# EDGAR Filing Document

**Accession Number:** 0000865722
**File Stem:** 0001133228-26-002516
**Filing Date:** 2026-2
**Character Count:** 167596
**Document Hash:** 8268367d511a2d78ac420256ae7cc443
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001133228-26-002516.hdr.sgml**: 20260227

**ACCESSION NUMBER**: 0001133228-26-002516

**CONFORMED SUBMISSION TYPE**: N-CSR

**PUBLIC DOCUMENT COUNT**: 35

**CONFORMED PERIOD OF REPORT**: 20251231

**FILED AS OF DATE**: 20260227

**DATE AS OF CHANGE**: 20260227

**EFFECTIVENESS DATE**: 20260227

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** TEMPLETON INSTITUTIONAL FUNDS
- **CENTRAL INDEX KEY:** 0000865722

**ORGANIZATION NAME:**
- **EIN:** 593020895
- **STATE OF INCORPORATION:** FL
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** N-CSR
- **SEC ACT:** 1940 Act
- **SEC FILE NUMBER:** 811-06135
- **FILM NUMBER:** 26696172

**BUSINESS ADDRESS:**
- **STREET 1:** 300 S.E. 2ND STREET
- **CITY:** FORT LAUDERDALE
- **STATE:** FL
- **ZIP:** 33301-1923
- **BUSINESS PHONE:** 9545277500

**MAIL ADDRESS:**
- **STREET 1:** 300 S.E. 2ND STREET
- **CITY:** FORT LAUDERDALE
- **STATE:** FL
- **ZIP:** 33301-1923

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** TEMPLETON INSTITUTIONAL FUNDS INC
- **DATE OF NAME CHANGE:** 19940602

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** TEMPLETON INSTITUTIONAL TRUST INC
- **DATE OF NAME CHANGE:** 19930326

## Series and Classes Contracts Data

### International Equity Series (Series ID: S000008751)

| Class ID   | Class Name     | Ticker Symbol   |
|:---|:---|:---|
| C000023825 | Primary Shares | TFEQX           |
| C000037509 | Service Shares | TFESX           |

### Foreign Smaller Companies Series (Series ID: S000008752)

| Class ID   | Class Name    | Ticker Symbol   |
|:---|:---|:---|
| C000023826 | Advisor Class | TFSCX           |

?xml version='1.0' encoding='ASCII'? 2026-01-1474200013100_TIFForeignSmallerCompaniesSeries_AdvisorClass_TSRAnnual

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

**FORM N-CSR**

CERTIFIED SHAREHOLDER REPORT OF REGISTERED

MANAGEMENT INVESTMENT COMPANIES

Investment Company Act file number **811-06135**

 **Templeton Institutional Funds**

(Exact name of registrant as specified in charter)

**300 S.E. 2nd Street, Fort Lauderdale, FL 33301-1923**

(Address of principal executive offices) (Zip code)

Alison Baur

Franklin Templeton

One Franklin Parkway

San Mateo, CA 94403-1906

(Name and address of agent for service)

Registrant's telephone number, including area code: **(954) 527-7500**

Date of fiscal year end: **December 31**

Date of reporting period: **December 31, 2025**

ITEM 1. REPORT TO STOCKHOLDERS

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Report to Shareholders is filed herewith

---

| | |
|:---|:---|
| **TIF Foreign Smaller Companies Series**  | ![image](img2199_202405220716489.jpg) |
| Advisor Class [TFSCX] | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| December 31, 2025  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about TIF Foreign Smaller Companies Series for the period January 1, 2025, to December 31, 2025.

You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) 321-8563.

***This report describes changes to the Fund that occurred during the reporting period.***

**WHAT WERE THE FUND COSTS FOR THE LAST YEAR?** (based on a hypothetical $10,000 investment)

---

| | | |
|:---|:---|:---|
| **Class Name** | **Costs of a $10,000** **investment** | **Costs paid as a percentage of a** **$10,000 investment**<sup>\*</sup>  |
| Advisor Class | $132 | 1.26% |

---

\* Reflects fee waivers and/or expense reimbursements, without which expenses would have been higher.

**HOW DID THE FUND PERFORM LAST YEAR AND WHAT AFFECTED ITS PERFORMANCE?**

For the twelve months ended December 31, 2025, Advisor Class shares of TIF Foreign Smaller Companies Series (Fund) returned 9.98%. The Fund compares its performance to the MSCI AC World ex-U.S. Small Cap Index-NR, which returned 29.26% for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | An underweight to the real estate sector contributed to relative performance. |
| ↑ | Geographically, an underweight to India was the largest contributor to relative results. Stock selection in Turkey and Switzerland also contributed to relative performance. |
| ↑ | Technopro (Japan; not held at period-end), Montana Aerospace (Germany), Technogym (Italy), Nayax (Israel), Bucher Industries (Switzerland) |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Stock selection and an underweight in the materials sector and stock selection and overweight in the consumer discretionary and consumer staples sectors detracted from relative performance. |
| ↓ | Geographically, stock selection in the eurozone, particularly Finland, Germany and Italy, detracted from relative results. |
| ↓ | Thule Group (Sweden), Computer Modelling Group (Canada), Greggs (U.K.), Techtronic Industries (Hong Kong) Tsumura (Japan). All but Techtronic were sold during the period. |

---

TIF Foreign Smaller Companies Series PAGE 1 458-ATSR-0226

------

**HOW DID THE FUND PERFORM OVER THE LAST 10 YEARS?**

**The Fund's past performance is not necessarily an indication of how the Fund will perform in the future.** The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

**VALUE OF A $** **1,000,000 INVESTMENT –** **Advisor Class** 12/31/2015 — 12/31/2025

![image](ts6148img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended December 31, 2025

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Advisor Class**  | 9.98 | 1.09 | 4.36 |
| **MSCI All Country World ex-U.S. Index-NR**  | 32.39 | 7.91 | 8.41 |
| **MSCI AC World ex-U.S. Small Cap Index-NR**  | 29.26 | 6.91 | 8.13 |

---

Fund performance figures may reflect fee waivers and/or expense reimbursements, without which the performance would have been lower.

For current month-end performance, please call Franklin Templeton at (800) 321-8563 or visit

ftinstitutional.com.

Important data provider notices and terms available at www.franklintempletondatasources.com.

**KEY FUND STATISTICS** (as of December 31, 2025)

---

| | |
|:---|:---|
| **Total Net Assets** | $23947925 |
| **Total Number of Portfolio Holdings** | 72 |
| **Total Management Fee Paid** | $597919 |
| **Portfolio Turnover Rate** | 90.01% |

---

**WHAT DID THE FUND INVEST IN?** (as of December 31, 2025)

**Portfolio Composition**<sup>\*</sup> **(% of Total Investments)**

![image](ts6148img004.jpg)

\* Does not include derivatives, except purchased options, if any.

TIF Foreign Smaller Companies Series PAGE 2 458-ATSR-0226

------

**HOW HAS THE FUND CHANGED?**

Effective October 31, 2025, Harlan B. Hodes no longer serves as a portfolio manager to the Fund.

The annual operating expense ratio of the class increased by approximately 0.16% from the fiscal year ended December 31, 2024, to the fiscal year ended December 31, 2025, due to a decrease in the average assets of the Fund (i.e., the decrease in assets increased the impact of fixed fees, such as audit, legal and other fees, on the Fund's annual operating expense ratio because those fees were spread over a smaller asset base).

This is a summary of a change to the Fund since January 1, 2025. For more complete information, you may review the Fund's current prospectus and any applicable supplements and the Fund's next prospectus, which we expect to be available by May 1, 2026,

at https://www.franklintempleton.com/regulatory-fund-documents or upon request at (800) 321-8563 or

prospectus.us.franklintempleton@fisglobal.com.

---

| | |
|:---|:---|
| ![image](img11308_202405310907293.jpg) | **WHERE CAN I FIND ADDITIONAL INFORMATION ABOUT THE FUND?** |
| ![image](img11308_202405310907293.jpg) | Additional information is available on https://www.franklintempleton.com/regulatory-fund-documents, including its: |
| ![image](img11308_202405310907293.jpg) | • prospectus • proxy voting information • financial information • holdings • tax information |

---

**HOUSEHOLDING**

You will receive the Fund's shareholder reports every six months. In addition, you will receive an annual updated summary prospectus (detail prospectus available upon request). To reduce Fund expenses, we try to identify related shareholders in a household and send only one copy of the shareholder reports and summary prospectus. This process, called "householding," will continue indefinitely unless you instruct us otherwise. If you prefer not to have these documents householded, please call us at (800) 321-8563. At any time, you may view current prospectuses/summary prospectuses and shareholder reports on our website. If you choose, you may receive these documents through electronic delivery.

TIF Foreign Smaller Companies Series PAGE 3 458-ATSR-0226

1000000991466133034610845041332448145175816073781233156142916813935761532604100000010449511329091114038813857411533350165332013887371605601169445622432391000000103908513679101118940136981215649031767183141422616356711690591218526441.840.16.66.53.91.1 ------

---

| | |
|:---|:---|
| **TIF International Equity Series**  | ![image](img2199_202405220716489.jpg) |
| Primary Shares [TFEQX] | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| December 31, 2025  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about TIF International Equity Series for the period January 1, 2025, to December 31, 2025.

You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) 321-8563.

***This report describes changes to the Fund that occurred during the reporting period.***

**WHAT WERE THE FUND COSTS FOR THE LAST YEAR?** (based on a hypothetical $10,000 investment)

---

| | | |
|:---|:---|:---|
| **Class Name** | **Costs of a $10,000** **investment** | **Costs paid as a percentage of a** **$10,000 investment**<sup>\*</sup>  |
| Primary Shares | $134 | 1.16% |

---

\* Reflects fee waivers and/or expense reimbursements, without which expenses would have been higher.

**HOW DID THE FUND PERFORM LAST YEAR AND WHAT AFFECTED ITS PERFORMANCE?**

For the twelve months ended December 31, 2025, Primary Shares of TIF International Equity Series (Fund) returned 31.09%. The Fund compares its performance to the MSCI All Country World ex-U.S. Index-NR and the MSCI EAFE Index-NR, which returned 32.39% and 31.22%, respectively, for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | Stock selection and underweights in the consumer staples and consumer discretionary sectors and stock selection in the financials sector contributed to relative performance for the year. |
| ↑ | Geographically, stock selection and an underweight in Japan contributed to relative results. |
| ↑ | Standard Chartered (U.K.), Samsung Electronics (South Korea), Lloyds Banking Group (U.K.), ING Groep (Netherlands), Mitsubishi Electric (Japan). |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Stock selection in the materials and communication services sectors and an overweight and stock selection in the energy sector detracted from relative performance for the year. |
| ↓ | Geographically, stock selection in the eurozone, particularly Germany, Ireland and France, detracted from relative results. |
| ↓ | Smurfit Westrock (Ireland), CNH Industrial (U.K.), Orsted (Denmark; not held at period-end), Sanofi (France), BNP Paribas (France; not held at period-end). |

---

TIF International Equity Series PAGE 1 454-ATSR-0226

------

**HOW DID THE FUND PERFORM OVER THE LAST 10 YEARS?**

**The Fund's past performance is not necessarily an indication of how the Fund will perform in the future.** The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

**VALUE OF A $** **1,000,000 INVESTMENT –** **Primary Shares** 12/31/2015 — 12/31/2025

![image](ts6144img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended December 31, 2025

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Primary Shares**  | 31.09 | 10.90 | 7.64 |
| **MSCI All Country World ex-U.S. Index-NR**  | 32.39 | 7.91 | 8.41 |
| **MSCI EAFE Index-NR**  | 31.22 | 8.93 | 8.18 |

---

Fund performance figures may reflect fee waivers and/or expense reimbursements, without which the performance would have been lower.

For current month-end performance, please call Franklin Templeton at (800) 321-8563 or visit

ftinstitutional.com.

Important data provider notices and terms available at www.franklintempletondatasources.com.

**KEY FUND STATISTICS** (as of December 31, 2025)

---

| | |
|:---|:---|
| **Total Net Assets** | $58118821 |
| **Total Number of Portfolio Holdings (excludes derivatives, except purchased options, if any)** | 52 |
| **Total Management Fee Paid** | $489640 |
| **Portfolio Turnover Rate** | 56.42% |

---

**WHAT DID THE FUND INVEST IN?** (as of December 31, 2025)

**Portfolio Composition**<sup>\*</sup> **(% of Total Investments)**

![image](ts6144img004.jpg)

\* Does not include derivatives, except purchased options, if any.

TIF International Equity Series PAGE 2 454-ATSR-0226

------

**HOW HAS THE FUND CHANGED?**

Effective December 15, 2025, Matthew Nagle, CFA no longer serves as a portfolio manager to the Fund.

The annual operating expense ratio of the class increased by approximately 0.23% from the fiscal year ended December 31, 2024, to the fiscal year ended December 31, 2025, due to a decrease in the average assets of the Fund (i.e., the decrease in assets increased the impact of fixed fees, such as audit, legal and other fees, on the Fund's annual operating expense ratio because those fees were spread over a smaller asset base) and an increase in costs related to EU reclaims versus the fiscal prior year.

This is a summary of a change to the Fund since January 1, 2025. For more complete information, you may review the Fund's current prospectus and any applicable supplements and the Fund's next prospectus, which we expect to be available by May 1, 2026,

at https://www.franklintempleton.com/regulatory-fund-documents or upon request at (800) 321-8563 or

prospectus.us.franklintempleton@fisglobal.com.

---

| | |
|:---|:---|
| ![image](img11308_202405310907293.jpg) | **WHERE CAN I FIND ADDITIONAL INFORMATION ABOUT THE FUND?** |
| ![image](img11308_202405310907293.jpg) | Additional information is available on https://www.franklintempleton.com/regulatory-fund-documents, including its: |
| ![image](img11308_202405310907293.jpg) | • prospectus • proxy voting information • financial information • holdings • tax information |

---

**HOUSEHOLDING**

You will receive the Fund's shareholder reports every six months. In addition, you will receive an annual updated summary prospectus (detail prospectus available upon request). To reduce Fund expenses, we try to identify related shareholders in a household and send only one copy of the shareholder reports and summary prospectus. This process, called "householding," will continue indefinitely unless you instruct us otherwise. If you prefer not to have these documents householded, please call us at (800) 321-8563. At any time, you may view current prospectuses/summary prospectuses and shareholder reports on our website. If you choose, you may receive these documents through electronic delivery.

TIF International Equity Series PAGE 3 454-ATSR-0226

10000001012991124512410599541182562124526513168291195255146819515915732088647100000010449511329091114038813857411533350165332013887371605601169445622432391000000101000212628491088699132837114321931593507136321716118401673464219593949.825.618.36.3 ------

---

| | |
|:---|:---|
| **TIF International Equity Series**  | ![image](img2199_202405220716489.jpg) |
| Service Shares [TFESX] | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| December 31, 2025  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about TIF International Equity Series for the period January 1, 2025, to December 31, 2025.

You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) 321-8563.

***This report describes changes to the Fund that occurred during the reporting period.***

**WHAT WERE THE FUND COSTS FOR THE LAST YEAR?** (based on a hypothetical $10,000 investment)

---

| | | |
|:---|:---|:---|
| **Class Name** | **Costs of a $10,000** **investment** | **Costs paid as a percentage of a** **$10,000 investment**<sup>\*</sup>  |
| Service Shares | $162 | 1.40% |

---

\* Reflects fee waivers and/or expense reimbursements, without which expenses would have been higher.

**HOW DID THE FUND PERFORM LAST YEAR AND WHAT AFFECTED ITS PERFORMANCE?**

For the twelve months ended December 31, 2025, Service Shares of TIF International Equity Series (Fund) returned 30.80%. The Fund compares its performance to the MSCI All Country World ex-U.S. Index-NR and the MSCI EAFE Index-NR, which returned 32.39% and 31.22%, respectively, for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | Stock selection and underweights in the consumer staples and consumer discretionary sectors and stock selection in the financials sector contributed to relative performance for the year. |
| ↑ | Geographically, stock selection and an underweight in Japan contributed to relative results. |
| ↑ | Standard Chartered (U.K.), Samsung Electronics (South Korea), Lloyds Banking Group (U.K.), ING Groep (Netherlands), Mitsubishi Electric (Japan). |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Stock selection in the materials and communication services sectors and an overweight and stock selection in the energy sector detracted from relative performance for the year. |
| ↓ | Geographically, stock selection in the eurozone, particularly Germany, Ireland and France, detracted from relative results. |
| ↓ | Smurfit Westrock (Ireland), CNH Industrial (U.K.), Orsted (Denmark; not held at period-end), Sanofi (France), BNP Paribas (France; not held at period-end). |

---

TIF International Equity Series PAGE 1 444-ATSR-0226

------

**HOW DID THE FUND PERFORM OVER THE LAST 10 YEARS?**

**The Fund's past performance is not necessarily an indication of how the Fund will perform in the future.** The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

**VALUE OF A $** **1,000,000 INVESTMENT –** **Service Shares** 12/31/2015 — 12/31/2025

![image](ts6145img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended December 31, 2025

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Service Shares**  | 30.80 | 10.78 | 7.50 |
| **MSCI All Country World ex-U.S. Index-NR**  | 32.39 | 7.91 | 8.41 |
| **MSCI EAFE Index-NR**  | 31.22 | 8.93 | 8.18 |

---

Fund performance figures may reflect fee waivers and/or expense reimbursements, without which the performance would have been lower.

For current month-end performance, please call Franklin Templeton at (800) 321-8563 or visit

ftinstitutional.com.

Important data provider notices and terms available at www.franklintempletondatasources.com.

**KEY FUND STATISTICS** (as of December 31, 2025)

---

| | |
|:---|:---|
| **Total Net Assets** | $58118821 |
| **Total Number of Portfolio Holdings (excludes derivatives, except purchased options, if any)** | 52 |
| **Total Management Fee Paid** | $489640 |
| **Portfolio Turnover Rate** | 56.42% |

---

**WHAT DID THE FUND INVEST IN?** (as of December 31, 2025)

**Portfolio Composition**<sup>\*</sup> **(% of Total Investments)**

![image](ts6145img004.jpg)

\* Does not include derivatives, except purchased options, if any.

TIF International Equity Series PAGE 2 444-ATSR-0226

------

**HOW HAS THE FUND CHANGED?**

Effective December 15, 2025, Matthew Nagle, CFA no longer serves as a portfolio manager to the Fund.

The annual operating expense ratio of the class increased by approximately 0.22% from the fiscal year ended December 31, 2024, to the fiscal year ended December 31, 2025, due to a decrease in the average assets of the Fund (i.e., the decrease in assets increased the impact of fixed fees, such as audit, legal and other fees, on the Fund's annual operating expense ratio because those fees were spread over a smaller asset base) and an increase in costs related to EU reclaims versus the fiscal prior year.

This is a summary of a change to the Fund since January 1, 2025. For more complete information, you may review the Fund's current prospectus and any applicable supplements and the Fund's next prospectus, which we expect to be available by May 1, 2026,

at https://www.franklintempleton.com/regulatory-fund-documents or upon request at (800) 321-8563 or

prospectus.us.franklintempleton@fisglobal.com.

---

| | |
|:---|:---|
| ![image](img11308_202405310907293.jpg) | **WHERE CAN I FIND ADDITIONAL INFORMATION ABOUT THE FUND?** |
| ![image](img11308_202405310907293.jpg) | Additional information is available on https://www.franklintempleton.com/regulatory-fund-documents, including its: |
| ![image](img11308_202405310907293.jpg) | • prospectus • proxy voting information • financial information • holdings • tax information |

---

**HOUSEHOLDING**

You will receive the Fund's shareholder reports every six months. In addition, you will receive an annual updated summary prospectus (detail prospectus available upon request). To reduce Fund expenses, we try to identify related shareholders in a household and send only one copy of the shareholder reports and summary prospectus. This process, called "householding," will continue indefinitely unless you instruct us otherwise. If you prefer not to have these documents householded, please call us at (800) 321-8563. At any time, you may view current prospectuses/summary prospectuses and shareholder reports on our website. If you choose, you may receive these documents through electronic delivery.

TIF International Equity Series PAGE 3 444-ATSR-0226

10000001011546124146010550641174683123526813055191183100145283215721232060483100000010449511329091114038813857411533350165332013887371605601169445622432391000000101000212628491088699132837114321931593507136321716118401673464219593949.825.618.36.3 ------

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Not applicable

ITEM 2. CODE OF ETHICS.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Registrant has adopted a code of ethics that applies to its principal executive officers and principal financial and accounting officer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) N/A

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) N/A

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Pursuant to Item 19(a) (1), the Registrant is attaching as an exhibit a copy of its code of ethics that applies to its principal executive officers and principal financial and accounting officer.

ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT.

The Board of Trustees of the Registrant has determined that Ann Torre Bates and David W. Niemiec possess the technical attributes identified in Item 3 to Form N-CSR to qualify as "audit committee financial experts," and has designated Ann Torre Bates and David W. Niemiec as the Audit Committee's financial experts. Ann Torre Bates and David W. Niemiec are "independent" Trustees pursuant to paragraph (a)(2) of Item 3 to Form N-CSR.

Under applicable securities laws, a person determined to be an audit committee financial expert will not be deemed an "expert" for any purpose, including without limitation for the purposes of Section 11 of the Securities Act of 1933, as a result of being designated or identified as an audit committee financial expert. The designation or identification of a person as an audit committee financial expert does not impose on such person any duties, obligations, or liabilities greater than the duties, obligations, and liabilities imposed on such person as a member of the audit committee and board of directors in the absence of such designation or identification. The designation or identification of a person as an audit committee financial expert does not affect the duties, obligations, or liability of any other member of the audit committee or board of directors.

ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) <u>Audit Fees</u>. The aggregate fees billed in the last two fiscal years ending December 31, 2024 and December 31, 2025 (the "Reporting Periods") for professional services rendered by the Registrant's principal accountant (the "Auditor") for the audit of the Registrant's annual financial statements, or services that are normally provided by the Auditor in connection with the statutory and regulatory filings or engagements for the Reporting Periods, were $85,081 in December 31, 2024 and $99,638 in December 31, 2025.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b) <u>Audit-Related Fees</u>. The aggregate fees billed in the Reporting Periods for assurance and related services by the Auditor that are reasonably related to the performance of the Registrant's financial statements were $0 in December 31, 2024 and $0 in December 31, 2025.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Tax Fees</u>. The aggregate fees billed in the Reporting Periods for professional services rendered by the Auditor for tax compliance, tax advice and tax planning ("Tax Services") were $21,000 in December 31, 2024 and $21,000 in December 31, 2025. These services consisted of (i) review or preparation of U.S. federal, state, local and excise tax returns; (ii) U.S. federal, state and local tax planning, advice and assistance regarding statutory, regulatory or administrative developments, and (iii) tax advice regarding tax qualification matters and/or treatment of various financial instruments held or proposed to be acquired or held.

There were no fees billed for tax services by the Registrant's investment adviser and any entity controlling, controlled by, or under common control with the investment adviser that provides ongoing services to the Registrant ("Service Affiliates") during the Reporting Periods that required pre-approval by the Audit Committee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) <u>All Other Fees</u>. The aggregate fees billed in the Reporting Periods for products and services provided by the Auditor to the Registrant, other than the services reported in paragraphs (a) through (c) of this item, were $0 in December 31, 2024 and $0 in December 31, 2025.

There were no other non-audit services rendered by the Auditor to the Service Affiliates requiring pre-approval by the Audit Committee in the Reporting Periods.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Audit Committee's pre–approval policies and procedures described in paragraph (c) (7) of Rule 2-01 of Regulation S-X.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) The Registrant's Audit Committee is directly responsible for approving the services to be provided by the Auditors, including:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) pre-approval of all audit and audit related services;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) pre-approval of all non-audit related services to be provided to the Registrant by the Auditors;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) pre-approval of all non-audit related services to be provided by the Auditors to the Registrant and the Service Affiliates where the non-audit services relate directly to the operations or financial reporting of the Registrant; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) establishment by the Audit Committee, if deemed necessary or appropriate, as an alternative to committee pre-approval of services to be provided by the Auditors, as required by paragraphs (ii) and (iii) above, of policies and procedures to permit such services to be pre-approved by other means, such as through establishment of guidelines or by action of a designated member or members of the committee; provided the policies and procedures are detailed as to the particular service and the committee is informed of each service and such policies and procedures do not include delegation of Audit Committee responsibilities, as contemplated under the Securities Exchange Act of 1934, to management; subject, in the case of (ii) through (iv), to any waivers, exceptions or exemptions that may be available under applicable law or rules.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) None of the services described in paragraphs (b) through (d) of this Item were performed in reliance on paragraph (c)(7)(i)(C) of Rule 2-01 of Regulation S-X.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Not applicable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) Non-audit fees billed by the Auditor for services rendered to the Registrant and the Service Affiliates during the reporting period were $182,840 in December 31, 2024 and $475,330 in December 31, 2025.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) Yes. The Registrant's Audit Committee has considered whether the provision of non-audit services that were rendered to Service Affiliates, which were not pre-approved (not requiring pre-approval), is compatible with maintaining the Auditor's independence. All services provided by the Auditor to the Registrant or to the Service Affiliates, which were required to be pre-approved, were pre-approved as required.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Not applicable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) Not applicable.

ITEM 5. AUDIT COMMITTEE OF LISTED REGISTRANTS.

Not applicable*.*

ITEM 6. SCHEDULE OF INVESTMENTS.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Please see schedule of investments contained in the Financial Statements and Financial Highlights included under Item 7 of this Form N-CSR.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Not applicable.

ITEM 7. FINANCIAL STATEMENTS AND FINANCIAL HIGLIGHTS FOR OPEN-END MANAGEMENT INVESTMENT COMPANIES.

#### Templeton

#### Institutional

#### Funds

#### Financial

#### Statements

#### and

#### Other

#### Important

#### Information

#### Annual
\|

December 31, 2025

#### Foreign

#### Smaller

#### Companies

#### Series

#### International

#### Equity

#### Series

#### Table

#### of

#### Contents
ftinstitutional.com

Financial

Statements

and

Other

Important

Information—Annual

Financial

Highlights

and

Schedules

of

Investments

#### 2
Financial

Statements

#### 12
Notes

to

Financial

Statements

#### 15
Report

of

Independent

Registered

Public

Accounting

Firm

#### 29
Tax

Information

#### 30
Changes

In

and

Disagreements

with

Accountants

#### 31
Results

of

Meeting(s)

of

Shareholders

Remuneration

Paid

to

Directors,

Officers

and

Others

Board

Approval

of

Management

and

Subadvisory

Agreements

Templeton

Institutional

Funds

Financial

Highlights

#### Foreign

#### Smaller

#### Companies

#### Series
ftinstitutional.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### 2024

#### 2023

#### 2022

#### 2021

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$15.94

$18.67

$16.35

$21.80

$23.03

Income

from

investment

operations

a

:

Net

investment

income

b

.........................

0.34 0.28 0.26 0.31 0.28 Net

realized

and

unrealized

gains

(losses)

...........

1.20 (0.72)

2.30 (5.38)

2.07 Total

from

investment

operations

....................

1.54 (0.44)

2.56 (5.07)

2.35 Less

distributions

from:

Net

investment

income

..........................

(1.25)

(0.63)

(0.24)

(0.32)

(0.28)

Net

realized

gains

.............................

(6.05)

(1.66)

—

(0.06)

(3.30)

Total

distributions

...............................

(7.30)

(2.29)

(0.24)

(0.38)

(3.58)

Net

asset

value,

end

of

year

.......................

$10.18

$15.94

$18.67

$16.35

$21.80

Total

return

....................................

9.98%

(2.49)%

15.75%

(23.19)%

10.72%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

c

.....................................

1.26%

1.10%

1.09%

1.02%

1.04%

Net

investment

income

...........................

2.04%

1.50%

1.49%

1.76%

1.13%

#### Supplemental

#### data
Net

assets

,

end

of

year

(000's)

.....................

$23,948

$111,846

$191,256

$353,380

$739,717

Portfolio

turnover

rate

............................

90.01%

29.65%

36.62%

16.54%

31.09%

a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchases

of

the

Fund's

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

Templeton

Institutional

Funds

Schedule

of

Investments,

December

31,

2025

#### Foreign

#### Smaller

#### Companies

#### Series
ftinstitutional.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Industry

#### Shares
a

#### Value
a

#### Common

#### Stocks

#### 98.6%

#### Australia

#### 1.9%
National

Storage

REIT

............

Specialized

REITs

243,132

$

441,846

#### Austria

#### 2.6%
DO

&

CO

AG

...................

Commercial

Services

&

Supplies

1,568

381,442

SBO

AG

.......................

Energy

Equipment

&

Services

7,315

233,533

614,975

#### Bahamas

#### 1.9%
OneSpaWorld

Holdings

Ltd.

........

Diversified

Consumer

Services

21,745

450,991

#### Brazil

#### 3.1%
a

Arcos

Dorados

Holdings,

Inc.

,

A

.....

Hotels,

Restaurants

&

Leisure

49,002

359,675

Dexco

SA

......................

Paper

&

Forest

Products

410,344

373,176

732,851

#### Canada

#### 3.7%
b

Athabasca

Oil

Corp.

..............

Oil,

Gas

&

Consumable

Fuels

74,600

382,090

Canaccord

Genuity

Group,

Inc.

......

Capital

Markets

63,600

512,489

894,579

#### China

#### 1.7%
c,d

Greentown

Service

Group

Co.

Ltd.

,

Reg

S

...........................

Real

Estate

Management

&

Development

668,000

403,891

#### France

#### 1.6%
Mersen

SA

.....................

Electrical

Equipment

13,964

389,450

#### Germany

#### 3.0%
Jenoptik

AG

....................

Electronic

Equipment,

Instruments

&

Components

10,275

233,293

b,c

Montana

Aerospace

AG

,

144A

,

Reg

S

.

Aerospace

&

Defense

13,554

482,035

715,328

#### Greece

#### 1.0%
JUMBO

SA

.....................

Specialty

Retail

7,484

245,386

#### Hong

#### Kong

#### 4.4%
Luk

Fook

Holdings

International

Ltd.

..

Specialty

Retail

104,000

314,020

Techtronic

Industries

Co.

Ltd.

.......

Machinery

30,500

350,845

VTech

Holdings

Ltd.

..............

Communications

Equipment

49,800

392,792

1,057,657

#### India

#### 1.0%
Exide

Industries

Ltd.

..............

Automobile

Components

61,506

248,175

#### Indonesia

#### 2.2%
Avia

Avian

Tbk.

PT

...............

Chemicals

17,006,500

513,846

#### Ireland

#### 1.7%
Uniphar

plc

.....................

Health

Care

Providers

&

Services

100,226

411,750

#### Israel

#### 1.1%
b

Nayax

Ltd.

.....................

Electronic

Equipment,

Instruments

&

Components

5,349

270,351

#### Italy

#### 8.4%
c

Carel

Industries

SpA

,

144A

,

Reg

S

...

Building

Products

8,337

239,538

a

Ferretti

SpA

....................

Leisure

Products

104,272

374,324

Interpump

Group

SpA

.............

Machinery

8,788

478,040

LU-VE

SpA

.....................

Building

Products

3,968

182,799

a

Sanlorenzo

SpA

.................

Leisure

Products

6,933

245,311

Templeton

Institutional

Funds

Schedule

of

Investments

#### Foreign

#### Smaller

#### Companies

#### Series
(continued)

ftinstitutional.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Industry

#### Shares
a

#### Value
a

#### Common

#### Stocks
(continued)

#### Italy
(continued)

c

Technogym

SpA

,

144A

,

Reg

S

......

Leisure

Products

25,968

$

490,064

2,010,076

#### Japan

#### 14.6%
Aica

Kogyo

Co.

Ltd.

..............

Chemicals

12,900

289,932

Anicom

Holdings,

Inc.

.............

Insurance

42,200

271,323

Asics

Corp.

.....................

Textiles,

Apparel

&

Luxury

Goods

12,400

297,680

IDOM,

Inc.

.....................

Specialty

Retail

29,600

242,451

a

Kaneka

Corp.

...................

Chemicals

12,900

361,809

Morinaga

&

Co.

Ltd.

..............

Food

Products

21,300

360,942

Nichiha

Corp.

...................

Building

Products

15,400

321,287

a

Nihon

M&A

Center

Holdings,

Inc.

....

Capital

Markets

61,800

283,762

Nissei

ASB

Machine

Co.

Ltd.

........

Machinery

9,900

396,650

a

Qol

Holdings

Co.

Ltd.

.............

Consumer

Staples

Distribution

&

Retail

16,500

225,418

Raito

Kogyo

Co.

Ltd.

..............

Construction

&

Engineering

14,200

306,789

Roland

Corp.

...................

Leisure

Products

6,200

141,349

3,499,392

#### Mexico

#### 1.5%
Bolsa

Mexicana

de

Valores

SAB

de

CV

Capital

Markets

179,500

369,018

#### New

#### Zealand

#### 2.0%
Summerset

Group

Holdings

Ltd.

.....

Health

Care

Providers

&

Services

68,463

484,442

#### Norway

#### 1.5%
TGS

ASA

......................

Energy

Equipment

&

Services

40,170

364,147

#### Philippines

#### 3.0%
Century

Pacific

Food,

Inc.

..........

Food

Products

714,900

473,906

Puregold

Price

Club,

Inc.

...........

Consumer

Staples

Distribution

&

Retail

375,800

242,811

716,717

#### Singapore

#### 1.2%
Stoneweg

Europe

Stapled

Trust

.....

Diversified

REITs

150,900

288,721

#### South

#### Korea

#### 8.7%
BNK

Financial

Group,

Inc.

..........

Banks

23,338

256,802

iM

Financial

Group

Co.

Ltd.

.........

Banks

32,456

349,889

InBody

Co.

Ltd.

..................

Health

Care

Equipment

&

Supplies

17,498

397,350

b

ISC

Co.

Ltd.

....................

Semiconductors

&

Semiconductor

Equipment

3,695

285,507

b

NongShim

Co.

Ltd.

...............

Food

Products

1,319

395,007

Soulbrain

Co.

Ltd.

................

Chemicals

2,146

389,755

2,074,310

#### Sweden

#### 2.5%
b

Karnov

Group

AB

................

Interactive

Media

&

Services

30,933

336,111

Rvrc

Holding

AB

.................

Specialty

Retail

36,483

262,481

598,592

#### Switzerland

#### 4.7%
a

Bucher

Industries

AG

.............

Machinery

121,380

a

Logitech

International

SA

..........

Technology

Hardware,

Storage

&

Peripherals

2,064

206,854

c

Medacta

Group

SA

,

144A

,

Reg

S

....

Health

Care

Equipment

&

Supplies

2,319

455,806

b

Siegfried

Holding

AG

..............

Life

Sciences

Tools

&

Services

3,592

337,188

1,121,228

#### Taiwan

#### 4.0%
Johnson

Health

Tech

Co.

Ltd.

.......

Leisure

Products

36,000

172,862

Templeton

Institutional

Funds

Schedule

of

Investments

#### Foreign

#### Smaller

#### Companies

#### Series
(continued)

ftinstitutional.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Industry

#### Shares
a

#### Value
a

#### Common

#### Stocks
(continued)

#### Taiwan
(continued)

Primax

Electronics

Ltd.

............

Electronic

Equipment,

Instruments

&

Components

115,000

$

280,429

Tripod

Technology

Corp.

...........

Electronic

Equipment,

Instruments

&

Components

50,000

504,569

957,860

#### Thailand

#### 0.5%
I-TAIL

Corp.

PCL

.................

Food

Products

234,300

112,079

#### United

#### Kingdom

#### 12.5%
Coats

Group

plc

.................

Textiles,

Apparel

&

Luxury

Goods

223,746

254,290

Fevertree

Drinks

plc

..............

Beverages

22,200

244,158

Johnson

Service

Group

plc

.........

Commercial

Services

&

Supplies

65,052

118,377

Man

Group

plc

..................

Capital

Markets

173,862

533,930

Oxford

Instruments

plc

............

Electronic

Equipment,

Instruments

&

Components

9,025

247,466

Rathbones

Group

plc

.............

Capital

Markets

19,572

506,903

Savills

plc

......................

Real

Estate

Management

&

Development

35,503

476,648

Vesuvius

plc

....................

Machinery

59,495

317,334

b,c

Watches

of

Switzerland

Group

plc

,

144A

Specialty

Retail

45,789

290,223

2,989,329

#### United

#### States

#### 2.6%
Axis

Capital

Holdings

Ltd.

..........

Insurance

2,015

215,786

a,b

IMAX

Corp.

.....................

Entertainment

11,239

415,394

631,180

#### Total

#### Common

#### Stocks

#### (Cost

#### $

#### 16,867,063

####)
......................................

#### 23,608,167

#### Total

#### Investments

#### (Cost

#### $

#### 16,867,063

####)
98.6 #### %
....................................

#### $23,608,167

#### Other

#### Assets,

#### less

#### Liabilities
1.4 #### %
.............................................

#### 339,758

#### Net

#### Assets

#### 100.0%

#### ...........................................................

#### $23,947,925

#### a
See

Abbreviations

on

.

a

A

portion

or

all

of

the

security

is

on

loan

at

December

31,

2025. See

Note

1(e).

b

Non-income

producing.

c

Security

was

purchased

pursuant

to

Rule

144A

or

Regulation

S

under

the

Securities

Act

of

1933. 144A

securities

may

be

sold

in

transactions

exempt

from

registration

only

to

qualified

institutional

buyers

or

in

a

public

offering

registered

under

the

Securities

Act

of

1933. Regulation

S

securities

cannot

be

sold

in

the

United

States

without

either

an

effective

registration

statement

filed

pursuant

to

the

Securities

Act

of

1933,

or

pursuant

to

an

exemption

from

registration.

At

December

31,

2025,

the

aggregate

value

of

these

securities

was

$2,361,557,

representing

9.9%

of

net

assets.

d

A

portion

or

all

of

the

security

purchased

on

a

delayed

delivery

basis.

See

Note

1(c).

Templeton

Institutional

Funds

Financial

Highlights

#### International

#### Equity

#### Series
ftinstitutional.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### 2024

#### 2023

#### 2022

#### 2021

#### Primary

#### Shares

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$10.21

$10.91

$10.19

$11.96

$15.22

Income

from

investment

operations

a

:

Net

investment

income

b

.........................

0.20 0.24 0.49 c

0.26 0.26 Net

realized

and

unrealized

gains

(losses)

...........

2.92 0.67 1.77 (1.40)

0.55 Total

from

investment

operations

....................

3.12 0.91 2.26 (1.14)

0.81 Less

distributions

from:

Net

investment

income

..........................

(0.22)

(0.30)

(0.90)

(0.10)

(1.46)

Net

realized

gains

.............................

(3.78)

(1.31)

(0.64)

(0.53)

(2.61)

Total

distributions

...............................

(4.00)

(1.61)

(1.54)

(0.63)

(4.07)

Net

asset

value,

end

of

year

.......................

$9.33

$10.21

$10.91

$10.19

$11.96

Total

return

....................................

31.09%

8.40%

22.84%

(9.23)%

5.75%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

1.20%

0.97%

0.92%

0.87%

0.94%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

1.16%

0.92%

0.88%

0.83%

0.91%

Net

investment

income

...........................

1.72%

2.02%

4.31%

c

2.35%

1.64%

#### Supplemental

#### data
Net

assets,

end

of

year

(000's)

.....................

$57,987

$101,210

$127,735

$196,051

$386,291

Portfolio

turnover

rate

............................

56.42%

30.90%

18.18%

d

46.42%

44.73%

a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchas-

es

of

the

Fund's

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Net

investment

income

per

share

includes

approximately

$0.23

per

share

related

to

an

adjustment

for

EU

reclaims

in

connection

with

certain

Fund

holdings.

Excluding

this

amount,

the

ratio

of

net

investment

income

to

average

net

assets

would

have

been

2.34%.

d

Excludes

the

value

of

portfolio

activity

as

a

result

of

in-kind

transactions.

Templeton

Institutional

Funds

Financial

Highlights

#### International

#### Equity

#### Series
(continued)

ftinstitutional.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### 2024

#### 2023

#### 2022

#### 2021

#### Service

#### Shares

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$10.55

$11.23

$10.45

$12.24

$15.48

Income

from

investment

operations

a

:

Net

investment

income

b

.........................

0.21 0.22 0.49 c

0.20 0.24 Net

realized

and

unrealized

gains

(losses)

...........

2.98 0.69 1.84 (1.38)

0.58 Total

from

investment

operations

....................

3.19 0.91 2.33 (1.18)

0.82 Less

distributions

from:

Net

investment

income

..........................

(0.19)

(0.28)

(0.91)

(0.08)

(1.45)

Net

realized

gains

.............................

(3.78)

(1.31)

(0.64)

(0.53)

(2.61)

Total

distributions

...............................

(3.97)

(1.59)

(1.55)

(0.61)

(4.06)

Net

asset

value,

end

of

year

.......................

$9.77

$10.55

$11.23

$10.45

$12.24

Total

return

....................................

30.80%

8.21%

22.68%

(9.29)%

5.69%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

1.44%

1.19%

0.86%

1.01%

1.04%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

1.40%

1.15%

0.82%

0.97%

1.00%

Net

investment

income

...........................

1.75%

1.82%

4.26%

c

1.71%

1.52%

#### Supplemental

#### data
Net

assets,

end

of

year

(000's)

.....................

$132

$129

$136

$123

$521

Portfolio

turnover

rate

............................

56.42%

30.90%

18.18%

d

46.42%

44.73%

a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchas-

es

of

the

Fund's

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Net

investment

income

per

share

includes

approximately

$0.23

per

share

related

to

an

adjustment

for

EU

reclaims

in

connection

with

certain

Fund

holdings.

Excluding

this

amount,

the

ratio

of

net

investment

income

to

average

net

assets

would

have

been

2.29%.

d

Excludes

the

value

of

portfolio

activity

as

a

result

of

in-kind

transactions.

Templeton

Institutional

Funds

Schedule

of

Investments,

December

31,

2025

#### International

#### Equity

#### Series
ftinstitutional.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Industry

#### Shares
a

#### Value
a

#### Common

#### Stocks

#### 93.7%

#### Canada

#### 4.3%
Manulife

Financial

Corp.

...........

Insurance

29,000

$

1,053,047

Royal

Bank

of

Canada

............

Banks

8,400

1,432,018

2,485,065

#### China

#### 3.9%
a

Alibaba

Group

Holding

Ltd.

.........

Broadline

Retail

76,400

1,402,777

BYD

Co.

Ltd.

,

H

.................

Automobiles

69,500

849,343

2,252,120

#### Denmark

#### 1.2%
Novo

Nordisk

A/S

,

B

..............

Pharmaceuticals

14,315

726,035

#### France

#### 5.7%
LVMH

Moet

Hennessy

Louis

Vuitton

SE

Textiles,

Apparel

&

Luxury

Goods

1,556

1,172,813

Veolia

Environnement

SA

..........

Multi-Utilities

31,305

1,089,335

Vinci

SA

.......................

Construction

&

Engineering

7,504

1,055,686

3,317,834

#### Germany

#### 7.6%
Daimler

Truck

Holding

AG

..........

Machinery

16,936

733,541

Deutsche

Telekom

AG

.............

Diversified

Telecommunication

Services

27,795

904,757

Fresenius

Medical

Care

AG

.........

Health

Care

Providers

&

Services

12,596

601,655

Infineon

Technologies

AG

..........

Semiconductors

&

Semiconductor

Equipment

21,129

921,879

SAP

SE

.......................

Software

2,728

662,818

b

Siemens

Energy

AG

..............

Electrical

Equipment

4,228

593,140

4,417,790

#### Hong

#### Kong

#### 1.9%
AIA

Group

Ltd.

..................

Insurance

109,400

1,126,064

#### India

#### 2.2%
HDFC

Bank

Ltd.

.................

Banks

115,388

1,274,679

#### Japan

#### 11.2%
Ebara

Corp.

....................

Machinery

65,600

1,546,177

Japan

Post

Bank

Co.

Ltd.

..........

Banks

68,400

962,872

Mitsubishi

Electric

Corp.

...........

Electrical

Equipment

55,858

1,628,644

Mizuho

Financial

Group,

Inc.

........

Banks

30,800

1,124,032

c

Toyota

Motor

Corp.

,

ADR

..........

Automobiles

5,700

1,220,142

6,481,867

#### Netherlands

#### 11.6%
c

Akzo

Nobel

NV

..................

Chemicals

16,205

1,127,552

ASM

International

NV

.............

Semiconductors

&

Semiconductor

Equipment

1,237

748,874

d

Euronext

NV

,

144A

,

Reg

S

.........

Capital

Markets

8,215

1,234,041

Heineken

NV

...................

Beverages

15,108

1,246,514

ING

Groep

NV

..................

Banks

48,052

1,350,657

b

Magnum

Ice

Cream

Co.

NV

(The)

....

Food

Products

4,514

71,647

Universal

Music

Group

NV

.........

Entertainment

36,442

950,037

6,729,322

#### Norway

#### 1.8%
Norsk

Hydro

ASA

................

Metals

&

Mining

138,503

1,069,129

#### Portugal

#### 1.4%
Galp

Energia

SGPS

SA

,

B

.........

Oil,

Gas

&

Consumable

Fuels

47,987

826,352

#### South

#### Korea

#### 2.9%
Samsung

Electronics

Co.

Ltd.

.......

Technology

Hardware,

Storage

&

Peripherals

19,986

1,675,125

Templeton

Institutional

Funds

Schedule

of

Investments

#### International

#### Equity

#### Series
(continued)

ftinstitutional.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Industry

#### Shares
a

#### Value
a

#### Common

#### Stocks
(continued)

#### South

#### Korea
(continued)

#### Sweden

#### 1.5%
Securitas

AB

,

B

..................

Commercial

Services

&

Supplies

53,130

$

844,933

#### Switzerland

#### 3.6%
Adecco

Group

AG

................

Professional

Services

23,879

687,715

c

UBS

Group

AG

..................

Capital

Markets

30,605

1,417,318

2,105,033

#### Taiwan

#### 3.6%
Taiwan

Semiconductor

Manufacturing

Co.

Ltd.

......................

Semiconductors

&

Semiconductor

Equipment

42,298

2,079,255

#### United

#### Kingdom

#### 15.3%
AstraZeneca

plc

.................

Pharmaceuticals

12,942

2,395,038

Barratt

Redrow

plc

...............

Household

Durables

165,299

849,172

c

JD

Sports

Fashion

plc

.............

Specialty

Retail

744,524

843,909

Lloyds

Banking

Group

plc

..........

Banks

502,815

665,081

SSE

plc

.......................

Electric

Utilities

61,766

1,810,850

Standard

Chartered

plc

............

Banks

41,465

1,011,764

Unilever

plc

.....................

Personal

Care

Products

20,065

1,310,991

8,886,805

#### United

#### States

#### 14.0%
BP

plc

.........................

Oil,

Gas

&

Consumable

Fuels

295,654

1,724,244

CNH

Industrial

NV

................

Machinery

67,896

626,001

CRH

plc

.......................

Construction

Materials

12,228

1,519,470

b,c

ICON

plc

.......................

Life

Sciences

Tools

&

Services

4,323

787,737

Sanofi

SA

......................

Pharmaceuticals

11,937

1,154,967

Shell

plc

.......................

Oil,

Gas

&

Consumable

Fuels

39,053

1,439,191

Smurfit

WestRock

plc

.............

Containers

&

Packaging

23,342

895,438

8,147,048

#### Total

#### Common

#### Stocks

#### (Cost

#### $

#### 39,142,111

####)
......................................

#### 54,444,456
a

#### a
a

#### Escrows

#### and

#### Litigation

#### Trusts

#### 0.0%
b,e

Hemisphere

Properties

India

Ltd.,

Escrow

Account

................

2,094,964

—

#### Total

#### Escrows

#### and

#### Litigation

#### Trusts

#### (Cost

#### $

#### –

####)
...................................

#### —

#### Total

#### Long

#### Term

#### Investments

#### (Cost

#### $

#### 39,142,111

####)
................................

#### 54,444,456

#### Short

#### Term

#### Investments

#### 6.2%
a

a

#### Industry

#### Shares
a

#### Value
a

a

#### a
a

#### Money

#### Market

#### Funds

#### 1.2%

#### United

#### States

#### 1.2%
f,g

Franklin

Institutional

U.S.

Government

Money

Market

Fund

,

3.681 %

......

695,616

695,616

#### Total

#### Money

#### Market

#### Funds

#### (Cost

#### $

#### 695,616

####)
.....................................

#### 695,616
Templeton

Institutional

Funds

Schedule

of

Investments

#### International

#### Equity

#### Series
(continued)

ftinstitutional.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

#### Short

#### Term

#### Investments
(continued)

a

a

#### Industry

#### Shares
a

#### Value
a

a

#### a
a

h

#### Investments

#### from

#### Cash

#### Collateral

#### Received

#### for

#### Loaned

#### Securities

#### 5.0%

#### Money

#### Market

#### Funds

#### 5.0%
f,g

Franklin

Institutional

U.S.

Government

Money

Market

Fund

,

3.681 %

......

2,933,669

$

2,933,669

#### Total

#### Investments

#### from

#### Cash

#### Collateral

#### Received

#### for

#### Loaned

#### Securities

#### (Cost

#### $

#### 2,933,669

####)
.................................................................

#### 2,933,669
a

#### a
a

a

#### Total

#### Short

#### Term

#### Investments

#### (Cost

#### $

#### 3,629,285

####)
.................................

#### 3,629,285
a

#### a

#### Total

#### Investments

#### (Cost

#### $

#### 42,771,396

####)
99.9 #### %
....................................

#### $58,073,741

#### Other

#### Assets,

#### less

#### Liabilities
0.1 #### %
.............................................

#### 45,080

#### Net

#### Assets

#### 100.0%

#### ...........................................................

#### $58,118,821

#### a
a

Variable

interest

entity

(VIE).

See

Note

regarding

investments

made

through

a

VIE

structure.

At

December

31,

2025,

the

value

of

this

security

was

$1,402,777,

represent-

ing

2.4%

of

net

assets.

b

Non-income

producing.

c

A

portion

or

all

of

the

security

is

on

loan

at

December

31,

2025. See

Note

1(e).

d

Security

was

purchased

pursuant

to

Rule

144A

or

Regulation

S

under

the

Securities

Act

of

1933. 144A

securities

may

be

sold

in

transactions

exempt

from

registration

only

to

qualified

institutional

buyers

or

in

a

public

offering

registered

under

the

Securities

Act

of

1933. Regulation

S

securities

cannot

be

sold

in

the

United

States

without

either

an

effective

registration

statement

filed

pursuant

to

the

Securities

Act

of

1933,

or

pursuant

to

an

exemption

from

registration.

At

December

31,

2025,

the

value

of

this

security

was

$1,234,041,

representing

2.1%

of

net

assets.

e

Fair

valued

using

significant

unobservable

inputs.

See

Note

regarding

fair

value

measurements.

f

See

Note

3(d)

regarding

investments

in

affiliated

management

investment

companies.

g

The

rate

shown

is

the

annualized

seven-day

effective

yield

at

period

end.

h

See

Note

1(e)

regarding

securities

on

loan.

Templeton

Institutional

Funds

Schedule

of

Investments

#### International

#### Equity

#### Series
(continued)

ftinstitutional.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

At

December

31,

2025,

the

Fund

had

the

following futures

contracts

outstanding.

See

Note

1(d).

See

Note

regarding

other

derivative

information.

See

Abbreviations

on

.

#### Futures

#### Contracts

#### Description

#### Type

#### Number

#### of

#### Contracts

#### Notional

#### Amount

#### \*

#### Expiration

#### Date

#### Value/

#### Unrealized

#### Appreciation
(Depreciation)

#### Equity

#### contracts
MSCI

EAFE

Index

............................

Long

$

3,917,835

3/20/26

$

36,576

Total

Futures

Contracts

......................................................................

$36,576

\*

As

of

period

end.

Templeton

Institutional

Funds

Financial

Statements

Statements

of

Assets

and

Liabilities

December

31,

2025

ftinstitutional.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

#### Foreign

#### Smaller

#### Companies

#### Series

#### International

#### Equity

#### Series
Assets:

Investments

in

securities:

Cost

-

Unaffiliated

issuers

..................................................

$16,867,063

$39,142,111

Cost

-

Non-controlled

affiliates

(Note

d)

.......................................

—

3,629,285

Value

-

Unaffiliated

issuers

(Includes

securities

loaned

of

$1,544,771

and

$3,899,016,

respectively)

............................................................

$23,608,167

$54,444,456

Value

-

Non-controlled

affiliates

(Note

d)

......................................

—

3,629,285

Cash

...................................................................

114,106

—

Foreign

currency,

at

value

(cost

$66

and

$181,

respectively)

..........................

Receivables:

Investment

securities

sold

..................................................

129,873

—

Capital

shares

sold

.......................................................

9,203

14,357

Dividends

..............................................................

150,415

3,523,503

European

Union

tax

reclaims

(Note

f)

........................................

266,105

213,361

Affiliates

...............................................................

—

26,071

Deposits

with

brokers

for:

Futures

contracts

.......................................................

—

129,580

Total

assets

.........................................................

24,277,935

61,980,793

Liabilities:

Payables:

Investment

securities

purchased

.............................................

110,510

—

Capital

shares

redeemed

..................................................

114,176

793,288

Management

fees

........................................................

20,007

—

Transfer

agent

fees

.......................................................

1,427

1,537

Professional

fees

........................................................

60,209

68,961

Trustees'

fees

and

expenses

................................................

607

Variation

margin

on

futures

contracts

..........................................

—

21,112

Payable

upon

return

of

securities

loaned

(Note

e)

.................................

—

2,933,669

Deferred

taxes

on

unrealized

appreciation

.......................................

—

17,493

Accrued

expenses

and

other

liabilities

..........................................

23,074

25,879

Total

liabilities

........................................................

330,010

3,861,972

Net

assets,

at

value

................................................

$23,947,925

$58,118,821

Net

assets

consist

of:

Paid-in

capital

............................................................

$15,439,711

$42,362,981

Total

distributable

earnings

(losses)

............................................

8,508,214

15,755,840

Net

assets,

at

value

................................................

$23,947,925

$58,118,821

Shares

outstanding

........................................................

2,352,110

Net

asset

value

per

share

a

...................................................

$10.18

#### International

#### Equity

#### Series

#### Primary

#### Shares:
Net

assets,

at

value

.......................................................................

$57,987,265

Shares

outstanding

........................................................................

6,212,485

Net

asset

value

per

share

a

..................................................................

$9.33

#### Service

#### Shares:
Net

assets,

at

value

.......................................................................

$131,556

Shares

outstanding

........................................................................

13,459

Net

asset

value

per

share

a

..................................................................

$9.77

a

Net

asset

value

per

share

may

not

recalculate

due

to

rounding.

Templeton

Institutional

Funds

Financial

Statements

Statements

of

Operations

for

the

year

ended

December

31,

2025

ftinstitutional.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Foreign

#### Smaller

#### Companies

#### Series

#### International

#### Equity

#### Series
Investment

income:

Dividends:

(net

of

foreign

taxes

of

$193,459

and

$110,735,

respectively)

Unaffiliated

issuers

.......................................................

$1,798,910

$1,851,906

Non-controlled

affiliates

(Note

d)

............................................

—

64,532

Interest:

Unaffiliated

issuers

.......................................................

35,487

3,424

Income

from

securities

loaned:

Unaffiliated

entities

(net

of

fees

and

rebates)

....................................

(1,089)

(10,871)

Non-controlled

affiliates

(Note

d)

............................................

6,739

11,896

Other

income

(Note

f)

......................................................

242,412

5,901

Total

investment

income

..................................................

2,082,459

1,926,788

Expenses:

Management

fees

(Note

a)

..................................................

598,417

518,313

Transfer

agent

fees:

(Note

3c)

&nbsp;&nbsp;&nbsp;&nbsp;Primary

Shares

.........................................................

—

20,543

&nbsp;&nbsp;&nbsp;&nbsp;Service

Shares

.........................................................

—

Transfer

agent

fees

(Note

3c)

.................................................

14,156

—

Sub-transfer

agent

fees:

(Note

3c)

&nbsp;&nbsp;&nbsp;&nbsp;Service

Shares

.........................................................

—

Custodian

fees

...........................................................

—

1,311

Reports

to

shareholders

fees

.................................................

4,778

10,482

Registration

and

filing

fees

...................................................

21,089

35,111

Professional

fees

..........................................................

95,603

115,146

Trustees'

fees

and

expenses

.................................................

12,164

11,633

European

Union

tax

reclaims

filing

fees

(Note

f)

..................................

21,149

48,730

Other

...................................................................

29,431

43,405

Total

expenses

........................................................

796,787

805,053

Expenses

waived/paid

by

affiliates

(Note

d

and

e)

.............................

(498) (28,673)

Net

expenses

........................................................

796,289

776,380

Net

investment

income

...............................................

1,286,170

1,150,408

Realized

and

unrealized

gains

(losses):

Net

realized

gain

(loss)

from:

Investments:

(net

of

foreign

taxes

of

$–

and

$169,356,

respectively)

Unaffiliated

issuers

.....................................................

24,822,796

26,841,525

Foreign

currency

transactions

...............................................

48,417

(158,158)

Futures

contracts

........................................................

—

555,532

Net

realized

gain

(loss)

.................................................

24,871,213

27,238,899

Net

change

in

unrealized

appreciation

(depreciation)

on:

Investments:

Unaffiliated

issuers

.....................................................

(19,444,027)

(9,109,072)

Translation

of

other

assets

and

liabilities

denominated

in

foreign

currencies

.............

38,785

432,413

Futures

contracts

........................................................

—

109,809

Change

in

deferred

taxes

on

unrealized

appreciation

..............................

—

(17,493)

Net

change

in

unrealized

appreciation

(depreciation)

...........................

(19,405,242)

(8,584,343)

Net

realized

and

unrealized

gain

(loss)

...........................................

5,465,971

18,654,556

Net

increase

(decrease)

in

net

assets

resulting

from

operations

.........................

$6,752,141

$19,804,964

Templeton

Institutional

Funds

Financial

Statements

Statements

of

Changes

in

Net

Assets

ftinstitutional.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

#### Foreign

#### Smaller

#### Companies

#### Series

#### International

#### Equity

#### Series

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### Year

#### Ended

#### December

#### 31,

#### 2024

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### Year

#### Ended

#### December

#### 31,

#### 2024
Increase

(decrease)

in

net

assets:

Operations:

Net

investment

income

............

$1,286,170

$2,344,330

$1,150,408

$2,139,105

Net

realized

gain

(loss)

............

24,871,213

22,718,087

27,238,899

15,847,240

Net

change

in

unrealized

appreciation

(depreciation)

.................

(19,405,242)

(25,802,371)

(8,584,343)

(9,814,782)

Net

increase

(decrease)

in

net

assets

resulting

from

operations

.

6,752,141

(739,954)

19,804,964

8,171,563

Distributions

to

shareholders:

Primary

Shares

..................

—

—

(18,443,166)

(13,938,011)

Service

Shares

..................

—

—

(49,690)

(19,030)

Distributions

to

shareholders

.........

(10,939,760)

(14,138,493)

—

—

Total

distributions

to

shareholders

.....

(10,939,760)

(14,138,493)

(18,492,856)

(13,957,041)

Capital

share

transactions:

(Note

2)

Primary

Shares

..................

—

—

(44,544,785)

(20,748,019)

Service

Shares

..................

—

—

12,424

1,583

Capital

share

transactions

(Note

2)

.....

(83,710,712)

(64,531,610)

—

—

Total

capital

share

transactions

.......

(83,710,712)

(64,531,610)

(44,532,361)

(20,746,436)

Net

increase

(decrease)

in

net

assets

.....................

(87,898,331)

(79,410,057)

(43,220,253)

(26,531,914)

Net

assets:

Beginning

of

year

..................

111,846,256

191,256,313

101,339,074

127,870,988

End

of

year

......................

$23,947,925

$111,846,256

$58,118,821

$101,339,074

Templeton

Institutional

Funds

ftinstitutional.com

Annual

Report

Notes

to

Financial

Statements

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
Templeton

Institutional

Funds

(Trust)

is

registered

under

the

Investment

Company

Act

of

1940

(1940

Act)

as

an

open-

end

management

investment

company,

consisting

of two

separate

funds

(Funds).

The Funds

follow

the

accounting

and

reporting

guidance

in

Financial

Accounting

Standards

Board

(FASB)

Accounting

Standards

Codification

Topic

946,

Financial

Services

–

Investment

Companies

(ASC

946)

and apply

the

specialized

accounting

and

reporting

guidance

in

U.S.

Generally

Accepted

Accounting

Principles

(U.S.

GAAP),

including,

but

not

limited

to,

ASC

946. International

Equity

Series

offers

Primary

and

Service

Shares.

Each

class

of

shares

may

differ

by

its

initial

sales

load,

contingent

deferred

sales

charges,

voting

rights

on

matters

affecting

a

single

class,

its

exchange

privilege

and

fees

due

to

differing

arrangements

for

distribution

and

transfer

agent

fees.

The

following

summarizes

the Funds'

significant

accounting

policies.

a. #### Financial

#### Instrument

#### Valuation
The Funds'

investments

in

financial

instruments

are

carried

at

fair

value

daily.

Fair

value

is

the

price

that

would

be

received

to

sell

an

asset

or

paid

to

transfer

a

liability

in

an

orderly

transaction

between

market

participants

on

the

measurement

date.

The Funds calculate the

net

asset

value

(NAV)

per

share

each

business

day

as

of

p.m.

Eastern

time

or

the

regularly

scheduled

close

of

the

New

York

Stock

Exchange

(NYSE),

whichever

is

earlier. Under

compliance

policies

and

procedures

approved

by

the

Trust's

Board

of

Trustees

(the

Board),

the

Board

has

designated

the

Funds'

investment

manager

as

the

valuation

designee

and

has

responsibility

for

oversight

of

valuation.

The

investment

manager

is

assisted

by

the

Funds'

administrator

in

performing

this

responsibility,

including

leading

the

cross-

functional

Valuation

Committee

(VC).

The

Funds

may

utilize

independent

pricing

services,

quotations

from

securities

and

financial

instrument

dealers,

and

other

market

sources

to

determine

fair

value.

Equity

securities

and

derivative

financial instruments listed

on

an

exchange

or

on

the

NASDAQ

National

Market

System

are

valued

at

the

last

quoted

sale

price

or

the

official

closing

price of

the

day,

respectively. Foreign

equity

securities

are

valued

as

of

the

close

of

trading

on

the

foreign

stock

exchange

on

which

the

security

is

primarily

traded,

or

as

of

p.m.

Eastern

time.

The

value

is

then

converted

into

its

U.S.

dollar

equivalent

at

the

foreign

exchange

rate

in

effect

at

p.m.

Eastern

time

on

the

day

that

the

value

of

the

security

is

determined.

Over-the-counter

(OTC)

securities

are

valued

within

the

range

of

the

most

recent

quoted

bid

and

ask

prices.

Securities

that

trade

in

multiple

markets

or

on

multiple

exchanges

are

valued

according

to

the

broadest

and

most

representative

market.

Certain

equity

securities

are

valued

based

upon

fundamental

characteristics

or

relationships

to

similar

securities.

Debt

securities

generally

trade

in

the

OTC

market rather

than

on

a

securities

exchange.

The

Funds'

pricing

services

use

multiple

valuation

techniques

to

determine

fair

value.

In

instances

where

sufficient

market

activity

exists,

the

pricing

services

may

utilize

a

market-based

approach

through

which

quotes

from

market

makers

are

used

to

determine

fair

value.

In

instances

where

sufficient

market

activity

may

not

exist

or

is

limited,

the

pricing

services

also

utilize

proprietary

valuation

models

which

may

consider

market

characteristics

such

as

benchmark

yield

curves,

credit

spreads,

estimated

default

rates,

anticipated

market

interest

rate

volatility,

coupon

rates,

anticipated

timing

of

principal

repayments,

underlying

collateral,

and

other

unique

security

features

in

order

to

estimate

the

relevant

cash

flows,

which

are

then

discounted

to

calculate

the

fair

value.

Securities

denominated

in

a

foreign

currency

are

converted

into

their

U.S.

dollar

equivalent

at

the

foreign

exchange

rate

in

effect

at

p.m.

Eastern

time

on

the

date

that

the

values

of

the

foreign

debt

securities

are

determined.

Investments

in open-end mutual

funds

are

valued

at

the

closing

NAV.

The

Funds

have

procedures

to

determine

the

fair

value

of

financial

instruments

for

which

market

prices

are

not

reliable

or

readily

available.

Under

these

procedures,

the

Funds

primarily

employ

a

market-based

approach

which

may

use

related

or

comparable

assets

or

liabilities,

recent

transactions,

market

multiples,

and

other

relevant

information

for

the

investment

to

determine

the

fair

value

of

the

investment.

An

income-based

valuation

approach

may

also

be

used

in

which

the

anticipated

future

cash

flows

of

the

investment

are

discounted

to

calculate

fair

value.

Discounts

may

also

be

applied

due

to

the

nature

or

duration

of

any

restrictions

on

the

disposition

of

the

investments.

Due

to

the

inherent

uncertainty

of

valuations

of

such

investments,

the

fair

values

may

differ

significantly

from

the

values

that

would

have

been

used

had

an

active

market

existed.

Templeton

Institutional

Funds

Notes

to

Financial

Statements

ftinstitutional.com

Annual

Report

Trading

in

securities

on

foreign

securities

stock

exchanges

and

OTC

markets

may

be

completed

before

p.m.

Eastern

time.

In

addition,

trading

in

certain

foreign

markets

may

not

take

place

on

every

Funds'

business

day.

Events

can occur

between

the

time

at

which

trading

in

a

foreign

security

is

completed

and

p.m.

Eastern

time

that

might

call

into

question

the

reliability

of

the

value

of

a

portfolio

security

held

by

the

Fund.

As

a

result,

differences

may

arise

between

the

value

of

the

Funds'

portfolio

securities

as

determined

at

the

foreign

market

close

and

the

latest

indications

of

value

at

p.m.

Eastern

time.

In

order

to

minimize

the

potential

for

these

differences,

an

independent

pricing

service

may

be

used

to

adjust

the

value

of

the

Funds'

portfolio

securities

to

the

latest

indications

of

fair

value

at

p.m.

Eastern

time.

At

December

31,

2025,

certain

securities

may

have

been

fair

valued

using

these

procedures,

in

which

case

the

securities

were

categorized

as

Level

within

the

fair

value

hierarchy

(referred

to

as

"market

level

fair

value").

See

the

Fair

Value

Measurements

note

for

more

information.

When

the

last

day

of

the

reporting

period

is

a

non-business

day,

certain

foreign

markets

may

be

open

on

those

days

that

the

Funds'

NAV

is

not

calculated,

which

could

result

in

differences

between

the

value

of

the

Funds'

portfolio

securities

on

the

last

business

day

and

the

last

calendar

day

of

the

reporting

period.

Any

security

valuation

changes

due

to

an

open

foreign

market

are

adjusted

and

reflected

by

the

Funds

for

financial

reporting

purposes.

b. #### Foreign

#### Currency

#### Translation
Portfolio

securities

and

other

assets

and

liabilities

denominated

in

foreign

currencies

are

translated

into

U.S.

dollars

based

on

the

exchange

rate

of

such

currencies

against

U.S.

dollars

on

the

date

of

valuation.

The

Funds

may

enter

into

foreign

currency

exchange

contracts

to

facilitate

transactions

denominated

in

a

foreign

currency.

Purchases

and

sales

of

securities,

income

and

expense

items

denominated

in

foreign

currencies

are

translated

into

U.S.

dollars

at

the

exchange

rate

in

effect

on

the

transaction

date.

Portfolio

securities

and

assets

and

liabilities

denominated

in

foreign

currencies

contain

risks

that

those

currencies

will

decline

in

value

relative

to

the

U.S.

dollar.

Occasionally,

events

may

impact

the

availability

or

reliability

of

foreign

exchange

rates

used

to

convert

the

U.S.

dollar

equivalent

value.

If

such

an

event

occurs,

the

foreign

exchange

rate

will

be

valued

at

fair

value

using

procedures

established

and

approved

by

the

Board.

The

Funds

do

not

separately

report

the

effect

of

changes

in

foreign

exchange

rates

from

changes

in

market

prices

on

securities

held.

Such

changes

are

included

in

net

realized

and

unrealized

gain

or

loss

from

investments

in

the

Statements

of

Operations.

Realized

foreign

exchange

gains

or

losses

arise

from

sales

of

foreign

currencies,

currency

gains

or

losses

realized

between

the

trade

and

settlement

dates

on

securities

transactions

and

the

difference

between

the

recorded

amounts

of

dividends,

interest,

and

foreign

withholding

taxes

and

the

U.S.

dollar

equivalent

of

the

amounts

actually

received

or

paid.

Net

unrealized

foreign

exchange

gains

and

losses

arise

from

changes

in

foreign

exchange

rates

on

foreign

denominated

assets

and

liabilities

other

than

investments

in

securities

held

at

the

end

of

the

reporting

period.

c. #### Securities

#### Purchased

#### on

#### a

#### When-Issued,

#### Forward

#### Commitment or

#### Delayed

#### Delivery

#### Basis
Certain

or

all

Funds

may

purchase

securities

on

a

when-

issued,

forward

commitment

or

delayed

delivery

basis,

with

payment

and

delivery

scheduled

for

a

future

date.

These

transactions

are

subject

to

market

fluctuations

and

are

subject

to

the

risk

that

the

value

at

delivery

may

be

more

or

less

than

the

trade

date

purchase

price.

Although

the

Funds

will

generally

purchase

these

securities

with

the

intention

of

holding

the

securities, they

may

sell

the

securities

before

the

settlement

date.

d. #### Derivative

#### Financial

#### Instruments
Certain

or

all

Funds

invested

in

derivative

financial

instruments

in

order

to

manage

risk

or

gain

exposure

to

various

other

investments

or

markets.

Derivatives

are

financial

contracts

based

on

an

underlying

or

notional

amount,

require

no

initial

investment

or

an

initial

net

investment

that

is

smaller

than

would

normally

be

required

to

have

a

similar

response

to

changes

in

market

factors,

and

require

or

permit

net

settlement.

Derivatives

contain

various

risks

including

the

potential

inability

of

the

counterparty

to

fulfill

their

obligations

under

the

terms

of

the

contract,

the

potential

for

an

illiquid

secondary

market,

and/or

the

potential

for

market

movements

which

expose

the

Fund

to

gains

or

losses

in

excess

of

the

amounts

shown

in

the

Statements

of

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

a. #### Financial

#### Instrument

#### Valuation
(continued)

Templeton

Institutional

Funds

Notes

to

Financial

Statements

ftinstitutional.com

Annual

Report

Assets

and

Liabilities.

Realized

gain

and

loss

and

unrealized

appreciation

and

depreciation

on

these

contracts

for

the

period

are

included

in

the

Statements

of

Operations.

Collateral

requirements

differ

by

type

of

derivative.

Collateral

or

initial

margin

requirements

are

set

by

the

broker

or

exchange

clearing

house

for

exchange

traded

and

centrally

cleared

derivatives.

Initial

margin

deposited

is

held

at

the

exchange

or

at

the

broker

and

can

be

in

the

form

of

cash

and/or

securities.

Certain

or

all

Funds

entered

into

exchange

traded

futures

contracts

primarily

to

manage

and/or

gain

exposure

to equity

price

risk.

A

futures

contract

is

an

agreement

between

the

Fund

and

a

counterparty

to

buy

or

sell

an

asset

at

a

specified

price

on

a

future

date.

Required

initial

margins

are

pledged

by

the

Fund,

and

the

daily

change

in

fair

value

is

accounted

for

as

a

variation

margin

payable

or

receivable

in

the

Statements

of

Assets

and

Liabilities.

Futures

contracts

outstanding

at

period

end,

if

any,

are

listed

in

the

Funds'

Schedules

of

Investments.

See

Note

regarding

other

derivative

information.

e. #### Securities

#### Lending
Certain

or

all

Funds

participate

in

an

agency

based

securities

lending

program

to

earn

additional

income.

The

Fund

receives

collateral

in

the

form

of

cash

and/or

U.S.

Government

and

Agency

securities

against

the

loaned

securities

in

an

amount

equal

to

at

least

102%

of

the

fair

value

of

the

loaned

securities.

Collateral

is

maintained

over

the

life

of

the

loan

in

an

amount

not

less

than

100%

of

the

fair

value

of

loaned

securities,

as

determined

at

the

close

of

Fund

business

each

day;

any

additional

collateral

required

due

to

changes

in

security

values

is

delivered

to

the

Fund

on

the

next

business

day.

Any

cash

collateral

received

is

deposited

into

a

joint

cash

account

with

other

funds

and

is

used

to

invest

in

a

money

market

fund

managed

by

Franklin

Advisers,

Inc.,

an

affiliate

of

the

Funds.

Additionally,

at

December

31,

2025,

Foreign

Smaller

Companies

Series

and

International

Equity

Series

held

$1,623,915

and

$1,113,969,

respectively,

in

U.S.

Government

and

Agency

securities

as

collateral.

These

securities

are

held

as

collateral

in

segregated

accounts

with

the

Funds'

custodian.

The

Fund

cannot

repledge

or

resell

these

securities

held

as

collateral.

As

such,

the

non-cash

collateral

is

excluded

from

the

Statements

of

Assets

and

Liabilities. The

Fund

may

receive

income

from

the

investment

of

cash

collateral,

in

addition

to

lending

fees

paid

by

the

borrower.

Income

from

securities

loaned,

net

of

fees

paid

to

the

securities

lending

agent

and/or

third-party

vendor,

is

reported

separately

in

the Statements of

Operations.

The

Fund

bears

the

market

risk

with

respect

to

any

cash

collateral

investment,

securities

loaned,

and

the

risk

that

the

agent

may

default

on

its

obligations

to

the

Fund.

If

the

borrower

defaults

on

its

obligation

to

return

the

securities

loaned,

the

Fund

has

the

right

to

repurchase

the

securities

in

the

open

market

using

the

collateral

received.

The

securities

lending

agent

has

agreed

to

indemnify

the

Fund

in

the

event

of

default

by

a

third

party

borrower.

Securities

on

loan

outstanding

at

period

end,

if

any,

are

listed

in

the

Funds'

Schedules

of

Investments.

f. #### Income

#### and

#### Deferred

#### Taxes
It

is each

Fund's

policy

to

qualify

as

a

regulated

investment

company

under

the

Internal

Revenue

Code. Each

Fund

intends

to

distribute

to

shareholders

substantially

all

of

its

taxable

income

and

net

realized

gains

to

relieve

it

from

federal

income

and excise

taxes.

As

a

result,

no

provision

for

U.S.

federal

income

taxes

is

required.

The

Funds

may

be

subject

to

foreign

taxation

related

to

income

received,

capital

gains

on

the

sale

of

securities

and

certain

foreign

currency

transactions

in

the

foreign

jurisdictions

in

which

the

Funds

invest.

Foreign

taxes,

if

any,

are

recorded

based

on

the

tax

regulations

and

rates

that

exist

in

the

foreign

markets

in

which

the

Funds

invest.

In

some

cases,

the

Funds

may

be

entitled

to

reclaim

all

or

a

portion

of

such

taxes,

and

such

reclaim

amounts,

if

any,

are

reflected

as

a

dividend

receivable

in

the

Statements

of

Assets

and

Liabilities

and

dividend

income

in

the

Statements

of

Operations.

In

many

cases,

however,

the

Funds

may

not

receive

such

amounts

for

an

extended

period

of

time,

depending

on

the

country

of

investment.

When

a

capital

gain

tax

is

determined

to

apply,

certain

or

all

Funds

record

an

estimated

deferred

tax

liability

in

an

amount

that

would

be

payable

if

the

securities

were

disposed

of

on

the

valuation

date.

As

a

result

of

several

court

cases,

in

certain

countries

across

the

European

Union, certain

or

all Funds

filed

additional

tax

reclaims

for

previously

withheld

taxes

on

dividends

earned

in

those

countries

(EU

reclaims). Income

recognized,

if

any,

for

EU

reclaims

is

reflected

as

other

income

in

the

Statements

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

d. #### Derivative

#### Financial

#### Instruments
(continued)

Templeton

Institutional

Funds

Notes

to

Financial

Statements

ftinstitutional.com

Annual

Report

of

Operations

and

any

related

receivable,

if

any,

is

reflected

as

European

Union

tax

reclaims

in

the

Statements

of

Assets

and

Liabilities.

Any

fees

associated

with

these

filings

are

reflected

as

European

Union

tax

reclaim

filing

fees

and

other

expenses in

the

Statements

of

Operations.

When

uncertainty

exists

as

to

the

ultimate

resolution

of

these

proceedings,

the

likelihood

of

receipt

of

these

EU

reclaims,

and

the

potential

timing

of

payment,

no

amounts

are

reflected

in

the

financial

statements.

For

U.S.

income

tax

purposes,

EU

reclaims

received

by

the

Funds,

if

any,

reduce

the

amount

of

foreign

taxes

Fund

shareholders

can

use

as

tax

deductions

or credits

on

their

income

tax

returns.

Each

Fund

may

recognize

an

income

tax

liability

related

to

its

uncertain

tax

positions

under

U.S.

GAAP

when

the

uncertain

tax

position

has

a

less

than

50%

probability

that

it

will

be

sustained

upon

examination

by

the

tax

authorities

based

on

its

technical

merits.

As

of

December

31,

2025, each

Fund

has

determined

that

no

tax

liability

is

required

in

its

financial

statements

related

to

uncertain

tax

positions

for

any

open

tax

years

(or

expected

to

be

taken

in

future

tax

years).

The

Funds'

federal

and

state

income

and

federal

excise

tax

returns

for

the

prior

three

fiscal

years

are

subject

to

examination

by

the

Internal

Revenue

Service

and

state

departments

of

revenue.

g. #### Security

#### Transactions,

#### Investment

#### Income,

#### Expenses

#### and

#### Distributions
Security

transactions

are

accounted

for

on

trade

date.

Realized

gains

and

losses

on

security

transactions

are

determined

on

a

specific

identification

basis.

Interest

income

(including

interest

income

from

payment-in-kind

securities,

if

any)

and

estimated

expenses

are

accrued

daily.

Amortization

of

premium

and

accretion

of

discount

on

debt

securities

are

included

in

interest

income.

Dividend

income

is

recorded

on

the

ex-dividend

date

except

for

certain

dividends

from

securities

where

the

dividend

rate

is

not

available.

In

such

cases,

the

dividend

is

recorded

as

soon

as

the

information

is

received

by

the

Funds.

Distributions

to

shareholders

are

recorded

on

the

ex-dividend

date.

Distributable

earnings

are

determined

according

to

income

tax

regulations

(tax

basis)

and

may

differ

from

earnings

recorded

in

accordance

with

U.S.

GAAP.

These

differences

may

be

permanent

or

temporary.

Permanent

differences

are

reclassified

among

capital

accounts

to

reflect

their

tax

character.

These

reclassifications

have

no

impact

on

net

assets

or

the

results

of

operations.

Temporary

differences

are

not

reclassified,

as

they

may

reverse

in

subsequent

periods.

Common

expenses

incurred

by

the

Trust

are

allocated

among

the

Funds

based

on

the

ratio

of

net

assets

of

each

Fund

to

the

combined

net

assets

of

the

Trust

or

based

on

the

ratio

of

number

of

shareholders

of

each

Fund

to

the

combined

number

of

shareholders

of

the

Trust.

Fund

specific

expenses

are

charged

directly

to

the

Fund

that

incurred

the

expense.

Realized

and

unrealized

gains

and

losses

and

net

investment

income,

excluding

class

specific

expenses,

are

allocated

daily

to

each

class

of

shares

based

upon

the

relative

proportion

of

net

assets

of

each

class.

Differences

in

per

share

distributions

by

class

are

generally

due

to

differences

in

class

specific

expenses.

h. #### Accounting

#### Estimates
The

preparation

of

financial

statements

in

accordance

with

U.S.

GAAP

requires

management

to

make

estimates

and

assumptions

that

affect

the

reported

amounts

of

assets

and

liabilities

at

the

date

of

the

financial

statements

and

the

amounts

of

income

and

expenses

during

the

reporting

period.

Actual

results

could

differ

from

those

estimates.

i. #### Guarantees

#### and

#### Indemnifications
Under

the Trust's

organizational

documents,

its

officers

and trustees

are

indemnified

by

the Trust against

certain

liabilities

arising

out

of

the

performance

of

their

duties

to

the

Trust.

Additionally,

in

the

normal

course

of

business,

the Trust,

on

behalf

of

the

Funds, enters

into

contracts

with

service

providers

that

contain

general

indemnification

clauses.

The Trust's

maximum

exposure

under

these

arrangements

is

unknown

as

this

would

involve

future

claims

that

may

be

made

against

the Trust

that

have

not

yet

occurred.

Currently,

the Trust

expects

the

risk

of

loss

to

be

remote.

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

f. #### Income

#### and

#### Deferred

#### Taxes
(continued)

Templeton

Institutional

Funds

Notes

to

Financial

Statements

ftinstitutional.com

Annual

Report

2. #### Shares

#### of

#### Beneficial

#### Interest
At

December

31,

2025,

there

were

an

unlimited

number

of

shares

authorized

(without

par value).

Transactions

in

the

Funds'

shares

were

as

follows:

#### Foreign

#### Smaller

#### Companies

#### Series

#### Shares

#### Amount
Advisor

Class

Year

ended

December

31,

2025

Shares

sold

..................................................................

312,508

$4,972,218

Shares

issued

in

reinvestment

of

distributions

.........................................

1,014,696

10,268,719

Shares

redeemed

..............................................................

(5,991,881)

(98,951,649)

Net

increase

(decrease)

.........................................................

(4,664,677)

$(83,710,712)

Year

ended

December

31,

2024

Shares

sold

..................................................................

916,450

$16,451,068

Shares

issued

in

reinvestment

of

distributions

.........................................

855,958

13,996,485

Shares

redeemed

..............................................................

(4,997,817)

(94,979,163)

Net

increase

(decrease)

.........................................................

(3,225,409)

$(64,531,610)

#### International

#### Equity

#### Series

#### Shares

#### Amount
Primary

Shares

#### Primary

#### Shares:
Year

ended

December

31,

2025

Shares

sold

..................................................................

1,061,783

$12,083,748

Shares

issued

in

reinvestment

of

distributions

.........................................

1,808,573

17,030,276

Shares

redeemed

..............................................................

(6,573,690)

(73,658,809)

Net

increase

(decrease)

.........................................................

(3,703,334)

$(44,544,785)

Year

ended

December

31,

2024

Shares

sold

..................................................................

1,526,338

$18,049,589

Shares

issued

in

reinvestment

of

distributions

.........................................

1,322,254

13,421,021

Shares

redeemed

..............................................................

(4,639,729)

(52,218,629)

Net

increase

(decrease)

.........................................................

(1,791,137)

$(20,748,019)

Service

Shares

#### Service

#### Shares:
Year

ended

December

31,

2025

Shares

sold

..................................................................

$2,760

Shares

issued

in

reinvestment

of

distributions

.........................................

5,043

49,690

Shares

redeemed

..............................................................

(4,060)

(40,026)

Net

increase

(decrease)

.........................................................

1,210

$12,424

Year

ended

December

31,

2024

Shares

sold

..................................................................

$1,479

Shares

issued

in

reinvestment

of

distributions

.........................................

1,814

19,030

Shares

redeemed

..............................................................

(1,766)

(18,926)

Net

increase

(decrease)

.........................................................

$1,583

Templeton

Institutional

Funds

Notes

to

Financial

Statements

ftinstitutional.com

Annual

Report

3. #### Transactions

#### with

#### Affiliates
Franklin

Resources,

Inc.

is

the

holding

company

for

various

subsidiaries

that

together

are

referred

to

as

Franklin

Templeton.

Certain

officers

and

trustees

of

the Trust are

also

officers

and/or

directors

of

the

following

subsidiaries:

a. #### Management

#### Fees
Foreign

Smaller

Companies

Series pays

an

investment

management fee,

calculated

daily

and

paid

monthly,

to TIC based

on the

average

daily

net

assets

of

the

Fund

as

follows:

International

Equity

Series pays

an

investment

management fee,

calculated

daily

and

paid

monthly,

to TIC based

on the

average

daily

net

assets

of

the

Fund

as

follows:

For

the

year

ended

December

31,

2025,

each

Fund's

gross

effective

investment

management

fee

rate

based

on

average

daily

net

assets

was

as

follows:

Under

a

subadvisory

agreement,

FTIC,

an

affiliate

of

TIC,

provides

subadvisory

services

to

Foreign

Smaller

Companies

Series.

The

subadvisory

fee

is

paid

by

TIC

based

on

the

Fund's

average

daily

net

assets,

and

is

not

an

additional

expense

of

the

Fund.

#### Subsidiary

#### Affiliation
Templeton

Investment

Counsel,

LLC

(TIC)

Investment

manager

Franklin

Templeton

Investments

Corp.

(FTIC)

Subadvisor

Franklin

Templeton

Services,

LLC

(FT

Services)

Administrative

manager

Franklin

Distributors,

LLC

(Distributors)

Principal

underwriter

Franklin

Templeton

Investor

Services,

LLC

(Investor

Services)

Transfer

agent

#### Annualized

#### Fee

#### Rate

#### Net

#### Assets
0.950%

Up

to

and

including

$500

million

0.930%

Over

$500

million,

up

to

and

including

$1

billion

0.910%

Over

$1

billion,

up

to

and

including

$5

billion

0.890%

Over

$5

billion,

up

to

and

including

$10

billion

0.870%

Over

$10

billion,

up

to

and

including

$15

billion

0.850%

In

excess

of

$15

billion

#### Annualized

#### Fee

#### Rate

#### Net

#### Assets
0.775%

Up

to

and

including

$500

million

0.755%

Over

$500

million,

up

to

and

including

$1

billion

0.735%

Over

$1

billion,

up

to

and

including

$5

billion

0.715%

Over

$5

billion,

up

to

and

including

$10

billion

0.695%

Over

$10

billion,

up

to

and

including

$15

billion

0.675%

In

excess

of

$15

billion

#### Foreign

#### Smaller

#### Companies

#### Series

#### International

#### Equity

#### Series
Gross

effective

investment

management

fee

rate

....................................

0.950%

0.775%

Templeton

Institutional

Funds

Notes

to

Financial

Statements

ftinstitutional.com

Annual

Report

b. #### Administrative

#### Fees
Under

an

agreement

with

TIC,

FT

Services

provides

administrative

services

to

the

Funds.

The

fee

is

paid

by TIC

based

on

each

of the

Funds'

average

daily

net

assets,

and

is

not

an

additional

expense

of

the

Funds.

c. #### Transfer

#### Agent

#### Fees
Each

class

of

shares

pays

transfer

agent

fees,

calculated

monthly

and

paid

monthly, to

Investor

Services

for

its

performance

of

shareholder

servicing

obligations. The

fees

are based

on

a

fixed

margin

earned

by

Investor

Services

and

are allocated

to

the Funds

based

upon

relative

assets

and

relative

transactions. In

addition,

each

class reimburses

Investor

Services

for

out

of

pocket

expenses

incurred

and reimburses

shareholder

servicing

fees

paid

to

third

parties.

These

fees

paid

to

third

parties

are

accrued

and

allocated

daily

based

upon

their

relative

proportion

of

such

classes'

aggregate

net

assets.

For

the

year

ended

December

31,

2025,

the Funds

paid

transfer

agent

fees

as

noted

in

the

Statements of

Operations

of

which

the

following

amounts

were

retained

by

Investor

Services:

International

Equity

Series'

Service

shares

may

pay

up

to

0.15%

of

average

daily

net

assets

for

sub-transfer

agency

fees

as

noted

in

the

Statements

of

Operations.

d. #### Investments

#### in

#### Affiliated

#### Management

#### Investment

#### Companies
Certain

or

all

Funds

invest

in

one

or

more

affiliated

management

investment

companies.

As

defined

in

the

1940

Act,

an

investment

is

deemed

to

be

a

"Controlled

Affiliate"

of

a

fund

when

a

fund

owns,

either

directly

or

indirectly,

25%

or

more

of

the

affiliated

fund's

outstanding

shares

or

has

the

power

to

exercise

control

over

management

or

policies

of

such

fund.

The

Funds

do

not

invest

for

purposes

of

exercising

a

controlling

influence

over

the

management

or

policies.

Management

fees

paid

by

the

Funds

are

waived

on

assets

invested

in

the

affiliated

management

investment

companies,

as

noted

in

the

Statements

of

Operations,

in

an

amount

not

to

exceed

the

management

and

administrative

fees,

if

applicable, paid

directly

or

indirectly

by

each

affiliate.

During

the

year

ended

December

31,

2025,

investments

in

affiliated

management

investment

companies

were

as

follows:

#### Foreign

#### Smaller

#### Companies

#### Series

#### International

#### Equity

#### Series
Transfer

agent

fees

..........................................................

$14,582

$20,504

#### Value

#### at

#### Beginning

#### of

#### Year

#### Purchases

#### Sales

#### Realized

#### Gain
(Loss)

#### Net

#### Change

#### in

#### Unrealized

#### Appreciation
(Depreciation)

#### Value

#### at

#### End

#### of

#### Year

#### Number

#### of

#### Shares

#### Held

#### at

#### End

#### of

#### Year

#### Investment

#### Income

#### a&nbsp;&nbsp;&nbsp;&nbsp;

#### a

#### Foreign

#### Smaller

#### Companies

#### Series

#### Non-Controlled

#### Affiliates
Income

from

securities

loaned

Franklin

Institutional

U.S.

Government

Money

Market

Fund,

3.681%

............

$218,982

$6,507,654

$(6,726,636)

$—

$—

$—

—

$6,739

#### Total

#### Affiliated

#### Securities

#### ...
$218,982

$6,507,654

$(6,726,636)

$—

$—

$—

$6,739

3. #### Transactions

#### with

#### Affiliates
(continued)

Templeton

Institutional

Funds

Notes

to

Financial

Statements

ftinstitutional.com

Annual

Report

e. #### Waiver

#### and

#### Expense

#### Reimbursements
TIC has

contractually

agreed

in

advance

to

limit

the

investment

management

fees

for

International

Equity

Series

to

0.74%

of

the

average

daily

net

assets

of

the

Fund

until

April

30,

2026. Total

expenses

waived

or

paid

are

not

subject

to

recapture

subsequent

to

the

Fund's

fiscal

year

end.

4. #### Income

#### Taxes
The

tax

character

of

distributions

paid

during

the

years

ended

December

31,

2025

and

2024,

was

as

follows:

#### Value

#### at

#### Beginning

#### of

#### Year

#### Purchases

#### Sales

#### Realized

#### Gain
(Loss)

#### Net

#### Change

#### in

#### Unrealized

#### Appreciation
(Depreciation)

#### Value

#### at

#### End

#### of

#### Year

#### Number

#### of

#### Shares

#### Held

#### at

#### End

#### of

#### Year

#### Investment

#### Income

#### International

#### Equity

#### Series

#### Non-Controlled

#### Affiliates
Dividends

Franklin

Institutional

U.S.

Government

Money

Market

Fund,

3.681%

............

$4,241,876

$28,681,877

$(32,228,137)

$—

$—

$695,616

695,616

$64,532

#### Non-Controlled

#### Affiliates
Income

from

securities

loaned

Franklin

Institutional

U.S.

Government

Money

Market

Fund,

3.681%

............

$—

$7,440,351

$(4,506,682)

$—

$—

$2,933,669

2,933,669

$11,896

#### Total

#### Affiliated

#### Securities

#### ...
$4,241,876

$36,122,228

$(36,734,819)

$—

$—

$3,629,285

$76,428

#### Foreign

#### Smaller

#### Companies

#### Series

#### International

#### Equity

#### Series

#### 2025

#### 2024

#### 2025

#### 2024
Distributions

paid

from:

Ordinary

income

........................

$1,876,418

$4,006,587

$3,806,267

$3,488,464

Long

term

capital

gain

....................

9,063,342

10,131,906

14,686,589

10,468,577

$10,939,760

$14,138,493

$18,492,856

$13,957,041

3. #### Transactions

#### with

#### Affiliates
(continued)

d. #### Investments

#### in

#### Affiliated

#### Management

#### Investment

#### Companies
(continued)

Templeton

Institutional

Funds

Notes

to

Financial

Statements

ftinstitutional.com

Annual

Report

At

December

31,

2025,

the

cost

of

investments

and

net

unrealized

appreciation

(depreciation)

for

income

tax

purposes

were

as

follows:

Differences

between

income

and/or

capital

gains

as

determined

on

a

book

basis

and

a

tax

basis

are

primarily

due

to

differing

treatments

of

foreign

currency

transactions,

wash

sales,

EU

reclaims,

passive

foreign

investment

company

shares,

foreign

capital

gains

tax

and

derivative

financial

instruments.

In

accordance

with

U.S.

GAAP

permanent

differences

are

reclassified

among

capital

accounts

to

reflect

their

tax

character.

At

the

year

ended

December

31,

2025,

such

reclassifications

were

as

follows:

The

Funds

utilized

a

tax

accounting

practice

to

treat

a

portion

of

the

proceeds

from

capital

shares

redeemed

as

a

distribution

from

net

investment

income

and realized

capital

gains.

5. #### Investment

#### Transactions
Purchases

and

sales

of

investments

(excluding

short

term

securities)

for

the

year

ended

December

31,

2025,

were

as

follows:

#### Foreign

#### Smaller

#### Companies

#### Series

#### International

#### Equity

#### Series
a

a

a

Cost

of

investments

.........................................................

$18,116,726

$43,679,307

Unrealized

appreciation

.......................................................

$6,903,986

$16,079,305

Unrealized

depreciation

.......................................................

(1,412,545)

(1,648,295)

Net

unrealized

appreciation

(depreciation)

.........................................

$5,491,441

$14,431,010

Distributable

earnings:

Undistributed

ordinary

income

..................................................

$120,423

$192,462

Undistributed

long

term

capital

gains

.............................................

2,635,997

1,225,010

Total

distributable

earnings

....................................................

$2,756,420

$1,417,472

#### Foreign

#### Smaller

#### Companies

#### Series

#### International

#### Equity

#### Series
a

a

a

Paid-in-Capital

.............................................................

$10,493,623

$9,568,838

Total

distributable

earnings

(loss)

...............................................

$(10,493,623)

$(9,568,838)

#### Foreign

#### Smaller

#### Companies

#### Series

#### International

#### Equity

#### Series
Purchases

................................................................

$53,809,567

$36,257,508

Sales

....................................................................

$140,601,104

$94,522,361

4. #### Income

#### Taxes
(continued)

Templeton

Institutional

Funds

Notes

to

Financial

Statements

ftinstitutional.com

Annual

Report

At

December

31,

2025,

in

connection

with

securities

lending

transactions,

certain

or

all

Funds

loaned

investments

and

received

cash

collateral

as

follows:

6. #### Shareholder

#### Concentrations
Foreign

Smaller

Companies

Series has

a

concentration

of

shareholders

holding

a

significant

percentage

of

shares

outstanding.

Investment

activities

of

these

shareholders

could

have

a

material

impact

on

the

Fund.

At

December

31,

2025,

the

Fund

had

one

unaffiliated

shareholder

holding

69%

of

the

Fund's

outstanding

shares.

7. #### Other

#### Derivative

#### Information
At

December

31,

2025,

investments

in

derivative

contracts

are

reflected

in

the

Statements

of

Assets

and

Liabilities

as

follows:

For

the

year

ended

December

31,

2025

,

the

effect

of

derivative

contracts

in

the

Statements

of

Operations

was

as

follows:

#### Foreign

#### Smaller

#### Companies

#### Series

#### International

#### Equity

#### Series

#### Securities

#### lending

#### transactions

#### a

#### :
Equity

investments

b

..........................................................

$—

$2,933,669

a

The

agreements

can

be

terminated

at

any

time.

b

The

gross

amount

of

recognized

liability

for

such

transactions

is

included

in

payable

upon

return

of

securities

loaned

in

the

Statements

of

Assets

and

Liabilities.

#### Asset

#### Derivatives

#### Liability

#### Derivatives

#### Derivative

#### Contracts

#### Not

#### Accounted

#### for

#### as

#### Hedging

#### Instruments

#### Statement

#### of

#### Assets

#### and

#### Liabilities

#### Location

#### Fair

#### Value

#### Statement

#### of

#### Assets

#### and

#### Liabilities

#### Location

#### Fair

#### Value

#### International

#### Equity

#### Series
Equity

contracts

...........

Variation

margin

on

futures

contracts

$

36,576

a

Variation

margin

on

futures

contracts

$

—

Total

....................

$36,576

$—

a

This

amount

reflects

the

cumulative

appreciation

(depreciation)

of

futures

contracts

as

reported

in

the

Schedule

of

Investments.

Only

the

variation

margin

receivable/payable

at

year

end

is

separately

reported

within

the

Statement

of

Assets

and

Liabilities.

Prior

variation

margin

movements

were

recorded

to

cash

upon

receipt

or

payment.

#### Derivative

#### Contracts

#### Not

#### Accounted

#### for

#### as

#### Hedging

#### Instruments

#### Statement

#### of

#### Operations

#### Location

#### Net

#### Realized

#### Gain
(Loss)

#### for

#### the

#### Year

#### Statement

#### of

#### Operations

#### Location

#### Net

#### Change

#### in

#### Unrealized

#### Appreciation
(Depreciation)

#### for

#### the

#### Year

#### International

#### Equity

#### Series
Net

realized

gain

(loss)

from:

Net

change

in

unrealized

&nbsp;&nbsp;&nbsp;&nbsp;appreciation

(depreciation)

on:

Equity

contracts

..............

Futures

contracts

$555,532

Futures

contracts

$109,809

Total

.......................

$555,532

$109,809

5. #### Investment

#### Transactions
(continued)

Templeton

Institutional

Funds

Notes

to

Financial

Statements

ftinstitutional.com

Annual

Report

For

the

year

ended

December

31,

2025,

the

average

month

end

notional

amount

of

futures

contracts

represented

$3,199,203.

See

Note

1(d) regarding

derivative

financial

instruments.

8. #### Concentration

#### of

#### Risk
Investing

in

foreign

securities

may

include

certain

risks

and

considerations

not

typically

associated

with

investing

in

U.S.

securities,

such

as

fluctuating

currency

values

and

changing

local,

regional

and

global

economic,

political

and

social

conditions,

which

may

result

in

greater

market

volatility.

Political

and

financial

uncertainty

in

many

foreign

regions

may

increase

market

volatility

and

the

economic

risk

of

investing

in

foreign

securities.

In

addition,

certain

foreign

securities

may

not

be

as

liquid

as

U.S.

securities.

Certain

investments

in

Chinese

companies

are

made

through

a

special

structure

known

as

a

VIE.

In

a

VIE

structure,

foreign

investors,

such

as

the

Funds,

will

only

own

stock

in

a

shell

company

rather

than

directly

in

the

VIE,

which

must

be

owned

by

Chinese

nationals

(and/or

Chinese

companies)

to

obtain

the

licenses

and/or

assets

required

to

operate

in

a

restricted

or

prohibited

sector

in

China.

The

value

of

the

shell

company

is

derived

from

its

ability

to

consolidate

the

VIE

into

its

financials

pursuant

to

contractual

arrangements

that

allow

the

shell

company

to

exert

a

degree

of

control

over,

and

obtain

economic

benefits

arising

from,

the

VIE

without

formal

legal

ownership.

While

VIEs

are

a

longstanding

industry

practice

and

are

well

known

by

Chinese

officials

and

regulators,

the

structure

historically

has

not

been

formally

recognized

under

Chinese

law

and

it

is

uncertain

whether

Chinese

officials

or

regulators

will

withdraw

their

implicit

acceptance

of

the

structure.

It

is

also

uncertain

whether

the

contractual

arrangements,

which

may

be

subject

to

conflicts

of

interest

between

the

legal

owners

of

the

VIE

and

foreign

investors,

would

be

enforced

by

Chinese

courts

or

arbitration

bodies.

Prohibitions

of

these

structures

by

the

Chinese

government,

or

the

inability

to

enforce

such

contracts,

from

which

the

shell

company

derives

its

value,

would

likely

cause

the

VIE-structured

holding(s)

to

suffer

significant,

detrimental,

and

possibly

permanent

losses,

and

in

turn,

adversely

affect

the

Funds'

returns

and

net

asset

value.

9. #### Credit

#### Facility
The

Funds,

together

with

other

U.S.

registered

and

foreign

investment

funds

(collectively,

Borrowers),

managed

by

Franklin

Templeton,

are

borrowers

in

a

joint

syndicated

senior

unsecured

credit

facility

totaling

$2.995

billion

(Global

Credit

Facility)

which

matured

on

January

30,

2026. This

Global

Credit

Facility

provides

a

source

of

funds

to

the

Borrowers

for

temporary

and

emergency

purposes,

including

the

ability

to

meet

future

unanticipated

or

unusually

large

redemption

requests.

Effective

January

30,

2026,

the

Borrowers

renewed

the

Global

Credit

Facility

for

a

one-year

term,

maturing

January

29,

2027,

for

a

total

of

$2.995

billion.

Under

the

terms

of

the

Global

Credit

Facility,

the

Funds

may,

in

addition

to

interest

charged

on

any

borrowings

made

by

the

Funds

and

other

costs

incurred

by

the

Funds,

pay

their

share

of

fees

and

expenses

incurred

in

connection

with

the

implementation

and

maintenance

of

the

Global

Credit

Facility,

based

upon

their

relative

share

of

the

aggregate

net

assets

of

all

of

the

Borrowers,

including

an

annual

commitment

fee

of

0.15%

based

upon

the

unused

portion

of

the

Global

Credit

Facility.

These

fees

are

reflected

in

other

expenses

in

the

Statements

of

Operations.

During

the

year ended

December

31,

2025,

the

Funds

did

not

use

the

Global

Credit

Facility.

10. #### Fair

#### Value

#### Measurements
The Funds

follow

a

fair

value

hierarchy

that

distinguishes

between

market

data

obtained

from

independent

sources

(observable

inputs)

and

the Funds'

own

market

assumptions

(unobservable

inputs).

These

inputs

are

used

in

determining

the

value

of

the Funds' financial

instruments

and

are

summarized

in

the

following

fair

value

hierarchy:

Level

–

quoted

prices

in

active

markets

for

identical

financial

instruments

7. #### Other

#### Derivative

#### Information
(continued)

Templeton

Institutional

Funds

Notes

to

Financial

Statements

ftinstitutional.com

Annual

Report

Level

–

other

significant

observable

inputs

(including

quoted

prices

for

similar

financial

instruments,

interest

rates,

prepayment

speed,

credit

risk,

etc.)

Level

–

significant

unobservable

inputs

(including

the Funds'

own

assumptions

in

determining

the

fair

value

of

financial

instruments)

The

input

levels

are

not

necessarily

an

indication

of

the

risk

or

liquidity

associated

with

financial

instruments

at

that

level.

A

summary

of

inputs

used

as

of

December

31,

2025,

in

valuing

the

Funds'

assets

and

liabilities carried

at

fair

value,

is

as

follows:

#### Level

#### 1

#### Level

#### 2

#### Level

#### 3

#### Total

#### Foreign

#### Smaller

#### Companies

#### Series

#### Assets:
Investments

in

Securities:

a

Common

Stocks

:

Australia

.............................

$

—

$

441,846

$

—

$

441,846

Austria

...............................

381,442

233,533

—

614,975

Bahamas

.............................

450,991

—

—

450,991

Brazil

................................

359,675

373,176

—

732,851

Canada

..............................

894,579

—

—

894,579

China

...............................

—

403,891

—

403,891

France

...............................

—

389,450

—

389,450

Germany

.............................

—

715,328

—

715,328

Greece

..............................

245,386

—

—

245,386

Hong

Kong

...........................

—

1,057,657

—

1,057,657

India

................................

—

248,175

—

248,175

Indonesia

............................

—

513,846

—

513,846

Ireland

...............................

—

411,750

—

411,750

Israel

................................

—

270,351

—

270,351

Italy

.................................

—

2,010,076

—

2,010,076

Japan

...............................

—

3,499,392

—

3,499,392

Mexico

..............................

369,018

—

—

369,018

New

Zealand

..........................

484,442

—

—

484,442

Norway

..............................

—

364,147

—

364,147

Philippines

............................

473,906

242,811

—

716,717

Singapore

............................

—

288,721

—

288,721

South

Korea

..........................

—

2,074,310

—

2,074,310

Sweden

..............................

—

598,592

—

598,592

Switzerland

...........................

206,854

914,374

—

1,121,228

Taiwan

...............................

—

957,860

—

957,860

Thailand

.............................

—

112,079

—

112,079

United

Kingdom

........................

595,025

2,394,304

—

2,989,329

United

States

..........................

631,180

—

—

631,180

Total

Investments

in

Securities

...........

$5,092,498

$18,515,669

b

$—

$23,608,167

#### International

#### Equity

#### Series

#### Assets:
Investments

in

Securities:

a

Common

Stocks

:

Canada

..............................

2,485,065

—

—

2,485,065

China

...............................

—

2,252,120

—

2,252,120

Denmark

.............................

—

726,035

—

726,035

France

...............................

—

3,317,834

—

3,317,834

Germany

.............................

—

4,417,790

—

4,417,790

Hong

Kong

...........................

—

1,126,064

—

1,126,064

India

................................

—

1,274,679

—

1,274,679

10. #### Fair

#### Value

#### Measurements
(continued)

Templeton

Institutional

Funds

Notes

to

Financial

Statements

ftinstitutional.com

Annual

Report

A

reconciliation

in

which

Level

inputs

are

used

in

determining

fair

value

is

presented

when

there

are

significant

Level

assets

and/or

liabilities

at

the

beginning

and/or

end

of

the year.

11. #### Operating

#### Segments
Each

Fund

operates

as

a

single

operating

segment,

which

is

an

investment

portfolio.

The

chief

investment

officer

to

the

Fund

within the

Funds'

Investment

manager

serves

as

the

Chief

Operating

Decision

Maker

("CODM")

and is

responsible

for

evaluating each

Fund's

operating

results

and

allocating

resources

in

accordance

with each

Fund's

investment

strategy.

Internal

reporting

provided

to

the

CODM

aligns

with

the

accounting

policies

and

measurement

principles

used

in

the

financial

statements.

For

information

regarding

segment

assets,

segment

profit

or

loss,

and

significant

expenses,

refer

to

the

Statements

of

Assets

and

Liabilities

and

the

Statements

of

Operations,

along

with

the

related

notes

to

the

financial

statements.

The

Schedules

of

Investments

provides

details

of

the

Funds'

investments

that

generate

returns

such

as

interest,

dividends,

and

realized

and

unrealized

gains

or

losses.

Performance

metrics,

including

portfolio

turnover

and

expense

ratios,

are

disclosed

in

the

Financial

Highlights.

12. #### Subsequent

#### Events
The

Funds

have

evaluated

subsequent

events

through

the

issuance

of

the financial

statements

and

determined

that

no

events

have

occurred

that

require

disclosure

other

than

those

already

disclosed

in

the

financial

statements.

#### Level

#### 1

#### Level

#### 2

#### Level

#### 3

#### Total

#### International

#### Equity

#### Series
(continued)

#### Assets:
(continued)

Investments

in

Securities:

a

(continued)

Common

Stocks:

(continued)

Japan

...............................

$

1,220,142

$

5,261,725

$

—

$

6,481,867

Netherlands

...........................

71,647

6,657,675

—

6,729,322

Norway

..............................

—

1,069,129

—

1,069,129

Portugal

..............................

—

826,352

—

826,352

South

Korea

..........................

—

1,675,125

—

1,675,125

Sweden

..............................

—

844,933

—

844,933

Switzerland

...........................

1,417,318

687,715

—

2,105,033

Taiwan

...............................

—

2,079,255

—

2,079,255

United

Kingdom

........................

—

8,886,805

—

8,886,805

United

States

..........................

1,413,738

6,733,310

—

8,147,048

Escrows

and

Litigation

Trusts

...............

—

—

—

c

—

Short

Term

Investments

...................

3,629,285

—

—

3,629,285

Total

Investments

in

Securities

...........

$10,237,195

$47,836,546

d

$—

$58,073,741

Other

Financial

Instruments:

Futures

Contracts

.......................

$36,576

$—

$—

$36,576

Total

Other

Financial

Instruments

.........

$36,576

$—

$—

$36,576

a

For

detailed

categories,

see

the

accompanying

Schedule

of

Investments.

b

Includes

foreign

securities

valued

at

$18,515,669,

which

were

categorized

as

Level

as

a

result

of

the

application

of

market

level

fair

value

procedures.

See

the

Financial

Instrument

Valuation

note

for

more

information.

c

Includes

financial

instruments

determined

to

have

no

value.

d

Includes

foreign

securities

valued

at

$47,836,546,

which

were

categorized

as

Level

as

a

result

of

the

application

of

market

level

fair

value

procedures.

See

the

Financial

Instrument

Valuation

note

for

more

information.

10. #### Fair

#### Value

#### Measurements
(continued)

Templeton

Institutional

Funds

Notes

to

Financial

Statements

ftinstitutional.com

Annual

Report

#### Abbreviations

#### Selected

#### Portfolio

#### ADR
American

Depositary

Receipt

#### REIT
Real

Estate

Investment

Trust

TEMPLETON

INSTITUTIONAL

FUNDS

Report

of

Independent

Registered

Public

Accounting

Firm

ftinstitutional.com

Annual

Report

To

the

Board

of

Trustees

of

Templeton

Institutional

Funds

and

Shareholders

of

Foreign

Smaller

Companies

Series

and

International

Equity

Series

#### Opinions

#### on

#### the

#### Financial

#### Statements
We

have

audited

the

accompanying

statements

of

assets

and

liabilities,

including

the

schedules

of

investments,

of

Foreign

Smaller

Companies

Series

and

International

Equity

Series

(constituting

Templeton

Institutional

Funds,

hereafter

collectively

referred

to

as

the

"Funds")

as

of

December

31,

2025,

the

related

statements

of

operations

for

the

year

ended

December

31,

2025,

the

statements

of

changes

in

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2025,

including

the

related

notes,

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2025

(collectively

referred

to

as

the

"financial

statements").

In

our

opinion,

the

financial

statements

present

fairly,

in

all

material

respects,

the

financial

position

of

each

of

the

Funds

as

of

December

31,

2025,

the

results

of

each

of

their

operations

for

the

year

then

ended,

the

changes

in

each

of

their

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2025

and

each

of

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2025

in

conformity

with

accounting

principles

generally

accepted

in

the

United

States

of

America.

#### Basis

#### for

#### Opinions
These

financial

statements

are

the

responsibility

of

the

Funds'

management.

Our

responsibility

is

to

express

an

opinion

on

the

Funds'

financial

statements

based

on

our

audits.

We

are

a

public

accounting

firm

registered

with

the

Public

Company

Accounting

Oversight

Board

(United

States)

(PCAOB)

and

are

required

to

be

independent

with

respect

to

the

Funds

in

accordance

with

the

U.S.

federal

securities

laws

and

the

applicable

rules

and

regulations

of

the

Securities

and

Exchange

Commission

and

the

PCAOB.

We

conducted

our

audits

of

these

financial

statements

in

accordance

with

the

standards

of

the

PCAOB.

Those

standards

require

that

we

plan

and

perform

the

audit

to

obtain

reasonable

assurance

about

whether

the

financial

statements

are

free

of

material

misstatement,

whether

due

to

error

or

fraud.

Our

audits

included

performing

procedures

to

assess

the

risks

of

material

misstatement

of

the

financial

statements,

whether

due

to

error

or

fraud,

and

performing

procedures

that

respond

to

those

risks.

Such

procedures

included

examining,

on

a

test

basis,

evidence

regarding

the

amounts

and

disclosures

in

the

financial

statements.

Our

audits

also

included

evaluating

the

accounting

principles

used

and

significant

estimates

made

by

management,

as

well

as

evaluating

the

overall

presentation

of

the

financial

statements.

Our

procedures

included

confirmation

of

securities

owned

as

of

December

31,

2025

by

correspondence

with

the

custodians,

transfer

agent

and

brokers;

when

replies

were

not

received

from

a

custodian,

we

performed

other

auditing

procedures.

We

believe

that

our

audits

provide

a

reasonable

basis

for

our

opinions.

/s/PricewaterhouseCoopers

LLP

San

Francisco,

California

February

19,

2026

We

have

served

as

the

auditor

of

one

or

more

investment

companies

in

the

Franklin

Templeton

Group

of

Funds

since

1948. TEMPLETON

INSTITUTIONAL

FUNDS

Tax

Information

(unaudited)

ftinstitutional.com

Annual

Report

By

mid-February,

tax

information

related

to

a

shareholder's

proportionate

share

of

distributions

paid

during

the

preceding

calendar

year

will

be

received,

if

applicable.

Please

also

refer

to

www.franklintempleton.com

for

per

share

tax

information

related

to

any

distributions

paid

during

the

preceding

calendar

year.

Shareholders

are

advised

to

consult

with

their

tax

advisors

for

further

information

on

the

treatment

of

these

amounts

on

their

tax

returns.

The

following

tax

information

for

the

Funds

is

required

to

be

furnished

to

shareholders

with

respect

to

income

earned

and

distributions

paid

during their

fiscal

year.

The

Funds

below hereby

report

the

following

amounts,

or

if

subsequently

determined

to

be

different,

the

maximum

allowable

amounts,

for

the

fiscal

year

ended

December

31,

2025:

Under

Section

853

of

the

Internal

Revenue

Code,

the

Funds

below intend

to

elect

to

pass

through

to

their

shareholders

the

following

amounts,

or

amounts

as

finally

determined,

of

foreign

taxes

paid

and

foreign

source

income

earned

by

the

Funds

during

the

fiscal

year

ended

December

31,

2025

:

#### Pursuant

#### to:

#### Foreign

#### Smaller

#### Companies

#### Series

#### International

#### Equity

#### Series
Long-Term

Capital

Gain

Dividends

Distributed

§852(b)(3)(C)

$19,318,510

$23,926,180

Income

Eligible

for

Dividends

Received

Deduction

(DRD)

§854(b)(1)(A)

$9,360

—

Qualified

Dividend

Income

Earned

(QDI)

§854(b)(1)(B)

$1,386,872

$1,671,229

Short-Term

Capital

Gain

Dividends

Distributed

§871(k)(2)(C)

—

$3,125,940

Section

163(j)

Interest

Dividends

Earned

§163(j)

$26,734

$52,598

#### Foreign

#### Smaller

#### Companies

#### Series

#### International

#### Equity

#### Series
Foreign

Taxes

Paid

$174,308

$120,027

Foreign

Source

Income

Earned

$1,512,294

$1,613,945

Templeton

Institutional

Funds

ftinstitutional.com

Annual

Report

#### Changes

#### In

#### and

#### Disagreements

#### with

#### Accountants
For

the

period

covered

by

this

report

Not

applicable.

#### Results

#### of

#### Meeting(s)

#### of

#### Shareholders
For

the

period

covered

by

this

report

Not

applicable.

#### Remuneration

#### Paid

#### to

#### Directors,

#### Officers

#### and

#### Others
For

the

period

covered

by

this

report

Refer

to

the

financial

statements

included

herein.

Remuneration

to

officers

is

paid

by

the

Fund's

investment

manager

according

to

the

terms

of

the

agreement.

#### Board

#### Approval

#### of

#### Management

#### and

#### Subadvisory

#### Agreements
For

the

period

covered

by

this

report

Not

applicable.

ZTIF-AFSOI

02/26©

2026

Franklin

Templeton.

All

rights

reserved.

ITEM 8. CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS FOR OPEN-END MANAGEMENT INVESTMENT COMPANIES.

The information is disclosed as part of the Financial Statements included in Item 7 of this Form N-CSR.

ITEM 9. PROXY DISCLOSURES FOR OPEN-END MANAGEMENT INVESTMENT COMPANIES.

The information is disclosed as part of the Financial Statements included in Item 7 of this Form N-CSR.

ITEM 10. REMUNERATION PAID TO DIRECTORS, OFFICERS, AND OTHERS OF OPEN-END MANAGEMENT INVESTMENT COMPANIES.

The information is disclosed as part of the Financial Statements included in Item 7 of this Form N-CSR.

ITEM 11. STATEMENT REGARDING BASIS FOR APPROVAL OF INVESTMENT ADVISORY CONTRACT.

The information is disclosed as part of the Financial Statements included in Item 7 of this Form N-CSR, as applicable.

ITEM 12. DISCLOSURE OF PROXY VOTING POLICIES AND PROCEDURES FOR CLOSED-END MANAGEMENT INVESTMENT COMPANIES.

Not applicable.

ITEM 13. PORTFOLIO MANAGERS OF CLOSED-END MANAGEMENT INVESTMENT COMPANIES.

Not applicable.

ITEM 14. PURCHASES OF EQUITY SECURITIES BY CLOSED-END MANAGEMENT INVESTMENT COMPANY AND AFFILIATED PURCHASERS.

Not applicable.

---

| | |
|:---|:---|
| ITEM 15. | SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS. |

---

There have been no changes to the procedures by which shareholders may recommend nominees to the Registrant's Board of Trustees that would require disclosure herein.

ITEM 16. CONTROLS AND PROCEDURES.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Registrant's chief executive officer and chief financial officer have concluded that the Registrant's disclosure controls
 and procedures (as defined in Rule 30a- 3(c) under the Investment Company Act of 1940, as amended (the "1940 Act")) are effective
 as of a date within 90 days of the filing date of this report that includes the disclosure required by this paragraph, based on their
 evaluation of the disclosure controls and procedures required by Rule 30a-3(b) under the 1940 Act and 15d-15(b) under the Securities Exchange
 Act of 1934.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) There were no changes in the Registrant's internal control over financial reporting (as defined in Rule 30a-3(d) under the 1940
 Act) that occurred during the period covered by this report that have materially affected or are likely to materially affect the Registrant's
 internal control over financial reporting.

ITEM 17. DISCLOSURE OF SECURITIES LENDING ACTIVITIES FOR CLOSED-END MANAGEMENT INVESTMENT COMPANIES.

Not applicable.

ITEM 18. RECOVERY OF ERRONEOUSLY AWARDED COMPENSATION.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Not applicable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Not applicable.

ITEM 19. EXHIBITS.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[(a) (1) Code of Ethics attached hereto.](tif-efp22445_ex99code.htm)

Exhibit 99.CODE ETH

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[(a) (3) Certifications pursuant to section 302 of the Sarbanes-Oxley Act of 2002 attached hereto.](tif-efp22445_ex99cert.htm)

Exhibit 99.CERT

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[(b) Certifications pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 attached hereto.](tif-efp22445_ex99906cert.htm)

Exhibit 99.906CERT

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this Report to be signed on its behalf by the undersigned, there unto duly authorized.

---

| | |
|:---|:---|
| **Templeton Institutional Funds** | **Templeton Institutional Funds** |
| By: | /s/ Christopher Kings |
|  | Christopher Kings |
|  | Chief Executive Officer – Finance and Administration |
| Date: | February 26, 2026 |

---

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

---

| | |
|:---|:---|
| By: | /s/ Christopher Kings |
|  | Christopher Kings |
|  | Chief Executive Officer – Finance and Administration |
| Date: | February 26, 2026 |
| By: | /s/ Jeffrey White |
|  | Jeffrey White |
|  | Chief Financial Officer, Chief Accounting Officer and Treasurer |
| Date: | February 26, 2026 |

---

## Ex-99.Codeeth

**Code of Ethics for Principal Executives & Senior Financial Officers**

---

| | |
|:---|:---|
| **Procedures** | &nbsp;&nbsp;&nbsp;Revised [September 27, 2024] |

---

**FRANKLIN TEMPLETON AFFILIATED FUNDS**

**CODE OF ETHICS FOR PRINCIPAL EXECUTIVES AND**

**SENIOR FINANCIAL OFFICERS**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;I. Covered Officers
 and Purpose of the Code

This code of ethics (the "Code") applies to the Principal Executive Officers, Principal Financial Officer and Principal Accounting Officer (the "Covered Officers") of each investment company advised by a Franklin Resources subsidiary and that is registered with the United States Securities & Exchange Commission ("SEC") (collectively, "FT Funds") for the purpose of promoting:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Honest
 and ethical conduct, including the ethical resolution of actual or apparent conflicts of
 interest between personal and professional relationships;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Full,
 fair, accurate, timely and understandable disclosure in reports and documents that a registrant
 files with, or submits to, the SEC and in other public communications made by or on behalf
 of the FT Funds;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Compliance
 with applicable laws and governmental rules and regulations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The
 prompt internal reporting of violations of the Code to an appropriate person or persons identified
 in the Code; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Accountability
 for adherence to the Code.

Each Covered Officer will be expected to adhere to a high standard of business ethics and must be sensitive to situations that may give rise to actual as well as apparent conflicts of interest.

*\** Rule 38a-1 under the Investment Company Act of 1940 ("1940 Act") and Rule 206(4)-7 under the Investment Advisers Act of 1940 ("Advisers Act") (together the "Compliance Rule") require registered investment companies and registered investment advisers to, among other things, adopt and implement written policies and procedures reasonably designed to prevent violations of the federal securities laws ("Compliance Rule Policies and Procedures").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;II. Other Policies
 and Procedures

This Code shall be the sole code of ethics adopted by the Funds for purposes of Section 406 of the Sarbanes-Oxley Act and the rules and forms applicable to registered investment companies thereunder.

Franklin Resources, Inc. has separately adopted the <u>Code of Ethics and Business Conduct</u> ("Business Conduct"), which is applicable to all officers, directors and employees of Franklin Resources, Inc., including Covered Officers. It summarizes the values, principles and business practices that guide the employee's business conduct and also provides a set of basic principles to guide officers, directors and employees regarding the minimum ethical requirements expected of them. It supplements the values, principles and business conduct identified in the Code and other existing employee policies.

Additionally, the Franklin Templeton Funds have separately adopted the <u>FTI Personal Investments and Insider Trading Policy</u> governing personal securities trading and other related matters. The Code for Insider Trading provides for separate requirements that apply to the Covered Officers and others, and therefore is not part of this Code.

Insofar as other policies or procedures of Franklin Resources, Inc., the Funds, the Funds' adviser, principal underwriter, or other service providers govern or purport to govern the behavior or activities of the Covered Officers who are subject to this Code, they are superseded by this Code to the extent that they overlap or conflict with the provisions of this Code. Please review these other documents or consult with the Legal Department if have questions regarding the applicability of these policies to you.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;III. Covered
 Officers Should Handle Ethically Actual and Apparent Conflicts of Interest

**Overview.** A "conflict of interest" occurs when a Covered Officer's private interest interferes with the interests of, or his or her service to, the FT Funds. For example, a conflict of interest would arise if a Covered Officer, or a member of his family, receives improper personal benefits as a result of a position with the FT Funds.

Certain conflicts of interest arise out of the relationships between Covered Officers and the FT Funds and already are subject to conflict of interest provisions in the Investment Company Act of 1940 ("Investment Company Act") and the Investment Advisers Act of 1940 ("Investment Advisers Act"). For example, Covered Officers may not individually engage in certain transactions (such as the purchase or sale of securities or other property) with the FT Funds because of their status as "affiliated persons" of the FT Funds. The FT Funds' and the investment advisers' compliance programs and procedures are designed to prevent, or identify and correct, violations of these provisions. This Code does not, and is not intended to, repeat or replace these programs and procedures, and such conflicts fall outside of the parameters of this Code.

Although typically not presenting an opportunity for improper personal benefit, conflicts arise from, or as a result of, the contractual relationship between the FT Funds, the investment advisers and the fund administrator of which the Covered Officers are also officers or employees. As a result, this Code recognizes that the Covered Officers will, in the normal course of their duties (whether formally for the FT Funds, for the adviser, the administrator, or for all three), be involved in establishing policies and implementing decisions that will have different effects on the

adviser, administrator and the FT Funds. The participation of the Covered Officers in such activities is inherent in the contractual relationship between the FT Funds, the adviser, and the administrator and is consistent with the performance by the Covered Officers of their duties as officers of the FT Funds. Thus, if performed in conformity with the provisions of the Investment Company Act and the Investment Advisers Act, such activities will be deemed to have been handled ethically. In addition, it is recognized by the FT Funds' Boards of Directors ("Boards") that the Covered Officers may also be officers or employees of one or more other investment companies covered by this or other codes.

Other conflicts of interest are covered by the Code, even if such conflicts of interest are not subject to provisions in the Investment Company Act and the Investment Advisers Act. The following list provides examples of conflicts of interest under the Code, but Covered Officers should keep in mind that these examples are not exhaustive. The overarching principle is that the personal interest of a Covered Officer should not be placed improperly before the interest of the FT Funds.

Each Covered Officer must:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Not
 use his or her personal influence or personal relationships improperly to influence investment
 decisions or financial reporting by the FT Funds whereby the Covered Officer would benefit
 personally to the detriment of the FT Funds;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Not
 cause the FT Funds to take action, or fail to take action, for the individual personal benefit
 of the Covered Officer rather than the benefit of the FT Funds;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Not
 retaliate against any other Covered Officer or any employee of the FT Funds or their affiliated
 persons for reports of potential violations that are made in good faith;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Report
 at least annually the following affiliations or other relationships:<sup>1</sup>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• all
 directorships for public companies and all companies that are required to file reports with
 the SEC;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• any
 direct or indirect business relationship with any independent directors of the FT Funds;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• any
 direct or indirect business relationship with any independent public accounting firm (which
 are not related to the routine issues related to the firm's service as the Covered
 Persons accountant); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• any
 direct or indirect interest in any transaction with any FT Fund that will benefit the officer
 (not including benefits derived from the advisory, sub-advisory, distribution or service
 agreements with affiliates of Franklin Resources).

These reports will be reviewed by the Legal Department for compliance with the Code.

There are some conflict of interest situations that should always be approved in writing by Franklin Resources General Counsel or Deputy General Counsel, if material. Examples of these include<sup>2</sup>:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Service
 as a director on the board of any public or private Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The
 receipt of any gifts in excess of $100 from any person, from any corporation or association.

<sup>1</sup> Reporting of these affiliations or other relationships shall be made by completing the annual Directors and Officers Questionnaire and returning the questionnaire to Franklin Resources Inc, General Counsel or Deputy General Counsel.

<sup>2</sup> Any activity or relationship that would present a conflict for a Covered Officer may also present a conflict for the Covered Officer if a member of the Covered Officer's immediate family engages in such an activity or has such a relationship. The Covered Person should also obtain written approval by FT's General Counsel in such situations.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The
 receipt of any entertainment from any Company with which the FT Funds has current or prospective
 business dealings unless such entertainment is business related, reasonable in cost, appropriate
 as to time and place, and not so frequent as to raise any question of impropriety. Notwithstanding
 the foregoing, the Covered Officers must obtain prior approval from the Franklin Resources
 General Counsel for any entertainment with a value in excess of $1000.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Any
 ownership interest in, or any consulting or employment relationship with, any of the FT Fund's
 service providers, other than an investment adviser, principal underwriter, administrator
 or any affiliated person thereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• A
 direct or indirect financial interest in commissions, transaction charges or spreads paid
 by the FT Funds for effecting portfolio transactions or for selling or redeeming shares other
 than an interest arising from the Covered Officer's employment, such as compensation
 or equity ownership.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Franklin
 Resources General Counsel or Deputy General Counsel, or the Chief Compliance Officer, will
 provide a report to the FT Funds Audit Committee of any approvals granted at the next regularly
 scheduled meeting.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;IV. Disclosure
 and Compliance

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Each
 Covered Officer should familiarize himself with the disclosure requirements generally applicable
 to the FT Funds;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Each
 Covered Officer should not knowingly misrepresent, or cause others to misrepresent, facts
 about the FT Funds to others, whether within or outside the FT Funds, including to the FT
 Funds' directors and auditors, and to governmental regulators and self- regulatory
 organizations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Each
 Covered Officer should, to the extent appropriate within his or her area of responsibility,
 consult with other officers and employees of the FT Funds, the FT Fund's adviser and
 the administrator with the goal of promoting full, fair, accurate, timely and understandable
 disclosure in the reports and documents the FT Funds file with, or submit to, the SEC and
 in other public communications made by the FT Funds; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• It
 is the responsibility of each Covered Officer to promote compliance with the standards and
 restrictions imposed by applicable laws, rules and regulations.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;V. Reporting
 and Accountability

Each Covered Officer must:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Upon
 becoming a covered officer affirm in writing to the Board that he or she has received, read,
 and understands the Code (see Exhibit A);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Annually
 thereafter affirm to the Board that he has complied with the requirements of the Code; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Notify
 Franklin Resources' General Counsel or Deputy General Counsel promptly if he or she
 knows of any violation of this Code. Failure to do so is itself is a violation of this Code.

Franklin Resources' General Counsel and Deputy General Counsel are responsible for applying this Code to specific situations in which questions are presented under it and have the authority to interpret this Code in any particular situation.<sup>3</sup> However, the Independent Directors of the respective FT Funds will consider any approvals or waivers<sup>4</sup> sought by any Chief Executive Officers of the Funds.

The FT Funds will follow these procedures in investigating and enforcing this Code:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Franklin
 Resources General Counsel or Deputy General Counsel will take all appropriate action to investigate
 any potential violations reported to the Legal Department;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• If,
 after such investigation, the General Counsel or Deputy General Counsel believes that no
 violation has occurred, The General Counsel is not required to take any further action;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Any
 matter that the General Counsel or Deputy General Counsel believes is a violation will be
 reported to the Independent Directors of the appropriate FT Fund;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• If
 the Independent Directors concur that a violation has occurred, it will inform and make a
 recommendation to the Board of the appropriate FT Fund or Funds, which will consider appropriate
 action, which may include review of, and appropriate modifications to, applicable policies
 and procedures; notification to appropriate personnel of the investment adviser or its board;
 or a recommendation to dismiss the Covered Officer;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The
 Independent Directors will be responsible for granting waivers, as appropriate; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Any
 changes to or waivers of this Code will, to the extent required, are disclosed as provided
 by SEC rules.<sup>5</sup>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;VI. Other
 Policies and Procedures

This Code shall be the sole code of ethics adopted by the FT Funds for purposes of Section 406 of the Sarbanes-Oxley Act and the rules and forms applicable to registered investment companies thereunder. Insofar as other policies or procedures of the FT Funds, the FT Funds' advisers, principal underwriter, or other service providers govern or purport to govern the behavior or activities of the Covered Officers who are subject to this Code, they are superseded by this Code to the extent that they overlap or conflict with the provisions of this Code. The FTI Personal Investments and Insider Trading Policy, adopted by the FT Funds, FT investment advisers and FT Fund's principal underwriter pursuant to Rule 17j-1 under the Investment Company Act, the Code of Ethics and Business Conduct and more detailed policies and procedures set forth in FT's Employee Handbook are separate requirements applying to the Covered Officers and others, and are not part of this Code.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;VII. Amendments

Any amendments to this Code must be approved or ratified by a majority vote of the FT Funds' Board including a majority of independent directors.

<sup>3</sup> Franklin Resources General Counsel and Deputy General Counsel are authorized to consult, as appropriate, with members of the Audit Committee, counsel to the FT Funds and counsel to the Independent Directors, and are encouraged to do so.

<sup>4</sup> Item 2 of Form N-CSR defines "waiver" as "the approval by the registrant of a material departure from a provision of the code of ethics" and "implicit waiver," which must also be disclosed, as "the registrant's failure to take action within a reasonable period of time regarding a material departure from a provision of the code of ethics that has been made known to an executive officer" of the registrant. See Part X.

<sup>5</sup> See Part X.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;VIII. Confidentiality

All reports and records prepared or maintained pursuant to this Code will be considered confidential and shall be maintained and protected accordingly. Except as otherwise required by law or this Code, such matters shall not be disclosed to anyone other than the FT Funds' Board and their counsel.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;IX. Internal
 Use

The Code is intended solely for the internal use by the FT Funds and does not constitute an admission, by or on behalf of any FT Funds, as to any fact, circumstance, or legal conclusion.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;X. Disclosure
 on Form N-CSR

Item 2 of Form N-CSR requires a registered management investment company to disclose annually whether, as of the end of the period covered by the report, it has adopted a code of ethics that applies to the registrant's principal executive officer, principal financial officer, principal accounting officer or controller, or persons performing similar functions, regardless of whether these officers are employed by the registrant or a third party. If the registrant has not adopted such a code of ethics, it must explain why it has not done so.

The registrant must also: (1) file with the SEC a copy of the code as an exhibit to its annual report; (2) post the text of the code on its Internet website and disclose, in its most recent report on Form N-CSR, its Internet address and the fact that it has posted the code on its Internet website; or (3) undertake in its most recent report on Form N-CSR to provide to any person without charge, upon request, a copy of the code and explain the manner in which such request may be made. Disclosure is also required of amendments to, or waivers (including implicit waivers) from, a provision of the code in the registrant's annual report on Form N-CSR or on its website. If the registrant intends to satisfy the requirement to disclose amendments and waivers by posting such information on its website, it will be required to disclose its Internet address and this intention.

The Legal Department shall be responsible for ensuring that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• a
 copy of the Code is filed with the SEC as an exhibit to each Fund's annual report;
 and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• any
 amendments to, or waivers (including implicit waivers) from, a provision of the Code is disclosed
 in the registrant's annual report on Form N-CSR.

In the event that the foregoing disclosure is omitted or is determined to be incorrect, the Legal Department shall promptly file such information with the SEC as an amendment to Form N- CSR.

In such an event, the Fund Chief Compliance Officer shall review the Code and propose such changes to the Code as are necessary or appropriate to prevent reoccurrences.

**Exhibit A**

**ACKNOWLEDGMENT FORM**

**Franklin Templeton Funds Code of Ethics**

**For Principal Executives and Senior Financial Officers**

**Instructions:**

&nbsp;&nbsp;&nbsp;&nbsp;1. Complete
 all sections of this form.

&nbsp;&nbsp;&nbsp;&nbsp;2. Print
 the completed form, sign, and date.

&nbsp;&nbsp;&nbsp;&nbsp;3. Submit
 completed form to FT's General Counsel c/o Code of Ethics Administration within 10
 days of becoming a Covered Officer and by February 15<sup>th</sup> of each subsequent year.

---

| | |
|:---|:---|
| **E-mail:** | Code of Ethics Inquiries & Requests (internal address);<br> lpreclear@franklintempleton.com (external address) |

---

---

| |
|:---|
| **Covered Officer's Name:** |
| **Title:** |
| **Department:** |
| **Location:** |
| **Certification for Year Ending:** |

---

***To: Franklin Resources General Counsel, Legal Department***

I acknowledge receiving, reading and understanding the Franklin Templeton Fund's Code of Ethics for Principal Executive Officers and Senior Financial Officers (the "Code"). I will comply fully with all provisions of the Code to the extent they apply to me during the period of my employment. I further understand and acknowledge that any violation of the Code may subject me to disciplinary action, including termination of employment.

---

| | |
|:---|:---|
| ***Signature*** | ***Date signed*** |

---

## Ex-99.Cert

CERTIFICATIONS PURSUANT TO SECTION 302

EX-99.CERT

**<u>CERTIFICATIONS</u>**

I, Christopher Kings, certify that:

&nbsp;&nbsp;&nbsp;&nbsp;1. I have reviewed this report on Form N-CSR of **Templeton Institutional Funds;** 

&nbsp;&nbsp;&nbsp;&nbsp;2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary
to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period
covered by this report;

&nbsp;&nbsp;&nbsp;&nbsp;3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material
respects the financial condition, results of operations, changes in net assets, and cash flows (if the financial statements are required
to include a statement of cash flows) of the registrant as of, and for, the periods presented in this report;

&nbsp;&nbsp;&nbsp;&nbsp;4. The registrant's other certifying officers and I are responsible for establishing and maintaining disclosure controls and procedures
(as defined in Rule 30a-3(c) under the Investment Company Act of 1940) and internal control over financial reporting (as defined in Rule
30a-3(d) under the Investment Company Act of 1940) for the registrant and have:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to
be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries,
is made known to us by others within those entities, particularly during the period in which this report is being prepared;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b) Designed such internal control over financial reporting, or caused such internal control over financial
reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the
preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c) Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented
in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of a date within 90 days prior to
the filing date of this report based on such evaluation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;d) Disclosed in this report any change in the registrant's internal control over financial reporting
that occurred during the period covered by this report that has materially affected, or is reasonably likely to materially affect, the
registrant's internal control over financial reporting; and

&nbsp;&nbsp;&nbsp;&nbsp;5. The registrant's other certifying officers and I have disclosed to the registrant's auditors
and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) All significant deficiencies and material weaknesses in the design or operation of internal control over
financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize, and
report financial information; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b) Any fraud, whether or not material, that involves management or other employees who have a significant
role in the registrant's internal control over financial reporting.

---

| | |
|:---|:---|
| Date: | February 26, 2026 |
| /s/ Christopher Kings | /s/ Christopher Kings |
| Christopher Kings | Christopher Kings |
| Chief Executive Officer – Finance and Administration | Chief Executive Officer – Finance and Administration |

---

**<u>CERTIFICATIONS</u>**

I, Jeffrey White, certify that:

&nbsp;&nbsp;&nbsp;&nbsp;1. I have reviewed this report on Form N-CSR of **Templeton Institutional Funds**;

&nbsp;&nbsp;&nbsp;&nbsp;2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to
state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not
misleading with respect to the period covered by this report;

&nbsp;&nbsp;&nbsp;&nbsp;3. Based on my knowledge, the financial information included in this report, and the financial statements
on which the financial information is based, fairly present in all material respects the financial condition, results of operations, changes
in net assets, and cash flows (if the financial statements are required to include a statement of cash flows) of the registrant as of,
and for, the periods presented in this report;

&nbsp;&nbsp;&nbsp;&nbsp;4. The registrant's other certifying officers and I are responsible for establishing and maintaining
disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) and internal control over financial
reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) for the registrant and have:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision,
to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others
within those entities, particularly during the period in which this report is being prepared;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under
our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements
for external purposes in accordance with generally accepted accounting principles;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c) Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions
about the effectiveness of the disclosure controls and procedures, as of a date within 90 days prior to the filing date of this report
based on such evaluation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;d) Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the period
covered by this report that has materially affected, or is reasonably likely to materially affect, the registrant's internal control
over financial reporting; and

&nbsp;&nbsp;&nbsp;&nbsp;5. The registrant's other certifying officers and I have disclosed to the registrant's auditors
and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) All significant deficiencies and material weaknesses
in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's
ability to record, process, summarize, and report financial information; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b) Any fraud, whether or not material, that involves
management or other employees who have a significant role in the registrant's internal control over financial reporting.

---

| | |
|:---|:---|
| Date: | February 26, 2026 |
| /s/ Jeffrey White | /s/ Jeffrey White |
| Jeffrey White | Jeffrey White |
| Chief Financial Officer, Chief Accounting Officer and Treasurer | Chief Financial Officer, Chief Accounting Officer and Treasurer |

---

## Exhibit 99.906

CERTIFICATIONS PURSUANT TO SECTION 906

EX-99.906CERT

**CERTIFICATION**

**Christopher Kings,** Chief Executive Officer – Finance and Administration, and **Jeffrey White,** Chief Financial Officer, Chief Accounting Officer and Treasurer of **Templeton Institutional Funds (the "Registrant"), each certify to the best of** their knowledge that:

&nbsp;&nbsp;&nbsp;&nbsp;1. The Registrant's periodic report on Form N-CSR for the period ended **December 31, 2025** (the "Form N-CSR") fully complies with the requirements of Section 13(a) or 15(d), as applicable, of the Securities Exchange Act of 1934, as amended; and

&nbsp;&nbsp;&nbsp;&nbsp;2. The information contained in the Form N-CSR fairly presents, in all material respects, the financial condition and results of operations of the Registrant.

---

| | |
|:---|:---|
| **Chief Executive Officer –** | **Chief Financial Officer, Chief** |
| **Finance and Administration** | **Accounting Officer and Treasurer** |
| Templeton Institutional Funds | Templeton Institutional Funds |
| /s/ Christopher Kings | /s/ Jeffrey White |
| Christopher Kings | Jeffrey White |
| Date: February 26, 2026 | Date: February 26, 2026 |

---

This certification is being furnished to the Securities and Exchange Commission solely pursuant to 18 U.S.C. § 1350 and is not being filed as part of the Form N-CSR with the Commission.