 Bankinter SA, senior note, Reg S, 1.75%, 06/10/19 ESP EUR 4,883,622 0.30 5,000,000 Beazer Homes USA Inc., senior note, 5.75%, 06/15/19 USA USD 4,812,500 0.29 5,300,000 Petrobras Global Finance BV, senior note, FRN, 3.123%, 03/17/20 † BRA USD 4,807,444 0.29 3,700,000 Unione di Banche Italiane SCpA, senior note, Reg S, 2.875%, 02/18/19 ITA EUR 4,775,347 0.29 4,600,000 Kinder Morgan Inc., senior note, 3.05%, 12/01/19 USA USD 4,568,587 0.28 4,500,000 NBCUniversal Enterprise Inc., 144A, FRN, 0.916%, 04/15/18 † USA USD 4,541,098 0.27 4,500,000 Svenska Handelsbanken AB, senior note, FRN, 0.733%, 06/17/19 † SWE USD 4,511,407 0.27 4,300,000 Intesa Sanpaolo SpA, senior note, 3.875%, 01/16/18 ITA USD 4,478,665 0.27 3,500,000 Banco Popolare Societa Cooperativa, senior note, Reg S, 4.75%, 03/31/16 ITA EUR 4,460,302 0.27 3,500,000 Banco Santander Totta SA, secured note, 1.50%, 04/03/17 PRT EUR 4,331,918 0.26 4,300,000 Regions Financial Corp., senior note, 2.00%, 05/15/18 USA USD 4,261,622 0.26 4,100,000 Woori Bank, sub.note, 144A, 4.75%, 04/30/24 KOR USD 4,250,203 0.26 4,100,000 Becton Dickinson & Co., senior note, 2.675%, 12/15/19 USA USD 4,158,708 0.25 4,100,000 TIAA Asset Management Finance LLC, senior note, 144A, 2.95%, 11/01/19 USA USD 4,112,521 0.25 4,100,000 Credit Suisse New York, senior note, FRN, 0.724%, 05/26/17 † CHE USD 4,097,417 0.25 4,100,000 Alibaba Group Holding Ltd., senior note, 144A, 2.50%, 11/28/19 CHN USD 4,045,039 0.24 4,000,000 Celgene Corp., senior note, 2.30%, 08/15/18 USA USD 4,036,520 0.24 4,000,000 Industrial & Commercial Bank of China Ltd./New York, 3.231%, 11/13/19 CHN USD 4,031,980 0.24 4,000,000 Citigroup Inc., senior note, FRN, 1.003%, 04/08/19 † USA USD 4,019,184 0.24 4,000,000 Altria Group Inc., senior note, 2.625%, 01/14/20 USA USD 4,016,236 0.24 4,000,000 Walgreens Boots Alliance Inc., senior note, 1.75%, 11/17/17 USA USD 4,012,996 0.24 4,000,000 Royal Bank of Canada, senior note, FRN, 0.605%, 03/08/16 † CAN USD 4,008,092 0.24 4,000,000 Freeport-McMoRan Copper & Gold Inc., senior note, 2.30%, 11/14/17 USA USD 4,007,852 0.24 3,800,000 Carnival Corp., senior note, 3.95%, 10/15/20 USA USD 3,986,740 0.24 3,619,000 The New York Times Co., senior note, 6.625%, 12/15/16 USA USD 3,917,567 0.24 3,800,000 BNP Paribas SA, senior note, 2.70%, 08/20/18 FRA USD 3,885,500 0.24 3,500,000 Tenneco Packaging Inc., senior note, 8.125%, 06/15/17 USA USD 3,806,250 0.23 2,750,000 Banco Comercial Portugues SA, 4.75%, 06/22/17 PRT EUR 3,635,310 0.22 3,600,000 Amgen Inc., senior note, FRN, 0.833%, 05/22/19 † USA USD 3,603,748 0.22 3,500,000 Kraft Foods Group Inc., senior note, 2.25%, 06/05/17 USA USD 3,560,046 0.22 3,500,000 U.S. Bank NA, sub. note, 3.778% to 04/29/18, FRN thereafter, 04/29/20 USA USD 3,531,724 0.21 3,400,000 Telefonica Emisiones SAU, senior note, 3.192%, 04/27/18 ESP USD 3,514,852 0.21 3,500,000 American Express Credit Corp., senior note, 1.55%, 09/22/17 USA USD 3,509,419 0.21 3,500,000 JPMorgan Chase Bank NA, sub. note, FRN, 0.571%, 06/13/16 † USA USD 3,486,413 0.21 3,500,000 AIA Group Ltd., senior note, Reg S, 1.75%, 03/13/18 HKG USD 3,455,358 0.21 2,800,000 Banca Monte dei Paschi di Siena SpA, senior note, Reg S, 3.625%, 04/01/19 ITA EUR 3,436,702 0.21 3,000,000 Sprint Nextel Corp., senior note, 144A, 9.00%, 11/15/18 USA USD 3,419,700 0.21 2,500,000 Banca Monte dei Paschi di Siena SpA, secured note, Reg S, 2.875%, 04/16/21 ITA EUR 3,299,141 0.20 3,300,000 Hutchison Whampoa International 14 Ltd., 144A, 1.625%, 10/31/17 HKG USD 3,275,019 0.20 3,000,000 Lennar Corp., senior note, B, 6.50%, 04/15/16 USA USD 3,172,500 0.19 2,000,000 Yorkshire Building Society, secured note, Reg S, FRN, 2.31%, 03/23/16 † GBR GBP 3,172,282 0.19 3,000,000 USG Corp., senior note, 6.30%, 11/15/16 USA USD 3,165,000 0.19 3,000,000 Gilead Sciences Inc., senior note, 3.05%, 12/01/16 USA USD 3,115,308 0.19 3,000,000 Peabody Energy Corp., senior note, 7.375%, 11/01/16 USA USD 3,097,500 0.19

Number of shares or



Marketvalue

% ofnet

assets






Corporate Bonds (continued) 3,000,000 Korea Western Power Co. Ltd., senior note, 144A, 3.125%, 05/10/17 KOR USD 3,089,220 0.19 3,000,000 Reynolds Group Issuer Inc./LLC/SA, senior note, 8.50%, 05/15/18 USA USD 3,075,000 0.19 3,000,000 Amgen Inc., senior note, 2.125%, 05/15/17 USA USD 3,041,295 0.18 3,000,000 Laboratory Corp. of America Holdings, 2.20%, 08/23/17 USA USD 3,028,323 0.18 3,000,000 General Motors Financial Co. Inc., senior note, 2.625%, 07/10/17 USA USD 3,015,024 0.18 3,000,000 Glencore Funding LLC, 144A, 3.125%, 04/29/19 CHE USD 3,013,650 0.18 3,000,000 CBS Corp., 1.95%, 07/01/17 USA USD 3,011,385 0.18 3,000,000 Sinopec Group Overseas Development 2013 Ltd.,

senior note, 144A, 2.50%, 10/17/18 CHN USD 3,002,205 0.18 3,000,000 Aetna Inc., senior note, 1.50%, 11/15/17 USA USD 2,978,895 0.18 3,000,000 Chesapeake Energy Corp., senior note, FRN, 3.481%, 04/15/19 † USA USD 2,947,500 0.18 3,000,000 State Grid Overseas Investment 2013 Ltd., senior note, 144A, 1.75%, 05/22/18 CHN USD 2,946,375 0.18 2,900,000 Tyson Foods Inc., senior note, 2.65%, 08/15/19 USA USD 2,929,528 0.18 3,400,000 LUKOIL International Finance BV, senior note, 144A, 3.416%, 04/24/18 RUS USD 2,927,485 0.18 2,000,000 The Royal Bank of Scotland PLC, sub. note, 6.934%, 04/09/18 GBR EUR 2,793,587 0.17 2,700,000 Canadian Natural Resources Ltd., senior note, 1.75%, 01/15/18 CAN USD 2,686,298 0.16 2,700,000 Viacom Inc., senior note, 2.20%, 04/01/19 USA USD 2,664,228 0.16 2,600,000 Union Bank NA, senior note, FRN, 1.005%, 09/26/16 † USA USD 2,614,448 0.16 2,500,000 Eastman Chemical Co., 2.40%, 06/01/17 USA USD 2,540,665 0.15 2,500,000 Alcatel-Lucent USA Inc., senior note, 144A, 4.625%, 07/01/17 FRA USD 2,537,500 0.15 2,400,000 Zoetis Inc., senior note, 1.15%, 02/01/16 USA USD 2,398,894 0.15 2,400,000 Sinopec Group Overseas Development 2014 Ltd.,

senior note, 144A, 1.75%, 04/10/17 CHN USD 2,393,592 0.14 2,200,000 ING Bank NV, senior note, 144A, FRN, 0.925%, 10/01/19 † NLD USD 2,207,865 0.13 2,200,000 Ford Motor Credit Co. LLC, senior note, FRN, 0.755%, 09/08/17 † USA USD 2,186,294 0.13 2,200,000 John Deere Capital Corp., senior note, 1.30%, 03/12/18 USA USD 2,178,469 0.13 2,000,000 Kinder Morgan Finance Co. LLC, senior secured note, 144A, 6.00%, 01/15/18 USA USD 2,177,600 0.13 2,200,000 EnLink Midstream Partners LP, senior note, 2.70%, 04/01/19 USA USD 2,168,582 0.13 2,000,000 CIT Group Inc., senior note, 5.25%, 03/15/18 USA USD 2,090,000 0.13 2,000,000 ArcelorMittal, senior note, 3.75%, 03/01/16 LUX USD 2,060,000 0.12 2,000,000 BG Energy Capital PLC, senior note, 144A, 2.875%, 10/15/16 GBR USD 2,050,880 0.12 2,000,000 Experian Finance PLC, 144A, 2.375%, 06/15/17 GBR USD 2,016,580 0.12 2,000,000 Lorillard Tobacco Co., senior note, 2.30%, 08/21/17 USA USD 2,014,184 0.12 2,000,000 Ford Motor Credit Co. LLC, senior note, 2.375%, 01/16/18 USA USD 2,013,052 0.12 2,000,000 Metropolitan Life Global Funding I, secured note, 144A, 1.30%, 04/10/17 USA USD 1,998,482 0.12 2,000,000 CNPC General Capital Ltd., senior note, 144A, 1.95%, 04/16/18 HKG USD 1,966,000 0.12 2,000,000 The Boeing Co., senior note, 0.95%, 05/15/18 USA USD 1,957,218 0.12 1,800,000 PNC Funding Corp., senior note, 2.70%, 09/19/16 USA USD 1,849,723 0.11 1,800,000 Constellation Brands Inc., senior note, 3.875%, 11/15/19 USA USD 1,818,000 0.11 1,200,000 Casino Guichard Perrachon SA, senior note, Reg S, 3.311%, 01/25/23 FRA EUR 1,631,779 0.10 1,600,000 Seven and Seven Ltd., senior note, 144A, FRN, 1.395%, 09/11/19 † KOR USD 1,599,842 0.10 1,600,000 Zoetis Inc., senior note, 1.875%, 02/01/18 USA USD 1,586,906 0.10 1,500,000 Hyundai Capital America, senior note, Reg S, 4.00%, 06/08/17 KOR USD 1,572,045 0.10 1,500,000 Cemex SAB de CV, senior secured note, 144A, 9.00%, 01/11/18 MEX USD 1,569,375 0.10 1,500,000 Viacom Inc., 2.75%, 12/15/19 USA USD 1,504,674 0.09 1,500,000 Anthem Inc., senior note, 1.875%, 01/15/18 USA USD 1,500,792 0.09 1,500,000 Pricoa Global Funding I, secured note, 144A, 1.15%, 11/25/16 USA USD 1,498,233 0.09 1,500,000 Mondelez International Inc., senior note, FRN, 0.752%, 02/01/19 † USA USD 1,484,748 0.09 1,500,000 Edcon Pty. Ltd., senior secured note, Reg S, 9.50%, 03/01/18 ZAF EUR 1,463,344 0.09 1,172,000 UniCredit SpA, senior note, FRN, 2.088%, 10/31/17 † ITA EUR 1,444,072 0.09 170,000,000 Depfa ACS Bank, secured bond, 1.65%, 12/20/16 IRL JPY 1,442,895 0.09 1,400,000 Navient Corp., senior note, 5.50%, 01/15/19 USA USD 1,435,000 0.09 1,400,000 Enterprise Products Operating LLC, senior note, 2.55%, 10/15/19 USA USD 1,387,453 0.08 1,400,000 Petrofac Ltd., senior note, 144A, 3.40%, 10/10/18 GBR USD 1,357,468 0.08 1,300,000 Intesa Sanpaolo SpA, senior note, 2.375%, 01/13/17 ITA USD 1,310,894 0.08 1,500,000 California Resources Corp., senior note, 144A, 5.50%, 09/15/21 USA USD 1,290,000 0.08 1,500,000 Linn Energy LLC/Finance Corp., senior note, 6.25%, 11/01/19 USA USD 1,282,500 0.08 1,200,000 The Export-Import Bank of Korea, senior note, FRN, 0.98%, 01/14/17 † KOR USD 1,204,596 0.07 1,200,000 FMG Resources (August 2006) Pty. Ltd., senior note, 144A, 6.00%, 04/01/17 AUS USD 1,151,250 0.07 1,000,000 ArcelorMittal, senior note, 4.50%, 02/25/17 LUX USD 1,041,875 0.06 1,000,000 Aviation Capital Group Corp., senior note, 144A, 3.875%, 09/27/16 USA USD 1,025,875 0.06 1,000,000 The Southern Co., senior note, 2.45%, 09/01/18 USA USD 1,021,416 0.06 1,000,000 Edwards Lifesciences Corp., senior note, 2.875%, 10/15/18 USA USD 1,014,639 0.06 1,000,000 Ford Motor Credit Co. LLC, 2.50%, 01/15/16 USA USD 1,011,604 0.06 1,000,000 Duke Energy Corp., senior note, 2.10%, 06/15/18 USA USD 1,010,060 0.06 1,000,000 BB&T Corp., senior note, 2.05%, 06/19/18 USA USD 1,007,491 0.06 900,000 Navient Corp., senior note, 8.45%, 06/15/18 USA USD 1,005,750 0.06 1,000,000 CVS Health Corp., senior note, 1.20%, 12/05/16 USA USD 1,003,537 0.06 1,000,000 Apple Inc., FRN, 0.482%, 05/03/18 † USA USD 1,001,497 0.06 1,000,000 Time Warner Inc., senior note, 2.10%, 06/01/19 USA USD 986,234 0.06 800,000 Constellation Brands Inc., senior note, 7.25%, 05/15/17 USA USD 885,500 0.05 1,000,000 Clayton Williams Energy Inc., senior note, 7.75%, 04/01/19 USA USD 855,000 0.05 800,000 HCA Inc., senior secured note, first lien, 4.25%, 10/15/19 USA USD 813,000 0.05 888,889 FMG Resources (August 2006) Pty. Ltd., senior note, 144A, 6.875%, 02/01/18 AUS USD 811,667 0.05 1,000,000 Penn Virginia Corp., senior note, 8.50%, 05/01/20 USA USD 805,000 0.05 800,000 State Grid Overseas Investment 2014 Ltd., senior note, 144A, 2.75%, 05/07/19 CHN USD 804,178 0.05 700,000 Intesa Sanpaolo SpA, senior note, 3.875%, 01/15/19 ITA USD 726,744 0.04 600,000 Intesa Sanpaolo SpA, senior note, FRN, 0.229%, 05/18/17 † ITA EUR 716,773 0.04

Number of shares or



Marketvalue

% ofnet

assets






Corporate Bonds (continued) 700,000 CNPC HK Overseas Capital Ltd., senior note, 144A, 3.125%, 04/28/16 CHN USD 714,003 0.04 600,000 CIT Group Inc., 4.25%, 08/15/17 USA USD 613,500 0.04 500,000 Chesapeake Energy Corp., senior note, 6.50%, 08/15/17 USA USD 535,000 0.03 500,000 Hyundai Capital America, senior note, 144A, 4.00%, 06/08/17 KOR USD 524,015 0.03 300,000 Anheuser-Busch InBev NV, senior bond, Reg S, 2.875%, 09/25/24 BEL EUR 416,265 0.03 400,000 CIT Group Inc., senior note, 5.00%, 05/15/17 USA USD 416,000 0.03 300,000 Pernod Ricard SA, 2.125%, 09/27/24 FRA EUR 380,711 0.02 200,000 Veolia Environnement SA, senior bond, Reg S, 4.625%, 03/30/27 FRA EUR 317,653 0.02 300,000 Sanchez Energy Corp., senior note, 7.75%, 06/15/21 USA USD 280,500 0.02

554,975,514 33.51

Government and Municipal Bonds 12,300,000,000 Korea Treasury Bond, senior note, 3.00%, 12/10/16 KOR KRW 11,438,823 0.69 6,454,560 U.S. Treasury Note, Index Linked, 0.125%, 04/15/16 USA USD 6,436,410 0.39 22,444,000 Government of Poland, Strip, 01/25/16 POL PLN 6,223,089 0.38 6,000,000 University of California Revenues, Series Y-1, Monthly VRDN

and Put, 0.655%, 07/01/41 USA USD 6,011,460 0.36 592,000 Government of Mexico, 7.25%, 12/15/16 MEX MXN 4,287,985 0.26 4,000,000 Florida State Hurricane Catastrophe Fund Finance Corp.

Revenue, Series A, 2.107%, 07/01/18 USA USD 4,041,160 0.24 3,250,000 Rhode Island State and Providence Plantations GO, Consolidated Capital

Development Loan of 2012, Refunding, Series A, 5.00%, 08/01/19 USA USD 3,764,540 0.23 11,600,000 Government of Malaysia, senior note, 3.172%, 07/15/16 MYS MYR 3,299,357 0.20 382,720 Government of Mexico, 6.25%, 06/16/16 MEX MXN 2,695,183 0.16 2,250,000 Minnesota State GO, Series C, 2.50%, 08/01/18 USA USD 2,324,723 0.14 3,000,000 Government of Singapore, senior note, 1.125%, 04/01/16 SGP SGD 2,279,620 0.14 532,580,000 Government of Hungary, 5.50%, 12/22/16 HUN HUF 2,176,842 0.13 2,000,000 Acalanes UHSD, GO, Contra Costa County, Refunding, 1.427%, 08/01/18 USA USD 1,977,400 0.12 1,794,554 U.S. Treasury Note, Index Linked, 2.00%, 01/15/16 USA USD 1,821,682 0.11 398,380,000 Government of Hungary, A, 5.50%, 12/20/18 HUN HUF 1,670,491 0.10 1,600,000 Government of Serbia , senior note, 144A, 5.25%, 11/21/17 SER USD 1,644,592 0.10 1,390,000 Arkansas State GO, Four-Lane Highway Construction and

Improvement Bonds, 3.25%, 06/15/22 USA USD 1,505,898 0.09 1,000,000 Texas State PFAR, Southern University Financing System,

Refunding, BAM Insured, 5.00%, 11/01/20 USA USD 1,123,060 0.07 4,860,000 Puerto Rico Sales Tax FICO Sales Tax Revenue, Refunding, Series A,

NATL RE, FGIC Insured, zero cpn., 08/01/45 USA USD 697,993 0.04 500 Nota Do Tesouro Nacional, Index Linked, 6.00%, 08/15/18 BRA BRL 469,339 0.03 1,275,000 Government of Poland, 5.00%, 04/25/16 POL PLN 374,973 0.02 310,000 University of California Revenues, Series Y-2,

Monthly VRDN and Put, 0.656%, 07/01/41 USA USD 310,592 0.02 500,000 Puerto Rico Sales Tax FICO Sales Tax Revenue, Capital Appreciation,

Refunding, Series A, NATL Insured, zero cpn., 08/01/46 USA USD 67,390 0.01 5,040,000 Government of Hungary, A, 6.75%, 11/24/17 HUN HUF 21,559 0.00 1,430,000 Government of Hungary, A, 6.00%, 11/24/23 HUN HUF 6,503 0.00 1,090,000 Government of Hungary, 7.50%, 11/12/20 HUN HUF 5,076 0.00 1,040,000 Government of Hungary, A, 7.00%, 06/24/22 HUN HUF 4,889 0.00

66,680,629 4.03

Securities Maturing Within One Year 50,000,000 U.S. Treasury Bill, 0.00%, 01/02/15 USA USD 50,000,000 3.02 36,700,000 U.S. Treasury Note, 4.00%, 02/15/15 USA USD 36,874,912 2.23 36,100,000 U.S. Treasury Note, 2.375%, 02/28/15 USA USD 36,232,559 2.19 25,000,000 U.S. Treasury Bill, 0.00%, 02/05/15 USA USD 24,999,675 1.51 25,000,000 U.S. Treasury Bill, 0.00%, 03/05/15 USA USD 24,999,675 1.51 25,000,000 U.S. Treasury Bill, 0.00%, 03/12/15 USA USD 24,999,400 1.51 20,000,000 U.S. Treasury Bill, 0.00%, 04/02/15 USA USD 19,998,240 1.21 15,000,000 U.S. Treasury Bill, 0.00%, 01/15/15 USA USD 14,999,895 0.91 10,600,000 FNMA, 0.50%, 07/02/15 USA USD 10,609,657 0.64 9,840,000 Prudential Covered Trust, secured note, 144A, 2.997%, 09/30/15 USA USD 9,979,954 0.60 8,000,000 Springleaf Finance Corp., senior note, I, 5.40%, 12/01/15 USA USD 8,220,000 0.50 7,000,000 International Lease Finance Corp., senior note, 8.625%, 09/15/15 USA USD 7,315,000 0.44 6,500,000 Ford Motor Credit Co. LLC, senior note, 7.00%, 04/15/15 USA USD 6,612,600 0.40 6,000,000 Government of Hungary, 4.75%, 02/03/15 HUN USD 6,020,550 0.36 4,400,000 Intesa Sanpaolo SpA, senior note, Reg S, FRN, 1.588%, 07/29/15 † ITA EUR 5,356,050 0.32 5,000,000 Xstrata Finance Canada Ltd., secured note, 144A, 1.80%, 10/23/15 CHE USD 5,033,490 0.30 4,400,000 ING Bank NV, senior note, 144A, FRN, 1.895%, 09/25/15 † NLD USD 4,445,738 0.27 3,200,000 UniCredit SpA, senior note, Reg S, FRN, 1.634%, 07/24/15 † ITA EUR 3,894,458 0.24 534,690 Government of Mexico, 8.00%, 12/17/15 MEX MXN 3,787,865 0.23 3,500,000 Time Warner Inc., 3.15%, 07/15/15 USA USD 3,549,672 0.21 11,730,000 Government of Malaysia, 3.741%, 02/27/15 MYS MYR 3,356,930 0.20 3,045,000 Toll Brothers Finance Corp., senior note, 5.15%, 05/15/15 USA USD 3,083,063 0.19 3,000,000,000 Korea Monetary Stabilization Bond, senior bond, 2.47%, 04/02/15 KOR KRW 2,745,627 0.17 2,500,000 HCA Inc., senior bond, 7.19%, 11/15/15 USA USD 2,615,625 0.16 2,500,000 Anthem Inc., senior note, 1.25%, 09/10/15 USA USD 2,510,808 0.15 2,447,440,000 Korea Monetary Stabilization Bond, senior bond, 2.80%, 08/02/15 KOR KRW 2,247,006 0.14 2,000,000 U.S. Treasury Note, 4.125%, 05/15/15 USA USD 2,029,766 0.12

Number of shares or



Marketvalue

% ofnet

assets






Securities Maturing Within One Year (continued) 2,000,000 U.S. Treasury Note, 2.50%, 04/30/15 USA USD 2,015,976 0.12 2,000,000 U.S. Treasury Note, 2.50%, 03/31/15 USA USD 2,011,796 0.12 2,000,000 The Goldman Sachs Group Inc., 1.60%, 11/23/15 USA USD 2,011,192 0.12 2,000,000 U.S. Treasury Note, 0.375%, 04/15/15 USA USD 2,001,718 0.12 2,000,000 U.S. Treasury Note, 0.375%, 03/15/15 USA USD 2,001,406 0.12 6,030,000 Government of Malaysia, 3.835%, 08/12/15 MYS MYR 1,729,583 0.10 1,300,000 Reynolds American Inc., senior note, 1.05%, 10/30/15 USA USD 1,301,847 0.08 1,243,563 U.S. Treasury Note, Index Linked, 1.625%, 01/15/15 USA USD 1,241,620 0.07 3,905,000 Government of Malaysia, 3.197%, 10/15/15 MYS MYR 1,115,145 0.07 1,000,000 BB&T Corp., sub. note, 5.20%, 12/23/15 USA USD 1,040,287 0.06 3,540,000 Government of Malaysia, 4.72%, 09/30/15 MYS MYR 1,022,302 0.06 1,000,000 Morgan Stanley, senior note, FRN, 0.711%, 10/15/15 † USA USD 1,001,830 0.06 2,854,000 Government of Poland, 5.50%, 04/25/15 POL PLN 816,148 0.05 1,427,000 Government of Poland, 6.25%, 10/24/15 POL PLN 417,513 0.03 281,070,000 Korea Treasury Bond, senior note, 3.25%, 06/10/15 KOR KRW 258,274 0.02 223,990,000 Korea Treasury Bond, senior note, 2.75%, 12/10/15 KOR KRW 206,083 0.01 380,000 Government of Poland, Strip, 07/25/15 POL PLN 106,372 0.01 16,530,000 Government of Hungary, A, 8.00%, 02/12/15 HUN HUF 63,610 0.00 7,900 Government of Mexico, 6.00%, 06/18/15 MEX MXN 54,281 0.00 5,200,000 Government of Hungary, 7.75%, 08/24/15 HUN HUF 20,653 0.00

346,955,851 20.95

TOTAL BONDS 1,517,190,179 91.61



BONDS Corporate Bonds 1,300,000 GDF Suez, senior note, 144A, 1.625%, 10/10/17 FRA USD 1,300,357 0.08

TOTAL BONDS 1,300,357 0.08



† Floating Rates are indicated as at December 31, 2014 * These Corporate Bonds are currently in default

Number of shares or



Marketvalue

% ofnet

assets





— Franklin U.S. Opportunities Fund —

TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Banks 370,393 Signature Bank USA USD 46,654,702 1.04

Capital Goods 399,980 Precision Castparts Corp. USA USD 96,347,182 2.14 1,049,473 Flowserve Corp. USA USD 62,789,970 1.39 406,164 United Rentals Inc. USA USD 41,432,790 0.92 1,157,312 DigitalGlobe Inc. USA USD 35,841,953 0.80 216,903 Cummins Inc. USA USD 31,270,905 0.69 538,972 Hexcel Corp. USA USD 22,361,948 0.50

290,044,748 6.44

Commercial & Professional Service 403,164 IHS Inc., A USA USD 45,912,316 1.02

Consumer Durables & Apparel 970,424 Under Armour Inc., A USA USD 65,891,790 1.46 622,310 NIKE Inc., B USA USD 59,835,106 1.33 440,621 Harman International Industries Inc. USA USD 47,018,667 1.05 369,108 Michael Kors Holdings Ltd. USA USD 27,720,011 0.62 764,883 Kate Spade & Co. USA USD 24,483,905 0.54

224,949,479 5.00

Consumer Services 984,998 Starbucks Corp. USA USD 80,819,086 1.80 1,100,034 Las Vegas Sands Corp. USA USD 63,977,977 1.42 82,450 Chipotle Mexican Grill Inc. USA USD 56,437,850 1.25 187,802 Buffalo Wild Wings Inc. USA USD 33,875,725 0.75

235,110,638 5.22

Diversified Financials 1,806,353 The Charles Schwab Corp. USA USD 54,533,797 1.21 242,941 Affiliated Managers Group Inc. USA USD 51,561,798 1.14 108,030 BlackRock Inc. USA USD 38,627,207 0.86

144,722,802 3.21

Energy 723,521 Anadarko Petroleum Corp. USA USD 59,690,483 1.33 756,803 Diamondback Energy Inc. USA USD 45,241,683 1.00 408,918 Schlumberger Ltd. USA USD 34,925,686 0.78

139,857,852 3.11

Food, Beverage & Tobacco 421,045 Monster Beverage Corp. USA USD 45,620,226 1.01 436,390 Mead Johnson Nutrition Co., A USA USD 43,874,651 0.97 99,080 Boston Beer Inc., A USA USD 28,687,623 0.64

118,182,500 2.62

Health Care Equipment & Services 950,016 Envision Healthcare Holdings Inc. USA USD 32,956,055 0.73 1,326,022 HMS Holdings Corp. USA USD 28,032,105 0.62

60,988,160 1.35

Materials 548,662 LyondellBasell Industries NV, A USA USD 43,558,276 0.97 308,222 Martin Marietta Materials Inc. USA USD 34,003,051 0.76 903,871 Axalta Coating Systems Ltd. USA USD 23,518,724 0.52

101,080,051 2.25

Media 1,022,370 The Walt Disney Co. USA USD 96,297,030 2.14 536,640 DISH Network Corp., A USA USD 39,115,690 0.87 235,672 Liberty Broadband Corp., C USA USD 11,741,179 0.26

147,153,899 3.27

Pharmaceuticals, Biotechnology & Life Sciences 1,645,111 Celgene Corp. USA USD 184,022,116 4.09 629,633 Actavis PLC USA USD 162,073,831 3.60 1,134,688 Gilead Sciences Inc. USA USD 106,955,691 2.38 265,659 Biogen Idec Inc. USA USD 90,177,948 2.00 422,489 Perrigo Co. PLC USA USD 70,623,261 1.57 488,584 Valeant Pharmaceuticals International Inc. CAN USD 69,921,256 1.55 676,284 Medivation Inc. USA USD 67,364,649 1.50 336,963 Illumina Inc. USA USD 62,196,631 1.38 347,257 Jazz Pharmaceuticals PLC USA USD 56,856,389 1.26 411,395 Alnylam Pharmaceuticals Inc. USA USD 39,905,315 0.89 171,877 Allergan Inc. USA USD 36,539,331 0.81

Number of shares or



Marketvalue

% ofnet

assets





— Franklin U.S. Opportunities Fund —

Pharmaceuticals, Biotechnology & Life Sciences (continued) 1,353,100 VWR Corp. USA USD 35,004,697 0.78 924,328 Karyopharm Therapeutics Inc. USA USD 34,597,597 0.77 396,454 Incyte Corp. USA USD 28,984,752 0.64 1,014,606 Sagent Pharmaceuticals Inc. USA USD 25,476,757 0.57 1,311,345 Celldex Therapeutics Inc. USA USD 23,932,046 0.53

1,094,632,267 24.32

Real Estate 1,609,801 CBRE Group Inc. USA USD 55,135,684 1.23 342,444 American Tower Corp. USA USD 33,850,589 0.75 889,627 Outfront Media Inc. USA USD 23,877,589 0.53

112,863,862 2.51

Retailing 68,919 The Priceline Group Inc. USA USD 78,582,133 1.75 239,291 Amazon.com Inc. USA USD 74,263,962 1.65 704,501 Lowe’s Cos. Inc. USA USD 48,469,669 1.08 980,871 Tile Shop Holdings Inc. USA USD 8,710,134 0.19

210,025,898 4.67

Semiconductors & Semiconductor Equipment 599,871 Avago Technologies Ltd. SGP USD 60,341,024 1.34 725,240 NXP Semiconductors NV NLD USD 55,408,336 1.23 430,467 Texas Instruments Inc. USA USD 23,014,918 0.51 1,406,893 ARM Holdings PLC GBR GBP 21,819,594 0.49

160,583,872 3.57

Software & Services 1,815,495 MasterCard Inc., A USA USD 156,423,049 3.47 1,739,178 Facebook Inc., A USA USD 135,690,668 3.01 399,467 Visa Inc., A USA USD 104,740,247 2.33 167,389 Google Inc., A USA USD 88,826,647 1.97 117,806 Google Inc., C USA USD 62,013,078 1.38 755,294 Salesforce.com Inc. USA USD 44,796,487 1.00 373,513 Alibaba Group Holding Ltd., ADR CHN USD 38,822,941 0.86 487,718 Adobe Systems Inc. USA USD 35,457,099 0.79 501,586 ServiceNow Inc. USA USD 34,032,610 0.76 303,942 NetSuite Inc. USA USD 33,181,348 0.74 127,924 LinkedIn Corp., A USA USD 29,385,422 0.65 931,776 BroadSoft Inc. USA USD 27,040,140 0.60 464,815 Mobileye NV USA USD 18,852,896 0.42

809,262,632 17.98

Technology Hardware & Equipment 1,209,693 Apple Inc. USA USD 133,525,913 2.97 303,402 Palo Alto Networks Inc. USA USD 37,187,983 0.82 518,829 ViaSat Inc. USA USD 32,701,792 0.73 309,050 QUALCOMM Inc. USA USD 22,971,687 0.51 190,247 Ubiquiti Networks Inc. USA USD 5,638,921 0.12

232,026,296 5.15

Telecommunication Services 1,286,558 SBA Communications Corp. USA USD 142,499,164 3.17

Transportation 1,222,664 American Airlines Group Inc. USA USD 65,571,470 1.46 442,441 Kansas City Southern USA USD 53,991,075 1.20 228,659 Allegiant Travel Co. USA USD 34,374,308 0.76

153,936,853 3.42

TOTAL SHARES 4,470,487,991 99.32

RIGHTS Media 47,134 Liberty Broadband Corp., rts., 01/09/15 USA USD 447,773 0.01



TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET BONDS Securities Maturing Within One Year 22,500,000 U.S. Treasury Bill, 0.00%, 01/02/15 USA USD 22,500,000 0.50

TOTAL BONDS 22,500,000 0.50



Number of shares or



Marketvalue

% ofnet

assets





— Franklin U.S. Small-Mid Cap Growth Fund —

TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Consumer Discretionary 67,525 Jarden Corp. USA USD 3,233,097 1.28 4,300 Chipotle Mexican Grill Inc. USA USD 2,943,393 1.16 37,100 Marriott International Inc., A USA USD 2,894,913 1.14 15,700 Buffalo Wild Wings Inc. USA USD 2,831,966 1.12 22,300 Harman International Industries Inc. USA USD 2,379,633 0.94 141,200 KB Home USA USD 2,336,860 0.92 6,500 Netflix Inc. USA USD 2,220,465 0.88 44,300 Dick’s Sporting Goods Inc. USA USD 2,199,495 0.87 37,300 Tenneco Inc. USA USD 2,111,553 0.84 37,800 BorgWarner Inc. USA USD 2,077,110 0.82 12,000 Advance Auto Parts Inc. USA USD 1,911,360 0.76 24,100 Tractor Supply Co. USA USD 1,899,562 0.75 61,082 IMAX Corp. CAN USD 1,887,434 0.75 84,335 MGM Resorts International USA USD 1,803,082 0.71 10,300 Charter Communications Inc., A USA USD 1,716,186 0.68 24,300 Dollar Tree Inc. USA USD 1,710,234 0.68 36,200 Grand Canyon Education Inc. USA USD 1,689,092 0.67 18,800 L Brands Inc. USA USD 1,627,140 0.64 51,700 Wolverine World Wide Inc. USA USD 1,523,599 0.60 22,400 Under Armour Inc., A USA USD 1,520,960 0.60 29,900 Norwegian Cruise Line Holdings Ltd. USA USD 1,398,124 0.55 8,897 Wynn Resorts Ltd. USA USD 1,323,518 0.52 16,100 Nordstrom Inc. USA USD 1,278,179 0.51 38,900 Zoe’s Kitchen Inc. USA USD 1,163,499 0.46 27,000 Shutterfly Inc. USA USD 1,125,765 0.45 62,300 Global Eagle Entertainment Inc. USA USD 847,903 0.34 4,900 Polaris Industries Inc. USA USD 741,076 0.29 30,200 Zulily Inc. USA USD 706,680 0.28 12,275 Liberty Broadband Corp., C USA USD 611,540 0.24 22,900 Wayfair Inc., A USA USD 454,565 0.18

52,167,983 20.63

Consumer Staples 9,100 Boston Beer Inc., A USA USD 2,634,814 1.04 25,406 TreeHouse Foods Inc. USA USD 2,172,975 0.86 17,200 Monster Beverage Corp. USA USD 1,863,620 0.74 29,000 Whole Foods Market Inc. USA USD 1,462,180 0.58 49,300 Freshpet Inc. USA USD 841,058 0.33

8,974,647 3.55

Energy 21,900 Concho Resources Inc. USA USD 2,184,525 0.86 70,090 Cabot Oil & Gas Corp., A USA USD 2,075,365 0.82 26,300 EQT Corp. USA USD 1,990,910 0.79 25,900 Diamondback Energy Inc. USA USD 1,548,302 0.61 16,400 Oceaneering International Inc. USA USD 964,484 0.38 37,400 Matador Resources Co. USA USD 756,602 0.30 8,500 Cheniere Energy Inc. USA USD 598,400 0.24 82,800 Pioneer Energy Services Corp. USA USD 458,712 0.18 87,800 Rex Energy Corp. USA USD 447,780 0.18

11,025,080 4.36

Financials 16,600 Affiliated Managers Group Inc. USA USD 3,523,184 1.39 15,800 Intercontinental Exchange Inc. USA USD 3,464,782 1.37 23,000 Signature Bank USA USD 2,897,080 1.14 27,900 T. Rowe Price Group Inc. USA USD 2,395,494 0.95 37,300 Lazard Ltd., A USA USD 1,866,119 0.74 34,700 LPL Financial Holdings Inc. USA USD 1,545,885 0.61 45,400 Brown & Brown Inc. USA USD 1,494,114 0.59 6,700 Jones Lang LaSalle Inc. USA USD 1,004,531 0.40

18,191,189 7.19

Health Care 18,691 Perrigo Co. PLC USA USD 3,124,387 1.24 41,300 HCA Holdings Inc. USA USD 3,031,007 1.20 50,800 Quintiles Transnational Holdings Inc. USA USD 2,990,596 1.18 16,000 The Cooper Cos. Inc. USA USD 2,593,440 1.03 76,852 Impax Laboratories Inc. USA USD 2,434,671 0.96 36,000 St. Jude Medical Inc. USA USD 2,341,080 0.93 29,700 DaVita HealthCare Partners Inc. USA USD 2,249,478 0.89 42,500 Catamaran Corp. USA USD 2,199,375 0.87 33,100 Cerner Corp. USA USD 2,140,246 0.85 40,100 DENTSPLY International Inc. USA USD 2,136,127 0.84 6,900 Mettler-Toledo International Inc. USA USD 2,086,974 0.82

Number of shares or



Marketvalue

% ofnet

assets






Health Care (continued) 55,900 Envision Healthcare Holdings Inc. USA USD 1,939,171 0.77 10,500 Illumina Inc. USA USD 1,938,090 0.77 12,600 Edwards Lifesciences Corp. USA USD 1,604,988 0.63 15,700 Alnylam Pharmaceuticals Inc. USA USD 1,522,900 0.60 33,300 Agilent Technologies Inc. USA USD 1,363,302 0.54 13,200 Medivation Inc. USA USD 1,314,852 0.52 63,300 Celldex Therapeutics Inc. USA USD 1,155,225 0.46 19,200 DexCom Inc. USA USD 1,056,960 0.42 8,600 Vertex Pharmaceuticals Inc. USA USD 1,021,680 0.40 43,500 HMS Holdings Corp. USA USD 919,590 0.36 10,000 BioMarin Pharmaceutical Inc. USA USD 904,000 0.36 33,600 Hologic Inc. USA USD 898,464 0.35 17,900 Insulet Corp. USA USD 824,474 0.33 20,206 Karyopharm Therapeutics Inc. USA USD 756,311 0.30 40,000 Revance Therapeutics Inc. USA USD 677,600 0.27 25,500 Sagent Pharmaceuticals Inc. USA USD 640,305 0.25 8,500 Incyte Corp. USA USD 621,435 0.25 43,600 Keryx Biopharmaceuticals Inc. USA USD 616,940 0.24 7,604 HeartWare International Inc. USA USD 558,362 0.22 40,600 Tandem Diabetes Care Inc. USA USD 515,620 0.20 2,200 Puma Biotechnology Inc. USA USD 416,394 0.16 2,200 Intercept Pharmaceuticals Inc. USA USD 343,200 0.14 9,700 Portola Pharmaceuticals Inc. USA USD 274,704 0.11 5,880 Nevro Corp. USA USD 227,380 0.09

49,439,328 19.55

Industrials 68,200 AMETEK Inc. USA USD 3,589,366 1.42 53,100 Robert Half International Inc. USA USD 3,099,978 1.22 24,000 IHS Inc., A USA USD 2,733,120 1.08 17,200 Roper Industries Inc. USA USD 2,689,220 1.06 84,600 DigitalGlobe Inc. USA USD 2,620,062 1.04 86,400 HD Supply Holdings Inc. USA USD 2,547,936 1.01 33,100 Spirit Airlines Inc. USA USD 2,501,698 0.99 46,300 Hexcel Corp. USA USD 1,920,987 0.76 14,700 L-3 Communications Holdings Inc. USA USD 1,855,287 0.73 31,000 Flowserve Corp. USA USD 1,854,730 0.73 20,000 Genesee & Wyoming Inc. USA USD 1,798,400 0.71 26,100 Proto Labs Inc. USA USD 1,752,876 0.69 16,600 WABCO Holdings Inc. USA USD 1,739,348 0.69 27,700 The Advisory Board Co. USA USD 1,356,746 0.54 8,899 Allegiant Travel Co. USA USD 1,337,787 0.53 10,300 Kansas City Southern USA USD 1,256,909 0.50 21,500 B/E Aerospace Inc. USA USD 1,247,430 0.49 14,800 J.B. Hunt Transport Services Inc. USA USD 1,246,900 0.49 10,400 Rockwell Automation Inc. USA USD 1,156,480 0.46 8,000 Towers Watson & Co. USA USD 905,360 0.36

39,210,620 15.50

Information Technology 45,900 NXP Semiconductors NV NLD USD 3,506,760 1.39 45,907 ViaSat Inc. USA USD 2,893,518 1.14 106,245 Applied Materials Inc. USA USD 2,647,625 1.05 174,800 Intersil Corp., A USA USD 2,529,356 1.00 25,100 Avago Technologies Ltd. SGP USD 2,524,809 1.00 15,602 FleetCor Technologies Inc. USA USD 2,320,173 0.92 48,700 Electronic Arts Inc. USA USD 2,289,631 0.91 37,400 Yelp Inc. USA USD 2,046,902 0.81 29,000 Red Hat Inc. USA USD 2,005,060 0.79 8,803 Equinix Inc. USA USD 1,995,904 0.79 55,500 Twitter Inc. USA USD 1,990,785 0.79 23,300 Stratasys Ltd. USA USD 1,936,463 0.77 8,200 LinkedIn Corp., A USA USD 1,883,622 0.74 9,800 CoStar Group Inc. USA USD 1,799,574 0.71 41,900 Cognex Corp. USA USD 1,731,727 0.68 37,300 Xilinx Inc. USA USD 1,614,717 0.64 113,700 JDS Uniphase Corp. USA USD 1,559,964 0.62 38,200 VeriFone Systems Inc. USA USD 1,421,040 0.56 11,700 NetSuite Inc. USA USD 1,277,289 0.50 36,300 Vantiv Inc., A USA USD 1,231,296 0.49 41,300 HomeAway Inc. USA USD 1,229,914 0.49 15,300 Lam Research Corp. USA USD 1,213,902 0.48 14,800 ANSYS Inc. USA USD 1,213,600 0.48 48,000 Freescale Semiconductor Ltd. USA USD 1,211,040 0.48 62,800 Pandora Media Inc. USA USD 1,119,724 0.44 18,000 Fidelity National Information Services Inc. USA USD 1,119,600 0.44 3,500 Alliance Data Systems Corp. USA USD 1,001,175 0.40 17,300 Demandware Inc. USA USD 995,442 0.39

Number of shares or



Marketvalue

% ofnet

assets






Information Technology (continued) 10,570 Workday Inc. USA USD 862,618 0.34 12,200 ServiceNow Inc. USA USD 827,770 0.33 28,900 Semtech Corp. USA USD 796,773 0.31 29,800 Trimble Navigation Ltd. USA USD 790,892 0.31 26,900 Bottomline Technologies Inc. USA USD 680,032 0.27 7,150 Mobileye NV USA USD 290,004 0.11

54,558,701 21.57

Materials 103,800 Axalta Coating Systems Ltd. USA USD 2,700,876 1.07 44,700 Cytec Industries Inc. USA USD 2,063,799 0.82 18,400 Martin Marietta Materials Inc. USA USD 2,029,888 0.80 37,200 H.B. Fuller Co. USA USD 1,656,516 0.65

8,451,079 3.34

Utilities 66,300 Calpine Corp. USA USD 1,467,219 0.58

TOTAL SHARES 243,485,846 96.27

RIGHTS Consumer Discretionary 2,455 Liberty Broadband Corp., rts., 01/09/15 USA USD 23,323 0.01




Number of shares or



Marketvalue

% ofnet

assets





— Franklin U.S. Total Return Fund —

TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Automobile Manufacturers 240 General Motors Co. USA USD 8,378 0.01

Banks 16,000 U.S. Bancorp, 6.00%, pfd., G USA USD 433,920 0.27


WARRANTS Automobile Manufacturers 217 General Motors Co., wts., 07/10/16 USA USD 5,482 0.01 217 General Motors Co., wts., 07/10/19 USA USD 3,717 0.00

9,199 0.01



TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET SHARES Paper & Forest Products 100 NewPage Holdings Inc. USA USD 9,075 0.01


BONDS Asset-Backed Securities 8,200,000 FNMA, 4.00%, 01/01/41 USA USD 8,752,123 5.68 6,700,000 FNMA, 3.00%, 01/01/30 USA USD 6,964,598 4.52 4,750,000 FNMA, 3.00%, 01/01/43 USA USD 4,805,293 3.12 1,700,000 FHLMC, 4.00%, 01/01/41 USA USD 1,812,227 1.18 1,300,000 GNMA, II, SF, 3.50%, 01/01/43 USA USD 1,364,695 0.88 740,000 Capital One Multi-Asset Execution Trust, 2007-A2, A2, FRN, 0.241%, 12/16/19 † USA USD 736,082 0.48 720,000 Chase Issuance Trust, 2014-A3, A3, FRN, 0.361%, 05/15/18 † USA USD 719,914 0.47 687,925 Colony MFM Trust, 2014-1, A, 144A, 2.543%, 04/20/55 USA USD 685,891 0.44 600,000 Bear Stearns Commercial Mortgage Securities Inc., 2007-PW16, AM, FRN,

5.706%, 06/11/40 † USA USD 654,705 0.42 593,152 FHLMC, 5.00%, 02/01/39 USA USD 653,927 0.42 600,000 Greenwich Capital Commercial Funding Corp., 2007-GG9,

A4, 5.444%, 03/10/39 USA USD 640,564 0.42 570,000 Morgan Stanley Capital I Trust, 2007-IQ16, AM, FRN, 6.099%, 12/12/49 † USA USD 627,309 0.41 572,000 Banc of America Commercial Mortgage Trust, 2006-4, AJ, 5.695%, 07/10/46 USA USD 594,299 0.39 553,000 Bear Stearns Commercial Mortgage Securities Inc., 2006-PW11, AJ, FRN,

5.605%, 03/11/39 † USA USD 571,224 0.37 530,000 LB-UBS Commercial Mortgage Trust, 2006-C4, AJ, FRN, 5.857%, 06/15/38 † USA USD 553,672 0.36 500,000 Morgan Stanley Capital I Trust, 2007-IQ16, AMA, FRN, 6.094%, 12/12/49 † USA USD 545,699 0.35 510,000 Wachovia Bank Commercial Mortgage Trust, 2006-C28, AM, FRN,

5.603%, 10/15/48 † USA USD 543,720 0.35 520,000 FNMA, 3.50%, 01/01/42 USA USD 542,100 0.35 520,000 Greenwich Capital Commercial Funding Corp., 2006-GG7, AJ, FRN,

5.82%, 07/10/38 † USA USD 534,310 0.35 505,000 Bear Stearns Commercial Mortgage Securities Inc., 2006-PW13, AJ,

5.611%, 09/11/41 USA USD 518,892 0.34 470,000 Banc of America Commercial Mortgage Trust, 2007-3, AM, FRN,

5.598%, 06/10/49 † USA USD 508,257 0.33 490,000 JPMorgan Chase Commercial Mortgage Securities Trust, 2006-LDP7, AJ,

FRN, 5.873%, 04/15/45 † USA USD 492,979 0.32 480,000 Chase Issuance Trust, 2013-A6, A6, FRN, 0.581%, 07/15/20 † USA USD 481,174 0.31 460,000 JPMorgan Chase Commercial Mortgage Securities Trust, 2006-CB17, AM,

5.464%, 12/12/43 USA USD 477,153 0.31 476,000 Citigroup Commercial Mortgage Trust, 2006-C5, AJ, 5.482%, 10/15/49 USA USD 467,085 0.30 394,317 FNMA, 6.00%, 02/01/37 USA USD 448,016 0.29 435,162 ARCap REIT Inc., 2004-RR3, A2, 144A, FRN, 4.76%, 09/21/45 † USA USD 446,494 0.29 450,000 West CLO Ltd., 2014-1A, B, 144A, FRN, 3.083%, 07/18/26 † USA USD 435,818 0.28 420,000 American Express Credit Account Master Trust, 2008-2, A,

FRN, 1.421%, 09/15/20 † USA USD 432,994 0.28 424,580 Greenpoint Manufactured Housing, 1999-3, 1A7, 7.27%, 06/15/29 USA USD 428,697 0.28 440,000 ARES CLO Ltd., 2007-3RA, B, 144A, FRN, 0.599%, 04/16/21 † USA USD 422,858 0.27 382,368 Babson CLO Inc., 2007-1A, A1, 144A, FRN, 0.456%, 01/18/21 † USA USD 380,108 0.25 312,537 Talisman 6 Finance, Reg S, FRN, 0.262%, 10/22/16 † DEU EUR 373,616 0.24 332,400 Catamaran CLO Ltd., 2014-2A, B, 144A, FRN, 3.27%, 10/18/26 † USA USD 320,344 0.21 320,000 American Express Credit Account Secured Note Trust, 2012-4, A, FRN,

0.401%, 05/15/20 † USA USD 319,601 0.21 316,000 Colony American Homes, 2014-1A, A, 144A, FRN, 1.40%, 05/17/31 † USA USD 314,643 0.20 310,000 Citibank Credit Card Issuance Trust, 2013-A7, A7, FRN, 0.592%, 09/10/20 † USA USD 310,224 0.20 307,311 CT CDO IV Ltd., 2006-4A, A1, 144A, FRN, 0.475%, 10/20/43 † USA USD 304,686 0.20 300,000 Veritas CLO Ltd., 2006-2A, A2, 144A, FRN, 0.56%, 07/11/21 † USA USD 296,889 0.19 301,715 ARES XI CLO Ltd., 2007-11A, A1C, 144A, FRN, 0.50%, 10/11/21 † USA USD 296,405 0.19

Number of shares or



Marketvalue

% ofnet

assets






Asset-Backed Securities (continued) 292,464 FNMA, 2005-122, FN, FRN, 0.52%, 01/25/36 † USA USD 291,724 0.19 264,953 FNMA, ARM, 1.914%, 09/01/34 USA USD 280,763 0.18 280,000 Chase Issuance Trust, 2012-A8, A8, 0.54%, 10/16/17 USA USD 279,903 0.18 250,620 FNMA, 4.50%, 12/01/40 USA USD 272,494 0.18 250,000 GSAA Home Equity Trust, 05-5, M3, FRN, 1.115%, 02/25/35 † USA USD 236,081 0.15 230,000 American Express Credit Account Master Trust, 2012-1, A,

FRN, 0.431%, 01/15/20 † USA USD 229,991 0.15 220,000 Morgan Stanley Capital I Trust, 2006-HQ8, AJ, FRN, 5.497%, 03/12/44 † USA USD 226,054 0.15 225,000 G-Force LLC, 2005-RRA, C, 144A, 5.20%, 08/22/36 USA USD 217,430 0.14 219,050 Ameriquest Mortgage Securities Inc. Asset-Backed Pass-Through Certificates,

2004-R4, M1, FRN, 0.995%, 06/25/34 † USA USD 214,713 0.14 220,000 Apidos CDO, 2013-14A, C2, 144A, 4.85%, 04/15/25 USA USD 213,539 0.14 200,000 Citibank Credit Card Issuance Trust, 2012-A1, A1, 0.55%, 10/10/17 USA USD 199,972 0.13 200,000 American Express Credit Account Master Trust, 2012-3, A,

FRN, 0.311%, 03/15/18 † USA USD 199,924 0.13 200,000 Citibank Credit Card Issuance Trust, 2013-A12, A12,

FRN, 0.462%, 11/07/18 † USA USD 199,868 0.13 200,197 American Home Mortgage Investment Trust, 2004-3, 4A,

FRN, 1.833%, 10/25/34 † USA USD 197,551 0.13 171,929 Structured Asset Securities Corp., 2006-WF1, A5, FRN, 0.47%, 02/25/36 † USA USD 169,471 0.11 170,000 West CLO Ltd., 2014-1A, A2, 144A, FRN, 2.333%, 07/18/26 † USA USD 167,116 0.11 159,055 Citigroup Mortgage Loan Trust Inc., 2013-A, A, 144A, FRN, 3.00%, 05/25/42 † USA USD 161,085 0.10 140,530 FHLMC, 5.50%, 09/01/35 USA USD 157,151 0.10 150,000 Citibank Credit Card Issuance Trust, 2014-A9, A9, FRN, 0.358%, 05/09/18 † USA USD 150,043 0.10 143,071 Credit Suisse Mortgage Capital Certificates, 2009-15R, 3A1, 144A,

FRN, 5.333%, 03/26/36 † USA USD 146,395 0.09 155,000 Argent Securities Inc., 2005-W2, A2C, FRN, 0.53%, 10/25/35 † USA USD 144,719 0.09 132,048 Bayview Financial Acquisition Trust, 2004-D, M1, FRN, 0.80%, 08/28/44 † USA USD 132,277 0.09 125,000 Greenwich Capital Commercial Funding Corp., 2006-GG7, AM,

FRN, 6.014%, 07/10/38 † USA USD 131,843 0.09 128,578 FNMA, ARM, 2.726%, 11/01/32 USA USD 131,813 0.09 137,731 Legacy Benefits Insurance Settlements LLC, 2004-1, A, 144A, 5.35%, 02/10/39 USA USD 131,188 0.08 155,000 JPMorgan Chase Commercial Mortgage Securities Trust, 2006-CB16, B,

FRN, 5.672%, 05/12/45 † USA USD 123,304 0.08 120,000 Chase Issuance Trust, 2012-A3, A3, 0.79%, 06/15/17 USA USD 120,169 0.08 120,000 Capital One Multi-Asset Execution Trust, 2007-A1, A1,

FRN, 0.211%, 11/15/19 † USA USD 119,489 0.08 107,934 Wells Fargo Mortgage Backed Securities Trust, 2004-I, 2A1,

FRN, 2.654%, 06/25/34 † USA USD 107,978 0.07 109,500 Eaton Vance CDO Ltd., 2014-1A, B, 144A, FRN, 2.285%, 07/15/26 † USA USD 106,591 0.07 100,600 Credit Suisse First Boston Mortgage Securities Corp., 2004-6,

3A1, 5.00%, 09/25/19 USA USD 105,377 0.07 102,000 Bear Stearns Commercial Mortgage Securities Inc., 2006-PW12, AJ,

FRN, 5.751%, 09/11/38 † USA USD 105,077 0.07 94,214 Green Tree Financial Corp., 1996-9, M1, 7.63%, 08/15/27 USA USD 103,620 0.07 91,455 FNMA, 5.00%, 10/01/34 USA USD 101,112 0.07 100,000 American Express Credit Account Master Trust, 2008-6, A,

FRN, 1.361%, 02/15/18 † USA USD 100,544 0.07 100,000 Chase Issuance Trust, 2012-A9, A9, FRN, 0.311%, 10/16/17 † USA USD 99,956 0.06 100,000 Chase Issuance Trust, 2012-A6, A, FRN, 0.291%, 08/15/17 † USA USD 99,954 0.06 99,107 American Homes 4 Rent, 2014-SFR1, A, 144A, FRN, 1.25%, 06/17/31 † USA USD 98,042 0.06 91,900 Eaton Vance CDO Ltd., 2014-1A, C, 144A, FRN, 3.235%, 07/15/26 † USA USD 89,426 0.06 94,137 Peru Enhanced Pass-Through Finance Ltd., senior secured bond, A-1,

Reg S, zero cpn., 05/31/18 PER USD 89,246 0.06 89,410 Chase Funding Mortgage Loan Asset-Backed Certificates, 2004-2, 2A2,

FRN, 0.67%, 02/25/35 † USA USD 79,769 0.05 78,475 Morgan Stanley Capital I Trust, 2005-RR6, AJ, 144A, 5.233%, 05/24/43 USA USD 77,840 0.05 80,240 Morgan Stanley ABS Capital I Inc. Trust, 2003-HE1, M1, FRN, 1.37%, 05/25/33 † USA USD 75,832 0.05 300,000 GMAC Commercial Mortgage Securities Inc., 2005-C1, B, 4.936%, 05/10/43 USA USD 75,345 0.05 64,065 FNMA, 6.00%, 02/01/36 USA USD 72,966 0.05 70,000 Emerson Park CLO Ltd., 2013-1A, C2, 144A, 5.64%, 07/15/25 USA USD 71,015 0.05 70,000 Highbridge Loan Management Ltd., 2013-2A, B2, 144A, 5.80%, 10/20/24 USA USD 70,543 0.05 75,095 Home Equity Mortgage Trust, 2004-4, M3, FRN, 1.145%, 12/25/34 † USA USD 68,616 0.04 70,067 Countrywide Asset-Backed Certificates, 2004-1, M1, FRN, 0.92%, 03/25/34 † USA USD 67,313 0.04 62,126 Crest Ltd., 2003-2A, C2, 144A, 5.709%, 12/28/38 USA USD 62,549 0.04 63,271 Countrywide Asset-Backed Certificates, 2004-6, 1A2, FRN, 0.91%, 12/25/34 † USA USD 60,983 0.04 60,891 Morgan Stanley ABS Capital I Inc. Trust, 2005-WMC, M2,

FRN, 0.905%, 01/25/35 † USA USD 59,531 0.04 50,114 FNMA, 6.00%, 05/01/36 USA USD 56,777 0.04 52,317 FNMA, ARM, 2.304%, 02/01/34 USA USD 55,675 0.04 52,016 Aames Mortgage Investment Trust, 2005-4, M1, FRN, 0.875%, 10/25/35 † USA USD 52,125 0.03 49,327 Newcastle CDO IV Ltd., 2004-5A, 1, 144A, FRN, 0.595%, 12/24/39 † USA USD 48,478 0.03 46,898 Wells Fargo Mortgage Backed Securities Trust, 2004-W, A9,

FRN, 2.616%, 11/25/34 † USA USD 48,243 0.03 43,030 GNMA, SF, 5.00%, 05/15/34 USA USD 47,654 0.03 46,633 Long Beach Mortgage Loan Trust, 2005-WL2, M1, FRN, 0.64%, 08/25/35 † USA USD 46,351 0.03 32,330 FNMA, 5.50%, 04/01/35 USA USD 36,140 0.02 33,072 FNMA, 7.50%, 02/01/30 USA USD 34,637 0.02

Number of shares or



Marketvalue

% ofnet

assets






Asset-Backed Securities (continued) 33,268 JPMorgan Mortgage Acquisition Corp., 2006-ACC1, A4, FRN, 0.32%, 05/25/36 † USA USD 32,891 0.02 27,985 Bear Stearns Alt-A Trust, 2004-13, A2, FRN, 1.05%, 11/25/34 † USA USD 26,949 0.02 19,907 FNMA, 6.00%, 06/01/38 USA USD 22,587 0.01 18,143 FHLMC, 7.00%, 05/01/32 USA USD 20,523 0.01 17,696 FHLMC, 6.50%, 03/01/38 USA USD 20,422 0.01 19,511 Residential Asset Securities Corp., 2004-KS1, AI4, 4.213%, 04/25/32 USA USD 19,500 0.01 18,669 GNMA, ARM, 1.625%, 09/20/29 USA USD 19,329 0.01 16,764 FNMA, ARM, 2.30%, 12/01/34 USA USD 17,708 0.01 15,587 FHLMC, 5.50%, 08/01/33 USA USD 17,545 0.01 16,373 FHLMC, 4.50%, 04/01/20 USA USD 17,532 0.01 15,167 FNMA, ARM, 2.31%, 12/01/34 USA USD 16,187 0.01 14,068 FNMA, 6.00%, 10/01/34 USA USD 16,146 0.01 12,386 FNMA, 6.50%, 01/01/36 USA USD 14,116 0.01 13,377 GNMA, ARM, 3.50%, 08/20/20 USA USD 13,859 0.01 13,403 Countryplace Manufactured Housing Contract Trust, 2005-A3, 144A,

4.80%, 12/15/35 USA USD 13,649 0.01 10,334 FNMA, 5.50%, 04/01/36 USA USD 11,551 0.01 10,070 GNMA, SF, 5.50%, 06/15/34 USA USD 11,314 0.01 10,727 FNMA, 5.00%, 05/01/18 USA USD 11,304 0.01 10,329 FNMA, 5.00%, 04/01/20 USA USD 11,097 0.01 10,721 Wells Fargo Mortgage Backed Securities Trust, 2007-3, 3A1, 5.50%, 04/25/37 USA USD 11,086 0.01 10,252 FNMA, 5.00%, 01/01/20 USA USD 10,809 0.01 8,288 FNMA, 5.50%, 09/01/19 USA USD 8,914 0.01 8,217 FHLMC, ARM, 2.287%, 09/01/32 USA USD 8,739 0.01 7,979 FNMA, 4.50%, 04/01/19 USA USD 8,400 0.01 7,658 FHLMC, 4.50%, 09/01/18 USA USD 8,044 0.01 5,944 GNMA, SF, 6.50%, 11/15/32 USA USD 7,051 0.00 5,885 GNMA, 6.50%, 09/15/32 USA USD 6,721 0.00 5,364 GNMA, SF, 6.00%, 03/15/33 USA USD 6,206 0.00 5,497 FNMA, 5.00%, 01/01/20 USA USD 5,820 0.00 5,084 FHLMC, 4.50%, 03/01/20 USA USD 5,371 0.00 3,466 GNMA, SF, 5.50%, 07/15/33 USA USD 3,915 0.00 3,244 GNMA, SF, 5.00%, 03/15/34 USA USD 3,583 0.00 3,071 FHLMC, 5.50%, 06/01/18 USA USD 3,248 0.00 2,305 FHLMC, 6.00%, 08/01/17 USA USD 2,411 0.00 1,996 FNMA, 4.50%, 04/01/19 USA USD 2,098 0.00 1,686 Chase Funding Mortgage Loan Asset-Backed Certificates, 2003-5, 2A2,

FRN, 0.77%, 07/25/33 † USA USD 1,584 0.00 1,382 Residential Asset Securities Corp., 2005-AHL2, A2, FRN, 0.43%, 10/25/35 † USA USD 1,385 0.00 750 FHLMC, 5.00%, 03/01/19 USA USD 789 0.00

48,941,043 31.74

Corporate Bonds 2,000,000 DISH DBS Corp., senior note, 7.125%, 02/01/16 USA USD 2,107,500 1.37 2,000,000 Kinder Morgan Finance Co. LLC, senior bond, 5.70%, 01/05/16 USA USD 2,076,724 1.35 1,000,000 CIT Group Inc., senior note, 5.00%, 05/15/17 USA USD 1,040,000 0.67 1,000,000 Wachovia Capital Trust III, junior sub. bond, FRN, 5.570%, Perpetual † USA USD 970,500 0.63 800,000 Constellation Brands Inc., senior note, 7.25%, 05/15/17 USA USD 885,500 0.57 600,000 Teachers Insurance & Annuity Assn. of America, sub. bond, 144A,

4.90%, 09/15/44 USA USD 671,346 0.44 600,000 Liberty Mutual Group Inc., senior note, 144A, 4.95%, 05/01/22 USA USD 650,123 0.42 600,000 The Kroger Co., senior note, 4.00%, 02/01/24 USA USD 631,034 0.41 600,000 Mondelez International Inc., senior bond, 4.00%, 02/01/24 USA USD 628,927 0.41 600,000 Altria Group Inc., senior bond, 4.00%, 01/31/24 USA USD 626,738 0.41 600,000 Viacom Inc., senior bond, 4.25%, 09/01/23 USA USD 619,750 0.40 600,000 Intesa Sanpaolo SpA, senior note, 2.375%, 01/13/17 ITA USD 605,028 0.39 600,000 United Overseas Bank Ltd., senior note, Reg S, 2.50%, 03/18/20 SGP USD 603,636 0.39 600,000 JPMorgan Chase & Co., junior sub. note, X, 6.10% to 10/01/24,

FRN thereafter, Perpetual USA USD 600,000 0.39 600,000 News America Inc., 3.00%, 09/15/22 USA USD 596,969 0.39 70,000,000 Depfa ACS Bank, secured bond, 1.65%, 12/20/16 IRL JPY 594,133 0.39 500,000 Telefonica Emisiones SAU, senior note, 4.57%, 04/27/23 ESP USD 536,842 0.35 500,000 Georgia Power Co., senior note, 4.30%, 03/15/42 USA USD 527,218 0.34 600,000 Apache Corp., senior bond, 4.25%, 01/15/44 USA USD 526,421 0.34 500,000 DENTSPLY International Inc., senior note, 4.125%, 08/15/21 USA USD 524,986 0.34 500,000 Bed Bath & Beyond Inc, senior bond, 5.165%, 08/01/44 USA USD 522,743 0.34 500,000 Sydney Airport Finance Co. Pty. Ltd., 144A, 3.90%, 03/22/23 AUS USD 515,472 0.33 400,000 Banco Popular Espanol SA, secured note, Reg S, 2.125%, 10/08/19 ESP EUR 515,443 0.33 500,000 Aflac Inc., senior bond, 3.625%, 06/15/23 USA USD 513,037 0.33 500,000 Alcatel-Lucent USA Inc., senior note, 144A, 4.625%, 07/01/17 FRA USD 507,500 0.33 500,000 Alpek SA de CV, senior note, 144A, 4.50%, 11/20/22 MEX USD 505,580 0.33 500,000 JPMorgan Chase & Co., senior note, 3.25%, 09/23/22 USA USD 503,766 0.33 500,000 Kinder Morgan Energy Partners LP, senior note, 4.25%, 09/01/24 USA USD 501,969 0.33 500,000 Korea Exchange Bank, senior note, Reg S, 2.00%, 04/02/18 KOR USD 495,820 0.32 500,000 Zoetis Inc., senior bond, 3.25%, 02/01/23 USA USD 494,082 0.32 500,000 AIA Group Ltd., senior note, Reg S, 1.75%, 03/13/18 HKG USD 493,622 0.32 500,000 Maxim Integrated Products Inc., senior note, 3.375%, 03/15/23 USA USD 493,550 0.32 500,000 AbbVie Inc., senior note, 2.90%, 11/06/22 USA USD 493,119 0.32

Number of shares or



Marketvalue

% ofnet

assets






Corporate Bonds (continued) 500,000 Cencosud SA, senior note, 144A, 4.875%, 01/20/23 CHL USD 493,082 0.32 500,000 Banco do Brasil SA/Cayman, sub. note, 144A, 5.875%, 01/26/22 BRA USD 488,937 0.32 500,000 Glencore Funding LLC, senior note, 144A, 4.125%, 05/30/23 CHE USD 488,735 0.32 500,000 CVS Health Corp., 2.75%, 12/01/22 USA USD 487,848 0.32 500,000 Citigroup Inc., sub. note, 3.50%, 05/15/23 USA USD 487,268 0.32 500,000 Anheuser-Busch InBev Worldwide Inc., senior note, 2.50%, 07/15/22 BEL USD 486,767 0.32 500,000 Deutsche Bank AG, sub. bond, 4.296% to 05/24/23, FRN thereafter, 05/24/28 DEU USD 486,497 0.32 500,000 Beazer Homes USA Inc., senior note, 5.75%, 06/15/19 USA USD 481,250 0.31 500,000 CNOOC Finance 2013 Ltd., senior note, 3.00%, 05/09/23 CHN USD 474,453 0.31 450,000 Woori Bank, sub.note, 144A, 4.75%, 04/30/24 KOR USD 466,486 0.30 500,000 Petrobras Global Finance BV, senior note, FRN, 3.123%, 03/17/20 † BRA USD 453,533 0.29 400,000 Bank of America Corp., senior note, 5.625%, 10/14/16 USA USD 428,652 0.28 400,000 Sinopec Group Overseas Development 2014 Ltd., senior note, 144A,

4.375%, 04/10/24 CHN USD 421,032 0.27 400,000 Realty Income Corp., senior bond, 4.125%, 10/15/26 USA USD 408,690 0.26 400,000 CNPC General Capital Ltd., senior bond, 144A, 3.95%, 04/19/22 HKG USD 408,318 0.26 300,000 Casino Guichard Perrachon SA, senior note, Reg S, 3.311%, 01/25/23 FRA EUR 407,945 0.26 400,000 HCP Inc., senior bond, 3.875%, 08/15/24 USA USD 407,121 0.26 400,000 Morgan Stanley, senior sub. bond, 4.35%, 09/08/26 USA USD 402,939 0.26 400,000 El Paso Pipeline Partners Operating Co. LLC, senior note, 4.30%, 05/01/24 USA USD 401,522 0.26 500,000 LUKOIL International Finance BV, senior note, 144A, 4.563%, 04/24/23 RUS USD 400,065 0.26 400,000 Alibaba Group Holding Ltd., senior note, 144A, 3.60%, 11/28/24 CHN USD 397,566 0.26 400,000 EnLink Midstream Partners LP, senior bond, 5.05%, 04/01/45 USA USD 387,905 0.25 300,000 Unione di Banche Italiane SCpA, senior note, Reg S, 2.875%, 02/18/19 ITA EUR 387,190 0.25 400,000 American Tower Corp., senior bond, 3.50%, 01/31/23 USA USD 387,154 0.25 300,000 Bankinter SA, senior note, Reg S, 1.75%, 06/10/19 ESP EUR 375,663 0.24 300,000 Time Warner Inc., 6.10%, 07/15/40 USA USD 366,635 0.24 344,000 United Technologies Corp., senior note, 3.10%, 06/01/22 USA USD 351,572 0.23 300,000 Lyondellbasell Industries NV, senior note, 5.75%, 04/15/24 USA USD 343,737 0.22 273,000 Verizon Communications Inc., senior bond, 6.40%, 09/15/33 USA USD 336,867 0.22 250,000 Banco Comercial Portugues SA, 4.75%, 06/22/17 PRT EUR 330,483 0.21 300,000 Energy Transfer Partners LP, senior note, 5.20%, 02/01/22 USA USD 321,329 0.21 300,000 Nippon Life Insurance Co., sub. bond, 144A, 5.10% to 10/16/24,

FRN thereafter, 10/16/44 JPN USD 313,727 0.20 300,000 General Motors Financial Co. Inc., senior note, 4.375%, 09/25/21 USA USD 313,500 0.20 300,000 Wells Fargo & Co., sub. bond, 4.65%, 11/04/44 USA USD 310,821 0.20 300,000 Tyson Foods Inc., senior bond, 3.95%, 08/15/24 USA USD 310,722 0.20 300,000 Oversea-Chinese Banking Corp. Ltd., 144A, sub. bond, 4.00% to 10/14/19,

FRN thereafter, 10/15/24 SGP USD 307,548 0.20 300,000 Sunoco Logistics Partners Operations LP, senior note, 4.25%, 04/01/24 USA USD 303,939 0.20 300,000 HSBC Holdings PLC, junior sub. bond, 5.625% to 01/17/20,

FRN thereafter, Perpetual GBR USD 301,679 0.20 300,000 Ford Motor Credit Co. LLC, senior note, 1.684%, 09/08/17 USA USD 297,827 0.19 200,000 Barclays Bank PLC, senior sub. note, Reg S, 6.00%, 01/14/21 GBR EUR 297,301 0.19 300,000 Enterprise Products Operating LLC, senior note, 3.35%, 03/15/23 USA USD 297,255 0.19 300,000 State Grid Overseas Investment 2013 Ltd., senior note, 144A,

3.125%, 05/22/23 CHN USD 294,579 0.19 300,000 Oceaneering International Inc., senior note, 4.65%, 11/15/24 USA USD 294,320 0.19 300,000 BPCE SA, sub. bond, 144A, 4.50%, 03/15/25 FRA USD 293,835 0.19 283,000 Verizon Communications Inc., senior bond, Reg S, 4.862%, 08/21/46 USA USD 291,416 0.19 300,000 Gaz Capital SA, (OJSC Gazprom), loan participation, senior bond, 144A,

6.212%, 11/22/16 RUS USD 290,250 0.19 250,000 ERP Operating LP, 5.75%, 06/15/17 USA USD 275,377 0.18 200,000 Banca Monte dei Paschi di Siena SpA, secured note, Reg S,

2.875%, 04/16/21 ITA EUR 263,931 0.17 250,000 Intesa Sanpaolo SpA, senior note, 3.875%, 01/15/19 ITA USD 259,551 0.17 200,000 Banco Popolare Societa Cooperativa, senior note, Reg S, 4.75%, 03/31/16 ITA EUR 254,874 0.17 200,000 Ford Motor Credit Co. LLC, senior note, 8.125%, 01/15/20 USA USD 247,996 0.16 200,000 Banca Monte dei Paschi di Siena SpA, senior note, Reg S, 3.625%, 04/01/19 ITA EUR 245,479 0.16 200,000 Merrill Lynch & Co. Inc., senior note, 6.875%, 04/25/18 USA USD 229,888 0.15 200,000 SVB Financial Group, senior note, 5.375%, 09/15/20 USA USD 225,450 0.15 200,000 Morgan Stanley, senior note, 5.50%, 01/26/20 USA USD 225,277 0.15 200,000 Energy Transfer Equity LP, senior note, first lien, 7.50%, 10/15/20 USA USD 223,000 0.14 200,000 PerkinElmer Inc., senior note, 5.00%, 11/15/21 USA USD 217,892 0.14 200,000 Bank of America Corp., junior sub. bond, M, 8.125% to 05/15/18,

FRN thereafter, Perpetual USA USD 216,750 0.14 200,000 Health Care REIT Inc., senior note, 4.125%, 04/01/19 USA USD 212,877 0.14 200,000 NBCUniversal Media LLC, senior bond, 4.45%, 01/15/43 USA USD 212,789 0.14 200,000 Prudential Financial Inc., junior sub. note, 5.875%, 09/15/42 USA USD 212,000 0.14 200,000 Xstrata Finance Canada Ltd., senior note, 144A, 4.95%, 11/15/21 CHE USD 211,303 0.14 200,000 HCA Inc., senior note, 5.875%, 05/01/23 USA USD 211,250 0.14 200,000 Mizuho Financial Group Cayman 3 Ltd., sub. note, 144A, 4.60%, 03/27/24 JPN USD 208,814 0.14 200,000 Intesa Sanpaolo SpA, senior note, 3.875%, 01/16/18 ITA USD 208,310 0.14 200,000 Hutchison Whampoa International 11 Ltd., senior note, 144A, 3.50%, 01/13/17 HKG USD 207,516 0.13 200,000 CNOOC Nexen Finance 2014 ULC, senior note, 4.25%, 04/30/24 CHN USD 207,333 0.13 200,000 ArcelorMittal, senior note, 5.50%, 03/01/21 LUX USD 207,273 0.13 200,000 CIT Group Inc., senior note, 5.00%, 08/15/22 USA USD 206,250 0.13 200,000 Juniper Networks Inc., senior bond, 4.50%, 03/15/24 USA USD 202,259 0.13

Number of shares or



Marketvalue

% ofnet

assets






Corporate Bonds (continued) 200,000 DIRECTV Holdings LLC/DIRECTV Financing Co. Inc., senior bond,

3.95%, 01/15/25 USA USD 201,989 0.13 200,000 Tiffany & Co., senior bond, 144A, 3.80%, 10/01/24 USA USD 201,603 0.13 200,000 Lorillard Tobacco Co., senior note, 2.30%, 08/21/17 USA USD 201,418 0.13 200,000 General Electric Co., senior note, 2.70%, 10/09/22 USA USD 200,430 0.13 200,000 Ensco PLC, senior bond, 5.75%, 10/01/44 USA USD 198,835 0.13 200,000 Shinhan Bank, senior note, 144A, 1.875%, 07/30/18 KOR USD 197,595 0.13 200,000 Reliance Steel & Aluminum Co., senior note, 4.50%, 04/15/23 USA USD 196,346 0.13 200,000 Edcon Pty. Ltd., senior secured note, Reg S, 9.50%, 03/01/18 ZAF EUR 195,113 0.13 200,000 Petrofac Ltd., senior note, 144A, 3.40%, 10/10/18 GBR USD 193,924 0.13 200,000 Enable Midstream Partners LP, senior note, 144A, 3.90%, 05/15/24 USA USD 193,150 0.13 200,000 Wind Acquisition Finance SA, senior note, second lien, 144A,

7.375%, 04/23/21 ITA USD 189,000 0.12 200,000 Sprint Nextel Corp., senior note, 6.00%, 11/15/22 USA USD 184,750 0.12 200,000 Peabody Energy Corp., senior note, 6.25%, 11/15/21 USA USD 171,750 0.11 200,000 Linn Energy LLC/Finance Corp., senior note, 6.25%, 11/01/19 USA USD 171,000 0.11 150,000 Aviation Capital Group Corp., 144A, 6.75%, 04/06/21 USA USD 170,625 0.11 200,000 California Resources Corp., senior bond, 144A, 6.00%, 11/15/24 USA USD 170,000 0.11 200,000 Weatherford International Ltd., senior bond, 5.95%, 04/15/42 USA USD 169,866 0.11 150,000 Kinder Morgan Finance Co. LLC, senior secured note, 144A, 6.00%, 01/15/18 USA USD 163,320 0.11 100,000 Veolia Environnement SA, senior bond, Reg S, 4.625%, 03/30/27 FRA EUR 158,826 0.10 150,000 Chesapeake Energy Corp., senior note, 5.75%, 03/15/23 USA USD 155,250 0.10 150,000 Intelsat Jackson Holdings SA, senior bond, 6.625%, 12/15/22 LUX USD 154,875 0.10 100,000 Citigroup Inc., senior note, 8.125%, 07/15/39 USA USD 153,597 0.10 100,000 The Royal Bank of Scotland PLC, sub. note, 6.934%, 04/09/18 GBR EUR 139,679 0.09 100,000 Anheuser-Busch InBev NV, senior bond, Reg S, 2.875%, 09/25/24 BEL EUR 138,755 0.09 100,000 HSBC Holdings PLC, sub. note, 6.50%, 09/15/37 GBR USD 128,911 0.08 125,000 Frontier Communications Corp., senior note, 7.125%, 01/15/23 USA USD 127,813 0.08 100,000 Pernod Ricard SA, 2.125%, 09/27/24 FRA EUR 126,904 0.08 100,000 Banco Santander Totta SA, secured note, 1.50%, 04/03/17 PRT EUR 123,769 0.08 100,000 Telefonica Europe BV, junior sub.bond, Reg S, FRN, Perpetual † ESP EUR 122,815 0.08 100,000 Express Scripts Holding Co., senior note, 7.25%, 06/15/19 USA USD 120,183 0.08 100,000 Mitsui Sumitomo Insurance Co. Ltd., junior sub. note, 144A,

7.00% to 03/15/22, FRN thereafter, 03/15/72 JPN USD 115,245 0.07 100,000 Enogex LLC, senior note, 144A, 6.25%, 03/15/20 USA USD 114,504 0.07 100,000 DP World Ltd., Reg S, 6.85%, 07/02/37 ARE USD 113,162 0.07 100,000 Navient Corp., senior note, 8.45%, 06/15/18 USA USD 111,750 0.07 100,000 Healthcare Realty Trust Inc., senior note, 6.50%, 01/17/17 USA USD 109,260 0.07 100,000 First Data Corp., senior secured bond, second lien, 144A, 8.25%, 01/15/21 USA USD 107,500 0.07 100,000 American Tower Corp., senior bond, 5.00%, 02/15/24 USA USD 106,241 0.07 100,000 Cemex SAB de CV, senior secured note, 144A, 9.00%, 01/11/18 MEX USD 104,625 0.07 100,000 HSBC Bank Brasil SA, senior note, 144A, 4.00%, 05/11/16 BRA USD 102,271 0.07 100,000 Constellation Brands Inc., senior note, 3.875%, 11/15/19 USA USD 101,000 0.07 100,000 Altria Group Inc., senior note, 2.625%, 01/14/20 USA USD 100,406 0.07 100,000 HSBK (Europe) BV, senior note, Reg S, 7.25%, 05/03/17 KAZ USD 100,144 0.06 100,000 Kinder Morgan Energy Partners LP, senior bond, 3.45%, 02/15/23 USA USD 95,893 0.06 100,000 Clayton Williams Energy Inc., senior note, 7.75%, 04/01/19 USA USD 85,500 0.06 100,000 FMG Resources (August 2006) Pty. Ltd., senior note, 144A,

6.875%, 04/01/22 AUS USD 83,625 0.05 100,000 Penn Virginia Corp., senior note, 8.50%, 05/01/20 USA USD 80,500 0.05 61,000 CVS Health Corp., senior note, 5.75%, 06/01/17 USA USD 67,365 0.04 50,000 Enterprise Products Operating LLC, junior sub. note, 7.034% to 01/15/18,

FRN thereafter, 01/15/68 USA USD 54,881 0.04 50,000 Royal Bank of Scotland Group PLC, sub. note, 6.125%, 12/15/22 GBR USD 54,406 0.04 50,000 Chesapeake Energy Corp., senior note, 6.625%, 08/15/20 USA USD 53,375 0.03 50,000 CIT Group Inc., senior note, 5.375%, 05/15/20 USA USD 53,033 0.03 50,000 FMG Resources (August 2006) Pty. Ltd., senior note, 144A, 8.25%, 11/01/19 AUS USD 45,688 0.03 25,000 Frontier Communications Corp., senior note, 8.50%, 04/15/20 USA USD 28,000 0.02 56 Motors Liquidation Co., GUC Trust, Escrow Account USA USD 1,078 0.00 2,200 Motors Liquidation Co., Escrow Account, 6.25%, cvt. pfd., C USA USD 22 0.00

52,470,042 34.02

Government and Municipal Bonds US – Issued 1,000,000 U.S. Treasury Bond, 4.375%, 05/15/40 USA USD 1,316,016 0.85 1,075,760 U.S. Treasury Note, Index Linked, 0.125%, 04/15/16 USA USD 1,072,735 0.70 900,000 U.S. Treasury Bond, 3.50%, 02/15/39 USA USD 1,034,930 0.67 1,000,000 U.S. Treasury Bond, 2.875%, 05/15/43 USA USD 1,023,984 0.66 600,000 U.S. Treasury Bond, 5.00%, 05/15/37 USA USD 856,969 0.56 550,000 New York State Urban Development Corp. Revenue, State Personal Income Tax,

General Purpose, Series C, 5.00%, 03/15/29 USA USD 647,696 0.42 400,000 U.S. Treasury Bond, 3.625%, 08/15/43 USA USD 470,844 0.30 300,000 U.S. Treasury Bond, 4.75%, 02/15/37 USA USD 414,422 0.27 365,000 Arkansas State GO, Four-Lane Highway Construction and

Improvement Bonds, 3.25%, 06/15/22 USA USD 395,434 0.26 300,000 Florida Hurricane Catastrophe Fund Finance Corp. Revenue,

Series A, 2.995%, 07/01/20 USA USD 303,840 0.20

Number of shares or



Marketvalue

% ofnet

assets






Government and Municipal Bonds US – Issued (continued) 325,000 Puerto Rico Sales Tax FICO Sales Tax Revenue, first subordinate,

Series A, 6.50%, 08/01/44 USA USD 260,855 0.17 200,000 Minnesota State GO, Various Purpose, Refunding, Series F, 4.00%, 10/01/24 USA USD 227,104 0.15 200,000 Nassau County GO, General Improvement Bonds, Series B, 5.00%, 04/01/39 USA USD 223,266 0.14 200,000 Nassau County GO, General Improvement Bonds, Series B, 5.00%, 04/01/43 USA USD 220,542 0.14 180,000 Illinois State GO, 5.877%, 03/01/19 USA USD 198,922 0.13 160,000 New York City Municipal Water Finance Authority Water and

Sewer System Revenue, Second General Resolution, Fiscal 2014, Refunding, Series BB, 5.00%, 06/15/46 USA USD 180,776 0.12

160,000 Massachusetts State GO, Consolidated Loan of 2014, Series A, 4.50%, 12/01/43 USA USD 172,685 0.11 150,000 Coachella Valley USD, GO, Riverside and Imperial Counties, Election of 2005,

Series D, AGMC Insured, 5.00%, 08/01/37 USA USD 168,448 0.11 300,000 Puerto Rico Electric Power Authority Power Revenue, Series A, 6.75%, 07/01/36 USA USD 151,893 0.10 125,000 Colorado State ISD, GO, Mitchell and Scurry Counties, School Building,

PSF Guarantee, 5.00%, 08/15/38 USA USD 144,764 0.09 100,000 U.S. Treasury Bond, 4.375%, 05/15/41 USA USD 132,766 0.09 110,000 South Carolina State Public Service Authority Revenue, Refunding,

Series B, 5.00%, 12/01/38 USA USD 123,598 0.08 110,597 U.S. Treasury Note, Index Linked, 2.125%, 01/15/19 USA USD 119,017 0.08 315,000 Puerto Rico Sales Tax FICO Revenue, Capital Appreciation, Refunding,

Series A, zero cpn., 08/01/26 USA USD 116,361 0.07 85,000 New Jersey EDA Revenue, School Facilities Construction, Refunding,

Series NN, 5.00%, 03/01/30 USA USD 93,213 0.06 200,000 Puerto Rico Sales Tax FICO Sales Tax Revenue, Capital Appreciation,

Series A, zero cpn., 08/01/25 USA USD 80,522 0.05 55,000 California State GO, Various Purpose, 6.00%, 11/01/39 USA USD 66,531 0.04 50,000 Evansville Local Public Improvement Bond Bank Revenue,

Sewage Works Project, Series A, 5.00%, 07/01/36 USA USD 56,729 0.04

TOTAL US – ISSUED 10,274,862 6.66

Non US – Issued 931,300,000 Korea Treasury Bond, senior note, 3.00%, 12/10/16 KOR KRW 866,096 0.56 2,200,000 Government of Malaysia, senior note, 3.172%, 07/15/16 MYS MYR 625,740 0.41 72,000 Government of Mexico, 7.25%, 12/15/16 MEX MXN 521,512 0.34 350,000 Government of Spain, senior bond, 144A, 2.75%, 10/31/24 ESP EUR 467,502 0.30 610,000 Government of Singapore, senior note, 1.125%, 04/01/16 SGP SGD 463,523 0.30 350,000 Italy Treasury Bond, 2.50%, 12/01/24 ITA EUR 447,495 0.29 1,200,000 Government of Poland, 4.75%, 10/25/16 POL PLN 356,768 0.23 86,040,000 Government of Hungary, 5.50%, 12/22/16 HUN HUF 351,676 0.23 300,000 Government of Portugal, 144A, 5.125%, 10/15/24 PRT USD 316,320 0.21 1,109,000 Government of Poland, Strip, 01/25/16 POL PLN 307,494 0.20 880,000 Government of Poland, 5.00%, 04/25/16 POL PLN 258,805 0.17 610 Nota Do Tesouro Nacional, 10.00%, 01/01/17 BRA BRL 218,667 0.14 200,000 Government of Serbia, senior note, 144A, 4.875%, 02/25/20 SER USD 200,741 0.13 38,210,000 Government of Hungary, A, 5.50%, 12/20/18 HUN HUF 160,223 0.10 160 Nota Do Tesouro Nacional, Index Linked, 6.00%, 08/15/18 BRA BRL 150,188 0.10 83,070 Government of Ireland, senior bond, 5.40%, 03/13/25 IRL EUR 138,599 0.09 131,000 Government of Russia, senior bond, Reg S, 7.50%, 03/31/30 RUS USD 136,915 0.09 19,080 Government of Mexico, 6.25%, 06/16/16 MEX MXN 134,365 0.09 83,000 Government of Ireland, 5.00%, 10/18/20 IRL EUR 125,761 0.08 100,000 Government of Iceland, senior note, Reg S, 2.50%, 07/15/20 ISL EUR 123,236 0.08 100,000 Government of Lithuania, Reg S, 7.375%, 02/11/20 LTU USD 120,801 0.08 100,000 Government of Vietnam, Reg S, 6.75%, 01/29/20 VND USD 112,767 0.07 100,000 The Export-Import Bank of Korea, senior note, 4.00%, 01/29/21 KOR USD 107,292 0.07 2,563,211 Government of Uruguay, senior bond, Index Linked, 4.375%, 12/15/28 URY UYU 106,220 0.07 100,000,000 Korea Treasury Bond, senior note, 2.75%, 06/10/16 KOR KRW 92,276 0.06 60,000 Government of Hungary, 6.00%, 01/11/19 HUN EUR 84,461 0.06 52,000 Government of Ireland, 4.50%, 04/18/20 IRL EUR 75,848 0.05 1,500,000 Government of the Philippines, senior bond, 7.00%, 01/27/16 PHL PHP 34,759 0.02 103,000 Government of Poland, FRN, 2.69%, 01/25/17 † POL PLN 29,111 0.02 103,000 Government of Poland, FRN, 2.69%, 01/25/21 † POL PLN 28,659 0.02 15,000 Government of Hungary, senior note, Reg S, 4.375%, 07/04/17 HUN EUR 19,496 0.01 10,000 Government of Hungary, senior note, Reg S, 5.75%, 06/11/18 HUN EUR 13,819 0.01 10,000 Government of Hungary, senior note, Reg S, 3.50%, 07/18/16 HUN EUR 12,593 0.01 5,000 Government of Hungary, senior note, Reg S, 3.875%, 02/24/20 HUN EUR 6,581 0.00 690,000 Government of Sri Lanka, A, 9.00%, 05/01/21 LKA LKR 5,613 0.00 430,000 Government of Sri Lanka, A, 8.00%, 11/15/18 LKA LKR 3,370 0.00 140,000 Government of the Philippines, senior note, 1.625%, 04/25/16 PHL PHP 3,096 0.00 670,000 Government of Hungary, A, 6.75%, 11/24/17 HUN HUF 2,866 0.00 280,000 Government of Sri Lanka, D, 8.50%, 06/01/18 LKA LKR 2,226 0.00 190,000 Government of Hungary, A, 6.00%, 11/24/23 HUN HUF 864 0.00 140,000 Government of Hungary, A, 7.00%, 06/24/22 HUN HUF 658 0.00 140,000 Government of Hungary, 7.50%, 11/12/20 HUN HUF 652 0.00 70,000 Government of Sri Lanka, C, 8.50%, 04/01/18 LKA LKR 555 0.00

TOTAL NON US – ISSUED 7,236,209 4.69

17,511,071 11.35

Number of shares or



Marketvalue

% ofnet

assets






Securities Maturing Within One Year 4,200,000 U.S. Treasury Note, 4.00%, 02/15/15 USA USD 4,220,017 2.74 2,000,000 U.S. Treasury Note, 2.375%, 01/31/15 USA USD 2,003,516 1.30 1,500,000 HCA Inc., senior bond, 7.19%, 11/15/15 USA USD 1,569,375 1.02 1,241,500,000 Korea Monetary Stabilization Bond, senior note, 2.76%, 06/02/15 KOR KRW 1,138,290 0.74 1,000,000 Dell Inc., senior note, 2.30%, 09/10/15 USA USD 1,002,200 0.65 2,290,000 Government of Malaysia, 3.835%, 08/12/15 MYS MYR 656,840 0.43 86,360 Government of Mexico, 8.00%, 12/17/15 MEX MXN 611,794 0.40 500,000 FHLMC, 4.50%, 01/15/15 USA USD 500,790 0.32 1,130,000 Government of Malaysia, 3.741%, 02/27/15 MYS MYR 323,387 0.21 225,000 Prudential Covered Trust, secured note, 144A, 2.997%, 09/30/15 USA USD 228,200 0.15 249,200,000 Korea Monetary Stabilization Bond, senior bond, 2.47%, 04/02/15 KOR KRW 228,070 0.15 207,670,000 Korea Monetary Stabilization Bond, senior note, 2.74%, 02/02/15 KOR KRW 189,965 0.12 174,330,000 Korea Monetary Stabilization Bond, senior bond, 2.80%, 08/02/15 KOR KRW 160,053 0.10 524,000 Government of Malaysia, 4.72%, 09/30/15 MYS MYR 151,324 0.10 370,000 Government of Malaysia, 3.197%, 10/15/15 MYS MYR 105,660 0.07 100,000 Morgan Stanley, senior note, 6.00%, 04/28/15 USA USD 101,631 0.07 100,000 Government of Lithuania, Reg S, 6.75%, 01/15/15 LTU USD 100,379 0.06 331,000 Government of Poland, 6.25%, 10/24/15 POL PLN 96,844 0.06 72,080,000 Korea Treasury Bond, senior note, 2.75%, 12/10/15 KOR KRW 66,318 0.04 222,000 Government of Poland, 5.50%, 04/25/15 POL PLN 63,485 0.04 45,560,000 Korea Treasury Bond, senior note, 3.25%, 06/10/15 KOR KRW 41,865 0.03 77,000 Government of Poland, Strip, 07/25/15 POL PLN 21,554 0.01 23,000,000 Korea Monetary Stabilization Bond, senior bond, 2.81%, 10/02/15 KOR KRW 21,145 0.01 20,000 California State Judgement Trust COP, FRN, 1.585%, 06/01/15 † USA USD 19,777 0.01 1,820 Government of Mexico, 6.00%, 06/18/15 MEX MXN 12,505 0.01 1,400,000 Government of Sri Lanka, A, 11.00%, 08/01/15 LKA LKR 10,977 0.01 2,210,000 Government of Hungary, A, 8.00%, 02/12/15 HUN HUF 8,505 0.01 270,000 Government of Sri Lanka, A, 6.50%, 07/15/15 LKA LKR 2,065 0.00 10,000 Government of Sri Lanka, A, 11.75%, 03/15/15 LKA LKR 77 0.00

13,656,608 8.86

TOTAL BONDS 132,578,764 85.97



BONDS Corporate Bonds 500,000 EDF SA, sub. note, 144A, 5.25% to 01/29/23, FRN thereafter, Perpetual POL USD 512,850 0.33 50,000 NewPage Corp., Escrow Account ** USA USD 0 0.00

512,850 0.33




† Floating Rates are indicated as at December 31, 2014 ** These securities are submitted to a Fair Valuation

Number of shares or



Marketvalue

% ofnet

assets





— Franklin World Perspectives Fund —

TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Aerospace & Defense 16,910 Precision Castparts Corp. USA USD 4,073,281 1.05 23,660 Honeywell International Inc. USA USD 2,364,107 0.61 16,520 The Boeing Co. USA USD 2,147,269 0.56 6,858 MacDonald Dettwiler and Associates Ltd. CAN CAD 560,747 0.15 150,000 Singapore Technologies Engineering Ltd. SGP SGD 384,964 0.10

9,530,368 2.47

Air Freight & Logistics 164,674 bpost SA BEL EUR 4,141,526 1.07 772 Hyundai Glovis Co. Ltd. KOR KRW 205,747 0.06

4,347,273 1.13

Airlines 22,267 Japan Airlines Co. Ltd. JPN JPY 668,986 0.17

Auto Components 20,000 BorgWarner Inc. USA USD 1,099,000 0.28 22,774 Bridgestone Corp. JPN JPY 798,064 0.21 40,624 Sumitomo Electric Industries Ltd. JPN JPY 512,949 0.13 9,718 Denso Corp. JPN JPY 458,387 0.12 2,555 Hyundai Wia Corp. KOR KRW 411,132 0.11

3,279,532 0.85

Automobiles 27,949 Toyota Motor Corp. JPN JPY 1,762,892 0.46 4,870 Tesla Motors Inc. USA USD 1,083,136 0.28 34,673 Mazda Motor Corp. JPN JPY 847,112 0.22 21,693 Fuji Heavy Industries Ltd. JPN JPY 778,468 0.20 4,785 Hyundai Motor Co. KOR KRW 739,344 0.19 42,714 Tata Motors Ltd. IND INR 335,796 0.09 188,000 Brilliance China Automotive Holdings Ltd. CHN HKD 300,647 0.08 190,000 Dongfeng Motor Group Co. Ltd., H CHN HKD 268,560 0.07 5,004 Kia Motors Corp. KOR KRW 239,275 0.06 287,300 Astra International Tbk PT IDN IDR 172,241 0.04

6,527,471 1.69

Banks 21,610 Signature Bank USA USD 2,721,996 0.70 18,780 SVB Financial Group USA USD 2,179,795 0.56 177,746 Mitsubishi UFJ Financial Group Inc. JPN JPY 985,706 0.26 10,150 Canadian Imperial Bank of Commerce CAN CAD 872,660 0.23 22,761 Sumitomo Mitsui Financial Group Inc. JPN JPY 831,040 0.22 757,200 Bank Central Asia Tbk PT IDN IDR 802,442 0.21 16,550 The Toronto-Dominion Bank CAN CAD 791,122 0.20 11,000 Royal Bank of Canada CAN CAD 760,077 0.20 9,275 Bank of Montreal CAN CAD 656,378 0.17 11,275 Bank of Nova Scotia CAN CAD 643,828 0.17 105,540 Siam Commercial Bank PCL, fgn. THA THB 584,193 0.15 37,426 DBS Group Holdings Ltd. SGP SGD 581,956 0.15 208,727 China Merchants Bank Co. Ltd., H CHN HKD 523,840 0.14 147,085 Itausa - Investimentos Itau SA, pfd. BRA BRL 519,710 0.13 41,653 Yes Bank Ltd. IND INR 510,164 0.13 87,947 ICICI Bank Ltd. IND INR 492,648 0.13 66,700 Kasikornbank PCL, fgn. THA THB 464,547 0.12 514,000 China Construction Bank Corp., H CHN HKD 420,934 0.11 471,200 Bank Mandiri Persero Tbk PT, ADR IDN IDR 409,946 0.11 107,053 Union Bank of India Ltd. IND INR 406,575 0.11 5,667 Commonwealth Bank of Australia AUS AUD 396,312 0.10 70,000 Public Bank Bhd. MYS MYR 366,366 0.10 94,305 Punjab National Bank Ltd. IND INR 327,790 0.08 23,700 Banco Bradesco SA, pfd. BRA BRL 312,671 0.08 6,667 Australia & New Zealand Banking Group Ltd. AUS AUD 174,685 0.05 28,800 Bangkok Bank PCL, fgn. THA THB 171,679 0.04 19,380 Commercial International Bank Egypt SAE EGY EGP 133,084 0.03 1,994 Qatar National Bank QAT QAR 116,573 0.03 24,609 First Gulf Bank PJSC ARE AED 113,898 0.03 11,355 HSBC Bank PLC (CRTP Banque Saudi Fransi) SAU USD 95,320 0.02 9,076 HSBC Bank PLC (CRTP Samba Financial Group, 144A) SAU USD 93,361 0.02 55,039 Bank Muscat SAOG OMN OMR 83,483 0.02 5,915 Credit Suisse Nassau (CRTP Al Rajhi Bank) SAU USD 80,786 0.02

18,625,565 4.82

Number of shares or



Marketvalue

% ofnet

assets






Beverages 32,773 Anheuser-Busch InBev NV BEL EUR 3,722,049 0.97 733,681 C&C Group PLC IRL EUR 3,213,669 0.83 20,410 Monster Beverage Corp. USA USD 2,211,424 0.57 70,400 Ambev SA BRA BRL 433,129 0.11

9,580,271 2.48

Biotechnology 65,000 Celgene Corp. USA USD 7,270,900 1.88 12,500 Biogen Idec Inc. USA USD 4,243,125 1.10 4,730 Regeneron Pharmaceuticals Inc. USA USD 1,940,482 0.50 11,281 CSL Ltd. AUS AUD 798,404 0.21

14,252,911 3.69

Capital Markets 161,981 Banca Generali ITA EUR 4,517,731 1.17 873,685 Ashmore Group PLC GBR GBP 3,813,076 0.99 25,270 T. Rowe Price Group Inc. USA USD 2,169,682 0.56 36,100 CETIP SA Mercados Organizados BRA BRL 437,411 0.11 6,375 IGM Financial Inc. CAN CAD 254,231 0.07 22,140 Motilal Oswal Financial Services Ltd. IND INR 87,738 0.02 40,390 Egyptian Financial Group-Hermes Holding EGY EGP 87,050 0.02

11,366,919 2.94

Chemicals 41,330 Ecolab Inc. USA USD 4,319,812 1.12 35,000 Cytec Industries Inc. USA USD 1,615,950 0.42 11,740 Praxair Inc. USA USD 1,521,034 0.39 49,456 Hitachi Chemical Co. Ltd. JPN JPY 884,904 0.23 42,503 Daicel Chemical Industries Ltd. JPN JPY 502,977 0.13 10,125 Potash Corp. of Saskatchewan Inc. CAN CAD 358,092 0.09 3,175 Agrium Inc. CAN CAD 300,754 0.08 1,442 Lotte Chemical Corp. KOR KRW 210,942 0.06 4,085 HSBC Bank PLC (CRTP Saudi Basic Industries Corp., 144A) SAU USD 91,444 0.02 7,072 HSBC Bank PLC (CRTP Yanbu National Petrochemicals Co.) SAU USD 90,463 0.02 16,151 DuluxGroup Ltd. AUS AUD 76,486 0.02

9,972,858 2.58

Commercial Services & Supplies 22,710 Stericycle Inc. USA USD 2,976,827 0.77 337,129 De La Rue PLC GBR GBP 2,735,139 0.71 106,963 Brambles Ltd. AUS AUD 928,374 0.24 17,872 Sohgo Security Services Co. Ltd. JPN JPY 436,415 0.11 17,100 Berendsen PLC GBR GBP 293,192 0.08

7,369,947 1.91

Communications Equipment 26,730 QUALCOMM Inc. USA USD 1,986,841 0.51

Construction & Engineering 568,709 Outotec OYJ FIN EUR 3,018,173 0.78 47,079 Koninklijke Boskalis Westminster NV NLD EUR 2,589,086 0.67 136,713 Taisei Corp. JPN JPY 783,825 0.20 7,550 SNC-Lavalin Group Inc., A CAN CAD 288,086 0.08

6,679,170 1.73

Construction Materials 43,000 Siam Cement PCL, fgn. THA THB 588,504 0.15 47,729 JK Lakshmi Cement Ltd. IND INR 307,302 0.08

895,806 0.23

Consumer Finance 584,418 International Personal Finance PLC GBR GBP 4,095,552 1.06 121,270 FlexiGroup Ltd. AUS AUD 297,051 0.08 40,711 Mahindra & Mahindra Financial Services Ltd. IND INR 212,871 0.05

4,605,474 1.19

Containers & Packaging 101,383 Amcor Ltd. AUS AUD 1,124,142 0.29

Distributors 68,050 LKQ Corp. USA USD 1,913,566 0.50

Diversified Consumer Services 20,300 Estacio Participacoes SA BRA BRL 181,955 0.05

Number of shares or



Marketvalue

% ofnet

assets






Diversified Financial Services 7,670 Intercontinental Exchange Inc. USA USD 1,681,954 0.44 32,068 Hong Kong Exchanges & Clearing Ltd. HKG HKD 710,100 0.18 44,024 ORIX Corp. JPN JPY 559,738 0.14 21,504 Credit Analysis and Research Ltd. IND INR 505,490 0.13 6,375 Onex Corp. CAN CAD 370,340 0.10 27,000 Singapore Exchange Ltd. SGP SGD 159,171 0.04 51,384 Kuwait Projects Co. Holding KSC KWD KWD 122,823 0.03

4,109,616 1.06

Diversified Telecommunication Services 80,000 Singapore Telecommunications Ltd. SGP SGD 235,507 0.06

Electrical Equipment 224,310 Prysmian SpA ITA EUR 4,111,939 1.06 75,982 Legrand SA FRA EUR 4,003,450 1.04 24,300 AMETEK Inc. USA USD 1,278,909 0.33 67,729 Mitsubishi Electric Corp. JPN JPY 817,326 0.21 10,773 Nidec Corp. JPN JPY 705,853 0.18

10,917,477 2.82

Electronic Equipment, Instruments & Components 40,201 Alps Electric Co. Ltd. JPN JPY 774,664 0.20 6,975 Murata Manufacturing Co. Ltd. JPN JPY 771,281 0.20 164,000 Chroma Ate Inc. TWN TWD 425,402 0.11 100,100 GeoVision Inc. TWN TWD 341,563 0.09 507,000 E Ink Holdings Inc. TWN TWD 233,869 0.06

2,546,779 0.66

Energy Equipment & Services 120,696 TGS Nopec Geophysical Co. ASA NOR NOK 2,612,307 0.68 23,975 Calfrac Well Services Ltd. CAN CAD 206,665 0.05 7,825 Mullen Group Ltd. CAN CAD 143,596 0.04 4,820 Gulf International Services QSC QAT QAR 128,517 0.03 40,800 Savanna Energy Services Corp. CAN CAD 118,755 0.03 18,300 Canadian Energy Services & Technology Corp., A CAN CAD 100,069 0.03 22,800 CanElson Drilling Inc. CAN CAD 79,910 0.02

3,389,819 0.88

Food & Staples Retailing 19,462 Seven & I Holdings Co. Ltd. JPN JPY 707,909 0.18 10,300 Whole Foods Market Inc. USA USD 519,326 0.13 5,975 Metro Inc., A CAN CAD 480,058 0.12 18,324 Woolworths Ltd. AUS AUD 459,020 0.12 8,975 Alimentation Couche-Tard Inc., B CAN CAD 376,312 0.10 43,000 President Chain Store Corp. TWN TWD 332,170 0.09 27,900 Dairy Farm International Holdings Ltd. HKG USD 251,100 0.07 5,800 Companhia Brasileira de Distribuicao, pfd., A BRA BRL 215,260 0.06 158,800 CP ALL PCL, fgn. THA THB 205,262 0.05 312,000 7-Eleven Malaysia Holdings Bhd. MYS MYR 133,848 0.03

3,680,265 0.95

Food Products 12,150 Mead Johnson Nutrition Co., A USA USD 1,221,561 0.32 17,500 Nestle (Malaysia) Bhd. MYS MYR 342,843 0.09 26,028 Kaveri Seed Co. Ltd. IND INR 318,542 0.08 13,300 BRF SA BRA BRL 317,498 0.08 17,724 Nestle Lanka PLC LKA LKR 284,368 0.07 8,400 Saputo Inc. CAN CAD 252,597 0.07 925,000 China Huishan Dairy Holdings Co. Ltd. CHN HKD 161,047 0.04 78,300 Mayora Indah Tbk PT IDN IDR 132,133 0.03

3,030,589 0.78

Gas Utilities 110,183 Gujarat State Petronet Ltd. IND INR 199,268 0.05

Health Care Equipment & Supplies 34,990 Insulet Corp. USA USD 1,611,639 0.42 144,300 Resmed Inc., CDI USA AUD 817,677 0.21 8,815 Asahi Intecc Co. Ltd. JPN JPY 435,509 0.11

2,864,825 0.74

Health Care Providers & Services 16,500 McKesson Corp. USA USD 3,425,070 0.89 55,000 Envision Healthcare Holdings Inc. USA USD 1,907,950 0.49 77,300 Bumrungrad Hospital PCL, fgn. THA THB 331,487 0.09

5,664,507 1.47

Number of shares or



Marketvalue

% ofnet

assets






Health Care Technology 30,000 Cerner Corp. USA USD 1,939,800 0.50

Hotels, Restaurants & Leisure 2,460 Chipotle Mexican Grill Inc. USA USD 1,683,895 0.44 18,470 Starbucks Corp. USA USD 1,515,463 0.39 3,211 Oriental Land Co. Ltd. JPN JPY 743,628 0.19 204,793 Indian Hotels Co. Ltd. IND INR 407,409 0.11 66,400 Sands China Ltd. HKG HKD 327,121 0.09 113,900 MK Restaurant Group PCL, fgn. THA THB 202,650 0.05 3,394 Flight Centre Travel Group Ltd. AUS AUD 90,397 0.02 2,753 Merrill Lynch International & Co. CV (CRTP Al Tayyar Travel Group) SAU USD 87,305 0.02 4,365 Chuy’s Holdings Inc. USA USD 85,860 0.02

5,143,728 1.33

Household Durables 87,620 The Berkeley Group Holdings PLC GBR GBP 3,387,018 0.88 82,610 TRI Pointe Homes Inc. USA USD 1,259,802 0.32 115,500 Techtronic Industries Co. Ltd. HKG HKD 372,391 0.10

5,019,211 1.30


Independent Power and Renewable Electricity Producers 479,160 Drax Group PLC GBR GBP 3,440,068 0.89 345,000 CGN Power Co. Ltd., Reg S, H CHN HKD 150,388 0.04 24,800 AES Tiete SA BRA BRL 143,247 0.04

3,733,703 0.97

Industrial Conglomerates 17,010 Roper Industries Inc. USA USD 2,659,513 0.69 4,900 Cheil Industries Inc., Reg S KOR KRW 707,834 0.18 12,763 HSBC Bank PLC (CRTP National Industrialization Co.) SAU USD 91,153 0.02

3,458,500 0.89

Insurance 38,396 Euler Hermes Group FRA EUR 3,978,762 1.03 326,600 AIA Group Ltd. HKG HKD 1,811,180 0.47 78,000 Ping An Insurance (Group) Co. of China Ltd. CHN HKD 794,692 0.20 16,825 Power Corp. of Canada CAN CAD 460,161 0.12 307,150 Cathay Financial Holding Co. Ltd. TWN TWD 455,616 0.12 14,525 Power Financial Corp. CAN CAD 452,542 0.12

7,952,953 2.06

Internet & Catalog Retail 3,250 The Priceline Group Inc. USA USD 3,705,682 0.96 175,474 Takkt AG DEU EUR 2,889,723 0.75 8,750 Amazon.com Inc. USA USD 2,715,563 0.70 6,684 Ctrip.com International Ltd., ADR CHN USD 304,122 0.08

9,615,090 2.49

Internet Software & Services 80,000 Facebook Inc., A USA USD 6,241,600 1.61 18,000 LinkedIn Corp., A USA USD 4,134,780 1.07 9,940 CoStar Group Inc. USA USD 1,825,282 0.47 11,809 Alibaba Group Holding Ltd., ADR CHN USD 1,227,427 0.32 5,283 Baidu Inc., ADR CHN USD 1,204,366 0.31 60,300 Tencent Holdings Ltd. CHN HKD 874,877 0.23 82,000 HC International Inc. CHN HKD 76,565 0.02

15,584,897 4.03

IT Services 66,260 MasterCard Inc., A USA USD 5,708,962 1.48 20,000 Visa Inc., A USA USD 5,244,000 1.36 55,150 Cognizant Technology Solutions Corp., A USA USD 2,904,199 0.75 14,090 FleetCor Technologies Inc. USA USD 2,095,324 0.54 25,254 SCSK Corp. JPN JPY 638,595 0.16 53,196 Computershare Ltd. AUS AUD 512,527 0.13 1,533 Samsung SDS Co. Ltd. KOR KRW 411,366 0.11

17,514,973 4.53

Life Sciences Tools & Services 22,000 Illumina Inc. USA USD 4,060,760 1.05 24,290 Quintiles Transnational Holdings Inc. USA USD 1,429,952 0.37

5,490,712 1.42

Number of shares or



Marketvalue

% ofnet

assets






Machinery 24,290 Pall Corp. USA USD 2,458,391 0.63 117,426 IMI PLC GBR GBP 2,311,693 0.60 2,843 SMC Corp. JPN JPY 758,529 0.20 93,771 Nachi-Fujikoshi Corp. JPN JPY 583,794 0.15 1,957 Eicher Motors Ltd. IND INR 468,022 0.12 24,192 Grindwell Norton Ltd. IND INR 236,566 0.06 80,359 Carborundum Universal Ltd. IND INR 228,004 0.06

7,044,999 1.82

Marine 656,000 Evergreen Marine Corp. Ltd. TWN TWD 464,263 0.12

Media 309,856 Mediaset Espana Comunicacion SA ESP EUR 3,916,100 1.01 148,205 Reed Elsevier NV GBR EUR 3,557,868 0.92 78,560 GFK AG DEU EUR 3,231,483 0.84 31,470 The Walt Disney Co. USA USD 2,964,159 0.77 79,850 Twenty-First Century Fox Inc., B USA USD 2,945,667 0.76 14,560 Charter Communications Inc., A USA USD 2,425,987 0.63 890,312 ITE Group PLC GBR GBP 2,220,367 0.57 20,875 Thomson Reuters Corp. CAN CAD 842,550 0.22 1,443,495 Surya Citra Media Tbk PT IDN IDR 407,932 0.11 187,916 Jagran Prakashan Ltd. IND INR 407,074 0.10 261,600 BEC World PCL, fgn. THA THB 405,766 0.10 390,400 Major Cineplex Group PCL, fgn. THA THB 329,489 0.09

23,654,442 6.12

Metals & Mining 15,152 Rio Tinto Ltd. GBR AUD 717,553 0.19 25,469 BHP Billiton Ltd. AUS AUD 610,762 0.16 1,579 POSCO KOR KRW 397,724 0.10 5,800 Franco-Nevada Corp. CAN CAD 285,742 0.07 105,898 Hindalco Industries Ltd. IND INR 264,682 0.07 20,675 Major Drilling Group International Inc. CAN CAD 101,662 0.03

2,378,125 0.62

Multi-Utilities 4,650 ATCO Ltd., I CAN CAD 190,845 0.05

Multiline Retail 9,159 Don Quijote Holdings Co. Ltd. JPN JPY 638,245 0.16 66,000 Poya Co. Ltd. TWN TWD 499,415 0.13 556,200 Mitra Adiperkasa Tbk PT IDN IDR 227,914 0.06

1,365,574 0.35

Oil, Gas & Consumable Fuels 318,500 China Shenhua Energy Co. Ltd., H CHN HKD 940,637 0.24 14,475 Enbridge Inc. CAN CAD 744,660 0.19 61,600 PTT PCL, fgn. THA THB 607,007 0.16 546,000 PetroChina Co. Ltd., H CHN HKD 604,167 0.16 25,830 Rice Energy Inc. USA USD 541,655 0.14 8,400 TransCanada Corp. CAN CAD 413,038 0.11 13,325 Canadian Natural Resources Ltd. CAN CAD 412,171 0.11 50,225 Nuvista Energy Ltd. CAN CAD 320,488 0.08 30,391 Origin Energy Ltd. AUS AUD 289,582 0.07 13,925 Cenovus Energy Inc. CAN CAD 287,434 0.07 7,075 Tourmaline Oil Corp. CAN CAD 235,783 0.06 114,782 Gujarat Mineral Development Corp. Ltd. IND INR 235,263 0.06 32,175 Bonavista Energy Corp. CAN CAD 202,263 0.05 31,000 Crew Energy Inc. CAN CAD 158,037 0.04 5,375 Peyto Exploration & Development Corp. CAN CAD 154,920 0.04 2,025 Keyera Corp. CAN CAD 141,371 0.04 16,575 Kelt Exploration Ltd. CAN CAD 99,914 0.03 5,800 Baytex Energy Corp. CAN CAD 96,496 0.03 3,475 ARC Resources Ltd. CAN CAD 75,290 0.02

6,560,176 1.70

Paper & Forest Products 67,400 Suzano Papel e Celulose SA, pfd., A BRA BRL 285,325 0.07

Pharmaceuticals 21,000 Actavis PLC USA USD 5,405,610 1.40 50,030 Sanofi FRA EUR 4,580,176 1.18 20,000 Perrigo Co. PLC USA USD 3,343,200 0.86 56,000 Bristol-Myers Squibb Co. USA USD 3,305,680 0.86 9,230 Jazz Pharmaceuticals PLC USA USD 1,511,228 0.39 3,171 Roche Holding AG CHE CHF 860,846 0.22 57,150 Astellas Pharma Inc. JPN JPY 804,369 0.21

Number of shares or



Marketvalue

% ofnet

assets






Pharmaceuticals (continued) 2,578,000 Kalbe Farma Tbk PT IDN IDR 380,924 0.10 14,173 Sun Pharmaceutical Industries Ltd. IND INR 185,844 0.05

20,377,877 5.27

Professional Services 25,370 IHS Inc., A USA USD 2,889,135 0.75 155,647 Experian PLC GBR GBP 2,639,564 0.68

5,528,699 1.43

Real Estate Investment Trusts (REITs) 31,700 American Tower Corp. USA USD 3,133,545 0.81 64,583 Emirates REIT CEIC Ltd. ARE USD 83,958 0.02

3,217,503 0.83

Real Estate Management & Development 342,000 China Overseas Land & Investment Ltd. CHN HKD 1,018,861 0.26 19,150 Brookfield Asset Management Inc., A CAN CAD 960,097 0.25 20,867 Mitsui Fudosan Co. Ltd. JPN JPY 566,844 0.15 173,000 Global Logistic Properties Ltd. SGP SGD 323,853 0.08 70,570 Emaar Properties PJSC ARE AED 139,486 0.04 50,000 China Resources Land Ltd. CHN HKD 131,868 0.04 715,330 AP Thailand PCL, fgn. THA THB 129,447 0.03 26,691 Mabanee Co. SAKC KWD KWD 87,497 0.02 37,120 HSBC Bank PLC (CRTP Dar Al Arkan Real Estate Development Co.) SAU USD 80,621 0.02

3,438,574 0.89

Road & Rail 25,270 Union Pacific Corp. USA USD 3,010,415 0.78 9,720 Kansas City Southern USA USD 1,186,132 0.31 16,825 Canadian National Railway Co. CAN CAD 1,159,385 0.30 2,600 Canadian Pacific Railway Ltd. CAN CAD 500,969 0.13

5,856,901 1.52

Semiconductors & Semiconductor Equipment 42,600 Cavium Inc. USA USD 2,633,532 0.68 54,430 Microchip Technology Inc. USA USD 2,455,337 0.63 94,650 Applied Materials Inc. USA USD 2,358,678 0.61 347,795 Taiwan Semiconductor Manufacturing Co. Ltd. TWN TWD 1,549,370 0.40 11,346 Rohm Co. Ltd. JPN JPY 696,904 0.18 32,232 Sanken Electric Co. Ltd. JPN JPY 260,923 0.07 112,000 Epistar Corp. TWN TWD 222,577 0.06

10,177,321 2.63

Software 47,330 Salesforce.com Inc. USA USD 2,807,142 0.73 56,840 Electronic Arts Inc. USA USD 2,672,333 0.69 18,930 NetSuite Inc. USA USD 2,066,588 0.53 10,690 ANSYS Inc. USA USD 876,580 0.23 14,680 Mobileye NV USA USD 595,421 0.15

9,018,064 2.33

Specialty Retail 27,450 Tractor Supply Co. USA USD 2,163,609 0.56 12,310 Advance Auto Parts Inc. USA USD 1,960,737 0.51 122,750 L’Occitane International SA LUX HKD 310,281 0.08 2,439 Shinsegae International Co. Ltd. KOR KRW 254,211 0.06 41,000 OSIM International Ltd. SGP SGD 61,277 0.02

4,750,115 1.23

Technology Hardware, Storage & Peripherals 107,500 Apple Inc. USA USD 11,865,850 3.07 1,216 Samsung Electronics Co. Ltd. KOR KRW 1,475,307 0.38 21,107 Neopost SA FRA EUR 1,204,059 0.31 9,390 SanDisk Corp. USA USD 920,032 0.24 25,465 FUJIFILM Holdings Corp. JPN JPY 786,530 0.20 789 Samsung Electronics Co. Ltd., pfd. KOR KRW 749,498 0.20 181,944 NEC Corp. JPN JPY 536,000 0.14

17,537,276 4.54

Textiles, Apparel & Luxury Goods 28,180 NIKE Inc., B USA USD 2,709,507 0.70 24,290 Under Armour Inc., A USA USD 1,649,291 0.43 12,780 Michael Kors Holdings Ltd. USA USD 959,778 0.25 126,300 Samsonite International SA HKG HKD 374,635 0.10 95,000 Shenzhou International Group Holdings Ltd. CHN HKD 313,034 0.08

Number of shares or



Marketvalue

% ofnet

assets






Textiles, Apparel & Luxury Goods (continued) 40,875 Titan Co. Ltd. IND INR 247,481 0.06 2,600 Gildan Activewear Inc. CAN CAD 147,100 0.04

6,400,826 1.66

Thrifts & Mortgage Finance 4,200 Home Capital Group Inc. CAN CAD 173,570 0.05

Tobacco 65,030 Imperial Tobacco Group PLC GBR GBP 2,874,634 0.74

Trading Companies & Distributors 100,000 HD Supply Holdings Inc. USA USD 2,949,000 0.76 3,087 Samsung C&T Corp. KOR KRW 173,576 0.05

3,122,576 0.81

Transportation Infrastructure 43,300 Arteris SA BRA BRL 202,039 0.05 318,900 Jasa Marga Persero Tbk PT IDN IDR 181,530 0.05

383,569 0.10

Water Utilities 81,900 Cia de Saneamento do Parana, pfd. BRA BRL 178,747 0.05

Wireless Telecommunication Services 131,722 Bharti Airtel Ltd. IND INR 737,024 0.19 6,896 SoftBank Corp. JPN JPY 414,940 0.11 5,525 Rogers Communications Inc., B CAN CAD 214,910 0.05

1,366,874 0.35

TOTAL SHARES 363,450,469 94.04

INVESTMENTS FUNDS Diversified Financial Services 28,013 Source Markets PLC – Financials S&P US Select Source ETF USA USD 3,796,602 0.98 12,284 Source Consumer Discretionary S&P U.S. Sector USA USD 2,778,764 0.72 379,088 db x-trackers MSCI Mexico TRN Index UCITS ETF dr MEX USD 2,042,810 0.53 81,482 db x-trackers MSCI Russia Capped Index ETF RUS USD 1,370,324 0.36 26,868 Lyxor ETF South Africa FTSE JSE Top 40 EUR ZAF GBP 1,060,380 0.27 25,467 iShares MSCI South Africa UCITS ETF ZAF USD 862,695 0.22 37,283 Lyxor UCITS ETF Eastern Europe (CECE NTR EUR) FC FRA EUR 802,550 0.21 2,656 Source Utilities S&P U.S. Sector UCITS ETF USA USD 695,181 0.18 190,947 db x-trackers MSCI Chile TRN Index UCITS ETF CHL USD 635,949 0.16

14,045,255 3.63


BONDS Hotels, Restaurants & Leisure 30,777 Indian Hotels Co. Ltd., cvt., zero cpn., 03/01/16 IND INR 56,838 0.02



TRANSFERABLE SECURITIES NOT ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING NOR DEALT IN ON ANOTHER REGULATED MARKET SHARES Beverages 60,104 Anheuser-Busch InBev NV, VVPR Strip ** BEL EUR 0 0.00

TOTAL SHARES 0 0.00




Number of shares or



Marketvalue

% ofnet

assets





— Franklin Mutual Beacon Fund —

TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Aerospace & Defense 126,315 Huntington Ingalls Industries Inc. USA USD 14,205,385 1.19 114,797 B/E Aerospace Inc. USA USD 6,660,522 0.56 57,399 KLX Inc. USA USD 2,367,688 0.20

23,233,595 1.95

Automobiles 503,720 General Motors Co. USA USD 17,584,865 1.48 31,240 Volkswagen AG, pfd. DEU EUR 6,979,844 0.58

24,564,709 2.06

Banks 283,434 PNC Financial Services Group Inc. USA USD 25,857,684 2.17 290,380 JPMorgan Chase & Co. USA USD 18,171,980 1.53 275,804 Citigroup Inc. USA USD 14,923,754 1.25 241,675 SunTrust Banks Inc. USA USD 10,126,183 0.85 166,310 Wells Fargo & Co. USA USD 9,117,114 0.77 1,561,520 Barclays PLC GBR GBP 5,926,647 0.50 443,294 ING Groep NV, IDR NLD EUR 5,809,057 0.49 145,719 Citizens Financial Group Inc. USA USD 3,622,574 0.30 96,017 KB Financial Group Inc. KOR KRW 3,173,470 0.27 46,864 Societe Generale SA FRA EUR 1,984,123 0.17 85,306 Guaranty Bancorp USA USD 1,231,819 0.10 27,545 Columbia Banking System Inc. USA USD 760,518 0.06

100,704,923 8.46

Beverages 142,522 PepsiCo Inc. USA USD 13,476,880 1.13 27,894 Coca-Cola Enterprises Inc. USA USD 1,233,473 0.11

14,710,353 1.24

Capital Markets 198,156 Credit Suisse Group AG CHE CHF 4,998,745 0.42

Communications Equipment 667,607 Cisco Systems Inc. USA USD 18,569,489 1.56

Consumer Finance 270,770 Ally Financial Inc. USA USD 6,395,587 0.54

Containers & Packaging 274,927 MeadWestvaco Corp. USA USD 12,204,010 1.03


Diversified Telecommunication Services 2,126,690 Koninklijke KPN NV NLD EUR 6,762,619 0.57

Energy Equipment & Services 222,860 Baker Hughes Inc. USA USD 12,495,760 1.05 260,020 Transocean Ltd. USA USD 4,766,167 0.40 43,460 Ensco PLC, A USA USD 1,301,627 0.11

18,563,554 1.56

Food & Staples Retailing 304,985 The Kroger Co. USA USD 19,583,087 1.65 187,463 Walgreens Boots Alliance Inc. USA USD 14,284,681 1.20 131,266 CVS Health Corp. USA USD 12,642,228 1.06

46,509,996 3.91

Health Care Equipment & Supplies 560,606 Medtronic Inc. USA USD 40,475,753 3.40 152,382 Stryker Corp. USA USD 14,374,194 1.21

54,849,947 4.61


Household Products 15,478 Energizer Holdings Inc. USA USD 1,989,852 0.17


Insurance 39,689 White Mountains Insurance Group Ltd. USA USD 25,008,436 2.10 417,753 American International Group Inc. USA USD 23,398,346 1.97 159,658 ACE Ltd. USA USD 18,341,511 1.54 31,515 Alleghany Corp. USA USD 14,607,202 1.23

Number of shares or



Marketvalue

% ofnet

assets






Insurance (continued) 188,252 The Allstate Corp. USA USD 13,224,703 1.11 241,500 MetLife Inc. USA USD 13,062,735 1.10 24,455 Zurich Insurance Group AG CHE CHF 7,667,093 0.64

115,310,026 9.69

IT Services 1,295,241 Xerox Corp. USA USD 17,952,040 1.51

Machinery 79,063 Caterpillar Inc. USA USD 7,236,636 0.61 685,511 CNH Industrial NV GBR EUR 5,557,438 0.46

12,794,074 1.07


Media 701,491 Twenty-First Century Fox Inc., B USA USD 25,878,003 2.18 148,362 Time Warner Cable Inc. USA USD 22,559,926 1.90 930,840 Reed Elsevier PLC GBR GBP 15,959,903 1.34 276,167 CBS Corp., B USA USD 15,283,082 1.28 116,870 Time Warner Inc. USA USD 9,983,035 0.84 73,142 Comcast Corp., Special A USA USD 4,210,419 0.35

93,874,368 7.89

Metals & Mining 482,033 Freeport-McMoRan Inc., B USA USD 11,260,291 0.95 316,994 ThyssenKrupp AG DEU EUR 8,154,544 0.69 148,650 Anglo American PLC GBR GBP 2,781,567 0.23

22,196,402 1.87

Multiline Retail 99,600 Kohl’s Corp. USA USD 6,079,584 0.51

Oil, Gas & Consumable Fuels 541,243 Royal Dutch Shell PLC, A GBR EUR 18,114,645 1.52 233,180 Apache Corp. USA USD 14,613,391 1.23 498,278 Marathon Oil Corp. USA USD 14,096,285 1.18 1,094,793 BP PLC GBR GBP 7,013,525 0.59 198,772 CONSOL Energy Inc. USA USD 6,720,481 0.57 129,350 Murphy Oil Corp. USA USD 6,534,762 0.55 434,172 BG Group PLC GBR GBP 5,853,835 0.49 67,540 Anadarko Petroleum Corp. USA USD 5,572,050 0.47 603,352 Talisman Energy Inc. CAN USD 4,724,246 0.40 29,604 Talisman Energy Inc. CAN CAD 231,988 0.02

83,475,208 7.02



Pharmaceuticals 610,910 Merck & Co. Inc. USA USD 34,693,579 2.92 456,047 Teva Pharmaceutical Industries Ltd., ADR ISR USD 26,227,263 2.20 200,630 Eli Lilly & Co. USA USD 13,841,463 1.16 215,015 Hospira Inc. USA USD 13,169,669 1.11

87,931,974 7.39

Real Estate Management & Development 50,518 Forestar Group Inc. USA USD 777,977 0.06

Software 809,033 Microsoft Corp. USA USD 37,579,583 3.16 835,435 Symantec Corp. USA USD 21,433,085 1.80 243,601 CA Inc. USA USD 7,417,650 0.62

66,430,318 5.58

Technology Hardware, Storage & Peripherals 256,760 Apple Inc. USA USD 28,341,169 2.38 298,672 Hewlett-Packard Co. USA USD 11,985,707 1.01 6,559 Samsung Electronics Co. Ltd. KOR KRW 7,957,681 0.67

48,284,557 4.06

Tobacco 362,145 British American Tobacco PLC GBR GBP 19,756,639 1.66 309,281 Lorillard Inc. USA USD 19,466,146 1.64 311,614 Altria Group Inc. USA USD 15,353,222 1.29

Number of shares or



Marketvalue

% ofnet

assets






Tobacco (continued) 278,827 Imperial Tobacco Group PLC GBR GBP 12,325,472 1.04 77,910 Philip Morris International Inc. USA USD 6,345,769 0.53

73,247,248 6.16

Wireless Telecommunication Services 4,174,777 Vodafone Group PLC GBR GBP 14,488,336 1.22

TOTAL SHARES 1,045,367,767 87.86


TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET BONDS Corporate Bonds 10,382,000 iHeartCommunications Inc., senior secured note, first lien, 9.00%, 12/15/19 USA USD 10,265,202 0.86 5,225,000 Avaya Inc., senior secured note, 144A, 7.00%, 04/01/19 USA USD 5,120,500 0.43 3,820,000 NGPL PipeCo LLC, senior secured note, 144A, 9.625%, 06/01/19 USA USD 3,848,650 0.33 4,326,000 Avaya Inc., senior note, 144A, 10.50%, 03/01/21 USA USD 3,720,360 0.31 4,551,000 Walter Energy Inc., first lien, 144A, 9.50%, 10/15/19 USA USD 3,481,515 0.29 1,658,000 First Data Corp., senior note, 11.75%, 08/15/21 USA USD 1,910,845 0.16 1,037,000 NGPL PipeCo LLC, secured note, 144A, 7.119%, 12/15/17 USA USD 1,024,037 0.09 1,227,000 Walter Energy Inc., second lien, 144A, PIK, 11.50%, 04/01/20 ‡ USA USD 411,045 0.04 13,876,106 Adelphia Recovery Trust, Escrow Account, ACC-1 USA USD 33,303 0.00 1,106,158 Adelphia Recovery Trust, Escrow Account, Arahova USA USD 11,062 0.00

29,826,519 2.51

Government and Municipal Bonds 2,921,000 Puerto Rico Commonwealth GO, Refunding, Series A, 8.00%, 07/01/35 USA USD 2,552,224 0.21

Securities Maturing Within One Year 15,400,000 U.S. Treasury Bill, 0.00%, 01/02/15 USA USD 15,400,000 1.30 10,000,000 U.S. Treasury Bill, 0.00%, 03/05/15 USA USD 9,999,870 0.84 8,798,000 U.S. Treasury Bill, 0.00%, 01/22/15 USA USD 8,797,894 0.74 5,000,000 U.S. Treasury Bill, 0.00%, 04/16/15 USA USD 4,999,710 0.42 5,000,000 U.S. Treasury Bill, 0.00%, 04/30/15 USA USD 4,999,425 0.42 5,000,000 U.S. Treasury Bill, 0.00%, 05/21/15 USA USD 4,999,130 0.42 5,000,000 U.S. Treasury Bill, 0.00%, 06/11/15 USA USD 4,998,555 0.42 4,000,000 U.S. Treasury Bill, 0.00%, 02/26/15 USA USD 3,999,924 0.34 3,000,000 U.S. Treasury Bill, 0.00%, 03/12/15 USA USD 2,999,928 0.25 3,000,000 U.S. Treasury Bill, 0.00%, 04/09/15 USA USD 2,999,799 0.25 3,000,000 U.S. Treasury Bill, 0.00%, 05/14/15 USA USD 2,999,532 0.25 2,500,000 U.S. Treasury Bill, 0.00%, 04/23/15 USA USD 2,499,750 0.21

69,693,517 5.86

TOTAL BONDS 102,072,260 8.58


TRANSFERABLE SECURITIES NOT ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING NOR DEALT IN ON ANOTHER REGULATED MARKET SHARES Auto Components 9,944,392 International Automotive Components Group North America LLC ** USA USD 7,529,694 0.63 912,806 International Automotive Components Group Brazil LLC ** BRA USD 86,333 0.01

7,616,027 0.64

Consumer Finance 5,757,459 CB FIM Coinvestors LLC ** USA USD 0 0.00 7,202,506 FIM Coinvestor Holdings I LLC ** USA USD 0 0.00

0 0.00

Insurance 2,600 Olympus Re Holdings Ltd. ** USA USD 0 0.00

Real Estate Management & Development 1,181,766 Canary Wharf Group PLC ** GBR GBP 9,963,571 0.83

TOTAL SHARES 17,579,598 1.47

BONDS Corporate Bonds 60,000 Century Communications Corp., Escrow Account, 8.375%, 12/15/07 ** USA USD 0 0.00 584,000 Century Communications Corp., Escrow Account, 8.75%, 10/01/07 ** USA USD 0 0.00 72,000 Century Communications Corp., Escrow Account, 8.875%, 02/20/49 ** USA USD 0 0.00 142,000 Century Communications Corp., Escrow Account, 9.50%, 03/01/05 ** USA USD 0 0.00 929,000 Century Communications Corp., Escrow Account, zero cpn., 01/15/08 ** USA USD 0 0.00 1,302,000 Century Communications Corp., Escrow Account, zero cpn., 02/20/49 ** USA USD 0 0.00 90,000 Global Crossing Holdings Ltd., Escrow Account, 6.00%, 02/20/49 ** USA USD 0 0.00

Number of shares or



Marketvalue

% ofnet

assets






Corporate Bonds (continued) 80,000 Global Crossing Holdings Ltd., Escrow Account, 7.25%, 02/20/49 ** USA USD 0 0.00 555,000 Global Crossing Holdings Ltd., Escrow Account, 9.125%, 11/16/06 ** USA USD 0 0.00 470,000 Global Crossing Holdings Ltd., Escrow Account, 9.50%, 11/15/09 ** USA USD 0 0.00 285,000 Global Crossing Holdings Ltd., Escrow Account, 9.625%, 05/15/08 ** USA USD 0 0.00 2,365,399 Global Crossing Holdings Ltd., Escrow Account, zero cpn., 02/20/49 ** USA USD 0 0.00 7,988,000 Tropicana Entertainment LLC/Tropicana Finance Corp., senior sub. note, 9.625%, 12/15/14 **,* USA USD 0 0.00

0 0.00

TOTAL BONDS 0 0.00



* These Corporate Bonds are currently in default ** These securities are submitted to a Fair Valuation ‡ Income may be received in additional securities and/or cash

Number of shares or



Marketvalue

% ofnet

assets





— Franklin Mutual Euroland Fund —

TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Airlines 45,227 International Consolidated Airlines Group SA GBR EUR 279,955 2.14

Auto Components 4,780 Cie Generale des Etablissements Michelin, B FRA EUR 359,791 2.76 28,897 Pirelli & C. SpA ITA EUR 323,935 2.48

683,726 5.24

Automobiles 2,411 Volkswagen AG, pfd. DEU EUR 445,191 3.41 42,844 Peugeot SA FRA EUR 437,866 3.35

883,057 6.76

Banks 8,696 BNP Paribas SA FRA EUR 428,365 3.28 176,309 Intesa Sanpaolo SpA ITA EUR 427,020 3.27 66,299 UniCredit SpA ITA EUR 353,705 2.71 9,467 Societe Generale SA FRA EUR 331,250 2.54 160,518 National Bank of Greece SA GRC EUR 235,962 1.81 20,942 ING Groep NV, IDR NLD EUR 226,802 1.74 8,244 Commerzbank AG DEU EUR 90,519 0.69

2,093,623 16.04

Capital Markets 36,302 Anima Holding SpA, Reg S ITA EUR 151,161 1.16

Chemicals 4,294 Arkema FRA EUR 236,471 1.81

Construction Materials 4,133 SA des Ciments Vicat FRA EUR 246,327 1.89

Diversified Telecommunication Services 188,220 Koninklijke KPN NV NLD EUR 494,642 3.79 42,420 Hellenic Telecommunications Organization SA GRC EUR 386,022 2.96 311,522 Telecom Italia SpA ITA EUR 274,763 2.10

1,155,427 8.85

Electric Utilities 113,523 Enel SpA ITA EUR 419,581 3.21

Food & Staples Retailing 14,345 Metro AG DEU EUR 363,072 2.78

Hotels, Restaurants & Leisure 14,113 Accor SA FRA EUR 526,979 4.04

Industrial Conglomerates 3,751 Siemens AG DEU EUR 351,656 2.69 5,289 Koninklijke Philips NV NLD EUR 127,730 0.98

479,386 3.67

Insurance 14,449 Ageas BEL EUR 426,318 3.27 15,066 NN Group NV NLD EUR 374,315 2.87 48,096 UNIQA Insurance Group AG AUT EUR 374,042 2.86 8,562 Assicurazioni Generali SpA ITA EUR 145,554 1.11

1,320,229 10.11

Machinery 43,550 CNH Industrial NV GBR EUR 291,785 2.24 4,964 Vossloh AG DEU EUR 265,574 2.03

557,359 4.27

Marine 240 A.P. Moeller-Maersk AS, B DNK DKK 398,634 3.05

Media 4,055 RTL Group SA DEU EUR 320,831 2.46 10,989 Reed Elsevier NV GBR EUR 218,022 1.67 3,873 Liberty Global PLC, C GBR USD 154,632 1.18

693,485 5.31

Metals & Mining 21,780 ThyssenKrupp AG DEU EUR 463,043 3.55 4,682 Voestalpine AG AUT EUR 153,546 1.17 5,374 Anglo American PLC GBR GBP 83,107 0.64

699,696 5.36

Number of shares or



Marketvalue

% ofnet

assets





— Franklin Mutual Euroland Fund —

Oil, Gas & Consumable Fuels 12,694 Royal Dutch Shell PLC, A GBR EUR 351,116 2.69 20,419 BP PLC GBR GBP 108,107 0.83 1,404 Repsol SA ESP EUR 21,825 0.17

481,048 3.69

Road & Rail 359 FirstGroup PLC GBR GBP 493 0.00

Specialty Retail 71,966 Kingfisher PLC GBR GBP 315,662 2.42 1,991 Dufry AG CHE CHF 246,603 1.89

562,265 4.31

Technology Hardware, Storage & Peripherals 1,493 Wincor Nixdorf AG DEU EUR 60,034 0.46

Trading Companies & Distributors 40,180 Kloeckner & Co. SE DEU EUR 360,133 2.76

TOTAL SHARES 12,652,141 96.91

RIGHTS Oil, Gas & Consumable Fuels 1,404 Repsol SA, rts., 01/08/15 ESP EUR 642 0.01

TOTAL RIGHTS 642 0.01


TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET BONDS Corporate Bonds 100,000 Baggot Securities Ltd., secured bond, Reg S, 10.24%, Perpetual IRL EUR 104,757 0.80


TOTAL TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET 104,757 0.80


Number of shares or



Marketvalue

% ofnet

assets





— Franklin Mutual European Fund —

TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Airlines 10,856,575 International Consolidated Airlines Group SA GBR GBP 67,982,263 2.18

Auto Components 3,445,426 Pirelli & C. SpA ITA EUR 38,623,225 1.24 338,548 Cie Generale des Etablissements Michelin, B FRA EUR 25,482,508 0.82

64,105,733 2.06

Automobiles 379,346 Volkswagen AG, pfd. DEU EUR 70,046,239 2.25 39,591 Audi AG DEU EUR 25,732,170 0.82

95,778,409 3.07

Banks 25,791,025 Barclays PLC GBR GBP 80,899,293 2.60 1,465,300 BNP Paribas SA FRA EUR 72,180,678 2.32 4,809,814 ING Groep NV, IDR NLD EUR 52,090,286 1.67 9,691,304 UniCredit SpA ITA EUR 51,703,107 1.66 1,366,772 Societe Generale SA FRA EUR 47,823,352 1.53 3,426,475 Commerzbank AG DEU EUR 37,622,695 1.21 13,676,830 Intesa Sanpaolo SpA ITA EUR 33,125,282 1.06 18,749,459 National Bank of Greece SA GRC EUR 27,561,705 0.88

403,006,398 12.93

Capital Markets 1,668,217 Credit Suisse Group AG CHE CHF 34,779,310 1.12 1,954,430 UBS Group AG CHE CHF 27,765,344 0.89

62,544,654 2.01

Chemicals 735,788 Arkema FRA EUR 40,519,845 1.30

Commercial Services & Supplies 8,313,352 G4S PLC GBR GBP 29,760,613 0.95

Construction & Engineering 1,212,845 FLSmidth & Co. AS DNK DKK 44,345,196 1.42 3,778,460 Balfour Beatty PLC GBR GBP 10,318,768 0.33

54,663,964 1.75

Construction Materials 473,977 SA des Ciments Vicat FRA EUR 28,249,029 0.91

Containers & Packaging 6,223,366 Rexam PLC GBR GBP 36,380,360 1.17

Diversified Financial Services 622,000 Oslo Bors VPS Holding ASA NOR NOK 5,229,256 0.17

Diversified Telecommunication Services 31,946,480 Koninklijke KPN NV NLD EUR 83,955,349 2.69 7,017,553 TDC AS DNK DKK 44,503,820 1.43 4,386,582 Hellenic Telecommunications Organization SA GRC EUR 39,917,896 1.28 37,015,289 Telecom Italia SpA ITA EUR 32,647,485 1.05 1,913,441 Telenor ASA NOR NOK 32,067,390 1.03

233,091,940 7.48


Food & Staples Retailing 2,820,389 Metro AG DEU EUR 71,384,045 2.29

Hotels, Restaurants & Leisure 2,486,856 Accor SA FRA EUR 92,859,203 2.98

Industrial Conglomerates 308,746 Siemens AG DEU EUR 28,944,938 0.93 1,174,481 Koninklijke Philips NV NLD EUR 28,363,716 0.91

57,308,654 1.84

Insurance 25,847,625 Direct Line Insurance Group PLC GBR GBP 96,992,530 3.11 2,987,561 Ageas BEL EUR 88,147,987 2.83 13,631,127 RSA Insurance Group PLC GBR GBP 76,383,258 2.45 2,417,734 NN Group NV NLD EUR 60,068,601 1.93 16,389,649 Storebrand ASA NOR NOK 52,940,545 1.70 3,014,895 Assicurazioni Generali SpA ITA EUR 51,253,215 1.64 6,987,274 Lancashire Holdings Ltd. GBR GBP 50,404,924 1.62

Number of shares or



Marketvalue

% ofnet

assets






Insurance (continued) 5,360,429 UNIQA Insurance Group AG AUT EUR 41,688,056 1.34 6,909,246 Friends Life Group Ltd. GBR GBP 32,593,136 1.04 245,020 ACE Ltd. USA USD 23,262,726 0.74

573,734,978 18.40

Machinery 3,814,405 IMI PLC GBR GBP 62,059,363 1.99 501,910 Vossloh AG DEU EUR 26,852,185 0.86 2,244,291 CNH Industrial NV GBR EUR 15,036,749 0.48

103,948,297 3.33


Media 3,714,634 Reed Elsevier PLC GBR GBP 52,636,363 1.69 938,649 Liberty Global PLC, C GBR USD 37,476,144 1.20 327,646 RTL Group SA DEU EUR 25,923,351 0.83

116,035,858 3.72

Metals & Mining 3,429,148 ThyssenKrupp AG DEU EUR 72,903,687 2.34 1,069,210 Voestalpine AG AUT EUR 35,064,742 1.12 1,032,471 Anglo American PLC GBR GBP 15,966,774 0.51

123,935,203 3.97

Multiline Retail 6,426,395 Marks & Spencer Group PLC GBR GBP 39,636,812 1.27

Oil, Gas & Consumable Fuels 2,290,986 Royal Dutch Shell PLC, A GBR EUR 63,368,673 2.03 3,233,391 BG Group PLC GBR GBP 36,028,940 1.16 14,377,531 Cairn Energy PLC GBR GBP 33,059,760 1.06 5,419,713 BP PLC GBR GBP 28,694,276 0.92 336,514 Repsol SA ESP EUR 5,231,110 0.17

166,382,759 5.34

Pharmaceuticals 695,701 Novartis AG CHE CHF 53,407,274 1.71

Road & Rail 5,106,702 FirstGroup PLC GBR GBP 7,019,111 0.22

Specialty Retail 16,120,366 Kingfisher PLC GBR GBP 70,708,101 2.27 544,961 Dufry AG CHE CHF 67,498,259 2.16

138,206,360 4.43

Technology Hardware, Storage & Peripherals 484,934 Wincor Nixdorf AG DEU EUR 19,499,196 0.63

Trading Companies & Distributors 3,414,370 Kloeckner & Co. SE DEU EUR 30,602,998 0.98


TOTAL SHARES 2,961,232,320 94.97




TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET SHARES Energy Equipment & Services 1,439,424 DeepOcean Group Holding BV NLD USD 29,740,166 0.96

TOTAL SHARES 29,740,166 0.96

BONDS Corporate Bonds 6,933,000 Baggot Securities Ltd., secured bond, Reg S, 10.24%, Perpetual IRL EUR 7,262,803 0.23

TOTAL BONDS 7,262,803 0.23


Number of shares or



Marketvalue

% ofnet

assets






TRANSFERABLE SECURITIES NOT ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING NOR DEALT IN ON ANOTHER REGULATED MARKET SHARES Real Estate Management & Development 2,100 Canary Wharf Group PLC ** GBR GBP 14,633 0.00

Road & Rail 18,431,027 Euro Wagon LP ** JER EUR 17,500,813 0.56

TOTAL SHARES 17,515,446 0.56




Number of shares or



Marketvalue

% ofnet

assets





— Franklin Mutual Global Discovery Fund —

TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Aerospace & Defense 168,500 B/E Aerospace Inc. USA USD 9,776,370 0.63 84,250 KLX Inc. USA USD 3,475,312 0.22

13,251,682 0.85

Airlines 1,091,963 International Consolidated Airlines Group SA GBR GBP 8,273,629 0.53

Auto Components 114,380 Cie Generale des Etablissements Michelin, B FRA EUR 10,417,353 0.67

Automobiles 104,633 Volkswagen AG, pfd. DEU EUR 23,377,784 1.50 535,460 General Motors Co. USA USD 18,692,909 1.20 47,944 Hyundai Motor Co. KOR KRW 7,407,965 0.47

49,478,658 3.17

Banks 5,322,822 Barclays PLC GBR GBP 20,202,421 1.29 305,970 JPMorgan Chase & Co. USA USD 19,147,603 1.23 345,960 Wells Fargo & Co. USA USD 18,965,527 1.21 1,329,242 Commerzbank AG DEU EUR 17,660,043 1.13 296,000 BNP Paribas SA FRA EUR 17,642,961 1.13 320,650 Citigroup Inc. USA USD 17,350,371 1.11 186,080 PNC Financial Services Group Inc. USA USD 16,976,078 1.09 1,272,800 ING Groep NV, IDR NLD EUR 16,679,153 1.07 21,008,782 Industrial and Commercial Bank of China Ltd., H CHN HKD 15,335,372 0.98 1,175,620 HSBC Holdings PLC GBR GBP 11,152,223 0.71 263,060 Societe Generale SA FRA EUR 11,137,408 0.71 260,480 SunTrust Banks Inc. USA USD 10,914,112 0.70 293,430 Hana Financial Group Inc. KOR KRW 8,584,845 0.55 201,606 Citizens Financial Group Inc. USA USD 5,011,925 0.32 49,750 Seacoast Banking Corp. of Florida USA USD 684,063 0.04

207,444,105 13.27

Beverages 205,764 PepsiCo Inc. USA USD 19,457,044 1.24

Capital Markets 315,303 Credit Suisse Group AG CHE CHF 7,953,932 0.51


Construction & Engineering 24,871,500 Sinopec Engineering Group Co. Ltd. CHN HKD 16,839,852 1.08 272,040 FLSmidth & Co. AS DNK DKK 12,035,369 0.77

28,875,221 1.85

Construction Materials 29,216,000 Xinyi Glass Holdings Ltd. CHN HKD 14,732,434 0.94

Consumer Finance 432,300 Ally Financial Inc. USA USD 10,210,926 0.65


Diversified Telecommunication Services 7,561,950 Koninklijke KPN NV NLD EUR 24,046,093 1.54 1,467,529 TDC AS DNK DKK 11,261,173 0.72

35,307,266 2.26


Energy Equipment & Services 256,290 Baker Hughes Inc. USA USD 14,370,180 0.92 222,144 Transocean Ltd. USA USD 4,071,900 0.26 67,333 Ensco PLC, A USA USD 2,016,623 0.13

20,458,703 1.31

Food & Staples Retailing 606,064 Metro AG DEU EUR 18,560,770 1.19 170,206 Walgreens Boots Alliance Inc. USA USD 12,969,697 0.83

31,530,467 2.02

Health Care Equipment & Supplies 447,987 Medtronic Inc. USA USD 32,344,662 2.07 196,355 Stryker Corp. USA USD 18,522,167 1.18

50,866,829 3.25

Number of shares or



Marketvalue

% ofnet

assets







Hotels, Restaurants & Leisure 534,140 Accor SA FRA EUR 24,133,192 1.54


Industrial Conglomerates 301,740 Jardine Strategic Holdings Ltd. HKG USD 10,319,508 0.66 117,458 Koninklijke Philips NV NLD EUR 3,432,299 0.22

13,751,807 0.88

Insurance 5,102,574 RSA Insurance Group PLC GBR GBP 34,597,211 2.21 6,635,668 Direct Line Insurance Group PLC GBR GBP 30,129,203 1.93 4,608,912 China Pacific Insurance (Group) Co. Ltd., H CHN HKD 23,270,579 1.49 298,616 The Allstate Corp. USA USD 20,977,774 1.34 9,608,213 PICC Property and Casualty Co. Ltd., H CHN HKD 18,686,199 1.20 320,837 American International Group Inc. USA USD 17,970,080 1.15 3,074,045 Friends Life Group Ltd. GBR GBP 17,546,523 1.12 124,490 PartnerRe Ltd. USA USD 14,208,044 0.91 233,420 MetLife Inc. USA USD 12,625,688 0.81 107,560 ACE Ltd. USA USD 12,356,493 0.79 3,013,580 Storebrand ASA NOR NOK 11,778,415 0.75 1,251,030 Lancashire Holdings Ltd. GBR GBP 10,919,890 0.70

225,066,099 14.40

IT Services 877,274 Xerox Corp. USA USD 12,159,018 0.78

Machinery 816,920 CNH Industrial NV GBR EUR 6,622,771 0.43 68,593 Caterpillar Inc. USA USD 6,278,317 0.40

12,901,088 0.83


Media 351,478 CBS Corp., B USA USD 19,450,793 1.24 93,999 Time Warner Cable Inc. USA USD 14,293,488 0.91 158,570 Time Warner Inc. USA USD 13,545,049 0.87 308,560 Twenty-First Century Fox Inc., B USA USD 11,382,778 0.73

58,672,108 3.75

Metals & Mining 597,973 ThyssenKrupp AG DEU EUR 15,382,616 0.98 488,466 Anglo American PLC GBR GBP 9,140,270 0.59 171,868 Freeport-McMoRan Inc., B USA USD 4,014,836 0.26

28,537,722 1.83

Multiline Retail 1,752,967 Marks & Spencer Group PLC GBR GBP 13,082,490 0.83 86,306 Kohl’s Corp. USA USD 5,268,118 0.34

18,350,608 1.17

Oil, Gas & Consumable Fuels 894,910 Royal Dutch Shell PLC, A GBR EUR 29,951,384 1.92 2,746,160 BP PLC GBR GBP 17,592,606 1.12 262,276 Apache Corp. USA USD 16,436,837 1.05 4,501,263 China Shenhua Energy Co. Ltd., H CHN HKD 13,293,730 0.85 339,820 Marathon Oil Corp. USA USD 9,613,508 0.61 1,074,230 Talisman Energy Inc. CAN USD 8,411,221 0.54 94,150 Anadarko Petroleum Corp. USA USD 7,767,375 0.50 529,660 BG Group PLC GBR GBP 7,141,276 0.46 120,940 Murphy Oil Corp. USA USD 6,109,889 0.39 138,943 Repsol SA ESP EUR 2,613,441 0.17 58,509 Talisman Energy Inc. CAN CAD 458,499 0.03

119,389,766 7.64



Number of shares or



Marketvalue

% ofnet

assets






Pharmaceuticals 613,380 Merck & Co. Inc. USA USD 34,833,850 2.23 569,927 Teva Pharmaceutical Industries Ltd., ADR ISR USD 32,776,502 2.10 277,751 Eli Lilly & Co. USA USD 19,162,042 1.22 254,641 Hospira Inc. USA USD 15,596,761 1.00

102,369,155 6.55

Real Estate Management & Development 1,028,700 Dalian Wanda Commercial Properties Co. Ltd., H CHN HKD 6,547,159 0.42 1,208,696 Dolphin Capital Investors Ltd. GRC GBP 522,809 0.03

7,069,968 0.45

Software 592,236 Microsoft Corp. USA USD 27,509,362 1.76 751,022 Symantec Corp. USA USD 19,267,470 1.23

46,776,832 2.99

Specialty Retail 3,937,374 Kingfisher PLC GBR GBP 20,897,114 1.34 129,224 Dufry AG CHE CHF 19,366,703 1.24 24,627,191 China ZhengTong Auto Services Holdings Ltd. CHN HKD 10,830,444 0.69 17,832,500 Baoxin Auto Group Ltd. CHN HKD 10,326,082 0.66

61,420,343 3.93

Technology Hardware, Storage & Peripherals 261,050 Apple Inc. USA USD 28,814,699 1.84 12,638 Samsung Electronics Co. Ltd. KOR KRW 15,333,004 0.98 315,894 Hewlett-Packard Co. USA USD 12,676,826 0.81

56,824,529 3.63

Tobacco 376,150 British American Tobacco PLC GBR GBP 20,520,675 1.31 240,932 Lorillard Inc. USA USD 15,164,260 0.97 129,571 Altria Group Inc. USA USD 6,383,963 0.41 74,960 Philip Morris International Inc. USA USD 6,105,492 0.39

48,174,390 3.08


TOTAL SHARES 1,470,103,035 94.04




TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET SHARES Paper & Forest Products 41,680 NewPage Holdings Inc. USA USD 3,782,460 0.24


BONDS Corporate Bonds 11,450,000 iHeartCommunications Inc., senior secured note, first lien, 9.00%, 12/15/19 USA USD 11,321,188 0.72 5,418,000 Avaya Inc., senior secured note, 144A, 7.00%, 04/01/19 USA USD 5,309,640 0.34 6,560,000 Walter Energy Inc., first lien, 144A, 9.50%, 10/15/19 USA USD 5,018,400 0.32 4,735,000 Avaya Inc., senior note, 144A, 10.50%, 03/01/21 USA USD 4,072,100 0.26 2,284,000 Baggot Securities Ltd., secured bond, Reg S, 10.24%, Perpetual IRL EUR 2,895,106 0.18 1,678,000 NGPL PipeCo LLC, secured note, 144A, 7.119%, 12/15/17 USA USD 1,657,025 0.11 1,739,000 Walter Energy Inc., second lien, 144A, PIK, 11.50%, 04/01/20 ‡ USA USD 582,565 0.04

30,856,024 1.97

Government and Municipal Bonds 6,378,000 Puerto Rico Commonwealth GO, Refunding, Series A, 8.00%, 07/01/35 USA USD 5,572,777 0.36

Securities Maturing Within One Year 5,000,000 U.S. Treasury Bill, 0.00%, 04/16/15 USA USD 4,999,710 0.32 5,000,000 U.S. Treasury Bill, 0.00%, 04/30/15 USA USD 4,999,425 0.32 4,000,000 U.S. Treasury Bill, 0.00%, 05/14/15 USA USD 3,999,376 0.26

Number of shares or



Marketvalue

% ofnet

assets






Securities Maturing Within One Year (continued) 2,500,000 U.S. Treasury Bill, 0.00%, 04/23/15 USA USD 2,499,750 0.16 1,000,000 U.S. Treasury Bill, 0.00%, 04/02/15 USA USD 999,912 0.06 100,000 U.S. Treasury Bill, 0.00%, 01/02/15 USA USD 100,000 0.01

17,598,173 1.13

TOTAL BONDS 54,026,974 3.46


TRANSFERABLE SECURITIES NOT ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING NOR DEALT IN ON ANOTHER REGULATED MARKET SHARES Auto Components 207,777 International Automotive Components Group North America LLC ** USA USD 157,325 0.01

Consumer Finance 172,544 FIM Coinvestor Holdings I LLC ** USA USD 0 0.00

Diversified Financial Services 7,190,000 Hightower Holding LLC, pfd., A ** USA USD 7,775,985 0.50 1,552,000 Hightower Holding LLC, pfd., A, 2 ** USA USD 3,610,573 0.23

11,386,558 0.73

TOTAL SHARES 11,543,883 0.74


TOTAL BONDS 0 0.00



** These securities are submitted to a Fair Valuation ‡ Income may be received in additional securities and/or cash

Number of shares or



Marketvalue

% ofnet

assets





— Templeton Africa Fund —

TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Banks 48,452,690 Guaranty Trust Bank PLC NGA NGN 6,666,878 5.09 56,370,491 Zenith Bank PLC NGA NGN 5,670,933 4.33 753,938 Commercial International Bank Egypt SAE EGY EGP 5,177,356 3.95 70,100,024 FBN Holdings PLC NGA NGN 3,370,930 2.57 4,906,268 Kenya Commercial Bank Ltd. KEN KES 3,061,338 2.34 74,161,921 Access Bank Nigeria PLC NGA NGN 2,674,692 2.04 333,900 MCB Group Ltd. MUS MUR 2,088,193 1.59 128,600 Barclays Africa Group Ltd. ZAF ZAR 2,023,884 1.54 74,291,865 United Bank for Africa PLC NGA NGN 1,753,775 1.34 6,176,556 The Co-operative Bank of Kenya Ltd. KEN KES 1,343,768 1.02 1,899,412 Equity Bank Ltd. KEN KES 1,048,819 0.80 397,251 Ecobank Transnational Inc. NGA NGN 40,333 0.03

34,920,899 26.64

Beverages 7,584,811 Nigerian Breweries PLC NGA NGN 6,851,198 5.23 4,414,592 Delta Corp. Ltd. ZWE USD 4,502,884 3.44 1,045,892 East African Breweries Ltd. KEN KES 3,580,635 2.73 21,400 SABMiller PLC GBR ZAR 1,120,269 0.85

16,054,986 12.25

Chemicals 463,045 Alexandria Mineral Oils Co. EGY EGP 3,885,665 2.96 109,909 Paints & Chemical Industries Co. SAE EGY EGP 709,100 0.54

4,594,765 3.50

Diversified Financial Services 225,100 Remgro Ltd. ZAF ZAR 4,943,850 3.77 769,230 Poulina Group TUN TND 2,313,226 1.77

7,257,076 5.54

Diversified Telecommunication Services 99,146 Sonatel SEN XOF 4,172,642 3.18 1,474,921 Telecom Egypt EGY EGP 2,452,684 1.87

6,625,326 5.05

Food & Staples Retailing 355,000 Shoprite Holdings Ltd. ZAF ZAR 5,164,529 3.94 100,302 Massmart Holdings Ltd. ZAF ZAR 1,238,543 0.94

6,403,072 4.88

Food Products 2,078,081 Juhayna Food Industries EGY EGP 2,784,318 2.13 507,600 Zambeef Products PLC ZMB GBP 95,933 0.07

2,880,251 2.20

Hotels, Restaurants & Leisure 573,279 New Mauritius Hotels Ltd. MUS MUR 1,421,428 1.08

Industrial Conglomerates 100,818 Press Corp. Ltd., GDR, Reg S MWI USD 1,965,816 1.50 2,275,197 Innscor Africa Ltd. ZWE USD 1,421,998 1.09 6,426,706 UAC of Nigeria PLC NGA NGN 1,208,080 0.92

4,595,894 3.51

Metals & Mining 111,420 Anglo American PLC GBR ZAR 2,074,631 1.58 55,899 Kumba Iron Ore Ltd. ZAF ZAR 1,159,598 0.89 140,950 Impala Platinum Holdings Ltd. ZAF ZAR 923,619 0.70

4,157,848 3.17

Oil, Gas & Consumable Fuels 1,132,697 SEPLAT Petroleum Development Co. PLC, Reg S NGA GBP 2,542,370 1.94 169,800 Exxaro Resources Ltd. ZAF ZAR 1,519,677 1.16

4,062,047 3.10

Pharmaceuticals 632,619 Egyptian International Pharmaceutical Industries Co. EGY EGP 6,945,489 5.30

Specialty Retail 324,832 The Foschini Group Ltd. ZAF ZAR 3,742,541 2.86 226,428 Truworths International Ltd. ZAF ZAR 1,513,109 1.15

5,255,650 4.01

Number of shares or



Marketvalue

% ofnet

assets





— Templeton Africa Fund —

Tobacco 184,900 Eastern Tobacco EGY EGP 5,689,449 4.34 138,000 British American Tobacco Kenya Ltd. Corp. KEN KES 1,371,618 1.05

7,061,067 5.39

Wireless Telecommunication Services 305,086 MTN Group Ltd. ZAF ZAR 5,841,073 4.46 3,476,610 Econet Wireless Zimbabwe Ltd. ZWE USD 2,085,966 1.59 281,700 Global Telecom Holding, GDR, Reg S EGY USD 802,845 0.61

8,729,884 6.66

TOTAL SHARES 120,965,682 92.28


TRANSFERABLE SECURITIES NOT ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING NOR DEALT IN ON ANOTHER REGULATED MARKET SHARES Beverages 1,504,712 Sechaba Brewery Holding Ltd. BWA BWP 4,445,462 3.39

Consumer Finance 7,385,565 Letshego Holdings Ltd. BWA BWP 2,064,753 1.58




Number of shares or



Marketvalue

% ofnet

assets





— Templeton ASEAN Fund —

TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Automobiles 344,000 Astra International Tbk PT IDN IDR 206,233 4.15

Banks 15,000 DBS Group Holdings Ltd. SGP SGD 233,243 4.69 12,000 United Overseas Bank Ltd. SGP SGD 222,192 4.47 28,000 Oversea-Chinese Banking Corp. Ltd. SGP SGD 221,075 4.44 27,300 Kasikornbank PCL, fgn. THA THB 190,137 3.82 164,000 Bank Rakyat Indonesia Persero Tbk PT IDN IDR 154,267 3.10 26,400 Siam Commercial Bank PCL, fgn. THA THB 146,131 2.94 311,100 Bank Danamon Indonesia Tbk PT IDN IDR 113,664 2.29 114,500 Bank Mandiri Persero Tbk PT, ADR IDN IDR 99,616 2.00 18,900 Hong Leong Financial Group Bhd. MYS MYR 89,297 1.80 26,000 Malayan Banking Bhd. MYS MYR 68,188 1.37 36,300 Alliance Financial Group Bhd. MYS MYR 48,795 0.98 9,000 Public Bank Bhd. MYS MYR 47,104 0.95

1,633,709 32.85

Beverages 15,000 Carlsberg Brewery Malaysia Bhd. MYS MYR 50,365 1.01 45,000 Thai Beverage PCL, fgn. THA SGD 23,437 0.47

73,802 1.48

Construction & Engineering 64,800 Gamuda Bhd. MYS MYR 92,850 1.87

Construction Materials 153,000 Semen Indonesia (Persero) Tbk PT IDN IDR 200,129 4.03 7,200 Siam Cement PCL, fgn. THA THB 98,540 1.98

298,669 6.01

Diversified Financial Services 3,410 Ayala Corp. PHL PHP 52,842 1.06

Diversified Telecommunication Services 56,000 Singapore Telecommunications Ltd. SGP SGD 164,855 3.31 333,000 Telekomunikasi Indonesia Persero Tbk PT, B IDN IDR 77,032 1.55 33,400 TIME DotCom Bhd. MYS MYR 46,616 0.94

288,503 5.80

Electric Utilities 24,000 Tenaga Nasional Bhd. MYS MYR 94,723 1.91

Electronic Equipment, Instruments & Component 255,400 Erajaya Swasembada Tbk PT IDN IDR 22,478 0.45

Food Products 19,000 Thai Union Frozen Products PCL, fgn. THA THB 52,296 1.05 139,000 Century Pacific Food Inc. PHL PHP 50,715 1.02 31,000 Super Group Ltd. SGP SGD 26,793 0.54

129,804 2.61

Gas Utilities 199,000 Perusahaan Gas Negara (Persero) Tbk PT IDN IDR 96,407 1.94

Health Care Equipment & Supplies 24,200 Hartalega Holdings Bhd. MYS MYR 48,656 0.98 106,000 Biosensors International Group Ltd. SGP SGD 46,807 0.94

95,463 1.92

Health Care Providers & Services 90,100 Bangkok Dusit Medical Services PCL, fgn. THA THB 47,133 0.95 188,500 Bangkok Chain Hospital PCL, fgn. THA THB 45,290 0.91

92,423 1.86

Hotels, Restaurants & Leisure 249,700 Bloomberry Resorts Corp. PHL PHP 69,137 1.39 168,900 Melco Crown Philippines Resorts Corp. PHL PHP 51,215 1.03 348,900 The Erawan Group PCL, fgn. THA THB 49,236 0.99

169,588 3.41

Independent Power and Renewable Electricity Producers 72,100 Energy Development Corp. PHL PHP 13,201 0.27

Industrial Conglomerates 7,000 Keppel Corp. Ltd. SGP SGD 46,762 0.94 11,000 SembCorp Industries Ltd. SGP SGD 36,949 0.74

83,711 1.68

Number of shares or



Marketvalue

% ofnet

assets





— Templeton ASEAN Fund —

Insurance 2,126,500 Panin Financial Tbk PT IDN IDR 51,338 1.03

Machinery 32,000 United Tractors Tbk PT IDN IDR 44,828 0.90 16,000 SembCorp Marine Ltd. SGP SGD 39,372 0.79

84,200 1.69

Media 66,000 Major Cineplex Group PCL, fgn. THA THB 55,703 1.12

Multiline Retail 2,113,500 Ramayana Lestari Sentosa Tbk PT IDN IDR 134,814 2.71

Pharmaceuticals 357,000 Kalbe Farma Tbk PT IDN IDR 52,750 1.06

Real Estate Investment Trust (REIT) 32,000 CapitaMall Trust SGP SGD 49,275 0.99

Real Estate Management & Development 492,000 Land and Houses PCL, NVDR THA THB 135,420 2.72 87,000 Robinsons Land Corp. PHL PHP 51,479 1.04 64,000 Supalai PCL, fgn. THA THB 46,910 0.94 6,000 City Developments Ltd. SGP SGD 46,513 0.94

280,322 5.64

Transportation Infrastructure 3,000 Airports of Thailand PCL THA THB 25,730 0.52

Wireless Telecommunication Services 66,400 Intouch Holdings PCL, NVDR THA THB 159,033 3.20 13,700 Advanced Info Service PCL, fgn. THA THB 104,583 2.10

263,616 5.30

TOTAL SHARES 4,442,154 89.33



Number of shares or



Marketvalue

% ofnet

assets





TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET BONDS Corporate Bonds 52,540,000 Sinochem Overseas Capital Co. Ltd., senior note, Reg S, 4.50%, 11/12/20 CHN USD 55,631,296 2.93 295,000,000 Bank of China Ltd./Singapore, senior note, Reg S, 3.30%, 03/04/16 CHN CNY 47,355,578 2.49 280,000,000 Bank of China Ltd./Sydney, senior note, Reg S, 3.25%, 04/17/16 CHN CNY 44,892,399 2.36 17,960,000 ICICI Bank Ltd., junior sub. notes, Reg S, 6.375% to 04/30/17,

FRN thereafter, 04/30/22 IND USD 18,599,825 0.98 1,000,000,000 Export-Import Bank of India, senior note, 9.70%, 11/21/18 IND INR 16,482,986 0.87 3,800,000 HSBC Holdings PLC, sub. note, 6.50%, 09/15/37 GBR USD 4,898,618 0.26 230,000,000 Export-Import Bank of India, senior note, 8.76%, 01/10/18 IND INR 3,692,205 0.20 165,000 Hutchison Whampoa International Ltd., Reg S, 7.45%, 11/24/33 HKG USD 243,447 0.01

191,796,354 10.10

Government and Municipal Bonds 4,364,731,288 Government of Thailand, Index Linked, Reg S, 1.25%, 03/12/28 THA THB 118,539,691 6.24 125,500,000 Government of Mongolia, Reg S, 5.125%, 12/05/22 MNG USD 109,894,075 5.79 74,325,000 Government of Fiji, senior bond, 9.00%, 03/15/16 FJ USD 79,187,341 4.17 74,612,000,000 Korea Monetary Stabilization Bond, senior note, 2.07%, 12/02/16 KOR KRW 68,196,077 3.59 365,000,000 Government of China, senior note, Reg S, 2.74%, 11/21/17 CHN CNY 58,340,775 3.07 3,430,000,000 Government of India, 7.99%, 07/09/17 IND INR 54,481,416 2.87 3,400,000,000 Government of India, senior bond, 7.02%, 08/17/16 IND INR 53,394,752 2.81 5,494,000,000 Government of Sri Lanka, B, 8.00%, 06/01/16 LKA LKR 42,778,244 2.25 381,047,000,000 Government of Indonesia, FR40, 11.00%, 09/15/25 IDN IDR 37,197,084 1.96 37,184,300,000 Korea Monetary Stabilization Bond, senior note, 2.22%, 10/02/16 KOR KRW 34,076,451 1.79 34,721,800,000 Korea Monetary Stabilization Bond, senior note, 2.46%, 08/02/16 KOR KRW 31,927,098 1.68 3,997,820,000 Government of Sri Lanka, C, 8.50%, 04/01/18 LKA LKR 31,722,031 1.67 325,620,000,000 Government of Indonesia, FR46, 9.50%, 07/15/23 IDN IDR 29,006,067 1.53 3,189,910,000 Government of Sri Lanka, A, 9.00%, 05/01/21 LKA LKR 25,950,356 1.37 1,600,000,000 Government of India, senior note, 8.07%, 07/03/17 IND INR 25,518,775 1.34 241,600,000,000 Government of Indonesia, FR47, 10.00%, 02/15/28 IDN IDR 22,375,059 1.18 882,000,000 Government of the Philippines, senior note, 4.95%, 01/15/21 PHL PHP 20,723,504 1.09 216,408,000,000 Government of Indonesia, FR42, 10.25%, 07/15/27 IDN IDR 20,548,719 1.08 2,126,100,000 Government of Sri Lanka, A, 5.80%, 01/15/17 LKA LKR 15,934,325 0.84 157,890,000,000 Government of Indonesia, FR39, 11.75%, 08/15/23 IDN IDR 15,852,740 0.83 15,409,800,000 Korea Treasury Bond, senior note, 3.00%, 12/10/16 KOR KRW 14,330,892 0.75 624,820,000 Government of the Philippines, senior note, 1.625%, 04/25/16 PHL PHP 13,817,726 0.73 14,772,000,000 Korea Treasury Bond, senior note, 2.75%, 06/10/16 KOR KRW 13,630,984 0.72 1,482,900,000 Government of Sri Lanka, B, 6.40%, 10/01/16 LKA LKR 11,263,937 0.59 414,070,000 Government of the Philippines, senior bond, 9.125%, 09/04/16 PHL PHP 10,020,304 0.53 600,000,000 Government of India, senior bond, 7.46%, 08/28/17 IND INR 9,398,541 0.50 1,121,000,000 Government of Sri Lanka, B, 5.80%, 07/15/17 LKA LKR 8,320,819 0.44 814,360,000 Government of Sri Lanka, B, 8.50%, 07/15/18 LKA LKR 6,473,852 0.34 5,400,000 Government of Sri Lanka, senior note, Reg S, 6.25%, 07/27/21 LKA USD 5,647,374 0.30 59,577,000,000 Government of Indonesia, FR44, 10.00%, 09/15/24 IDN IDR 5,452,606 0.29 66,096,000,000 Government of Indonesia, 7.875%, 04/15/19 IDN IDR 5,403,487 0.28 230,040,000 Government of the Philippines, senior bond, 7.00%, 01/27/16 PHL PHP 5,330,701 0.28 383,900,000 Government of Sri Lanka, D, 8.50%, 06/01/18 LKA LKR 3,052,605 0.16 296,300,000 Government of Sri Lanka, A, 8.00%, 11/15/18 LKA LKR 2,322,330 0.12 21,215,000,000 Government of Indonesia, FR37, 12.00%, 09/15/26 IDN IDR 2,215,714 0.12 20,491,000,000 Government of Indonesia, senior bond, FR53, 8.25%, 07/15/21 IDN IDR 1,696,964 0.09 100,000,000 Government of India, senior note, 7.59%, 04/12/16 IND INR 1,581,835 0.08 160,400,000 Government of Sri Lanka, A, 6.40%, 08/01/16 LKA LKR 1,221,626 0.06 1,840,000 Financing of Infrastructure Projects State Enterprise, Reg S, 7.40%, 04/20/18 UKR USD 1,113,752 0.06 1,080,000 Government of Singapore, senior note, 1.125%, 04/01/16 SGP SGD 820,663 0.04 8,109,000,000 Government of Indonesia, FR31, 11.00%, 11/15/20 IDN IDR 751,587 0.04

1,019,512,879 53.67

Securities Maturing Within One Year 451,437,000 Government of Malaysia, 4.72%, 09/30/15 MYS MYR 130,368,653 6.86 62,499,100,000 Korea Monetary Stabilization Bond, 0.00%, 01/13/15 KOR KRW 57,115,796 3.01 2,120,000,000 The Export-Import Bank of Korea, senior note, Reg S, 4.00%, 11/26/15 KOR PHP 48,033,136 2.53 50,906,300,000 Korea Treasury Bond, senior note, 2.75%, 12/10/15 KOR KRW 46,836,535 2.46 2,010,000,000 Philippine Treasury Bill, 0.00%, 01/07/15 PHL PHP 44,873,770 2.36 45,381,100,000 Korea Monetary Stabilization Bond, senior note, 2.76%, 06/02/15 KOR KRW 41,608,415 2.19 43,402,100,000 Korea Monetary Stabilization Bond, senior note, 2.13%, 10/08/15 KOR KRW 39,700,127 2.09 2,390,000,000 Government of India, 7.17%, 06/14/15 IND INR 37,755,630 1.99 117,600,000 Government of Malaysia, 3.835%, 08/12/15 MYS MYR 33,731,171 1.77 3,540,100,000 Government of Sri Lanka, A, 11.00%, 08/01/15 LKA LKR 27,757,946 1.46 22,058,100,000 Korea Monetary Stabilization Bond, senior bond, 2.47%, 04/02/15 KOR KRW 20,187,772 1.06 62,105,000 Government of Malaysia, 3.741%, 02/27/15 MYS MYR 17,773,415 0.94 51,380,000 Government of Malaysia, 3.197%, 10/15/15 MYS MYR 14,672,506 0.77 10,477,100,000 Korea Treasury Bond, senior note, 3.25%, 06/10/15 KOR KRW 9,627,368 0.51 22,960,000 Bank of Negara Monetary Note, 0.00%, 03/05/15 MYS MYR 6,529,465 0.34 21,970,000 Bank of Negara Monetary Note, 0.00%, 05/05/15 MYS MYR 6,212,738 0.33 16,910,000 Bank of Negara Monetary Note, 0.00%, 05/19/15 MYS MYR 4,775,812 0.25 149,870,000 Philippine Treasury Bill, 0.00%, 09/02/15 PHL PHP 3,303,841 0.17 378,400,000 Government of Sri Lanka, B, 11.00%, 09/01/15 LKA LKR 2,977,506 0.16 74,510,000 Philippine Treasury Bill, 0.00%, 04/08/15 PHL PHP 1,655,610 0.09

— Templeton Asian Bond Fund —

Number of shares or



Marketvalue

% ofnet

assets





— Templeton Asian Bond Fund —

Securities Maturing Within One Year (continued) 50,710,000 Philippine Treasury Bill, 0.00%, 10/07/15 PHL PHP 1,115,824 0.06 39,160,000 Philippine Treasury Bill, 0.00%, 12/02/15 PHL PHP 859,143 0.04 860,000 Monetary Authority of Singapore Treasury Bill, 0.00%, 01/02/15 SGP SGD 649,155 0.03 22,790,000 Philippine Treasury Bill, 0.00%, 07/08/15 PHL PHP 503,892 0.03 20,710,000 Philippine Treasury Bill, 0.00%, 06/03/15 PHL PHP 458,784 0.02 15,810,000 Philippine Treasury Bill, 0.00%, 11/04/15 PHL PHP 347,371 0.02 13,650,000 Philippine Treasury Bill, 0.00%, 05/06/15 PHL PHP 302,846 0.02 250,000 Monetary Authority of Singapore Treasury Bill, 0.00%, 01/09/15 SGP SGD 188,684 0.01 6,780,000 Philippine Treasury Bill, 0.00%, 08/05/15 PHL PHP 149,685 0.01 122,250,000 Korea Monetary Stabilization Bond, senior note, 2.74%, 02/02/15 KOR KRW 111,828 0.01

600,184,424 31.59

TOTAL BONDS 1,811,493,657 95.36



BONDS Corporate Bonds 183,000,000 Industrial & Commercial Bank of China Ltd., senior note, Reg S,

3.20%, 04/24/16 CHN CNY 29,320,044 1.54

TOTAL BONDS 29,320,044 1.54



Number of shares or



Marketvalue

% ofnet

assets





— Templeton Asian Dividend Fund —

TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Automobiles 8,000 UMW Holdings Bhd. MYS MYR 25,076 0.33

Banks 229,662 Hatton National Bank PLC LKA LKR 267,822 3.53 309,600 China Construction Bank Corp., H CHN HKD 253,543 3.34 140,900 United Bank Ltd. PAK PKR 244,254 3.21 15,480 DBS Group Holdings Ltd. SGP SGD 240,706 3.17 38,200 Siam Commercial Bank PCL, fgn. THA THB 211,448 2.78 58,500 BOC Hong Kong (Holdings) Ltd. HKG HKD 195,404 2.57 36,000 Public Bank Bhd. MYS MYR 188,417 2.48 206,100 Industrial and Commercial Bank of China Ltd., H CHN HKD 150,443 1.98 18,678 Oversea-Chinese Banking Corp. Ltd. SGP SGD 147,473 1.94

1,899,510 25.00

Beverages 454,600 Thai Beverage PCL, fgn. THA SGD 236,771 3.11 47,000 Carlsberg Brewery Malaysia Bhd. MYS MYR 157,809 2.08

394,580 5.19

Building Products 112,700 Dynasty Ceramic PCL, fgn. THA THB 193,660 2.55

Chemicals 384,000 Fauji Fertilizer Co. Ltd. PAK PKR 445,052 5.86

Communications Equipment 15,000 VTech Holdings Ltd. HKG HKD 215,503 2.84

Diversified Telecommunication Services 815,000 Telekomunikasi Indonesia Persero Tbk PT, B IDN IDR 188,533 2.48 54,000 Singapore Telecommunications Ltd. SGP SGD 158,967 2.09

347,500 4.57

Electric Utilities 30,000 Cheung Kong Infrastructure Holdings Ltd. HKG HKD 222,661 2.93 22,500 Power Assets Holdings Ltd. HKG HKD 218,211 2.87

440,872 5.80

Electronic Equipment, Instruments & Components 230,600 Delta Electronics (Thailand) PCL, fgn. THA THB 494,443 6.51 115,000 Synnex Technology International Corp. TWN TWD 167,499 2.20 27,000 Simplo Technology Co. Ltd. TWN TWD 134,356 1.77

796,298 10.48

Gas Utilities 344,500 Perusahaan Gas Negara (Persero) Tbk PT IDN IDR 166,895 2.20

Hotels, Restaurants & Leisure 32,800 MGM China Holdings Ltd. HKG HKD 83,418 1.10

Machinery 89,000 Shin Zu Shing Co. Ltd. TWN TWD 202,458 2.67 14,000 SembCorp Marine Ltd. SGP SGD 34,451 0.45

236,909 3.12

Media 151,600 BEC World PCL, fgn. THA THB 235,146 3.10

Oil, Gas & Consumable Fuels 154,000 China Petroleum and Chemical Corp., H CHN HKD 124,130 1.63 74,000 PetroChina Co. Ltd., H CHN HKD 81,884 1.08 19,000 China Shenhua Energy Co. Ltd., H CHN HKD 56,113 0.74

262,127 3.45

Real Estate Investment Trusts (REITs) 456,700 Sunway REIT MYS MYR 198,537 2.62 115,000 CapitaMall Trust SGP SGD 177,083 2.33 78,500 KLCC Property Holdings Bhd. MYS MYR 150,646 1.98 99,000 Keppel REIT Management Ltd. SGP SGD 91,169 1.20

617,435 8.13

Real Estate Management & Development 502,600 Land and Houses PCL, fgn. THA THB 138,337 1.82 304,900 Quality Houses PCL, fgn. THA THB 33,940 0.45 83,500 Land and Houses PCL, NVDR THA THB 22,983 0.30

195,260 2.57

Number of shares or



Marketvalue

% ofnet

assets





— Templeton Asian Dividend Fund —

Semiconductors & Semiconductor Equipment 10,000 Novatek Microelectronics Corp. Ltd. TWN TWD 56,238 0.74

Specialty Retail 19,400 Giordano International Ltd. HKG HKD 8,632 0.11

Technology Hardware, Storage & Peripherals 13,000 Asustek Computer Inc. TWN TWD 142,318 1.87

Textiles, Apparel & Luxury Goods 802,000 Victory City International Holdings Ltd. HKG HKD 115,843 1.53

Tobacco 13,100 British American Tobacco Malaysia Bhd. MYS MYR 243,904 3.21

Trading Companies & Distributors 249,400 Hexindo Adiperkasa Tbk PT IDN IDR 70,581 0.93

Wireless Telecommunication Services 11,000 China Mobile Ltd. CHN HKD 128,670 1.70 32,400 Intouch Holdings PCL, NVDR THA THB 77,601 1.02 15,800 Grameenphone Ltd. BGD BDT 72,993 0.96

279,264 3.68

TOTAL SHARES 7,472,021 98.36



Number of shares or



Marketvalue

% ofnet

assets





TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Automobiles 496,698,000 Brilliance China Automotive Holdings Ltd. CHN HKD 794,311,957 6.52 1,201,786,000 Astra International Tbk PT IDN IDR 720,489,386 5.92 345,416,695 Guangzhou Automobile Group Co. Ltd., H CHN HKD 314,057,700 2.58

1,828,859,043 15.02

Banks 163,497,500 Siam Commercial Bank PCL, fgn. THA THB 905,004,410 7.43 108,031,700 Kasikornbank PCL, fgn. THA THB 752,410,563 6.18 167,038,010 China Merchants Bank Co. Ltd., H CHN HKD 419,213,391 3.44 291,359,500 Bank Rakyat Indonesia Persero Tbk PT IDN IDR 274,068,484 2.25 609,385,004 Bank Danamon Indonesia Tbk PT IDN IDR 222,645,712 1.83 54,612,089 MCB Bank Ltd. PAK PKR 166,075,931 1.37 41,133,889 Tisco Financial Group PCL, fgn. THA THB 53,168,804 0.44 46,974,200 Thanachart Capital PCL, fgn. THA THB 45,359,819 0.37 31,332,100 Kiatnakin Bank PCL, fgn. THA THB 37,640,448 0.31

2,875,587,562 23.62

Communications Equipment 23,185,300 VTech Holdings Ltd. HKG HKD 333,100,216 2.74

Construction & Engineering 3,324,843 Hyundai Development Co. KOR KRW 117,641,369 0.97

Construction Materials 32,046,486 Siam Cement PCL, fgn. THA THB 438,592,418 3.60

Food & Staples Retailing 34,181,734 Dairy Farm International Holdings Ltd. HKG USD 307,635,606 2.53

Health Care Equipment & Supplies 10,494,162 Microlife Corp. TWN TWD 22,446,519 0.18

Household Durables 129,778,602 Samson Holding Ltd. HKG HKD 18,076,063 0.15

IT Services 20,431,919 Tata Consultancy Services Ltd. IND INR 829,221,175 6.81 8,389,294 Infosys Ltd. IND INR 262,525,611 2.16

1,091,746,786 8.97

Machinery 83,363,310 China International Marine Containers (Group) Co. Ltd. CHN HKD 186,423,667 1.53 36,965,863 SembCorp Marine Ltd. SGP SGD 90,963,703 0.75 48,051,363 United Tractors Tbk PT IDN IDR 67,314,586 0.55 1,348,620 Daewoo Shipbuilding & Marine Engineering Co. Ltd. KOR KRW 22,995,688 0.19

367,697,644 3.02

Media 184,637,800 BEC World PCL, fgn. THA THB 286,390,748 2.35

Metals & Mining 780,092,000 Aluminum Corp. of China Ltd., H CHN HKD 359,162,548 2.95 69,906,539 Sesa Sterlite Ltd. IND INR 237,882,964 1.96

597,045,512 4.91

Oil, Gas & Consumable Fuels 326,969,423 Oil & Gas Development Co. Ltd. PAK PKR 668,837,899 5.49 51,765,371 PTT PCL, fgn. THA THB 510,096,722 4.19 71,557,580 Oil & Natural Gas Corp. Ltd. IND INR 387,501,863 3.18 22,833,500 Reliance Industries Ltd. IND INR 322,805,957 2.65 30,502,070 Coal India Ltd. IND INR 185,741,565 1.53 51,486,313 PTT Exploration and Production PCL, fgn. THA THB 175,379,168 1.44 118,950,600 PetroChina Co. Ltd., H CHN HKD 131,622,740 1.08 142,459,300 Yanzhou Coal Mining Co. Ltd., H CHN HKD 120,890,926 0.99 74,061,448 Inner Mongolia Yitai Coal Co. Ltd., B CHN USD 106,278,178 0.87 120,567,000 China Petroleum and Chemical Corp., H CHN HKD 97,181,920 0.80 72,170,200 CNOOC Ltd. CHN HKD 97,170,718 0.80 757,990 SK Innovation Co. Ltd. KOR KRW 58,975,414 0.49

2,862,483,070 23.51

Real Estate Management & Development 471,352,629 Land and Houses PCL, fgn. THA THB 129,736,657 1.06 210,693,734 Sansiri PCL, fgn. THA THB 10,893,533 0.09 20,709,266 Peninsula Land Ltd. IND INR 10,792,407 0.09

151,422,597 1.24

— Templeton Asian Growth Fund —

Number of shares or



Marketvalue

% ofnet

assets





— Templeton Asian Growth Fund —

Textiles, Apparel & Luxury Goods 3,070,426 Youngone Corp. KOR KRW 148,782,711 1.22 877,233 Youngone Holdings Co. Ltd. KOR KRW 71,300,846 0.58 105,948,328 Victory City International Holdings Ltd. HKG HKD 15,303,443 0.13 125,583,579 Win Hanverky Holdings Ltd. CHN HKD 14,414,509 0.12

249,801,509 2.05

Transportation Infrastructure 47,914,954 Shenzhen Chiwan Wharf Holdings Ltd., B CHN HKD 100,415,660 0.83

TOTAL SHARES 11,648,942,322 95.69

WARRANTS Real Estate Management & Development 94,270,526 Land and Houses PCL, wts., 5/05/17 THA THB 15,769,097 0.13

TOTAL WARRANTS 15,769,097 0.13



WARRANTS Real Estate Management & Development 52,673,434 Sansiri PCL, wts., 11/24/17 THA THB 496,617 0.00




Number of shares or



Marketvalue

% ofnet

assets





TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Auto Components 751,366 Global & Yuasa Battery Co. Ltd. KOR KRW 27,134,798 2.16 1,424,090 Danang Rubber JSC VND VND 3,728,769 0.30

30,863,567 2.46

Automobiles 192,129 Jiangling Motors Corp. Ltd., B CHN HKD 760,196 0.06

Banks 20,518,959 Federal Bank Ltd. IND INR 49,380,917 3.94 17,672,385 Tisco Financial Group PCL, fgn. THA THB 22,842,955 1.82 11,904,454 Commercial Bank of Ceylon PLC - voting shares LKA LKR 15,515,714 1.24 29,092,400 Bank Danamon Indonesia Tbk PT IDN IDR 10,629,238 0.85 529,255 ING Vysya Bank Ltd. IND INR 7,293,786 0.58 1,598,000 United Bank Ltd. PAK PKR 2,770,183 0.22 16,918,300 Bank Permata Tbk PT IDN IDR 2,055,877 0.16

110,488,670 8.81

Beverages 782,652 Hite Jinro Co. Ltd. KOR KRW 16,636,793 1.32 91,168,800 Pepsi-Cola Products Philippines Inc. PHL PHP 8,366,725 0.67

25,003,518 1.99

Biotechnology 79,744 Medy-tox Inc. KOR KRW 23,330,603 1.86 2,181,875 Biocon Ltd. IND INR 14,729,863 1.17 69,788 Cell Biotech Co. Ltd. KOR KRW 3,324,271 0.27

41,384,737 3.30

Capital Markets 410,885 Tata Investment Corp. Ltd. IND INR 3,710,904 0.30

Chemicals 9,490,449 Tata Chemicals Ltd. IND INR 65,575,713 5.23

Construction Materials 1,038,881 JK Cement Ltd. IND INR 10,527,251 0.84 2,313,957 Huaxin Cement Co. Ltd., B CHN USD 2,853,109 0.23 547,600 HA TIEN 1 Cement JSC VND VND 445,505 0.03

13,825,865 1.10

Consumer Finance 599,300 Sundaram Finance Ltd. IND INR 12,317,809 0.98

Containers & Packaging 10,500,546 Amvig Holdings Ltd. CHN HKD 4,536,633 0.36

Diversified Financial Services 3,967,600 Bajaj Holdings and Investment Ltd. IND INR 88,362,263 7.04

Electronic Equipment, Instruments & Components 51,480,600 Ju Teng International Holdings Ltd. CHN HKD 25,494,813 2.03 4,411,000 Flytech Technology Co. Ltd. TWN TWD 15,260,323 1.22 2,416,130 Simplo Technology Co. Ltd. TWN TWD 12,023,016 0.96 4,162,400 Delta Electronics (Thailand) PCL, fgn. THA THB 8,924,854 0.71 6,241,000 Digital China Holdings Ltd. CHN HKD 5,795,137 0.46 2,477,667 Redington India Ltd. IND INR 5,396,743 0.43

72,894,886 5.81

Energy Equipment & Services 89,315,800 Honghua Group Ltd. CHN HKD 11,403,561 0.91

Food & Staples Retailing 2,348,000 Beijing Jingkelong Co. Ltd., H CHN HKD 598,056 0.05

Food Products 26,270,396 Uni-President China Holdings Ltd. CHN HKD 24,325,852 1.94 10,486,800 Biostime International Holdings Ltd. CHN HKD 21,639,139 1.73 200,618 Binggrae Co. Ltd. KOR KRW 13,829,905 1.10

59,794,896 4.77

Health Care Equipment & Supplies 1,283,200 St. Shine Optical Co. Ltd. TWN TWD 21,163,009 1.69 636,060 Vieworks Co. Ltd. KOR KRW 19,946,659 1.59 6,239,800 Pacific Hospital Supply Co. Ltd. TWN TWD 13,800,070 1.10 344,300 Mindray Medical International Ltd., ADR CHN USD 9,089,520 0.72

63,999,258 5.10

— Templeton Asian Smaller Companies Fund —

Number of shares or



Marketvalue

% ofnet

assets





Health Care Providers & Services 7,346,000 Cordlife Group Ltd. SGP SGD 4,935,039 0.39

Household Durables 1,102,000 Yorkey Optical International Cayman Ltd. CHN HKD 123,645 0.01

Household Products 8,760,080 DSG International Thailand PCL, fgn. THA THB 2,064,800 0.16

Industrial Conglomerates 77,337,300 Chongqing Machinery and Electric Co. Ltd., H CHN HKD 11,968,707 0.95 12,730,000 Hemas Holdings PLC LKA LKR 7,209,139 0.58

19,177,846 1.53

Insurance 630,094,208 Panin Financial Tbk PT IDN IDR 15,211,802 1.21

Internet & Catalog Retail 203,094 GS Home Shopping Inc. KOR KRW 41,221,902 3.29

IT Services 29,067,000 Travelsky Technology Ltd., H CHN HKD 31,413,855 2.50

Leisure Products 1,679,700 Merida Industry Co. Ltd. TWN TWD 11,383,389 0.91

Machinery 6,878,000 Shin Zu Shing Co. Ltd. TWN TWD 15,646,141 1.25 12,086,000 Shanghai Prime Machinery Co. Ltd., H CHN HKD 1,745,732 0.14

17,391,873 1.39

Media 2,250,254 KT Skylife Co. Ltd. KOR KRW 37,752,488 3.01 2,769,690 Daekyo Co. Ltd. KOR KRW 17,827,144 1.42 13,893,500 Media Prima Bhd. MYS MYR 6,993,439 0.56 12,042,000 Hong Kong Economic Times Holdings Ltd. HKG HKD 2,484,824 0.20

65,057,895 5.19

Metals & Mining 918,991 Jordan Phosphate Mines JOR JOD 8,476,793 0.67 221,999 MOIL Ltd. IND INR 1,114,486 0.09

9,591,279 0.76

Oil, Gas & Consumable Fuels 470,697 Great Eastern Shipping Co. Ltd. IND INR 2,702,391 0.22

Personal Products 745,374 Neopharm Co. Ltd. KOR KRW 9,779,218 0.78

Pharmaceuticals 1,266,662 Bukwang Pharmaceutical Co. Ltd. KOR KRW 20,613,832 1.65 3,865,400 TTY Biopharm Co. Ltd. TWN TWD 8,548,798 0.68 10,160 Dr. Reddy’s Laboratories Ltd. IND INR 523,224 0.04

29,685,854 2.37

Road & Rail 39,938,000 Express Transindo Utama Tbk PT IDN IDR 3,772,908 0.30

Semiconductors & Semiconductor Equipment 750,861 Silicon Works Co. Ltd. KOR KRW 17,162,380 1.37 1,161,000 Novatek Microelectronics Corp. Ltd. TWN TWD 6,529,272 0.52 315,816 Anapass Inc. KOR KRW 3,594,856 0.29

27,286,508 2.18

Specialty Retail 10,430,300 Luk Fook Holdings (International) Ltd. HKG HKD 39,211,401 3.12 28,209,800 Sa Sa International Holdings Ltd. HKG HKD 19,791,372 1.58 6,719,700 OSIM International Ltd. SGP SGD 10,043,030 0.80 16,582,200 Giordano International Ltd. HKG HKD 7,377,993 0.59 56,105,680 Bonjour Holdings Ltd. HKG HKD 6,150,392 0.49

82,574,188 6.58

Textiles, Apparel & Luxury Goods 1,721,128 LF Corp. KOR KRW 47,050,292 3.75 440,414 Fila Korea Ltd. KOR KRW 44,896,651 3.58 2,106,713 Vardhman Textiles Ltd. IND INR 15,251,820 1.21 128,058 Youngone Holdings Co. Ltd. KOR KRW 10,408,459 0.83 1,128,000 Win Hanverky Holdings Ltd. CHN HKD 129,472 0.01

117,736,694 9.38


Number of shares or



Marketvalue

% ofnet

assets






Tobacco 40,318,900 PT Wismilak Inti Makmur Tbk IDN IDR 2,034,664 0.16

Trading Companies & Distributors 28,005,900 Hexindo Adiperkasa Tbk PT IDN IDR 7,925,771 0.63

Transportation Infrastructure 25,528,664 COSCO Pacific Ltd. CHN HKD 36,347,468 2.90 750,000 Sichuan Expressway Co. Ltd., H CHN HKD 320,160 0.02

36,667,628 2.92

TOTAL SHARES 1,143,259,681 91.13



Number of shares or



Marketvalue

% ofnet

assets





TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Automobiles 8,484,000 Dongfeng Motor Group Co. Ltd., H CHN HKD 11,991,906 1.20 3,615,000 BAIC Motor Corp. Ltd., H, Reg S CHN HKD 4,172,615 0.42

16,164,521 1.62

Banks 14,402,140 Itausa – Investimentos Itau SA, pfd. BRA BRL 50,888,465 5.08 3,354,653 Banco Bradesco SA, ADR, pfd. BRA USD 44,851,711 4.48 51,674,000 China Construction Bank Corp., H CHN HKD 42,317,773 4.23 57,802,000 Industrial and Commercial Bank of China Ltd., H CHN HKD 42,192,601 4.22 2,435,884 Itau Unibanco Holding SA, ADR BRA USD 31,690,851 3.17 36,308,000 Bank of China Ltd., H CHN HKD 20,462,598 2.04 1,652,400 ICICI Bank Ltd. IND INR 9,256,166 0.92

241,660,165 24.14

Beverages 5,257,061 Ambev SA BRA BRL 32,343,536 3.23

Biotechnology 1,044,547 Biocon Ltd. IND INR 7,051,749 0.70

Commercial Services & Supplies 54,898,000 Integrated Waste Solutions Group Holdings Ltd. CHN HKD 2,230,201 0.22

Construction Materials 220,900 Grasim Industries Ltd. IND INR 11,862,577 1.19

Containers & Packaging 11,738,800 CPMC Holdings Ltd. CHN HKD 6,449,266 0.64

Diversified Consumer Services 53,863,800 Perfect Shape PRC Holdings Ltd. CHN HKD 13,441,724 1.34

Diversified Financial Services 1,071,749 Bajaj Holdings and Investment Ltd. IND INR 23,868,880 2.38

Food & Staples Retailing 17,286,600 Lianhua Supermarket Holdings Co. Ltd., H CHN HKD 8,716,926 0.87

Health Care Equipment & Supplies 315,500 Mindray Medical International Ltd., ADR CHN USD 8,329,200 0.83

Independent Power and Renewable Electricity Producers 1,678,700 AES Tiete SA BRA BRL 9,696,348 0.97 8,948,000 Huaneng Renewables Corp. Ltd., H CHN HKD 2,896,521 0.29

12,592,869 1.26

Internet & Catalog Retail 328,077 JD.com Inc., ADR CHN USD 7,591,702 0.76

Internet Software & Services 3,387,710 Tencent Holdings Ltd. CHN HKD 49,151,384 4.91 56,200 Baidu Inc., ADR CHN USD 12,811,914 1.28 585,725 Yandex NV, A RUS USD 10,519,621 1.05 243,701 Mail.ru Group Ltd., GDR, Reg S RUS USD 3,972,326 0.40

76,455,245 7.64

IT Services 28,140,100 Travelsky Technology Ltd., H CHN HKD 30,412,117 3.04 955,396 Infosys Ltd. IND INR 29,897,143 2.99 1,171,953 Mindtree Ltd. IND INR 23,857,382 2.38 344,970 Tata Consultancy Services Ltd. IND INR 14,000,468 1.40 154,788 Luxoft Holding Inc. USA USD 5,960,886 0.59

104,127,996 10.40

Marine 4,010,500 Sinotrans Shipping Ltd. CHN HKD 962,030 0.10

Media 1,465,794 CTC Media Inc. RUS USD 7,138,417 0.71

Metals & Mining 3,116,950 Vale SA, ADR, pfd., A BRA USD 22,629,057 2.26 4,825,657 Maharashtra Seamless Ltd. IND INR 18,522,531 1.85 1,153,200 Bradespar SA, pfd. BRA BRL 6,205,366 0.62

47,356,954 4.73

Oil, Gas & Consumable Fuels 35,685,800 China Petroleum and Chemical Corp., H CHN HKD 28,764,211 2.87 7,383,000 China Shenhua Energy Co. Ltd., H CHN HKD 21,804,461 2.18 1,509,400 Reliance Industries Ltd. IND INR 21,338,967 2.13

— Templeton BRIC Fund —

Number of shares or



Marketvalue

% ofnet

assets





— Templeton BRIC Fund —

Oil, Gas & Consumable Fuels (continued) 2,602,200 Petroleo Brasileiro SA, ADR, pfd. BRA USD 19,724,676 1.97 14,928,000 PetroChina Co. Ltd., H CHN HKD 16,518,322 1.65 6,382,258 Inner Mongolia Yitai Coal Co. Ltd., B CHN USD 9,158,540 0.92 147,000 LUKOIL Holdings, ADR RUS USD 5,850,600 0.58

123,159,777 12.30

Personal Products 1,509,081 Hypermarcas SA BRA BRL 9,454,826 0.95

Pharmaceuticals 312,595 Dr. Reddy’s Laboratories Ltd. IND INR 16,098,134 1.61

Real Estate Management & Development 68,149,600 Beijing Capital Land Ltd., H CHN HKD 25,839,711 2.58 14,804,463 Soho China Ltd. CHN HKD 10,481,948 1.05

36,321,659 3.63

Specialty Retail 13,790,323 Luk Fook Holdings (International) Ltd. HKG HKD 51,842,985 5.18 33,981,084 Giordano International Ltd. HKG HKD 15,119,357 1.51 621,900 Cia Hering BRA BRL 4,738,843 0.47 9,578,700 I.T Ltd. HKG HKD 2,767,143 0.28

74,468,328 7.44

Transportation Infrastructure 1,592,000 COSCO Pacific Ltd. CHN HKD 2,266,674 0.23

Wireless Telecommunication Services 3,381,641 China Mobile Ltd. CHN HKD 39,555,947 3.95

TOTAL SHARES 929,669,303 92.87


TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET SHARES Oil, Gas & Consumable Fuels 445,000 LUKOIL Holdings, ADR RUS USD 17,711,000 1.77 3,422,251 Gazprom OAO, ADR RUS USD 15,913,467 1.59

33,624,467 3.36

TOTAL SHARES 33,624,467 3.36



Number of shares or



Marketvalue

% ofnet

assets





TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Automobiles 23,568,000 Dongfeng Motor Group Co. Ltd., H CHN HKD 33,312,735 3.60 6,026,850 Jiangling Motors Corp. Ltd., B CHN HKD 23,846,395 2.58 4,408,579 Chongqing Changan Automobile Co. Ltd., B CHN HKD 9,983,898 1.08 721,810 Great Wall Motor Co. Ltd., H CHN HKD 4,119,203 0.45

71,262,231 7.71

Banks 65,507,851 China Construction Bank Corp., H CHN HKD 53,646,832 5.80 5,601,500 BOC Hong Kong (Holdings) Ltd. HKG HKD 18,710,315 2.02 19,644,375 Industrial and Commercial Bank of China Ltd., H CHN HKD 14,339,422 1.55 12,776,800 Bank of China Ltd., H CHN HKD 7,200,797 0.78

93,897,366 10.15

Beverages 3,479,242 Yantai Changyu Pioneer Wine Co. Ltd., B CHN HKD 11,486,867 1.24

Commercial Services & Supplies 25,895,844 Integrated Waste Solutions Group Holdings Ltd. CHN HKD 1,052,005 0.11

Construction Materials 8,022,500 Anhui Conch Cement Co. Ltd., H CHN HKD 30,107,848 3.26 24,744,000 China National Building Material Co. Ltd., H CHN HKD 24,029,343 2.60 12,963,647 BBMG Corp., H CHN HKD 10,883,916 1.18 18,261,700 Asia Cement China Holdings Corp. CHN HKD 10,668,821 1.15 7,120,619 Huaxin Cement Co. Ltd., B CHN USD 8,779,723 0.95 7,430,000 Xinyi Glass Holdings Ltd. CHN HKD 3,746,645 0.40

88,216,296 9.54

Distributors 24,668,760 Dah Chong Hong Holdings Ltd. CHN HKD 13,330,252 1.44

Diversified Telecommunication Services 4,050,000 China Telecom Corp. Ltd., H CHN HKD 2,350,415 0.25

Electric Utilities 1,703,000 Cheung Kong Infrastructure Holdings Ltd. HKG HKD 12,639,706 1.37

Electrical Equipment 6,519,292 Dongfang Electric Corp. Ltd., H CHN HKD 11,989,387 1.30

Electronic Equipment, Instruments & Components 2,314,453 Simplo Technology Co. Ltd. TWN TWD 11,517,056 1.25 4,063,179 Synnex Technology International Corp. TWN TWD 5,918,061 0.64

17,435,117 1.89

Food & Staples Retailing 8,101,772 Dairy Farm International Holdings Ltd. HKG USD 72,915,948 7.88 3,394,079 President Chain Store Corp. TWN TWD 26,218,834 2.84 2,754,760 China Resources Enterprise Ltd. CHN HKD 5,783,825 0.63

104,918,607 11.35

Food Products 18,423,240 Uni-President China Holdings Ltd. CHN HKD 17,059,545 1.84 581,000 Uni-President Enterprises Corp. TWN TWD 921,494 0.10 1,370,000 China Foods Ltd. CHN HKD 469,980 0.05

18,451,019 1.99

Gas Utilities 3,094,200 ENN Energy Holdings Ltd. CHN HKD 17,558,122 1.90

Health Care Providers & Services 5,798,000 Shanghai Pharmaceuticals Holding Co. Ltd., H CHN HKD 13,085,589 1.41

Hotels, Restaurants & Leisure 1,903,000 SJM Holdings Ltd. HKG HKD 3,018,707 0.33

Industrial Conglomerates 1,382,500 Hopewell Holdings Ltd. HKG HKD 5,054,698 0.55

Insurance 2,162,600 AIA Group Ltd. HKG HKD 11,992,829 1.30

Internet Software & Services 960,500 Tencent Holdings Ltd. CHN HKD 13,935,639 1.51 53,371 Baidu Inc., ADR CHN USD 12,166,987 1.32 49,300 Sohu.com Inc. CHN USD 2,621,774 0.28

28,724,400 3.11

— Templeton China Fund —

Number of shares or



Marketvalue

% ofnet

assets





— Templeton China Fund —


Machinery 8,015,040 Zoomlion Heavy Industry Science and Technology Development Co. Ltd., H CHN HKD 6,098,664 0.66

Marine 10,762,000 China Shipping Development Co. Ltd., H CHN HKD 7,369,950 0.80 15,108,000 China Shipping Container Lines Co. Ltd., H CHN HKD 4,754,160 0.51 17,896,762 Sinotrans Shipping Ltd. CHN HKD 4,293,035 0.47

16,417,145 1.78

Media 403,600 Poly Culture Group Corp. Ltd., H, CHN HKD 1,244,016 0.13

Metals & Mining 2,936,000 China Vanadium Titano-Magnetite Mining Co. Ltd. CHN HKD 280,198 0.03

Oil, Gas & Consumable Fuels 64,637,600 China Petroleum and Chemical Corp., H CHN HKD 52,100,542 5.63 19,198,000 CNOOC Ltd. CHN HKD 25,848,390 2.80 13,202,000 PetroChina Co. Ltd., H CHN HKD 14,608,446 1.58 716,500 China Shenhua Energy Co. Ltd., H CHN HKD 2,116,063 0.23

94,673,441 10.24

Paper & Forest Products 53,936,000 Nine Dragons Paper Holdings Ltd. CHN HKD 47,300,382 5.11

Pharmaceuticals 1,068,000 Tong Ren Tang Technologies Co. Ltd., H CHN HKD 1,380,117 0.15

Real Estate Management & Development 332,338 China Vanke Co. Ltd., H CHN HKD 739,772 0.08 812,500 Soho China Ltd. CHN HKD 575,271 0.06

1,315,043 0.14

Semiconductors & Semiconductor Equipment 14,420,214 Taiwan Semiconductor Manufacturing Co. Ltd. TWN TWD 64,239,682 6.94 21,444,000 GCL-Poly Energy Holdings Ltd. CHN HKD 5,005,660 0.54 67,862 MediaTek Inc. TWN TWD 990,561 0.11

70,235,903 7.59

Technology Hardware, Storage & Peripherals 356,921 Advantech Co. Ltd. TWN TWD 2,644,402 0.29

Textiles, Apparel & Luxury Goods 17,539,406 Anta Sports Products Ltd. CHN HKD 30,989,349 3.35

Transportation Infrastructure 11,471,254 COSCO Pacific Ltd. CHN HKD 16,332,662 1.76 16,610,000 Sichuan Expressway Co. Ltd., H CHN HKD 7,090,464 0.77

23,423,126 2.53

Wireless Telecommunication Services 2,679,500 China Mobile Ltd. CHN HKD 31,342,819 3.39

TOTAL SHARES 870,504,877 94.14


TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET INVESTMENTS FUNDS Diversified Financial Services 33,597 Templeton China A Shares Fund, Class X (acc) HKD CHN HKD 56,309,940 6.09

56,309,940 6.09




Number of shares or



Marketvalue

% ofnet

assets





TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET BONDS Government and Municipal Bonds 250,000 Government of Ireland, senior bond, 5.40%, 03/13/25 IRL EUR 417,114 3.47 210,000 Government of Hungary, 5.375%, 02/21/23 HUN USD 227,960 1.90 200,000 Government of Serbia, Reg S, 7.25%, 09/28/21 SER USD 224,825 1.87 200 Nota Do Tesouro Nacional, Index Linked, 6.00%, 08/15/18 BRA BRL 187,736 1.56 220,000 Government of Ukraine, senior note, Reg S, 7.50%, 04/17/23 UKR USD 129,697 1.08 60,000 Government of Portugal, Reg S, 3.875%, 02/15/30 PRT EUR 76,299 0.63 15,300,000 Government of Hungary, B, 5.50%, 06/24/25 HUN HUF 67,975 0.57 11,930,000 Government of Hungary, A, 6.00%, 11/24/23 HUN HUF 54,250 0.45 50,000 Government of Portugal, Reg S, 5.125%, 10/15/24 PRT USD 52,720 0.44 49,125 Government of Russia, senior bond, Reg S, 7.50%, 03/31/30 RUS USD 51,343 0.43 45 Nota Do Tesouro Nacional, Index Linked, 6.00%, 05/15/23 BRA BRL 42,206 0.35 2,500,000 Government of India, senior note, 8.83%, 11/25/23 IND INR 41,747 0.35 8,860,000 Government of Hungary, 7.50%, 11/12/20 HUN HUF 41,262 0.34 40 Nota Do Tesouro Nacional, Index Linked, 6.00%, 08/15/22 BRA BRL 37,575 0.31 7,790,000 Government of Hungary, A, 7.00%, 06/24/22 HUN HUF 36,623 0.30 8,120,000 Government of Hungary, A, 5.50%, 12/20/18 HUN HUF 34,049 0.28 4,800 Government of Mexico, 6.25%, 06/16/16 MEX MXN 33,803 0.28 30 Nota Do Tesouro Nacional, Index Linked, 6.00%, 05/15/19 BRA BRL 28,161 0.23 60 Letra Tesouro Nacional, Strip, 01/01/16 BRA BRL 19,997 0.17 20 Nota Do Tesouro Nacional, Index Linked, 6.00%, 08/15/20 BRA BRL 18,760 0.16 1,000,000 Government of India, senior bond, 8.60%, 06/02/28 IND INR 16,753 0.14 1,000,000 Government of India, senior bond, 7.80%, 05/03/20 IND INR 15,716 0.13 700,000 Government of India, senior note, 8.12%, 12/10/20 IND INR 11,160 0.09 10 Nota Do Tesouro Nacional, Index Linked, 6.00%, 08/15/24 BRA BRL 9,366 0.08 20 Letra Tesouro Nacional, Strip, 10/01/16 BRA BRL 6,075 0.05 300,000 Government of India, senior bond, 8.28%, 09/21/27 IND INR 4,866 0.04 300,000 Government of India, senior note, 8.35%, 05/14/22 IND INR 4,851 0.04 10 Letra Tesouro Nacional, Strip, 07/01/16 BRA BRL 3,135 0.03 200,000 Government of India, senior note, 7.16%, 05/20/23 IND INR 3,009 0.02 500,000 Government of Hungary, 6.50%, 06/24/19 HUN HUF 2,175 0.02 500,000 Government of Hungary, 4.00%, 04/25/18 HUN HUF 1,987 0.02 1,200 Government of Portugal, senior note, Reg S, 5.65%, 02/15/24 PRT EUR 1,798 0.01 100,000 Government of India, senior note, 7.28%, 06/03/19 IND INR 1,546 0.01 500 Government of Portugal, senior bond, Reg S, 4.95%, 10/25/23 PRT EUR 718 0.01

1,907,257 15.86

Securities Maturing Within One Year 1,030,000 Government of Canada, 1.00%, 05/01/15 CAN CAD 887,135 7.38 560,000 United Kingdom Treasury Note, Reg S, 2.75%, 01/22/15 GBR GBP 874,050 7.27 1,100,000 Government of New Zealand, senior bond, Reg S, 6.00%, 04/15/15 NZL NZD 863,957 7.18 5,755,000 Government of Norway, 5.00%, 05/15/15 NOR NOK 781,635 6.50 640,000,000 Korea Monetary Stabilization Bond, senior bond, 2.80%, 08/02/15 KOR KRW 587,587 4.89 1,700,000 Government of Poland, Strip, 07/25/15 POL PLN 475,876 3.96 375,000 France Treasury Bill, 0.00%, 04/30/15 FRA EUR 453,823 3.77 495,000 Monetary Authority of Singapore Treasury Bill, 0.00%, 01/30/15 SGP SGD 373,456 3.10 2,120,000 Government of Sweden, 4.50%, 08/12/15 SWE SEK 279,034 2.32 30,800 Government of Mexico, 8.00%, 12/17/15 MEX MXN 218,194 1.81 215,000 Government of Canada, 1.00%, 02/01/15 CAN CAD 185,145 1.54 510,000 Bank of Negara Monetary Note, 0.00%, 01/22/15 MYS MYR 145,595 1.21 430,000 Bank of Negara Monetary Note, 0.00%, 03/03/15 MYS MYR 122,307 1.02 101,000,000 Korea Monetary Stabilization Bond, senior bond, 2.81%, 10/02/15 KOR KRW 92,852 0.77 330,000 Bank of Negara Monetary Note, 0.00%, 08/04/15 MYS MYR 92,555 0.77 63,000 Monetary Authority of Singapore Treasury Bill, 0.00%, 02/17/15 SGP SGD 47,516 0.40 58,400 Mexico Treasury Bill, 0.00%, 06/11/15 MEX MXN 39,063 0.33 100,000 Bank of Negara Monetary Note, 0.00%, 05/28/15 MYS MYR 28,219 0.23 90,000 Bank of Negara Monetary Note, 0.00%, 01/20/15 MYS MYR 25,698 0.21 3,700 Government of Mexico, 6.00%, 06/18/15 MEX MXN 25,423 0.21 70,000 Bank of Negara Monetary Note, 0.00%, 04/23/15 MYS MYR 19,817 0.16 27,030 Mexico Treasury Bill, 0.00%, 03/19/15 MEX MXN 18,218 0.15 60,000 Government of Malaysia, 3.835%, 08/12/15 MYS MYR 17,210 0.14 60,000 Bank of Negara Monetary Note, 0.00%, 01/08/15 MYS MYR 17,151 0.14 60,000 Bank of Negara Monetary Note, 0.00%, 02/17/15 MYS MYR 17,088 0.14 40,000 Bank of Negara Monetary Note, 0.00%, 06/04/15 MYS MYR 11,280 0.09 16,380 Mexico Treasury Bill, 0.00%, 04/16/15 MEX MXN 11,010 0.09 30 Letra Tesouro Nacional, Strip, 10/01/15 BRA BRL 10,317 0.09 13,850 Mexico Treasury Bill, 0.00%, 12/10/15 MEX MXN 9,102 0.08 30,000 Bank of Negara Monetary Note, 0.00%, 02/10/15 MYS MYR 8,550 0.07 30,000 Bank of Negara Monetary Note, 0.00%, 08/11/15 MYS MYR 8,409 0.07 10,370 Mexico Treasury Bill, 0.00%, 11/12/15 MEX MXN 6,838 0.06 10,060 Mexico Treasury Bill, 0.00%, 10/01/15 MEX MXN 6,659 0.06 50,000 Sweden Treasury Bill, 0.00%, 03/18/15 SWE SEK 6,410 0.05 20,000 Government of Malaysia, 3.197%, 10/15/15 MYS MYR 5,711 0.05 5,930 Mexico Treasury Bill, Strip, 05/28/15 MEX MXN 3,973 0.03 4,250 Mexico Treasury Bill, 0.00%, 06/25/15 MEX MXN 2,839 0.02

— Templeton Constrained Bond Fund —

Number of shares or



Marketvalue

% ofnet

assets





— Templeton Constrained Bond Fund —

Securities Maturing Within One Year (continued) 3,910 Mexico Treasury Bill, 0.00%, 03/12/15 MEX MXN 2,636 0.02 3,720 Mexico Treasury Bill, 0.00%, 04/01/15 MEX MXN 2,504 0.02

6,784,842 56.40

TOTAL BONDS 8,692,099 72.26



Number of shares or



Marketvalue

% ofnet

assets





TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Banks 2,737,018 Turkiye Halk Bankasi AS TUR TRY 13,472,930 5.04 12,993,000 Sberbank of Russia RUS RUB 10,155,684 3.80 2,800,000 Turkiye Garanti Bankasi AS TUR TRY 9,340,681 3.50 387,550 TBC Bank JSC, GDR, Reg S GE USD 4,035,645 1.51 116,736 Bank of Georgia Holdings PLC GE GBP 3,121,830 1.17

40,126,770 15.02

Electronic Equipment, Instruments & Component 1,840,688 ABC Data SA POL PLN 1,461,027 0.55

Food & Staples Retailing 1,945,823 DIXY Group OJSC RUS RUB 9,964,859 3.73 41,011 Magnit PJSC RUS RUB 5,664,274 2.12 1,428,485 O’Key Group SA, GDR, Reg S RUS USD 5,182,685 1.94 569,517 Jeronimo Martins SGPS SA POL EUR 4,746,924 1.78 396,543 X5 Retail Group NV, GDR, Reg S RUS USD 3,998,202 1.49 196,700 Bizim Toptan Satis Magazalari AS TUR TRY 1,330,477 0.50

30,887,421 11.56

Food Products 2,405,893 Pinar Sut Mamulleri Sanayii AS TUR TRY 18,190,465 6.81 24,588 Wawel SA POL PLN 5,910,046 2.21 264,885 MHP SA, GDR, Reg S UKR USD 2,014,002 0.75

26,114,513 9.77

Health Care Technology 852,060 Synektik SA POL PLN 4,077,774 1.52

Hotels, Restaurants & Leisure 180,222 DO & CO Restaurants & Catering AG TUR TRY 11,424,322 4.27 2,625,142 Fortuna Entertainment Group NV TUR CZK 11,411,396 4.27 5,388,884 Olympic Entertainment Group A.S. EST EUR 9,161,103 3.43

31,996,821 11.97

Internet Software & Services 724,936 Yandex NV, A RUS USD 10,760,207 4.02 735,501 Mail.ru Group Ltd., GDR, Reg S RUS USD 9,907,989 3.71

20,668,196 7.73

IT Services 266,015 QIWI PLC, ADR RUS USD 4,438,713 1.66 951,767 SMT SA POL PLN 2,837,401 1.06

7,276,114 2.72

Machinery 467,972 NEWAG SA POL PLN 2,612,153 0.98 794,426 Kopex SA POL PLN 1,991,851 0.74

4,604,004 1.72

Oil, Gas & Consumable Fuels 1,262,080 Societatea Nationala de Gaze Naturale ROMGAZ SA ROM RON 9,951,820 3.73 1,362,976 Dragon Oil PLC TKM GBP 9,437,215 3.53 1,630,385 Nostrum Oil & Gas LP KAZ GBP 8,820,975 3.30 72,287,200 OMV Petrom SA ROM RON 6,576,956 2.46

34,786,966 13.02

Professional Services 686,025 Work Service SA POL PLN 2,879,577 1.08

Road & Rail 1,461,033 Globaltrans Investment PLC, GDR, Reg S RUS USD 6,097,700 2.28 87,153 PKP Cargo SA POL PLN 1,698,900 0.64

7,796,600 2.92

Software 1,121,367 Asseco Poland SA POL PLN 13,351,100 5.00

Specialty Retail 1,884,776 Silvano Fashion Group AS, A EST EUR 2,224,036 0.83 233,990 M Video OJSC RUS RUB 411,093 0.16

2,635,129 0.99

— Templeton Eastern Europe Fund —

Number of shares or



Marketvalue

% ofnet

assets





— Templeton Eastern Europe Fund —

Textiles, Apparel & Luxury Goods 568,039 Pegas Nonwovens SA CZE CZK 13,120,104 4.91 380,804 CCC SA POL PLN 11,868,119 4.44

24,988,223 9.35

TOTAL SHARES 253,650,235 94.92



Number of shares or



Marketvalue

% ofnet

assets





TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Automobiles 2,614,614 Tata Motors Ltd. IND INR 20,554,802 2.72 25,544,600 Astra International Tbk PT IDN IDR 15,314,385 2.03 3,056,745 Brilliance China Automotive Holdings Ltd. CHN HKD 4,888,300 0.65 2,730,000 BAIC Motor Corp. Ltd., H, Reg S CHN HKD 3,151,104 0.42

43,908,591 5.82

Banks 5,605,100 Siam Commercial Bank PCL, fgn. THA THB 31,025,797 4.12 2,138,160 Itau Unibanco Holding SA, ADR BRA USD 27,817,462 3.69 28,262,800 China Construction Bank Corp., H CHN HKD 23,145,465 3.07 13,697,900 Industrial and Commercial Bank of China Ltd., H CHN HKD 9,998,790 1.33 1,259,500 Kasikornbank PCL, fgn. THA THB 8,772,065 1.16 2,244,000 Akbank TAS TUR TRY 8,327,137 1.10 2,872,500 United Bank Ltd. PAK PKR 4,979,569 0.66 6,349,256 Kenya Commercial Bank Ltd. KEN KES 3,961,711 0.53 7,884,500 Bank Danamon Indonesia Tbk PT IDN IDR 2,880,691 0.38 1,336,928 National Bank of Greece SA GRC EUR 2,377,994 0.31 1,848,164 Equity Bank Ltd. KEN KES 1,020,521 0.14

124,307,202 16.49

Beverages 261,580 Anheuser-Busch InBev NV BEL EUR 29,707,797 3.94 29,458,398 Thai Beverage PCL, fgn. THA SGD 15,342,915 2.04 2,653,373 Embotelladora Andina SA, pfd., A CHL CLP 6,435,599 0.85

51,486,311 6.83

Biotechnology 1,125,577 Biocon Ltd. IND INR 7,598,783 1.01

Chemicals 207,047 Deutsche Bank AG/London (CRTP Saudi Basic Industries Corp., 144A) SAU USD 4,634,825 0.61

Construction & Engineering 179,490 Hyundai Development Co. KOR KRW 6,350,811 0.84

Construction Materials 6,097,500 Semen Indonesia (Persero) Tbk PT IDN IDR 7,975,737 1.06

Diversified Financial Services 1,773,234 Remgro Ltd. ZAF ZAR 38,945,368 5.16 524,324 Ayala Corp. PHL PHP 8,125,061 1.08

47,070,429 6.24

Food & Staples Retailing 411,683 Dairy Farm International Holdings Ltd. HKG USD 3,705,147 0.49 1,287 O’Key Group SA, GDR, Reg S RUS USD 5,650 0.00

3,710,797 0.49

Food Products 640,765 Unilever PLC GBR GBP 26,247,423 3.48 203,837 M Dias Branco SA BRA BRL 6,979,931 0.93

33,227,354 4.41

Hotels, Restaurants & Leisure 27,758,729 Bloomberry Resorts Corp. PHL PHP 7,685,793 1.02 6,781,360 Melco Crown Philippines Resorts Corp. PHL PHP 2,056,288 0.27 674,400 MGM China Holdings Ltd. HKG HKD 1,715,148 0.23

11,457,229 1.52

Industrial Conglomerates 353,602 Industries Qatar QSC QAT QAR 16,312,474 2.16

Insurance 3,103,000 China Life Insurance Co. Ltd., H CHN HKD 12,125,549 1.61

Internet Software & Services 508,000 Tencent Holdings Ltd. CHN HKD 7,370,437 0.98 61,487 NetEase Inc., ADR CHN USD 6,095,821 0.81

13,466,258 1.79

IT Services 856,390 Tata Consultancy Services Ltd. IND INR 34,756,242 4.61 263,064 Infosys Ltd. IND INR 8,232,044 1.09

42,988,286 5.70

Marine 15,508,277 China Shipping Development Co. Ltd., H CHN HKD 10,620,258 1.41

— Templeton Emerging Markets Fund —

Number of shares or



Marketvalue

% ofnet

assets





Media 250,754 Naspers Ltd., N ZAF ZAR 32,852,471 4.36 145,966 Grupo Clarin SA, B, GDR, Reg S ARG USD 1,386,677 0.18

34,239,148 4.54

Metals & Mining 1,377,350 Vale SA, ADR, pfd., A BRA USD 9,999,561 1.33 7,824,600 Aluminum Corp. of China Ltd., H CHN HKD 3,602,528 0.48 60,402 Kumba Iron Ore Ltd. ZAF ZAR 1,253,010 0.17 130,151 Compania de Minas Buenaventura SA, ADR PER USD 1,244,244 0.16

16,099,343 2.14

Oil, Gas & Consumable Fuels 16,472,800 PetroChina Co. Ltd., H CHN HKD 18,227,693 2.42 15,200,000 China Petroleum and Chemical Corp., H CHN HKD 12,251,820 1.62 1,167,400 PTT PCL, fgn. THA THB 11,503,577 1.53 1,185,370 Petroleo Brasileiro SA, ADR, pfd. BRA USD 8,985,105 1.19 10,367,900 Yanzhou Coal Mining Co. Ltd., H CHN HKD 8,798,197 1.17 99,609 SK Innovation Co. Ltd. KOR KRW 7,750,078 1.03 1,287,000 PTT Exploration and Production PCL, fgn. THA THB 4,383,942 0.58 179,880 Tupras-Turkiye Petrol Rafinerileri AS TUR TRY 4,262,486 0.57 284,900 Reliance Industries Ltd. IND INR 4,027,741 0.53 42,371 OMV AG AUT EUR 1,128,429 0.15

81,319,068 10.79

Personal Products 1,139,865 Avon Products Inc. USA USD 10,703,332 1.42

Pharmaceuticals 133,750 Dr. Reddy’s Laboratories Ltd. IND INR 6,887,907 0.91

Real Estate Management & Development 23,508,000 Land and Houses PCL, NVDR THA THB 6,470,420 0.86 1,916,001 Emaar Properties PJSC ARE AED 3,787,089 0.50 11,767,400 Land and Houses PCL, fgn. THA THB 3,238,898 0.43 9,976,189 Quality Houses PCL, fgn. THA THB 1,110,488 0.15

14,606,895 1.94

Semiconductors & Semiconductor Equipment 5,224,952 Taiwan Semiconductor Manufacturing Co. Ltd. TWN TWD 23,276,302 3.09

Specialty Retail 288,021 Truworths International Ltd. ZAF ZAR 1,924,706 0.26 589,740 Giordano International Ltd. HKG HKD 262,396 0.03

2,187,102 0.29

Technology Hardware, Storage & Peripherals 7,204 Samsung Electronics Co. Ltd. KOR KRW 8,740,224 1.16

Textiles, Apparel & Luxury Goods 44,333 Compagnie Financiere Richemont SA CHE CHF 3,959,737 0.52

Tobacco 752,700 Souza Cruz SA BRA BRL 5,472,122 0.73

Wireless Telecommunication Services 771,257 MTN Group Ltd. ZAF ZAR 14,766,225 1.96 898,500 China Mobile Ltd. CHN HKD 10,509,992 1.39 201,419 HSBC Bank PLC (CRTP Etihad Etisalat Co., 144A) SAU USD 2,372,508 0.32 136,436 Deutsche Bank AG/London (CRTP Etihad Etisalat Co., 144A) SAU USD 1,607,076 0.21

29,255,801 3.88

TOTAL SHARES 673,987,875 89.40



— Templeton Emerging Markets Fund —

Number of shares or



Marketvalue

% ofnet

assets





— Templeton Emerging Markets Balanced Fund —

TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Consumer Discretionary 1,810,000 Brilliance China Automotive Holdings Ltd. CHN HKD 2,894,525 4.05 15,308 Naspers Ltd., N ZAF ZAR 2,005,574 2.81 140,200 Tata Motors Ltd. IND INR 1,102,183 1.54 1,602,100 Astra International Tbk PT IDN IDR 960,484 1.34 1,703,500 Bloomberry Resorts Corp. PHL PHP 471,662 0.66 777,000 Melco Crown Philippines Resorts Corp. PHL PHP 235,607 0.33 41,200 MGM China Holdings Ltd. HKG HKD 104,781 0.15 1,100 Compagnie Financiere Richemont SA CHE CHF 98,250 0.14 2,550 Truworths International Ltd. ZAF ZAR 17,040 0.02

7,890,106 11.04

Consumer Staples 15,805 Anheuser-Busch InBev NV BEL EUR 1,794,983 2.51 39,878 Unilever PLC GBR GBP 1,633,508 2.29 2,041,500 Univanich Palm Oil PCL, fgn. THA THB 658,148 0.92 66,740 Avon Products Inc. USA USD 626,688 0.88 22,500 Dairy Farm International Holdings Ltd. HKG USD 202,500 0.28 1,438 O’Key Group SA, GDR, Reg S RUS USD 6,313 0.01

4,922,140 6.89

Energy 857,000 CNOOC Ltd. CHN HKD 1,153,874 1.62 871,000 PetroChina Co. Ltd., H CHN HKD 963,790 1.35 918,000 China Petroleum and Chemical Corp., H CHN HKD 739,945 1.04 65,500 PTT PCL, fgn. THA THB 645,438 0.90 72,400 Petroleo Brasileiro SA, ADR, pfd. BRA USD 548,792 0.77 642,200 Yanzhou Coal Mining Co. Ltd., H CHN HKD 544,971 0.76 5,844 SK Innovation Co. Ltd. KOR KRW 454,692 0.64 17,300 Reliance Industries Ltd. IND INR 244,577 0.34 10,040 Tupras-Turkiye Petrol Rafinerileri AS TUR TRY 237,910 0.33 67,600 PTT Exploration and Production PCL, fgn. THA THB 230,268 0.32 2,490 OMV AG AUT EUR 66,314 0.09

5,830,571 8.16

Financials 2,373,500 United Bank Ltd. PAK PKR 4,114,537 5.76 107,800 Remgro Ltd. ZAF ZAR 2,367,601 3.31 306,500 Siam Commercial Bank PCL, fgn. THA THB 1,696,563 2.38 119,270 Itau Unibanco Holding SA, ADR BRA USD 1,551,703 2.17 5,288,900 Land and Houses PCL, fgn. THA THB 1,455,734 2.04 3,328,719 Bank Danamon Indonesia Tbk PT IDN IDR 1,216,185 1.70 1,079,500 China Construction Bank Corp., H CHN HKD 884,043 1.24 192,000 China Life Insurance Co. Ltd., H CHN HKD 750,276 1.05 78,000 Kasikornbank PCL, fgn. THA THB 543,248 0.76 137,000 Akbank TAS TUR TRY 508,386 0.71 32,140 Ayala Corp. PHL PHP 498,050 0.70 570,000 Industrial and Commercial Bank of China Ltd., H CHN HKD 416,072 0.58 1,038,200 Land and Houses PCL, NVDR THA THB 285,758 0.40 116,503 Emaar Properties PJSC ARE AED 230,275 0.32 81,195 National Bank of Greece SA GRC EUR 144,421 0.20 547,700 Quality Houses PCL, fgn. THA THB 60,967 0.09

16,723,819 23.41

Health Care 68,144 Biocon Ltd. IND INR 460,041 0.64 7,630 Dr. Reddy’s Laboratories Ltd. IND INR 392,933 0.55

852,974 1.19

Industrials 1,088,600 China Shipping Development Co. Ltd., H CHN HKD 745,487 1.05 9,764 Industries Qatar QSC QAT QAR 450,436 0.63 10,933 Hyundai Development Co. KOR KRW 386,837 0.54

1,582,760 2.22

Information Technology 314,500 Taiwan Semiconductor Manufacturing Co. Ltd. TWN TWD 1,401,046 1.96 27,840 Infosys Ltd., ADR IND USD 875,846 1.23 16,400 Infosys Ltd. IND INR 513,204 0.72 420 Samsung Electronics Co. Ltd. KOR KRW 509,563 0.71 31,500 Tencent Holdings Ltd. CHN HKD 457,025 0.64 3,690 NetEase Inc., ADR CHN USD 365,827 0.51

4,122,511 5.77

Number of shares or



Marketvalue

% ofnet

assets





Materials 78,550 Vale SA, ADR, pfd., A BRA USD 570,273 0.80 381,500 Semen Indonesia (Persero) Tbk PT IDN IDR 499,015 0.70 11,952 Arab Potash Co. PLC JOR JOD 327,608 0.46 12,909 Deutsche Bank AG/London (CRTP Saudi Basic Industries Corp., 144A) SAU USD 288,973 0.40 9,981 Sociedad Quimica Y Minera de Chile SA Soquimich, ADR CHL USD 238,346 0.33 486,600 Aluminum Corp. of China Ltd., H CHN HKD 224,036 0.31 15,580 Compania de Minas Buenaventura SA, ADR PER USD 148,945 0.21 3,745 Kumba Iron Ore Ltd. ZAF ZAR 77,688 0.11

2,374,884 3.32

Telecommunication Services 47,047 MTN Group Ltd. ZAF ZAR 900,746 1.26 56,000 China Mobile Ltd. CHN HKD 655,047 0.92 11,500 HSBC Bank PLC (CRTP Etihad Etisalat Co., 144A) SAU USD 135,458 0.19 6,420 Deutsche Bank AG/London (CRTP Etihad Etisalat Co., 144A) SAU USD 75,621 0.10

1,766,872 2.47

TOTAL SHARES 46,066,637 64.47

WARRANTS Financials 925,360 Land and Houses PCL, wts., 5/05/17 THA THB 154,789 0.22



TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET BONDS Asset-Backed Securities 570,000 Tanzania Government International Bond, Reg S, FRN, 6.329%, 03/09/20 † TZA USD 597,238 0.84

Corporate Bonds 650,000 SSB #1 PLC, (OJSC State Savings Bank of Ukraine), loan participation, senior note, Reg S, 8.875%, 03/20/18 UKR USD 370,094 0.52 210,000 Play Topco SA, senior note, 144A, PIK, 7.75%, 02/28/20 ‡ POL EUR 258,547 0.36 270,000 Access Bank PLC, sub. note, Reg S, 9.25% to 06/24/19, FRN thereafter, 06/24/21 NGA USD 252,112 0.35 230,000 Alfa Bond Issuance PLC, (Alfa Bank OJSC), loan participation, senior note, Reg S, 7.75%, 04/08/21 RUS USD 203,262 0.29 200,000 Turkiye Is Bankasi, Reg S, 6.00%, 10/24/22 TUR USD 201,609 0.28 230,000 Metinvest BV, Reg S, 8.75%, 02/14/18 UKR USD 128,081 0.18 100,000 Cable Communications Systems NV, senior secured note, Reg S, 7.50%, 11/01/20 ROM EUR 123,723 0.17 150,000 Edcon Pty. Ltd., senior secured note, first lien, Reg S, 9.50%, 03/01/18 ZAF USD 120,750 0.17 100,000 Edcon Pty. Ltd., senior secured note, first lien, Reg S, 9.50%, 03/01/18 ZAF EUR 97,632 0.14 100,000 Edcon Holdings Pty. Ltd., senior secured note, Reg S, 13.375%, 06/30/19 ZAF EUR 45,375 0.06 200,000 Corporacion GEO SAB de CV, senior note, Reg S, 8.875%, 03/27/22 * MEX USD 12,200 0.02

1,813,385 2.54

Government and Municipal Bonds 1,220,000 Government of Ecuador, senior note, Reg S, 7.95%, 06/20/24 ECU USD 1,049,200 1.47 169,000,000 Government of Nigeria, 15.10%, 04/27/17 NGA NGN 920,371 1.29 80,000,000 Serbia Treasury Note, 10.00%, 02/21/16 SER RSD 809,409 1.13 1,677,000 Government of Ghana, 23.00%, 08/21/17 GHA GHS 544,051 0.76 470,000 Government of Hungary, senior note, 6.375%, 03/29/21 HUN USD 537,882 0.75 850,000 Financing of Infrastructure Projects State Enterprise, senior note, Reg S, 9.00%, 12/07/17 UKR USD 512,044 0.72 12,277,780 Government of Uruguay, senior bond, Index Linked, 4.375%, 12/15/28 URY UYU 508,792 0.71 63,300,000 Government of Sri Lanka, B, 8.00%, 06/01/16 LKA LKR 492,876 0.69 11,350,000 Uruguay Notas del Tesoro, 9.50%, 01/27/16 URY UYU 466,575 0.65 430,000 Government of Sri Lanka, senior note, Reg S, 5.875%, 07/25/22 LKA USD 437,506 0.61 80,500,000 Government of Nigeria, 13.05%, 08/16/16 NGA NGN 425,346 0.59 18,950,000 Government of the Philippines, senior note, 1.625%, 04/25/16 PHL PHP 419,074 0.59 675,000 Government of Ukraine, Reg S, 7.75%, 09/23/20 UKR USD 411,264 0.58 45,220,000 Government of Sri Lanka, A, 9.00%, 05/01/21 LKA LKR 367,871 0.51 530,000 Government of Ukraine, Reg S, 9.25%, 07/24/17 UKR USD 326,414 0.46 340,000 Government of Ghana, Reg S, 7.875%, 08/07/23 GHA USD 316,066 0.44 282 Nota Do Tesouro Nacional, Index Linked, 6.00%, 05/15/23 BRA BRL 264,491 0.37 300,000 Government of Mongolia, Reg S, 5.125%, 12/05/22 MNG USD 262,695 0.37 260,000 Government of Serbia, senior note, Reg S, 4.875%, 02/25/20 SER USD 260,963 0.36 200,000 Government of Montenegro, Reg S, 5.375%, 05/20/19 MNE EUR 254,628 0.36 700 Nota Do Tesouro Nacional, 9.7618%, 01/01/17 BRA BRL 250,929 0.35 230,000 Government of Kenya, senior note, Reg S, 6.875%, 06/24/24 KEN USD 244,388 0.34 14,400,000 Government of India, senior note, 8.83%, 11/25/23 IND INR 240,464 0.34 2,346,000,000 Government of Indonesia, FR34, 12.80%, 06/15/21 IDN IDR 235,945 0.33 225,000 Government of Sri Lanka, senior note, Reg S, 6.25%, 10/04/20 LKA USD 235,521 0.33 5,807,872 Uruguay Notas del Tesoro, 18, Index Linked, 2.25%, 08/23/17 URY UYU 225,881 0.32


Number of shares or



Marketvalue

% ofnet

assets





Government and Municipal Bonds (continued) 200,000 Government of Serbia, Reg S, 7.25%, 09/28/21 SER USD 224,825 0.31 360,000 Kyiv Finance PLC, (City of Kiev), loan participation, senior note, Reg S, 9.375%, 07/11/16 UKR USD 221,400 0.31 200,000 Government of Zambia, senior note, Reg S, 8.50%, 04/14/24 ZMB USD 219,919 0.31 48,680,000 Government of Hungary, 6.50%, 06/24/19 HUN HUF 211,803 0.30 46,110,000 Government of Hungary, A, 6.00%, 11/24/23 HUN HUF 209,677 0.29 200,000 Eastern & Southern African Trade and Development Bank, senior note, Reg S, 6.375%, 12/06/18 SP USD 202,109 0.28 43,410,000 Government of Hungary, A, 6.75%, 11/24/17 HUN HUF 185,690 0.26 200 Nota Do Tesouro Nacional, Index Linked, 6.00%, 05/15/45 BRA BRL 185,239 0.26 570,000 Government of Ghana, 23.00%, 02/13/17 GHA GHS 183,878 0.26 189,000,000 Korea Treasury Bond, senior note, 2.75%, 06/10/16 KOR KRW 174,401 0.24 42,320,000 Government of Hungary, 5.50%, 12/22/16 HUN HUF 172,977 0.24 150,000 Government of Hungary, 5.375%, 02/21/23 HUN USD 162,829 0.23 170,600,000 Korea Treasury Bond, senior note, 3.00%, 12/10/16 KOR KRW 158,656 0.22 21,000,000 Government of Sri Lanka, A, 5.80%, 01/15/17 LKA LKR 157,387 0.22 370 Letra Tesouro Nacional, Strip, 01/01/16 BRA BRL 123,317 0.17 3,518,000 Uruguay Treasury Bill, Strip, 04/21/16 URY UYU 122,453 0.17 200,000 Government of Ukraine, senior note, Reg S, 7.80%, 11/28/22 UKR USD 119,523 0.17 6,000,000 Government of India, senior bond, 8.60%, 06/02/28 IND INR 100,521 0.14 12,500,000 Government of Sri Lanka, C, 8.50%, 04/01/18 LKA LKR 99,185 0.14 23,310,000 Government of Hungary, B, 6.75%, 02/24/17 HUN HUF 97,663 0.14 75,000 Government of Romania, senior note, Reg S, 5.25%, 06/17/16 ROM EUR 97,252 0.14 5,800,000 Government of India, senior bond, 7.80%, 05/03/20 IND INR 91,150 0.13 20,600,000 Government of Hungary, A, 5.50%, 12/20/18 HUN HUF 86,380 0.12 90 Nota Do Tesouro Nacional, Index Linked, 6.00%, 05/15/19 BRA BRL 84,483 0.12 1,946,822 Uruguay Notas del Tesoro, 13, Index Linked, 4.00%, 05/25/25 URY UYU 78,732 0.11 10,600,000 Government of Sri Lanka, B, 5.80%, 07/15/17 LKA LKR 78,680 0.11 253,000 Government of Poland, FRN, 2.69%, 01/25/17 † POL PLN 71,507 0.10 255,000 Government of Poland, FRN, 2.69%, 01/25/21 † POL PLN 70,953 0.10 14,910,000 Government of Hungary, A, 7.00%, 06/24/22 HUN HUF 70,096 0.10 4,300,000 Government of India, senior note, 8.12%, 12/10/20 IND INR 68,557 0.10 16,780,000 Government of Hungary, 4.00%, 04/25/18 HUN HUF 66,678 0.09 14,280,000 Government of Hungary, 7.50%, 11/12/20 HUN HUF 66,503 0.09 70 Nota Do Tesouro Nacional, Index Linked, 6.00%, 08/15/22 BRA BRL 65,756 0.09 8,100,000 Government of Sri Lanka, D, 8.50%, 06/01/18 LKA LKR 64,408 0.09 140,000 Government of Ghana, 25.40%, 07/31/17 GHA GHS 47,953 0.07 10,710,000 Government of Hungary, B, 5.50%, 06/24/25 HUN HUF 47,583 0.07 150 Letra Tesouro Nacional, Strip, 10/01/16 BRA BRL 45,565 0.06 888,960 Uruguay Notas del Tesoro, 14, Index Linked, 4.00%, 06/10/20 URY UYU 36,530 0.05 1,030,000 Uruguay Treasury Bill, Strip, 11/03/16 URY UYU 33,712 0.05 785,923 Government of Uruguay, Index Linked, 4.25%, 04/05/27 URY UYU 32,613 0.05 827,000 Uruguay Treasury Bill, Strip, 01/14/16 URY UYU 29,730 0.04 2,900,000 Serbia Treasury Note, 10.00%, 12/19/16 SER RSD 29,200 0.04 1,700,000 Government of India, senior bond, 8.28%, 09/21/27 IND INR 27,572 0.04 1,700,000 Government of India, senior note, 8.35%, 05/14/22 IND INR 27,491 0.04 790,000 Uruguay Treasury Bill, Strip, 09/15/16 URY UYU 26,261 0.04 563,781 Government of Uruguay, senior bond, Index Linked, 4.00%, 07/10/30 URY UYU 22,621 0.03 251,000,000 Government of Indonesia, senior bond, FR53, 8.25%, 07/15/21 IDN IDR 20,787 0.03 20 Nota Do Tesouro Nacional, Index Linked, 6.00%, 08/15/20 BRA BRL 18,760 0.03 540,000 Uruguay Treasury Bill, Strip, 07/28/16 URY UYU 18,206 0.02 4,400,000 Government of Hungary, 5.50%, 02/12/16 HUN HUF 17,550 0.02 1,100,000 Government of India, senior note, 7.16%, 05/20/23 IND INR 16,552 0.02 50 Letra Tesouro Nacional, Strip, 07/01/16 BRA BRL 15,676 0.02 182,000,000 Government of Indonesia, senior note, 8.50%, 10/15/16 IDN IDR 14,937 0.02 1,360,000 Serbia Treasury Note, 10.00%, 03/01/16 SER RSD 13,762 0.02 1,230,000 Serbia Treasury Note, 10.00%, 11/08/17 SER RSD 12,264 0.02 10 Nota Do Tesouro Nacional, Index Linked, 6.00%, 08/15/24 BRA BRL 9,366 0.01 220,000 Uruguay Notas del Tesoro, 11.00%, 03/21/17 URY UYU 8,688 0.01 91,000,000 Government of Indonesia, FR36, 11.50%, 09/15/19 IDN IDR 8,433 0.01 670,000 Serbia Treasury Note, 10.00%, 01/30/16 SER RSD 6,781 0.01 180,755 Uruguay Notas del Tesoro, 19, Index Linked, 2.50%, 09/27/22 URY UYU 6,457 0.01 45,000,000 Government of Indonesia, FR35, 12.90%, 06/15/22 IDN IDR 4,675 0.01 45,000,000 Government of Indonesia, FR31, 11.00%, 11/15/20 IDN IDR 4,171 0.01 45,000,000 Government of Indonesia, FR43, 10.25%, 07/15/22 IDN IDR 4,139 0.01 200,000 Government of India, senior note, 7.28%, 06/03/19 IND INR 3,093 0.00 37,469 Government of Uruguay, senior bond, Index Linked, 5.00%, 09/14/18 URY UYU 1,589 0.00

16,027,950 22.43

Securities Maturing Within One Year 86,270,000 Nigeria Treasury Bill, 0.00%, 08/06/15 NGA NGN 437,038 0.61 40,540,000 Serbia Treasury Note, 10.00%, 04/27/15 SER RSD 406,752 0.57 36,600,000 Serbia Treasury Note, 10.00%, 09/14/15 SER RSD 369,520 0.52 55,800,000 Nigeria Treasury Bill, 02/19/15 NGA NGN 299,446 0.42 298,100,000 Korea Monetary Stabilization Bond, senior note, 2.90%, 12/02/15 KOR KRW 274,573 0.38 6,347,000 Uruguay Notas del Tesoro, 10.25%, 08/22/15 URY UYU 258,433 0.36 200 Nota Do Tesouro Nacional, Index Linked, 6.00%, 05/15/15 BRA BRL 190,927 0.27 34,370,000 Nigeria Treasury Bill, 0.00%, 03/05/15 NGA NGN 183,419 0.26


Number of shares or



Marketvalue

% ofnet

assets





Securities Maturing Within One Year (continued) 35,360,000 Nigeria Treasury Bill, 0.00%, 06/04/15 NGA NGN 182,959 0.26 480,000 Government of Ghana, 14.99%, 02/23/15 GHA GHS 148,772 0.21 18,100,000 Government of Sri Lanka, A, 8.50%, 11/01/15 LKA LKR 140,496 0.20 3,500,000 Uruguay Treasury Bill, Strip, 05/14/15 URY UYU 137,255 0.19 12,800,000 Serbia Treasury Note, 10.00%, 10/18/15 SER RSD 129,359 0.18 3,292,000 Uruguay Treasury Bill, 0.00%, 05/04/15 URY UYU 129,358 0.18 3,122,000 Uruguay Treasury Bill, Strip, 08/20/15 URY UYU 117,940 0.17 20,600,000 Nigeria Treasury Bill, 0.00%, 04/23/15 NGA NGN 107,999 0.15 360,000 Bank of Negara Monetary Note, 0.00%, 03/03/15 MYS MYR 102,397 0.14 320,000 Bank of Negara Monetary Note, 0.00%, 01/22/15 MYS MYR 91,353 0.13 310,000 Bank of Negara Monetary Note, 0.00%, 04/23/15 MYS MYR 87,759 0.12 1,930,000 Uruguay Treasury Bill, Strip, 03/26/15 URY UYU 77,029 0.11 250,000 Government of Malaysia, 3.835%, 08/12/15 MYS MYR 71,707 0.10 240,000 Bank of Negara Monetary Note, 0.00%, 08/04/15 MYS MYR 67,313 0.09 210,000 Government of Ghana, 24.00%, 05/25/15 GHA GHS 65,860 0.09 230,000 Government of Malaysia, 3.741%, 02/27/15 MYS MYR 65,822 0.09 1,611,900 Uruguay Treasury Bill, Strip, 07/02/15 URY UYU 61,901 0.09 11,190,000 Nigeria Treasury Bill, 0.00%, 04/09/15 NGA NGN 58,899 0.08 1,440,000 Uruguay Notas del Tesoro, 10.50%, 03/21/15 URY UYU 58,611 0.08 7,400,000 Government of Sri Lanka, B, 11.00%, 09/01/15 LKA LKR 58,228 0.08 190,000 Bank of Negara Monetary Note, 0.00%, 08/11/15 MYS MYR 53,254 0.08 150 Letra Tesouro Nacional, Strip, 10/01/15 BRA BRL 51,583 0.07 5,100,000 Serbia Treasury Note, 10.00%, 03/01/15 SER RSD 50,996 0.07 5,500,000 Government of Sri Lanka, A, 11.00%, 08/01/15 LKA LKR 43,126 0.06 136,000 Government of Malaysia, 4.72%, 09/30/15 MYS MYR 39,275 0.06 1,600,000 Philippine Treasury Bill, 0.00%, 09/02/15 PHL PHP 35,272 0.05 110,000 Bank of Negara Monetary Note, 0.00%, 09/22/15 MYS MYR 30,689 0.04 4,380,000 Nigeria Treasury Bill, 0.00%, 02/05/15 NGA NGN 23,632 0.03 80,000 Bank of Negara Monetary Note, 0.00%, 04/07/15 MYS MYR 22,681 0.03 490,000 Uruguay Treasury Bill, Strip, 11/26/15 URY UYU 17,906 0.03 4,320,000 Government of Hungary, A, 8.00%, 02/12/15 HUN HUF 16,624 0.02 50,000 Bank of Negara Monetary Note, 0.00%, 10/01/15 MYS MYR 13,938 0.02 2,240,000 Nigeria Treasury Bill, 0.00%, 05/07/15 NGA NGN 11,702 0.02 2,190,000 Nigeria Treasury Bill, 0.00%, 05/21/15 NGA NGN 11,385 0.02 20,000 Government of Ghana, 21.00%, 10/26/15 GHA GHS 6,138 0.01 1,400,000 Government of Hungary, 7.75%, 08/24/15 HUN HUF 5,560 0.01 110,000 Uruguay Treasury Bill, 0.00%, 10/23/15 URY UYU 4,062 0.01 10,000 Bank of Negara Monetary Note, 0.00%, 01/20/15 MYS MYR 2,855 0.00 10,000 Bank of Negara Monetary Note, 0.00%, 03/24/15 MYS MYR 2,839 0.00 10,000 Bank of Negara Monetary Note, 0.00%, 05/19/15 MYS MYR 2,824 0.00 10,000 Bank of Negara Monetary Note, 0.00%, 08/18/15 MYS MYR 2,801 0.00 10,000 Bank of Negara Monetary Note, 0.00%, 11/03/15 MYS MYR 2,779 0.00

4,833,046 6.76

TOTAL BONDS 23,271,619 32.57



* These Corporate Bonds are currently in default † Floating Rates are indicated as at December 31, 2014 ‡ Income may be received in additional securities and/or cash


Number of shares or



Marketvalue

% ofnet

assets





TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET BONDS Asset-Backed Securities 72,830,000 Tanzania Government International Bond, Reg S, FRN, 6.329%, 03/09/20 † TZA USD 76,310,182 1.25 52,940,000 Government of Iraq, Reg S, 5.80%, 01/15/28 IQ USD 44,533,922 0.73 8,026,667 Government of Bosnia & Herzegovina, senior bond, B, Reg S, FRN, 0.938%, 12/11/21 † BIH DEM 4,165,063 0.07 1,694,459 Peru Enhanced Pass-Through Finance Ltd., senior secured bond, A-1, Reg S, zero cpn., 05/31/18 PER USD 1,606,422 0.03 1,417,000 Government of Ivory Coast, Reg S, 5.75%, 12/31/32 CI USD 1,365,308 0.02 710,000 Government of Iraq, 144A, 5.80%, 01/15/28 IQ USD 597,263 0.01 817,000 Government of Bosnia & Herzegovina, FRN, 0.938%, 12/11/17 † BIH DEM 459,325 0.01

129,037,485 2.12

Corporate Bonds 66,550,000 Access Bank PLC, sub. note, Reg S, 9.25% to 06/24/19, FRN thereafter, 06/24/21 NGA USD 62,141,062 1.02 62,460,000 Alfa Bond Issuance PLC, (Alfa Bank OJSC), loan participation, senior note, Reg S, 7.75%, 04/28/21 RUS USD 55,199,025 0.90 85,350,000 SSB #1 PLC, (OJSC State Savings Bank of Ukraine), loan participation, senior note, Reg S, 8.875%, 03/20/18 UKR USD 48,596,156 0.80 50,000,000 State Export-Import Bank of Ukraine, (BIZ FIN), loan participation, Reg S, 8.75%, 01/22/18 UKR USD 29,187,500 0.48 26,600,000 Turkiye Is Bankasi, Reg S, 6.00%, 10/24/22 TUR USD 26,813,997 0.44 45,000,000 Metinvest BV, Reg S, 8.75%, 02/14/18 UKR USD 25,059,375 0.41 41,130,000 Edcon Holdings Pty. Ltd., senior secured note, Reg S, 13.375%, 06/30/19 ZAF EUR 18,662,737 0.31 20,640,000 Edcon Pty. Ltd., senior secured note, first lien, Reg S, 9.50%, 03/01/18 ZAF USD 16,615,200 0.27 193,000,000 General Electric Capital Corp., senior note, A, 8.50%, 04/06/18 USA MXN 14,503,467 0.24 13,801,000 Edcon Pty. Ltd., senior secured note, first lien, Reg S, 9.50%, 03/01/18 ZAF EUR 13,474,175 0.22 12,030,000 HSBK (Europe) BV, senior note, Reg S, 7.25%, 05/03/17 KAZ USD 12,047,323 0.20 7,340,000 Halyk Savings Bank of Kazakhstan JSC, senior note, Reg S, 7.25%, 01/28/21 KAZ USD 7,224,762 0.12 6,700,000 ICICI Bank Ltd., junior sub. notes, Reg S, 6.375% to 04/30/17, FRN thereafter, 04/30/22 IND USD 6,938,688 0.11 27,540,000 Corporacion GEO SAB de CV, senior note, Reg S, 8.875%, 03/27/22 * MEX USD 1,679,940 0.03

338,143,407 5.55

Government and Municipal Bonds 304,660,000 Government of Ecuador, senior note, Reg S, 7.95%, 06/20/24 ECU USD 262,007,600 4.30 36,781,520 Government of Mexico, 6.25%, 06/16/16 MEX MXN 259,022,119 4.25 4,802,508,876 Government of Uruguay, senior bond, Index Linked, 4.375%, 12/15/28 URY UYU 199,016,244 3.26 1,201,120,000,000 Government of Indonesia, FR40, 11.00%, 09/15/25 IDN IDR 117,251,052 1.92 21,952,610,000 Government of Nigeria, 13.05%, 08/16/16 NGA NGN 115,993,152 1.90 365,002,000 Government of Poland, Strip, 01/25/16 POL PLN 101,204,772 1.66 20,104,120,000 Government of Hungary, A, 6.00%, 11/24/23 HUN HUF 91,420,024 1.50 11,170,730,000 Government of Sri Lanka, A, 9.00%, 05/01/21 LKA LKR 90,875,421 1.49 138,238,000 Government of Ukraine, Reg S, 7.75%, 09/23/20 UKR USD 84,225,649 1.38 13,972,000,000 Government of Nigeria, 15.10%, 04/27/17 NGA NGN 76,091,283 1.25 66,110,000 Government of Serbia, Reg S, 7.25%, 09/28/21 SER USD 74,315,904 1.22 7,262,000,000 Serbia Treasury Note, 10.00%, 02/21/16 SER RSD 73,474,098 1.20 65,820,000 Government of Hungary, 5.375%, 02/21/23 HUN USD 71,449,256 1.17 118,043,000 Financing of Infrastructure Projects State Enterprise, Reg S, 8.375%, 11/03/17 UKR USD 71,240,131 1.17 113,660,000 Financing of Infrastructure Projects State Enterprise, senior note, Reg S, 9.00%, 12/07/17 UKR USD 68,469,352 1.12 16,967,700,000 Government of Hungary, 5.50%, 02/12/16 HUN HUF 67,677,044 1.11 70,000,000 Republic of Senegal, senior note, Reg S, 6.25%, 07/30/24 SEN USD 67,593,050 1.11 72,915 Nota Do Tesouro Nacional, Index Linked, 6.00%, 05/15/45 BRA BRL 67,533,640 1.11 61,190,000 Government of Kenya, senior note, Reg S, 6.875%, 06/24/24 KEN USD 65,017,740 1.07 65,400,000 Federal Democratic Republic of Ethiopia, Reg S, 6.625%, 12/11/24 ETH USD 64,688,121 1.06 1,479,416,122 Uruguay Notas del Tesoro, 14, Index Linked, 4.00%, 06/10/20 URY UYU 60,793,264 1.00 63,528 Nota Do Tesouro Nacional, Index Linked, 6.00%, 08/15/16 BRA BRL 60,105,890 0.99 3,434,100,000 Government of India, senior note, 8.83%, 11/25/23 IND INR 57,345,684 0.94 45,630,000 Government of Slovenia, senior note, Reg S, 5.85%, 05/10/23 SVN USD 52,148,702 0.86 172,500,000 Government of Ghana, 19.24%, 05/30/16 GHA GHS 51,551,774 0.85 139,430 Nota Do Tesouro Nacional, 10.00%, 01/01/17 BRA BRL 49,981,549 0.82 1,222,746,701 Uruguay Notas del Tesoro, 13, Index Linked, 4.00%, 05/25/25 URY UYU 49,449,682 0.81 1,365,205,504 Uruguay Notas del Tesoro, 19, Index Linked, 2.50%, 09/27/22 URY UYU 48,769,531 0.80 11,149,400,000 Government of Hungary, 6.50%, 06/24/19 HUN HUF 48,510,204 0.80 6,572,760 Government of Mexico, 7.25%, 12/15/16 MEX MXN 47,607,937 0.78 161,250,000 Government of Ghana, 19.04%, 09/24/18 GHA GHS 47,103,985 0.77 159,180,000 Government of Poland, 5.00%, 04/25/16 POL PLN 46,814,235 0.77 5,456,930,000 Government of Sri Lanka, C, 8.50%, 04/01/18 LKA LKR 43,299,824 0.71 10,121,390,000 Government of Hungary, A, 6.75%, 11/24/17 HUN HUF 43,295,080 0.71 122,691,000 Government of Ghana, 23.00%, 08/21/17 GHA GHS 39,803,310 0.65 36,720,000 Government of Sri Lanka, senior note, Reg S, 5.875%, 07/25/22 LKA USD 37,360,948 0.61 4,599,600,000 Government of Sri Lanka, B, 8.00%, 06/01/16 LKA LKR 35,814,126 0.59 6,350,000,000 Government of Nigeria, 16.00%, 06/29/19 NGA NGN 35,422,070 0.58 102,910,000 Government of Ghana, 24.44%, 05/29/17 GHA GHS 34,164,343 0.56 112,930,000 Government of Poland, 4.75%, 10/25/16 POL PLN 33,574,831 0.55 810,364,083 Uruguay Notas del Tesoro, 10, Index Linked, 4.25%, 01/05/17 URY UYU 33,349,573 0.55

— Templeton Emerging Markets Bond Fund —

Number of shares or



Marketvalue

% ofnet

assets






Government and Municipal Bonds (continued) 34,861,008 Government of Ghana, Reg S, 7.875%, 08/07/23 GHA USD 32,406,967 0.53 33,857 Nota Do Tesouro Nacional, Index Linked, 6.00%, 05/15/23 BRA BRL 31,754,893 0.52 94,690 Letra Tesouro Nacional, Strip, 01/01/16 BRA BRL 31,559,153 0.52 24,270,000 Government of Montenegro, Reg S, 5.375%, 05/20/19 MNE EUR 30,899,054 0.51 30,000,000 Eastern & Southern African Trade and Development Bank, senior note, Reg S, 6.375%, 12/06/18 SP USD 30,316,350 0.50 45,800,000 Kyiv Finance PLC, (City of Kiev), loan participation, senior note, Reg S, 9.375%, 07/11/16 UKR USD 28,167,000 0.46 5,733,630,000 Government of Hungary, 7.50%, 11/12/20 HUN HUF 26,701,996 0.44 24,428,000 Government of Fiji, senior bond, 9.00%, 03/15/16 FJ USD 26,026,080 0.43 618,512,217 Government of Uruguay, Index Linked, 4.25%, 04/05/27 URY UYU 25,666,413 0.42 27,050 Nota Do Tesouro Nacional, Index Linked, 6.00%, 05/15/19 BRA BRL 25,391,788 0.42 22,800,000 Government of Zambia, senior note, Reg S, 8.50%, 04/14/24 ZMB USD 25,070,766 0.41 5,926,840,000 Government of Hungary, A, 5.50%, 12/20/18 HUN HUF 24,852,488 0.41 76,830,000 Government of Ghana, 23.00%, 02/13/17 GHA GHS 24,784,851 0.41 5,769,100,000 Government of Hungary, B, 6.75%, 02/24/17 HUN HUF 24,171,091 0.40 1,421,600,000 Government of India, senior bond, 8.60%, 06/02/28 IND INR 23,816,733 0.39 280,000,000 Inter-American Development Bank, senior note, 7.50%, 12/05/24 SP MXN 22,158,755 0.36 911,620,000 Government of the Philippines, senior bond, 9.125%, 09/04/16 PHL PHP 22,060,785 0.36 1,370,700,000 Government of India, senior bond, 7.80%, 05/03/20 IND INR 21,541,202 0.35 2,662,340,000 Government of Sri Lanka, D, 8.50%, 06/01/18 LKA LKR 21,169,763 0.35 5,038,720,000 Government of Hungary, 5.50%, 12/22/16 HUN HUF 20,595,022 0.34 873,360,000 Government of the Philippines, senior note, 1.625%, 04/25/16 PHL PHP 19,314,121 0.32 19,705 Nota Do Tesouro Nacional, Index Linked, 6.00%, 08/15/18 BRA BRL 18,496,655 0.30 2,114,900,000 Government of Sri Lanka, 10.60%, 07/01/19 LKA LKR 18,174,358 0.30 27,871,000 Government of Ukraine, senior note, Reg S, 6.25%, 06/17/16 UKR USD 17,962,999 0.29 1,029,200,000 Government of India, senior note, 8.12%, 12/10/20 IND INR 16,408,911 0.27 17,450 Nota Do Tesouro Nacional, Index Linked, 6.00%, 08/15/22 BRA BRL 16,391,943 0.27 392,710,000 Uruguay Notas del Tesoro, 9.50%, 01/27/16 URY UYU 16,143,490 0.26 2,122,300,000 Government of Sri Lanka, A, 5.80%, 01/15/17 LKA LKR 15,905,846 0.26 41,066,000 Government of Peru, senior bond, 7.84%, 08/12/20 PER PEN 15,750,463 0.26 24,010,000 Government of Ukraine, Reg S, 9.25%, 07/24/17 UKR USD 14,787,159 0.24 1,877,910,000 Government of Sri Lanka, A, 8.00%, 11/15/18 LKA LKR 14,718,621 0.24 404,064,000 Uruguay Treasury Bill, Strip, 01/14/16 URY UYU 14,525,723 0.24 1,496,250,000 Government of Sri Lanka, 10.60%, 09/15/19 LKA LKR 12,915,021 0.21 19,540,000 Government of Ukraine, senior note, Reg S, 7.80%, 11/28/22 UKR USD 11,677,397 0.19 36,110 Letra Tesouro Nacional, Strip, 10/01/16 BRA BRL 10,968,914 0.18 2,658,380,000 Government of Hungary, 4.00%, 04/25/18 HUN HUF 10,563,549 0.17 1,394,900,000 Government of Sri Lanka, B, 5.80%, 07/15/17 LKA LKR 10,353,890 0.17 2,151,420,000 Government of Hungary, A, 7.00%, 06/24/22 HUN HUF 10,114,421 0.17 27,330,000 Government of Ghana, 25.40%, 07/31/17 GHA GHS 9,361,190 0.15 31,559,000 Government of Poland, FRN, 2.69%, 01/25/17 † POL PLN 8,919,668 0.15 32,015,000 Government of Poland, FRN, 2.69%, 01/25/21 † POL PLN 8,908,103 0.15 740,200,000 Serbia Treasury Note, 10.00%, 12/19/16 SER RSD 7,453,090 0.12 1,661,700,000 Government of Hungary, B, 5.50%, 06/24/25 HUN HUF 7,382,616 0.12 74,610,000,000 Government of Indonesia, FR42, 10.25%, 07/15/27 IDN IDR 7,084,488 0.12 414,100,000 Government of India, senior bond, 8.28%, 09/21/27 IND INR 6,716,290 0.11 163,894,592 Uruguay Notas del Tesoro, 17, Index Linked, 2.75%, 06/16/16 URY UYU 6,572,096 0.11 404,400,000 Government of India, senior note, 8.35%, 05/14/22 IND INR 6,539,687 0.11 64,860,000,000 Government of Indonesia, FR39, 11.75%, 08/15/23 IDN IDR 6,512,184 0.11 78,298,000,000 Government of Indonesia, 7.875%, 04/15/19 IDN IDR 6,401,026 0.10 626,840,000 Serbia Treasury Note, 10.00%, 03/01/16 SER RSD 6,342,967 0.10 63,340,000,000 Government of Indonesia, FR43, 10.25%, 07/15/22 IDN IDR 5,826,412 0.10 623,780,000 Serbia Treasury Note, 10.00%, 03/20/21 SER RSD 5,797,430 0.09 727,930,000 Government of Sri Lanka, B, 8.50%, 07/15/18 LKA LKR 5,786,766 0.09 8,957,000 Government of Ukraine, senior note, Reg S, 6.75%, 11/14/17 UKR USD 5,483,207 0.09 61,050,000,000 Government of Indonesia, FR46, 9.50%, 07/15/23 IDN IDR 5,438,303 0.09 229,130,000 Government of the Philippines, senior bond, 7.00%, 01/27/16 PHL PHP 5,309,614 0.09 493,600,000 Serbia Treasury Bond, 10.00%, 06/27/16 SER RSD 4,987,830 0.08 539,080,000 Serbia Treasury Bond, 10.00%, 09/11/21 SER RSD 4,937,071 0.08 4,360,000 Government of Slovenia, senior note, Reg S, 5.50%, 10/26/22 SVN USD 4,845,726 0.08 140,920,000 Uruguay Treasury Bill, Strip, 07/28/16 URY UYU 4,751,157 0.08 7,600,000 Government of Ukraine, senior note, Reg S, 7.95%, 02/23/21 UKR USD 4,624,144 0.08 423,140,000 Serbia Treasury Note, 10.00%, 05/22/16 SER RSD 4,278,952 0.07 46,100,000,000 Government of Indonesia, FR44, 10.00%, 09/15/24 IDN IDR 4,219,164 0.07 452,250,000 Government of Sri Lanka, 11.20%, 07/01/22 LKA LKR 4,096,827 0.07 97,264,470 Government of Uruguay, senior bond, Index Linked, 4.00%, 07/10/30 URY UYU 3,902,579 0.06 254,300,000 Government of India, senior note, 7.16%, 05/20/23 IND INR 3,826,522 0.06 486,130,000 Government of Sri Lanka, A, 7.50%, 08/15/18 LKA LKR 3,744,831 0.06 5,960,000 Financing of Infrastructure Projects State Enterprise, Reg S, 7.40%, 04/20/18 UKR USD 3,607,588 0.06 11,430 Letra Tesouro Nacional, Strip, 07/01/16 BRA BRL 3,583,465 0.06 11,660,000 Government of Ghana, 16.90%, 03/07/16 GHA GHS 3,423,976 0.06 326,170,000 Serbia Treasury Note, 10.00%, 11/08/17 SER RSD 3,252,272 0.05 83,473,344 Uruguay Notas del Tesoro, 18, Index Linked, 2.25%, 08/23/17 URY UYU 3,246,464 0.05 75,405,450 Government of Uruguay, senior bond, Index Linked, 5.00%, 09/14/18 URY UYU 3,197,979 0.05 3,360 Nota Do Tesouro Nacional, Index Linked, 6.00%, 08/15/20 BRA BRL 3,151,616 0.05 31,620,000,000 Government of Indonesia, FR31, 11.00%, 11/15/20 IDN IDR 2,930,716 0.05 81,033,000 Uruguay Treasury Bill, Strip, 04/21/16 URY UYU 2,820,558 0.05

Number of shares or



Marketvalue

% ofnet

assets






Government and Municipal Bonds (continued) 7,890,000 Government of Ghana, 26.00%, 06/05/17 GHA GHS 2,691,097 0.04 261,130,000 Serbia Treasury Note, 10.00%, 05/08/17 SER RSD 2,618,718 0.04 78,260,000 Uruguay Treasury Bill, Strip, 11/03/16 URY UYU 2,561,463 0.04 1,705,000 Government of Hungary, senior note, Reg S, 3.875%, 02/24/20 HUN EUR 2,243,979 0.04 53,050,000 Uruguay Notas del Tesoro, 11.00%, 03/21/17 URY UYU 2,095,005 0.03 203,200,000 Serbia Treasury Bond, 10.00%, 08/15/16 SER RSD 2,051,646 0.03 1,780,000 Government of El Salvador, senior bond, Reg S, 7.65%, 06/15/35 SVC USD 1,914,301 0.03 246,900,000 Government of Sri Lanka, A, 6.40%, 08/01/16 LKA LKR 1,880,420 0.03 20,000,000,000 Government of Indonesia, FR36, 11.50%, 09/15/19 IDN IDR 1,853,388 0.03 20,880,000,000 Government of Indonesia, FR48, 9.00%, 09/15/18 IDN IDR 1,757,908 0.03 19,585,000,000 Government of Indonesia, FR28, 10.00%, 07/15/17 IDN IDR 1,672,267 0.03 1,780 Nota Do Tesouro Nacional, Index Linked, 6.00%, 08/15/24 BRA BRL 1,667,115 0.03 1,559,000 Government of Ghana, Reg S, 8.50%, 10/04/17 GHA USD 1,573,935 0.03 176,200,000 Government of Sri Lanka, B, 6.40%, 10/01/16 LKA LKR 1,338,395 0.02 113,770,000 Serbia Treasury Note, 10.00%, 10/17/16 SER RSD 1,147,112 0.02 101,570,000 Serbia Treasury Bond, 10.00%, 11/21/18 SER RSD 997,923 0.02 28,550,000 Uruguay Treasury Bill, Strip, 09/15/16 URY UYU 949,040 0.02 53,300,000 Government of India, senior note, 7.28%, 06/03/19 IND INR 824,178 0.01 18,047,271 Government of Uruguay, senior bond, Index Linked, 3.70%, 06/26/37 URY UYU 669,654 0.01 665 Nota Do Tesouro Nacional, Index Linked, 6.00%, 05/15/17 BRA BRL 630,711 0.01 75,450,000 Government of Sri Lanka, 8.25%, 03/01/17 LKA LKR 591,351 0.01 1,600,000 Government of Ghana, 25.48%, 04/24/17 GHA GHS 547,913 0.01 430,000 Government of Hungary, senior note, 6.375%, 03/29/21 HUN USD 492,105 0.01 8,631,802 Uruguay Notas del Tesoro, 16, Index Linked, 3.25%, 01/27/19 URY UYU 340,444 0.01 240,000 The Export-Import Bank of Korea, senior note, 4.625%, 02/20/17 KOR EUR 315,417 0.01

4,063,806,884 66.68

Securities Maturing Within One Year 21,908,330,000 Nigeria Treasury Bill, 0.00%, 08/06/15 NGA NGN 110,986,044 1.82 325,588,000 Government of Malaysia, 4.72%, 09/30/15 MYS MYR 94,025,233 1.54 94,831 Nota Do Tesouro Nacional, Index Linked, 6.00%, 05/15/15 BRA BRL 90,528,944 1.49 13,063,356,000 Nigeria Treasury Bill, 0.00%, 06/04/15 NGA NGN 67,592,159 1.11 12,557,130,000 Nigeria Treasury Bill, 0.00%, 03/05/15 NGA NGN 67,012,531 1.10 7,673,400,000 Government of Sri Lanka, A, 11.00%, 08/01/15 LKA LKR 60,167,176 0.99 7,774,240 Government of Mexico, 8.00%, 12/17/15 MEX MXN 55,074,475 0.90 158,950,000 Government of Ghana, 24.00%, 05/25/15 GHA GHS 49,849,415 0.82 7,850,360,000 Nigeria Treasury Bill, 0.00%, 04/23/15 NGA NGN 41,156,907 0.68 2,500,000,000 Government of India, 7.17%, 06/14/15 IND INR 39,493,337 0.65 3,317,000,000 Serbia Treasury Note, 10.00%, 04/27/15 SER RSD 33,280,589 0.55 4,523,110 Government of Mexico, 6.00%, 06/18/15 MEX MXN 31,078,514 0.51 712,679,232 Uruguay Notas del Tesoro, Index Linked, 4.00%, 06/14/15 URY UYU 29,232,071 0.48 2,379,900,000 Serbia Treasury Note, 10.00%, 03/01/15 SER RSD 23,796,984 0.39 575,390,000 Uruguay Notas del Tesoro, 10.25%, 08/22/15 URY UYU 23,428,347 0.38 4,410,700,000 Nigeria Treasury Bill, 0.00%, 04/09/15 NGA NGN 23,215,828 0.38 75,260,000 Government of Malaysia, 3.741%, 02/27/15 MYS MYR 21,538,157 0.35 29,305,310 Mexico Treasury Bill, 0.00%, 06/25/15 MEX MXN 19,578,276 0.32 464,450,000 Uruguay Notas del Tesoro, 10.50%, 03/21/15 URY UYU 18,904,070 0.31 1,792,200,000 Serbia Treasury Note, 10.00%, 09/14/15 SER RSD 18,094,378 0.30 54,551,000 Government of Ghana, 21.00%, 10/26/15 GHA GHS 16,742,533 0.28 23,781,960 Mexico Treasury Bill, 0.00%, 04/01/15 MEX MXN 16,010,810 0.26 55,623,000 Government of Poland, 5.50%, 04/25/15 POL PLN 15,906,315 0.26 389,967,000 Uruguay Treasury Bill, 0.00%, 05/04/15 URY UYU 15,323,610 0.25 22,991,080 Mexico Treasury Bill, 0.00%, 07/23/15 MEX MXN 15,319,331 0.25 50,150,000 Government of Malaysia, 3.835%, 08/12/15 MYS MYR 14,384,509 0.24 48,484,000 Government of Poland, 6.25%, 10/24/15 POL PLN 14,185,484 0.23 1,665,900,000 Government of Sri Lanka, B, 11.00%, 09/01/15 LKA LKR 13,108,424 0.22 38,000 Letra Tesouro Nacional, Strip, 10/01/15 BRA BRL 13,067,817 0.21 19,481,780 Mexico Treasury Bill, Strip, 05/28/15 MEX MXN 13,053,691 0.21 309,460,000 Uruguay Treasury Bill, Strip, 05/14/15 URY UYU 12,135,738 0.20 37,280,000 Government of Ghana, 14.99%, 02/23/15 GHA GHS 11,554,635 0.19 40,612,000 Government of Poland, Strip, 07/25/15 POL PLN 11,368,400 0.19 2,513,760,000 Government of Hungary, 7.75%, 08/24/15 HUN HUF 9,983,802 0.16 1,726,180,000 Nigeria Treasury Bill, 0.00%, 02/05/15 NGA NGN 9,313,401 0.15 23,086 Letra Tesouro Nacional, Strip, 01/01/15 BRA BRL 8,683,298 0.14 117,803,600 ING Americas Issuance BV, 5.50%, 08/24/15 UKR UAH 7,065,907 0.12 22,510,000 Bank of Negara Monetary Note, 0.00%, 03/03/15 MYS MYR 6,402,651 0.11 8,384,850 Mexico Treasury Bill, 0.00%, 03/12/15 MEX MXN 5,652,922 0.09 8,450,610 Mexico Treasury Bill, 0.00%, 06/11/15 MEX MXN 5,652,556 0.09 19,655,000 Government of Malaysia, 3.197%, 10/15/15 MYS MYR 5,612,847 0.09 7,841,450 Mexico Treasury Bill, 0.00%, 11/12/15 MEX MXN 5,170,380 0.09 639,600,000 Government of Sri Lanka, A, 8.50%, 11/01/15 LKA LKR 4,964,700 0.08 17,120,000 Bank of Negara Monetary Note, 0.00%, 08/11/15 MYS MYR 4,798,496 0.08 881,850,000 Nigeria Treasury Bill, 0.00%, 05/07/15 NGA NGN 4,606,702 0.08 862,780,000 Nigeria Treasury Bill, 0.00%, 05/21/15 NGA NGN 4,485,466 0.07 71,844,000 ING Americas Issuance BV, Reg S, 5.50%, 08/25/15 UKR UAH 4,309,037 0.07 11,500,000 Government of Peru, 9.91%, 05/05/15 PER PEN 3,934,158 0.07 462,670,000 Government of Sri Lanka, A, 6.50%, 07/15/15 LKA LKR 3,538,509 0.06 2,970,000 Government of Ukraine, senior bond, Reg S, 4.95%, 10/13/15 UKR EUR 2,442,710 0.04

Number of shares or



Marketvalue

% ofnet

assets





Securities Maturing Within One Year (continued) 63,214,000 Uruguay Treasury Bill, Strip, 08/20/15 URY UYU 2,388,033 0.04 50,150,000 Uruguay Treasury Bill, Strip, 11/26/15 URY UYU 1,832,587 0.03 471,570,000 Government of Hungary, A, 8.00%, 02/12/15 HUN HUF 1,814,674 0.03 67,740,000 Philippine Treasury Bill, 0.00%, 09/02/15 PHL PHP 1,493,309 0.02 35,143,000 Uruguay Treasury Bill, Strip, 03/26/15 URY UYU 1,402,605 0.02 1,200,000 Government of Ukraine, senior note, Reg S, 6.875%, 09/23/15 UKR USD 843,498 0.01 11,168,301 Government of Uruguay, Index Linked, zero cpn., 03/26/15 URY UYU 454,675 0.01 10,240,000 Uruguay Treasury Bill, Strip, 07/02/15 URY UYU 393,243 0.01 8,790,000 Uruguay Treasury Bill, 0.00%, 10/23/15 URY UYU 324,618 0.01 12,340,000 Philippine Treasury Bill, 0.00%, 07/08/15 PHL PHP 272,840 0.00 28,580,000 Government of Sri Lanka, A, 11.75%, 03/15/15 LKA LKR 220,363 0.00 6,600,000 Philippine Treasury Bill, 0.00%, 10/07/15 PHL PHP 145,227 0.00 5,100,000 Philippine Treasury Bill, 0.00%, 12/02/15 PHL PHP 111,890 0.00 2,690,000 Philippine Treasury Bill, 0.00%, 06/03/15 PHL PHP 59,591 0.00 2,060,000 Philippine Treasury Bill, 0.00%, 11/04/15 PHL PHP 45,262 0.00 1,770,000 Philippine Treasury Bill, 0.00%, 05/06/15 PHL PHP 39,270 0.00 830,000 Philippine Treasury Bill, 0.00%, 04/08/15 PHL PHP 18,443 0.00

1,208,672,402 19.83

TOTAL BONDS 5,739,660,178 94.18

RIGHTS Government and Municipal Bonds 1,000,000 Banco Central Del Uruguay, rts., 02/19/21 URY USD 100 0.00

TOTAL RIGHTS 100 0.00



* These Corporate Bonds are currently in default † Floating Rates are indicated as at December 31, 2014


Number of shares or



Marketvalue

% ofnet

assets





— Templeton Emerging Markets Smaller Companies Fund —

TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Air Freight & Logistics 7,345,359 Aramex Co. ARE AED 6,199,375 1.78

Auto Components 100,409 Global & Yuasa Battery Co. Ltd. KOR KRW 3,626,166 1.04 306,128 Balkrishna Industries Ltd. IND INR 2,976,777 0.85 64,600 Mahle-Metal Leve SA Industria e Comercio BRA BRL 509,508 0.15

7,112,451 2.04

Banks 4,203,234 Federal Bank Ltd. IND INR 10,115,501 2.90 31,065,500 Faysal Bank Ltd. PAK PKR 5,609,946 1.61 2,434,400 United Bank Ltd. PAK PKR 4,220,109 1.21 102,210 Intercorp Financial Services Inc., Reg S PER USD 3,107,184 0.89 2,402,300 Tisco Financial Group PCL, fgn. THA THB 3,105,163 0.89 96,479 ING Vysya Bank Ltd. IND INR 1,329,599 0.38 3,422,900 Bank Permata Tbk PT IDN IDR 415,944 0.12

27,903,446 8.00

Beverages 980,500 Embotelladora Andina SA, pfd., A CHL CLP 2,378,145 0.68

Biotechnology 28,296 Medy-tox Inc. KOR KRW 8,278,525 2.37 292,391 Biocon Ltd. IND INR 1,973,935 0.57

10,252,460 2.94

Building Products 2,459,000 Dynasty Ceramic PCL, fgn. THA THB 4,225,471 1.21 498,943 Trakya Cam Sanayii AS TUR TRY 735,469 0.21

4,960,940 1.42

Capital Markets 4,285,843 IS Yatirim Menkul Degerler AS TUR TRY 2,130,341 0.61

Chemicals 863,247 Tata Chemicals Ltd. IND INR 5,964,737 1.71 391,200 Paints & Chemical Industries Co. SAE EGY EGP 2,523,906 0.72 298,952 EID Parry India Ltd. IND INR 956,827 0.28

9,445,470 2.71

Commercial Services & Supplies 3,505,536 Depa Ltd. ARE USD 1,822,879 0.52

Containers & Packaging 3,902,000 Amvig Holdings Ltd. CHN HKD 1,685,812 0.48

Diversified Financial Services 640,661 Bajaj Holdings and Investment Ltd. IND INR 14,268,136 4.09

Electronic Equipment, Instruments & Components 8,984,622 Redington India Ltd. IND INR 19,569,899 5.61 14,207,400 Ju Teng International Holdings Ltd. CHN HKD 7,035,952 2.02 2,788,700 Delta Electronics (Thailand) PCL, fgn. THA THB 5,979,421 1.72 918,413 Simplo Technology Co. Ltd. TWN TWD 4,570,157 1.31 3,872,000 Digital China Holdings Ltd. CHN HKD 3,595,380 1.03 957,000 Flytech Technology Co. Ltd. TWN TWD 3,310,843 0.95

44,061,652 12.64

Energy Equipment & Services 20,535,000 Honghua Group Ltd. CHN HKD 2,621,844 0.75 5,126,000 Anhui Tianda Oil Pipe Co. Ltd., H CHN HKD 859,407 0.25

3,481,251 1.00

Food & Staples Retailing 242,795 Massmart Holdings Ltd. ZAF ZAR 2,998,065 0.86 131,260 Eurocash SA POL PLN 1,408,966 0.40 144,720 DIXY Group OJSC RUS RUB 896,772 0.26

5,303,803 1.52

Food Products 666,442 Pinar Sut Mamulleri Sanayii AS TUR TRY 6,096,986 1.75 1,835,440 Grupo Herdez SAB de CV MEX MXN 4,406,251 1.27 1,862,000 Agthia Group PJSC ARE AED 3,143,001 0.90 1,401,600 Biostime International Holdings Ltd. CHN HKD 2,892,152 0.83 9,655 Wawel SA POL PLN 2,808,053 0.81 3,024,000 Uni-President China Holdings Ltd. CHN HKD 2,800,163 0.80 1,138,900 Marfrig Global Foods SA BRA BRL 2,614,220 0.75

Number of shares or



Marketvalue

% ofnet

assets





Food Products (continued) 5,313,000 Oldtown Bhd. MYS MYR 2,279,279 0.65 241,674 Ulker Biskuvi Sanayi AS TUR TRY 1,921,006 0.55 114,299 MHP SA, GDR, Reg S UKR USD 1,051,551 0.30 199,348 Pinar Entegre Et ve Un Sanayi AS TUR TRY 779,043 0.22

30,791,705 8.83

Health Care Equipment & Supplies 210,000 St. Shine Optical Co. Ltd. TWN TWD 3,463,398 0.99 1,031,300 Hartalega Holdings Bhd. MYS MYR 2,073,513 0.60

5,536,911 1.59

Health Care Providers & Services 3,995,761 Selcuk Ecza Deposu Ticaret ve Sanayi AS TUR TRY 3,698,352 1.06 57,803 HSBC Bank PLC (CRTP Al Mouwasat Medical Services, 144A) SAU USD 1,910,104 0.55

5,608,456 1.61

Hotels, Restaurants & Leisure 35,180 DO & CO Restaurants & Catering AG TUR TRY 2,698,385 0.77 5,500 Fortuna Entertainment Group NV TUR CZK 28,929 0.01

2,727,314 0.78

Household Durables 101,458 Amica Wronki SA POL PLN 3,123,901 0.89 13,638,100 Yorkey Optical International Cayman Ltd. CHN HKD 1,530,207 0.44

4,654,108 1.33

Household Products 6,247,360 DSG International Thailand PCL, fgn. THA THB 1,472,538 0.42

Industrial Conglomerates 11,358,700 Hemas Holdings PLC LKA LKR 6,432,557 1.84 9,688,000 Chongqing Machinery and Electric Co. Ltd., H CHN HKD 1,499,313 0.43

7,931,870 2.27

Insurance 441,153,746 Panin Financial Tbk PT IDN IDR 10,650,381 3.05

Internet & Catalog Retail 14,000 GS Home Shopping Inc. KOR KRW 2,841,574 0.82

Internet Software & Services 83,700 Sohu.com Inc. CHN USD 4,451,166 1.28 19,350 Mail.ru Group Ltd., GDR, Reg S RUS USD 315,405 0.09

4,766,571 1.37


Leisure Products 848,300 Merida Industry Co. Ltd. TWN TWD 5,748,961 1.65

Machinery 2,580,000 Shanghai Prime Machinery Co. Ltd., H CHN HKD 372,662 0.11

Oil, Gas & Consumable Fuels 532,054 Great Eastern Shipping Co. Ltd. IND INR 3,054,658 0.88

Paper & Forest Products 783,000 Duratex SA BRA BRL 2,365,942 0.68

Personal Products 1,373,700 Mandom Indonesia Tbk PT IDN IDR 1,943,810 0.56

Pharmaceuticals 593,736 Egyptian International Pharmaceutical Industries Co. EGY EGP 6,518,595 1.87 108,515 Bukwang Pharmaceutical Co. Ltd. KOR KRW 1,765,988 0.50 263,600 TTY Biopharm Co. Ltd. TWN TWD 582,983 0.17

8,867,566 2.54

Real Estate Management & Development 14,172,000 Beijing Capital Land Ltd., H CHN HKD 5,373,478 1.54

Road & Rail 294,148 Globaltrans Investment PLC, GDR, Reg S RUS USD 1,485,447 0.43

Semiconductors & Semiconductor Equipment 213,503 Silicon Works Co. Ltd. KOR KRW 4,880,024 1.40 682,000 Novatek Microelectronics Corp. Ltd. TWN TWD 3,835,455 1.10

8,715,479 2.50


Number of shares or



Marketvalue

% ofnet

assets






Specialty Retail 3,246,200 Luk Fook Holdings (International) Ltd. HKG HKD 12,203,681 3.50 545,900 Cia Hering BRA BRL 4,159,727 1.19 27,640,800 Bonjour Holdings Ltd. HKG HKD 3,030,027 0.87 69,000 OSIM International Ltd. SGP SGD 103,125 0.03

19,496,560 5.59

Textiles, Apparel & Luxury Goods 115,296 Fila Korea Ltd. KOR KRW 11,753,496 3.37 219,162 LF Corp. KOR KRW 5,991,208 1.72 750,608 Vardhman Textiles Ltd. IND INR 5,434,123 1.56 51,630 Youngone Holdings Co. Ltd. KOR KRW 4,196,448 1.20 600,404 Grendene SA BRA BRL 3,456,701 0.99

30,831,976 8.84

Tobacco 116,394 Eastern Tobacco EGY EGP 3,581,492 1.03

Trading Companies & Distributors 6,143,700 Hexindo Adiperkasa Tbk PT IDN IDR 1,738,689 0.50

Transportation Infrastructure 2,388,982 COSCO Pacific Ltd. CHN HKD 3,401,410 0.98 1,064,279 Shenzhen Chiwan Wharf Holdings Ltd., B CHN HKD 2,230,416 0.64

5,631,826 1.62

TOTAL SHARES 324,888,298 93.18



Number of shares or



Marketvalue

% ofnet

assets





TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Aerospace & Defense 33,580 Thales SA FRA EUR 1,510,932 0.89

Air Freight & Logistics 400,900 TNT Express NV NLD EUR 2,221,387 1.31 273,230 CTT-Correios de Portugal SA PRT EUR 2,190,485 1.29 62,840 Deutsche Post AG DEU EUR 1,699,508 1.00

6,111,380 3.60

Airlines 266,710 Deutsche Lufthansa AG DEU EUR 3,688,599 2.17


Banks 429,940 Credit Agricole SA FRA EUR 4,626,154 2.73 93,750 BNP Paribas SA FRA EUR 4,618,125 2.72 713,909 UniCredit SpA ITA EUR 3,808,705 2.24 268,582 ING Groep NV, IDR NLD EUR 2,908,743 1.71 66,510 Societe Generale SA FRA EUR 2,327,185 1.37 48,570 KBC GROEP NV BEL EUR 2,258,262 1.33 97,930 Commerzbank AG DEU EUR 1,075,271 0.63

21,622,445 12.73

Biotechnology 14,920 Basilea Pharmaceutica AG CHE CHF 1,142,892 0.67

Building Products 86,800 Compagnie de Saint-Gobain FRA EUR 3,057,964 1.80

Capital Markets 383,593 MLP AG DEU EUR 1,423,130 0.84

Chemicals 78,910 Akzo Nobel NV NLD EUR 4,549,161 2.68

Construction & Engineering 74,110 FLSmidth & Co. AS DNK DKK 2,709,681 1.60 501,830 Koninklijke BAM Groep NV NLD EUR 1,292,714 0.76

4,002,395 2.36

Construction Materials 64,890 HeidelbergCement AG DEU EUR 3,816,181 2.25 129,535 CRH PLC IRL EUR 2,577,746 1.52 43,050 Lafarge SA FRA EUR 2,500,344 1.47

8,894,271 5.24


Diversified Telecommunication Services 358,238 Telefonica SA ESP EUR 4,270,197 2.51

Energy Equipment & Services 125,468 SBM Offshore NV NLD EUR 1,227,203 0.72 23,220 Technip SA FRA EUR 1,147,416 0.68 131,223 Aker Solutions ASA, Reg S NOR NOK 603,138 0.35 38,611 Saipem SpA ITA EUR 338,426 0.20

3,316,183 1.95

Food & Staples Retailing 125,340 Metro AG DEU EUR 3,172,355 1.87

Health Care Equipment & Supplies 2,167,554 Sorin SpA ITA EUR 4,174,709 2.46 144,520 Getinge AB, B SWE SEK 2,722,889 1.60

6,897,598 4.06

Health Care Providers & Services 160,677 Amplifon SpA ITA EUR 787,960 0.46

Household Durables 33,410 SEB SA FRA EUR 2,057,054 1.21

Industrial Conglomerates 21,290 Siemens AG DEU EUR 1,995,937 1.18

— Templeton Euroland Fund —

Number of shares or



Marketvalue

% ofnet

assets





Insurance 702,710 Aegon NV NLD EUR 4,398,262 2.59 190,105 AXA SA FRA EUR 3,650,967 2.15 394,590 UNIQA Insurance Group AG AUT EUR 3,068,726 1.81 90,220 NN Group NV NLD EUR 2,241,516 1.32 9,480 Muenchener Rueckversicherungs-Gesellschaft AG DEU EUR 1,571,310 0.92

14,930,781 8.79

IT Services 83,002 Indra Sistemas SA ESP EUR 669,826 0.39

Life Sciences Tools & Services 104,800 QIAGEN NV NLD EUR 2,028,928 1.20 40,970 Gerresheimer AG DEU EUR 1,841,601 1.08 15,790 MorphoSys AG DEU EUR 1,209,988 0.71 10,640 Tecan Group AG CHE CHF 999,450 0.59

6,079,967 3.58

Machinery 100,025 DMG MORI SEIKI AG DEU EUR 2,350,588 1.38 32,248 GEA Group AG DEU EUR 1,180,277 0.70 4,380 Rational AG DEU EUR 1,137,705 0.67 111,100 Meyer Burger Technology AG CHE CHF 595,682 0.35

5,264,252 3.10

Media 278,651 Atresmedia Corporacion de Medios de Comunicacion SA ESP EUR 3,243,497 1.91 50,710 Ipsos FRA EUR 1,202,588 0.71

4,446,085 2.62

Oil, Gas & Consumable Fuels 294,399 Eni SpA ITA EUR 4,271,729 2.51 93,530 Total SA, B FRA EUR 3,976,896 2.34 375,850 Galp Energia SGPS SA, B PRT EUR 3,168,791 1.87 94,760 Royal Dutch Shell PLC, A GBR EUR 2,621,062 1.54

14,038,478 8.26

Personal Products 68,370 Ontex Group NV BEL EUR 1,621,395 0.95

Pharmaceuticals 73,386 Merck KGaA DEU EUR 5,754,930 3.39 70,505 Sanofi FRA EUR 5,334,408 3.14 45,410 Bayer AG DEU EUR 5,131,330 3.02 281,770 H. Lundbeck AS DNK DKK 4,646,081 2.74 15,090 Roche Holding AG CHE CHF 3,385,580 1.99 45,360 UCB SA BEL EUR 2,866,752 1.69

27,119,081 15.97

Semiconductors & Semiconductor Equipment 209,520 Infineon Technologies AG DEU EUR 1,853,204 1.09


Wireless Telecommunication Services 29,340 Millicom International Cellular SA, IDR LUX SEK 1,811,032 1.07

TOTAL SHARES 163,325,814 96.16



— Templeton Euroland Fund —

Number of shares or



Marketvalue

% ofnet

assets





— Templeton European Fund —

TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Aerospace & Defense 56,900 Thales SA FRA EUR 2,560,215 0.84 378,400 BAE Systems PLC GBR GBP 2,300,755 0.75

4,860,970 1.59

Air Freight & Logistics 521,300 TNT Express NV NLD EUR 2,888,523 0.95

Airlines 453,100 Deutsche Lufthansa AG DEU EUR 6,266,373 2.06 380,400 International Consolidated Airlines Group SA GBR GBP 2,382,008 0.78

8,648,381 2.84


Banks 200,400 BNP Paribas SA FRA EUR 9,871,704 3.23 1,022,100 UniCredit SpA ITA EUR 5,452,904 1.79 499,000 Credit Agricole SA FRA EUR 5,369,240 1.76 1,574,000 Barclays PLC GBR GBP 4,937,201 1.62 377,718 ING Groep NV, IDR NLD EUR 4,090,686 1.34 444,300 HSBC Holdings PLC GBR GBP 3,483,256 1.14 53,600 KBC GROEP NV BEL EUR 2,492,132 0.82 146,200 Commerzbank AG DEU EUR 1,605,276 0.53

37,302,399 12.23

Biotechnology 50,200 Basilea Pharmaceutica AG CHE CHF 3,845,386 1.26


Capital Markets 647,300 Aberdeen Asset Management PLC GBR GBP 3,603,857 1.18 168,207 Credit Suisse Group AG CHE CHF 3,506,812 1.15 545,044 MLP AG DEU EUR 2,022,113 0.66

9,132,782 2.99


Commercial Services & Supplies 670,960 Serco Group PLC GBR GBP 1,388,960 0.46

Construction & Engineering 91,000 FLSmidth & Co. AS DNK DKK 3,327,229 1.09 922,900 Koninklijke BAM Groep NV NLD EUR 2,377,390 0.78

5,704,619 1.87

Construction Materials 267,457 CRH PLC IRL EUR 5,322,394 1.74 89,000 HeidelbergCement AG DEU EUR 5,234,090 1.72

10,556,484 3.46


Diversified Telecommunication Services 491,001 Telefonica SA ESP EUR 5,852,732 1.92 215,817 Telenor ASA NOR NOK 3,616,881 1.18

9,469,613 3.10

Electrical Equipment 205,500 ABB Ltd. CHE CHF 3,611,251 1.18

Energy Equipment & Services 43,700 Technip SA FRA EUR 2,159,435 0.71 140,000 Petrofac Ltd. GBR GBP 1,267,829 0.41 95,800 SBM Offshore NV NLD EUR 937,020 0.31 63,800 Saipem SpA ITA EUR 559,207 0.18

4,923,491 1.61

Food & Staples Retailing 1,847,900 Tesco PLC GBR GBP 4,499,015 1.47 164,900 Metro AG DEU EUR 4,173,619 1.37

8,672,634 2.84

Number of shares or



Marketvalue

% ofnet

assets





— Templeton European Fund —

Health Care Equipment & Supplies 3,628,400 Sorin SpA ITA EUR 6,988,299 2.29 244,000 Getinge AB, B SWE SEK 4,597,182 1.51

11,585,481 3.80

Health Care Providers & Services 372,000 Amplifon SpA ITA EUR 1,824,288 0.60

Household Durables 73,300 SEB SA FRA EUR 4,513,081 1.48


Insurance 995,000 Aegon NV NLD EUR 6,227,705 2.04 236,265 AXA SA FRA EUR 4,537,469 1.49 526,200 UNIQA Insurance Group AG AUT EUR 4,092,258 1.34 569,966 Aviva PLC GBR GBP 3,557,295 1.17 111,800 NN Group NV NLD EUR 2,777,671 0.91 38,693 Swiss Re AG CHE CHF 2,690,539 0.88

23,882,937 7.83

IT Services 158,000 Indra Sistemas SA ESP EUR 1,275,060 0.42

Life Sciences Tools & Services 99,400 Gerresheimer AG DEU EUR 4,468,030 1.46 53,800 MorphoSys AG DEU EUR 4,122,694 1.35 203,000 QIAGEN NV NLD EUR 3,930,080 1.29

12,520,804 4.10

Machinery 353,200 Meyer Burger Technology AG CHE CHF 1,893,744 0.62

Media 189,100 Ipsos FRA EUR 4,484,506 1.47 77,180 Schibsted ASA NOR NOK 4,044,307 1.33 274,800 Sky PLC GBR GBP 3,182,391 1.04 222,000 Atresmedia Corporacion de Medios de Comunicacion SA ESP EUR 2,584,080 0.85

14,295,284 4.69

Multiline Retail 1,116,700 Marks & Spencer Group PLC GBR GBP 6,887,598 2.26

Oil, Gas & Consumable Fuels 475,600 Eni SpA ITA EUR 6,900,956 2.26 138,300 Total SA, B FRA EUR 5,880,516 1.93 581,300 Galp Energia SGPS SA, B PRT EUR 4,900,940 1.61 333,900 BG Group PLC GBR GBP 3,720,572 1.22 698,751 BP PLC GBR GBP 3,699,486 1.21

25,102,470 8.23

Personal Products 130,700 Ontex Group NV BEL EUR 3,099,551 1.02

Pharmaceuticals 430,400 H. Lundbeck AS DNK DKK 7,096,828 2.33 84,430 Merck KGaA DEU EUR 6,621,001 2.17 91,500 UCB SA BEL EUR 5,782,800 1.90 22,300 Roche Holding AG CHE CHF 5,003,209 1.64 63,447 Sanofi FRA EUR 4,800,400 1.57 38,100 Bayer AG DEU EUR 4,305,300 1.41 45,900 Novartis AG CHE CHF 3,523,631 1.15 1,988,000 Vectura Group PLC GBR GBP 3,297,166 1.08 165,300 GlaxoSmithKline PLC GBR GBP 2,930,005 0.96

43,360,340 14.21


Specialty Retail 1,040,300 Kingfisher PLC GBR GBP 4,563,025 1.50

Wireless Telecommunication Services 2,547,661 Vodafone Group PLC GBR GBP 7,307,040 2.40 264,471 Turkcell Iletisim Hizmetleri AS, ADR TUR USD 3,304,795 1.08

10,611,835 3.48

TOTAL SHARES 300,812,303 98.61



Number of shares or



Marketvalue

% ofnet

assets





TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Air Freight & Logistics 36,248,004 Aramex Co. ARE AED 30,592,780 1.90

Airlines 71,116,080 Kenya Airways Ltd. KEN KES 6,597,185 0.41

Automobiles 2,785,864 Indus Motor Co. Ltd. PAK PKR 24,560,861 1.52

Banks 37,494,335 United Bank Ltd. PAK PKR 64,997,609 4.03 36,080,093 Commercial Bank of Ceylon PLC - voting shares LKA LKR 47,025,121 2.91 29,991,490 Bank Muscat SAOG OMN OMR 45,491,222 2.82 447,752,713 Zenith Bank PLC NGA NGN 45,044,412 2.79 12,315,000 National Bank of Kuwait SAK KWD KWD 38,267,543 2.37 2,618,567 BBVA Banco Frances SA, ADR ARG USD 36,110,039 2.24 2,251,437 Deutsche Bank AG/London (CRTP Saudi British Bank, 144A) SAU USD 34,799,490 2.16 229,899,504 Guaranty Trust Bank PLC NGA NGN 31,633,167 1.96 2,907,834 HSBC Bank PLC (CRTP Samba Financial Group, 144A) SAU USD 29,911,762 1.85 560,114,494 FBN Holdings PLC NGA NGN 26,934,467 1.67 33,629,794 Kenya Commercial Bank Ltd. KEN KES 20,983,803 1.30 13,876,398 Hatton National Bank PLC LKA LKR 20,624,220 1.28 67,271,263 Islami Bank Bangladesh Ltd. BGD BDT 20,200,803 1.25 37,257,938 Banca Transilvania ROM RON 19,181,648 1.19 702,719,674 United Bank for Africa PLC NGA NGN 16,588,792 1.03 34,258,140 Brac Bank Ltd. BGD BDT 16,266,297 1.01 1,499,734 Deutsche Bank AG/London (CRTP Samba Financial Group, 144A) SAU USD 15,427,183 0.96 1,873,002 Merrill Lynch International & Co. CV (CRTP Arab National Bank) SAU USD 15,223,803 0.94 1,007,527 HSBC Bank PLC (CRTP Al Rajhi Bank) SAU USD 13,760,545 0.85 4,938,880 BRD-Groupe Societe Generale ROM RON 11,660,717 0.72 258,696 Banco Macro SA, ADR ARG USD 11,312,776 0.70 331,416 Bank of Georgia Holdings PLC GE GBP 10,724,161 0.67 7,625,980 Hatton National Bank PLC LKA LKR 8,893,102 0.55 81,770,288 Ecobank Transnational Inc. NGA NGN 8,302,142 0.52 15,114,017 The Co-operative Bank of Kenya Ltd. KEN KES 3,288,196 0.20 3,215,179 Commercial Bank of Ceylon PLC - non-voting shares LKA LKR 3,065,693 0.19

615,718,713 38.16

Beverages 47,848,118 Nigerian Breweries PLC NGA NGN 43,220,185 2.68 30,295,997 Delta Corp. Ltd. ZWE USD 30,901,917 1.91 6,721,900 East African Breweries Ltd. KEN KES 23,012,579 1.43 14,584,230 Guinness Nigeria PLC NGA NGN 13,400,755 0.83

110,535,436 6.85

Building Products 4,097,418 Binh Minh Plastics JSC VND VND 13,985,343 0.87

Chemicals 892,005 HSBC Bank PLC (CRTP Saudi Basic Industries Corp., 144A) SAU USD 19,967,866 1.23 390,639 Viet Nam Fumigation JSC VND VND 789,954 0.05 4,892 Arab Potash Co. PLC JOR JOD 134,092 0.01

20,891,912 1.29

Commercial Services & Supplies 1,550,500 Depa Ltd. ARE USD 806,260 0.05

Diversified Telecommunication Services 2,740,286 Telecom Argentina SA, B, ADR ARG USD 53,024,534 3.28 1,023,481 Sonatel SEN XOF 43,074,050 2.67 1,047,632 Ooredoo QSC QAT QAR 35,643,135 2.21

131,741,719 8.16

Energy Equipment & Services 9,871,500 PetroVietnam Technical Services Corp. VND VND 12,415,820 0.77 4,022,669 PetroVietnam Drilling and Well Services JSC VND VND 12,131,486 0.75 5,969,210 Renaissance Services SAOG OMN OMR 7,286,709 0.45

31,834,015 1.97

Food Products 931,601 Deutsche Bank AG/London (CRTP Saudi Dairy & Foodstuff Co., 144A) SAU USD 29,419,371 1.82 1,365,963 Deutsche Bank AG/London (CRTP Savola Al-Azizia United Co., 144A) SAU USD 28,848,504 1.79 6,277,200 Vietnam Dairy Products JSC VND VND 28,029,110 1.74 2,119,863 MHP SA, GDR, Reg S UKR USD 19,502,740 1.21 1,742,748 Nestle Nigeria PLC NGA NGN 9,635,111 0.60 11,150,071 Zambeef Products PLC ZMB GBP 2,107,278 0.13 2,943,000 Mriya Agro Holding PLC, GDR, Reg S UKR EUR 2,040,470 0.12

119,582,584 7.41

— Templeton Frontier Markets Fund —

Number of shares or



Marketvalue

% ofnet

assets





Health Care Providers & Services 740,330 HSBC Bank PLC (CRTP Al Mouwasat Medical Services, 144A) SAU USD 24,464,262 1.52

Hotels, Restaurants & Leisure 22,612,999 NagaCorp Ltd. KH HKD 18,489,469 1.14 1,364,879 Kuwait Foods Americana KWD KWD 13,049,893 0.81

31,539,362 1.95

Industrial Conglomerates 13,065,000 Hemas Holdings PLC LKA LKR 7,398,853 0.46 36,956,599 UAC of Nigeria PLC NGA NGN 6,947,033 0.43

14,345,886 0.89

Insurance 6,947,395 Vietnam National Reinsurance Corp. VND VND 8,218,309 0.51

Marine 1,754,568 Vietnam Container Shipping JSC VND VND 4,101,854 0.25

Metals & Mining 7,743,088 Hoa Phat Group JSC VND VND 19,188,015 1.19 1,249,584 Compania de Minas Buenaventura SA, ADR PER USD 11,946,023 0.74 584,453 Jordan Phosphate Mines JOR JOD 5,391,007 0.33 1,696,386 Ferrexpo PLC UKR GBP 1,401,403 0.09

37,926,448 2.35

Oil, Gas & Consumable Fuels 4,298,063 KazMunaiGas Exploration Production, GDR, Reg S KAZ USD 62,321,914 3.86 172,300,691 OMV Petrom SA ROM RON 18,968,627 1.18 1,292,088 Dragon Oil PLC TKM GBP 10,825,129 0.67

92,115,670 5.71

Pharmaceuticals 8,225,353 DHG Pharmaceutical JSC VND VND 36,920,345 2.29 2,837,149 Egyptian International Pharmaceutical Industries Co. EGY EGP 31,148,901 1.93 2,456,820 Imexpharm Pharmaceutical JSC VND VND 4,801,640 0.30

72,870,886 4.52

Textiles, Apparel & Luxury Goods 384,890 Youngone Corp. KOR KRW 18,650,499 1.16 104,909 Youngone Corp., GDR KOR USD 5,083,544 0.31

23,734,043 1.47

Wireless Telecommunication Services 23,718,214 Mobile Telecommunications Co. KWD KWD 42,925,229 2.66 12,466,489 Global Telecom Holding, GDR, Reg S EGY USD 35,529,494 2.20 2,282,100 Kcell JSC, GDR, Reg S KAZ USD 22,935,105 1.42 957,800 MTN Group Ltd. ZAF ZAR 18,337,715 1.14 2,939,400 Grameenphone Ltd. BGD BDT 13,579,519 0.84 1,014,033 HSBC Bank PLC (CRTP Etihad Etisalat Co., 144A) SAU USD 11,944,265 0.74 18,018,610 Econet Wireless Zimbabwe Ltd. ZWE USD 10,811,166 0.67

156,062,493 9.67

TOTAL SHARES 1,572,226,021 97.43


TRANSFERABLE SECURITIES NOT ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING NOR DEALT IN ON ANOTHER REGULATED MARKET SHARES Consumer Finance 94,541,720 Letshego Holdings Ltd. BWA BWP 26,430,650 1.64

Metals & Mining 4,016,256 African Minerals Ltd. ** SLE GBP 0 0.00

TOTAL SHARES 26,430,650 1.64




— Templeton Frontier Markets Fund —

Number of shares or



Marketvalue

% ofnet

assets





— Templeton Global Fund —


Airlines 7,971,552 Qantas Airways Ltd. AUS AUD 15,621,054 0.99 885,652 Deutsche Lufthansa AG DEU EUR 14,820,766 0.93 1,593,359 International Consolidated Airlines Group SA GBR GBP 12,072,627 0.76

42,514,447 2.68

Auto Components 828,300 Unipres Corp. JPN JPY 13,700,735 0.86 140,889 Cie Generale des Etablissements Michelin, B FRA EUR 12,831,705 0.81 52,591 Hyundai Mobis Co. Ltd. KOR KRW 11,347,532 0.72

37,879,972 2.39

Automobiles 3,028,200 Nissan Motor Co. Ltd. JPN JPY 26,712,350 1.68 248,138 Toyota Motor Corp. JPN JPY 15,651,383 0.98 253,170 General Motors Co. USA USD 8,838,165 0.56

51,201,898 3.22

Banks 2,703,370 HSBC Holdings PLC GBR GBP 25,644,838 1.61 416,000 BNP Paribas SA FRA EUR 24,795,513 1.56 380,021 Citigroup Inc. USA USD 20,562,936 1.29 306,820 JPMorgan Chase & Co. USA USD 19,200,795 1.21 2,591,016 UniCredit SpA ITA EUR 16,725,915 1.05 1,275,353 Credit Agricole SA FRA EUR 16,604,585 1.05 1,037,301 ING Groep NV, IDR NLD EUR 13,593,103 0.86 9,879,929 Lloyds Banking Group PLC GBR GBP 11,676,162 0.74 363,490 Hana Financial Group Inc. KOR KRW 10,634,582 0.67 1,639,800 Bangkok Bank PCL, fgn. THA THB 9,675,219 0.61 2,506,850 Barclays PLC GBR GBP 9,514,585 0.60 553,373 DBS Group Holdings Ltd. SGP SGD 8,604,683 0.54

187,232,916 11.79

Beverages 389,400 Suntory Beverage & Food Ltd. JPN JPY 13,551,412 0.85

Biotechnology 249,850 Amgen Inc. USA USD 39,798,606 2.51 253,510 Gilead Sciences Inc. USA USD 23,895,853 1.50

63,694,459 4.01


Capital Markets 363,570 Morgan Stanley USA USD 14,106,516 0.89 495,700 Credit Suisse Group AG CHE CHF 12,504,683 0.79 1,061,284 MLP AG DEU EUR 4,764,210 0.30

31,375,409 1.98

Chemicals 189,181 Akzo Nobel NV NLD EUR 13,196,604 0.83 342,630 Chemtura Corp. USA USD 8,473,240 0.54 164,260 The Dow Chemical Co. USA USD 7,491,899 0.47

29,161,743 1.84

Commercial Services & Supplies 237,620 The ADT Corp. USA USD 8,608,973 0.54

Construction Materials 529,790 CRH PLC IRL EUR 12,756,813 0.80

Consumer Finance 114,990 Capital One Financial Corp. USA USD 9,492,424 0.60

Diversified Financial Services 214,710 Voya Financial Inc. USA USD 9,099,410 0.57

Diversified Telecommunication Services 51,227,000 China Telecom Corp. Ltd., H CHN HKD 29,729,557 1.87 1,406,413 Telefonica SA ESP EUR 20,284,976 1.28 452,345 Telenor ASA NOR NOK 9,172,837 0.58 2,968,000 Singapore Telecommunications Ltd. SGP SGD 8,737,319 0.55

67,924,689 4.28

Number of shares or



Marketvalue

% ofnet

assets






Electronic Equipment, Instruments & Components 16,032,000 Digital China Holdings Ltd. CHN HKD 14,886,658 0.94 344,260 Knowles Corp. USA USD 8,107,323 0.51

22,993,981 1.45

Energy Equipment & Services 749,120 Noble Corp. PLC USA USD 12,412,918 0.78 150,280 Technip SA FRA EUR 8,985,564 0.57 550,130 Petrofac Ltd. GBR GBP 6,028,138 0.38 214,364 Saipem SpA ITA EUR 2,273,470 0.14 38,210 Halliburton Co. USA USD 1,502,799 0.09

31,202,889 1.96

Food & Staples Retailing 238,760 Walgreens Boots Alliance Inc. USA USD 18,193,512 1.14 3,608,410 Tesco PLC GBR GBP 10,630,170 0.67 326,250 Metro AG DEU EUR 9,991,438 0.63

38,815,120 2.44

Food Products 25,049,000 China Agri-Industries Holdings Ltd. CHN HKD 10,046,801 0.63

Health Care Equipment & Supplies 251,870 Medtronic Inc. USA USD 18,185,014 1.15

Household Durables 128,118 LG Electronics Inc. KOR KRW 6,922,701 0.44


Insurance 5,016,000 China Life Insurance Co. Ltd., H CHN HKD 19,600,952 1.24 296,860 American International Group Inc. USA USD 16,627,129 1.05 2,086,624 Aviva PLC GBR GBP 15,757,978 0.99 657,187 AXA SA FRA EUR 15,271,744 0.96 1,696,230 Aegon NV NLD EUR 12,846,211 0.81 306,080 The Hartford Financial Services Group Inc. USA USD 12,760,475 0.80 114,967 Swiss Re AG CHE CHF 9,673,093 0.61 299,250 NN Group NV NLD EUR 8,996,188 0.57 951,120 UNIQA Insurance Group AG AUT EUR 8,950,201 0.56

120,483,971 7.59


Machinery 170,920 Stanley Black & Decker Inc. USA USD 16,421,993 1.03 3,853,000 Weichai Power Co. Ltd., H CHN HKD 16,199,202 1.02 242,190 Navistar International Corp. USA USD 8,108,521 0.51

40,729,716 2.56

Media 474,220 Twenty-First Century Fox Inc., A USA USD 18,212,419 1.15 1,110,080 News Corp., A USA USD 17,417,155 1.10 246,630 Comcast Corp., Special A USA USD 14,197,256 0.89 960,230 Sky PLC GBR GBP 13,455,427 0.85

63,282,257 3.99

Metals & Mining 442,370 Allegheny Technologies Inc. USA USD 15,381,205 0.97

Multiline Retail 328,640 Macy’s Inc. USA USD 21,608,080 1.36 1,804,060 Marks & Spencer Group PLC GBR GBP 13,463,800 0.85

35,071,880 2.21

Oil, Gas & Consumable Fuels 507,459 Total SA, B FRA EUR 26,108,359 1.64 1,031,260 Eni SpA ITA EUR 18,105,935 1.14 488,800 Suncor Energy Inc. CAN CAD 15,532,159 0.98 1,642,100 Talisman Energy Inc. CAN CAD 12,868,125 0.81 1,244,680 Galp Energia SGPS SA, B PRT EUR 12,697,615 0.80 8,704,000 Kunlun Energy Co. Ltd. CHN HKD 8,261,781 0.52 839,174 Petroleo Brasileiro SA, ADR, pfd. BRA USD 6,360,939 0.40 837,220 BP PLC GBR GBP 5,363,446 0.34

105,298,359 6.63

Number of shares or



Marketvalue

% ofnet

assets






Pharmaceuticals 549,287 Teva Pharmaceutical Industries Ltd., ADR ISR USD 31,589,495 1.99 195,550 Bayer AG DEU EUR 26,737,551 1.68 98,174 Actavis PLC USA USD 25,270,969 1.59 85,022 Roche Holding AG CHE CHF 23,081,309 1.45 211,703 Sanofi FRA EUR 19,381,113 1.22 168,830 Merck KGaA DEU EUR 16,019,975 1.01 611,440 H. Lundbeck AS DNK DKK 12,199,196 0.77 198,606 Ipsen SA FRA EUR 10,333,470 0.65 54,993 Perrigo Co. PLC USA USD 9,192,630 0.58 285,258 Pfizer Inc. USA USD 8,885,787 0.56 114,380 UCB SA BEL EUR 8,746,867 0.55 332,601 GlaxoSmithKline PLC GBR GBP 7,133,530 0.45 82,245 Merck & Co. Inc. USA USD 4,670,694 0.30

203,242,586 12.80

Software 958,534 Microsoft Corp. USA USD 44,523,904 2.80 267,903 SAP SE DEU EUR 18,885,715 1.19

63,409,619 3.99

Specialty Retail 336,690 Best Buy Co. Inc. USA USD 13,124,176 0.82 2,383,170 Kingfisher PLC GBR GBP 12,648,373 0.80

25,772,549 1.62

Technology Hardware, Storage & Peripherals 26,821 Samsung Electronics Co. Ltd. KOR KRW 32,540,472 2.05 447,750 Hewlett-Packard Co. USA USD 17,968,208 1.13 887,000 Konica Minolta Inc. JPN JPY 9,808,262 0.62

60,316,942 3.80

Wireless Telecommunication Services 5,618,022 Vodafone Group PLC GBR GBP 19,497,039 1.23 673,654 Turkcell Iletisim Hizmetleri AS, ADR TUR USD 10,185,648 0.64 767,500 China Mobile Ltd. CHN HKD 8,977,650 0.56

38,660,337 2.43

TOTAL SHARES 1,500,831,541 94.51



Number of shares or



Marketvalue

% ofnet

assets





TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Air Freight & Logistics 787,950 TNT Express NV NLD EUR 4,366,031 0.61 448,951 Royal Mail PLC GBR GBP 2,486,243 0.35

6,852,274 0.96

Airlines 1,890,450 International Consolidated Airlines Group SA GBR GBP 11,837,717 1.66 614,190 Deutsche Lufthansa AG DEU EUR 8,494,248 1.19

20,331,965 2.85


Automobiles 132,490 Toyota Motor Corp. JPN JPY 6,906,487 0.97 294,600 Mazda Motor Corp. JPN JPY 5,948,354 0.83 202,920 General Motors Co. USA USD 5,854,494 0.82

18,709,335 2.62

Banks 271,082 JPMorgan Chase & Co. USA USD 14,020,092 1.96 926,672 ING Groep NV, IDR NLD EUR 10,035,858 1.41 1,707,133 UniCredit SpA ITA EUR 9,107,554 1.28 189,080 Citigroup Inc. USA USD 8,455,470 1.19 7,212,440 Lloyds Banking Group PLC GBR GBP 7,044,386 0.99 2,718,760 Intesa Sanpaolo SpA ITA EUR 6,584,837 0.92 727,600 HSBC Holdings PLC GBR HKD 5,734,856 0.80 526,810 Credit Agricole SA FRA EUR 5,668,476 0.79 423,000 DBS Group Holdings Ltd. SGP SGD 5,435,906 0.76

72,087,435 10.10


Biotechnology 96,807 Amgen Inc. USA USD 12,744,122 1.78 53,872 Basilea Pharmaceutica AG CHE CHF 4,126,666 0.58

16,870,788 2.36


Capital Markets 180,280 Morgan Stanley USA USD 5,780,879 0.81 326,224 UBS Group AG CHE CHF 4,634,457 0.65 191,330 AllianceBernstein Holding LP USA USD 4,084,342 0.57 163,933 Credit Suisse Group AG CHE CHF 3,417,707 0.48

17,917,385 2.51

Chemicals 118,890 LyondellBasell Industries NV, A USA USD 7,800,560 1.10 126,340 Akzo Nobel NV NLD EUR 7,283,501 1.02 127,190 The Dow Chemical Co. USA USD 4,794,327 0.67

19,878,388 2.79

Commercial Services & Supplies 155,620 The ADT Corp. USA USD 4,659,597 0.65


Construction Materials 104,770 HeidelbergCement AG DEU EUR 6,161,524 0.86 170,460 CRH PLC IRL EUR 3,392,154 0.48

9,553,678 1.34

Consumer Finance 99,476 American Express Co. USA USD 7,648,965 1.07 61,950 Capital One Financial Corp. USA USD 4,226,423 0.59

11,875,388 1.66

Diversified Financial Services 315,150 Voya Financial Inc. USA USD 11,038,064 1.55

— Templeton Global (Euro) Fund —

Number of shares or



Marketvalue

% ofnet

assets





Diversified Telecommunication Services 3,463,882 Singapore Telecommunications Ltd. SGP SGD 8,427,369 1.18 373,452 Vivendi SA FRA EUR 7,726,722 1.08 643,437 Telefonica SA ESP EUR 7,669,769 1.08 383,548 Telenor ASA NOR NOK 6,427,887 0.90 10,056,000 China Telecom Corp. Ltd., H CHN HKD 4,823,135 0.68 64,828 Verizon Communications Inc. USA USD 2,506,326 0.35

37,581,208 5.27

Electric Utilities 588,000 Centrais Eletricas Brasileiras SA BRA BRL 1,060,588 0.15

Electrical Equipment 455,150 ABB Ltd. CHE CHF 7,998,350 1.12 131,100 Babcock & Wilcox Co. USA USD 3,282,918 0.46 1,557,998 Dongfang Electric Corp. Ltd., H CHN HKD 2,367,980 0.33

13,649,248 1.91

Energy Equipment & Services 404,790 Noble Corp. PLC USA USD 5,543,281 0.78 102,920 Baker Hughes Inc. USA USD 4,769,194 0.67 113,621 Halliburton Co. USA USD 3,693,152 0.52 53,350 Technip SA FRA EUR 2,636,290 0.37 99,805 Saipem SpA ITA EUR 874,791 0.12

17,516,708 2.46

Food & Staples Retailing 3,596,168 Tesco PLC GBR GBP 8,755,459 1.23 239,440 Metro AG DEU EUR 6,060,227 0.85

14,815,686 2.08

Health Care Equipment & Supplies 359,500 Medtronic Inc. USA USD 21,451,158 3.01

Household Durables 328,000 Nikon Corp. JPN JPY 3,628,653 0.51

Independent Power and Renewable Electricity Producers 2,634,000 China Resources Power Holdings Co. Ltd. CHN HKD 5,656,952 0.79

Industrial Conglomerates 86,322 Koninklijke Philips NV NLD EUR 2,084,676 0.29

Insurance 2,496,800 AIA Group Ltd. HKG HKD 11,443,104 1.60 557,251 AXA SA FRA EUR 10,702,006 1.50 2,687,000 China Life Insurance Co. Ltd., H CHN HKD 8,677,646 1.22 1,326,073 Aviva PLC GBR GBP 8,276,341 1.16 326,030 NN Group NV NLD EUR 8,100,215 1.14 731,530 Aegon NV NLD EUR 4,578,646 0.64 62,494 Swiss Re AG CHE CHF 4,345,554 0.61 294,000 UNIQA Insurance Group AG AUT EUR 2,286,438 0.32

58,409,950 8.19

Life Sciences Tools & Services 13,500 QIAGEN NV NLD EUR 261,360 0.04

Machinery 10,800,000 China CNR Corp. Ltd., H, Reg S CHN HKD 12,777,279 1.79 211,750 Navistar International Corp. USA USD 5,859,000 0.82 22,570 SPX Corp. USA USD 1,602,657 0.23

20,238,936 2.84

Media 119,195 Time Warner Cable Inc. USA USD 14,979,167 2.10 642,160 Sky PLC GBR GBP 7,436,697 1.04 224,568 Reed Elsevier NV GBR EUR 4,455,429 0.63 78,080 Comcast Corp., Special A USA USD 3,714,608 0.52 265,200 News Corp., A USA USD 3,438,833 0.48

34,024,734 4.77

Metals & Mining 19,311 POSCO KOR KRW 4,019,934 0.56 128,670 Allegheny Technologies Inc. USA USD 3,697,402 0.52

7,717,336 1.08

Multi-Utilities 151,675 E.ON SE DEU EUR 2,153,027 0.30


Number of shares or



Marketvalue

% ofnet

assets





Multiline Retail 193,550 Macy’s Inc. USA USD 10,517,283 1.47 913,070 Marks & Spencer Group PLC GBR GBP 5,631,647 0.79

16,148,930 2.26

Oil, Gas & Consumable Fuels 226,674 Total SA, B FRA EUR 9,638,179 1.35 1,234,332 BP PLC GBR GBP 6,535,081 0.91 337,246 Chesapeake Energy Corp. USA USD 5,454,466 0.76 362,081 Eni SpA ITA EUR 5,253,795 0.74 194,900 Suncor Energy Inc. CAN CAD 5,118,316 0.72 770,200 Talisman Energy Inc. CAN CAD 4,988,085 0.70 480,109 Petroleo Brasileiro SA, ADR, pfd. BRA USD 3,007,625 0.42 259,070 Galp Energia SGPS SA, B PRT EUR 2,184,219 0.31 16,240 Chevron Corp. USA USD 1,505,623 0.21 1,354,000 Kunlun Energy Co. Ltd. CHN HKD 1,062,156 0.15 223,900 Petroleo Brasileiro SA, pfd. BRA BRL 697,691 0.10

45,445,236 6.37

Pharmaceuticals 90,976 Actavis PLC USA USD 19,353,829 2.71 56,822 Roche Holding AG CHE CHF 12,748,535 1.79 444,839 Pfizer Inc. USA USD 11,451,847 1.61 139,918 Merck KGaA DEU EUR 10,972,370 1.54 212,623 Merck & Co. Inc. USA USD 9,979,223 1.40 87,260 Bayer AG DEU EUR 9,860,380 1.38 105,639 Sanofi FRA EUR 7,992,647 1.12 410,592 GlaxoSmithKline PLC GBR GBP 7,277,900 1.02 48,718 Perrigo Co. PLC USA USD 6,730,331 0.94

96,367,062 13.51

Semiconductors & Semiconductor Equipment 467,380 Applied Materials Inc. USA USD 9,625,710 1.35 32,942,000 GCL-Poly Energy Holdings Ltd. CHN HKD 6,355,068 0.89

15,980,778 2.24

Software 414,541 Microsoft Corp. USA USD 15,913,578 2.23 223,210 Software AG DEU EUR 4,508,842 0.63 55,965 SAP SE DEU EUR 3,260,521 0.46

23,682,941 3.32

Specialty Retail 869,510 Kingfisher PLC GBR GBP 3,813,896 0.53 55,930 Abercrombie & Fitch Co., A USA USD 1,323,831 0.19

5,137,727 0.72

Technology Hardware, Storage & Peripherals 10,029 Samsung Electronics Co. Ltd. KOR KRW 10,055,905 1.41 761,100 Konica Minolta Inc. JPN JPY 6,955,443 0.98 198,580 Hewlett-Packard Co. USA USD 6,585,963 0.92

23,597,311 3.31

Wireless Telecommunication Services 1,710,347 Sprint Corp. USA USD 5,866,066 0.82 1,344,518 Vodafone Group PLC GBR GBP 3,856,262 0.54

9,722,328 1.36

TOTAL SHARES 707,315,026 99.14




Number of shares or



Marketvalue

% ofnet

assets





— Templeton Global Balanced Fund —

TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Aerospace & Defense 1,063,245 BAE Systems PLC GBR GBP 7,822,361 0.61

Air Freight & Logistics 1,390,980 TNT Express NV NLD EUR 9,325,978 0.73

Airlines 534,513 Deutsche Lufthansa AG DEU EUR 8,944,701 0.70 4,259,814 Qantas Airways Ltd. AUS AUD 8,347,532 0.65

17,292,233 1.35

Auto Components 91,914 Cie Generale des Etablissements Michelin, B FRA EUR 8,371,224 0.66 30,881 Hyundai Mobis Co. Ltd. KOR KRW 6,663,176 0.52 348,724 Unipres Corp. JPN JPY 5,768,170 0.45 280,400 Keihin Corp. JPN JPY 4,200,442 0.33

25,003,012 1.96

Automobiles 1,398,500 Nissan Motor Co. Ltd. JPN JPY 12,336,445 0.97 150,431 Toyota Motor Corp. JPN JPY 9,488,483 0.74

21,824,928 1.71

Banks 226,943 JPMorgan Chase & Co. USA USD 14,202,093 1.11 250,876 Citigroup Inc. USA USD 13,574,900 1.06 1,170,522 HSBC Holdings PLC GBR HKD 11,163,356 0.88 844,654 Credit Agricole SA FRA EUR 10,997,057 0.86 1,517,442 UniCredit SpA ITA EUR 9,795,619 0.77 156,745 BNP Paribas SA FRA EUR 9,342,723 0.73 499,469 United Overseas Bank Ltd. SGP SGD 9,248,169 0.73 2,405,545 Barclays PLC GBR GBP 9,130,088 0.72 567,784 ING Groep NV, IDR NLD EUR 7,440,412 0.58 195,483 KB Financial Group Inc. KOR KRW 6,460,933 0.51 104,447 KBC GROEP NV BEL EUR 5,876,079 0.46 184,655 Hana Financial Group Inc. KOR KRW 5,402,428 0.42 4,184,406 Lloyds Banking Group PLC GBR GBP 4,945,157 0.39

117,579,014 9.22


Biotechnology 123,095 Amgen Inc. USA USD 19,607,803 1.54 114,589 Gilead Sciences Inc. USA USD 10,801,159 0.84 101,093 Isis Pharmaceuticals Inc. USA USD 6,241,482 0.49

36,650,444 2.87


Capital Markets 287,341 Morgan Stanley USA USD 11,148,831 0.87 408,747 Credit Suisse Group AG CHE CHF 10,311,179 0.81 215,158 The Bank of New York Mellon Corp. USA USD 8,728,960 0.69

30,188,970 2.37



Construction & Engineering 255,753 KBR Inc. USA USD 4,335,013 0.34



Diversified Financial Services 132,009 Deutsche Boerse AG DEU EUR 9,459,263 0.74 913,649 BM&F BOVESPA SA BRA BRL 3,386,432 0.27

12,845,695 1.01

Diversified Telecommunication Services 19,356,817 China Telecom Corp. Ltd., H CHN HKD 11,233,717 0.88 3,595,742 Singapore Telecommunications Ltd. SGP SGD 10,585,291 0.83

Number of shares or



Marketvalue

% ofnet

assets






Diversified Telecommunication Services (continued) 371,427 Telenor ASA NOR NOK 7,531,949 0.59 404,852 Orange SA FRA EUR 6,931,673 0.54 379,841 Telefonica SA ESP EUR 5,478,523 0.43

41,761,153 3.27

Electric Utilities 2,512,695 Power Grid Corp. of India Ltd. IND INR 5,500,942 0.43

Electronic Equipment, Instruments & Component 211,979 Knowles Corp. USA USD 4,992,105 0.39

Energy Equipment & Services 105,168 Technip SA FRA EUR 6,288,221 0.49 379,395 Noble Corp. PLC USA USD 6,286,575 0.49 102,973 Baker Hughes Inc. USA USD 5,773,696 0.45 111,041 Halliburton Co. USA USD 4,367,243 0.34 343,823 SBM Offshore NV NLD EUR 4,069,149 0.32 330,110 Petrofac Ltd. GBR GBP 3,617,233 0.29 117,849 Saipem SpA ITA EUR 1,249,865 0.10 104,833 Paragon Offshore PLC USA USD 290,387 0.02

31,942,369 2.50

Food & Staples Retailing 95,303 CVS Health Corp. USA USD 9,178,632 0.72 3,020,320 Tesco PLC GBR GBP 8,897,690 0.70 82,971 Walgreens Boots Alliance Inc. USA USD 6,322,390 0.49

24,398,712 1.91

Health Care Equipment & Supplies 150,309 Medtronic Inc. USA USD 10,852,310 0.85 339,666 Getinge AB, B SWE SEK 7,743,536 0.61

18,595,846 1.46

Household Durables 387,301 Nikon Corp. JPN JPY 5,184,484 0.41

Industrial Conglomerates 48,386 Siemens AG DEU EUR 5,488,787 0.43 176,481 General Electric Co. USA USD 4,459,675 0.35

9,948,462 0.78

Insurance 444,135 AXA SA FRA EUR 10,320,831 0.81 1,298,128 Aviva PLC GBR GBP 9,803,335 0.77 138,840 American International Group Inc. USA USD 7,776,428 0.61 995,977 Aegon NV NLD EUR 7,542,922 0.59 44,128 Swiss Re AG CHE CHF 3,712,842 0.29 99,600 NN Group NV NLD EUR 2,994,220 0.23

42,150,578 3.30


Machinery 249,742 Navistar International Corp. USA USD 8,361,362 0.66 2,482,800 CSR Corp. Ltd, H CHN HKD 3,342,868 0.26

11,704,230 0.92

Media 270,369 Comcast Corp., Special A USA USD 15,563,792 1.22 210,832 Twenty-First Century Fox Inc., A USA USD 8,097,003 0.63 541,938 Sky PLC GBR GBP 7,594,021 0.60 277,877 Reed Elsevier NV GBR EUR 6,670,826 0.52 20,647 News Corp., A USA USD 323,952 0.03

38,249,594 3.00

Metals & Mining 337,461 Allegheny Technologies Inc. USA USD 11,733,519 0.92 101,460 POSCO, ADR KOR USD 6,474,163 0.51

18,207,682 1.43


20,680,870 1.62

Oil, Gas & Consumable Fuels 290,049 Suncor Energy Inc. CAN CAD 9,216,627 0.72 506,632 Eni SpA ITA EUR 8,894,988 0.70 154,544 Total SA, B FRA EUR 7,951,165 0.62

Number of shares or



Marketvalue

% ofnet

assets






Oil, Gas & Consumable Fuels (continued) 171,236 LUKOIL Holdings, ADR RUS USD 6,815,193 0.53 5,592,200 Kunlun Energy Co. Ltd. CHN HKD 5,308,081 0.42 795,617 BP PLC GBR GBP 5,096,927 0.40 128,069 Royal Dutch Shell PLC, B GBR GBP 4,457,540 0.35 551,480 Petroleo Brasileiro SA, ADR, pfd. BRA USD 4,180,218 0.33 147,417 Chesapeake Energy Corp. USA USD 2,884,951 0.23

54,805,690 4.30

Pharmaceuticals 689,088 GlaxoSmithKline PLC GBR GBP 14,779,360 1.16 245,878 Teva Pharmaceutical Industries Ltd., ADR ISR USD 14,140,444 1.11 51,343 Actavis PLC USA USD 13,216,202 1.03 47,355 Roche Holding AG CHE CHF 12,855,677 1.01 139,220 Sanofi FRA EUR 12,745,396 1.00 314,487 Pfizer Inc. USA USD 9,796,270 0.77 89,010 Merck KGaA DEU EUR 8,445,998 0.66 105,510 Merck & Co. Inc. USA USD 5,991,913 0.47

91,971,260 7.21

Software 345,000 Microsoft Corp. USA USD 16,025,250 1.26 90,267 SAP SE DEU EUR 6,363,336 0.50 156,153 Symantec Corp. USA USD 4,006,105 0.31 76,246 Oracle Corp. USA USD 3,428,783 0.27

29,823,474 2.34


Technology Hardware, Storage & Peripherals 14,117 Samsung Electronics Co. Ltd. KOR KRW 17,127,394 1.34

Trading Companies & Distributors 452,086 ITOCHU Corp. JPN JPY 4,874,568 0.38

Transportation Infrastructure 1,860,205 China Merchants Holdings International Co. Ltd. CHN HKD 6,249,504 0.49

Wireless Telecommunication Services 1,424,852 Vodafone Group PLC GBR GBP 4,944,871 0.39 213,761 China Mobile Ltd. CHN HKD 2,500,419 0.19 572,443 Sprint Corp. USA USD 2,375,639 0.19 145,296 Mobile TeleSystems, ADR RUS USD 1,043,225 0.08

10,864,154 0.85

TOTAL SHARES 845,464,754 66.28


TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET BONDS Government and Municipal Bonds 2,582,300 Government of Mexico, 7.25%, 12/15/16 MEX MXN 18,704,163 1.47 2,343,290 Government of Mexico, 6.25%, 06/16/16 MEX MXN 16,501,872 1.29 33,900,000 Government of Poland, 5.75%, 09/23/22 POL PLN 11,856,765 0.93 688,200,000 Government of India, senior note, 8.83%, 11/25/23 IND INR 11,492,181 0.90 92,000,000 Inter-American Development Bank, senior note, 7.50%, 12/05/24 SP MXN 7,280,734 0.57 24,710,000 Government of Malaysia, senior bond, 4.24%, 02/07/18 MYS MYR 7,178,373 0.56 5,580,000 Government of Portugal, Reg S, 3.875%, 02/15/30 PRT EUR 7,095,838 0.56 4,410,000 Government of Ireland, 5.00%, 10/18/20 IRL EUR 6,681,998 0.52 241,300,000 Government of the Philippines, senior note, 1.625%, 04/25/16 PHL PHP 5,336,284 0.42 284,900,000 Government of India, senior bond, 8.60%, 06/02/28 IND INR 4,773,064 0.37 274,700,000 Government of India, senior bond, 7.80%, 05/03/20 IND INR 4,317,041 0.34 4,556,000,000 Korea Treasury Bond, senior note, 3.00%, 12/10/16 KOR KRW 4,237,014 0.33 4,362,500,000 Korea Treasury Bond, senior note, 2.75%, 06/10/16 KOR KRW 4,025,533 0.32 3,723,675 Government of Russia, senior bond, Reg S, 7.50%, 03/31/30 RUS USD 3,891,799 0.31 12,415,000 Government of Malaysia, senior bond, 3.814%, 02/15/17 MYS MYR 3,564,328 0.28 206,300,000 Government of India, senior note, 8.12%, 12/10/20 IND INR 3,289,116 0.26 8,545,000 Government of Poland, 4.75%, 10/25/16 POL PLN 2,540,485 0.20 1,597,020,000 Korea Monetary Stabilization Bond, senior note, 2.80%, 04/02/16 KOR KRW 1,473,087 0.12 985,000 Government of Hungary, senior note, Reg S, 5.75%, 06/11/18 HUN EUR 1,361,140 0.11 83,000,000 Government of India, senior bond, 8.28%, 09/21/27 IND INR 1,346,177 0.11 81,000,000 Government of India, senior note, 8.35%, 05/14/22 IND INR 1,309,878 0.10 3,105,000 Government of Poland, 5.00%, 04/25/16 POL PLN 913,169 0.07 2,978,000 Government of Poland, Strip, 01/25/16 POL PLN 825,715 0.06 51,000,000 Government of India, senior note, 7.16%, 05/20/23 IND INR 767,411 0.06 525,000 Government of Hungary, senior note, Reg S, 4.375%, 07/04/17 HUN EUR 682,370 0.05 709,160,000 Korea Monetary Stabilization Bond, senior note, 2.78%, 02/02/16 KOR KRW 653,179 0.05 435,000 Government of Hungary, senior note, Reg S, 3.875%, 02/24/20 HUN EUR 572,511 0.05

Number of shares or



Marketvalue

% ofnet

assets






Government and Municipal Bonds (continued) 251,910 Government of Ireland, senior bond, 5.40%, 03/13/25 IRL EUR 420,301 0.03 135,000 Government of Hungary, senior note, Reg S, 3.50%, 07/18/16 HUN EUR 170,008 0.01 10,700,000 Government of India, senior note, 7.28%, 06/03/19 IND INR 165,454 0.01 175,700,000 Korea Monetary Stabilization Bond, senior note, 2.46%, 08/02/16 KOR KRW 161,558 0.01 547,000 Government of Poland, FRN, 2.69%, 01/25/17 † POL PLN 154,601 0.01 554,000 Government of Poland, FRN, 2.69%, 01/25/21 † POL PLN 154,149 0.01 129,600,000 Korea Monetary Stabilization Bond, senior note, 2.79%, 06/02/16 KOR KRW 119,658 0.01 129,700,000 Korea Monetary Stabilization Bond, senior note, 2.22%, 10/02/16 KOR KRW 118,860 0.01 79,700,000 Korea Monetary Stabilization Bond, senior note, 2.07%, 12/02/16 KOR KRW 72,847 0.01 30,000 Government of Poland, 4.75%, 04/25/17 POL PLN 9,025 0.00

134,217,686 10.52

Securities Maturing Within One Year 25,000,000 FHLB, 0.00%, 01/07/15 USA USD 24,999,975 1.96 99,130,000 Government of Sweden, 4.50%, 08/12/15 SWE SEK 13,047,458 1.02 12,910,100,000 Korea Monetary Stabilization Bond, senior note, 2.90%, 12/02/15 KOR KRW 11,891,182 0.93 9,204,980,000 Korea Monetary Stabilization Bond, senior note, 2.74%, 02/02/15 KOR KRW 8,420,214 0.66 10,827,000 Government of Malaysia, 4.72%, 09/30/15 MYS MYR 3,126,685 0.25 415,190 Government of Mexico, 8.00%, 12/17/15 MEX MXN 2,941,300 0.23 2,500,000 FHLB, 0.00%, 01/02/15 USA USD 2,500,000 0.20 8,590,000 Bank of Negara Monetary Note, 0.00%, 05/19/15 MYS MYR 2,426,033 0.19 8,400,000 Government of Malaysia, 3.835%, 08/12/15 MYS MYR 2,409,369 0.19 3,544,150 Mexico Treasury Bill, 0.00%, 03/12/15 MEX MXN 2,389,405 0.19 3,571,940 Mexico Treasury Bill, 0.00%, 06/11/15 MEX MXN 2,389,247 0.19 3,314,460 Mexico Treasury Bill, 0.00%, 11/12/15 MEX MXN 2,185,440 0.17 3,109,020 Mexico Treasury Bill, 0.00%, 04/16/15 MEX MXN 2,089,723 0.16 297,990 Government of Mexico, 6.00%, 06/18/15 MEX MXN 2,047,504 0.16 6,740,000 Bank of Negara Monetary Note, 0.00%, 02/17/15 MYS MYR 1,919,546 0.15 6,685,000 Government of Malaysia, 3.741%, 02/27/15 MYS MYR 1,913,136 0.15 2,664,870 Mexico Treasury Bill, 0.00%, 09/17/15 MEX MXN 1,766,068 0.14 5,600,000 Bank of Negara Monetary Note, 0.00%, 03/03/15 MYS MYR 1,592,841 0.13 5,640,000 Bank of Negara Monetary Note, 0.00%, 07/16/15 MYS MYR 1,584,168 0.12 5,485,000 Bank of Negara Monetary Note, 0.00%, 08/11/15 MYS MYR 1,537,369 0.12 5,200,000 Bank of Negara Monetary Note, 0.00%, 01/20/15 MYS MYR 1,484,777 0.12 4,840,000 Bank of Negara Monetary Note, 0.00%, 01/22/15 MYS MYR 1,381,722 0.11 2,001,200 Mexico Treasury Bill, 0.00%, 04/01/15 MEX MXN 1,347,275 0.11 4,440,000 Bank of Negara Monetary Note, 0.00%, 10/01/15 MYS MYR 1,237,664 0.10 4,320,000 Bank of Negara Monetary Note, 0.00%, 04/23/15 MYS MYR 1,222,968 0.10 1,776,580 Mexico Treasury Bill, 0.00%, 10/01/15 MEX MXN 1,176,054 0.09 4,070,000 Government of Malaysia, 3.197%, 10/15/15 MYS MYR 1,162,264 0.09 1,235,250,000 Korea Monetary Stabilization Bond, senior note, 2.66%, 06/09/15 KOR KRW 1,132,188 0.09 3,560,000 Government of Poland, 6.25%, 10/24/15 POL PLN 1,041,587 0.08 3,640,000 Bank of Negara Monetary Note, 0.00%, 05/28/15 MYS MYR 1,027,174 0.08 3,582,000 Government of Poland, 5.50%, 04/25/15 POL PLN 1,024,332 0.08 1,038,990,000 Korea Monetary Stabilization Bond, senior bond, 2.80%, 08/02/15 KOR KRW 953,901 0.07 3,120,000 Bank of Negara Monetary Note, 0.00%, 01/08/15 MYS MYR 891,839 0.07 898,200,000 Korea Monetary Stabilization Bond, senior note, 2.76%, 06/02/15 KOR KRW 823,530 0.06 2,460,000 Bank of Negara Monetary Note, 0.00%, 03/05/15 MYS MYR 699,586 0.05 2,140,000 Bank of Negara Monetary Note, 0.00%, 05/05/15 MYS MYR 605,155 0.05 2,090,000 Bank of Negara Monetary Note, 0.00%, 08/04/15 MYS MYR 586,180 0.05 1,800,000 Bank of Negara Monetary Note, 0.00%, 03/24/15 MYS MYR 510,986 0.04 1,560,000 Bank of Negara Monetary Note, 0.00%, 06/30/15 MYS MYR 438,830 0.03 1,420,000 Bank of Negara Monetary Note, 0.00%, 04/16/15 MYS MYR 402,254 0.03 1,130,000 Bank of Negara Monetary Note, 0.00%, 06/16/15 MYS MYR 318,316 0.03 1,100,000 Bank of Negara Monetary Note, 0.00%, 06/04/15 MYS MYR 310,208 0.02 1,080,000 Bank of Negara Monetary Note, 0.00%, 03/12/15 MYS MYR 306,931 0.02 950,000 Bank of Negara Monetary Note, 0.00%, 02/10/15 MYS MYR 270,736 0.02 960,000 Bank of Negara Monetary Note, 0.00%, 08/18/15 MYS MYR 268,902 0.02 950,000 Bank of Negara Monetary Note, 0.00%, 09/08/15 MYS MYR 265,584 0.02 880,000 Bank of Negara Monetary Note, 0.00%, 09/22/15 MYS MYR 245,514 0.02 260,500,000 Korea Treasury Bond, senior note, 2.75%, 12/10/15 KOR KRW 239,674 0.02 845,000 Government of Poland, Strip, 07/25/15 POL PLN 236,538 0.02 800,000 Bank of Negara Monetary Note, 0.00%, 11/03/15 MYS MYR 222,300 0.02 630,000 Bank of Negara Monetary Note, 0.00%, 04/28/15 MYS MYR 178,268 0.01 600,000 Bank of Negara Monetary Note, 0.00%, 04/07/15 MYS MYR 170,109 0.01 180,100,000 Korea Monetary Stabilization Bond, senior bond, 2.47%, 04/02/15 KOR KRW 164,829 0.01 570,000 Bank of Negara Monetary Note, 0.00%, 06/03/15 MYS MYR 160,759 0.01 145,000,000 Korea Monetary Stabilization Bond, senior bond, 2.81%, 10/02/15 KOR KRW 133,303 0.01 390,000 Bank of Negara Monetary Note, 0.00%, 10/27/15 MYS MYR 108,444 0.01 70,500,000 Korea Treasury Bond, senior note, 3.25%, 06/10/15 KOR KRW 64,782 0.01 8,660 Mexico Treasury Bill, 0.00%, 06/25/15 MEX MXN 5,786 0.00

115,997,912 9.09

TOTAL BONDS 250,215,598 19.61




Number of shares or



Marketvalue

% ofnet

assets





TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET BONDS Government and Municipal Bonds 598,571,000 Government of Ireland, 5.00%, 10/18/20 IRL EUR 906,950,119 2.44 501,220,350 Government of Ireland, senior bond, 5.40%, 03/13/25 IRL EUR 836,264,532 2.25 2,918,232,000 Government of Poland, Strip, 01/25/16 POL PLN 809,143,523 2.17 685,084,000 Government of Hungary, senior note, 6.375%, 03/29/21 HUN USD 784,030,682 2.11 663,112,400,000 Korea Monetary Stabilization Bond, senior note, 2.46%, 08/02/16 KOR KRW 609,739,544 1.64 1,649,780,000 Government of Poland, 4.75%, 10/25/16 POL PLN 490,490,439 1.32 1,472,082,000 Government of Poland, FRN, 2.69%, 01/25/17 † POL PLN 416,061,412 1.12 1,493,365,000 Government of Poland, FRN, 2.69%, 01/25/21 † POL PLN 415,525,510 1.12 391,016,660 Government of Russia, senior bond, Reg S, 7.50%, 03/31/30 RUS USD 408,671,062 1.10 367,690,000 Government of Portugal, Reg S, 5.125%, 10/15/24 PRT USD 387,692,336 1.04 303,795,000 Government of Hungary, senior note, 6.25%, 01/29/20 HUN USD 342,036,715 0.92 212,521,000 Government of Ireland, 5.90%, 10/18/19 IRL EUR 323,463,065 0.87 71,723,010,000 Government of Hungary, A, 6.75%, 11/24/17 HUN HUF 306,801,085 0.82 323,441,200,000 Korea Monetary Stabilization Bond, senior note, 2.07%, 12/02/16 KOR KRW 295,628,330 0.79 37,905,220 Government of Mexico, 7.25%, 12/15/16 MEX MXN 274,555,791 0.74 693,710 Nota Do Tesouro Nacional, 10.00%, 01/01/17 BRA BRL 248,674,609 0.67 168,201,000 Government of Ireland, 4.50%, 04/18/20 IRL EUR 245,342,136 0.66 54,708,320,000 Government of Hungary, 6.50%, 06/24/19 HUN HUF 238,031,803 0.64 240,666,000,000 Korea Treasury Bond, senior note, 3.00%, 12/10/16 KOR KRW 223,815,914 0.60 235,364,290,000 Korea Monetary Stabilization Bond, senior note, 2.78%, 02/02/16 KOR KRW 216,784,727 0.58 349,400,000 Government of Ukraine, senior note, Reg S, 7.95%, 02/23/21 UKR USD 212,588,936 0.57 29,999,170 Government of Mexico, 6.25%, 06/16/16 MEX MXN 211,259,583 0.57 150,021,000 Government of Hungary, 6.00%, 01/11/19 HUN EUR 211,181,211 0.57 711,790,000 Government of Poland, 5.00%, 04/25/16 POL PLN 209,334,743 0.562,310,430,000,000 Government of Indonesia, FR46, 9.50%, 07/15/23 IDN IDR 205,811,949 0.55 206,147 Nota Do Tesouro Nacional, Index Linked, 6.00%, 08/15/16 BRA BRL 195,042,327 0.52 204,458 Nota Do Tesouro Nacional, Index Linked, 6.00%, 05/15/23 BRA BRL 191,763,653 0.51 529,890 Letra Tesouro Nacional, Strip, 01/01/16 BRA BRL 176,606,604 0.47 520,560 Nota Do Tesouro Nacional, 10.00%, 01/01/23 BRA BRL 173,679,873 0.47 283,010,000 Government of Ukraine, senior note, Reg S, 7.80%, 11/28/22 UKR USD 169,131,021 0.45 174,535 Nota Do Tesouro Nacional, Index Linked, 6.00%, 08/15/18 BRA BRL 163,832,212 0.44 175,180 Nota Do Tesouro Nacional, Index Linked, 6.00%, 05/15/45 BRA BRL 162,251,157 0.44 9,658,000,000 Government of India, senior note, 8.83%, 11/25/23 IND INR 161,277,951 0.43 1,646,800,000,000 Government of Indonesia, FR40, 11.00%, 09/15/25 IDN IDR 160,757,487 0.43 142,570,000 Government of Serbia, Reg S, 7.25%, 09/28/21 SER USD 160,266,501 0.43 168,350 Nota Do Tesouro Nacional, Index Linked, 6.00%, 05/15/19 BRA BRL 158,029,855 0.42 449,450,000 Government of Poland, 5.75%, 09/23/22 POL PLN 157,198,315 0.42 166,798,600,000 Korea Monetary Stabilization Bond, senior note, 2.22%, 10/02/16 KOR KRW 152,857,640 0.41 132,410,000 Government of Slovenia, senior note, Reg S, 5.50%, 10/26/22 SVN USD 147,161,136 0.40 128,245,000 Government of Slovenia, senior note, Reg S, 5.85%, 05/10/23 SVN USD 146,566,081 0.39 34,589,090,000 Government of Hungary, B, 6.75%, 02/24/17 HUN HUF 144,919,664 0.39 19,350,400 Government of Mexico, 7.75%, 12/14/17 MEX MXN 143,550,023 0.39 1,750,000,000 Inter-American Development Bank, senior note, 7.50%, 12/05/24 SP MXN 138,492,218 0.37 129,530,000 Government of Serbia, senior note, Reg S, 4.875%, 02/25/20 SER USD 130,009,909 0.35 114,630,000 Government of Hungary, 5.375%, 02/21/23 HUN USD 124,433,731 0.33 181,853,000 Government of Ukraine, senior note, Reg S, 6.25%, 06/17/16 UKR USD 117,205,168 0.31 335,840 Nota Do Tesouro Nacional, senior note, 10.00%, 01/01/19 BRA BRL 116,384,388 0.31 292,530,000 Government of Peru, senior bond, 7.84%, 08/12/20 PER PEN 112,197,022 0.30 184,430,000 Financing of Infrastructure Projects State Enterprise, Reg S, 7.40%,

04/20/18 UKR USD 111,635,479 0.30 362,340,000 Government of Poland, 4.75%, 04/25/17 POL PLN 109,003,430 0.29 110,750 Nota Do Tesouro Nacional, Index Linked, 6.00%, 08/15/22 BRA BRL 104,034,827 0.28 171,485,000 Government of Ukraine, senior note, Reg S, 7.50%, 04/17/23 UKR USD 101,095,552 0.27 109,585,360,000 Korea Monetary Stabilization Bond, senior note, 2.80%, 04/02/16 KOR KRW 101,081,218 0.27 125,620,000 Government of Singapore, senior note, 1.125%, 04/01/16 SGP SGD 95,455,270 0.26 23,386,170,000 Government of Hungary, 4.00%, 04/25/18 HUN HUF 92,929,137 0.25 23,033,000,000 Government of Hungary, 5.50%, 02/12/16 HUN HUF 91,868,984 0.25 18,383,990,000 Government of Hungary, A, 7.00%, 06/24/22 HUN HUF 86,428,228 0.23 856,076,000,000 Government of Indonesia, FR31, 11.00%, 11/15/20 IDN IDR 79,345,832 0.21 16,577,370,000 Government of Hungary, A, 6.00%, 11/24/23 HUN HUF 75,382,735 0.20 56,388,000 Government of Hungary, senior note, Reg S, 4.375%, 07/04/17 HUN EUR 73,290,400 0.20 9,573,571 Mexican Udibonos, Index Linked, 5.00%, 06/16/16 MEX MXN 69,008,137 0.19 66,990,000 Government of Serbia, senior note, Reg S, 5.25%, 11/21/17 SER USD 68,857,011 0.18 3,998,000,000 Government of India, senior bond, 8.60%, 06/02/28 IND INR 66,980,374 0.18 62,090,000 Government of Hungary, 4.125%, 02/19/18 HUN USD 64,494,435 0.17 14,018,090,000 Government of Hungary, B, 5.50%, 06/24/25 HUN HUF 62,279,698 0.17 202,040 Letra Tesouro Nacional, Strip, 10/01/16 BRA BRL 61,372,454 0.16 639,990,000,000 Government of Indonesia, FR42, 10.25%, 07/15/27 IDN IDR 60,769,354 0.16 3,855,000,000 Government of India, senior bond, 7.80%, 05/03/20 IND INR 60,583,158 0.16 98,366,000 Government of Ukraine, Reg S, 7.75%, 09/23/20 UKR USD 59,932,437 0.16 2,698,590,000 Government of the Philippines, senior note, 1.625%, 04/25/16 PHL PHP 59,678,590 0.16 575,910,000,000 Government of Indonesia, FR34, 12.80%, 06/15/21 IDN IDR 57,921,169 0.16 602,642,000,000 Government of Indonesia, FR47, 10.00%, 02/15/28 IDN IDR 55,811,881 0.15 7,402,126 Mexican Udibonos, Index Linked, 3.50%, 12/14/17 MEX MXN 53,619,486 0.14 57,197,900,000 Korea Treasury Bond, senior note, 2.75%, 06/10/16 KOR KRW 52,779,831 0.14 6,287,720,000 Government of Sri Lanka, A, 9.00%, 05/01/21 LKA LKR 51,151,465 0.14 36,085,000 Government of Hungary, senior note, Reg S, 5.75%, 06/11/18 HUN EUR 49,864,720 0.13

— Templeton Global Bond Fund —

Number of shares or



Marketvalue

% ofnet

assets






Government and Municipal Bonds (continued) 11,547,270,000 Government of Hungary, A, 5.50%, 12/20/18 HUN HUF 48,420,134 0.13 2,894,600,000 Government of India, senior note, 8.12%, 12/10/20 IND INR 46,149,664 0.12 453,515,000,000 Government of Indonesia, FR36, 11.50%, 09/15/19 IDN IDR 42,026,963 0.11 4,744,090,000 Government of Sri Lanka, 10.60%, 09/15/19 LKA LKR 40,949,054 0.11 5,223,360,000 Government of Sri Lanka, A, 8.00%, 11/15/18 LKA LKR 40,939,478 0.11 9,961,760,000 Government of Hungary, 5.50%, 12/22/16 HUN HUF 40,717,219 0.11 4,945,160,000 Government of Sri Lanka, C, 8.50%, 04/01/18 LKA LKR 39,239,015 0.11 63,825,000 Government of Ukraine, senior note, Reg S, 6.75%, 11/14/17 UKR USD 39,071,750 0.10 464,692,000,000 Government of Indonesia, 7.875%, 04/15/19 IDN IDR 37,989,547 0.10 4,618,890,000 Government of Sri Lanka, D, 8.50%, 06/01/18 LKA LKR 36,727,393 0.10 35,708,000,000 Korea Treasury Bond, senior bond, 5.00%, 09/10/16 KOR KRW 34,219,230 0.09 3,849,300,000 Government of Sri Lanka, 10.60%, 07/01/19 LKA LKR 33,078,895 0.09 4,304,204 Mexican Udibonos, Index Linked, 4.00%, 06/13/19 MEX MXN 31,892,442 0.09 276,743,000,000 Government of Indonesia, FR35, 12.90%, 06/15/22 IDN IDR 28,752,435 0.08 18,515,000 Government of Hungary, senior note, Reg S, 3.875%, 02/24/20 HUN EUR 24,367,906 0.07 3,395,540 Mexican Udibonos, Index Linked, 2.50%, 12/10/20 MEX MXN 23,611,737 0.06 22,829,400,000 Korea Treasury Bond, senior bond, 4.00%, 03/10/16 KOR KRW 21,339,715 0.06 249,950,000,000 Government of Indonesia, FR48, 9.00%, 09/15/18 IDN IDR 21,043,540 0.06 22,120 Nota Do Tesouro Nacional, Index Linked, 6.00%, 08/15/20 BRA BRL 20,748,140 0.06 31,900,000 Government of Ukraine, senior bond, Reg S, 6.58%, 11/21/16 UKR USD 20,643,128 0.06 63,980 Letra Tesouro Nacional, Strip, 07/01/16 BRA BRL 20,058,627 0.05 1,164,700,000 Government of India, senior bond, 8.28%, 09/21/27 IND INR 18,890,276 0.05 1,137,400,000 Government of India, senior note, 8.35%, 05/14/22 IND INR 18,393,275 0.05 18,220 Nota Do Tesouro Nacional, Index Linked, 6.00%, 08/15/24 BRA BRL 17,064,515 0.05 201,030,000,000 Government of Indonesia, senior bond, FR53, 8.25%, 07/15/21 IDN IDR 16,648,320 0.04 168,583,000,000 Government of Indonesia, FR43, 10.25%, 07/15/22 IDN IDR 15,507,326 0.04 1,927,820,000 Government of Sri Lanka, B, 8.50%, 07/15/18 LKA LKR 15,325,434 0.04 132,795,000,000 Government of Indonesia, FR39, 11.75%, 08/15/23 IDN IDR 13,333,109 0.04 2,828,660,000 Government of Hungary, 7.50%, 11/12/20 HUN HUF 13,173,307 0.04 126,260,000,000 Government of Indonesia, FR44, 10.00%, 09/15/24 IDN IDR 11,555,568 0.03 1,450,500,000 Government of Sri Lanka, A, 6.40%, 08/01/16 LKA LKR 11,047,183 0.03 129,750,000,000 Government of Indonesia, FR30, 10.75%, 05/15/16 IDN IDR 10,955,934 0.03 715,100,000 Government of India, senior note, 7.16%, 05/20/23 IND INR 10,760,307 0.03 101,450,000,000 Government of Indonesia, FR45, 9.75%, 05/15/37 IDN IDR 9,338,148 0.02 1,215,800,000 Government of Sri Lanka, B, 6.40%, 10/01/16 LKA LKR 9,235,076 0.02 92,300,000,000 Government of Indonesia, FR28, 10.00%, 07/15/17 IDN IDR 7,881,045 0.02 813,090,000 Government of Sri Lanka, 11.20%, 07/01/22 LKA LKR 7,365,591 0.02 904,000,000 Government of Sri Lanka, A, 5.80%, 01/15/17 LKA LKR 6,775,142 0.02 5,280,000 Government of Korea, senior bond, 5.625%, 11/03/25 KOR USD 6,662,357 0.02 246,440,000 Government of the Philippines, senior bond, 9.125%, 09/04/16 PHL PHP 5,963,735 0.02 738,700,000 Government of Sri Lanka, A, 7.50%, 08/15/18 LKA LKR 5,690,467 0.02 68,730,000,000 Government of Indonesia, senior note, 8.50%, 10/15/16 IDN IDR 5,640,884 0.02 8,640,000 Government of Ukraine, Reg S, 9.25%, 07/24/17 UKR USD 5,321,160 0.01 3,560,000 Government of Hungary, senior note, Reg S, 3.50%, 07/18/16 HUN EUR 4,483,178 0.01 590,000,000 Government of Sri Lanka, B, 5.80%, 07/15/17 LKA LKR 4,379,378 0.01 5,320,000 Financing of Infrastructure Projects State Enterprise, Reg S, 8.375%,

11/03/17 UKR USD 3,210,673 0.01 3,045 Nota Do Tesouro Nacional, Index Linked, 6.00%, 05/15/17 BRA BRL 2,887,993 0.01 2,435,000 Government of Vietnam, Reg S, 6.75%, 01/29/20 VND USD 2,745,876 0.01 347,100,000 Government of Sri Lanka, 8.00%, 01/01/17 LKA LKR 2,707,036 0.01 316,850,000 Government of Sri Lanka, 8.25%, 03/01/17 LKA LKR 2,483,360 0.01 149,800,000 Government of India, senior note, 7.28%, 06/03/19 IND INR 2,316,357 0.01 1,585,000 The Export-Import Bank of Korea, senior note, 4.625%, 02/20/17 KOR EUR 2,083,063 0.01 1,850,000,000 Government of Indonesia, FR32, 15.00%, 07/15/18 IDN IDR 182,629 0.00

16,372,142,698 43.98

Securities Maturing Within One Year 118,198,430 Government of Mexico, 8.00%, 12/17/15 MEX MXN 837,344,418 2.25 839,217,400,000 Korea Monetary Stabilization Bond, senior note, 2.76%, 06/02/15 KOR KRW 769,450,404 2.07 5,473,920,000 Government of Sweden, 4.50%, 08/12/15 SWE SEK 720,475,567 1.94 724,505,000 Government of Canada, 1.00%, 02/01/15 CAN CAD 623,900,969 1.68 1,832,372,000 Government of Malaysia, 4.72%, 09/30/15 MYS MYR 529,163,250 1.42 744,739,670 Mexico Treasury Bill, 0.00%, 04/01/15 MEX MXN 501,383,634 1.35 543,613,640,000 Korea Monetary Stabilization Bond, senior note, 2.74%, 02/02/15 KOR KRW 497,268,131 1.34 534,629,600,000 Korea Treasury Bond, senior note, 2.75%, 12/10/15 KOR KRW 491,887,995 1.32 467,916,280,000 Korea Monetary Stabilization Bond, senior bond, 2.47%, 04/02/15 KOR KRW 428,241,191 1.15 61,201,070 Government of Mexico, 6.00%, 06/18/15 MEX MXN 420,515,598 1.13 464,434,000 Canada Treasury Bill, 0.00%, 03/12/15 CAN CAD 399,290,737 1.07 525,310,000 Monetary Authority of Singapore Treasury Bill, 0.00%, 01/30/15 SGP SGD 396,323,952 1.06 451,552,000 Canada Treasury Bill, 0.00%, 02/12/15 CAN CAD 388,453,319 1.04 352,000,000 FHLB, 0.00%, 01/07/15 USA USD 351,999,648 0.95 1,189,659,000 Government of Poland, 6.25%, 10/24/15 POL PLN 348,071,285 0.93 514,327,670 Mexico Treasury Bill, Strip, 05/28/15 MEX MXN 344,623,257 0.93 1,147,483,000 Government of Poland, 5.50%, 04/25/15 POL PLN 328,141,695 0.88 335,123,190,000 Korea Monetary Stabilization Bond, senior bond, 2.80%, 08/02/15 KOR KRW 307,678,109 0.83 1,040,425,000 Government of Malaysia, 3.741%, 02/27/15 MYS MYR 297,752,287 0.80 972,970,000 Bank of Negara Monetary Note, 0.00%, 03/03/15 MYS MYR 276,747,563 0.74 960,295,000 Government of Malaysia, 3.835%, 08/12/15 MYS MYR 275,441,114 0.74

Number of shares or



Marketvalue

% ofnet

assets






Securities Maturing Within One Year (continued) 904,701,000 Government of Poland, Strip, 07/25/15 POL PLN 253,250,346 0.68 249,840 Nota Do Tesouro Nacional, Index Linked, 6.00%, 05/15/15 BRA BRL 238,505,883 0.64 242,000,400,000 Korea Monetary Stabilization Bond, 0.00%, 01/13/15 KOR KRW 221,155,913 0.59 208,007,800,000 Korea Treasury Bond, senior note, 3.25%, 06/10/15 KOR KRW 191,137,598 0.51 655,160,000 Bank of Negara Monetary Note, 0.00%, 08/11/15 MYS MYR 183,632,176 0.49 606,280,000 Bank of Negara Monetary Note, 0.00%, 07/16/15 MYS MYR 170,292,461 0.46 573,680,000 Bank of Negara Monetary Note, 0.00%, 02/17/15 MYS MYR 163,383,539 0.44 244,334,250 Mexico Treasury Bill, 0.00%, 09/17/15 MEX MXN 161,925,706 0.43 231,653,550 Mexico Treasury Bill, 0.00%, 03/12/15 MEX MXN 156,176,846 0.42 233,470,360 Mexico Treasury Bill, 0.00%, 06/11/15 MEX MXN 156,166,750 0.42 168,055,800,000 Korea Monetary Stabilization Bond, senior note, 2.13%, 10/08/15 KOR KRW 153,721,514 0.41 539,725,000 Bank of Negara Monetary Note, 0.00%, 10/01/15 MYS MYR 150,449,984 0.40 522,085,000 Bank of Negara Monetary Note, 0.00%, 01/20/15 MYS MYR 149,073,074 0.40 216,640,820 Mexico Treasury Bill, 0.00%, 11/12/15 MEX MXN 142,845,429 0.38 471,590,000 Government of Malaysia, 3.197%, 10/15/15 MYS MYR 134,671,214 0.36 197,950,440 Mexico Treasury Bill, 0.00%, 06/25/15 MEX MXN 132,246,627 0.36 451,595,000 Bank of Negara Monetary Note, 0.00%, 01/22/15 MYS MYR 128,921,235 0.35 439,250,000 Bank of Negara Monetary Note, 0.00%, 03/05/15 MYS MYR 124,915,841 0.34 14,742,000,000 Government of Sri Lanka, A, 11.00%, 08/01/15 LKA LKR 115,592,112 0.31 167,526,430 Mexico Treasury Bill, 0.00%, 04/16/15 MEX MXN 112,602,618 0.30 365,670,000 Bank of Negara Monetary Note, 0.00%, 03/24/15 MYS MYR 103,806,774 0.28 125,335,000 Monetary Authority of Singapore Treasury Bill, 0.00%, 02/13/15 SGP SGD 94,538,616 0.25 303,020,000 Bank of Negara Monetary Note, 0.00%, 06/30/15 MYS MYR 85,239,920 0.23 271,130,000 Bank of Negara Monetary Note, 0.00%, 08/04/15 MYS MYR 76,043,571 0.20 264,335,000 Bank of Negara Monetary Note, 0.00%, 01/08/15 MYS MYR 75,559,062 0.20 263,910,000 Bank of Negara Monetary Note, 0.00%, 04/23/15 MYS MYR 74,711,476 0.20 212,620 Letra Tesouro Nacional, Strip, 10/01/15 BRA BRL 73,117,878 0.20 9,280,775,000 Government of Sri Lanka, B, 11.00%, 09/01/15 LKA LKR 73,027,391 0.20 231,200,000 Bank of Negara Monetary Note, 0.00%, 05/19/15 MYS MYR 65,296,725 0.18 228,440,000 Bank of Negara Monetary Note, 0.00%, 03/12/15 MYS MYR 64,921,648 0.17 225,880,000 Bank of Negara Monetary Note, 0.00%, 06/16/15 MYS MYR 63,629,488 0.17 95,729,230 Mexico Treasury Bill, 0.00%, 10/01/15 MEX MXN 63,370,465 0.17 16,450,200,000 Government of Hungary, A, 8.00%, 02/12/15 HUN HUF 63,302,895 0.17 207,580,000 Bank of Negara Monetary Note, 0.00%, 05/28/15 MYS MYR 58,577,158 0.16 60,489,000,000 Korea Treasury Bond, senior note, 4.00%, 09/10/15 KOR KRW 56,020,901 0.15 13,862,030,000 Government of Hungary, 7.75%, 08/24/15 HUN HUF 55,055,280 0.15 75,555,500 Mexico Treasury Bill, 0.00%, 07/23/15 MEX MXN 50,343,860 0.13 124,434 Letra Tesouro Nacional, Strip, 01/01/15 BRA BRL 46,803,151 0.13 141,680,000 Bank of Negara Monetary Note, 0.00%, 11/03/15 MYS MYR 39,369,333 0.11 45,535,000 Government of Canada, 1.50%, 08/01/15 CAN CAD 39,326,947 0.11 125,060,000 Bank of Negara Monetary Note, 0.00%, 04/28/15 MYS MYR 35,387,706 0.09 122,190,000 Bank of Negara Monetary Note, 0.00%, 06/03/15 MYS MYR 34,461,669 0.09 40,350,000 Government of Ukraine, senior bond, Reg S, 4.95%, 10/13/15 UKR EUR 33,186,309 0.09 32,485,000 Canada Treasury Bill, 0.00%, 04/23/15 CAN CAD 27,895,716 0.07 97,510,000 Bank of Negara Monetary Note, 0.00%, 09/22/15 MYS MYR 27,204,635 0.07 90,760,000 Bank of Negara Monetary Note, 0.00%, 04/16/15 MYS MYR 25,710,272 0.07 2,737,630,000 Government of Sri Lanka, A, 6.50%, 07/15/15 LKA LKR 20,937,444 0.06 70,280,000 Bank of Negara Monetary Note, 0.00%, 10/27/15 MYS MYR 19,542,121 0.05 65,935,000 Bank of Negara Monetary Note, 0.00%, 04/07/15 MYS MYR 18,693,558 0.05 24,190,000 Monetary Authority of Singapore Treasury Bill, 0.00%, 01/20/15 SGP SGD 18,253,553 0.05 1,863,850,000 Government of Sri Lanka, A, 8.50%, 11/01/15 LKA LKR 14,467,567 0.04 11,414,700,000 Korea Treasury Bond, senior note, 4.50%, 03/10/15 KOR KRW 10,480,587 0.03 443,300,000 Government of the Philippines, 4.625%, 11/25/15 PHL PHP 10,051,054 0.03 360,610,000 Philippine Treasury Bill, 0.00%, 12/02/15 PHL PHP 7,911,533 0.02 336,180,000 Philippine Treasury Bill, 0.00%, 04/08/15 PHL PHP 7,469,911 0.02 306,920,000 Philippine Treasury Bill, 0.00%, 09/02/15 PHL PHP 6,765,963 0.02 304,730,000 Philippine Treasury Bill, 0.00%, 10/07/15 PHL PHP 6,705,285 0.02 8,300,000 Government of Ukraine, senior note, Reg S, 6.875%, 09/23/15 UKR USD 5,834,195 0.02 224,920,000 Philippine Treasury Bill, 0.00%, 08/05/15 PHL PHP 4,965,649 0.01 190,670,000 Philippine Treasury Bill, 0.00%, 06/03/15 PHL PHP 4,223,873 0.01 11,810,000 Bank of Negara Monetary Note, 0.00%, 01/29/15 MYS MYR 3,369,354 0.01 2,545,000 The Export-Import Bank of Korea, senior bond, 5.125%, 03/16/15 KOR USD 2,567,078 0.01 110,010,000 Philippine Treasury Bill, 0.00%, 07/08/15 PHL PHP 2,432,344 0.01 95,010,000 Philippine Treasury Bill, 0.00%, 11/04/15 PHL PHP 2,087,522 0.01 24,750,000,000 Government of Indonesia, FR27, 9.50%, 06/15/15 IDN IDR 2,024,644 0.01 82,010,000 Philippine Treasury Bill, 0.00%, 05/06/15 PHL PHP 1,819,517 0.00 194,390,000 Government of Sri Lanka, A, 11.75%, 03/15/15 LKA LKR 1,498,825 0.00

14,452,831,412 38.83

TOTAL BONDS 30,824,974,110 82.81




Number of shares or



Marketvalue

% ofnet

assets





— Templeton Global Bond (Euro) Fund —

TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET BONDS Asset-Backed Securities 145,833 Government of Bosnia & Herzegovina, senior bond, B, Reg S, FRN,

0.938%, 12/11/21 † BIH DEM 62,540 0.01

Government and Municipal Bonds 34,929,270 Government of Ireland, senior bond, 5.40%, 03/13/25 IRL EUR 48,163,621 8.43 41,403,040,000 Korea Monetary Stabilization Bond, senior note, 2.78%, 02/02/16 KOR KRW 31,516,280 5.51 26,200,000 Government of Hungary, senior note, Reg S, 5.75%, 06/11/18 HUN EUR 29,921,448 5.23 25,480,000 Government of Serbia, senior note, Reg S, 4.875%, 02/25/20 SER USD 21,135,871 3.70 64,730,000 Government of Poland, 5.75%, 09/23/22 POL PLN 18,710,558 3.27 20,000,000 Government of Slovenia, senior note, Reg S, 5.50%, 10/26/22 SVN USD 18,370,331 3.21 159,000,000,000 Government of Indonesia, FR40, 11.00%, 09/15/25 IDN IDR 12,827,500 2.24 12,000,000 Government of Portugal, Reg S, 3.875%, 02/15/30 PRT EUR 12,611,460 2.21 14,900,000 Government of Sri Lanka, senior note, Reg S, 5.875%, 07/25/22 LKA USD 12,528,992 2.19 23,830,000 Government of Ukraine, Reg S, 9.25%, 07/24/17 UKR USD 12,129,175 2.12 10,730,865 Government of Russia, senior bond, Reg S, 7.50%, 03/31/30 RUS USD 9,268,896 1.62 2,022,220,000 Government of Hungary, A, 6.00%, 11/24/23 HUN HUF 7,599,750 1.33 105,000,000 Inter-American Development Bank, senior note, 7.50%, 12/05/24 SP MXN 6,867,383 1.20 395,000,000 Government of India, senior note, 8.83%, 11/25/23 IND INR 5,451,293 0.95 6,580 Nota Do Tesouro Nacional, Index Linked, 6.00%, 08/15/18 BRA BRL 5,104,548 0.89 1,364,680,000 Government of Hungary, 6.50%, 06/24/19 HUN HUF 4,907,124 0.86 16,350 Nota Do Tesouro Nacional, 10.00%, 01/01/17 BRA BRL 4,843,796 0.85 1,138,190,000 Government of Hungary, B, 6.75%, 02/24/17 HUN HUF 3,941,101 0.69 47,296,000,000 Government of Indonesia, FR34, 12.80%, 06/15/21 IDN IDR 3,931,168 0.69 653,360 Government of Mexico, 7.25%, 12/15/16 MEX MXN 3,911,099 0.68 3,520,000 Government of Slovenia, senior note, Reg S, 5.85%, 05/10/23 SVN USD 3,324,684 0.58 3,970,260,000 Korea Monetary Stabilization Bond, senior note, 2.80%, 04/02/16 KOR KRW 3,026,575 0.53 3,508,000,000 Korea Treasury Bond, senior note, 3.00%, 12/10/16 KOR KRW 2,696,189 0.47 10,790,000 Government of Poland, 4.75%, 04/25/17 POL PLN 2,682,625 0.47 2,875,000 Government of Hungary, senior note, 6.25%, 01/29/20 HUN USD 2,675,128 0.47 2,790,000 Government of Serbia, Reg S, 7.25%, 09/28/21 SER USD 2,591,991 0.45 3,230 Nota Do Tesouro Nacional, Index Linked, 6.00%, 05/15/45 BRA BRL 2,472,410 0.43 404,840 Government of Mexico, 6.25%, 06/16/16 MEX MXN 2,356,162 0.41 9,590,000 Government of Poland, 5.00%, 04/25/16 POL PLN 2,330,895 0.41 163,600,000 Government of India, senior bond, 8.60%, 06/02/28 IND INR 2,265,180 0.40 157,600,000 Government of India, senior bond, 7.80%, 05/03/20 IND INR 2,046,908 0.36 1,560,000 Government of Hungary, 6.00%, 01/11/19 HUN EUR 1,814,857 0.32 6,520,000 Government of Poland, 4.75%, 10/25/16 POL PLN 1,602,016 0.28 118,400,000 Government of India, senior note, 8.12%, 12/10/20 IND INR 1,560,078 0.27 17,973,000,000 Government of Indonesia, FR35, 12.90%, 06/15/22 IDN IDR 1,543,239 0.27 373,800,000 Government of Hungary, 7.50%, 11/12/20 HUN HUF 1,438,692 0.25 4,326,000 Government of Peru, senior bond, 7.84%, 08/12/20 PER PEN 1,371,236 0.24 2,800,000 Government of Ukraine, senior note, Reg S, 7.50%, 04/17/23 UKR USD 1,364,202 0.24 1,717,500,000 Korea Treasury Bond, senior note, 2.75%, 06/10/16 KOR KRW 1,309,783 0.23 1,618 Nota Do Tesouro Nacional, Index Linked, 6.00%, 08/15/16 BRA BRL 1,265,159 0.22 13,335,000,000 Government of Indonesia, 7.875%, 04/15/19 IDN IDR 900,962 0.16 1,600,000 Government of Ukraine, senior note, Reg S, 7.80%, 11/28/22 UKR USD 790,235 0.14 9,761,000,000 Government of Indonesia, FR31, 11.00%, 11/15/20 IDN IDR 747,689 0.13 47,600,000 Government of India, senior bond, 8.28%, 09/21/27 IND INR 638,037 0.11 46,500,000 Government of India, senior note, 8.35%, 05/14/22 IND INR 621,460 0.11 153,940,000 Government of Hungary, A, 6.75%, 11/24/17 HUN HUF 544,207 0.10 7,618,000,000 Government of Indonesia, senior bond, FR53, 8.25%, 07/15/21 IDN IDR 521,393 0.09 6,400,000,000 Government of Indonesia, FR28, 10.00%, 07/15/17 IDN IDR 451,624 0.08 1,611,000 Government of Poland, FRN, 2.69%, 01/25/17 † POL PLN 376,301 0.07 1,634,000 Government of Poland, FRN, 2.69%, 01/25/21 † POL PLN 375,749 0.07 29,200,000 Government of India, senior note, 7.16%, 05/20/23 IND INR 363,124 0.06 315,000 Government of Hungary, senior note, Reg S, 3.875%, 02/24/20 HUN EUR 342,625 0.06 3,990,000,000 Government of Indonesia, FR44, 10.00%, 09/15/24 IDN IDR 301,796 0.05 81,420,000 Government of Hungary, 4.00%, 04/25/18 HUN HUF 267,386 0.05 67,420,000 Government of Hungary, A, 5.50%, 12/20/18 HUN HUF 233,642 0.04 2,691,000,000 Government of Indonesia, senior note, 8.50%, 10/15/16 IDN IDR 182,528 0.03 46,350,000 Government of Hungary, B, 5.50%, 06/24/25 HUN HUF 170,185 0.03 162,000,000 Korea Treasury Bond, senior bond, 5.00%, 09/10/16 KOR KRW 128,302 0.02 1,346,000,000 Government of Indonesia, FR36, 11.50%, 09/15/19 IDN IDR 103,085 0.02 110 Nota Do Tesouro Nacional, Index Linked, 6.00%, 05/15/19 BRA BRL 85,336 0.02 110 Nota Do Tesouro Nacional, Index Linked, 6.00%, 05/15/23 BRA BRL 85,265 0.01 6,100,000 Government of India, senior note, 7.28%, 06/03/19 IND INR 77,954 0.01 673,000,000 Government of Indonesia, FR43, 10.25%, 07/15/22 IDN IDR 51,163 0.01 50 Nota Do Tesouro Nacional, Index Linked, 6.00%, 05/15/17 BRA BRL 39,192 0.01 40 Nota Do Tesouro Nacional, Index Linked, 6.00%, 08/15/24 BRA BRL 30,961 0.01

323,909,604 56.66

Securities Maturing Within One Year 140,000,000 Government of Poland, 5.50%, 04/25/15 POL PLN 33,087,034 5.79 39,561,700,000 Korea Monetary Stabilization Bond, senior bond, 2.47%, 04/02/15 KOR KRW 29,923,327 5.23 38,220,000 Government of Ukraine, senior bond, Reg S, 4.95%, 10/13/15 UKR EUR 25,978,898 4.54 4,156,400 Government of Mexico, 8.00%, 12/17/15 MEX MXN 24,334,610 4.26

Number of shares or



Marketvalue

% ofnet

assets





Securities Maturing Within One Year (continued) 55,515,000 Bank of Negara Monetary Note, 0.00%, 05/05/15 MYS MYR 12,974,121 2.27 38,175,000 Bank of Negara Monetary Note, 0.00%, 05/19/15 MYS MYR 8,910,401 1.56 30,086,000 Government of Malaysia, 4.72%, 09/30/15 MYS MYR 7,180,507 1.26 6,643,100,000 Korea Monetary Stabilization Bond, senior note, 2.76%, 06/02/15 KOR KRW 5,033,749 0.88 5,088,200,000 Korea Monetary Stabilization Bond, senior note, 2.90%, 12/02/15 KOR KRW 3,873,239 0.68 5,899,100 Mexico Treasury Bill, 0.00%, 03/12/15 MEX MXN 3,286,836 0.57 5,945,360 Mexico Treasury Bill, 0.00%, 06/11/15 MEX MXN 3,286,621 0.57 4,059,990,000 Korea Monetary Stabilization Bond, senior bond, 2.80%, 08/02/15 KOR KRW 3,080,575 0.54 5,520,720 Mexico Treasury Bill, 0.00%, 09/17/15 MEX MXN 3,023,722 0.53 5,516,800 Mexico Treasury Bill, 0.00%, 11/12/15 MEX MXN 3,006,270 0.53 5,365,720 Mexico Treasury Bill, Strip, 05/28/15 MEX MXN 2,971,306 0.52 12,170,000 Bank of Negara Monetary Note, 0.00%, 03/05/15 MYS MYR 2,860,296 0.50 12,025,000 Government of Malaysia, 3.741%, 02/27/15 MYS MYR 2,844,095 0.50 11,730,000 Bank of Negara Monetary Note, 0.00%, 02/17/15 MYS MYR 2,760,904 0.48 460,500 Government of Mexico, 6.00%, 06/18/15 MEX MXN 2,614,974 0.46 10,410,000 Government of Malaysia, 3.835%, 08/12/15 MYS MYR 2,467,684 0.43 9,010,000 Government of Malaysia, 3.197%, 10/15/15 MYS MYR 2,126,423 0.37 3,257,300 Mexico Treasury Bill, 0.00%, 07/23/15 MEX MXN 1,793,712 0.31 7,150,000 Bank of Negara Monetary Note, 0.00%, 04/16/15 MYS MYR 1,673,913 0.29 5,840,000 Bank of Negara Monetary Note, 0.00%, 04/23/15 MYS MYR 1,366,341 0.24 5,205,000 Bank of Negara Monetary Note, 0.00%, 01/20/15 MYS MYR 1,228,269 0.21 2,154,910 Mexico Treasury Bill, 0.00%, 06/25/15 MEX MXN 1,189,794 0.21 4,320,000 Bank of Negara Monetary Note, 0.00%, 06/16/15 MYS MYR 1,005,724 0.18 3,410,000 Bank of Negara Monetary Note, 0.00%, 08/18/15 MYS MYR 789,389 0.14 3,370,000 Bank of Negara Monetary Note, 0.00%, 05/28/15 MYS MYR 785,936 0.14 1,373,890 Mexico Treasury Bill, 0.00%, 04/16/15 MEX MXN 763,188 0.13 3,000,000 Bank of Negara Monetary Note, 0.00%, 01/08/15 MYS MYR 708,709 0.12 2,950,000 Bank of Negara Monetary Note, 0.00%, 07/16/15 MYS MYR 684,792 0.12 2,890,000 Bank of Negara Monetary Note, 0.00%, 11/03/15 MYS MYR 663,685 0.12 2,750,000 Bank of Negara Monetary Note, 0.00%, 03/24/15 MYS MYR 645,184 0.11 2,073 Letra Tesouro Nacional, Strip, 01/01/15 BRA BRL 644,392 0.11 1,126,680 Mexico Treasury Bill, 0.00%, 04/01/15 MEX MXN 626,875 0.11 2,390,000 Bank of Negara Monetary Note, 0.00%, 04/28/15 MYS MYR 558,916 0.10 659,900,000 Korea Treasury Bond, senior note, 2.75%, 12/10/15 KOR KRW 501,771 0.09 2,160,000 Bank of Negara Monetary Note, 0.00%, 09/22/15 MYS MYR 498,038 0.09 1,890,000 Bank of Negara Monetary Note, 0.00%, 06/03/15 MYS MYR 440,532 0.08 570,000,000 Korea Monetary Stabilization Bond, senior bond, 2.81%, 10/02/15 KOR KRW 433,072 0.08 785,080 Mexico Treasury Bill, 0.00%, 10/01/15 MEX MXN 429,508 0.07 1,610,000 Bank of Negara Monetary Note, 0.00%, 03/12/15 MYS MYR 378,145 0.07 1,460,000 Bank of Negara Monetary Note, 0.00%, 04/07/15 MYS MYR 342,092 0.06 1,430,000 Bank of Negara Monetary Note, 0.00%, 10/27/15 MYS MYR 328,617 0.06 1,360,000 Bank of Negara Monetary Note, 0.00%, 06/30/15 MYS MYR 316,173 0.06 1,060,000 Bank of Negara Monetary Note, 0.00%, 03/03/15 MYS MYR 249,175 0.04 980,000 Bank of Negara Monetary Note, 0.00%, 01/22/15 MYS MYR 231,215 0.04 980,000 Bank of Negara Monetary Note, 0.00%, 08/11/15 MYS MYR 227,008 0.04 700,000 Bank of Negara Monetary Note, 0.00%, 09/08/15 MYS MYR 161,730 0.03 600,000 Bank of Negara Monetary Note, 0.00%, 10/01/15 MYS MYR 138,225 0.02 168,000,000 Korea Treasury Bond, senior note, 3.25%, 06/10/15 KOR KRW 127,582 0.02 144,020,000 Korea Monetary Stabilization Bond, senior note, 2.74%, 02/02/15 KOR KRW 108,877 0.02 450,000 Bank of Negara Monetary Note, 0.00%, 08/04/15 MYS MYR 104,307 0.02 100 Nota Do Tesouro Nacional, Index Linked, 6.00%, 05/15/15 BRA BRL 78,895 0.01 105,000 Bank of Negara Monetary Note, 0.00%, 01/29/15 MYS MYR 24,757 0.00

205,874,130 36.01

TOTAL BONDS 529,846,274 92.68




— Templeton Global Bond (Euro) Fund —

Number of shares or



Marketvalue

% ofnet

assets





TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Aerospace & Defense 706,887 BAE Systems PLC GBR GBP 5,200,613 1.46

Air Freight & Logistics 596,150 Royal Mail PLC GBR GBP 3,994,712 1.12 362,448 CTT-Correios de Portugal SA PRT EUR 3,515,952 0.99

7,510,664 2.11


Automobiles 117,182 Toyota Motor Corp. JPN JPY 7,391,292 2.07 629,513 Nissan Motor Co. Ltd. JPN JPY 5,553,058 1.56

12,944,350 3.63

Banks 747,113 HSBC Holdings PLC GBR GBP 7,087,299 1.99 114,459 Citigroup Inc. USA USD 6,193,377 1.74 96,415 JPMorgan Chase & Co. USA USD 6,033,651 1.69 278,964 United Overseas Bank Ltd. SGP SGD 5,165,298 1.45 82,657 BNP Paribas SA FRA EUR 4,926,737 1.38 1,229,297 Barclays PLC GBR GBP 4,665,716 1.31 354,517 Credit Agricole SA FRA EUR 4,615,669 1.29 599,129 UniCredit SpA ITA EUR 3,867,587 1.08 151,006 DBS Group Holdings Ltd. SGP SGD 2,348,070 0.66 78,087 Hana Financial Group Inc. KOR KRW 2,284,582 0.64 110,086 ING Groep NV, IDR NLD EUR 1,442,600 0.40

48,630,586 13.63

Biotechnology 53,370 Amgen Inc. USA USD 8,501,307 2.38


Capital Markets 222,551 AllianceBernstein Holding LP USA USD 5,748,492 1.61 175,312 Credit Suisse Group AG CHE CHF 4,422,475 1.24 761,374 MLP AG DEU EUR 3,417,884 0.96 71,862 Morgan Stanley USA USD 2,788,246 0.78 50,615 The Bank of New York Mellon Corp. USA USD 2,053,451 0.58

18,430,548 5.17



Distributors 1,238,597 Pacific Brands Ltd. AUS AUD 546,110 0.15

Diversified Financial Services 77,019 Deutsche Boerse AG DEU EUR 5,518,889 1.55 11,312,800 True Telecommunication Growth Infrastructure Fund THA THB 3,681,477 1.03 491,068 BM&F BOVESPA SA BRA BRL 1,820,139 0.51

11,020,505 3.09

Diversified Telecommunication Services 1,828,130 Singapore Telecommunications Ltd. SGP SGD 5,381,723 1.51 197,226 Orange SA FRA EUR 3,376,805 0.95 150,828 Telenor ASA NOR NOK 3,058,552 0.86 160,436 Telefonica SA ESP EUR 2,314,000 0.65 83,483 Vivendi SA FRA EUR 2,089,989 0.58

16,221,069 4.55

Electric Utilities 2,034,261 Power Grid Corp. of India Ltd. IND INR 4,453,526 1.25

Electronic Equipment, Instruments & Component 1,895,443 Digital China Holdings Ltd. CHN HKD 1,760,031 0.49

Energy Equipment & Services 182,908 Noble Corp. PLC USA USD 3,030,786 0.85 45,641 Technip SA FRA EUR 2,728,973 0.77 160,000 Petrofac Ltd. GBR GBP 1,753,226 0.49 166,088 Fred. Olsen Energy ASA NOR NOK 1,515,044 0.42 322,864 Paragon Offshore PLC USA USD 894,333 0.25

9,922,362 2.78

— Templeton Global Equity Income Fund —

Number of shares or



Marketvalue

% ofnet

assets






Food & Staples Retailing 1,432,016 Tesco PLC GBR GBP 4,218,637 1.18

Household Products 33,179 The Procter & Gamble Co. USA USD 3,022,275 0.85

Industrial Conglomerates 23,902 Siemens AG DEU EUR 2,711,383 0.76 44,387 General Electric Co. USA USD 1,121,660 0.32

3,833,043 1.08

Insurance 266,275 AXA SA FRA EUR 6,187,712 1.73 677,940 Aegon NV NLD EUR 5,134,304 1.44 418,608 Aviva PLC GBR GBP 3,161,286 0.89 7,683 Muenchener Rueckversicherungs-Gesellschaft AG DEU EUR 1,540,883 0.43 37,400 NN Group NV NLD EUR 1,124,336 0.32

17,148,521 4.81

Media 292,232 Sky PLC GBR GBP 4,094,963 1.15 116,416 Reed Elsevier NV GBR EUR 2,794,729 0.78

6,889,692 1.93

Metals & Mining 26,198 POSCO, ADR KOR USD 1,671,695 0.47 872 POSCO KOR KRW 219,642 0.06

1,891,337 0.53

Multiline Retail 896,186 Marks & Spencer Group PLC GBR GBP 6,688,285 1.88 64,769 Macy’s Inc. USA USD 4,258,562 1.19

10,946,847 3.07

Oil, Gas & Consumable Fuels 129,602 Total SA, B FRA EUR 6,667,919 1.87 303,733 Eni SpA ITA EUR 5,332,670 1.50 1,511,500 China Shenhua Energy Co. Ltd., H CHN HKD 4,463,964 1.25 30,591 Chevron Corp. USA USD 3,431,698 0.96 97,156 Royal Dutch Shell PLC, A GBR EUR 3,251,675 0.91 500,384 BP PLC GBR GBP 3,205,588 0.90 330,308 Petroleo Brasileiro SA, ADR, pfd. BRA USD 2,503,735 0.70 46,131 LUKOIL Holdings, ADR RUS USD 1,836,014 0.51 56,838 Statoil ASA NOR NOK 998,146 0.28

31,691,409 8.88

Pharmaceuticals 99,150 Sanofi FRA EUR 9,077,044 2.54 361,866 GlaxoSmithKline PLC GBR GBP 7,761,197 2.18 117,737 Teva Pharmaceutical Industries Ltd., ADR ISR USD 6,771,055 1.90 215,529 Pfizer Inc. USA USD 6,713,728 1.88 21,881 Roche Holding AG CHE CHF 5,940,135 1.66 40,915 Novartis AG CHE CHF 3,800,543 1.07 60,919 Merck & Co. Inc. USA USD 3,459,590 0.97

43,523,292 12.20

Real Estate Investment Trust (REIT) 504,075 Annaly Capital Management Inc. USA USD 5,449,051 1.53

Software 128,901 Microsoft Corp. USA USD 5,987,451 1.68


Technology Hardware, Storage & Peripherals 174,425 CANON Inc. JPN JPY 5,590,480 1.57


Transportation Infrastructure 1,061,249 China Merchants Holdings International Co. Ltd. CHN HKD 3,565,349 1.00

Wireless Telecommunication Services 1,913,322 Vodafone Group PLC GBR GBP 6,640,079 1.86 322,331 Turkcell Iletisim Hizmetleri AS, ADR TUR USD 4,873,645 1.37 324,036 China Mobile Ltd. CHN HKD 3,790,335 1.06

Number of shares or



Marketvalue

% ofnet

assets






Wireless Telecommunication Services (continued) 184,231 Mobile TeleSystems, ADR RUS USD 1,322,778 0.37

16,626,837 4.66

TOTAL SHARES 331,492,426 92.93


TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET SHARES Air Freight & Logistics 494,053 Barclays Bank PLC into TNT Express NV, 4.00%, cvt. pfd., Reg S NLD USD 2,827,421 0.79

Biotechnology 50,635 Royal Bank of Canada into Isis Pharmaceuticals Inc., 7.70%, cvt. pfd., 144A USA USD 2,665,452 0.75

Capital Markets 83,150 The Goldman Sachs Inc. into Morgan Stanley, 4.00%, cvt. pfd., 144A USA USD 3,040,721 0.85

Electronic Equipment, Instruments & Component 128,440 Royal Bank of Canada into Knowles Corp., 3.50%, cvt. pfd., 144A USA USD 2,870,904 0.80

Energy Equipment & Services 44,952 Merrill Lynch International & Co. CV into Halliburton Co., 3.50%, cvt. pfd., 144A USA USD 1,789,988 0.50

Multiline Retail 32,128 Merrill Lynch International & Co. CV into Macy’s Inc., 3.90%, cvt. pfd., 144A USA USD 2,078,151 0.58

Oil, Gas & Consumable Fuels 83,755 Royal Bank of Canada into Chesapeake Energy Corp., 3.50%, cvt. pfd., 144A USA USD 1,627,611 0.46

Software 70,765 Morgan Stanley into Microsoft Corp., 3.40%, cvt. pfd., 144A USA USD 3,309,283 0.93

TOTAL SHARES 20,209,531 5.66



Number of shares or



Marketvalue

% ofnet

assets





TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Consumer Finance 3,800 GMAC Capital Trust I, 8.125%, pfd. USA USD 100,244 0.04



TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET SHARES Paper & Forest Products 1,400 NewPage Holdings Inc. USA USD 127,050 0.06


BONDS Corporate Bonds 2,000,000 ArcelorMittal, senior note, 5.50%, 03/01/21 LUX USD 2,072,730 0.88 2,000,000 CIT Group Inc., senior note, 5.00%, 08/15/22 USA USD 2,062,500 0.87 1,400,000 The Royal Bank of Scotland PLC, sub. note, 6.934%, 04/09/18 GBR EUR 1,955,511 0.83 1,800,000 First Data Corp., senior secured bond, second lien, 144A, 8.25%, 01/15/21 USA USD 1,935,000 0.82 1,800,000 HCA Inc., senior note, 5.875%, 05/01/23 USA USD 1,901,250 0.81 1,500,000 Ally Financial Inc., senior note, 7.50%, 09/15/20 USA USD 1,762,500 0.75 1,500,000 Energy Transfer Equity LP, senior note, first lien, 7.50%, 10/15/20 USA USD 1,672,500 0.71 1,500,000 CSC Holdings LLC, senior note, 6.75%, 11/15/21 USA USD 1,663,125 0.71 1,500,000 Bank of America Corp., junior sub. bond, M, 8.125% to 05/15/18,

FRN thereafter, Perpetual USA USD 1,625,625 0.69 2,000,000 LUKOIL International Finance BV, senior note, 144A, 4.563%, 04/24/23 RUS USD 1,600,260 0.68 1,500,000 The Goodyear Tire & Rubber Co., senior note, 6.50%, 03/01/21 USA USD 1,597,500 0.68 1,500,000 Reynolds Group Issuer Inc./LLC/SA, senior note, 8.25%, 02/15/21 USA USD 1,545,000 0.66 1,500,000 Equinix Inc., senior bond, 5.375%, 04/01/23 USA USD 1,507,500 0.64 1,500,000 CCO Holdings LLC/CCO Holdings Capital Corp., senior bond, 5.25%, 09/30/22 USA USD 1,501,875 0.64 1,500,000 JPMorgan Chase & Co., junior sub. bond, R, 6.00% to 08/01/23,

FRN thereafter, Perpetual USA USD 1,488,750 0.63 1,500,000 Citigroup Inc., junior sub. bond, M, 6.30% to 05/15/24, FRN thereafter,

Perpetual USA USD 1,481,250 0.63 1,400,000 JBS USA LLC/Finance Inc., senior note, 144A, 8.25%, 02/01/20 USA USD 1,480,500 0.63 1,400,000 MGM Resorts International, senior note, 6.00%, 03/15/23 USA USD 1,414,000 0.60 1,400,000 Sabine Pass Liquefaction LLC, first lien, 5.625%, 02/01/21 USA USD 1,382,500 0.59 1,500,000 Gaz Capital SA, (OJSC Gazprom), loan participation, senior bond, Reg S,

6.51%, 03/07/22 RUS USD 1,354,800 0.57 1,400,000 Wind Acquisition Finance SA, senior note, second lien, 144A,

7.375%, 04/23/21 ITA USD 1,323,000 0.56 800,000 New Look Bondco I PLC, secured note, first lien, Reg S, 8.75%, 05/14/18 GBR GBP 1,313,417 0.56 1,500,000 Peabody Energy Corp., senior note, 6.25%, 11/15/21 USA USD 1,288,125 0.55 1,000,000 U.S. Coatings Acquisition Inc./Flash Dutch 2 BV, secured note, Reg S,

5.75%, 02/01/21 USA EUR 1,278,819 0.54 1,000,000 Avis Budget Finance PLC, senior note, Reg S, 6.00%, 03/01/21 USA EUR 1,275,037 0.54 1,200,000 Alcatel-Lucent USA Inc., senior note, 144A, 6.75%, 11/15/20 FRA USD 1,272,600 0.54 1,100,000 Tenet Healthcare Corp., senior note, 8.125%, 04/01/22 USA USD 1,232,000 0.52 1,260,000 CHC Helicopter SA, senior secured note, first lien, 9.25%, 10/15/20 CAN USD 1,228,500 0.52 1,330,000 Alfa Bond Issuance PLC, (Alfa Bank OJSC), loan participation, senior note,

Reg S, 7.75%, 04/28/21 RUS USD 1,175,387 0.50 1,200,000 InterGen NV, secured bond, 144A, 7.00%, 06/30/23 NLD USD 1,146,000 0.49 1,100,000 Navient Corp., senior note, 5.50%, 01/15/19 USA USD 1,127,500 0.48 1,000,000 HCA Inc., senior secured note, first lien, 5.875%, 03/15/22 USA USD 1,097,500 0.47 1,200,000 FMG Resources (August 2006) Pty. Ltd., senior note, 144A, 8.25%,

11/01/19 AUS USD 1,096,500 0.46 1,100,000 iHeartCommunications Inc., senior secured bond, first lien, 9.00%, 03/01/21 USA USD 1,082,125 0.46 1,500,000 Texas Competitive Electric Holdings Co. LLC/Texas Competitive

Electric Holdings Finance Inc., senior secured note, first lien, 144A, 11.50%, 10/01/20 * USA USD 1,068,750 0.45

1,000,000 KB Home, senior bond, 7.50%, 09/15/22 USA USD 1,065,000 0.45 1,000,000 Clear Channel Worldwide Holdings Inc., senior sub. note, 7.625%, 03/15/20 USA USD 1,057,500 0.45 1,000,000 VPI Escrow Corp., senior note, 144A, 6.375%, 10/15/20 CAN USD 1,048,750 0.44 1,000,000 Alere Inc., senior note, 7.25%, 07/01/18 USA USD 1,045,000 0.44 1,144,000 First Quantum Minerals Ltd., senior note, 144A, 7.00%, 02/15/21 CAN USD 1,035,320 0.44 1,000,000 Chesapeake Energy Corp., senior note, 5.75%, 03/15/23 USA USD 1,035,000 0.44 1,000,000 Frontier Communications Corp., senior bond, 7.625%, 04/15/24 USA USD 1,035,000 0.44 1,000,000 Millicom International Cellular SA, senior note, 144A, 6.625%, 10/15/21 LUX USD 1,028,125 0.44 1,000,000 Jaguar Holding Co. I, senior note, 144A, PIK, 9.375%, 10/15/17 ‡ USA USD 1,024,500 0.43 1,000,000 Blackboard Inc., senior note, 144A, 7.75%, 11/15/19 USA USD 1,007,500 0.43 1,000,000 Post Holdings Inc., senior note, 7.375%, 02/15/22 USA USD 1,002,500 0.42 800,000 Rain CII Carbon LLC/CII Carbon Corp., second lien, Reg S, 8.50%, 01/15/21 USA EUR 1,001,880 0.42 1,000,000 Digicel Group Ltd., senior note, 144A, 8.25%, 09/30/20 BMU USD 978,750 0.42 1,000,000 Edcon Pty. Ltd., senior secured note, Reg S, 9.50%, 03/01/18 ZAF EUR 975,562 0.41 1,000,000 Eldorado Gold Corp., senior note, 144A, 6.125%, 12/15/20 CAN USD 975,000 0.41 1,000,000 WMG Acquisition Corp., senior note, 144A, 5.625%, 04/15/22 USA USD 972,500 0.41

— Templeton Global High Yield Fund —

Number of shares or



Marketvalue

% ofnet

assets






Corporate Bonds (continued) 600,000 Virgin Media Secured Finance PLC, senior secured note, Reg S,

5.50%, 01/15/25 GBR GBP 969,706 0.41 1,000,000 BMC Software Finance Inc., senior note, 144A, 8.125%, 07/15/21 USA USD 945,000 0.40 1,000,000 Martin Midstream Partners LP/Martin Midstream Finance Corp.,

senior note, 7.25%, 02/15/21 USA USD 945,000 0.40 800,000 Iglo Foods Bondco PLC, senior secured note, first lien, Reg S, FRN,

4.582%, 06/15/20 † GBR EUR 938,079 0.40 1,000,000 CONSOL Energy Inc., senior note, 144A, 5.875%, 04/15/22 USA USD 935,000 0.40 900,000 1011778 BC ULC/New Red Finance Inc., secured note, second lien, 144A,

6.00%, 04/01/22 CAN USD 927,000 0.39 1,000,000 Sprint Nextel Corp., senior note, 6.00%, 11/15/22 USA USD 923,750 0.39 700,000 Ceramtec Group GmbH, senior note, Reg S, 8.25%, 08/15/21 DEU EUR 916,348 0.39 800,000 Sprint Nextel Corp., senior note, 144A, 9.00%, 11/15/18 USA USD 911,920 0.39 1,000,000 Barminco Finance Pty. Ltd., senior note, 144A, 9.00%, 06/01/18 AUS USD 900,625 0.38 1,000,000 Ultra Petroleum Corp., senior bond, 144A, 6.125%, 10/01/24 USA USD 865,000 0.37 1,000,000 Linn Energy LLC/Finance Corp., senior note, 6.25%, 11/01/19 USA USD 855,000 0.36 1,000,000 California Resources Corp., senior bond, 144A, 6.00%, 11/15/24 USA USD 850,000 0.36 740,000 DP World Ltd., Reg S, 6.85%, 07/02/37 ARE USD 837,399 0.36 900,000 Financiere Quick SAS, senior note, Reg S, FRN, 7.582%, 10/15/19 † FRA EUR 837,136 0.35 800,000 T-Mobile USA Inc., senior note, 6.542%, 04/28/20 USA USD 829,000 0.35 800,000 Intelsat Jackson Holdings SA, senior bond, 6.625%, 12/15/22 LUX USD 826,000 0.35 800,000 OneMain Financial Holdings Inc., senior note, 144A, 7.25%, 12/15/21 USA USD 824,000 0.35 800,000 Sirius XM Radio Inc., senior bond, 144A, 6.00%, 07/15/24 USA USD 822,000 0.35 700,000 Ineos Group Holdings SA, senior note, Reg S, 5.75%, 02/15/19 CHE EUR 819,472 0.35 800,000 Hertz Corp., senior note, 6.25%, 10/15/22 USA USD 812,000 0.34 1,100,000 Ocean Rig UDW Inc., senior note, 144A, 7.25%, 04/01/19 USA USD 777,562 0.33 1,000,000 BreitBurn Energy Partners LP/BreitBurn Finance Corp., senior bond,

7.875%, 04/15/22 USA USD 777,500 0.33 800,000 DISH DBS Corp., senior bond, 5.00%, 03/15/23 USA USD 776,000 0.33 1,000,000 Halcon Resources Corp., senior note, 8.875%, 05/15/21 USA USD 757,500 0.32 700,000 Hertz Corp., senior note, 6.75%, 04/15/19 USA USD 724,500 0.31 700,000 Penn Virginia Resource Partners LP/Penn Virginia Resource Finance Corp.,

senior note, 6.50%, 05/15/21 USA USD 710,500 0.30 800,000 Visant Corp., senior note, 10.00%, 10/01/17 USA USD 704,000 0.30 700,000 Dole Food Co. Inc., senior secured note, 144A, 7.25%, 05/01/19 USA USD 699,125 0.30 700,000 Polymer Group Inc., senior note, 144A, 6.875%, 06/01/19 USA USD 674,625 0.29 800,000 Sanchez Energy Corp., senior note, 144A, 6.125%, 01/15/23 USA USD 674,000 0.29 800,000 24 Hour Holdings III LLC, senior note, 144A, 8.00%, 06/01/22 USA USD 644,000 0.27 600,000 Ardagh Packaging Finance PLC, senior note, 144A, 9.125%, 10/15/20 LUX USD 640,500 0.27 600,000 CHS/Community Health Systems Inc., senior note, 5.125%, 08/01/21 USA USD 638,625 0.27 600,000 Chesapeake Energy Corp., senior note, 6.125%, 02/15/21 USA USD 633,000 0.27 800,000 CGG SA, senior note, 6.50%, 06/01/21 FRA USD 612,000 0.26 600,000 Olin Corp., senior bond, 5.50%, 08/15/22 USA USD 610,500 0.26 600,000 Cemex Finance LLC, senior secured note, first lien, 144A,

6.00%, 04/01/24 MEX USD 580,875 0.25 800,000 Offshore Group Investment Ltd., senior bond, first lien, 7.125%, 04/01/23 USA USD 576,000 0.24 600,000 Stena International SA, secured bond, 144A, 5.75%, 03/01/24 SWE USD 567,000 0.24 500,000 Galapagos Holding SA, senior note, Reg S, 7.00%, 06/15/22 DEU EUR 564,162 0.24 500,000 Navient Corp., senior note, 8.45%, 06/15/18 USA USD 558,750 0.24 500,000 UPCB Finance VI Ltd., senior secured note, first lien, 144A, 6.875%,

01/15/22 NLD USD 544,687 0.23 1,000,000 Energy XXI Gulf Coast Inc., senior note, 144A, 6.875%, 03/15/24 USA USD 542,500 0.23 500,000 Valeant Pharmaceuticals International Inc., senior note, 144A,

7.50%, 07/15/21 USA USD 541,875 0.23 500,000 CHS/Community Health Systems Inc., senior note, 7.125%, 07/15/20 USA USD 533,750 0.23 500,000 Intelsat Jackson Holdings SA, senior note, 7.25%, 10/15/20 LUX USD 529,375 0.22 700,000 Offshore Group Investment Ltd., senior secured note, first lien, 7.50%,

11/01/19 USA USD 525,875 0.22 500,000 AerCap Ireland Capital Ltd./AerCap Global Aviation Trust, senior note, 144A,

5.00%, 10/01/21 NLD USD 520,938 0.22 500,000 DISH DBS Corp., senior note, 5.875%, 07/15/22 USA USD 513,750 0.22 500,000 E*TRADE Financial Corp., senior note, 5.375%, 11/15/22 USA USD 512,500 0.22 500,000 DaVita HealthCare Partners Inc., senior bond, 5.125%, 07/15/24 USA USD 510,938 0.22 500,000 Owens-Brockway Glass Container Inc., senior note, 144A, 5.00%, 01/15/22 USA USD 510,625 0.22 1,000,000 Midstates Petroleum Co. Inc./LLC, senior note, 9.25%, 06/01/21 USA USD 510,000 0.22 500,000 NRG Yield Operating LLC, senior bond, 144A, 5.375%, 08/15/24 USA USD 510,000 0.22 500,000 Constellation Brands Inc., senior bond, 4.75%, 11/15/24 USA USD 507,500 0.22 500,000 Cemex SAB de CV, secured note, 144A, 5.875%, 03/25/19 MEX USD 507,188 0.21 500,000 Calpine Corp., senior bond, 5.75%, 01/15/25 USA USD 506,875 0.21 500,000 Cott Beverages Inc., senior note, 144A, 6.75%, 01/01/20 USA USD 501,250 0.21 500,000 Intelsat Jackson Holdings SA, senior bond, 5.50%, 08/01/23 LUX USD 498,438 0.21 500,000 Sprint Corp., senior bond, 7.875%, 09/15/23 USA USD 496,100 0.21 1,000,000 Goodrich Petroleum Corp., senior note, 8.875%, 03/15/19 USA USD 495,000 0.21 500,000 Taylor Morrison Communities Inc./Monarch Communities Inc.,

senior note, 144A,5.25%, 04/15/21 USA USD 495,000 0.21 800,000 EnQuest PLC, senior note, 144A, 7.00%, 04/15/22 GBR USD 491,500 0.21 455,000 Penn Virginia Resource Partners LP/Penn Virginia Resource Finance Corp.,

senior note, 8.375%, 06/01/20 USA USD 487,988 0.21

Number of shares or



Marketvalue

% ofnet

assets





Corporate Bonds (continued) 500,000 Taylor Morrison Communities Inc./Monarch Communities Inc., senior note,

144A, 5.625%, 03/01/24 USA USD 485,000 0.21 418,000 Calpine Corp., senior secured bond, 144A, 7.875%, 01/15/23 USA USD 462,935 0.20 500,000 Scientific Games International Inc., senior note, 144A, 10.00%, 12/01/22 USA USD 460,625 0.20 500,000 Stena AB, senior bond, 144A, 7.00%, 02/01/24 SWE USD 458,750 0.19 500,000 First Quantum Minerals Ltd., senior note, 144A, 6.75%, 02/15/20 CAN USD 455,000 0.19 400,000 Calpine Corp., senior secured bond, first lien, 144A, 5.875%, 01/15/24 USA USD 428,000 0.18 500,000 Linn Energy LLC/Finance Corp., senior note, 7.75%, 02/01/21 USA USD 423,750 0.18 1,000,000 Samson Investment Co., senior note, 9.75%, 02/15/20 USA USD 419,375 0.18 500,000 Gaz Capital SA, (OJSC Gazprom), loan participation, senior note, Reg S,

3.85%, 02/06/20 RUS USD 413,803 0.18 400,000 Scientific Games International Inc., senior secured note, first lien, 144A,

7.00%, 01/01/22 USA USD 407,000 0.17 400,000 DISH DBS Corp., senior note, 144A, 5.875%, 11/15/24 USA USD 403,000 0.17 300,000 Unitymedia Hessen GmbH & Co. KG/Unitymedia NRW GmbH,

senior secured note, first lien, Reg S, 5.75%, 01/15/23 DEU EUR 394,762 0.17 300,000 UPC Holding BV, senior note, Reg S, 6.375%, 09/15/22 NLD EUR 393,628 0.17 300,000 UPCB Finance II Ltd., senior secured note, Reg S, 6.375%, 07/01/20 NLD EUR 382,094 0.16 400,000 Digicel Group Ltd., senior note, 144A, 6.00%, 04/15/21 BMU USD 380,250 0.16 500,000 Halcon Resources Corp., senior note, 9.25%, 02/15/22 USA USD 371,250 0.16 500,000 Caesars Entertainment Operating Co. Inc., senior secured note, first lien,

9.00%, 02/15/20 USA USD 370,000 0.16 500,000 Caesars Entertainment Operating Co. Inc., senior secured note, first lien,

11.25%, 06/01/17 USA USD 369,000 0.16 400,000 Peabody Energy Corp., senior note, 6.00%, 11/15/18 USA USD 365,000 0.15 400,000 Memorial Resource Development Corp., senior note, 144A, 5.875%, 07/01/22 USA USD 363,000 0.15 300,000 Financiere Gaillon 8 SAS, senior note, Reg S, 7.00%, 09/30/19 FRA EUR 353,925 0.15 500,000 Triangle USA Petroleum Corp., senior note, 144A, 6.75%, 07/15/22 USA USD 332,500 0.14 300,000 Royal Bank of Scotland Group PLC, sub. note, 6.125%, 12/15/22 GBR USD 326,438 0.14 300,000 Virgin Media Finance PLC, senior bond, 144A, 6.375%, 04/15/23 GBR USD 315,750 0.13 300,000 Rain CII Carbon LLC/CII Carbon Corp., second lien, 144A, 8.25%, 01/15/21 USA USD 308,250 0.13 300,000 Frontier Communications Corp., senior note, 7.125%, 01/15/23 USA USD 306,750 0.13 300,000 T-Mobile USA Inc., senior bond, 6.375%, 03/01/25 USA USD 305,550 0.13 400,000 CGG SA, senior note, 6.875%, 01/15/22 FRA USD 304,750 0.13 400,000 Caesars Entertainment Operating Co. Inc., senior secured note, first lien,

9.00%, 02/15/20 USA USD 298,000 0.13 300,000 Navient Corp., senior note, 5.00%, 10/26/20 USA USD 295,125 0.13 300,000 Post Holdings Inc., senior note, 144A, 6.75%, 12/01/21 USA USD 291,750 0.12 300,000 Cemex SAB de CV, first lien, 144A, 5.70%, 01/11/25 MEX USD 289,875 0.12 311,111 FMG Resources (August 2006) Pty. Ltd., senior note, 144A,

6.875%, 02/01/18 AUS USD 284,083 0.12 500,000 Energy XXI Gulf Coast Inc., senior note, 7.50%, 12/15/21 USA USD 272,500 0.12 200,000 UPC Holding BV, senior note, Reg S, 6.75%, 03/15/23 NLD EUR 265,318 0.11 200,000 Unitymedia Hessen GmbH & Co. KG/Unitymedia NRW GmbH,

senior secured note, first lien, Reg S, 5.625%, 04/15/23 DEU EUR 263,334 0.11 300,000 Linn Energy LLC/Finance Corp., senior note, 8.625%, 04/15/20 USA USD 262,500 0.11 300,000 Compressco Partners LP/Finance Corp., senior note, 144A, 7.25%, 08/15/22 USA USD 261,000 0.11 300,000 California Resources Corp., senior note, 144A, 5.50%, 09/15/21 USA USD 258,000 0.11 200,000 Galapagos SA, senior secured note, Reg S, 5.375%, 06/15/21 DEU EUR 240,941 0.10 200,000 Wind Acquisition Finance SA, senior secured note, Reg S, 4.00%, 07/15/20 ITA EUR 238,370 0.10 200,000 Sprint Nextel Corp., senior note, 144A, 7.00%, 03/01/20 USA USD 217,000 0.09 200,000 Cemex SAB de CV, senior secured note, 144A, 9.00%, 01/11/18 MEX USD 209,250 0.09 200,000 Aviv Healthcare Properties LP/Aviv Healthcare Capital Corp., senior note,

6.00%, 10/15/21 USA USD 208,750 0.09 200,000 T-Mobile USA Inc., senior bond, 6.50%, 01/15/24 USA USD 205,500 0.09 200,000 Tenet Healthcare Corp., senior note, 144A, 5.00%, 03/01/19 USA USD 200,750 0.09 200,000 Frontier Communications Corp., senior note, 7.875%, 01/15/27 USA USD 200,500 0.08 200,000 IHS Inc., senior note, 144A, 5.00%, 11/01/22 USA USD 199,000 0.08 200,000 Ardagh Packaging Finance PLC/Ardagh MP Holdings USA Inc., senior note,

144A, 6.75%, 01/31/21 LUX USD 197,875 0.08 200,000 KB Home, senior note, 4.75%, 05/15/19 USA USD 197,500 0.08 200,000 Ardagh Packaging Finance PLC/Ardagh MP Holdings USA Inc., senior note,

144A, 6.25%, 01/31/19 LUX USD 196,000 0.08 200,000 Ardagh Packaging Finance PLC/Ardagh MP Holdings USA Inc., senior note,

144A, 6.00%, 06/30/21 LUX USD 191,500 0.08 195,000 CHC Helicopter SA, senior note, 9.375%, 06/01/21 CAN USD 184,275 0.08 200,000 Quicksilver Resources Inc., secured note, second lien, 144A, FRN,

7.00%, 06/21/19 † USA USD 149,500 0.06 500,000 Quicksilver Resources Inc., senior note, 9.125%, 08/15/19 USA USD 127,500 0.05 100,000 DISH DBS Corp., senior note, 6.75%, 06/01/21 USA USD 107,750 0.05 100,000 Calpine Corp., senior secured note, first lien, 144A, 6.00%, 01/15/22 USA USD 107,000 0.05 100,000 Clear Channel Worldwide Holdings Inc., senior note, 6.50%, 11/15/22 USA USD 103,500 0.04 100,000 AECOM Technology Corp., senior bond, 144A, 5.875%, 10/15/24 USA USD 102,500 0.04 100,000 AECOM Technology Corp., senior note, 144A, 5.75%, 10/15/22 USA USD 102,500 0.04 100,000 T-Mobile USA Inc., senior note, 6.125%, 01/15/22 USA USD 101,875 0.04 100,000 Valeant Pharmaceuticals International Inc., senior note, 144A,

5.625%, 12/01/21 USA USD 101,000 0.04 117,000 CGG SA, senior note, 7.75%, 05/15/17 FRA USD 100,913 0.04


Number of shares or



Marketvalue

% ofnet

assets





Corporate Bonds (continued) 100,000 iHeartCommunications Inc., senior secured note, first lien, 144A,

9.00%, 09/15/22 USA USD 98,250 0.04 100,000 Regency Energy Partners LP/Regency Energy Finance Corp., senior note,

5.00%, 10/01/22 USA USD 95,000 0.04 100,000 Post Holdings Inc., senior note, 144A, 6.00%, 12/15/22 USA USD 94,125 0.04 100,000 Sprint Corp., senior bond, 7.125%, 06/15/24 USA USD 93,500 0.04 200,000 Edcon Holdings Pty. Ltd., senior secured note, Reg S, 13.375%, 06/30/19 ZAF EUR 90,750 0.04 88,235 Ardagh Packaging Finance PLC/Ardagh MP Holdings USA Inc., senior note,

144A, 7.00%, 11/15/20 LUX USD 89,559 0.04 100,000 Peabody Energy Corp., senior note, 6.50%, 09/15/20 USA USD 87,250 0.04 100,000 Halcon Resources Corp., senior note, 9.75%, 07/15/20 USA USD 75,500 0.03

129,998,437 55.14

Government and Municipal Bonds 8,400,000 Government of Ecuador, senior note, Reg S, 7.95%, 06/20/24 ECU USD 7,224,000 3.06 466,980 Government of Mexico, 7.25%, 12/15/16 MEX MXN 3,382,438 1.43 2,520,000 Government of Kenya, senior note, Reg S, 6.875%, 06/24/24 KEN USD 2,677,639 1.14 503,390,000 Government of Nigeria, 13.05%, 08/16/16 NGA NGN 2,659,811 1.13 8,945,000 Government of Poland, 4.75%, 10/25/16 POL PLN 2,659,407 1.13 4,300,000 Government of Ukraine, senior note, Reg S, 7.50%, 04/17/23 UKR USD 2,534,979 1.08 336,390 Government of Mexico, 6.25%, 06/16/16 MEX MXN 2,368,919 1.00 3,800,000 Government of Ukraine, senior note, Reg S, 7.80%, 11/28/22 UKR USD 2,270,937 0.96 3,500,000 Government of Ukraine, Reg S, 7.75%, 09/23/20 UKR USD 2,132,480 0.90 38,339,227 Government of Uruguay, senior bond, Index Linked, 4.375%, 12/15/28 URY UYU 1,588,780 0.67 3,620,000 Government of Ghana, 24.44%, 05/29/17 GHA GHS 1,201,777 0.51 27,113,280 Uruguay Notas del Tesoro, 18, Index Linked, 2.25%, 08/23/17 URY UYU 1,054,496 0.45 235,920,000 Government of Hungary, 6.50%, 06/24/19 HUN HUF 1,026,470 0.44 1,000,000 Government of Ghana, Reg S, 7.875%, 08/07/23 GHA USD 929,605 0.39 181,720,000 Government of Hungary, A, 6.00%, 11/24/23 HUN HUF 826,340 0.35 747 Nota Do Tesouro Nacional, Index Linked, 6.00%, 08/15/16 BRA BRL 706,761 0.30 745,300,000 Korea Monetary Stabilization Bond, senior note, 2.46%, 08/02/16 KOR KRW 685,312 0.29 7,200,000,000 Government of Indonesia, FR47, 10.00%, 02/15/28 IDN IDR 666,806 0.28 700 Nota Do Tesouro Nacional, Index Linked, 6.00%, 05/15/45 BRA BRL 648,338 0.27 1,010,000 Government of Ukraine, senior note, Reg S, 7.95%, 02/23/21 UKR USD 614,524 0.26 6,150,000,000 Government of Indonesia, FR44, 10.00%, 09/15/24 IDN IDR 562,860 0.24 5,280,000,000 Government of Indonesia, FR34, 12.80%, 06/15/21 IDN IDR 531,027 0.23 535 Nota Do Tesouro Nacional, Index Linked, 6.00%, 08/15/18 BRA BRL 502,193 0.21 100,850,000 Government of Hungary, 7.50%, 11/12/20 HUN HUF 469,667 0.20 115,000,000 Government of Hungary, 5.50%, 02/12/16 HUN HUF 458,687 0.19 4,400,000,000 Government of Indonesia, FR35, 12.90%, 06/15/22 IDN IDR 457,142 0.19 1,200 Nota Do Tesouro Nacional, 10.00%, 01/01/17 BRA BRL 430,165 0.18 1,330,000 Government of Ghana, 23.00%, 02/13/17 GHA GHS 429,049 0.18 95,810,000 Government of Hungary, 4.00%, 04/25/18 HUN HUF 380,718 0.16 9,185,920 Uruguay Notas del Tesoro, 13, Index Linked, 4.00%, 05/25/25 URY UYU 371,492 0.16 363,000,000 Korea Monetary Stabilization Bond, senior note, 2.79%, 06/02/16 KOR KRW 335,153 0.14 31,800,000 Serbia Treasury Note, 10.00%, 12/19/16 SER RSD 320,195 0.14 340,900,000 Korea Treasury Bond, senior note, 2.75%, 06/10/16 KOR KRW 314,568 0.13 335,200,000 Korea Treasury Bond, senior note, 3.00%, 12/10/16 KOR KRW 311,731 0.13 7,348,736 Uruguay Notas del Tesoro, 14, Index Linked, 4.00%, 06/10/20 URY UYU 301,980 0.13 62,560,000 Government of Hungary, A, 7.00%, 06/24/22 HUN HUF 294,112 0.12 897,000 Government of Ghana, 23.00%, 08/21/17 GHA GHS 291,004 0.12 64,140,000 Government of Hungary, B, 5.50%, 06/24/25 HUN HUF 284,962 0.12 945,000 Government of Ghana, 19.24%, 05/30/16 GHA GHS 282,414 0.12 227,350,000 Korea Monetary Stabilization Bond, senior note, 2.80%, 04/02/16 KOR KRW 209,707 0.09 48,630,000 Government of Hungary, 5.50%, 12/22/16 HUN HUF 198,768 0.08 520,000 Government of Ghana, 25.40%, 07/31/17 GHA GHS 178,113 0.08 1,810,000,000 Government of Indonesia, FR42, 10.25%, 07/15/27 IDN IDR 171,866 0.07 37,010,000 Government of Hungary, A, 5.50%, 12/20/18 HUN HUF 155,191 0.07 1,400,000,000 Government of Indonesia, 7.875%, 04/15/19 IDN IDR 114,453 0.05 395,000 Government of Poland, FRN, 2.69%, 01/25/17 † POL PLN 111,641 0.05 401,000 Government of Poland, FRN, 2.69%, 01/25/21 † POL PLN 111,577 0.05 11,080,000 Serbia Treasury Note, 10.00%, 11/08/17 SER RSD 110,480 0.05 2,775,000 Uruguay Notas del Tesoro, 11.00%, 03/21/17 URY UYU 109,588 0.05 350,000 Government of Ghana, 19.04%, 09/24/18 GHA GHS 102,241 0.04 900,000,000 Government of Indonesia, FR40, 11.00%, 09/15/25 IDN IDR 87,856 0.04 900,000,000 Government of Indonesia, FR45, 9.75%, 05/15/37 IDN IDR 82,842 0.04 19,350,000 Government of Hungary, A, 6.75%, 11/24/17 HUN HUF 82,771 0.04 7,350,000 Serbia Treasury Note, 10.00%, 03/01/16 SER RSD 74,374 0.03 7,200,000 Serbia Treasury Note, 10.00%, 01/30/16 SER RSD 72,871 0.03 7,020,000 Serbia Treasury Bond, 10.00%, 06/27/16 SER RSD 70,937 0.03 790,000,000 Government of Indonesia, FR46, 9.50%, 07/15/23 IDN IDR 70,373 0.03 220,000 Government of Poland, 4.75%, 04/25/17 POL PLN 66,183 0.03 7,040,000 Serbia Treasury Bond, 10.00%, 09/11/21 SER RSD 64,475 0.03 8,210,000 Government of Sri Lanka, A, 8.00%, 11/15/18 LKA LKR 64,348 0.03 1,600,128 Uruguay Notas del Tesoro, 17, Index Linked, 2.75%, 06/16/16 URY UYU 64,164 0.03 1,158,611 Uruguay Notas del Tesoro, 10, Index Linked, 4.25%, 01/05/17 URY UYU 47,681 0.02 115,000 Government of Ghana, 26.00%, 06/05/17 GHA GHS 39,224 0.02 4,940,000 Government of Sri Lanka, C, 8.50%, 04/01/18 LKA LKR 39,198 0.02


Number of shares or



Marketvalue

% ofnet

assets





Government and Municipal Bonds (continued) 40,400,000 Korea Monetary Stabilization Bond, senior note, 2.78%, 02/02/16 KOR KRW 37,211 0.02 768,049 Government of Uruguay, senior bond, Index Linked, 4.00%, 07/10/30 URY UYU 30,817 0.01 2,800,000 Serbia Treasury Bond, 10.00%, 08/15/16 SER RSD 28,271 0.01 755,000 Uruguay Treasury Bill, Strip, 01/14/16 URY UYU 27,142 0.01 641,385 Government of Uruguay, Index Linked, 4.25%, 04/05/27 URY UYU 26,616 0.01 321,000,000 Government of Indonesia, senior bond, FR53, 8.25%, 07/15/21 IDN IDR 26,584 0.01 80,000 Government of Ghana, 16.90%, 03/07/16 GHA GHS 23,492 0.01 2,290,000 Serbia Treasury Note, 10.00%, 03/20/21 SER RSD 21,283 0.01 2,090,000 Serbia Treasury Note, 10.00%, 05/22/16 SER RSD 21,135 0.01 20 Nota Do Tesouro Nacional, Index Linked, 6.00%, 05/15/19 BRA BRL 18,774 0.01 20 Nota Do Tesouro Nacional, Index Linked, 6.00%, 05/15/23 BRA BRL 18,758 0.01 440,000 Uruguay Notas del Tesoro, 9.50%, 01/27/16 URY UYU 18,087 0.01 2,050,000 Government of Sri Lanka, 10.60%, 07/01/19 LKA LKR 17,617 0.01 1,610,000 Serbia Treasury Note, 10.00%, 10/17/16 SER RSD 16,233 0.01 10,000 Government of Panama, 9.375%, 04/01/29 PAN USD 15,165 0.01 337,217 Government of Uruguay, senior bond, Index Linked, 5.00%, 09/14/18 URY UYU 14,302 0.01 1,440,000 Serbia Treasury Bond, 10.00%, 11/21/18 SER RSD 14,148 0.01 40,000 Government of Ghana, 25.48%, 04/24/17 GHA GHS 13,698 0.01 1,700,000 Government of Sri Lanka, A, 6.40%, 08/01/16 LKA LKR 12,947 0.01 127,000,000 Government of Indonesia, FR31, 11.00%, 11/15/20 IDN IDR 11,771 0.00 330,000 Uruguay Treasury Bill, Strip, 07/28/16 URY UYU 11,126 0.00 960,000 Serbia Treasury Note, 10.00%, 05/08/17 SER RSD 9,627 0.00 10 Nota Do Tesouro Nacional, Index Linked, 6.00%, 08/15/24 BRA BRL 9,366 0.00 9 Nota Do Tesouro Nacional, Index Linked, 6.00%, 05/15/17 BRA BRL 8,536 0.00 830,000 Government of Sri Lanka, 11.20%, 07/01/22 LKA LKR 7,519 0.00 750,000 Government of Sri Lanka, A, 7.50%, 08/15/18 LKA LKR 5,778 0.00 1,110,000 Government of Hungary, B, 6.75%, 02/24/17 HUN HUF 4,651 0.00 50,000,000 Government of Indonesia, FR43, 10.25%, 07/15/22 IDN IDR 4,599 0.00 450,000 Government of Sri Lanka, 10.60%, 09/15/19 LKA LKR 3,884 0.00 300,000 Government of Sri Lanka, B, 6.40%, 10/01/16 LKA LKR 2,279 0.00 90,000 Government of Sri Lanka, A, 9.00%, 05/01/21 LKA LKR 732 0.00 40,000 Government of Sri Lanka, D, 8.50%, 06/01/18 LKA LKR 318 0.00 10,000 Government of Sri Lanka, 8.25%, 03/01/17 LKA LKR 78 0.00

48,172,404 20.43

Securities Maturing Within One Year 637,770 Government of Mexico, 8.00%, 12/17/15 MEX MXN 4,518,107 1.92 11,860,000 Government of Malaysia, 3.835%, 08/12/15 MYS MYR 3,401,800 1.44 10,542,000 Government of Malaysia, 4.72%, 09/30/15 MYS MYR 3,044,381 1.29 549,710,000 Nigeria Treasury Bill, 0.00%, 06/04/15 NGA NGN 2,844,299 1.21 10,020,000 Bank of Negara Monetary Note, 0.00%, 05/19/15 MYS MYR 2,829,901 1.20 2,818,200,000 Korea Monetary Stabilization Bond, senior bond, 2.47%, 04/02/15 KOR KRW 2,579,242 1.09 4,704,000 Government of Ghana, 21.00%, 10/26/15 GHA GHS 1,443,729 0.61 262,870,000 Nigeria Treasury Bill, 0.00%, 04/23/15 NGA NGN 1,378,143 0.58 174,250 Government of Mexico, 6.00%, 06/18/15 MEX MXN 1,197,280 0.51 1,013,600,000 Korea Monetary Stabilization Bond, senior note, 2.90%, 12/02/15 KOR KRW 933,603 0.40 2,820,000 Government of Ghana, 14.99%, 02/23/15 GHA GHS 874,036 0.37 869 Nota Do Tesouro Nacional, Index Linked, 6.00%, 05/15/15 BRA BRL 829,577 0.35 2,450,000 Bank of Negara Monetary Note, 0.00%, 07/16/15 MYS MYR 688,158 0.29 1,018,790 Mexico Treasury Bill, 0.00%, 06/25/15 MEX MXN 680,633 0.29 65,600,000 Serbia Treasury Note, 10.00%, 04/27/15 SER RSD 658,187 0.28 667,200,000 Korea Treasury Bond, senior note, 2.75%, 12/10/15 KOR KRW 613,860 0.26 107,600,000 Nigeria Treasury Bill, 0.00%, 04/09/15 NGA NGN 566,355 0.24 826,170 Mexico Treasury Bill, 0.00%, 04/01/15 MEX MXN 556,205 0.24 13,490,000 Uruguay Notas del Tesoro, 10.50%, 03/21/15 URY UYU 549,071 0.23 85,330,000 Nigeria Treasury Bill, 0.00%, 02/05/15 NGA NGN 460,388 0.20 639,460 Mexico Treasury Bill, 0.00%, 03/12/15 MEX MXN 431,113 0.18 644,480 Mexico Treasury Bill, 0.00%, 06/11/15 MEX MXN 431,088 0.18 627,120 Mexico Treasury Bill, Strip, 05/28/15 MEX MXN 420,199 0.18 598,020 Mexico Treasury Bill, 0.00%, 11/12/15 MEX MXN 394,314 0.17 575,650 Mexico Treasury Bill, 0.00%, 09/17/15 MEX MXN 381,496 0.16 1,035,000 Government of Ghana, 24.00%, 05/25/15 GHA GHS 324,594 0.14 333,400,000 Korea Monetary Stabilization Bond, senior note, 2.76%, 06/02/15 KOR KRW 305,683 0.13 27,500,000 Serbia Treasury Note, 10.00%, 03/01/15 SER RSD 274,977 0.12 950,000 Government of Malaysia, 3.197%, 10/15/15 MYS MYR 271,290 0.12 337,800 Mexico Treasury Bill, 0.00%, 04/16/15 MEX MXN 227,052 0.10 42,670,000 Nigeria Treasury Bill, 0.00%, 05/21/15 NGA NGN 221,835 0.09 21,000,000 Government of Sri Lanka, B, 11.00%, 09/01/15 LKA LKR 165,242 0.07 3,674,368 Uruguay Notas del Tesoro, Index Linked, 4.00%, 06/14/15 URY UYU 150,712 0.06 214,500 Mexico Treasury Bill, 0.00%, 07/23/15 MEX MXN 142,925 0.06 193,030 Mexico Treasury Bill, 0.00%, 10/01/15 MEX MXN 127,781 0.05 137,200,000 Korea Treasury Bond, senior note, 3.25%, 06/10/15 KOR KRW 126,073 0.05 2,920,000 Uruguay Notas del Tesoro, 10.25%, 08/22/15 URY UYU 118,895 0.05 14,400,000 Government of Sri Lanka, A, 11.00%, 08/01/15 LKA LKR 112,911 0.05 21,520,000 Nigeria Treasury Bill, 0.00%, 05/07/15 NGA NGN 112,419 0.05 370,000 Bank of Negara Monetary Note, 0.00%, 11/03/15 MYS MYR 102,814 0.04 310,000 Bank of Negara Monetary Note, 0.00%, 03/24/15 MYS MYR 88,003 0.04


Number of shares or



Marketvalue

% ofnet

assets





Securities Maturing Within One Year (continued) 20,850,000 Government of Hungary, 7.75%, 08/24/15 HUN HUF 82,809 0.04 290,000 Bank of Negara Monetary Note, 0.00%, 01/22/15 MYS MYR 82,789 0.04 211 Letra Tesouro Nacional, Strip, 01/01/15 BRA BRL 79,363 0.03 70,300,000 Korea Monetary Stabilization Bond, senior note, 2.66%, 06/09/15 KOR KRW 64,435 0.03 200,000 Government of Malaysia, 3.741%, 02/27/15 MYS MYR 57,237 0.02 56,940,000 Korea Monetary Stabilization Bond, senior bond, 2.80%, 08/02/15 KOR KRW 52,277 0.02 12,870,000 Government of Hungary, A, 8.00%, 02/12/15 HUN HUF 49,526 0.02 170,000 Bank of Negara Monetary Note, 0.00%, 10/27/15 MYS MYR 47,270 0.02 1,140,000 Uruguay Treasury Bill, Strip, 11/26/15 URY UYU 41,658 0.02 859,000 Uruguay Treasury Bill, Strip, 08/20/15 URY UYU 32,450 0.01 70,000 Bank of Negara Monetary Note, 0.00%, 01/20/15 MYS MYR 19,987 0.01 2,090,000 Government of Sri Lanka, A, 6.50%, 07/15/15 LKA LKR 15,984 0.01 1,900,000 Government of Sri Lanka, A, 8.50%, 11/01/15 LKA LKR 14,748 0.01 7,000,000 Korea Monetary Stabilization Bond, senior bond, 2.81%, 10/02/15 KOR KRW 6,435 0.00 100,000 Uruguay Treasury Bill, Strip, 07/02/15 URY UYU 3,840 0.00 310,000 Government of Sri Lanka, A, 11.75%, 03/15/15 LKA LKR 2,390 0.00

36,231,569 15.37

TOTAL BONDS 214,402,410 90.94




TOTAL BONDS 0 0.00



‡ Income may be received in additional securities and/or cash * These Corporate Bonds are currently in default † Floating Rates are indicated as at December 31, 2014 ** These securities are submitted to a Fair Valuation


Number of shares or



Marketvalue

% ofnet

assets





— Templeton Global Income Fund —

TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Air Freight & Logistics 1,038,261 CTT-Correios de Portugal SA PRT EUR 10,071,723 0.50 499,978 TNT Express NV NLD EUR 3,352,158 0.17

13,423,881 0.67


Auto Components 154,181 Cie Generale des Etablissements Michelin, B FRA EUR 14,042,297 0.70 43,236 Hyundai Mobis Co. Ltd. KOR KRW 9,329,008 0.46

23,371,305 1.16

Automobiles 1,981,240 Nissan Motor Co. Ltd. JPN JPY 17,476,909 0.87 447,250 General Motors Co. USA USD 15,613,498 0.77 216,600 Toyota Motor Corp. JPN JPY 13,662,114 0.68

46,752,521 2.32

Banks 336,240 Citigroup Inc. USA USD 18,193,946 0.90 285,800 JPMorgan Chase & Co. USA USD 17,885,364 0.89 251,570 BNP Paribas SA FRA EUR 14,994,729 0.74 2,103,000 Bangkok Bank PCL, fgn. THA THB 12,536,131 0.62 1,266,678 HSBC Holdings PLC GBR HKD 12,080,403 0.60 624,000 United Overseas Bank Ltd. SGP SGD 11,553,986 0.57 1,660,561 UniCredit SpA ITA EUR 10,719,502 0.53 2,493,324 Barclays PLC GBR GBP 9,463,248 0.47 612,578 ING Groep NV, IDR NLD EUR 8,027,406 0.40 1,303,920 ICICI Bank Ltd. IND INR 7,304,103 0.36 318,302 Standard Chartered PLC GBR GBP 4,777,802 0.24 132,423 KB Financial Group Inc., ADR KOR USD 4,319,638 0.22

131,856,258 6.54


Biotechnology 132,720 Amgen Inc. USA USD 21,140,969 1.05


Capital Markets 468,270 Morgan Stanley USA USD 18,168,876 0.90 584,576 Credit Suisse Group AG CHE CHF 14,746,697 0.73 82,834 Vontobel Holding AG CHE CHF 3,124,396 0.16

36,039,969 1.79

Chemicals 249,979 Akzo Nobel NV NLD EUR 17,437,660 0.87 64,600 LyondellBasell Industries NV, A USA USD 5,128,594 0.25

22,566,254 1.12

Commercial Services & Supplies 10,105 The ADT Corp. USA USD 366,104 0.02


Construction & Engineering 458,514 Carillion PLC GBR GBP 2,399,915 0.12

Construction Materials 589,853 CRH PLC IRL EUR 14,203,070 0.70 84,230 HeidelbergCement AG DEU EUR 5,993,815 0.30

20,196,885 1.00

Consumer Finance 169,530 Capital One Financial Corp. USA USD 13,994,701 0.69 3,800 GMAC Capital Trust I, 8.125%, pfd. USA USD 100,244 0.01

14,094,945 0.70

Distributors 548,000 Jardine Cycle & Carriage Ltd. SGP SGD 17,621,377 0.87


Number of shares or



Marketvalue

% ofnet

assets






Diversified Telecommunication Services 797,641 Telefonica SA ESP EUR 11,504,536 0.57 141,899 Verizon Communications Inc. USA USD 6,638,035 0.33 2,236,003 Singapore Telecommunications Ltd. SGP SGD 6,582,436 0.33

24,725,007 1.23

Electric Utilities 1,107,300 Centrais Eletricas Brasileiras SA BRA BRL 2,416,685 0.12 670,400 Centrais Eletricas Brasileiras SA, pfd., B BRA BRL 2,063,545 0.10

4,480,230 0.22

Electrical Equipment 465,850 ABB Ltd. CHE CHF 9,905,521 0.49

Electronic Equipment, Instruments & Component 3,834,000 Digital China Holdings Ltd. CHN HKD 3,560,095 0.18

Energy Equipment & Services 1,025,480 Petrofac Ltd. GBR GBP 11,236,862 0.56 584,360 Noble Corp. PLC USA USD 9,682,845 0.48 153,921 Baker Hughes Inc. USA USD 8,630,350 0.43 124,480 Technip SA FRA EUR 7,442,927 0.37 155,367 Halliburton Co. USA USD 6,110,584 0.30

43,103,568 2.14

Food & Staples Retailing 224,090 Walgreens Boots Alliance Inc. USA USD 17,075,658 0.85 169,790 CVS Health Corp. USA USD 16,352,475 0.81 145,690 Metro AG DEU EUR 4,461,771 0.22

37,889,904 1.88

Health Care Equipment & Supplies 167,180 Medtronic Inc. USA USD 12,070,396 0.60 80,900 Draegerwerk AG & Co. KGAA, pfd. DEU EUR 8,209,950 0.41 342,230 Getinge AB, B SWE SEK 7,801,989 0.38

28,082,335 1.39

Health Care Providers & Services 2,402,700 Shanghai Pharmaceuticals Holding Co. Ltd., H CHN HKD 5,422,688 0.27

Household Durables 5,249,000 Haier Electronics Group Co. Ltd. CHN HKD 12,564,105 0.62 93,960 SEB SA FRA EUR 6,999,992 0.35 2,155,000 Techtronic Industries Co. Ltd. HKG HKD 6,948,071 0.35

26,512,168 1.32

Industrial Conglomerates 102,870 Siemens AG DEU EUR 11,669,315 0.58 978,000 Hutchison Whampoa Ltd. HKG HKD 11,269,650 0.56

22,938,965 1.14

Insurance 697,204 AXA SA FRA EUR 16,201,661 0.80 1,720,483 Aviva PLC GBR GBP 12,992,918 0.65 53,290 Muenchener Rueckversicherungs-Gesellschaft AG DEU EUR 10,687,709 0.53 1,770,200 AIA Group Ltd. HKG HKD 9,816,751 0.49 2,124,000 China Life Insurance Co. Ltd., H CHN HKD 8,299,925 0.41 161,400 NN Group NV NLD EUR 4,852,079 0.24 339,940 UNIQA Insurance Group AG AUT EUR 3,198,893 0.16

66,049,936 3.28

IT Services 15,829,000 Travelsky Technology Ltd., H CHN HKD 17,107,026 0.85 32,010 Accenture PLC, A USA USD 2,858,813 0.14

19,965,839 0.99

Life Sciences Tools & Services 467,530 QIAGEN NV NLD EUR 10,952,170 0.54 66,610 Tecan Group AG CHE CHF 7,570,841 0.38

18,523,011 0.92

Machinery 43,300 Navistar International Corp. USA USD 1,449,684 0.07 4,849 Pentair PLC GBR USD 322,071 0.02

1,771,755 0.09

Number of shares or



Marketvalue

% ofnet

assets






Media 466,090 Comcast Corp., Special A USA USD 26,830,471 1.33 1,131,386 Sky PLC GBR GBP 15,853,786 0.79 897,200 News Corp., A USA USD 14,077,068 0.70

56,761,325 2.82

Metals & Mining 750,517 Mining and Metallurgical Co. Norilsk Nickel OJSC, ADR RUS USD 10,672,352 0.53 288,330 Allegheny Technologies Inc. USA USD 10,025,234 0.50 32,990 POSCO KOR KRW 8,309,634 0.41

29,007,220 1.44

Multi-Utilities 193,620 PG&E Corp. USA USD 10,308,329 0.51 180,210 GDF Suez FRA EUR 4,236,791 0.21

14,545,120 0.72


42,033,618 2.09

Oil, Gas & Consumable Fuels 307,470 Total SA, B FRA EUR 15,819,085 0.78 627,770 Eni SpA ITA EUR 11,021,820 0.55 772,020 Dragon Oil PLC TKM GBP 6,467,993 0.32 627,780 Galp Energia SGPS SA, B PRT EUR 6,404,304 0.32 48,220 Chevron Corp. USA USD 5,409,320 0.27 148,081 Royal Dutch Shell PLC, B GBR GBP 5,154,073 0.25 195,580 Chesapeake Energy Corp. USA USD 3,827,501 0.19

54,104,096 2.68

Pharmaceuticals 388,470 Teva Pharmaceutical Industries Ltd., ADR ISR USD 22,340,910 1.11 160,370 Sanofi FRA EUR 14,681,649 0.73 184,440 UCB SA BEL EUR 14,104,495 0.70 95,090 Bayer AG DEU EUR 13,001,655 0.65 43,960 Roche Holding AG CHE CHF 11,934,021 0.59 348,090 Pfizer Inc. USA USD 10,843,004 0.54 504,880 GlaxoSmithKline PLC GBR GBP 10,828,521 0.54 115,800 Novartis AG CHE CHF 10,756,518 0.53 417,430 H. Lundbeck AS DNK DKK 8,328,389 0.41 74,140 Ipsen SA FRA EUR 3,857,504 0.19

120,676,666 5.99

Real Estate Investment Trust (REIT) 5,025,983 Cambridge Industrial Trust SGP SGD 2,579,762 0.13

Real Estate Management & Development 173,000 Cheung Kong (Holdings) Ltd. HKG HKD 2,911,613 0.14

Semiconductors & Semiconductor Equipment 469,470 Applied Materials Inc. USA USD 11,699,192 0.58 816,813 Taiwan Semiconductor Manufacturing Co. Ltd. TWN TWD 3,638,768 0.18

15,337,960 0.76

Software 380,615 Microsoft Corp. USA USD 17,679,567 0.88 76,530 SAP SE DEU EUR 5,394,951 0.27 36,700 Oracle Corp. USA USD 1,650,399 0.08

24,724,917 1.23

Specialty Retail 411,290 Foot Locker Inc. USA USD 23,106,272 1.15 531,900 Best Buy Co. Inc. USA USD 20,733,462 1.03 2,946,090 Kingfisher PLC GBR GBP 15,635,999 0.78 151,570 Abercrombie & Fitch Co., A USA USD 4,340,965 0.21

63,816,698 3.17

Technology Hardware, Storage & Peripherals 23,530 Samsung Electronics Co. Ltd. KOR KRW 28,547,680 1.42 399,810 Hewlett-Packard Co. USA USD 16,044,375 0.80 247,000 CANON Inc. JPN JPY 7,916,574 0.39

52,508,629 2.61

Thrifts & Mortgage Finance 2,523,220 LIC Housing Finance Ltd. IND INR 17,452,588 0.86 826,637 Housing Development Finance Corp. Ltd. IND INR 14,896,121 0.74

32,348,709 1.60

Number of shares or



Marketvalue

% ofnet

assets






Wireless Telecommunication Services 5,083,787 Vodafone Group PLC GBR GBP 17,643,005 0.87 1,223,000 China Mobile Ltd. CHN HKD 14,305,754 0.71 27,804 Mobile TeleSystems, ADR RUS USD 199,633 0.01

32,148,392 1.59

TOTAL SHARES 1,268,121,894 62.94


TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET SHARES Air Freight & Logistics 872,434 Barclays Bank PLC into TNT Express NV, 4.00%, cvt. pfd., Reg S NLD USD 4,992,861 0.25 194 CEVA Holdings LLC, cvt. pfd., A-2 GBR USD 150,505 0.01 90 CEVA Holdings LLC GBR USD 69,525 0.00 3 CEVA Holdings LLC, cvt. pfd., A-1 GBR USD 3,000 0.00

5,215,891 0.26

Biotechnology 169,627 Royal Bank of Canada into Isis Pharmaceuticals Inc., 7.70%,

cvt. pfd., 144A USA USD 8,929,250 0.44

Electronic Equipment, Instruments & Component 324,163 Royal Bank of Canada into Knowles Corp., 3.50%, cvt. pfd., 144A USA USD 7,245,724 0.36

Energy Equipment & Services 88,147 Merrill Lynch International & Co. CV into Halliburton Co., 3.50%,

cvt. pfd., 144A USA USD 3,510,014 0.17

Oil, Gas & Consumable Fuels 174,353 Royal Bank of Canada into Chesapeake Energy Corp., 3.50%,

cvt. pfd., 144A USA USD 3,388,202 0.17

Paper & Forest Products 800 NewPage Holdings Inc. USA USD 72,600 0.00

Software 295,848 Morgan Stanley into Microsoft Corp., 3.40%, cvt. pfd., 144A USA USD 13,835,154 0.69

TOTAL SHARES 42,196,835 2.09

BONDS Corporate Bonds 1,200,000 Cable Communications Systems NV, senior secured note, Reg S,

7.50%, 11/01/20 ROM EUR 1,484,670 0.07 1,300,000 Ardagh Packaging Finance PLC/Ardagh MP Holdings USA Inc.,

senior note, 144A, 6.75%, 01/31/21 LUX USD 1,286,187 0.06 1,200,000 Chesapeake Energy Corp., senior note, 6.625%, 08/15/20 USA USD 1,281,000 0.06 2,040,000 State Export-Import Bank of Ukraine, (BIZ FIN), loan participation,

Reg S, 8.75%, 01/22/18 UKR USD 1,190,850 0.06 1,000,000 CenturyLink Inc., senior bond, 6.75%, 12/01/23 USA USD 1,098,750 0.06 1,100,000 Taylor Morrison Communities Inc./Monarch Communities Inc.,

senior note, 144A, 5.625%, 03/01/24 USA USD 1,067,000 0.05 1,000,000 Gannett Co. Inc., senior bond, 6.375%, 10/15/23 USA USD 1,065,000 0.05 1,000,000 KB Home, senior bond, 7.50%, 09/15/22 USA USD 1,065,000 0.05 900,000 Ally Financial Inc., senior note, 7.50%, 09/15/20 USA USD 1,057,500 0.05 1,000,000 Sirius XM Radio Inc., senior bond, 144A, 6.00%, 07/15/24 USA USD 1,027,500 0.05 1,000,000 DaVita HealthCare Partners Inc., senior bond, 5.125%, 07/15/24 USA USD 1,021,875 0.05 1,000,000 Energy Transfer Equity LP, senior bond, first lien, 5.875%, 01/15/24 USA USD 1,020,000 0.05 900,000 Frontier Communications Corp., senior note, 8.50%, 04/15/20 USA USD 1,008,000 0.05 1,000,000 Equinix Inc., senior bond, 5.375%, 04/01/23 USA USD 1,005,000 0.05 1,000,000 CCO Holdings LLC/CCO Holdings Capital Corp., senior bond,

5.25%, 09/30/22 USA USD 1,001,250 0.05 1,000,000 Citigroup Inc., junior sub. bond, M, 6.30% to 05/15/24,

FRN thereafter, Perpetual USA USD 987,500 0.05 1,100,000 Abengoa Finance SAU, senior note, 144A, 7.75%, 02/01/20 ESP USD 981,750 0.05 1,000,000 BMC Software Finance Inc., senior note, 144A, 8.125%, 07/15/21 USA USD 945,000 0.05 900,000 CIT Group Inc., senior note, 5.00%, 08/15/22 USA USD 928,125 0.05 814,000 First Data Corp., senior note, 10.625%, 06/15/21 USA USD 925,925 0.05 900,000 Grifols Worldwide Operations Ltd., senior note, 144A, 5.25%, 04/01/22 USA USD 922,680 0.05 1,000,000 First Quantum Minerals Ltd., senior note, 144A, 7.00%, 02/15/21 CAN USD 905,000 0.05 900,000 Regency Energy Partners LP/Regency Energy Finance Corp.,

senior note, 5.875%, 03/01/22 USA USD 902,250 0.05 900,000 Sabine Pass Liquefaction LLC, senior secured, first lien, 5.75%, 05/15/24 USA USD 887,625 0.04 800,000 HCA Inc., senior secured note, first lien, 5.875%, 03/15/22 USA USD 878,000 0.04 900,000 Cemex Finance LLC, senior secured note, first lien, 144A, 6.00%, 04/01/24 MEX USD 871,312 0.04


Number of shares or



Marketvalue

% ofnet

assets





Corporate Bonds (continued) 1,100,000 BreitBurn Energy Partners LP/BreitBurn Finance Corp., senior bond,

7.875%, 04/15/22 USA USD 855,250 0.04 900,000 Sprint Nextel Corp., senior note, 6.00%, 11/15/22 USA USD 831,375 0.04 800,000 ArcelorMittal, senior note, 5.50%, 03/01/21 LUX USD 829,092 0.04 800,000 Clear Channel Worldwide Holdings Inc., senior note, 6.50%, 11/15/22 USA USD 828,000 0.04 800,000 Reynolds Group Issuer Inc./LLC/SA, senior note, 8.25%, 02/15/21 USA USD 824,000 0.04 800,000 Navient Corp., senior note, 5.50%, 01/15/19 USA USD 820,000 0.04 800,000 T-Mobile USA Inc., senior bond, 6.375%, 03/01/25 USA USD 814,800 0.04 800,000 Tenet Healthcare Corp., senior note, 144A, 5.00%, 03/01/19 USA USD 803,000 0.04 800,000 Intelsat Jackson Holdings SA, senior bond, 5.50%, 08/01/23 LUX USD 797,500 0.04 700,000 CHS/Community Health Systems Inc., senior note, 5.125%, 08/01/21 USA USD 745,062 0.04 700,000 VPI Escrow Corp., senior note, 144A, 6.375%, 10/15/20 CAN USD 734,125 0.04 1,600,000 Edcon Holdings Pty. Ltd., senior secured note, Reg S, 13.375%, 06/30/19 ZAF EUR 726,000 0.04 700,000 JBS Investments GmbH, senior note, 144A, 7.25%, 04/03/24 BRA USD 694,313 0.04 700,000 iHeartCommunications Inc., senior secured bond, first lien,

9.00%, 03/01/21 USA USD 688,625 0.03 700,000 Wind Acquisition Finance SA, senior note, second lien, 144A,

7.375%, 04/23/21 ITA USD 661,500 0.03 630,000 CHC Helicopter SA, senior secured note, first lien, 9.25%, 10/15/20 CAN USD 614,250 0.03 800,000 Ocean Rig UDW Inc., senior note, 144A, 7.25%, 04/01/19 USA USD 565,500 0.03 472,000 Calpine Corp., senior secured bond, 144A, 7.875%, 01/15/23 USA USD 522,740 0.03 500,000 Calpine Corp., senior bond, 5.75%, 01/15/25 USA USD 506,875 0.03 400,000 Sprint Nextel Corp., senior note, 144A, 9.00%, 11/15/18 USA USD 455,960 0.02 600,000 Quicksilver Resources Inc., secured note, second lien, 144A, FRN,

7.00%, 06/21/19 † USA USD 448,500 0.02 400,000 MGM Resorts International, senior note, 7.75%, 03/15/22 USA USD 444,000 0.02 400,000 Enterprise Products Operating LLC, junior sub. note, 7.034% to 01/15/18,

FRN thereafter, 01/15/68 USA USD 439,051 0.02 400,000 Intelsat Jackson Holdings SA, senior note, 7.50%, 04/01/21 LUX USD 429,500 0.02 600,000 Texas Competitive Electric Holdings Co. LLC/Texas Competitive


400,000 HCA Inc., senior note, 6.50%, 02/15/16 USA USD 418,500 0.02 400,000 CHS/Community Health Systems Inc., senior secured note, first lien,

5.125%, 08/15/18 USA USD 415,000 0.02 400,000 iHeartCommunications Inc., senior secured note, first lien, 144A,

9.00%, 09/15/22 USA USD 393,000 0.02 900,000 Samson Investment Co., senior note, 9.75%, 02/15/20 USA USD 377,438 0.02 400,000 Peabody Energy Corp., senior note, 6.25%, 11/15/21 USA USD 343,500 0.02 400,000 Linn Energy LLC/Finance Corp., senior note, 7.75%, 02/01/21 USA USD 339,000 0.02 300,000 Navient Corp., senior note, 8.45%, 06/15/18 USA USD 335,250 0.02 4,000,000 General Electric Capital Corp., senior note, A, 8.50%, 04/06/18 USA MXN 300,590 0.02 300,000 FMG Resources (August 2006) Pty. Ltd., senior note, 144A,

6.875%, 04/01/22 AUS USD 250,875 0.01 200,000 Ford Motor Credit Co. LLC, senior note, 8.125%, 01/15/20 USA USD 247,996 0.01 300,000 Linn Energy LLC/Finance Corp., senior note, 6.50%, 09/15/21 USA USD 244,500 0.01 266,667 FMG Resources (August 2006) Pty. Ltd., senior note, 144A,

6.875%, 02/01/18 AUS USD 243,500 0.01 200,000 Tenet Healthcare Corp., senior note, 8.125%, 04/01/22 USA USD 224,000 0.01 200,000 Valeant Pharmaceuticals International Inc., senior note, 144A,

7.50%, 07/15/21 USA USD 216,750 0.01 200,000 Clear Channel Worldwide Holdings Inc., senior sub. note,

7.625%, 03/15/20 USA USD 211,500 0.01 200,000 Digicel Group Ltd., senior note, 144A, 8.25%, 09/30/20 BMU USD 195,750 0.01 200,000 Digicel Group Ltd., senior note, 144A, 6.00%, 04/15/21 BMU USD 190,125 0.01

48,268,541 2.40

Government and Municipal Bonds 20,390,000 Government of Serbia, Reg S, 7.25%, 09/28/21 SER USD 22,920,909 1.14 2,843,190 Government of Mexico, 7.25%, 12/15/16 MEX MXN 20,593,846 1.02 59,350 Letra Tesouro Nacional, Strip, 01/01/16 BRA BRL 19,780,713 0.98 62,700,000 Government of Malaysia, senior note, 3.172%, 07/15/16 MYS MYR 17,833,591 0.89 16,600,000 Government of Sri Lanka, senior note, Reg S, 6.25%, 07/27/21 LKA USD 17,360,446 0.86 948,400,000 Government of India, senior note, 8.83%, 11/25/23 IND INR 15,837,234 0.79 12,820,000 Government of Portugal, Reg S, 5.125%, 10/15/24 PRT USD 13,517,408 0.67 1,470,160 Government of Mexico, 6.25%, 06/16/16 MEX MXN 10,353,133 0.51 2,307,820,000 Government of Hungary, 5.50%, 12/22/16 HUN HUF 9,432,873 0.47 10,460,000 Government of Ecuador, senior note, Reg S, 7.95%, 06/20/24 ECU USD 8,995,600 0.45 7,240,000 Government of Slovenia, senior note, Reg S, 5.85%, 05/10/23 SVN USD 8,274,306 0.41 1,878,070,000 Government of Hungary, 6.50%, 06/24/19 HUN HUF 8,171,342 0.41 1,812,350,000 Government of Hungary, B, 5.50%, 06/24/25 HUN HUF 8,051,925 0.40 8,549 Nota Do Tesouro Nacional, Index Linked, 6.00%, 05/15/23 BRA BRL 8,018,211 0.40 12,225,000 Government of Ukraine, senior note, Reg S, 7.80%, 11/28/22 UKR USD 7,305,843 0.36 1,767,000,000 Government of Hungary, 5.50%, 02/12/16 HUN HUF 7,047,822 0.35 11,400,000 Government of Ukraine, senior note, Reg S, 7.50%, 04/17/23 UKR USD 6,720,642 0.33 7,060 Nota Do Tesouro Nacional, Index Linked, 6.00%, 08/15/22 BRA BRL 6,631,927 0.33 392,600,000 Government of India, senior bond, 8.60%, 06/02/28 IND INR 6,577,412 0.33 6,410 Nota Do Tesouro Nacional, Index Linked, 6.00%, 05/15/19 BRA BRL 6,017,056 0.30


Number of shares or



Marketvalue

% ofnet

assets





Government and Municipal Bonds (continued) 378,600,000 Government of India, senior bond, 7.80%, 05/03/20 IND INR 5,949,879 0.30 15,470 Nota Do Tesouro Nacional, 10.00%, 01/01/17 BRA BRL 5,545,540 0.28 4,680,000 Government of Kenya, senior note, Reg S, 6.875%, 06/24/24 KEN USD 4,972,757 0.25 14,180,000 Government of Ghana, 23.00%, 08/21/17 GHA GHS 4,600,264 0.23 284,300,000 Government of India, senior note, 8.12%, 12/10/20 IND INR 4,532,699 0.23 2,607,000 Government of Ireland, 5.00%, 10/18/20 IRL EUR 3,950,106 0.20 381,270,000 Serbia Treasury Note, 10.00%, 07/10/17 SER RSD 3,815,664 0.19 805,370,000 Government of Hungary, A, 6.75%, 11/24/17 HUN HUF 3,445,037 0.17 11,389,000 Government of Poland, FRN, 2.69%, 01/25/17 † POL PLN 3,218,926 0.16 11,554,000 Government of Poland, FRN, 2.69%, 01/25/21 † POL PLN 3,214,875 0.16 3,375 Nota Do Tesouro Nacional, Index Linked, 6.00%, 05/15/45 BRA BRL 3,125,914 0.16 3,330,000,000 Korea Treasury Bond, senior note, 3.00%, 12/10/16 KOR KRW 3,096,852 0.15 613,450,000 Government of Hungary, A, 7.00%, 06/24/22 HUN HUF 2,883,998 0.14 9,710 Letra Tesouro Nacional, Strip, 01/01/17 BRA BRL 2,867,150 0.14 2,300,000 Government of Hungary, 5.375%, 02/21/23 HUN USD 2,496,708 0.12 591,390,000 Government of Hungary, A, 5.50%, 12/20/18 HUN HUF 2,479,823 0.12 8,140,000 Government of Poland, 4.75%, 10/25/16 POL PLN 2,420,076 0.12 2,464,000,000 Korea Monetary Stabilization Bond, senior note, 2.46%, 08/02/16 KOR KRW 2,265,677 0.11 1,760,000 Government of Montenegro, Reg S, 5.375%, 05/20/19 MNE EUR 2,240,723 0.11 2,122,700,000 Korea Monetary Stabilization Bond, senior note, 2.22%, 10/02/16 KOR KRW 1,945,286 0.10 114,400,000 Government of India, senior bond, 8.28%, 09/21/27 IND INR 1,855,454 0.09 400,200,000 Government of Hungary, A, 6.00%, 11/24/23 HUN HUF 1,819,841 0.09 111,700,000 Government of India, senior note, 8.35%, 05/14/22 IND INR 1,806,338 0.09 1,630,000 Government of Zambia, senior note, Reg S, 8.50%, 04/14/24 ZMB USD 1,792,340 0.09 5,260 Nota Do Tesouro Nacional, 10.00%, 01/01/23 BRA BRL 1,754,949 0.09 1,808,500,000 Korea Monetary Stabilization Bond, senior note, 2.79%, 06/02/16 KOR KRW 1,669,762 0.08 2,600,000 Government of Ukraine, Reg S, 9.25%, 07/24/17 UKR USD 1,601,275 0.08 3,778,000 Government of Peru, senior bond, 7.84%, 08/12/20 PER PEN 1,449,015 0.07 4,100 Nota Do Tesouro Nacional, senior note, 10.00%, 01/01/19 BRA BRL 1,420,843 0.07 5,280 Letra Tesouro Nacional, Strip, 01/01/18 BRA BRL 1,387,217 0.07 1,250,000 Government of Hungary, 4.125%, 02/19/18 HUN USD 1,298,406 0.06 1,351,300,000 Korea Treasury Bond, senior note, 2.75%, 06/10/16 KOR KRW 1,246,923 0.06 728,600 Government of Portugal, senior note, Reg S, 5.65%, 02/15/24 PRT EUR 1,091,895 0.05 70,200,000 Government of India, senior note, 7.16%, 05/20/23 IND INR 1,056,319 0.05 3,340 Letra Tesouro Nacional, Strip, 10/01/16 BRA BRL 1,014,571 0.05 23,626,397 Government of Uruguay, senior bond, Index Linked, 4.375%, 12/15/28 URY UYU 979,079 0.05 21,410,000 Uruguay Notas del Tesoro, 9.50%, 01/27/16 URY UYU 880,121 0.04 2,700,000 Government of Malaysia, senior bond, 4.262%, 09/15/16 MYS MYR 780,927 0.04 830 Nota Do Tesouro Nacional, Index Linked, 6.00%, 08/15/20 BRA BRL 778,524 0.04 800,000 Government of Ghana, Reg S, 7.875%, 08/07/23 GHA USD 743,684 0.04 93,600,000 Government of Sri Lanka, C, 8.50%, 04/01/18 LKA LKR 742,700 0.04 83,100,000 Government of Sri Lanka, A, 9.00%, 05/01/21 LKA LKR 676,030 0.03 712,060,000 Korea Monetary Stabilization Bond, senior note, 2.80%, 04/02/16 KOR KRW 656,802 0.03 1,920 Nota Do Tesouro Nacional, 10.00%, 01/01/21 BRA BRL 651,992 0.03 131,270,000 Government of Hungary, 7.50%, 11/12/20 HUN HUF 611,335 0.03 2,035,000 Government of Poland, 5.00%, 04/25/16 POL PLN 598,486 0.03 580 Nota Do Tesouro Nacional, Index Linked, 6.00%, 08/15/18 BRA BRL 544,433 0.03 1,810,000 Government of Poland, Strip, 01/25/16 POL PLN 501,862 0.03 124,500,000 Government of Hungary, 4.00%, 04/25/18 HUN HUF 494,723 0.03 1,580,000 Government of Ghana, 19.24%, 05/30/16 GHA GHS 472,184 0.02 1,560,000 Government of Ghana, 16.90%, 03/07/16 GHA GHS 458,096 0.02 400,000 Government of Slovenia, senior note, Reg S, 5.50%, 10/26/22 SVN USD 444,562 0.02 291,700 Government of Portugal, senior bond, Reg S, 4.95%, 10/25/23 PRT EUR 418,727 0.02 1,210,000 Government of Ghana, 19.04%, 09/24/18 GHA GHS 353,462 0.02 1,060 Letra Tesouro Nacional, Strip, 07/01/16 BRA BRL 332,325 0.02 13,370,000 Government of the Philippines, senior note, 1.625%, 04/25/16 PHL PHP 295,674 0.02 6,540,323 Government of Uruguay, Index Linked, 4.25%, 04/05/27 URY UYU 271,404 0.01 790,000 Government of Ghana, 26.00%, 06/05/17 GHA GHS 269,451 0.01 148,970 Government of Ireland, senior bond, 5.40%, 03/13/25 IRL EUR 248,550 0.01 400,000 Government of Ukraine, Reg S, 7.75%, 09/23/20 UKR USD 243,712 0.01 14,700,000 Government of India, senior note, 7.28%, 06/03/19 IND INR 227,306 0.01 5,274,496 Uruguay Notas del Tesoro, 14, Index Linked, 4.00%, 06/10/20 URY UYU 216,744 0.01 5,020,785 Government of Uruguay, senior bond, Index Linked, 5.00%, 09/14/18 URY UYU 212,934 0.01 4,444,800 Uruguay Notas del Tesoro, 13, Index Linked, 4.00%, 05/25/25 URY UYU 179,754 0.01 2,910,000 Uruguay Treasury Bill, Strip, 11/03/16 URY UYU 95,245 0.01 87,300,000 Korea Monetary Stabilization Bond, senior note, 2.07%, 12/02/16 KOR KRW 79,793 0.00 1,777,920 Uruguay Notas del Tesoro, 18, Index Linked, 2.25%, 08/23/17 URY UYU 69,147 0.00 1,794,173 Government of Uruguay, senior bond, Index Linked, 3.70%, 06/26/37 URY UYU 66,574 0.00 1,000,000 Uruguay Treasury Bill, Strip, 04/21/16 URY UYU 34,808 0.00 1,030,000 Uruguay Treasury Bill, Strip, 09/15/16 URY UYU 34,239 0.00 3,010,000 Serbia Treasury Bond, 10.00%, 06/27/16 SER RSD 30,416 0.00 25,000 Government of El Salvador, senior bond, Reg S, 7.65%, 06/15/35 SVC USD 26,886 0.00 490,244 Government of Uruguay, senior bond, Index Linked, 4.00%, 07/10/30 URY UYU 19,670 0.00 1,200,000 Serbia Treasury Bond, 10.00%, 08/15/16 SER RSD 12,116 0.00 250,000 Uruguay Notas del Tesoro, 11.00%, 03/21/17 URY UYU 9,873 0.00 8,220,000 Korea Monetary Stabilization Bond, senior note, 2.78%, 02/02/16 KOR KRW 7,571 0.00 700,000 Serbia Treasury Note, 10.00%, 12/19/16 SER RSD 7,048 0.00 690,000 Serbia Treasury Note, 10.00%, 10/17/16 SER RSD 6,957 0.00


Number of shares or



Marketvalue

% ofnet

assets





Government and Municipal Bonds (continued) 620,000 Serbia Treasury Bond, 10.00%, 11/21/18 SER RSD 6,092 0.00 20,000 Government of Poland, 4.75%, 04/25/17 POL PLN 6,017 0.00 200,000 Serbia Treasury Note, 10.00%, 01/30/16 SER RSD 2,024 0.00 10,000 Uruguay Treasury Bill, Strip, 07/28/16 URY UYU 337 0.00

335,575,737 16.65

Securities Maturing Within One Year 5,036,280 Government of Mexico, 8.00%, 12/17/15 MEX MXN 35,678,147 1.77 36,664,200,000 Korea Monetary Stabilization Bond, senior note, 2.76%, 06/02/15 KOR KRW 33,616,180 1.67 33,184,000 Government of Malaysia, 4.72%, 09/30/15 MYS MYR 9,583,072 0.48 644,100,000 Serbia Treasury Note, 10.00%, 11/08/15 SER RSD 6,506,161 0.32 6,323,400,000 Korea Monetary Stabilization Bond, senior bond, 2.47%, 04/02/15 KOR KRW 5,787,233 0.29 150,148,000 Uruguay Treasury Bill, Strip, 08/20/15 URY UYU 5,672,136 0.28 731,530 Government of Mexico, 6.00%, 06/18/15 MEX MXN 5,026,379 0.25 4,002,500,000 Korea Monetary Stabilization Bond, senior note, 2.90%, 12/02/15 KOR KRW 3,686,606 0.18 3,467,050,000 Korea Treasury Bond, senior note, 2.75%, 12/10/15 KOR KRW 3,189,873 0.16 7,540,000 Bank of Negara Monetary Note, 0.00%, 05/28/15 MYS MYR 2,127,718 0.11 2,294,700,000 Korea Monetary Stabilization Bond, senior note, 2.74%, 02/02/15 KOR KRW 2,099,066 0.10 6,960,000 Bank of Negara Monetary Note, 0.00%, 08/11/15 MYS MYR 1,950,791 0.10 6,830,000 Bank of Negara Monetary Note, 0.00%, 01/20/15 MYS MYR 1,950,198 0.10 2,656,880 Mexico Treasury Bill, 0.00%, 04/01/15 MEX MXN 1,788,700 0.09 2,320,000 Monetary Authority of Singapore Treasury Bill, 0.00%, 02/13/15 SGP SGD 1,749,947 0.09 5,719,000 Government of Poland, 5.50%, 04/25/15 POL PLN 1,635,442 0.08 4,950,000 Bank of Negara Monetary Note, 0.00%, 01/08/15 MYS MYR 1,414,937 0.07 10,640,000 Government of Sweden, 4.50%, 08/12/15 SWE SEK 1,400,433 0.07 4,880,000 Bank of Negara Monetary Note, 0.00%, 02/17/15 MYS MYR 1,389,820 0.07 4,860,000 Bank of Negara Monetary Note, 0.00%, 04/23/15 MYS MYR 1,375,839 0.07 4,670,000 Government of Malaysia, 3.835%, 08/12/15 MYS MYR 1,339,495 0.07 4,470,000 Government of Poland, 6.25%, 10/24/15 POL PLN 1,307,836 0.07 3,510 Letra Tesouro Nacional, Strip, 10/01/15 BRA BRL 1,207,054 0.06 3,440,000 Bank of Negara Monetary Note, 0.00%, 01/22/15 MYS MYR 982,050 0.05 3,360,000 Bank of Negara Monetary Note, 0.00%, 03/03/15 MYS MYR 955,704 0.05 1,440,630 Mexico Treasury Bill, 0.00%, 09/17/15 MEX MXN 954,737 0.05 21,990,000 Uruguay Notas del Tesoro, 10.25%, 08/22/15 URY UYU 895,374 0.04 22,200,000 Uruguay Treasury Bill, Strip, 05/14/15 URY UYU 870,592 0.04 87,160,000 Serbia Treasury Bill, 0.00%, 07/24/15 SER RSD 830,982 0.04 2,750,000 Bank of Negara Monetary Note, 0.00%, 06/04/15 MYS MYR 775,521 0.04 1,045,070 Mexico Treasury Bill, 0.00%, 07/23/15 MEX MXN 696,347 0.04 2,380,000 Bank of Negara Monetary Note, 0.00%, 02/10/15 MYS MYR 678,264 0.03 2,109,000 Government of Ghana, 21.00%, 10/26/15 GHA GHS 647,284 0.03 696,600,000 Korea Treasury Bond, senior note, 3.25%, 06/10/15 KOR KRW 640,103 0.03 920,080 Mexico Treasury Bill, 0.00%, 03/12/15 MEX MXN 620,302 0.03 927,300 Mexico Treasury Bill, 0.00%, 06/11/15 MEX MXN 620,265 0.03 810,000 Monetary Authority of Singapore Treasury Bill, 0.00%, 01/02/15 SGP SGD 611,413 0.03 1,945,000 Government of Ghana, 24.00%, 05/25/15 GHA GHS 609,985 0.03 860,450 Mexico Treasury Bill, 0.00%, 11/12/15 MEX MXN 567,351 0.03 829,880 Mexico Treasury Bill, Strip, 05/28/15 MEX MXN 556,058 0.03 1,940,000 Bank of Negara Monetary Note, 0.00%, 07/16/15 MYS MYR 544,909 0.03 803,630 Mexico Treasury Bill, 0.00%, 04/16/15 MEX MXN 540,159 0.03 1,830,000 Government of Malaysia, 3.197%, 10/15/15 MYS MYR 522,590 0.03 4,650,000,000 Government of Indonesia, FR27, 9.50%, 06/15/15 IDN IDR 380,388 0.02 480,000 Monetary Authority of Singapore Treasury Bill, 0.00%, 02/23/15 SGP SGD 361,986 0.02 459,220 Mexico Treasury Bill, 0.00%, 10/01/15 MEX MXN 303,993 0.02 1,010,000 Bank of Negara Monetary Note, 0.00%, 05/19/15 MYS MYR 285,250 0.01 7,140,000 Uruguay Treasury Bill, 0.00%, 05/04/15 URY UYU 280,564 0.01 940,000 Bank of Negara Monetary Note, 0.00%, 05/05/15 MYS MYR 265,816 0.01 725,000 Government of Peru, 9.91%, 05/05/15 PER PEN 248,023 0.01 368,750 Mexico Treasury Bill, 0.00%, 06/25/15 MEX MXN 246,354 0.01 860,000 Bank of Negara Monetary Note, 0.00%, 03/05/15 MYS MYR 244,571 0.01 10,020,000 Philippine Treasury Bill, 0.00%, 10/07/15 PHL PHP 220,480 0.01 200,000 Ford Motor Credit Co. LLC, senior note, 7.00%, 04/15/15 USA USD 203,465 0.01 710,000 Bank of Negara Monetary Note, 0.00%, 04/16/15 MYS MYR 201,127 0.01 680,000 Bank of Negara Monetary Note, 0.00%, 08/18/15 MYS MYR 190,472 0.01 650,000 Bank of Negara Monetary Note, 0.00%, 03/24/15 MYS MYR 184,523 0.01 18,530,000 Serbia Treasury Bill, 0.00%, 06/25/15 SER RSD 177,845 0.01 230,000 Monetary Authority of Singapore Treasury Bill, 0.00%, 01/09/15 SGP SGD 173,590 0.01 7,740,000 Philippine Treasury Bill, 0.00%, 12/02/15 PHL PHP 169,810 0.01 3,472,000 Uruguay Treasury Bill, Strip, 03/26/15 URY UYU 138,572 0.01 464,000 Government of Poland, Strip, 07/25/15 POL PLN 129,886 0.01 4,090,000 Philippine Treasury Bill, 0.00%, 06/03/15 PHL PHP 90,605 0.00 270,000 Bank of Negara Monetary Note, 0.00%, 06/16/15 MYS MYR 76,058 0.00 3,120,000 Philippine Treasury Bill, 0.00%, 11/04/15 PHL PHP 68,551 0.00 2,690,000 Philippine Treasury Bill, 0.00%, 05/06/15 PHL PHP 59,682 0.00 1,260,000 Uruguay Treasury Bill, Strip, 11/26/15 URY UYU 46,043 0.00 160,000 Bank of Negara Monetary Note, 0.00%, 06/30/15 MYS MYR 45,008 0.00 1,105,274 Government of Uruguay, Index Linked, zero cpn., 03/26/15 URY UYU 44,997 0.00 1,140,000 Uruguay Treasury Bill, Strip, 07/02/15 URY UYU 43,779 0.00 150,000 Bank of Negara Monetary Note, 0.00%, 04/28/15 MYS MYR 42,445 0.00


Number of shares or



Marketvalue

% ofnet

assets





Securities Maturing Within One Year (continued) 120,000 Bank of Negara Monetary Note, 0.00%, 09/08/15 MYS MYR 33,547 0.00 110,000 Bank of Negara Monetary Note, 0.00%, 06/03/15 MYS MYR 31,024 0.00 90,000 Government of Malaysia, 3.741%, 02/27/15 MYS MYR 25,757 0.00 14,200,000 Korea Monetary Stabilization Bond, senior note, 2.66%, 06/09/15 KOR KRW 13,015 0.00 320,000 Uruguay Treasury Bill, 0.00%, 10/23/15 URY UYU 11,818 0.00 11,040,000 Korea Monetary Stabilization Bond, senior bond, 2.80%, 08/02/15 KOR KRW 10,136 0.00 30,000 Bank of Negara Monetary Note, 0.00%, 10/01/15 MYS MYR 8,363 0.00 360,000 Philippine Treasury Bill, 0.00%, 07/08/15 PHL PHP 7,960 0.00 1,000,000 Korea Monetary Stabilization Bond, senior bond, 2.81%, 10/02/15 KOR KRW 919 0.00

150,669,475 7.48

TOTAL BONDS 534,513,753 26.53



SHARES Biotechnology 129,251 The Goldman Sachs Group Inc. into Gilead Sciences Inc., 3.50%,

cvt. pfd., 144A USA USD 11,927,967 0.59

TOTAL SHARES 11,927,967 0.59


Government and Municipal Bonds 280,000 Government of Ukraine, 144A, 9.25%, 07/24/17 UKR USD 172,445 0.01

Securities Maturing Within One Year 200,000 Fontainebleau Las Vegas, senior secured note, first lien, 144A,

11.00%, 06/15/15 * USA USD 2,500 0.00




† Floating Rates are indicated as at December 31, 2014 * These Corporate Bonds are currently in default ** These securities are submitted to a Fair Valuation


Number of shares or



Marketvalue

% ofnet

assets





— Templeton Global Smaller Companies Fund —

TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Air Freight & Logistics 77,630 CTT-Correios de Portugal SA PRT EUR 753,055 0.52 5,350 Panalpina Welttransport Holding AG CHE CHF 718,392 0.49

1,471,447 1.01

Auto Components 1,028,000 Minth Group Ltd. CHN HKD 2,134,499 1.46 20,990 Leoni AG DEU EUR 1,254,529 0.85 16,290 Drew Industries Inc. USA USD 831,931 0.57 54,600 Keihin Corp. JPN JPY 817,918 0.56

5,038,877 3.44

Automobiles 23,696 Thor Industries Inc. USA USD 1,323,895 0.90

Banks 132,800 FirstMerit Corp. USA USD 2,508,592 1.71 161,928 BS Financial Group Inc. KOR KRW 2,146,683 1.47 531,300 Tisco Financial Group PCL, fgn. THA THB 686,747 0.47 86,040 TSB Banking Group PLC GBR GBP 373,364 0.26

5,715,386 3.91

Biotechnology 7,600 Basilea Pharmaceutica AG CHE CHF 704,426 0.48

Building Products 74,030 Simpson Manufacturing Co. Inc. USA USD 2,561,438 1.75 69,720 Wienerberger AG AUT EUR 965,514 0.66

3,526,952 2.41

Capital Markets 118,039 AllianceBernstein Holding LP USA USD 3,048,947 2.08 173,220 Janus Capital Group Inc. USA USD 2,794,039 1.91 84,340 Investment Technology Group Inc. USA USD 1,755,959 1.20 143,600 Canaccord Genuity Group Inc. CAN CAD 965,783 0.66 918,300 Value Partners Group Ltd. HKG HKD 772,163 0.53 27,889 Azimut Holding SpA ITA EUR 608,435 0.42

9,945,326 6.80

Chemicals 30,050 Chemtura Corp. USA USD 743,136 0.51 953,500 Yingde Gases Group Co. Ltd. CHN HKD 671,414 0.46 28,010 Rayonier Advanced Materials Inc. USA USD 624,623 0.42

2,039,173 1.39

Commercial Services & Supplies 136,290 HomeServe PLC GBR GBP 715,057 0.49

Communications Equipment 148,720 Brocade Communications Systems Inc. USA USD 1,760,845 1.20

Construction & Engineering 81,270 Tutor Perini Corp. USA USD 1,956,169 1.34 48,487 Arcadis NV NLD EUR 1,462,625 1.00 29,200 Badger Daylighting Inc. CAN CAD 665,093 0.45

4,083,887 2.79

Consumer Finance 63,820 Green Dot Corp. USA USD 1,307,672 0.89 33,990 Cash America International Inc. USA USD 768,854 0.53

2,076,526 1.42

Containers & Packaging 59,710 Huhtamaki OYJ FIN EUR 1,577,920 1.08

Diversified Consumer Services 40,269 Steiner Leisure Ltd. BHS USD 1,860,831 1.27 50,698 Dignity PLC GBR GBP 1,508,548 1.03

3,369,379 2.30

Diversified Financial Services 3,644,400 True Telecommunication Growth Infrastructure Fund THA THB 1,185,982 0.81

Number of shares or



Marketvalue

% ofnet

assets





Electronic Equipment, Instruments & Components 318,599 Laird PLC GBR GBP 1,544,427 1.05 58,140 Knowles Corp. USA USD 1,369,197 0.94 140,828 TTM Technologies Inc. USA USD 1,060,435 0.72 482,000 Tripod Technology Corp. TWN TWD 945,695 0.65

4,919,754 3.36

Energy Equipment & Services 51,730 GulfMark Offshore Inc., A USA USD 1,263,247 0.86 37,800 Mullen Group Ltd. CAN CAD 693,664 0.48 14,124 Tecnicas Reunidas SA ESP EUR 620,197 0.43 629,720 Ezion Holdings Ltd. SGP SGD 532,372 0.36 30,400 Ensign Energy Services Inc. CAN CAD 267,023 0.18

3,376,503 2.31

Food & Staples Retailing 115,850 SpartanNash Co. USA USD 3,028,319 2.07 51,219 Marr SpA ITA EUR 912,272 0.62 10,190 X5 Retail Group NV, GDR, Reg S RUS USD 124,318 0.09

4,064,909 2.78

Food Products 194,390 Devro PLC GBR GBP 924,137 0.63

Gas Utilities 165,927 Aygaz AS TUR TRY 698,917 0.48

Health Care Equipment & Supplies 671,445 Sorin SpA ITA EUR 1,564,776 1.07 8,400 Draegerwerk AG & Co. KGAA, pfd. DEU EUR 852,454 0.58

2,417,230 1.65

Health Care Providers & Services 89,913 Amplifon SpA ITA EUR 533,529 0.36

Hotels, Restaurants & Leisure 48,151 Melia Hotels International SA ESP EUR 516,208 0.35

Household Durables 939,000 Techtronic Industries Co. Ltd. HKG HKD 3,027,489 2.07 155,782 Iida Group Holdings Co. Ltd. JPN JPY 1,921,517 1.31 551,000 Haier Electronics Group Co. Ltd. CHN HKD 1,318,884 0.90 25,300 Bellway PLC GBR GBP 764,647 0.52 49,170 Bovis Homes Group PLC GBR GBP 677,892 0.47

7,710,429 5.27

Leisure Products 116,520 Amer Sports OYJ FIN EUR 2,264,287 1.55 289,750 LeapFrog Enterprises Inc. USA USD 1,367,620 0.93 169,060 JAKKS Pacific Inc. USA USD 1,149,608 0.79 76,603 Callaway Golf Co. USA USD 589,843 0.40

5,371,358 3.67

Life Sciences Tools & Services 40,290 Gerresheimer AG DEU EUR 2,191,353 1.50 4,650 Tecan Group AG CHE CHF 528,515 0.36

2,719,868 1.86

Machinery 83,990 Hillenbrand Inc. USA USD 2,897,655 1.98 81,280 Aalberts Industries NV NLD EUR 2,412,988 1.65 58,145 DMG MORI SEIKI AG DEU EUR 1,653,353 1.13 22,580 Hyster-Yale Materials Handling Inc. USA USD 1,652,856 1.13 3,251 Construcciones y Auxiliar de Ferrocarriles SA ESP EUR 1,189,357 0.81 23,766 Turk Traktor ve Ziraat Makineleri AS TUR TRY 782,627 0.54

10,588,836 7.24

Media 123,390 UBM PLC GBR GBP 929,137 0.63 27,800 Ipsos FRA EUR 797,725 0.55

1,726,862 1.18

Metals & Mining 162,620 Stillwater Mining Co. USA USD 2,397,019 1.64 245,890 HudBay Minerals Inc. CAN CAD 2,142,869 1.46

4,539,888 3.10


Number of shares or



Marketvalue

% ofnet

assets





Oil, Gas & Consumable Fuels 1,578,000 NewOcean Energy Holdings Ltd. HKG HKD 606,457 0.41 146,350 Swift Energy Co. USA USD 592,718 0.41

1,199,175 0.82

Personal Products 52,111 Kobayashi Pharmaceutical Co. Ltd. JPN JPY 3,061,643 2.09 63,490 Ontex Group NV BEL EUR 1,821,855 1.25 30,680 Oriflame Cosmetics SA, SDR SWE SEK 426,816 0.29

5,310,314 3.63

Pharmaceuticals 81,800 Tsumura & Co. JPN JPY 1,827,487 1.25 430,240 Vectura Group PLC GBR GBP 863,417 0.59 41,430 Orexo AB SWE SEK 719,796 0.49 395,000 China Medical System Holdings Ltd. CHN HKD 648,998 0.44

4,059,698 2.77

Professional Services 105,816 Heidrick & Struggles International Inc. USA USD 2,439,059 1.67

Real Estate Investment Trust (REIT) 42,200 Education Realty Trust Inc. USA USD 1,544,098 1.06

Real Estate Management & Development 91,180 Grand City Properties SA DEU EUR 1,342,690 0.92 4,231,450 Vista Land & Lifescapes Inc. PHL PHP 680,282 0.46

2,022,972 1.38

Road & Rail 58,470 ArcBest Corp. USA USD 2,711,254 1.85

Software 156,640 Glu Mobile Inc. USA USD 610,896 0.42 39,200 Capcom Co. Ltd. JPN JPY 594,093 0.40

1,204,989 0.82

Specialty Retail 53,890 Hibbett Sports Inc. USA USD 2,609,892 1.79 390,000 Luk Fook Holdings (International) Ltd. HKG HKD 1,466,156 1.00 34,380 The Finish Line Inc., A USA USD 835,778 0.57 19,188 West Marine Inc. USA USD 247,909 0.17

5,159,735 3.53

Technology Hardware, Storage & Peripherals 18,056 Sindoh Co. Ltd. KOR KRW 1,119,255 0.76

Textiles, Apparel & Luxury Goods 118,000 Asics Corp. JPN JPY 2,850,908 1.95 60,350 Columbia Sportswear Co. USA USD 2,687,989 1.84 580,500 Samsonite International SA HKG HKD 1,721,897 1.17 10,260 Deckers Outdoor Corp. USA USD 934,070 0.64

8,194,864 5.60

Thrifts & Mortgage Finance 216,757 LIC Housing Finance Ltd. IND INR 1,499,263 1.03 22,700 Genworth MI Canada Inc. CAN CAD 722,881 0.49

2,222,144 1.52

Trading Companies & Distributors 83,210 Kloeckner & Co. SE DEU EUR 902,432 0.61 273,580 SIG PLC GBR GBP 743,266 0.51

1,645,698 1.12

Water Utilities 92,300 Companhia de Saneamento de Minas Gerais BRA BRL 874,549 0.60

TOTAL SHARES 134,351,310 91.80

INVESTMENTS FUNDS Diversified Financial Services 22,300 iShares Russell 2000 Value ETF USA USD 2,267,464 1.55 14,800 iShares Russell 2000 ETF USA USD 1,771,116 1.21

4,038,580 2.76




Number of shares or



Marketvalue

% ofnet

assets







SHARES Metals & Mining 896,000 Sakari Resources Ltd. ** IDN SGD 1,133,665 0.77

Real Estate Management & Development 172 D Carnegie & Co. AB ** SWE SEK 0 0.00





Number of shares or



Marketvalue

% ofnet

assets





— Templeton Global Total Return Fund —

TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Consumer Finance 230,800 GMAC Capital Trust I, 8.125%, pfd. USA USD 6,088,504 0.02



TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET SHARES Air Freight & Logistics 203 CEVA Holdings LLC, cvt. pfd., A-1 GBR USD 203,000 0.00 11,264 CEVA Holdings LLC, cvt. pfd., A-2 GBR USD 8,729,437 0.03 5,203 CEVA Holdings LLC GBR USD 4,032,581 0.01

12,965,018 0.04

Diversified Telecommunication Services 679 Centaur Funding Corp., 9.08%, pfd., 144A CYM USD 850,448 0.00

Paper & Forest Products 30,000 NewPage Holdings Inc. USA USD 2,722,500 0.01

TOTAL SHARES 16,537,966 0.05

BONDS Asset-Backed Securities 820,000 Government of Ivory Coast, Reg S, 5.75%, 12/31/32 CI USD 790,087 0.00 753,093 Peru Enhanced Pass-Through Finance Ltd., senior secured bond, A-1,

Reg S, zero cpn., 05/31/18 PER USD 713,965 0.00

1,504,052 0.00

Corporate Bonds 225,640,000 Alfa Bond Issuance PLC, (Alfa Bank OJSC), loan participation, senior

note, Reg S, 7.75%, 04/28/21 RUS USD 199,409,350 0.58 118,380,000 Alfa Bond Issuance PLC, (Alfa Bank OJSC), loan participation, senior

note, Reg S, 7.875%, 09/25/17 RUS USD 111,573,150 0.32 989,000,000 General Electric Capital Corp., senior note, A, 8.50%, 04/06/18 USA MXN 74,320,875 0.22 59,400,000 Crown Castle International Corp., senior bond, 5.25%, 01/15/23 USA USD 60,885,000 0.18 56,500,000 Chesapeake Energy Corp., senior note, 6.625%, 08/15/20 USA USD 60,313,750 0.18 74,720,000 Edcon Pty. Ltd., senior secured note, first lien, Reg S, 9.50%, 03/01/18 ZAF USD 60,149,600 0.17 55,215,000 CHC Helicopter SA, senior secured note, first lien, 9.25%, 10/15/20 CAN USD 53,834,625 0.16 43,300,000 HCA Inc., senior secured note, first lien, 5.875%, 03/15/22 USA USD 47,521,750 0.14 46,100,000 Sirius XM Radio Inc., senior bond, 144A, 6.00%, 07/15/24 USA USD 47,367,750 0.14 40,690,000 DP World Ltd., Reg S, 6.85%, 07/02/37 ARE USD 46,045,618 0.13 45,800,000 Equinix Inc., senior bond, 5.375%, 04/01/23 USA USD 46,029,000 0.13 43,000,000 The Goodyear Tire & Rubber Co., senior note, 6.50%, 03/01/21 USA USD 45,795,000 0.13 38,000,000 Sprint Nextel Corp., senior note, 144A, 9.00%, 11/15/18 USA USD 43,316,200 0.13 40,500,000 DaVita HealthCare Partners Inc., senior note, 5.75%, 08/15/22 USA USD 43,081,875 0.12 36,000,000 First Data Corp., senior bond, 12.625%, 01/15/21 USA USD 42,840,000 0.12 38,874,000 Bank of America Corp., junior sub. bond, M, 8.125% to 05/15/18, FRN

thereafter, Perpetual USA USD 42,129,697 0.12 40,700,000 CIT Group Inc., senior note, 5.00%, 08/15/22 USA USD 41,971,875 0.12 39,250,000 VPI Escrow Corp., senior note, 144A, 6.375%, 10/15/20 CAN USD 41,163,437 0.12 37,700,000 E*TRADE Financial Corp., senior note, 6.375%, 11/15/19 USA USD 40,150,500 0.12 41,300,000 Cemex Finance LLC, senior secured note, first lien, 144A, 6.00%, 04/01/24 MEX USD 39,983,562 0.12 36,700,000 Intelsat Jackson Holdings SA, senior note, 7.50%, 04/01/21 LUX USD 39,406,625 0.11 38,400,000 Terex Corp., senior note, 6.00%, 05/15/21 USA USD 39,360,000 0.11 36,000,000 Reynolds Group Issuer Inc./LLC/SA, senior note, 9.00%, 04/15/19 USA USD 37,440,000 0.11 37,800,000 Sabine Pass Liquefaction LLC, first lien, 5.625%, 02/01/21 USA USD 37,327,500 0.11 46,200,000 Penn Virginia Corp., senior note, 8.50%, 05/01/20 USA USD 37,191,000 0.11 34,300,000 CCO Holdings LLC/CCO Holdings Capital Corp., senior note, 8.125%,

04/30/20 USA USD 36,186,500 0.10 37,000,000 Wind Acquisition Finance SA, senior note, second lien, 144A, 7.375%,

04/23/21 ITA USD 34,965,000 0.10 34,200,000 Citigroup Inc., junior sub. bond, M, 6.30% to 05/15/24, FRN

thereafter, Perpetual USA USD 33,772,500 0.10 36,926,000 First Quantum Minerals Ltd., senior note, 144A, 6.75%, 02/15/20 CAN USD 33,602,660 0.10 30,000,000 Energy Transfer Equity LP, senior note, first lien, 7.50%, 10/15/20 USA USD 33,450,000 0.10 36,926,000 First Quantum Minerals Ltd., senior note, 144A, 7.00%, 02/15/21 CAN USD 33,418,030 0.10 33,000,000 Abengoa Finance SAU, senior note, 144A, 8.875%, 11/01/17 ESP USD 31,968,750 0.09 30,300,000 Jaguar Holding Co. I, senior note, 144A, PIK, 9.375%, 10/15/17 ‡ USA USD 31,042,350 0.09 30,000,000 Intelsat Jackson Holdings SA, senior bond, 5.50%, 08/01/23 LUX USD 29,906,250 0.09 28,000,000 MGM Resorts International, senior note, 6.625%, 12/15/21 USA USD 29,540,000 0.09 38,275,000 Halcon Resources Corp., senior note, 8.875%, 05/15/21 USA USD 28,993,312 0.08 31,828,000 LUKOIL International Finance BV, Reg S, 6.656%, 06/07/22 RUS USD 28,807,364 0.08

Number of shares or



Marketvalue

% ofnet

assets






Corporate Bonds (continued) 31,820,000 LUKOIL International Finance BV, senior note, Reg S, 6.125%, 11/09/20 RUS USD 28,654,705 0.08 30,000,000 InterGen NV, secured bond, 144A, 7.00%, 06/30/23 NLD USD 28,650,000 0.08 26,550,000 Novelis Inc., senior note, 8.75%, 12/15/20 CAN USD 28,275,750 0.08 27,800,000 PBF Holding Co. LLC, first lien, 8.25%, 02/15/20 USA USD 28,078,000 0.08 26,000,000 First Data Corp., senior secured bond, second lien, 144A, 8.25%, 01/15/21 USA USD 27,950,000 0.08 28,000,000 JPMorgan Chase & Co., junior sub. bond, R, 6.00% to 08/01/23, FRN

thereafter, Perpetual USA USD 27,790,000 0.08 27,000,000 T-Mobile USA Inc., senior bond, 6.375%, 03/01/25 USA USD 27,499,500 0.08 25,500,000 JBS USA LLC/Finance Inc., senior note, 144A, 8.25%, 02/01/20 USA USD 26,966,250 0.08 27,100,000 Navistar International Corp., senior note, 8.25%, 11/01/21 USA USD 26,829,000 0.08 25,000,000 CHS/Community Health Systems Inc., senior note, 7.125%, 07/15/20 USA USD 26,687,500 0.08 16,200,000 New Look Bondco I PLC, secured note, first lien, Reg S, 8.75%, 05/14/18 GBR GBP 26,596,688 0.08 26,000,000 Calpine Corp., senior bond, 5.75%, 01/15/25 USA USD 26,357,500 0.08 25,000,000 Meritor Inc., senior note, 6.75%, 06/15/21 USA USD 26,250,000 0.08 24,500,000 CHS/Community Health Systems Inc., senior note, 8.00%, 11/15/19 USA USD 26,215,000 0.08 27,500,000 Digicel Group Ltd., senior note, 144A, 6.00%, 04/15/21 BMU USD 26,142,187 0.08 30,000,000 Clayton Williams Energy Inc., senior note, 7.75%, 04/01/19 USA USD 25,650,000 0.07 36,400,000 Chaparral Energy Inc., senior note, 8.25%, 09/01/21 USA USD 25,116,000 0.07 24,400,000 Gannett Co. Inc., senior note, 5.125%, 07/15/20 USA USD 25,010,000 0.07 35,000,000 Texas Competitive Electric Holdings Co. LLC/Texas Competitive Electric

Holdings Finance Inc., senior secured note, first lien, 144A, 11.50%, 10/01/20 * USA USD 24,937,500 0.07

20,000,000 Kerling PLC, senior secured note, first lien, Reg S, 10.625%, 02/01/17 GBR EUR 24,603,292 0.07 24,000,000 Reynolds Group Issuer Inc./LLC/SA, senior note, 8.50%, 05/15/18 USA USD 24,600,000 0.07 25,000,000 iHeartCommunications Inc., senior secured bond, first lien, 9.00%,

03/01/21 USA USD 24,593,750 0.07 25,500,000 BMC Software Finance Inc., senior note, 144A, 8.125%, 07/15/21 USA USD 24,097,500 0.07 21,400,000 Navient Corp., senior note, 8.45%, 06/15/18 USA USD 23,914,500 0.07 21,000,000 GMAC Inc., sub. note, 8.00%, 12/31/18 USA USD 23,887,500 0.07 25,000,000 Wind Acquisition Finance SA, senior secured note, first lien, 144A,

4.75%, 07/15/20 ITA USD 23,750,000 0.07 26,900,000 Visant Corp., senior note, 10.00%, 10/01/17 USA USD 23,672,000 0.07 23,000,000 DISH DBS Corp., senior note, 5.875%, 07/15/22 USA USD 23,632,500 0.07 21,500,000 ArcelorMittal, senior note, 5.50%, 03/01/21 LUX USD 22,281,847 0.06 24,000,000 Sprint Nextel Corp., senior note, 6.00%, 11/15/22 USA USD 22,170,000 0.06 15,800,000 The Royal Bank of Scotland PLC, sub. note, 6.934%, 04/09/18 GBR EUR 22,069,341 0.06 28,000,000 CGG SA, senior note, 6.50%, 06/01/21 FRA USD 21,420,000 0.06 18,700,000 HCA Inc., senior note, 7.50%, 02/15/22 USA USD 21,411,500 0.06 20,700,000 Hertz Corp., senior note, 5.875%, 10/15/20 USA USD 20,958,750 0.06 20,000,000 1011778 BC ULC/New Red Finance Inc., secured note, second lien,

144A, 6.00%, 04/01/22 CAN USD 20,600,000 0.06 27,000,000 Offshore Group Investment Ltd., senior secured note, first lien, 7.50%,

11/01/19 USA USD 20,283,750 0.06 20,210,000 HSBK (Europe) BV, senior note, Reg S, 7.25%, 05/03/17 KAZ USD 20,239,102 0.06 18,233,000 Calpine Corp., senior secured bond, 144A, 7.875%, 01/15/23 USA USD 20,193,047 0.06 19,400,000 Navient Corp., senior note, 5.50%, 01/15/19 USA USD 19,885,000 0.06 26,600,000 Caesars Entertainment Operating Co. Inc., senior secured note, first

lien, 11.25%, 06/01/17 USA USD 19,630,800 0.06 22,700,000 Linn Energy LLC/Finance Corp., senior note, 6.25%, 11/01/19 USA USD 19,408,500 0.06 20,000,000 Regency Energy Partners LP/Regency Energy Finance Corp., senior bond,

5.50%, 04/15/23 USA USD 19,400,000 0.06 19,500,000 Post Holdings Inc., senior note, 144A, 6.75%, 12/01/21 USA USD 18,963,750 0.05 14,400,000 Ceramtec Group GmbH, senior note, 144A, 8.25%, 08/15/21 DEU EUR 18,850,590 0.05 21,400,000 Linn Energy LLC/Finance Corp., senior note, 7.75%, 02/01/21 USA USD 18,136,500 0.05 20,000,000 Barminco Finance Pty. Ltd., senior note, 144A, 9.00%, 06/01/18 AUS USD 18,012,500 0.05 42,900,000 Samson Investment Co., senior note, 9.75%, 02/15/20 USA USD 17,991,187 0.05 16,300,000 CenturyLink Inc., senior bond, 6.75%, 12/01/23 USA USD 17,909,625 0.05 15,200,000 Ally Financial Inc., senior note, 7.50%, 09/15/20 USA USD 17,860,000 0.05 15,400,000 Frontier Communications Corp., senior note, 8.50%, 04/15/20 USA USD 17,248,000 0.05 16,000,000 Univision Communications Inc., senior secured note, first lien, 144A,

7.875%, 11/01/20 USA USD 17,120,000 0.05 13,169,000 HSBC Holdings PLC, sub. note, 6.50%, 09/15/37 GBR USD 16,976,290 0.05 12,800,000 Unitymedia Hessen GmbH & Co. KG/Unitymedia NRW GmbH, senior

secured note, first lien, Reg S, 5.75%, 01/15/23 DEU EUR 16,843,200 0.05 18,000,000 CONSOL Energy Inc., senior note, 144A, 5.875%, 04/15/22 USA USD 16,830,000 0.05 16,249,000 ICICI Bank Ltd., junior sub. notes, Reg S, 6.375% to 04/30/17,

FRN thereafter, 04/30/22 IND USD 16,827,871 0.05 15,000,000 Kinder Morgan Finance Co. LLC, senior secured note, 144A, 6.00%,

01/15/18 USA USD 16,332,000 0.05 16,100,000 TransDigm Inc., senior sub. note, 6.00%, 07/15/22 USA USD 16,140,250 0.05 14,700,000 UPCB Finance VI Ltd., senior secured note, first lien, 144A, 6.875%,

01/15/22 NLD USD 16,013,813 0.05 31,300,000 Midstates Petroleum Co. Inc./LLC, senior note, 9.25%, 06/01/21 USA USD 15,963,000 0.05 17,422,222 FMG Resources (August 2006) Pty. Ltd., senior note, 144A, 6.875%,

02/01/18 AUS USD 15,908,667 0.05 15,600,000 Gannett Co. Inc., senior bond, 144A, 5.50%, 09/15/24 USA USD 15,678,000 0.05 14,200,000 Sealed Air Corp., senior note, 144A, 6.50%, 12/01/20 USA USD 15,620,000 0.05 17,600,000 Linn Energy LLC/Finance Corp., senior note, 8.625%, 04/15/20 USA USD 15,400,000 0.04

Number of shares or



Marketvalue

% ofnet

assets





Corporate Bonds (continued) 15,600,000 Digicel Group Ltd., senior note, 144A, 8.25%, 09/30/20 BMU USD 15,268,500 0.04 14,800,000 AmSurg Corp., senior note, 144A, 5.625%, 07/15/22 USA USD 15,244,000 0.04 13,500,000 Tenet Healthcare Corp., senior note, 8.125%, 04/01/22 USA USD 15,120,000 0.04 14,500,000 Frontier Communications Corp., senior note, 7.125%, 01/15/23 USA USD 14,826,250 0.04 8,700,000 Virgin Media Finance PLC, senior bond, Reg S, 6.375%, 10/15/24 GBR GBP 14,645,545 0.04 22,000,000 W&T Offshore Inc., senior note, 8.50%, 06/15/19 USA USD 14,630,000 0.04 14,000,000 Virgin Media Secured Finance PLC, senior secured bond, first lien, 144A,

5.50%, 01/15/25 GBR USD 14,498,750 0.04 13,500,000 Toll Brothers Finance Corp., senior bond, 5.625%, 01/15/24 USA USD 14,310,000 0.04 15,100,000 Stena International SA, secured bond, 144A, 5.75%, 03/01/24 SWE USD 14,269,500 0.04 14,000,000 FMG Resources (August 2006) Pty. Ltd., senior note, 144A, 6.00%,

04/01/17 AUS USD 13,431,250 0.04 20,000,000 Energy XXI Gulf Coast Inc., senior note, 9.25%, 12/15/17 USA USD 13,300,000 0.04 10,500,000 Play Finance 2 SA, secured note, first lien, Reg S, 5.25%, 02/01/19 LUX EUR 13,194,142 0.04 10,000,000 UPC Holding BV, senior note, Reg S, 6.375%, 09/15/22 NLD EUR 13,120,937 0.04 12,600,000 Dynegy Finance I Inc./Dynegy Finance II Inc., senior secured bond, first

lien, 144A, 7.625%, 11/01/24 USA USD 12,867,750 0.04 12,400,000 Pinnacle Entertainment Inc., senior note, 6.375%, 08/01/21 USA USD 12,834,000 0.04 10,000,000 UPCB Finance II Ltd., senior secured note, Reg S, 6.375%, 07/01/20 NLD EUR 12,736,460 0.04 10,600,000 Ineos Group Holdings SA, senior note, Reg S, 6.50%, 08/15/18 CHE EUR 12,689,723 0.04 9,400,000 UPC Holding BV, senior note, Reg S, 6.75%, 03/15/23 NLD EUR 12,469,941 0.04 11,800,000 Pinnacle Entertainment Inc., senior sub. note, 7.75%, 04/01/22 USA USD 12,331,000 0.04 12,300,000 CCO Holdings LLC/CCO Holdings Capital Corp., senior bond, 5.25%,

09/30/22 USA USD 12,315,375 0.04 10,354,000 Petro Co. of Trinidad and Tobago Ltd., senior note, Reg S, 9.75%,

08/14/19 TTO USD 12,269,490 0.04 11,525,000 eAccess Ltd., senior note, 144A, 8.25%, 04/01/18 JPN USD 12,122,859 0.04 11,700,000 Alere Inc., senior sub. note, 6.50%, 06/15/20 USA USD 11,846,250 0.03 10,852,000 Univision Communications Inc., senior secured bond, first lien,

144A, 6.75%, 09/15/22 USA USD 11,665,900 0.03 10,900,000 HCA Holdings Inc., senior note, 6.25%, 02/15/21 USA USD 11,635,750 0.03 11,000,000 Unitymedia KabelBW GmbH, senior bond, 144A, 6.125%, 01/15/25 DEU USD 11,398,750 0.03 11,300,000 CONSOL Energy Inc., senior note, 6.375%, 03/01/21 USA USD 11,356,500 0.03 174,930,000 Toyota Motor Credit Corp., senior note, zero cpn., 02/15/17 JPN MXN 10,571,367 0.03 10,000,000 DISH DBS Corp., senior note, 7.125%, 02/01/16 USA USD 10,537,500 0.03 11,400,000 Stena AB, senior bond, 144A, 7.00%, 02/01/24 SWE USD 10,459,500 0.03 8,800,000 Ineos Group Holdings SA, senior note, Reg S, 5.75%, 02/15/19 CHE EUR 10,301,940 0.03 9,500,000 CIT Group Inc., senior note, 5.375%, 05/15/20 USA USD 10,076,175 0.03 9,825,000 inVentiv Health Inc., senior secured note, 144A, 9.00%, 01/15/18 USA USD 10,070,625 0.03 10,900,000 Scientific Games International Inc., senior note, 144A, 10.00%, 12/01/22 USA USD 10,041,625 0.03 10,250,000 Edcon Pty. Ltd., senior secured note, first lien, Reg S, 9.50%, 03/01/18 ZAF EUR 10,007,267 0.03 13,800,000 Offshore Group Investment Ltd., senior bond, first lien, 7.125%, 04/01/23 USA USD 9,936,000 0.03 9,500,000 VTR Finance BV, senior secured note, 144A, 6.875%, 01/15/24 LUX USD 9,713,750 0.03 9,680,000 Halyk Savings Bank of Kazakhstan JSC, senior note, Reg S, 7.25%,

01/28/21 KAZ USD 9,528,024 0.03 9,100,000 Grifols Worldwide Operations Ltd., senior note, 144A, 5.25%, 04/01/22 USA USD 9,329,320 0.03 9,000,000 Tenet Healthcare Corp., senior note, 144A, 5.50%, 03/01/19 USA USD 9,247,500 0.03 8,500,000 Clear Channel Worldwide Holdings Inc., senior sub. note, 7.625%,

03/15/20 USA USD 8,988,750 0.03 12,000,000 Quicksilver Resources Inc., secured note, second lien, 144A, FRN,

7.00%, 06/21/19 † USA USD 8,970,000 0.03 19,393,000 Edcon Holdings Pty. Ltd., senior secured note, Reg S, 13.375%, 06/30/19 ZAF EUR 8,799,574 0.03 8,600,000 Energy Transfer Equity LP, senior bond, first lien, 5.875%, 01/15/24 USA USD 8,772,000 0.03 8,600,000 Scientific Games International Inc., senior secured note, first lien,

144A, 7.00%, 01/01/22 USA USD 8,750,500 0.03 10,000,000 California Resources Corp., senior bond, 144A, 6.00%, 11/15/24 USA USD 8,500,000 0.02 8,100,000 CHS/Community Health Systems Inc., senior secured note, first lien,

5.125%, 08/15/18 USA USD 8,403,750 0.02 7,700,000 Valeant Pharmaceuticals International Inc., senior note, 144A, 7.50%,

07/15/21 USA USD 8,344,875 0.02 7,600,000 Virgin Media Secured Finance PLC, senior secured note, first lien,

144A, 5.375%, 04/15/21 GBR USD 7,923,000 0.02 7,200,000 CONSOL Energy Inc., senior note, 8.25%, 04/01/20 USA USD 7,497,000 0.02 7,000,000 Sterling International Inc., senior note, 11.00%, 10/01/19 USA USD 7,472,500 0.02 5,700,000 Play Finance 1 SA, senior note, Reg S, 6.50%, 08/01/19 LUX EUR 7,328,062 0.02 8,400,000 California Resources Corp., senior note, 144A, 5.50%, 09/15/21 USA USD 7,224,000 0.02 7,300,000 iHeartCommunications Inc., senior secured note, first lien, 144A,

9.00%, 09/15/22 USA USD 7,172,250 0.02 6,800,000 T-Mobile USA Inc., senior note, 6.542%, 04/28/20 USA USD 7,046,500 0.02 7,910,000 TNK-BP Finance SA, Reg S, 7.25%, 02/02/20 RUS USD 6,944,743 0.02 6,700,000 CommScope Holdings Co. Inc., senior note, 144A, PIK, 6.625%, 06/01/20 ‡ USA USD 6,934,500 0.02 7,000,000 JPMorgan Chase & Co., junior sub. bond, V, 5.00% to 07/30/19, FRN

thereafter, Perpetual USA USD 6,884,059 0.02 6,800,000 TransDigm Inc., senior sub. bond, 6.50%, 07/15/24 USA USD 6,868,000 0.02 5,900,000 Frontier Communications Corp., senior note, 9.25%, 07/01/21 USA USD 6,836,625 0.02 12,600,000 Energy XXI Gulf Coast Inc., senior note, 144A, 6.875%, 03/15/24 USA USD 6,835,500 0.02 6,500,000 Clear Channel Worldwide Holdings Inc., senior note, 6.50%, 11/15/22 USA USD 6,727,500 0.02 6,500,000 JBS USA LLC/Finance Inc., senior note, 144A, 7.25%, 06/01/21 USA USD 6,727,500 0.02


Number of shares or



Marketvalue

% ofnet

assets





Corporate Bonds (continued) 6,400,000 Tenet Healthcare Corp., senior note, 144A, 5.00%, 03/01/19 USA USD 6,424,000 0.02 7,253,000 CGG SA, senior note, 7.75%, 05/15/17 FRA USD 6,255,713 0.02 6,000,000 T-Mobile USA Inc., senior note, 6.731%, 04/28/22 USA USD 6,202,500 0.02 4,700,000 Unitymedia Hessen GmbH & Co. KG/Unitymedia NRW GmbH, senior

secured note, first lien, Reg S, 5.625%, 04/15/23 DEU EUR 6,188,337 0.02 6,000,000 T-Mobile USA Inc., senior note, 6.633%, 04/28/21 USA USD 6,180,000 0.02 6,000,000 Calpine Corp., senior note, 5.375%, 01/15/23 USA USD 6,067,500 0.02 5,200,000 Frontier Communications Corp., senior note, 8.75%, 04/15/22 USA USD 5,837,000 0.02 5,100,000 Royal Bank of Scotland Group PLC, sub. note, 6.125%, 12/15/22 GBR USD 5,549,438 0.02 4,900,000 Sprint Nextel Corp., senior note, 144A, 7.00%, 03/01/20 USA USD 5,316,500 0.02 4,700,000 Sealed Air Corp., senior note, 144A, 8.375%, 09/15/21 USA USD 5,275,750 0.02 5,000,000 Novelis Inc., senior note, 8.375%, 12/15/17 CAN USD 5,193,750 0.01 5,000,000 Univision Communications Inc., senior secured note, first lien,

144A, 5.125%, 05/15/23 USA USD 5,075,000 0.01 4,600,000 Smithfield Foods Inc., senior note, 144A, 5.25%, 08/01/18 USA USD 4,683,375 0.01 6,200,000 Halcon Resources Corp., senior note, 9.25%, 02/15/22 USA USD 4,603,500 0.01 3,600,000 eAccess Ltd., senior note, Reg S, 8.375%, 04/01/18 JPN EUR 4,590,135 0.01 4,300,000 T-Mobile USA Inc., senior bond, 6.50%, 01/15/24 USA USD 4,418,250 0.01 4,000,000 Tenet Healthcare Corp., first lien, 6.00%, 10/01/20 USA USD 4,305,320 0.01 53,452,000 Rabobank Nederland, senior note, 8.75%, 01/24/17 NLD MXN 3,965,311 0.01 5,600,000 Chaparral Energy Inc., senior note, 9.875%, 10/01/20 USA USD 3,836,000 0.01 3,700,000 Smithfield Foods Inc., senior note, 144A, 5.875%, 08/01/21 USA USD 3,776,313 0.01 3,500,000 Clear Channel Worldwide Holdings Inc., senior note, 6.50%, 11/15/22 USA USD 3,578,750 0.01 3,800,000 Post Holdings Inc., senior note, 144A, 6.00%, 12/15/22 USA USD 3,576,750 0.01 3,600,000 Sabine Pass Liquefaction LLC, first lien, 5.625%, 04/15/23 USA USD 3,537,000 0.01 3,300,000 Regency Energy Partners LP/Regency Energy Finance Corp., senior note,

5.875%, 03/01/22 USA USD 3,308,250 0.01 3,400,000 Regency Energy Partners LP/Regency Energy Finance Corp., senior note,

5.00%, 10/01/22 USA USD 3,230,000 0.01 3,552,000 LUKOIL International Finance BV, 144A, 6.656%, 06/07/22 RUS USD 3,143,520 0.01 2,500,000 Algeco Scotsman Global Finance PLC, secured note, Reg S, 9.00%,

10/15/18 GBR EUR 3,076,047 0.01 2,700,000 ICICI Bank Ltd., junior sub. bond, 144A, 6.375% to 04/30/17, FRN

thereafter, 04/30/22 IND USD 2,787,750 0.01 2,600,000 Royal Bank of Scotland Group PLC, sub. note, 5.125%, 05/28/24 GBR USD 2,648,750 0.01 2,500,000 Intelsat Jackson Holdings SA, senior bond, 6.625%, 12/15/22 LUX USD 2,581,250 0.01 10,000,000 Quicksilver Resources Inc., senior note, 9.125%, 08/15/19 USA USD 2,550,000 0.01 2,500,000 T-Mobile USA Inc., senior note, 6.125%, 01/15/22 USA USD 2,546,875 0.01 2,000,000 Reynolds Group Issuer Inc./LLC/SA, senior secured note, first lien,

7.125%, 04/15/19 USA USD 2,072,500 0.01 1,900,000 MGM Resorts International, senior note, 6.75%, 10/01/20 USA USD 1,999,750 0.01 2,200,000 Abengoa Finance SAU, senior note, 144A, 7.75%, 02/01/20 ESP USD 1,963,500 0.01 1,500,000 Clear Channel Worldwide Holdings Inc., senior sub. note, 7.625%,

03/15/20 USA USD 1,563,750 0.00 1,000,000 Hutchison Whampoa International Ltd., Reg S, 7.45%, 11/24/33 HKG USD 1,475,435 0.00 1,050,000 Petro Co. of Trinidad and Tobago Ltd., senior note, 144A, 9.75%,

08/14/19 TTO USD 1,244,250 0.00 1,200,000 Frontier Communications Corp., senior bond, 7.625%, 04/15/24 USA USD 1,242,000 0.00 1,220,000 HSBK (Europe) BV, senior note, 144A, 7.25%, 05/03/17 KAZ USD 1,221,757 0.00 1,000,000 Woori Bank, junior sub. note, 144A, 6.208% to 05/02/17, FRN

thereafter, 05/02/67 KOR USD 1,072,500 0.00 900,000 Virgin Media Finance PLC, senior bond, 144A, 6.375%, 04/15/23 GBR USD 947,250 0.00 900,000 Frontier Communications Corp., senior note, 7.875%, 01/15/27 USA USD 902,250 0.00 400,000 GE Capital Trust IV, sub. bond, Reg S, 4.625% to 09/15/16, FRN

thereafter, 09/15/66 USA EUR 501,351 0.00 350,000 Gaz Capital SA, (OJSC Gazprom), loan participation, senior bond, Reg S,

5.136%, 03/22/17 RUS EUR 403,242 0.00

3,956,332,529 11.49

Government and Municipal Bonds 840,860,000 Government of Portugal, Reg S, 5.125%, 10/15/24 PRT USD 886,602,784 2.58 18,033,111,578 Government of Uruguay, senior bond, Index Linked, 4.375%, 12/15/28 URY UYU 747,293,182 2.17 421,810,740 Government of Ireland, senior bond, 5.40%, 03/13/25 IRL EUR 703,773,023 2.04 1,131,125,000 Government of Poland, 4.75%, 10/25/16 POL PLN 336,290,898 0.98 221,866,000 Government of Ireland, 5.00%, 10/18/20 IRL EUR 336,169,636 0.98 1,134,806,000 Government of Poland, Strip, 01/25/16 POL PLN 314,649,735 0.91 337,420,900,000 Korea Monetary Stabilization Bond, senior note, 2.07%, 12/02/16 KOR KRW 308,405,908 0.90 13,636,620,000 Government of the Philippines, senior note, 1.625%, 04/25/16 PHL PHP 301,570,175 0.88 61,606,930,000 Government of Hungary, A, 6.75%, 11/24/17 HUN HUF 263,528,719 0.77 37,122,290 Government of Mexico, 6.25%, 06/16/16 MEX MXN 261,421,883 0.76 59,190,090,000 Government of Hungary, 6.50%, 06/24/19 HUN HUF 257,531,648 0.75 226,920,000 Government of Serbia, Reg S, 7.25%, 09/28/21 SER USD 255,086,445 0.74 226,890,000 Government of Serbia, senior note, Reg S, 4.875%, 02/25/20 SER USD 227,730,627 0.66 49,965,350,000 Government of Hungary, A, 6.00%, 11/24/23 HUN HUF 227,208,825 0.66 55,813,230,000 Government of Hungary, 5.50%, 02/12/16 HUN HUF 222,615,583 0.65 182,100,000 Government of Slovenia, senior note, Reg S, 5.85%, 05/10/23 SVN USD 208,114,806 0.60 341,520,000 Government of Ukraine, senior note, Reg S, 7.80%, 11/28/22 UKR USD 204,097,475 0.59 175,720,000 Government of Hungary, senior note, 6.375%, 03/29/21 HUN USD 201,099,240 0.58


Number of shares or



Marketvalue

% ofnet

assets





Government and Municipal Bonds (continued) 219,650,000 Government of Ecuador, senior note, Reg S, 7.95%, 06/20/24 ECU USD 188,899,000 0.55 25,994,330 Government of Mexico, 7.25%, 12/15/16 MEX MXN 188,282,612 0.55 573,229,000 Government of Ghana, 23.00%, 08/21/17 GHA GHS 185,966,466 0.54 10,792,600,000 Government of India, senior note, 8.83%, 11/25/23 IND INR 180,224,520 0.52 119,600,000 Government of Hungary, 6.00%, 01/11/19 HUN EUR 168,358,249 0.49 147,230,000 Government of Hungary, senior note, 6.25%, 01/29/20 HUN USD 165,763,312 0.48 112,822,000 Government of Ireland, 4.50%, 04/18/20 IRL EUR 164,564,958 0.48 38,841,100,000 Government of Hungary, B, 6.75%, 02/24/17 HUN HUF 162,734,526 0.47 479,660 Letra Tesouro Nacional, Strip, 01/01/16 BRA BRL 159,865,489 0.46 537,940,000 Government of Poland, 5.00%, 04/25/16 POL PLN 158,206,116 0.46 3,825,414,157 Uruguay Notas del Tesoro, 14, Index Linked, 4.00%, 06/10/20 URY UYU 157,196,754 0.46 31,658,400,000 Government of Hungary, 7.50%, 11/12/20 HUN HUF 147,435,825 0.43 438,170 Nota Do Tesouro Nacional, 10.00%, 01/01/23 BRA BRL 146,191,237 0.42 237,570,000 Government of Ukraine, Reg S, 7.75%, 09/23/20 UKR USD 144,746,650 0.42 153,989,200,000 Korea Treasury Bond, senior note, 3.00%, 12/10/16 KOR KRW 143,207,739 0.42 3,531,126,912 Uruguay Notas del Tesoro, 13, Index Linked, 4.00%, 05/25/25 URY UYU 142,803,986 0.41 152,225 Nota Do Tesouro Nacional, Index Linked, 6.00%, 05/15/23 BRA BRL 142,773,685 0.41 151,895,425 Government of Ghana, Reg S, 7.875%, 08/07/23 GHA USD 141,202,747 0.41 3,288,839,000 Uruguay Notas del Tesoro, 9.50%, 01/27/16 URY UYU 135,197,320 0.39 212,430,000 Financing of Infrastructure Projects State Enterprise, Reg S,

8.375%, 11/03/17 UKR USD 128,203,629 0.37 335,095 Nota Do Tesouro Nacional, 9.7618%, 01/01/17 BRA BRL 120,121,691 0.35 123,835,560,000 Korea Monetary Stabilization Bond, senior note, 2.80%, 04/02/16 KOR KRW 114,225,561 0.33 28,154,810,000 Government of Hungary, 4.00%, 04/25/18 HUN HUF 111,878,183 0.33 119,907,900,000 Korea Monetary Stabilization Bond, senior note, 2.46%, 08/02/16 KOR KRW 110,256,705 0.32 117,390 Nota Do Tesouro Nacional, Index Linked, 6.00%, 05/15/19 BRA BRL 110,193,791 0.32 2,544,535,398 Uruguay Notas del Tesoro, 17, Index Linked, 2.75%, 06/16/16 URY UYU 102,034,666 0.30 282,690 Nota Do Tesouro Nacional, senior note, 10.00%, 01/01/19 BRA BRL 97,965,408 0.28 63,028,000 Government of Ireland, 5.90%, 10/18/19 IRL EUR 95,930,426 0.28 102,630,900,000 Korea Monetary Stabilization Bond, senior note, 2.22%, 10/02/16 KOR KRW 94,053,050 0.27 951,650,000,000 Government of Indonesia, FR40, 11.00%, 09/15/25 IDN IDR 92,898,265 0.27 305,820,000 Government of Ghana, 19.04%, 09/24/18 GHA GHS 89,335,447 0.26 11,348,200,000 Government of Sri Lanka, B, 8.00%, 06/01/16 LKA LKR 88,361,133 0.26 94,170 Nota Do Tesouro Nacional, Index Linked, 6.00%, 05/15/45 BRA BRL 87,219,954 0.25 78,150,000 Government of Hungary, 5.375%, 02/21/23 HUN USD 84,833,779 0.25 79,390,000 Government of Kenya, senior note, Reg S, 6.875%, 06/24/24 KEN USD 84,356,241 0.25 130,170,000 Government of Ukraine, Reg S, 9.25%, 07/24/17 UKR USD 80,168,449 0.23 236,090,000 Government of Ghana, 24.44%, 05/29/17 GHA GHS 78,377,803 0.23 271,512,000 Government of Poland, FRN, 2.69%, 01/25/17 † POL PLN 76,738,705 0.22 275,437,000 Government of Poland, FRN, 2.69%, 01/25/21 † POL PLN 76,639,736 0.22 80,720 Nota Do Tesouro Nacional, Index Linked, 6.00%, 08/15/22 BRA BRL 75,825,655 0.22 2,100,799,000 Uruguay Treasury Bill, Strip, 01/14/16 URY UYU 75,521,759 0.22 16,388,580,000 Government of Hungary, B, 5.50%, 06/24/25 HUN HUF 72,811,332 0.21 1,811,996,800 Uruguay Notas del Tesoro, 18, Index Linked, 2.25%, 08/23/17 URY UYU 70,472,591 0.20 773,830,000,000 Government of Indonesia, FR46, 9.50%, 07/15/23 IDN IDR 68,932,389 0.20 14,204,520,000 Government of Hungary, A, 7.00%, 06/24/22 HUN HUF 66,779,382 0.19 180,900,000 Government of Poland, 5.75%, 09/23/22 POL PLN 63,271,054 0.18 1,507,625,787 Government of Uruguay, Index Linked, 4.25%, 04/05/27 URY UYU 62,561,975 0.18 14,876,080,000 Government of Hungary, A, 5.50%, 12/20/18 HUN HUF 62,378,535 0.18 3,631,500,000 Government of India, senior bond, 8.60%, 06/02/28 IND INR 60,840,227 0.18 14,876,040,000 Government of Hungary, 5.50%, 12/22/16 HUN HUF 60,803,610 0.18 98,330,000 Government of Ukraine, senior note, Reg S, 7.50%, 04/17/23 UKR USD 57,968,485 0.17 91,790,000 Government of Ukraine, senior note, Reg S, 7.95%, 02/23/21 UKR USD 55,848,708 0.16 182,890 Letra Tesouro Nacional, Strip, 10/01/16 BRA BRL 55,555,375 0.16 49,660,000 Government of Slovenia, senior note, Reg S, 5.50%, 10/26/22 SVN USD 55,192,372 0.16 3,501,600,000 Government of India, senior bond, 7.80%, 05/03/20 IND INR 55,029,309 0.16 1,320,363,398 Uruguay Notas del Tesoro, 10, Index Linked, 4.25%, 01/05/17 URY UYU 54,337,990 0.16 6,257,500,000 Serbia Treasury Bond, 10.00%, 10/23/24 SER RSD 51,696,567 0.15 5,112,340,000 Serbia Treasury Bond, 10.00%, 06/27/16 SER RSD 51,660,214 0.15 1,490,289,000 Uruguay Treasury Bill, Strip, 07/28/16 URY UYU 50,245,509 0.15 153,050,000 Government of Ghana, 23.00%, 02/13/17 GHA GHS 49,372,921 0.14 5,333,780,000 Serbia Treasury Bond, 10.00%, 09/11/21 SER RSD 48,848,504 0.14 1,358,601,000 Uruguay Treasury Bill, Strip, 04/21/16 URY UYU 47,289,540 0.14 4,655,790,000 Serbia Treasury Note, 10.00%, 07/10/17 SER RSD 46,594,096 0.14 6,041,300,000 Government of Sri Lanka, B, 5.80%, 07/15/17 LKA LKR 44,842,608 0.13 42,330,000 Government of Hungary, 4.125%, 02/19/18 HUN USD 43,969,229 0.13 5,595,690,000 Government of Sri Lanka, A, 8.00%, 11/15/18 LKA LKR 43,857,713 0.13 39,729,000 Government of Croatia, Reg S, 6.75%, 11/05/19 HRV USD 43,778,974 0.13 71,850,000 Financing of Infrastructure Projects State Enterprise, Reg S,

7.40%, 04/20/18 UKR USD 43,490,805 0.13 2,799,600,000 Government of India, senior note, 7.16%, 05/20/23 IND INR 42,126,352 0.12 2,629,300,000 Government of India, senior note, 8.12%, 12/10/20 IND INR 41,919,889 0.12 1,155,828,755 Uruguay Notas del Tesoro, 19, Index Linked, 2.50%, 09/27/22 URY UYU 41,289,920 0.12 42,328 Nota Do Tesouro Nacional, Index Linked, 6.00%, 08/15/16 BRA BRL 40,047,886 0.12 3,907,800,000 Serbia Treasury Note, 10.00%, 12/19/16 SER RSD 39,347,725 0.11 5,395,750 Mexican Udibonos, Index Linked, 5.00%, 06/16/16 MEX MXN 38,893,603 0.11 490,784,000 Inter-American Development Bank, senior note, 7.50%, 12/05/24 SP MXN 38,839,866 0.11 36,952 Nota Do Tesouro Nacional, Index Linked, 6.00%, 05/15/17 BRA BRL 35,046,677 0.10


Number of shares or



Marketvalue

% ofnet

assets





Government and Municipal Bonds (continued) 35,159,900,000 Korea Treasury Bond, senior bond, 4.00%, 03/10/16 KOR KRW 32,865,615 0.10 807,480,000 Uruguay Notas del Tesoro, 11.00%, 03/21/17 URY UYU 31,888,303 0.09 4,116,300,000 Government of Sri Lanka, A, 5.80%, 01/15/17 LKA LKR 30,850,131 0.09 719,208,748 Government of Uruguay, senior bond, Index Linked, 5.00%, 09/14/18 URY UYU 30,501,964 0.09 100,950,000 Government of Poland, 4.75%, 04/25/17 POL PLN 30,368,980 0.09 4,180,087 Mexican Udibonos, Index Linked, 3.50%, 12/14/17 MEX MXN 30,279,693 0.09 741,960,242 Government of Uruguay, senior bond, Index Linked, 4.00%, 07/10/30 URY UYU 29,769,953 0.09 3,646,880,000 Government of Sri Lanka, A, 9.00%, 05/01/21 LKA LKR 29,667,869 0.09 310,220,000,000 Government of Indonesia, FR42, 10.25%, 07/15/27 IDN IDR 29,456,506 0.09 3,133,070,000 Serbia Treasury Note, 10.00%, 03/20/21 SER RSD 29,118,846 0.08 3,655,280,000 Government of Sri Lanka, C, 8.50%, 04/01/18 LKA LKR 29,004,034 0.08 93,155,000 Government of Ghana, 19.24%, 05/30/16 GHA GHS 27,839,452 0.08 258,540,000,000 Government of Indonesia, FR47, 10.00%, 02/15/28 IDN IDR 23,943,906 0.07 25,435 Nota Do Tesouro Nacional, Index Linked, 6.00%, 08/15/18 BRA BRL 23,875,282 0.07 67,370,000 Government of Ghana, 25.40%, 07/31/17 GHA GHS 23,075,864 0.07 2,274,240,000 Serbia Treasury Note, 10.00%, 03/01/16 SER RSD 23,012,938 0.07 970,000,000 Government of the Philippines, senior bond, 7.00%, 01/27/16 PHL PHP 22,477,745 0.07 2,107,430,000 Serbia Treasury Note, 10.00%, 05/22/16 SER RSD 21,311,131 0.06 2,678,950,000 Government of Sri Lanka, D, 8.50%, 06/01/18 LKA LKR 21,301,838 0.06 2,104,300,000 Serbia Treasury Bond, 10.00%, 08/15/16 SER RSD 21,246,446 0.06 2,409,690,000 Government of Sri Lanka, 10.60%, 07/01/19 LKA LKR 20,707,631 0.06 210,024,000,000 Government of Indonesia, FR43, 10.25%, 07/15/22 IDN IDR 19,319,331 0.06 57,920 Letra Tesouro Nacional, Strip, 07/01/16 BRA BRL 18,158,732 0.05 2,376,800,000 Government of Sri Lanka, B, 6.40%, 10/01/16 LKA LKR 18,053,897 0.05 2,436,438 Mexican Udibonos, Index Linked, 4.00%, 06/13/19 MEX MXN 18,053,040 0.05 1,057,900,000 Government of India, senior bond, 8.28%, 09/21/27 IND INR 17,158,086 0.05 1,033,200,000 Government of India, senior note, 8.35%, 05/14/22 IND INR 16,708,222 0.05 151,352,000,000 Government of Indonesia, FR34, 12.80%, 06/15/21 IDN IDR 15,221,970 0.04 1,699,680,000 Government of Sri Lanka, 10.60%, 09/15/19 LKA LKR 14,670,946 0.04 15,120 Nota Do Tesouro Nacional, Index Linked, 6.00%, 08/15/20 BRA BRL 14,182,273 0.04 1,921,155 Mexican Udibonos, Index Linked, 2.50%, 12/10/20 MEX MXN 13,359,229 0.04 1,311,560,000 Serbia Treasury Note, 10.00%, 05/08/17 SER RSD 13,152,857 0.04 159,424,000,000 Government of Indonesia, 7.875%, 04/15/19 IDN IDR 13,033,247 0.04 1,255,820,000 Serbia Treasury Note, 10.00%, 11/08/17 SER RSD 12,521,901 0.04 1,178,270,000 Serbia Treasury Note, 10.00%, 10/17/16 SER RSD 11,880,175 0.03 15,560,000 Government of Singapore, senior note, 1.125%, 04/01/16 SGP SGD 11,823,627 0.03 341,080,000 Uruguay Treasury Bill, Strip, 11/03/16 URY UYU 11,163,605 0.03 1,052,020,000 Serbia Treasury Bond, 10.00%, 11/21/18 SER RSD 10,336,073 0.03 1,005,710,000 Serbia Treasury Bond, 10.00%, 04/25/16 SER RSD 10,170,873 0.03 412,650,000 Government of the Philippines, senior bond, 9.125%, 09/04/16 PHL PHP 9,985,940 0.03 107,434,000,000 Government of Indonesia, FR31, 11.00%, 11/15/20 IDN IDR 9,957,574 0.03 25,438,000 Government of Peru, senior bond, 7.84%, 08/12/20 PER PEN 9,756,496 0.03 115,440,000,000 Government of Indonesia, FR48, 9.00%, 09/15/18 IDN IDR 9,719,009 0.03 915,970,000 Serbia Treasury Note, 10.00%, 01/30/16 SER RSD 9,270,533 0.03 26,050,000 Government of Ghana, 16.90%, 03/07/16 GHA GHS 7,649,621 0.02 76,180,000,000 Government of Indonesia, FR39, 11.75%, 08/15/23 IDN IDR 7,648,754 0.02 229,480,000 Uruguay Treasury Bill, Strip, 09/15/16 URY UYU 7,628,221 0.02 90,826,000,000 Government of Indonesia, senior bond, FR53, 8.25%, 07/15/21 IDN IDR 7,521,764 0.02 5,552,000 Government of Hungary, senior note, Reg S, 4.375%, 07/04/17 HUN EUR 7,216,222 0.02 6,506,200,000 Korea Treasury Bond, senior note, 2.75%, 06/10/16 KOR KRW 6,003,649 0.02 17,600,000 Government of Ghana, 26.00%, 06/05/17 GHA GHS 6,002,954 0.02 63,998,000,000 Government of Indonesia, FR36, 11.50%, 09/15/19 IDN IDR 5,930,656 0.02 149,021,906 Government of Uruguay, senior bond, Index Linked, 3.70%, 06/26/37 URY UYU 5,529,537 0.02 576,860,000 Government of Sri Lanka, 11.20%, 07/01/22 LKA LKR 5,225,639 0.02 648,790,000 Government of Sri Lanka, B, 8.50%, 07/15/18 LKA LKR 5,157,633 0.02 48,924,000,000 Government of Indonesia, FR35, 12.90%, 06/15/22 IDN IDR 5,082,998 0.01 551,640,000 Government of Sri Lanka, A, 7.50%, 08/15/18 LKA LKR 4,249,478 0.01 557,200,000 Government of Sri Lanka, A, 6.40%, 08/01/16 LKA LKR 4,243,702 0.01 40,850,000,000 Government of Indonesia, FR44, 10.00%, 09/15/24 IDN IDR 3,738,674 0.01 2,357,000 Government of Hungary, senior note, Reg S, 5.75%, 06/11/18 HUN EUR 3,257,064 0.01 34,325,000,000 Government of Indonesia, FR45, 9.75%, 05/15/37 IDN IDR 3,159,506 0.01 31,550,000,000 Government of Indonesia, FR28, 10.00%, 07/15/17 IDN IDR 2,693,900 0.01 30,897,000,000 Government of Indonesia, senior note, 8.50%, 10/15/16 IDN IDR 2,535,813 0.01 136,100,000 Government of India, senior note, 7.28%, 06/03/19 IND INR 2,104,514 0.01 6,000,000 Government of Ghana, 25.48%, 04/24/17 GHA GHS 2,054,675 0.01 1,920 Nota Do Tesouro Nacional, Index Linked, 6.00%, 08/15/24 BRA BRL 1,798,236 0.01 176,200,000 Government of Sri Lanka, 8.00%, 01/01/17 LKA LKR 1,374,185 0.00 162,130,000 Government of Sri Lanka, 8.25%, 03/01/17 LKA LKR 1,270,719 0.00 957,000 Government of Hungary, senior note, Reg S, 3.875%, 02/24/20 HUN EUR 1,259,524 0.00 1,143,000 Government of Ghana, Reg S, 8.50%, 10/04/17 GHA USD 1,153,950 0.00 742,000 Government of Hungary, senior note, Reg S, 3.50%, 07/18/16 HUN EUR 934,415 0.00 20,110,000 Uruguay Treasury Bill, Strip, 06/09/16 URY UYU 685,766 0.00 1,120,000 Government of Ukraine, senior note, Reg S, 6.75%, 11/14/17 UKR USD 685,630 0.00 7,000,000,000 Government of Indonesia, FR30, 10.75%, 05/15/16 IDN IDR 591,072 0.00 510,000 Government of Vietnam, Reg S, 6.75%, 01/29/20 VND USD 575,112 0.00 418,000 Government of El Salvador, senior bond, Reg S, 7.65%, 06/15/35 SVC USD 449,538 0.00 7,227,245 Uruguay Notas del Tesoro, 16, Index Linked, 3.25%, 01/27/19 URY UYU 285,047 0.00

14,153,813,682 41.11


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assets





Securities Maturing Within One Year 944,447,280,000 Korea Treasury Bond, senior note, 2.75%, 12/10/15 KOR KRW 868,942,309 2.52 104,534,840 Government of Mexico, 8.00%, 12/17/15 MEX MXN 740,548,456 2.15 788,177,040,000 Korea Monetary Stabilization Bond, senior bond, 2.47%, 04/02/15 KOR KRW 721,346,721 2.09 1,051,059,220 Mexico Treasury Bill, 0.00%, 04/01/15 MEX MXN 707,608,192 2.06 726,210,170,000 Korea Monetary Stabilization Bond, senior note, 2.74%, 02/02/15 KOR KRW 664,297,485 1.93 631,814,000,000 Korea Monetary Stabilization Bond, senior note, 2.76%, 06/02/15 KOR KRW 579,289,154 1.68 4,311,630,000 Government of Sweden, 4.50%, 08/12/15 SWE SEK 567,495,335 1.65 405,500,000 FHLB, 0.00%, 01/07/15 USA USD 405,499,594 1.18 55,534,490 Government of Mexico, 6.00%, 06/18/15 MEX MXN 381,580,245 1.11 1,186,080,000 Government of Malaysia, 3.741%, 02/27/15 MYS MYR 339,436,320 0.99 387,147,410 Mexico Treasury Bill, Strip, 05/28/15 MEX MXN 259,406,618 0.75 271,722,000 Government of Canada, 1.00%, 02/01/15 CAN CAD 233,990,958 0.68 776,144,000 Government of Malaysia, 4.72%, 09/30/15 MYS MYR 224,139,466 0.65 658,890,000 Government of Poland, 5.50%, 04/25/15 POL PLN 188,420,466 0.55 4,655,871,000 Uruguay Treasury Bill, Strip, 08/20/15 URY UYU 175,884,694 0.51 4,270,473,000 Uruguay Notas del Tesoro, 10.25%, 08/22/15 URY UYU 173,882,280 0.51 176,210,680,000 Korea Treasury Bond, senior note, 3.25%, 06/10/15 KOR KRW 161,919,342 0.47 502,286,000 Government of Ghana, 21.00%, 10/26/15 GHA GHS 154,159,222 0.45 505,505,000 Bank of Negara Monetary Note, 0.00%, 01/20/15 MYS MYR 144,338,918 0.42 401,990,000 Bank of Negara Monetary Note, 0.00%, 03/03/15 MYS MYR 114,340,373 0.33 2,758,659,194 Uruguay Notas del Tesoro, Index Linked, 4.00%, 06/14/15 URY UYU 113,152,338 0.33 123,011,080,000 Korea Monetary Stabilization Bond, senior bond, 2.80%, 08/02/15 KOR KRW 112,937,026 0.33 123,649,000 Canada Treasury Bill, 0.00%, 02/12/15 CAN CAD 106,370,616 0.31 157,833,820 Mexico Treasury Bill, 0.00%, 06/25/15 MEX MXN 105,445,536 0.31 358,390,000 Government of Malaysia, 3.835%, 08/12/15 MYS MYR 102,796,891 0.30 341,450,000 Bank of Negara Monetary Note, 0.00%, 03/05/15 MYS MYR 97,103,048 0.28 331,212,000 Government of Poland, 6.25%, 10/24/15 POL PLN 96,906,245 0.28 2,190,785,000 Uruguay Notas del Tesoro, 10.50%, 03/21/15 URY UYU 89,169,454 0.26 134,315,620 Mexico Treasury Bill, 0.00%, 09/17/15 MEX MXN 89,013,929 0.26 101,196,000 Canada Treasury Bill, 0.00%, 03/12/15 CAN CAD 87,001,868 0.25 309,135,000 Government of Poland, Strip, 07/25/15 POL PLN 86,535,270 0.25 93,166,000,000 Korea Treasury Bond, senior note, 4.00%, 09/10/15 KOR KRW 86,284,172 0.25 8,617,900,000 Serbia Treasury Note, 10.00%, 03/01/15 SER RSD 86,171,699 0.25 126,507,120 Mexico Treasury Bill, 0.00%, 07/23/15 MEX MXN 84,293,755 0.24 105,219,000 Monetary Authority of Singapore Treasury Bill, 0.00%, 02/13/15 SGP SGD 79,365,370 0.23 1,889,064,000 Uruguay Treasury Bill, Strip, 03/26/15 URY UYU 75,395,135 0.22 7,237,170,000 Serbia Treasury Note, 10.00%, 04/27/15 SER RSD 72,612,987 0.21 107,595,250 Mexico Treasury Bill, 0.00%, 03/12/15 MEX MXN 72,538,870 0.21 108,439,100 Mexico Treasury Bill, 0.00%, 06/11/15 MEX MXN 72,534,183 0.21 249,295,000 Bank of Negara Monetary Note, 0.00%, 01/08/15 MYS MYR 71,259,940 0.21 17,424,060,000 Government of Hungary, 7.75%, 08/24/15 HUN HUF 69,202,454 0.20 1,727,218,000 Uruguay Treasury Bill, 0.00%, 05/04/15 URY UYU 67,870,397 0.20 1,717,379,000 Uruguay Treasury Bill, Strip, 05/14/15 URY UYU 67,348,485 0.20 100,622,340 Mexico Treasury Bill, 0.00%, 11/12/15 MEX MXN 66,346,874 0.19 192,470 Letra Tesouro Nacional, Strip, 10/01/15 BRA BRL 66,188,496 0.19 230,150,000 Bank of Negara Monetary Note, 0.00%, 08/11/15 MYS MYR 64,507,823 0.19 82,437,000 Monetary Authority of Singapore Treasury Bill, 0.00%, 01/30/15 SGP SGD 62,195,194 0.18 5,939,000,000 Serbia Treasury Bond, 10.00%, 04/04/15 SER RSD 59,452,155 0.17 205,490,000 Bank of Negara Monetary Note, 0.00%, 04/16/15 MYS MYR 58,210,706 0.17 196,260,000 Bank of Negara Monetary Note, 0.00%, 01/22/15 MYS MYR 56,028,259 0.16 193,900,000 Bank of Negara Monetary Note, 0.00%, 03/12/15 MYS MYR 55,105,532 0.16 194,310,000 Bank of Negara Monetary Note, 0.00%, 07/16/15 MYS MYR 54,577,964 0.16 55,600 Nota Do Tesouro Nacional, Index Linked, 6.00%, 05/15/15 BRA BRL 53,077,678 0.15 5,000,000,000 Serbia Treasury Note, 10.00%, 03/21/15 SER RSD 50,019,934 0.15 71,043,850 Mexico Treasury Bill, 0.00%, 04/16/15 MEX MXN 47,752,009 0.14 165,260,000 Bank of Negara Monetary Note, 0.00%, 03/24/15 MYS MYR 46,914,178 0.14 165,780,000 Bank of Negara Monetary Note, 0.00%, 10/01/15 MYS MYR 46,211,679 0.13 154,920,000 Government of Malaysia, 3.197%, 10/15/15 MYS MYR 44,240,260 0.13 4,318,900,000 Serbia Treasury Note, 10.00%, 10/18/15 SER RSD 43,647,450 0.13 146,810,000 Bank of Negara Monetary Note, 0.00%, 02/17/15 MYS MYR 41,811,354 0.12 138,440,000 Bank of Negara Monetary Note, 0.00%, 06/30/15 MYS MYR 38,943,352 0.11 124,660,000 Government of Ghana, 14.99%, 02/23/15 GHA GHS 38,637,359 0.11 983,335,900 Uruguay Treasury Bill, Strip, 07/02/15 URY UYU 37,762,667 0.11 131,230,000 Bank of Negara Monetary Note, 0.00%, 01/29/15 MYS MYR 37,439,489 0.11 130,620,000 Bank of Negara Monetary Note, 0.00%, 06/16/15 MYS MYR 36,795,129 0.11 126,750,000 Bank of Negara Monetary Note, 0.00%, 08/04/15 MYS MYR 35,549,451 0.10 3,833,600,000 Government of Sri Lanka, A, 11.00%, 08/01/15 LKA LKR 30,059,281 0.09 1,240,000,000 Government of the Philippines, senior bond, 8.375%, 05/22/15 PHL PHP 28,186,417 0.08 87,825,000 Government of Ghana, 24.00%, 05/25/15 GHA GHS 27,543,409 0.08 2,692,600,000 Serbia Treasury Note, 10.00%, 09/14/15 SER RSD 27,184,981 0.08 40,596,480 Mexico Treasury Bill, 0.00%, 10/01/15 MEX MXN 26,873,901 0.08 90,625,000 Bank of Negara Monetary Note, 0.00%, 05/19/15 MYS MYR 25,594,791 0.07 27,529,600,000 Korea Monetary Stabilization Bond, 0.00%, 01/13/15 KOR KRW 25,158,363 0.07 72,330,000 Bank of Negara Monetary Note, 0.00%, 04/28/15 MYS MYR 20,466,918 0.06 67,550,000 Bank of Negara Monetary Note, 0.00%, 04/23/15 MYS MYR 19,123,035 0.06 854,190,000 Philippine Treasury Bill, 0.00%, 09/02/15 PHL PHP 18,830,372 0.05 66,600,000 Bank of Negara Monetary Note, 0.00%, 06/03/15 MYS MYR 18,783,429 0.05 789,000,000 Government of the Philippines, senior bond, 6.375%, 05/13/15 PHL PHP 17,814,797 0.05


Number of shares or



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% ofnet

assets





Securities Maturing Within One Year (continued) 19,117,800,000 Korea Monetary Stabilization Bond, senior note, 2.13%, 10/08/15 KOR KRW 17,487,151 0.05 61,140,000 Bank of Negara Monetary Note, 0.00%, 05/28/15 MYS MYR 17,253,143 0.05 17,580,000,000 Korea Treasury Bond, senior note, 4.50%, 03/10/15 KOR KRW 16,141,355 0.05 714,920,000 Philippine Treasury Bill, 0.00%, 07/08/15 PHL PHP 15,807,032 0.05 41,392 Letra Tesouro Nacional, Strip, 01/01/15 BRA BRL 15,568,703 0.05 395,415,000 Uruguay Treasury Bill, Strip, 10/08/15 URY UYU 14,688,842 0.04 237,685,000 ING Americas Issuance BV, 5.50%, 08/24/15 UKR UAH 14,256,442 0.04 626,160,000 Philippine Treasury Bill, 0.00%, 12/02/15 PHL PHP 13,737,516 0.04 369,370,000 Uruguay Treasury Bill, Strip, 11/26/15 URY UYU 13,497,561 0.04 47,560,000 Bank of Negara Monetary Note, 0.00%, 11/03/15 MYS MYR 13,215,736 0.04 565,890,000 Philippine Treasury Bill, 0.00%, 10/07/15 PHL PHP 12,451,856 0.04 1,496,300,000 Government of Sri Lanka, B, 11.00%, 09/01/15 LKA LKR 11,773,897 0.03 1,077,100,000 Serbia Treasury Note, 10.00%, 09/28/15 SER RSD 10,879,000 0.03 391,020,000 Philippine Treasury Bill, 0.00%, 04/08/15 PHL PHP 8,688,455 0.03 2,249,460,000 Government of Hungary, A, 8.00%, 02/12/15 HUN HUF 8,656,267 0.03 761,800,000 Serbia Treasury Note, 10.00%, 12/06/15 SER RSD 7,706,989 0.02 982,260,000 Government of Sri Lanka, A, 6.50%, 07/15/15 LKA LKR 7,512,342 0.02 331,070,000 Philippine Treasury Bill, 0.00%, 06/03/15 PHL PHP 7,334,124 0.02 24,960,000 Bank of Negara Monetary Note, 0.00%, 09/22/15 MYS MYR 6,963,672 0.02 23,560,000 Bank of Negara Monetary Note, 0.00%, 10/27/15 MYS MYR 6,551,115 0.02 96,321,600 ING Americas Issuance BV, Reg S, 5.50%, 08/25/15 UKR UAH 5,777,147 0.02 248,560,000 Philippine Treasury Bill, 0.00%, 08/05/15 PHL PHP 5,487,559 0.02 138,830,000 Uruguay Treasury Bill, 0.00%, 07/10/15 URY UYU 5,319,947 0.02 6,820,000 Monetary Authority of Singapore Treasury Bill, 0.00%, 01/20/15 SGP SGD 5,146,310 0.01 478,900,000 Serbia Treasury Note, 10.00%, 11/08/15 SER RSD 4,837,448 0.01 16,880,000 Bank of Negara Monetary Note, 0.00%, 04/07/15 MYS MYR 4,785,732 0.01 585,480,000 Government of Sri Lanka, A, 8.50%, 11/01/15 LKA LKR 4,544,610 0.01 60,255,000 Rabobank Nederland, zero cpn., 10/05/15 NLD MXN 3,991,005 0.01 176,430,000 Philippine Treasury Bill, 0.00%, 11/04/15 PHL PHP 3,876,450 0.01 92,253,306 Government of Uruguay, Index Linked, zero cpn., 03/26/15 URY UYU 3,755,742 0.01 152,290,000 Philippine Treasury Bill, 0.00%, 05/06/15 PHL PHP 3,378,786 0.01 6,800,000 Government of Peru, 9.91%, 05/05/15 PER PEN 2,326,285 0.01 29,108,200 Citigroup Inc., Reg S, FRN, 5.50%, 09/01/15 † UKR UAH 1,745,842 0.01 30,480,000 Uruguay Treasury Bill, 0.00%, 10/23/15 URY UYU 1,125,638 0.00 18,124,400 Citigroup Inc., FRN, 5.50%, 09/01/15 † UKR UAH 1,087,060 0.00 17,132,400 Citigroup Inc., FRN, 5.50%, 09/01/15 † UKR UAH 1,027,562 0.00 1,085,000 Government of Canada, 1.50%, 08/01/15 CAN CAD 937,076 0.00 18,150,000 Uruguay Treasury Bill, 0.00%, 06/05/15 URY UYU 704,395 0.00 430,000 Canada Treasury Bill, 0.00%, 04/23/15 CAN CAD 369,252 0.00 46,140,000 Government of Sri Lanka, A, 11.75%, 03/15/15 LKA LKR 355,758 0.00 5,657,000 ING Americas Issuance BV, Reg S, 5.50%, 08/21/15 UKR UAH 339,357 0.00

11,525,960,661 33.47

TOTAL BONDS 29,637,610,924 86.07




Securities Maturing Within One Year 2,429,500 Fontainebleau Las Vegas, senior secured note, first lien, 144A, 11.00%,

06/15/15 * USA USD 30,369 0.00




‡ Income may be received in additional securities and/or cash * These Corporate Bonds are currently in default † Floating Rates are indicated as at December 31, 2014 ** These securities are submitted to a Fair Valuation


Number of shares or



Marketvalue

% ofnet

assets





TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Aerospace & Defense 6,055,985 BAE Systems PLC GBR GBP 36,821,710 0.52

Air Freight & Logistics 1,092,860 United Parcel Service Inc., B USA USD 100,407,644 1.43 4,084,588 TNT Express NV NLD EUR 22,632,702 0.32

123,040,346 1.75

Airlines 7,637,330 Deutsche Lufthansa AG DEU EUR 105,624,274 1.51 11,811,600 International Consolidated Airlines Group SA GBR GBP 73,962,488 1.05

179,586,762 2.56

Auto Components 1,105,030 Cie Generale des Etablissements Michelin, B FRA EUR 83,175,608 1.19

Automobiles 9,484,600 Nissan Motor Co. Ltd. JPN JPY 69,145,068 0.99 1,217,000 Toyota Motor Corp. JPN JPY 63,440,218 0.90

132,585,286 1.89

Banks 3,324,010 Citigroup Inc. USA USD 148,646,434 2.12 12,933,579 HSBC Holdings PLC GBR HKD 101,940,918 1.45 8,684,156 ING Groep NV, IDR NLD EUR 94,049,409 1.34 1,874,850 BNP Paribas SA FRA EUR 92,355,111 1.32 1,640,160 JPMorgan Chase & Co. USA USD 84,827,450 1.21 2,308,930 SunTrust Banks Inc. USA USD 79,953,859 1.14 6,930,410 Credit Agricole SA FRA EUR 74,571,212 1.06 13,759,466 UniCredit SpA ITA EUR 73,406,751 1.05 4,636,792 DBS Group Holdings Ltd. SGP SGD 59,586,675 0.85 2,084,865 KB Financial Group Inc., ADR KOR USD 56,205,205 0.80 2,314,620 Commerzbank AG DEU EUR 25,414,528 0.36 3,862,500 Bangkok Bank PCL, fgn. THA THB 18,834,455 0.27 190,864 KB Financial Group Inc. KOR KRW 5,213,447 0.08

915,005,454 13.05

Biotechnology 1,020,640 Amgen Inc. USA USD 134,361,776 1.92 230,340 Gilead Sciences Inc. USA USD 17,943,677 0.25

152,305,453 2.17

Capital Markets 3,368,260 Morgan Stanley USA USD 108,007,017 1.54 3,705,218 Credit Suisse Group AG CHE CHF 77,247,099 1.10

185,254,116 2.64

Chemicals 1,323,566 Akzo Nobel NV NLD EUR 76,303,580 1.09

Commercial Services & Supplies 10,189,318 Serco Group PLC GBR GBP 21,092,990 0.30

Communications Equipment 5,096,820 Cisco Systems Inc. USA USD 117,163,679 1.67 5,866,822 Ericsson, B SWE SEK 58,656,341 0.84

175,820,020 2.51

Construction & Engineering 978,790 FLSmidth & Co. AS DNK DKK 35,787,454 0.51

Construction Materials 4,232,921 CRH PLC IRL EUR 84,235,128 1.20 147,424 CRH PLC IRL GBP 2,932,194 0.04

87,167,322 1.24


Diversified Telecommunication Services 8,172,794 Telefonica SA ESP EUR 97,419,704 1.39 27,699,000 Singapore Telecommunications Ltd. SGP SGD 67,389,622 0.96 4,389,500 Orange SA FRA EUR 62,111,425 0.89 969,538 Verizon Communications Inc. USA USD 37,483,462 0.53 1,362,912 Vivendi SA FRA EUR 28,198,649 0.40

292,602,862 4.17

— Templeton Growth (Euro) Fund —

Number of shares or



Marketvalue

% ofnet

assets






Electrical Equipment 6,953,260 Dongfang Electric Corp. Ltd., H CHN HKD 10,568,166 0.15

Electronic Equipment, Instruments & Component 5,575,080 Flextronics International Ltd. SGP USD 51,511,897 0.73

Energy Equipment & Services 4,133,920 Noble Corp. PLC USA USD 56,610,790 0.81 645,130 Baker Hughes Inc. USA USD 29,894,578 0.43 269,740 Technip SA FRA EUR 13,329,202 0.19 665,917 Saipem SpA ITA EUR 5,836,763 0.08 942,815 Paragon Offshore PLC USA USD 2,158,345 0.03

107,829,678 1.54

Food & Staples Retailing 1,116,507 CVS Health Corp. USA USD 88,868,423 1.27 2,997,980 Metro AG DEU EUR 75,878,874 1.08 22,197,970 Tesco PLC GBR GBP 54,044,589 0.77

218,791,886 3.12

Health Care Equipment & Supplies 1,638,990 Medtronic Inc. USA USD 97,797,588 1.39 3,801,170 Getinge AB, B SWE SEK 71,617,507 1.02

169,415,095 2.41

Industrial Conglomerates 703,950 Siemens AG DEU EUR 65,995,313 0.94 2,229,500 Koninklijke Philips NV NLD EUR 53,842,425 0.77

119,837,738 1.71

Insurance 2,457,470 American International Group Inc. USA USD 113,754,461 1.62 4,360,355 AXA SA FRA EUR 83,740,618 1.20 1,050,340 Swiss Re AG CHE CHF 73,035,958 1.04 11,069,274 Aviva PLC GBR GBP 69,086,005 0.99 213,240 Muenchener Rueckversicherungs-Gesellschaft AG DEU EUR 35,344,530 0.50 1,158,800 NN Group NV NLD EUR 28,790,386 0.41

403,751,958 5.76

Life Sciences Tools & Services 1,581,200 QIAGEN NV NLD EUR 30,612,032 0.44

Machinery 2,347,570 Navistar International Corp. USA USD 64,955,905 0.93

Media 3,065,080 Comcast Corp., Special A USA USD 145,819,285 2.08 2,630,360 Twenty-First Century Fox Inc., A USA USD 83,486,759 1.19 891,720 The Walt Disney Co. USA USD 69,414,139 0.99 676,040 Viacom Inc., B USA USD 42,042,984 0.60 3,171,263 Sky PLC GBR GBP 36,725,618 0.52 2,456,005 News Corp., A USA USD 31,846,876 0.46

409,335,661 5.84

Metals & Mining 4,574,784 Mining and Metallurgical Co. Norilsk Nickel OJSC, ADR RUS USD 53,763,165 0.77 256,002 POSCO KOR KRW 53,291,454 0.76

107,054,619 1.53

Multiline Retail 622,880 Target Corp. USA USD 39,076,712 0.56

Oil, Gas & Consumable Fuels 19,627,400 Talisman Energy Inc. CAN CAD 127,113,910 1.81 1,950,770 Total SA, B FRA EUR 82,946,740 1.18 2,205,026 Royal Dutch Shell PLC, B GBR GBP 63,427,792 0.91 4,175,868 Eni SpA ITA EUR 60,591,845 0.86 10,424,038 BP PLC GBR GBP 55,189,310 0.79 69,040,700 Kunlun Energy Co. Ltd. CHN HKD 54,159,500 0.77 21,461,500 China Shenhua Energy Co. Ltd., H CHN HKD 52,382,618 0.75 5,741,080 Galp Energia SGPS SA, B PRT EUR 48,403,046 0.69 484,290 Chevron Corp. USA USD 44,898,887 0.64 5,980,207 Petroleo Brasileiro SA, ADR, pfd. BRA USD 37,462,785 0.53

626,576,433 8.93

Pharmaceuticals 2,967,103 Teva Pharmaceutical Industries Ltd., ADR ISR USD 141,023,221 2.01 4,954,780 Pfizer Inc. USA USD 127,554,876 1.82 551,910 Roche Holding AG CHE CHF 123,826,052 1.77

Number of shares or



Marketvalue

% ofnet

assets






Pharmaceuticals (continued) 1,454,030 Sanofi FRA EUR 110,011,910 1.57 5,124,347 GlaxoSmithKline PLC GBR GBP 90,831,006 1.29 854,450 Merck KGaA DEU EUR 67,005,969 0.96 1,426,270 Merck & Co. Inc. USA USD 66,940,393 0.95 262,477 Actavis PLC USA USD 55,838,187 0.80

783,031,614 11.17

Software 5,565,730 Microsoft Corp. USA USD 213,659,640 3.05 1,149,580 Oracle Corp. USA USD 42,724,474 0.61 608,070 SAP SE DEU EUR 35,426,158 0.50

291,810,272 4.16

Specialty Retail 21,859,579 Kingfisher PLC GBR GBP 95,881,776 1.37 1,505,590 Best Buy Co. Inc. USA USD 48,502,396 0.69

144,384,172 2.06

Technology Hardware, Storage & Peripherals 194,840 Samsung Electronics Co. Ltd. KOR KRW 195,362,699 2.79 3,715,700 Hewlett-Packard Co. USA USD 123,232,268 1.76 4,326,339 Konica Minolta Inc. JPN JPY 39,536,992 0.56

358,131,959 5.11

Wireless Telecommunication Services 6,803,362 Turkcell Iletisim Hizmetleri AS, ADR TUR USD 85,013,914 1.21 20,107,934 Vodafone Group PLC GBR GBP 57,672,305 0.83 1,898,000 China Mobile Ltd. CHN HKD 18,348,271 0.26 500,724 Mobile TeleSystems, ADR RUS USD 2,971,238 0.04

164,005,728 2.34

TOTAL SHARES 6,615,072,204 94.33


TRANSFERABLE SECURITIES DEALT IN ON ANOTHER REGULATED MARKET SHARES Diversified Financial Services 115,348 Templeton China Opportunities Fund, AT Class F2 (Acc) LUX USD 39,288,984 0.56

TOTAL SHARES 39,288,984 0.56



Number of shares or



Marketvalue

% ofnet

assets





TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Auto Components 108,813 Hankook Tire Co. Ltd. KOR KRW 5,242,873 6.00 15,730 Hyundai Mobis Co. Ltd. KOR KRW 3,394,054 3.89

8,636,927 9.89

Automobiles 21,580 Hyundai Motor Co. KOR KRW 3,334,388 3.82

Banks 181,950 Shinhan Financial Group Co. Ltd. KOR KRW 7,394,380 8.47 135,590 Hana Financial Group Inc. KOR KRW 3,966,940 4.54 115,720 KB Financial Group Inc. KOR KRW 3,824,676 4.38

15,185,996 17.39

Chemicals 23,680 LG Chem Ltd. KOR KRW 3,918,666 4.49

Construction & Engineering 121,450 Hyundai Development Co. KOR KRW 4,297,209 4.92 66,283 Daelim Industrial Co. Ltd. KOR KRW 3,987,549 4.57 101,942 Samsung Engineering Co. Ltd. KOR KRW 3,532,403 4.05

11,817,161 13.54

Food Products 60,128 Binggrae Co. Ltd. KOR KRW 4,145,015 4.75

Machinery 463,350 Daewoo Shipbuilding & Marine Engineering Co. Ltd. KOR KRW 7,900,707 9.05 233,720 Samsung Heavy Industries Co. Ltd. KOR KRW 4,263,014 4.88

12,163,721 13.93

Multiline Retail 15,362 Lotte Shopping Co. Ltd. KOR KRW 3,834,320 4.39

Oil, Gas & Consumable Fuels 67,529 SK Innovation Co. Ltd. KOR KRW 5,254,094 6.02

Textiles, Apparel & Luxury Goods 77,180 Fila Korea Ltd. KOR KRW 7,867,878 9.01 38,464 Youngone Holdings Co. Ltd. KOR KRW 3,126,325 3.58 47,480 Youngone Corp. KOR KRW 2,300,724 2.64

13,294,927 15.23

TOTAL SHARES 81,585,215 93.45



— Templeton Korea Fund —

Number of shares or



Marketvalue

% ofnet

assets





TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Airlines 142,457 Copa Holdings SA PAN USD 14,764,243 1.06

Banks 37,384,939 Itausa – Investimentos Itau SA, pfd. BRA BRL 132,095,796 9.53 7,306,148 Itau Unibanco Holding SA, ADR BRA USD 95,052,985 6.86 6,247,500 Banco Bradesco SA, ADR, pfd. BRA USD 83,529,075 6.02 254,900 Credicorp Ltd. PER USD 40,829,882 2.95 6,557,368 Grupo Financiero Banorte SAB de CV MEX MXN 36,250,959 2.61 1,116,090 Intercorp Financial Services Inc., Reg S PER USD 33,929,136 2.45 282,902 Bancolombia SA, ADR COL USD 13,545,348 0.98 494,990 Banco Santander Chile, ADR CHL USD 9,761,203 0.70

444,994,384 32.10

Beverages 11,348,647 Ambev SA BRA BRL 69,821,403 5.03 2,771,824 Cia Cervecerias Unidas SA, ADR CHL USD 51,417,335 3.71 6,097,945 Embotelladora Andina SA, pfd., A CHL CLP 14,790,205 1.07

136,028,943 9.81

Chemicals 251,136 Sociedad Quimica Y Minera de Chile SA Soquimich, ADR CHL USD 5,997,128 0.43

Commercial Services & Supplies 530,400 Valid Solucoes E Servicos DE Seguranca EM Meios DE Pagamento E

Identificacao SA BRA BRL 8,462,450 0.61

Consumer Finance 11,493,341 Credito Real SAB de CV MEX MXN 24,614,113 1.77

Diversified Consumer Services 733,400 Estacio Participacoes SA BRA BRL 6,573,693 0.47 158,700 Ser Educacional SA BRA BRL 1,767,049 0.13

8,340,742 0.60

Diversified Financial Services 13,503,000 BM&F BOVESPA SA BRA BRL 50,048,749 3.61 13,337,600 Bolsa Mexicana De Valores SA MEX MXN 24,167,955 1.74

74,216,704 5.35

Energy Equipment & Services 1,599,639 Tenaris SA, ADR ARG USD 48,325,094 3.49

Food & Staples Retailing 31,384,123 Wal-Mart de Mexico SAB de CV, V MEX MXN 67,531,413 4.87

Food Products 2,933,609 Grupo Herdez SAB de CV MEX MXN 7,042,571 0.51

Household Products 3,433,600 Kimberly Clark de Mexico SAB de CV, A MEX MXN 7,476,800 0.54

Independent Power and Renewable Electricity Producers 825,136 AES Tiete SA BRA BRL 4,766,072 0.34

IT Services 16,604,239 Sonda SA CHL CLP 39,380,691 2.84

Machinery 5,027,700 Marcopolo SA, pfd. BRA BRL 6,299,997 0.45

Metals & Mining 9,599,503 Bradespar SA, pfd. BRA BRL 51,654,899 3.73 2,629,574 Ternium SA, ADR ARG USD 46,385,685 3.34 1,635,600 Southern Copper Corp. PER USD 46,123,920 3.33 10,950,500 Grupo Mexico SA de CV, B MEX MXN 31,776,204 2.29 3,307,700 Vale SA, ADR, pfd., A BRA USD 24,013,902 1.73 1,636,170 Compania de Minas Buenaventura SA, ADR PER USD 15,641,785 1.13

215,596,395 15.55

Multiline Retail 7,233,175 Lojas Americanas SA BRA BRL 35,655,538 2.57 4,123,750 Lojas Americanas SA, pfd. BRA BRL 26,752,004 1.93 5,229,300 Grupo Sanborns SA de CV MEX MXN 8,156,374 0.59

70,563,916 5.09

Oil, Gas & Consumable Fuels 2,577,055 Pacific Rubiales Energy Corp. COL CAD 15,956,104 1.15

— Templeton Latin America Fund —

Number of shares or



Marketvalue

% ofnet

assets





Paper & Forest Products 6,233,561 Duratex SA BRA BRL 18,835,558 1.36

Personal Products 3,307,403 Natura Cosmeticos SA BRA BRL 39,639,054 2.86

Road & Rail 3,643,358 Localiza Rent a Car SA BRA BRL 48,957,409 3.53 4,652,880 JSL SA BRA BRL 22,323,319 1.61

71,280,728 5.14

Software 658,900 Totvs SA BRA BRL 8,677,893 0.63

Specialty Retail 1,811,800 Cia Hering BRA BRL 13,805,814 1.00

Water Utilities 10,087,095 Inversiones Aguas Metropolitanas SA CHL CLP 15,625,440 1.13

TOTAL SHARES 1,368,222,247 98.68



— Templeton Latin America Fund —

Number of shares or



Marketvalue

% ofnet

assets





— Templeton Thailand Fund —

TRANSFERABLE SECURITIES ADMITTED TO AN OFFICIAL STOCK EXCHANGE LISTING SHARES Banks 2,378,300 Siam Commercial Bank PCL, fgn. THA THB 13,164,556 6.88 1,839,400 Kasikornbank PCL, fgn. THA THB 12,810,906 6.70 979,360 Bangkok Bank PCL, fgn. THA THB 5,838,034 3.05 4,066,883 Tisco Financial Group PCL, fgn. THA THB 5,256,768 2.75 6,861,154 Krung Thai Bank PCL, fgn. THA THB 4,736,867 2.48

41,807,131 21.86

Beverages 13,130,000 Thai Beverage PCL, fgn. THA SGD 6,838,542 3.58

Building Products 1,192,600 Dynasty Ceramic PCL, fgn. THA THB 2,049,328 1.07

Chemicals 1,791,312 PTT Global Chemical PCL, fgn. THA THB 2,792,115 1.46

Construction & Engineering 9,979,200 Unique Engineering & Construction PCL, fgn. THA THB 3,490,292 1.82

Construction Materials 661,746 Siam Cement PCL, fgn. THA THB 9,056,743 4.74

Food & Staples Retailing 921,700 Big C Supercenter PCL, NVDR THA THB 6,643,640 3.47 174,100 Big C Supercenter PCL, fgn. THA THB 1,254,918 0.66

7,898,558 4.13

Food Products 1,830,000 Thai Union Frozen Products PCL, fgn. THA THB 5,036,952 2.63 422,200 Univanich Palm Oil PCL, fgn. THA THB 136,111 0.07

5,173,063 2.70

Health Care Providers & Services 37,831,525 Bangkok Chain Hospital PCL, fgn. THA THB 9,089,691 4.75 8,692,600 Bangkok Dusit Medical Services PCL, fgn. THA THB 4,547,224 2.38

13,636,915 7.13

Hotels, Restaurants & Leisure 58,749,300 The Erawan Group PCL, fgn. THA THB 8,290,656 4.34 1,983,254 Minor International PCL, fgn. THA THB 1,960,333 1.02 350,700 MK Restaurant Group PCL, fgn. THA THB 623,964 0.33

10,874,953 5.69

Insurance 385,000 Thaire Life Assurance PCL THA THB 162,759 0.09

Media 9,018,000 Major Cineplex Group PCL, fgn. THA THB 7,610,995 3.98 4,113,670 BEC World PCL, fgn. THA THB 6,380,692 3.33 3,137,272 VGI Global Media PCL, fgn. THA THB 1,125,907 0.59

15,117,594 7.90

Multiline Retail 576,400 Robinson Department Store PCL, fgn. THA THB 788,869 0.41

Oil, Gas & Consumable Fuels 911,930 PTT PCL, fgn. THA THB 8,986,171 4.70 1,639,252 PTT Exploration and Production PCL, fgn. THA THB 5,583,827 2.92

14,569,998 7.62

Real Estate Management & Development 24,853,000 Land and Houses PCL, NVDR THA THB 6,840,622 3.58 60,393,500 Quality Houses PCL, fgn. THA THB 6,722,634 3.52 24,048,096 Land and Houses PCL, fgn. THA THB 6,619,078 3.46 10,500,900 Amata Corp. PCL, fgn. THA THB 5,014,116 2.62 5,699,900 Supalai PCL, fgn. THA THB 4,177,846 2.18 16,908,666 Sansiri PCL, fgn. THA THB 874,231 0.46 2,427,800 Hemaraj Land and Development PCL, fgn. THA THB 324,888 0.17

30,573,415 15.99

Specialty Retail 5,258,000 Beauty Community PCL, fgn. THA THB 5,397,126 2.82

Wireless Telecommunication Services 4,293,750 Intouch Holdings PCL, fgn. THA THB 10,283,844 5.38 1,285,300 Advanced Info Service PCL, fgn. THA THB 9,811,749 5.13

20,095,593 10.51

TOTAL SHARES 190,322,994 99.52

Number of shares or



Marketvalue

% ofnet

assets





WARRANTS Hotels, Restaurants & Leisure 158,372 Minor International PCL, fgn., wts., 11/03/17 THA THB 23,409 0.01

Media 1,146,393 VGI Global Media PCL, fgn., wts., 05/01/18 THA THB 58,226 0.03

Real Estate Management & Development 3,452,320 Land and Houses PCL, NVDR., wts., 05/05/17 THA THB 577,487 0.30 1,357,299 Land and Houses PCL, wts., 5/05/17 THA THB 227,042 0.12

804,529 0.42




— Templeton Thailand Fund —

Additional Information – Unaudited



CollateralThe following table reports the collateral held as at December 31, 2014 to reduce counterparty exposure on OTC derivatives.

Additional Information

Fund Counterparty Cash held as collateral

Sovereign Bonds held as collateral

Franklin Brazil Opportunities Fund Deutsche Bank USD 1,820,000.00 –

Franklin European Growth Fund Bank of America – USD 115,000.00

JPMorgan Chase Bank – USD 2,000.00

Franklin Global Aggregate Bond Fund Morgan Stanley USD 145,000.00 –

Franklin Global Aggregate Investment Grade Bond Fund Barclays Bank USD 260,000.00 –

Citibank USD 270,000.00 –

Franklin Global Allocation Fund Deutsche Bank USD 220,000.00 –

Franklin Global Fundamental Strategies Fund Bank of America – USD 930,000.00

Barclays Bank USD 1,710,000.00 5,565,000.00

Citibank USD 2,290,000.00 –

Deutsche Bank USD 8,200,000.00 –

Goldman Sachs – USD –

HSBC Bank – GBP 450,000.00

HSBC Bank – USD 2,502,000.00

JPMorgan Chase Bank – USD 6,110,000.00

Standard Chartered USD 1,280,000.00 –

Franklin Global Real Estate Fund Morgan Stanley USD 78,000.00 –

Franklin Gold and Precious Metals Fund Morgan Stanley USD 56,000.00 –

Franklin High Yield Fund Deutsche Bank USD 1,590,000.00 –

Franklin MENA Fund Morgan Stanley USD 78,000.00 –

Franklin Strategic Income Fund Barclays Bank USD 1,661,000.00 –

Credit Suisse USD 3,670,000.00 –


Goldman Sachs USD 340,000.00 –



Morgan Stanley USD 260,000.00 –

Franklin U.S. Equity Fund Morgan Stanley USD 166,000.00 –

Franklin U.S. Focus Fund Morgan Stanley USD 67,000.00 –

Franklin U.S. Low Duration Fund Barclays Bank USD 690,000.00 –

Citibank USD 290,000.00 –

Credit Suisse USD 370,000.00 –



HSBC Bank USD 270,000.00 –


Franklin U.S. Total Return Fund Barclays Bank USD 305,000.00 –

Deutsche Bank USD 540,000.00 1,256,000.00

Franklin World Perspectives Fund Deutsche Bank USD 60,000.00 –

Franklin Mutual Beacon Fund Bank of America – USD 575,000.00

Credit Suisse USD 810,000.00 –

Deutsche Bank USD 224,000.00 826,000.00

HSBC Bank – EUR 430,000.00

HSBC Bank – USD 290,000.00


Standard Chartered USD 270,000.00 –

Templeton Africa Fund Morgan Stanley USD 100,000.00 –

Templeton Asian Bond Fund Barclays Bank USD 3,389,000.00 –

Citibank USD 10,425,000.00 –



Templeton Constrained Bond Fund JPMorgan Chase Bank USD 110,000.00 –

Templeton Emerging Markets Fund Morgan Stanley USD 56,000.00 –



Collateral (continued)

The following table reports the collateral held as at December 31, 2014 to reduce counterparty exposure on OTC derivatives.

Additional Information (continued)

Fund Counterparty Cash held as collateral

Sovereign Bonds held as collateral

Templeton Emerging Markets Balanced Fund Deutsche Bank USD 220,000.00 –


Templeton Emerging Markets Bond Fund Barclays Bank USD 34,431,000.00 –


Goldman Sachs USD 12,790,000.00 –

HSBC Bank – GBP 3,280,000.00

HSBC Bank USD 1,800,000.00 9,285,000.00



Templeton Global Balanced Fund Barclays Bank USD 260,000.00 –

HSBC Bank USD 260,000.00 –

Templeton Global Bond Fund Bank of America EUR 98,005,000.00 –

Bank of America – USD 4,468,000.00

Barclays Bank USD 486,725,000.00 –

Citibank USD 87,850,000.00 –



HSBC Bank – GBP 24,310,000.00

HSBC Bank USD 690,000.00 40,305,000.00


Morgan Stanley USD 69,885,000.00 –


Templeton Global High Yield Fund Deutsche Bank USD 2,970,000.00 –

JPMorgan Chase Bank USD 250,000.00 –



Templeton Global Income Fund Bank of America – USD 1,610,000.00

Barclays Bank USD 3,270,000.00 –

Citibank USD 1,810,000.00 –




HSBC Bank – USD 1,792,000.00




Templeton Global Total Return Fund Barclays Bank USD 466,428,000.00 28,627,000.00

Citibank USD 187,690,000.00 –




Morgan Stanley USD 26,157,000.00 –




Franklin Templeton Investments Office DirectoryFurther information regarding Franklin Templeton Investment Funds is available from the following Franklin Templeton Investments offices:

EUROPEBELGIUMFRANKLIN TEMPLETON INTERNATIONAL SERVICES S.à r.l.Belgian Branch Office28, avenue Marnix, 1000 BrusselsBelgiumTél: +32 2 289 62 00 Fax: +32 2 289 62 19www.franklintempleton.be

FRANCEFRANKLIN TEMPLETON FRANCE S.A.20, rue de la PaixF-75002 Paris, FranceTel: +33 (0)1 40 73 86 00 Fax: +33 (0)1 40 73 86 10www.franklintempleton.fr

GERMANY AND AUSTRIAFRANKLIN TEMPLETON INVESTMENT SERVICES GMBHMainzer Landstr. 16Postfach 11 18 0360325 Frankfurt am Main, Germany Tel: +49 (0) 69 272 23 0 Fax: +49 (0) 69 272 23 120Germany Freefone: 08 00 0 73 80 02Austria Freefone: 08 00 29 59 11 www.franklintempleton.dewww.franklintempleton.at

ITALYFRANKLIN TEMPLETON ITALIA SIMCorso Italia n.120122 Milan, ItalyTel: +39 02 854 591 Fax: +39 02 854 59222Italy freefone: 800 915 919www.franklintempleton.it

LUXEMBOURGFRANKLIN TEMPLETON INTERNATIONAL SERVICES S.à r.l.8A, rue Albert Borschette, L-1246 Luxembourg B.P. 169, L-2011 Luxembourg Grand Duchy of LuxembourgTel: +352 46 66 67 1 Fax: +352 46 66 76www.franklintempleton.lu

THE NETHERLANDSFRANKLIN TEMPLETON INVESTMENTMANAGEMENT LIMITEDNetherlands Branch OfficeWorld Trade Center Amsterdam H-Toren 16e verdiepingZuidplein 1341077 XV Amsterdam, The Netherlands Tel: +31 (0) 20 575 2890 Fax: +31 (0) 20 575 2892Netherlands Freefone: 0800 256 8049 www.franklintempleton.nl

POLANDFRANKLIN TEMPLETON INVESTMENT POLAND Sp. Z.o.o.Rondo ONZ 1, Floor 26th

00-124 Warsaw, PolandTel: +48 22 337 13 50 Fax: +48 22 337 13 70www.franklintempleton.pl

SPAIN AND PORTUGALFRANKLIN TEMPLETON INVESTMENTMANAGEMENT LIMITEDSucursal en EspañaJosé Ortega y Gasset, 29-6º28006 Madrid, SpainTel: +34 91 426 3600 Fax: +34 91 577 1857www.franklintempleton.com.eswww.franklintempleton.com.pt

SWEDENFRANKLIN TEMPLETON INVESTMENTMANAGEMENT LIMITEDBirger Jarlsgatan 4SE-114 34 Stockholm, SwedenTel: +46 8 545 012 30 Fax: +46 8 545 012 39www.franklintempletonnordic.com

SWITZERLANDFRANKLIN TEMPLETON SWITZERLAND LTDStockerstrasse 38CH-8002 Zurich, SwitzerlandTel: +41 (0)44 217 81 81 Fax: +41 (0) 44 217 81 82www.franklintempleton.ch

UNITED KINGDOMLondonFRANKLIN TEMPLETON INVESTMENTMANAGEMENT LIMITEDThe Adelphi , 1-11 John Adam StreetLondon WC2N 6HT, UKTel: +44 (0) 20 7073 8500 Fax: +44 (0) 20 7073 8700UK Freefone: 0800 305 306www.franklintempleton.co.uk

EdinburghFRANKLIN TEMPLETON INVESTMENTMANAGEMENT LIMITED5 Morrison Street, Edinburgh EH3 8BH.Tel: +44 (0)131 242 4000 Fax: +44 (0)131 242 4533UK Freefone: 0800 305 306www.franklintempleton.co.uk

MIDDLE EAST AND AFRICASOUTH AFRICAFRANKLIN TEMPLETON INVESTMENTSWorld Trade Centre, Green Park, 9th FloorCorner West Road South & Lower RoadMorningside, Sandton, 2196South AfricaTel: +27 11 341 2300 Fax: +27 11 484 2301www.franklintempleton.co.za

UNITED ARAB EMIRATESFRANKLIN TEMPLETON INVESTMENTMANAGEMENT LIMITEDGate Building East Wing, 2nd FloorDubai International Financial CentreP.O. Box 506613Dubai, United Arab EmiratesTel: +971 (4) 428 4100 Fax: +971 (4) 428 4140www.franklintempletongem.com

ASIAHONG KONGFRANKLIN TEMPLETON INVESTMENTS(ASIA) LIMITED17/F Chater House, No. 8 Connaught Road CentralHong KongTel: 852-2877-7733 Fax: 852-2877-5401www.franklintempleton.com.hk

SINGAPORETEMPLETON ASSET MANAGEMENT LTD7 Temasek Boulevard#38-03 Suntec Tower OneSingapore 038987Tel: (65) 6241 2662 Fax: (65) 6332 2295www.franklintempleton.com.sg

TAIWANFRANKLIN TEMPLETON SECURITIES INVESTMENTCONSULTING (SINOAM) INC.*8th Floor, #87, Sec. 4Chung Hsiao East RoadTaipei, Taiwan, R.O.C.Tel: 886-2-2781-0088 Fax: 886-2-2781-7788www.franklin.com.tw

NORTH AMERICAUSAFRANKLIN TEMPLETON INVESTMENTS100 Fountain ParkwaySt. Petersburg, FL 33716Tel. 1 800 239 3894 Fax: 727 299 8736Email. [email protected]

SOUTH AMERICAARGENTINATEMPLETON ASSET MANAGEMENT LTDIngeniero Butty 220, 11th Floor(C1001 AFB) Buenos Aires, ArgentinaTel: 54-11-4313-0848 Fax: 54-11-4313-0885

*Master agent appointed in Taiwan for FTIF to be offered and sold to the public in Taiwan.

Please note that the websites mentioned above are directed at residents within the country stated on these websites. (Please refer to the website disclaimers).

Unaudited Semi-Annual ReportDecember 31, 2014

R.C.S. B35177

SOCIÉTÉ D’INVESTISSEMENT À CAPITAL VARIABLE

Franklin Templeton International Services S.à r.l.8A, rue Albert BorschetteL-1246 Luxembourgtel +352 (46) 66-67-1fax +352 (46) 66-76

FTIF SAR RGBR 12/14

Franklin Templeton Investment Funds