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    Franklin Resources Inc (BEN)

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    Franklin Resources, Inc., operating under the Franklin Templeton brand, is a global investment management organization. The company offers a diverse range of investment products and services, including sponsored funds, institutional and high-net-worth separate accounts, retail separately managed account programs, sub-advised products, and other investment vehicles . These products span various asset classes such as equity, fixed income, alternative, multi-asset, and cash management solutions . The company's revenues are primarily derived from investment management fees, which are based on a percentage of assets under management (AUM) .

    1. Investment Management Fees - Generates revenue through fees based on a percentage of assets under management, which are the largest contributor to the company's operating revenues .
    2. Sponsored Funds - Offers a variety of funds that are managed and marketed under the Franklin Templeton brand and other subsidiary names .
    3. Institutional and High-Net-Worth Separate Accounts - Provides tailored investment solutions for institutional clients and high-net-worth individuals .
    4. Retail Separately Managed Account Programs - Delivers personalized investment management services for retail investors .
    5. Sub-Advised Products - Supplies investment management services to products sponsored by other companies, which may be sold under those companies' brand names or on a co-branded basis .
    6. Sales and Distribution Fees - Earns revenue from fees associated with the distribution and sale of investment products .
    7. Shareholder Servicing Fees - Collects fees for providing services to shareholders of the investment products .
    8. Other Investment Vehicles - Includes various other investment solutions across different asset classes .
    NamePositionExternal RolesShort Bio

    Jennifer M. Johnson

    ExecutiveBoard

    President and CEO

    Director at Thermo Fisher Scientific Inc.

    Jennifer M. Johnson has been with BEN since May 2003, holding various leadership roles. She became CEO in February 2020 and has played a pivotal role in the company's growth and technological advancements.

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    Rupert H. Johnson, Jr.

    ExecutiveBoard

    Vice Chairman and Director

    None

    Rupert H. Johnson, Jr. has been with BEN since 1971 and Vice Chairman since December 1999. He has over 55 years of experience in the global fund management industry and has served on various industry boards.

    Adam B. Spector

    Executive

    EVP, Head of Global Distribution

    None

    Adam B. Spector joined BEN in October 2020 and became EVP, Head of Global Distribution in February 2023. He oversees global retail and institutional distribution, marketing, and product strategy.

    Matthew Nicholls

    Executive

    EVP, CFO, and COO

    None

    Matthew Nicholls is the EVP, CFO, and COO of BEN as of February 5, 2025. Further details about his tenure, achievements, or external roles are not provided in the documents.

    Terrence J. Murphy

    Executive

    EVP, Head of Public Markets

    None

    Terrence J. Murphy is listed as EVP, Head of Public Markets. Further details about his tenure, achievements, or external roles are not provided in the documents.

    Thomas C. Merchant

    Executive

    EVP, General Counsel, and Secretary

    None

    Thomas C. Merchant is the EVP, General Counsel, and Secretary of BEN as of November 1, 2023. Further details about his tenure, achievements, or external roles are not provided in the documents.

    1. With the ongoing investigations into Western Asset and the significant net outflows of $37 billion in the fourth quarter and $49 billion for the fiscal year , how does management plan to mitigate the impact on financial performance and regain client confidence in this segment?

    2. You have set a goal to fundraise at least $100 billion across private markets over the next five years ; given that you raised $14.8 billion in fiscal year 2024 , what specific strategies will you implement to achieve this ambitious target amidst market uncertainties in real estate and private credit?

    3. Considering your aim to scale ETF AUM by 3x and Canvas assets by 5x over the next five years , what are the key drivers you anticipate will contribute to this growth, and how will you differentiate your offerings in a highly competitive ETF market?

    4. With significant investments in AI, blockchain, and digital assets as strategic priorities , how are you balancing these investments with disciplined expense management, and how do you plan to generate tangible returns from these technologies?

    5. Despite improvements in mutual fund investment performance in the 1-, 3-, and 10-year periods , the company experienced long-term net outflows of $32.6 billion for the fiscal year ; what are the underlying factors contributing to these outflows, and what measures are you taking to reverse this trend and achieve sustainable organic growth?

    Program DetailsProgram 1
    Approval DateDecember 2023
    End Date/DurationNo expiration date
    Total additional amount27.2 million shares
    Remaining authorization amount29.9 million shares
    DetailsManage equity capital to maximize shareholder value; offset dilution from stock-based compensation; repurchase shares opportunistically
    YearAmount Due (Millions)Debt TypeInterest Rate (%)% of Total Debt
    2025 (March)400.0 Senior Notes2.850 3.5% = (400.0 / 11,831.1) * 100
    2025 (Remainder of Fiscal Year)120.1 CLO Debt2.39 - 13.68 (Weighted Avg: 7.30) 1.0% = (120.1 / 11,831.1) * 100
    Thereafter8,935.2 CLO Debt2.39 - 13.68 (Weighted Avg: 7.30) 75.5% = (8,935.2 / 11,831.1) * 100
    Not Specified1,000.0 Legg Mason Senior Notes4.750 - 5.625 8.5% = (1,000.0 / 11,831.1) * 100
    Not Specified1,375.8 Other Debt (Excluding CLOs)1.600 - 2.950 11.6% = (1,375.8 / 11,831.1) * 100
    NameStart DateEnd DateReason for Change
    PricewaterhouseCoopers LLP1974 PresentCurrent auditor

    Notable M&A activity and strategic investments in the past 3 years.

    CompanyYearDetails

    Putnam Investments

    2024

    Franklin Resources completed the acquisition on January 1, 2024, from Great-West Lifeco Inc. The deal involved 31.61 million shares, $221.7 million cash at closing plus $100.0 million deferred cash, totaling $1,234.4 million, and added significant AUM (up to $180 billion with positive net flows) while achieving over $150 million in annual cost savings, enhancing its position in the insurance and retirement sectors.

    BNY Alcentra Group Holdings, Inc.

    2022

    Franklin Templeton acquired the company on November 1, 2022, from The Bank of New York Mellon Corporation with an initial cash payment of approximately $587.3 million (including $188.3 million for investments) and contingent payments up to $350 million. The strategic move nearly doubled its alternative credit assets under management and expanded its European credit and private debt capabilities.

    Lexington Partners L.P.

    2022

    Franklin Resources completed the acquisition on April 1, 2022, with an upfront cash consideration of $1.0 billion, plus deferred cash payments totaling $750.0 million, funded from its existing cash. The deal, which included additional goodwill (initially around $1,105.3 million) and intangible assets worth $552.0 million, strengthened its alternative asset capabilities and included retention awards for key employees.

    No recent press releases or 8-K filings found for BEN.