Company: TXEMF
Filing Date: 2025-03-03
Form Type: N-CSR
Source: 0001133228-25-001853
Chunk: 95

Company: TEMPLETON EMERGING MARKETS INCOME FUND
Filing Date: 2025-03-03
Form: N-CSR
Chunk 95
---
period

of

time.

In

addition,

the

presence

of

speculators

in

a

particular

market

could

lead

to

price

distortions.

To

the

extent

that

the

Fund

is

unable

to

close

out

a

position

because

of

market

illiquidity,

the

Fund

may

not

be

able

to

prevent

further

losses

of

value

in

its

derivatives

holdings

and

the

Fund’s

### liquidity
may

be

impaired.

Some

derivatives

can

be

particularly

sensitive

to

changes

in

interest

rates

or

other

market

prices.

Investors

should

bear

in

mind

that,

while

the

Fund

intends

to

use

derivative

strategies

on

a

regular

basis,

it

is

not

obligated

to

actively

engage

in

these

transactions,

generally

or

in

any

particular

kind

of

derivative,

if

the

investment

manager

elects

not

to

do

so

due

to

availability,

cost

or

other

factors.

Many

swaps

currently

are,

and

others

eventually

are

expected

to

be,

required

to

be

cleared

through

a

central

counterparty.

Central

clearing

is

designed

to

reduce

counterparty

credit

risk

and

increase

### liquidity
compared

to

OTC

swaps,

but

it

does

not

eliminate

those

risks

completely.

With

cleared

swaps,

there

is

also

a

risk

of

loss

by

the

Fund

of

its

initial

and

variation

margin

deposits

in

the

event

of

bankruptcy

of

the

futures

commission

merchant

(FCM)

with

which

the

Fund

has

an

open

position,

or

the

central

counterparty

in

a

swap

contract.

With

cleared

swaps,

the

Fund

may

not

be

able

to

obtain

as

favorable

terms