# EDGAR Filing Document

**Accession Number:** 0000872625
**File Stem:** 0001133228-26-009575
**Filing Date:** 2026-6
**Character Count:** 877037
**Document Hash:** 0b4638bd0c1a6b52a4a6fba0e1c520ab
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001133228-26-009575.hdr.sgml**: 20260625

**ACCESSION NUMBER**: 0001133228-26-009575

**CONFORMED SUBMISSION TYPE**: N-CSR

**PUBLIC DOCUMENT COUNT**: 159

**CONFORMED PERIOD OF REPORT**: 20260430

**FILED AS OF DATE**: 20260625

**DATE AS OF CHANGE**: 20260625

**EFFECTIVENESS DATE**: 20260625

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** FRANKLIN STRATEGIC SERIES
- **CENTRAL INDEX KEY:** 0000872625

**ORGANIZATION NAME:**
- **EIN:** 000000000
- **STATE OF INCORPORATION:** FL
- **FISCAL YEAR END:** 0430

**FILING VALUES:**
- **FORM TYPE:** N-CSR
- **SEC ACT:** 1940 Act
- **SEC FILE NUMBER:** 811-06243
- **FILM NUMBER:** 261119827

**BUSINESS ADDRESS:**
- **STREET 1:** ONE FRANKLIN PARKWAY
- **CITY:** SAN MATEO
- **STATE:** CA
- **ZIP:** 94403-1906
- **BUSINESS PHONE:** 650-570-3000

**MAIL ADDRESS:**
- **STREET 1:** ONE FRANKLIN PARKWAY
- **CITY:** SAN MATEO
- **STATE:** CA
- **ZIP:** 94403-1906

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** FRANKLIN CALIFORNIA 250 GROWTH FUND
- **DATE OF NAME CHANGE:** 19911216

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** FRANKLIN CALIFORNIA 250 GROWTH INDEX FUND
- **DATE OF NAME CHANGE:** 19910917

## Series and Classes Contracts Data

### FRANKLIN GROWTH OPPORTUNITIES FUND (Series ID: S000006878)

| Class ID   | Class Name    | Ticker Symbol   |
|:---|:---|:---|
| C000018615 | CLASS A       | FGRAX           |
| C000018617 | CLASS C       | FKACX           |
| C000018618 | ADVISOR CLASS | FRAAX           |
| C000018619 | CLASS R       | FKARX           |
| C000128860 | Class R6      | FOPPX           |

### FRANKLIN CORE PLUS BOND FUND (Series ID: S000006879)

| Class ID   | Class Name    | Ticker Symbol   |
|:---|:---|:---|
| C000018620 | CLASS A       | FRSTX           |
| C000018622 | CLASS C       | FSGCX           |
| C000018623 | ADVISOR CLASS | FKSAX           |
| C000018624 | CLASS R       | FKSRX           |
| C000128861 | Class R6      | FGKNX           |

### FRANKLIN BIOTECHNOLOGY DISCOVERY FUND (Series ID: S000006882)

| Class ID   | Class Name    | Ticker Symbol   |
|:---|:---|:---|
| C000018631 | CLASS A       | FBDIX           |
| C000081539 | ADVISOR CLASS | FTDZX           |
| C000128862 | Class R6      | FRBRX           |
| C000141458 | Class C       | FBTDX           |

### FRANKLIN NATURAL RESOURCES FUND (Series ID: S000006887)

| Class ID   | Class Name    | Ticker Symbol   |
|:---|:---|:---|
| C000018647 | CLASS C       | FNCRX           |
| C000018648 | CLASS A       | FRNRX           |
| C000018649 | ADVISOR CLASS | FNRAX           |
| C000132949 | Class R6      | FNCSX           |

### FRANKLIN SMALL-MID CAP GROWTH FUND (Series ID: S000006888)

| Class ID   | Class Name    | Ticker Symbol   |
|:---|:---|:---|
| C000018650 | CLASS A       | FRSGX           |
| C000018652 | CLASS C       | FRSIX           |
| C000018653 | ADVISOR CLASS | FSGAX           |
| C000018654 | CLASS R       | FSMRX           |
| C000128864 | Class R6      | FMGGX           |

### FRANKLIN SMALL CAP GROWTH FUND (Series ID: S000006889)

| Class ID   | Class Name    | Ticker Symbol   |
|:---|:---|:---|
| C000018655 | CLASS A       | FSGRX           |
| C000018657 | CLASS C       | FCSGX           |
| C000018658 | ADVISOR CLASS | FSSAX           |
| C000018659 | CLASS R       | FSSRX           |
| C000128865 | Class R6      | FSMLX           |

?xml version='1.0' encoding='ASCII'? 2026-05-2074200010800_FranklinBiotechnologyDiscoveryFund_ClassA_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 **811-06243**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Franklin Strategic Series** 

(Exact name of registrant as specified in charter)

**One Franklin Parkway, San Mateo, CA 94403-1906**

(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: **(650) 312-2000**

Date of fiscal year end: **April 30**

Date of reporting period: **April 30, 2026**

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

---

| | |
|:---|:---|
| **Franklin Biotechnology Discovery Fund**  | ![image](img2199_202405220716489.jpg) |
| Class A [FBDIX] | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| April 30, 2026  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Biotechnology Discovery Fund for the period May 1, 2025, to April 30, 2026.

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) DIAL BEN/342-5236.

**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>  |
| Class A | $134 | 1.01% |

---

\* 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 April 30, 2026, Class A shares of Franklin Biotechnology Discovery Fund returned 65.03%. The Fund compares its performance to the NASDAQ Biotechnology Index and the S&P 500 Index, which returned 37.61% and 31.05%, respectively, for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | Overweighted portfolio exposure to mid-, small-, and micro-cap biotechnology stocks, which generally performed well. Performance also benefited from a focus on companies with proven drug delivery platforms, favorable clinical trial catalysts, and strong balance sheets. In addition, an emphasis on identifying clinically or commercially "de-risked" assets appears to have supported relative returns. |
| ↑ | Successful stock selection in the biotech industry, where numerous overweighted or off-benchmark holdings more than doubled in value, including key contributors Abivax, Ascendis Pharma, Praxis Precision Medicines, Merus, Spyre Therapeutics, Oruka Therapeutics, Centessa Pharmaceuticals, Dianthus Therapeutics and uniQure. |
| ↑ | Stock selection and overweighting in the pharmaceuticals industry, where much larger-than-index positions in Terns Pharmaceuticals and Jazz Pharmaceuticals topped a fairly long list of contributors. To a lesser extent, additional relative-return gains were achieved in three other industries: health care services (due to overweighting), managed health care (not an index component), and health care equipment (lack of exposure).  |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Detrimental stock selection created a wide total-return gap in the life sciences tools and services industry; the combined value of the Fund's related holdings declined, while those tracked by the benchmark index increased sharply.  |
| ↓ | Several overweighted or off-benchmark biotech and pharma holdings either sold off amid company-specific setbacks or posted muted one-year gains. The key detractors in this regard were LENZ Therapeutics (purchased during the period), Benitec Biopharma, Soleno Therapeutics, ARS Pharmaceuticals, Ionis Pharmaceuticals (purchased during the period), Eli Lilly, MoonLake Immunotherapeutics (bought and sold during the period), Zealand Pharma, Ultragenyx Pharmaceuticals and Day One Biopharmaceuticals. Several of these positions were liquidated by year-end. |
| ↓ | The Fund lacked exposure to several index component companies—such as Roivant Sciences, Arrowhead Pharmaceuticals, United Therapeutics, Viatris, and Axsome Therapeutics—that significantly outperformed the benchmark. In addition, the portfolio's cash allocation (averaging about 2.1% of total net assets) diluted relative performance during a time of robust and broad-based gains across the biotech and pharma industries. |

---

Franklin Biotechnology Discovery Fund PAGE 1 402-ATSR-0626

------

**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 $** **10,000 INVESTMENT ($** **9,450 AFTER MAXIMUM APPLICABLE SALES CHARGE) –**

**Class A** 4/30/2016 — 4/30/2026

![image](ts7358img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended April 30, 2026

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class A**  | 65.03 | 8.13 | 10.09 |
| **Class A (with sales charge)**  | 55.94 | 6.91 | 9.47 |
| **Russell 3000 Index**  | 31.01 | 11.91 | 14.76 |
| **NASDAQ Biotechnology Index**  | 37.61 | 3.80 | 7.65 |
| **S&P 500 Index**  | 31.05 | 13.14 | 15.26 |

---

Total return information is based on net asset values calculated for shareholder transactions. Certain adjustments were made to the net assets of the Fund at the end of the period for financial reporting purposes. Accordingly, adjusted total returns have been disclosed in the Financial Highlights and differ from those reported here.

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

Performance for periods prior to September 10, 2018, has been restated to reflect the current maximum sales charge, which is lower than the maximum sales charge prior to that date.

For current month-end performance, please call Franklin Templeton at (800) DIAL BEN/342-5236 or visit

https://www.franklintempleton.com/investments/options/mutual-funds.

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

**KEY FUND STATISTICS** (as of April 30, 2026)

---

| | |
|:---|:---|
| **Total Net Assets** | $1037360270 |
| **Total Number of Portfolio Holdings** | 110 |
| **Total Management Fee Paid** | $5300115 |
| **Portfolio Turnover Rate** | 37.62% |

---

Franklin Biotechnology Discovery Fund PAGE 2 402-ATSR-0626

------

**WHAT DID THE FUND INVEST IN?** (as of April 30, 2026)

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

![image](ts7358img004.jpg)

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

---

| | |
|:---|:---|
| ![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) DIAL BEN/342-5236. 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.

Franklin Biotechnology Discovery Fund PAGE 3 402-ATSR-0626

94501134211534113491345016712119391320215535149702470310000118581340615106149482256021857221862713330227396011000011103116021191713902173441340514926148371518720899100001179213356151581528922320223672296328167315744137994.00.30.20.15.4 ------

---

| | |
|:---|:---|
| **Franklin Biotechnology Discovery Fund**  | ![image](img2199_202405220716489.jpg) |
| Class C [FBTDX] | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| April 30, 2026  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Biotechnology Discovery Fund for the period May 1, 2025, to April 30, 2026.

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) DIAL BEN/342-5236.

**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>  |
| Class C | $232 | 1.76% |

---

\* 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 April 30, 2026, Class C shares of Franklin Biotechnology Discovery Fund returned 63.82%. The Fund compares its performance to the NASDAQ Biotechnology Index and the S&P 500 Index, which returned 37.61% and 31.05%, respectively, for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | Overweighted portfolio exposure to mid-, small-, and micro-cap biotechnology stocks, which generally performed well. Performance also benefited from a focus on companies with proven drug delivery platforms, favorable clinical trial catalysts, and strong balance sheets. In addition, an emphasis on identifying clinically or commercially "de-risked" assets appears to have supported relative returns. |
| ↑ | Successful stock selection in the biotech industry, where numerous overweighted or off-benchmark holdings more than doubled in value, including key contributors Abivax, Ascendis Pharma, Praxis Precision Medicines, Merus, Spyre Therapeutics, Oruka Therapeutics, Centessa Pharmaceuticals, Dianthus Therapeutics and uniQure. |
| ↑ | Stock selection and overweighting in the pharmaceuticals industry, where much larger-than-index positions in Terns Pharmaceuticals and Jazz Pharmaceuticals topped a fairly long list of contributors. To a lesser extent, additional relative-return gains were achieved in three other industries: health care services (due to overweighting), managed health care (not an index component), and health care equipment (lack of exposure).  |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Detrimental stock selection created a wide total-return gap in the life sciences tools and services industry; the combined value of the Fund's related holdings declined, while those tracked by the benchmark index increased sharply.  |
| ↓ | Several overweighted or off-benchmark biotech and pharma holdings either sold off amid company-specific setbacks or posted muted one-year gains. The key detractors in this regard were LENZ Therapeutics (purchased during the period), Benitec Biopharma, Soleno Therapeutics, ARS Pharmaceuticals, Ionis Pharmaceuticals (purchased during the period), Eli Lilly, MoonLake Immunotherapeutics (bought and sold during the period), Zealand Pharma, Ultragenyx Pharmaceuticals and Day One Biopharmaceuticals. Several of these positions were liquidated by year-end. |
| ↓ | The Fund lacked exposure to several index component companies—such as Roivant Sciences, Arrowhead Pharmaceuticals, United Therapeutics, Viatris, and Axsome Therapeutics—that significantly outperformed the benchmark. In addition, the portfolio's cash allocation (averaging about 2.1% of total net assets) diluted relative performance during a time of robust and broad-based gains across the biotech and pharma industries. |

---

Franklin Biotechnology Discovery Fund PAGE 1 242-ATSR-0626

------

**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 $** **10,000 INVESTMENT –** **Class C** 4/30/2016 — 4/30/2026

![image](ts7359img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended April 30, 2026

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class C**  | 63.82 | 7.35 | 9.28 |
| **Russell 3000 Index**  | 31.01 | 11.91 | 14.76 |
| **NASDAQ Biotechnology Index**  | 37.61 | 3.80 | 7.65 |
| **S&P 500 Index**  | 31.05 | 13.14 | 15.26 |

---

Total return information is based on net asset values calculated for shareholder transactions. Certain adjustments were made to the net assets of the Fund at the end of the period for financial reporting purposes. Accordingly, adjusted total returns have been disclosed in the Financial Highlights and differ from those reported here.

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) DIAL BEN/342-5236 or visit

https://www.franklintempleton.com/investments/options/mutual-funds.

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

**KEY FUND STATISTICS** (as of April 30, 2026)

---

| | |
|:---|:---|
| **Total Net Assets** | $1037360270 |
| **Total Number of Portfolio Holdings** | 110 |
| **Total Management Fee Paid** | $5300115 |
| **Portfolio Turnover Rate** | 37.62% |

---

Franklin Biotechnology Discovery Fund PAGE 2 242-ATSR-0626

------

**WHAT DID THE FUND INVEST IN?** (as of April 30, 2026)

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

![image](ts7359img004.jpg)

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

---

| | |
|:---|:---|
| ![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) DIAL BEN/342-5236. 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.

Franklin Biotechnology Discovery Fund PAGE 3 242-ATSR-0626

100001191412024117441381317036120961327615506148292429310000118581340615106149482256021857221862713330227396011000011103116021191713902173441340514926148371518720899100001179213356151581528922320223672296328167315744137994.00.30.20.15.4 ------

---

| | |
|:---|:---|
| **Franklin Biotechnology Discovery Fund**  | ![image](img2199_202405220716489.jpg) |
| Class R6 [FRBRX] | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| April 30, 2026  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Biotechnology Discovery Fund for the period May 1, 2025, to April 30, 2026.

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) DIAL BEN/342-5236.

**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>  |
| Class R6 | $89 | 0.67% |

---

\* 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 April 30, 2026, Class R6 shares of Franklin Biotechnology Discovery Fund returned 65.61%. The Fund compares its performance to the NASDAQ Biotechnology Index and the S&P 500 Index, which returned 37.61% and 31.05%, respectively, for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | Overweighted portfolio exposure to mid-, small-, and micro-cap biotechnology stocks, which generally performed well. Performance also benefited from a focus on companies with proven drug delivery platforms, favorable clinical trial catalysts, and strong balance sheets. In addition, an emphasis on identifying clinically or commercially "de-risked" assets appears to have supported relative returns. |
| ↑ | Successful stock selection in the biotech industry, where numerous overweighted or off-benchmark holdings more than doubled in value, including key contributors Abivax, Ascendis Pharma, Praxis Precision Medicines, Merus, Spyre Therapeutics, Oruka Therapeutics, Centessa Pharmaceuticals, Dianthus Therapeutics and uniQure. |
| ↑ | Stock selection and overweighting in the pharmaceuticals industry, where much larger-than-index positions in Terns Pharmaceuticals and Jazz Pharmaceuticals topped a fairly long list of contributors. To a lesser extent, additional relative-return gains were achieved in three other industries: health care services (due to overweighting), managed health care (not an index component), and health care equipment (lack of exposure).  |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Detrimental stock selection created a wide total-return gap in the life sciences tools and services industry; the combined value of the Fund's related holdings declined, while those tracked by the benchmark index increased sharply.  |
| ↓ | Several overweighted or off-benchmark biotech and pharma holdings either sold off amid company-specific setbacks or posted muted one-year gains. The key detractors in this regard were LENZ Therapeutics (purchased during the period), Benitec Biopharma, Soleno Therapeutics, ARS Pharmaceuticals, Ionis Pharmaceuticals (purchased during the period), Eli Lilly, MoonLake Immunotherapeutics (bought and sold during the period), Zealand Pharma, Ultragenyx Pharmaceuticals and Day One Biopharmaceuticals. Several of these positions were liquidated by year-end. |
| ↓ | The Fund lacked exposure to several index component companies—such as Roivant Sciences, Arrowhead Pharmaceuticals, United Therapeutics, Viatris, and Axsome Therapeutics—that significantly outperformed the benchmark. In addition, the portfolio's cash allocation (averaging about 2.1% of total net assets) diluted relative performance during a time of robust and broad-based gains across the biotech and pharma industries. |

---

Franklin Biotechnology Discovery Fund PAGE 1 342-ATSR-0626

------

**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 $** **10,000 INVESTMENT –** **Class R6** 4/30/2016 — 4/30/2026

![image](ts7360img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended April 30, 2026

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class R6**  | 65.61 | 8.53 | 10.50 |
| **Russell 3000 Index**  | 31.01 | 11.91 | 14.76 |
| **NASDAQ Biotechnology Index**  | 37.61 | 3.80 | 7.65 |
| **S&P 500 Index**  | 31.05 | 13.14 | 15.26 |

---

Total return information is based on net asset values calculated for shareholder transactions. Certain adjustments were made to the net assets of the Fund at the end of the period for financial reporting purposes. Accordingly, adjusted total returns have been disclosed in the Financial Highlights and differ from those reported here.

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) DIAL BEN/342-5236 or visit

https://www.franklintempleton.com/investments/options/mutual-funds.

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

**KEY FUND STATISTICS** (as of April 30, 2026)

---

| | |
|:---|:---|
| **Total Net Assets** | $1037360270 |
| **Total Number of Portfolio Holdings** | 110 |
| **Total Management Fee Paid** | $5300115 |
| **Portfolio Turnover Rate** | 37.62% |

---

Franklin Biotechnology Discovery Fund PAGE 2 342-ATSR-0626

------

**WHAT DID THE FUND INVEST IN?** (as of April 30, 2026)

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

![image](ts7360img004.jpg)

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

---

| | |
|:---|:---|
| ![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) DIAL BEN/342-5236. 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.

Franklin Biotechnology Discovery Fund PAGE 3 342-ATSR-0626

100001205012305121531445618023129231434916946163862713510000118581340615106149482256021857221862713330227396011000011103116021191713902173441340514926148371518720899100001179213356151581528922320223672296328167315744137994.00.30.20.15.4 ------

---

| | |
|:---|:---|
| **Franklin Biotechnology Discovery Fund**  | ![image](img2199_202405220716489.jpg) |
| Advisor Class [FTDZX] | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| April 30, 2026  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Biotechnology Discovery Fund for the period May 1, 2025, to April 30, 2026.

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) DIAL BEN/342-5236.

**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 | $101 | 0.76% |

---

\* 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 April 30, 2026, Advisor Class shares of Franklin Biotechnology Discovery Fund returned 65.45%. The Fund compares its performance to the NASDAQ Biotechnology Index and the S&P 500 Index, which returned 37.61% and 31.05%, respectively, for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | Overweighted portfolio exposure to mid-, small-, and micro-cap biotechnology stocks, which generally performed well. Performance also benefited from a focus on companies with proven drug delivery platforms, favorable clinical trial catalysts, and strong balance sheets. In addition, an emphasis on identifying clinically or commercially "de-risked" assets appears to have supported relative returns. |
| ↑ | Successful stock selection in the biotech industry, where numerous overweighted or off-benchmark holdings more than doubled in value, including key contributors Abivax, Ascendis Pharma, Praxis Precision Medicines, Merus, Spyre Therapeutics, Oruka Therapeutics, Centessa Pharmaceuticals, Dianthus Therapeutics and uniQure. |
| ↑ | Stock selection and overweighting in the pharmaceuticals industry, where much larger-than-index positions in Terns Pharmaceuticals and Jazz Pharmaceuticals topped a fairly long list of contributors. To a lesser extent, additional relative-return gains were achieved in three other industries: health care services (due to overweighting), managed health care (not an index component), and health care equipment (lack of exposure).  |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Detrimental stock selection created a wide total-return gap in the life sciences tools and services industry; the combined value of the Fund's related holdings declined, while those tracked by the benchmark index increased sharply.  |
| ↓ | Several overweighted or off-benchmark biotech and pharma holdings either sold off amid company-specific setbacks or posted muted one-year gains. The key detractors in this regard were LENZ Therapeutics (purchased during the period), Benitec Biopharma, Soleno Therapeutics, ARS Pharmaceuticals, Ionis Pharmaceuticals (purchased during the period), Eli Lilly, MoonLake Immunotherapeutics (bought and sold during the period), Zealand Pharma, Ultragenyx Pharmaceuticals and Day One Biopharmaceuticals. Several of these positions were liquidated by year-end. |
| ↓ | The Fund lacked exposure to several index component companies—such as Roivant Sciences, Arrowhead Pharmaceuticals, United Therapeutics, Viatris, and Axsome Therapeutics—that significantly outperformed the benchmark. In addition, the portfolio's cash allocation (averaging about 2.1% of total net assets) diluted relative performance during a time of robust and broad-based gains across the biotech and pharma industries. |

---

Franklin Biotechnology Discovery Fund PAGE 1 42-ATSR-0626

------

**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 $** **10,000 INVESTMENT –** **Advisor Class** 4/30/2016 — 4/30/2026

![image](ts7357img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended April 30, 2026

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Advisor Class**  | 65.45 | 8.40 | 10.36 |
| **Russell 3000 Index**  | 31.01 | 11.91 | 14.76 |
| **NASDAQ Biotechnology Index**  | 37.61 | 3.80 | 7.65 |
| **S&P 500 Index**  | 31.05 | 13.14 | 15.26 |

---

Total return information is based on net asset values calculated for shareholder transactions. Certain adjustments were made to the net assets of the Fund at the end of the period for financial reporting purposes. Accordingly, adjusted total returns have been disclosed in the Financial Highlights and differ from those reported here.

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) DIAL BEN/342-5236 or visit

https://www.franklintempleton.com/investments/options/mutual-funds.

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

**KEY FUND STATISTICS** (as of April 30, 2026)

---

| | |
|:---|:---|
| **Total Net Assets** | $1037360270 |
| **Total Number of Portfolio Holdings** | 110 |
| **Total Management Fee Paid** | $5300115 |
| **Portfolio Turnover Rate** | 37.62% |

---

Franklin Biotechnology Discovery Fund PAGE 2 42-ATSR-0626

------

**WHAT DID THE FUND INVEST IN?** (as of April 30, 2026)

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

![image](ts7357img004.jpg)

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

---

| | |
|:---|:---|
| ![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) DIAL BEN/342-5236. 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.

Franklin Biotechnology Discovery Fund PAGE 3 42-ATSR-0626

100001203212266120991437617907128241421716772162012680410000118581340615106149482256021857221862713330227396011000011103116021191713902173441340514926148371518720899100001179213356151581528922320223672296328167315744137994.00.30.20.15.4 ------

---

| | |
|:---|:---|
| **Franklin Core Plus Bond Fund**  | ![image](img2199_202405220716489.jpg) |
| Class A [FRSTX] | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| April 30, 2026  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Core Plus Bond Fund for the period May 1, 2025, to April 30, 2026.

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) DIAL BEN/342-5236.

***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>  |
| Class A | $73 | 0.71% |

---

\* 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 April 30, 2026, Class A shares of Franklin Core Plus Bond Fund returned 4.78%. The Fund compares its performance to the Bloomberg U.S. Aggregate Index, which returned 4.06% for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | Overweight allocation to high-yield (HY) and investment-grade (IG) corporate bonds, agency mortgage-backed securities (MBS), commercial MBS and sovereign emerging market debt. |
| ↑ | Out-of-index exposure to residential MBS and collateralized loan obligations (CLOs). |
| ↑ | Exposure to the five-, 20- and 30-year portions of the yield curve. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Security selection in HY corporate bonds, senior secured floating-rate bank loans and IG corporate bonds. |
| ↓ | Exposure to the 10-year segment of the yield curve. |

---

**Use of derivatives and the impact on performance:**

The Fund utilized bond futures to manage duration exposure and high-yield credit default swap (CDS) to manage the Fund's credit exposure. In aggregate, these instruments detracted slightly from performance.

Franklin Core Plus Bond Fund PAGE 1 194-ATSR-0626

------

**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 $** **10,000 INVESTMENT ($** **9,625 AFTER MAXIMUM APPLICABLE SALES CHARGE) –**

**Class A** 4/30/2016 — 4/30/2026

![image](ts7432img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended April 30, 2026

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class A**  | 4.78 | 1.81 | 2.80 |
| **Class A (with sales charge)**  | 0.87 | 1.03 | 2.41 |
| **Bloomberg U.S. Aggregate Index**  | 4.06 | 0.18 | 1.67 |

---

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

Performance for periods prior to March 1, 2019, has been restated to reflect the current maximum sales charge, which is lower than the maximum sales charge prior to that date.

The Fund was able to successfully meet its monthly distributions under its managed distribution policy without the return of capital.

Effective December 11, 2024, the Fund changed its name and adopted its current investment strategy.

For current month-end performance, please call Franklin Templeton at (800) DIAL BEN/342-5236 or visit

https://www.franklintempleton.com/investments/options/mutual-funds.

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

**KEY FUND STATISTICS** (as of April 30, 2026)

---

| | |
|:---|:---|
| **Total Net Assets** | $2747319270 |
| **Total Number of Portfolio Holdings (excludes derivatives, except purchased options, if any)** | 866 |
| **Total Management Fee Paid** | $6862755 |
| **Portfolio Turnover Rate** | 349.54% |

---

Franklin Core Plus Bond Fund PAGE 2 194-ATSR-0626

------

**WHAT DID THE FUND INVEST IN?** (as of April 30, 2026)

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

![image](ts7432img004.jpg)

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

† Certain categories may represent less than 0.1%.

**HOW HAS THE FUND CHANGED?**

Effective September 1, 2025, the Fund's principal investment strategies were changed to reflect the Fund's increased investments in collateralized mortgage obligations.

Related risk disclosure was added to the prospectus.

Effective September 30, 2025, Benjamin Cryer and Thomas Runkel no longer serve as portfolio managers of the Fund and Albert Chan was added as a portfolio manager of the Fund.

Effective May 8, 2025, the investment manager contractually agreed to waive fees and/or reimburse operating expenses (excluding the Rule 12b-1 fees and certain non-routine expenses or costs, such as those relating to litigation, indemnification, reorganizations and liquidations) for the Fund so that the ratio of total annual fund operating expenses will not exceed 0.47% for each share class except Class R6 and 0.37% for Class R6 until August 31, 2026.

Additionally, effective May 8, 2025, the Fund's contractual management fee schedule was reduced to a fee equal to an annual rate based on the value of the Fund's average daily net assets, as follows: 0.350% up to and including $5 billion; 0.330% over $5 billion up to and including $10 billion; 0.310% over $10 billion up to and including $20 billion; and 0.290% over $20 billion.

This is a summary of certain changes and planned changes to the Fund since May 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 September 1, 2026, at https://www.franklintempleton.com/regulatory-fund-documents or upon request at (800) DIAL BEN/342-5236 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) DIAL BEN/342-5236. 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.

Franklin Core Plus Bond Fund PAGE 3 194-ATSR-0626

962510347104141088510262116011089710977113191210912688100001008310051105821173011698107031065710500113431180331.824.612.07.65.23.72.52.52.20.80.10.00.00.07.0 ------

---

| | |
|:---|:---|
| **Franklin Core Plus Bond Fund**  | ![image](img2199_202405220716489.jpg) |
| Class C [FSGCX] | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| April 30, 2026  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Core Plus Bond Fund for the period May 1, 2025, to April 30, 2026.

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) DIAL BEN/342-5236.

***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>  |
| Class C | $113 | 1.11% |

---

\* 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 April 30, 2026, Class C shares of Franklin Core Plus Bond Fund returned 4.35%. The Fund compares its performance to the Bloomberg U.S. Aggregate Index, which returned 4.06% for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | Overweight allocation to high-yield (HY) and investment-grade (IG) corporate bonds, agency mortgage-backed securities (MBS), commercial MBS and sovereign emerging market debt. |
| ↑ | Out-of-index exposure to residential MBS and collateralized loan obligations (CLOs). |
| ↑ | Exposure to the five-, 20- and 30-year portions of the yield curve. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Security selection in HY corporate bonds, senior secured floating-rate bank loans and IG corporate bonds. |
| ↓ | Exposure to the 10-year segment of the yield curve. |

---

**Use of derivatives and the impact on performance:**

The Fund utilized bond futures to manage duration exposure and high-yield credit default swap (CDS) to manage the Fund's credit exposure. In aggregate, these instruments detracted slightly from performance.

Franklin Core Plus Bond Fund PAGE 1 294-ATSR-0626

------

**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 $** **10,000 INVESTMENT –** **Class C** 4/30/2016 — 4/30/2026

![image](ts7440img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended April 30, 2026

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class C**  | 4.35 | 1.40 | 2.40 |
| **Class C (with sales charge)**  | 3.35 | 1.40 | 2.40 |
| **Bloomberg U.S. Aggregate Index**  | 4.06 | 0.18 | 1.67 |

---

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

The Fund was able to successfully meet its monthly distributions under its managed distribution policy without the return of capital.

Effective December 11, 2024, the Fund changed its name and adopted its current investment strategy.

For current month-end performance, please call Franklin Templeton at (800) DIAL BEN/342-5236 or visit

https://www.franklintempleton.com/investments/options/mutual-funds.

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

**KEY FUND STATISTICS** (as of April 30, 2026)

---

| | |
|:---|:---|
| **Total Net Assets** | $2747319270 |
| **Total Number of Portfolio Holdings (excludes derivatives, except purchased options, if any)** | 866 |
| **Total Management Fee Paid** | $6862755 |
| **Portfolio Turnover Rate** | 349.54% |

---

Franklin Core Plus Bond Fund PAGE 2 294-ATSR-0626

------

**WHAT DID THE FUND INVEST IN?** (as of April 30, 2026)

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

![image](ts7440img004.jpg)

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

† Certain categories may represent less than 0.1%.

**HOW HAS THE FUND CHANGED?**

Effective September 1, 2025, the Fund's principal investment strategies were changed to reflect the Fund's increased investments in collateralized mortgage obligations.

Related risk disclosure was added to the prospectus.

Effective September 30, 2025, Benjamin Cryer and Thomas Runkel no longer serve as portfolio managers of the Fund and Albert Chan was added as a portfolio manager of the Fund.

Effective May 8, 2025, the investment manager contractually agreed to waive fees and/or reimburse operating expenses (excluding the Rule 12b-1 fees and certain non-routine expenses or costs, such as those relating to litigation, indemnification, reorganizations and liquidations) for the Fund so that the ratio of total annual fund operating expenses will not exceed 0.47% for each share class except Class R6 and 0.37% for Class R6 until August 31, 2026.

Additionally, effective May 8, 2025, the Fund's contractual management fee schedule was reduced to a fee equal to an annual rate based on the value of the Fund's average daily net assets, as follows: 0.350% up to and including $5 billion; 0.330% over $5 billion up to and including $10 billion; 0.310% over $10 billion up to and including $20 billion; and 0.290% over $20 billion.

This is a summary of certain changes and planned changes to the Fund since May 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 September 1, 2026, at https://www.franklintempleton.com/regulatory-fund-documents or upon request at (800) DIAL BEN/342-5236 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) DIAL BEN/342-5236. 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.

Franklin Core Plus Bond Fund PAGE 3 294-ATSR-0626

1000010719107341118410501118221105611089114001214412672100001008310051105821173011698107031065710500113431180331.824.612.07.65.23.72.52.52.20.80.10.00.00.07.0 ------

---

| | |
|:---|:---|
| **Franklin Core Plus Bond Fund**  | ![image](img2199_202405220716489.jpg) |
| Class R [FKSRX] | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| April 30, 2026  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Core Plus Bond Fund for the period May 1, 2025, to April 30, 2026.

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) DIAL BEN/342-5236.

***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>  |
| Class R | $98 | 0.96% |

---

\* 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 April 30, 2026, Class R shares of Franklin Core Plus Bond Fund returned 4.67%. The Fund compares its performance to the Bloomberg U.S. Aggregate Index, which returned 4.06% for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | Overweight allocation to high-yield (HY) and investment-grade (IG) corporate bonds, agency mortgage-backed securities (MBS), commercial MBS and sovereign emerging market debt. |
| ↑ | Out-of-index exposure to residential MBS and collateralized loan obligations (CLOs). |
| ↑ | Exposure to the five-, 20- and 30-year portions of the yield curve. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Security selection in HY corporate bonds, senior secured floating-rate bank loans and IG corporate bonds. |
| ↓ | Exposure to the 10-year segment of the yield curve. |

---

**Use of derivatives and the impact on performance:**

The Fund utilized bond futures to manage duration exposure and high-yield credit default swap (CDS) to manage the Fund's credit exposure. In aggregate, these instruments detracted slightly from performance.

Franklin Core Plus Bond Fund PAGE 1 894-ATSR-0626

------

**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 $** **10,000 INVESTMENT –** **Class R** 4/30/2016 — 4/30/2026

![image](ts7443img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended April 30, 2026

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class R**  | 4.67 | 1.56 | 2.56 |
| **Bloomberg U.S. Aggregate Index**  | 4.06 | 0.18 | 1.67 |

---

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

The Fund was able to successfully meet its monthly distributions under its managed distribution policy without the return of capital.

Effective December 11, 2024, the Fund changed its name and adopted its current investment strategy.

For current month-end performance, please call Franklin Templeton at (800) DIAL BEN/342-5236 or visit

https://www.franklintempleton.com/investments/options/mutual-funds.

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

**KEY FUND STATISTICS** (as of April 30, 2026)

---

| | |
|:---|:---|
| **Total Net Assets** | $2747319270 |
| **Total Number of Portfolio Holdings (excludes derivatives, except purchased options, if any)** | 866 |
| **Total Management Fee Paid** | $6862755 |
| **Portfolio Turnover Rate** | 349.54% |

---

**WHAT DID THE FUND INVEST IN?** (as of April 30, 2026)

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

![image](ts7443img004.jpg)

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

† Certain categories may represent less than 0.1%.

Franklin Core Plus Bond Fund PAGE 2 894-ATSR-0626

------

**HOW HAS THE FUND CHANGED?**

Effective September 1, 2025, the Fund's principal investment strategies were changed to reflect the Fund's increased investments in collateralized mortgage obligations.

Related risk disclosure was added to the prospectus.

Effective September 30, 2025, Benjamin Cryer and Thomas Runkel no longer serve as portfolio managers of the Fund and Albert Chan was added as a portfolio manager of the Fund.

Effective May 8, 2025, the investment manager contractually agreed to waive fees and/or reimburse operating expenses (excluding the Rule 12b-1 fees and certain non-routine expenses or costs, such as those relating to litigation, indemnification, reorganizations and liquidations) for the Fund so that the ratio of total annual fund operating expenses will not exceed 0.47% for each share class except Class R6 and 0.37% for Class R6 until August 31, 2026.

Additionally, effective May 8, 2025, the Fund's contractual management fee schedule was reduced to a fee equal to an annual rate based on the value of the Fund's average daily net assets, as follows: 0.350% up to and including $5 billion; 0.330% over $5 billion up to and including $10 billion; 0.310% over $10 billion up to and including $20 billion; and 0.290% over $20 billion.

This is a summary of certain changes and planned changes to the Fund since May 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 September 1, 2026, at https://www.franklintempleton.com/regulatory-fund-documents or upon request at (800) DIAL BEN/342-5236 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) DIAL BEN/342-5236. 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.

Franklin Core Plus Bond Fund PAGE 3 894-ATSR-0626

1000010738107691123010558119121115811211115331229712872100001008310051105821173011698107031065710500113431180331.824.612.07.65.23.72.52.52.20.80.10.00.00.07.0 ------

---

| | |
|:---|:---|
| **Franklin Core Plus Bond Fund**  | ![image](img2199_202405220716489.jpg) |
| Class R6 [FGKNX] | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| April 30, 2026  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Core Plus Bond Fund for the period May 1, 2025, to April 30, 2026.

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) DIAL BEN/342-5236.

***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>  |
| Class R6 | $37 | 0.36% |

---

\* 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 April 30, 2026, Class R6 shares of Franklin Core Plus Bond Fund returned 5.27%. The Fund compares its performance to the Bloomberg U.S. Aggregate Index, which returned 4.06% for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | Overweight allocation to high-yield (HY) and investment-grade (IG) corporate bonds, agency mortgage-backed securities (MBS), commercial MBS and sovereign emerging market debt. |
| ↑ | Out-of-index exposure to residential MBS and collateralized loan obligations (CLOs). |
| ↑ | Exposure to the five-, 20- and 30-year portions of the yield curve. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Security selection in HY corporate bonds, senior secured floating-rate bank loans and IG corporate bonds. |
| ↓ | Exposure to the 10-year segment of the yield curve. |

---

**Use of derivatives and the impact on performance:**

The Fund utilized bond futures to manage duration exposure and high-yield credit default swap (CDS) to manage the Fund's credit exposure. In aggregate, these instruments detracted slightly from performance.

Franklin Core Plus Bond Fund PAGE 1 314-ATSR-0626

------

**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 $** **10,000 INVESTMENT –** **Class R6** 4/30/2016 — 4/30/2026

![image](ts7441img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended April 30, 2026

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class R6**  | 5.27 | 2.20 | 3.19 |
| **Bloomberg U.S. Aggregate Index**  | 4.06 | 0.18 | 1.67 |

---

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

The Fund was able to successfully meet its monthly distributions under its managed distribution policy without the return of capital.

Effective December 11, 2024, the Fund changed its name and adopted its current investment strategy.

For current month-end performance, please call Franklin Templeton at (800) DIAL BEN/342-5236 or visit

https://www.franklintempleton.com/investments/options/mutual-funds.

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

**KEY FUND STATISTICS** (as of April 30, 2026)

---

| | |
|:---|:---|
| **Total Net Assets** | $2747319270 |
| **Total Number of Portfolio Holdings (excludes derivatives, except purchased options, if any)** | 866 |
| **Total Management Fee Paid** | $6862755 |
| **Portfolio Turnover Rate** | 349.54% |

---

**WHAT DID THE FUND INVEST IN?** (as of April 30, 2026)

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

![image](ts7441img004.jpg)

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

† Certain categories may represent less than 0.1%.

Franklin Core Plus Bond Fund PAGE 2 314-ATSR-0626

------

**HOW HAS THE FUND CHANGED?**

Effective September 1, 2025, the Fund's principal investment strategies were changed to reflect the Fund's increased investments in collateralized mortgage obligations.

Related risk disclosure was added to the prospectus.

Effective September 30, 2025, Benjamin Cryer and Thomas Runkel no longer serve as portfolio managers of the Fund and Albert Chan was added as a portfolio manager of the Fund.

Effective May 8, 2025, the investment manager contractually agreed to waive fees and/or reimburse operating expenses (excluding the Rule 12b-1 fees and certain non-routine expenses or costs, such as those relating to litigation, indemnification, reorganizations and liquidations) for the Fund so that the ratio of total annual fund operating expenses will not exceed 0.47% for each share class except Class R6 and 0.37% for Class R6 until August 31, 2026.

Additionally, effective May 8, 2025, the Fund's contractual management fee schedule was reduced to a fee equal to an annual rate based on the value of the Fund's average daily net assets, as follows: 0.350% up to and including $5 billion; 0.330% over $5 billion up to and including $10 billion; 0.310% over $10 billion up to and including $20 billion; and 0.290% over $20 billion.

This is a summary of certain changes and planned changes to the Fund since May 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 September 1, 2026, at https://www.franklintempleton.com/regulatory-fund-documents or upon request at (800) DIAL BEN/342-5236 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) DIAL BEN/342-5236. 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.

Franklin Core Plus Bond Fund PAGE 3 314-ATSR-0626

1000010803109051145410828122841158111711121191301013696100001008310051105821173011698107031065710500113431180331.824.612.07.65.23.72.52.52.20.80.10.00.00.07.0 ------

---

| | |
|:---|:---|
| **Franklin Core Plus Bond Fund**  | ![image](img2199_202405220716489.jpg) |
| Advisor Class [FKSAX] | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| April 30, 2026  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Core Plus Bond Fund for the period May 1, 2025, to April 30, 2026.

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) DIAL BEN/342-5236.

***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 | $47 | 0.46% |

---

\* 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 April 30, 2026, Advisor Class shares of Franklin Core Plus Bond Fund returned 5.04%. The Fund compares its performance to the Bloomberg U.S. Aggregate Index, which returned 4.06% for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | Overweight allocation to high-yield (HY) and investment-grade (IG) corporate bonds, agency mortgage-backed securities (MBS), commercial MBS and sovereign emerging market debt. |
| ↑ | Out-of-index exposure to residential MBS and collateralized loan obligations (CLOs). |
| ↑ | Exposure to the five-, 20- and 30-year portions of the yield curve. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Security selection in HY corporate bonds, senior secured floating-rate bank loans and IG corporate bonds. |
| ↓ | Exposure to the 10-year segment of the yield curve. |

---

**Use of derivatives and the impact on performance:**

The Fund utilized bond futures to manage duration exposure and high-yield credit default swap (CDS) to manage the Fund's credit exposure. In aggregate, these instruments detracted slightly from performance.

Franklin Core Plus Bond Fund PAGE 1 694-ATSR-0626

------

**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 $** **10,000 INVESTMENT –** **Advisor Class** 4/30/2016 — 4/30/2026

![image](ts7431img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended April 30, 2026

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Advisor Class**  | 5.04 | 2.06 | 3.05 |
| **Bloomberg U.S. Aggregate Index**  | 4.06 | 0.18 | 1.67 |

---

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

The Fund was able to successfully meet its monthly distributions under its managed distribution policy without the return of capital.

Effective December 11, 2024, the Fund changed its name and adopted its current investment strategy.

For current month-end performance, please call Franklin Templeton at (800) DIAL BEN/342-5236 or visit

https://www.franklintempleton.com/investments/options/mutual-funds.

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

**KEY FUND STATISTICS** (as of April 30, 2026)

---

| | |
|:---|:---|
| **Total Net Assets** | $2747319270 |
| **Total Number of Portfolio Holdings (excludes derivatives, except purchased options, if any)** | 866 |
| **Total Management Fee Paid** | $6862755 |
| **Portfolio Turnover Rate** | 349.54% |

---

**WHAT DID THE FUND INVEST IN?** (as of April 30, 2026)

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

![image](ts7431img004.jpg)

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

† Certain categories may represent less than 0.1%.

Franklin Core Plus Bond Fund PAGE 2 694-ATSR-0626

------

**HOW HAS THE FUND CHANGED?**

Effective September 1, 2025, the Fund's principal investment strategies were changed to reflect the Fund's increased investments in collateralized mortgage obligations.

Related risk disclosure was added to the prospectus.

Effective September 30, 2025, Benjamin Cryer and Thomas Runkel no longer serve as portfolio managers of the Fund and Albert Chan was added as a portfolio manager of the Fund.

Effective May 8, 2025, the investment manager contractually agreed to waive fees and/or reimburse operating expenses (excluding the Rule 12b-1 fees and certain non-routine expenses or costs, such as those relating to litigation, indemnification, reorganizations and liquidations) for the Fund so that the ratio of total annual fund operating expenses will not exceed 0.47% for each share class except Class R6 and 0.37% for Class R6 until August 31, 2026.

Additionally, effective May 8, 2025, the Fund's contractual management fee schedule was reduced to a fee equal to an annual rate based on the value of the Fund's average daily net assets, as follows: 0.350% up to and including $5 billion; 0.330% over $5 billion up to and including $10 billion; 0.310% over $10 billion up to and including $20 billion; and 0.290% over $20 billion.

This is a summary of certain changes and planned changes to the Fund since May 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 September 1, 2026, at https://www.franklintempleton.com/regulatory-fund-documents or upon request at (800) DIAL BEN/342-5236 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) DIAL BEN/342-5236. 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.

Franklin Core Plus Bond Fund PAGE 3 694-ATSR-0626

1000010776108611139210768122021149011603119941286313510100001008310051105821173011698107031065710500113431180331.824.612.07.65.23.72.52.52.20.80.10.00.00.07.0 ------

---

| | |
|:---|:---|
| **Franklin Growth Opportunities Fund**  | ![image](img2199_202405220716489.jpg) |
| Class A [FGRAX] | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| April 30, 2026  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Growth Opportunities Fund for the period May 1, 2025, to April 30, 2026.

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) DIAL BEN/342-5236.

**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>  |
| Class A | $97 | 0.88% |

---

\* 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 April 30, 2026, Class A shares of Franklin Growth Opportunities Fund returned 20.74%. The Fund compares its performance to the Russell 3000 Growth Index and the S&P 500 Index, which returned 30.98% and 31.05%, respectively, for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | In the communications services sector, Google parent company Alphabet was a leading relative contributor. The company saw a favorable resolution to its antitrust trial and benefited from the positive impacts of artificial intelligence (AI) on its business. |
| ↑ | The Fund benefited most from stock selection in the information technology (IT) sector. Within IT, Monolithic Power Systems was the leading contributor to relative returns. Shares of the analog semiconductor manufacturer advanced sharply amid growing confidence around AI infrastructure-related demand, capped by sharp earnings beat and guidance raise. |
| ↑ | In the industrials sector, an off index holding in private company Space Exploration Technologies (SpaceX) was a leading contributor to relative returns. The merger with xAI boosted the private market share price of the company, and expectations increased around a 2026 initial public offering for the aerospace and technology company. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | By sector, stock selection in communication services sector was the largest detractor from relative returns. Among individual detractors, in the IT sector, underweight in AI chip designer NVIDIA held back relative returns. The company continued to benefit from increased AI infrastructure spending, and demand for its advanced chips remained strong across cloud computing, data centers and enterprise AI applications. NVIDIA was the largest position in the Fund on an absolute basis, but the Fund was underweighted on a relative basis due to position size constraints. |
| ↓ | In the consumer staples sector, an off-benchmark holding in BellRing Brands was a leading detractor. The nutrition products company reported shrinking profit margins and saw increased competition in the protein shake category. Retailer inventory adjustments and reduced full year 2025 guidance were also headwinds for the company. |
| ↓ | In the industrials sector, Axon shares fell as investors expressed concerns about near-term margin pressure from higher investment spending, even though the company continued to report strong revenue growth and solid demand from public safety agencies. |

---

Franklin Growth Opportunities Fund PAGE 1 462-ATSR-0626

------

**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 $** **10,000 INVESTMENT ($** **9,450 AFTER MAXIMUM APPLICABLE SALES CHARGE) –**

**Class A** 4/30/2016 — 4/30/2026

![image](ts7485img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended April 30, 2026

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class A**  | 20.74 | 6.62 | 13.94 |
| **Class A (with sales charge)**  | 14.10 | 5.43 | 13.30 |
| **Russell 3000 Index**  | 31.01 | 11.91 | 14.76 |
| **Russell 3000 Growth Index**  | 30.98 | 13.23 | 17.82 |
| **S&P 500 Index**  | 31.05 | 13.14 | 15.26 |

---

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

Performance for periods prior to September 10, 2018, has been restated to reflect the current maximum sales charge, which is lower than the maximum sales charge prior to that date.

For current month-end performance, please call Franklin Templeton at (800) DIAL BEN/342-5236 or visit

https://www.franklintempleton.com/investments/options/mutual-funds.

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

**KEY FUND STATISTICS** (as of April 30, 2026)

---

| | |
|:---|:---|
| **Total Net Assets** | $4394400813 |
| **Total Number of Portfolio Holdings** | 92 |
| **Total Management Fee Paid** | $24181309 |
| **Portfolio Turnover Rate** | 39.14% |

---

Franklin Growth Opportunities Fund PAGE 2 462-ATSR-0626

------

**WHAT DID THE FUND INVEST IN?** (as of April 30, 2026)

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

![image](ts7485img004.jpg)

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

† Certain categories may represent less than 0.1%.

---

| | |
|:---|:---|
| ![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) DIAL BEN/342-5236. 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.

Franklin Growth Opportunities Fund PAGE 3 462-ATSR-0626

94501104513301154171678925291210992004926764288663485310000118581340615106149482256021857221862713330227396011000011983142331659818169276932580226382344933934651536100001179213356151581528922320223672296328167315744137947.713.413.19.27.82.72.21.70.70.01.5 ------

---

| | |
|:---|:---|
| **Franklin Growth Opportunities Fund**  | ![image](img2199_202405220716489.jpg) |
| Class C [FKACX] | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| April 30, 2026  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Growth Opportunities Fund for the period May 1, 2025, to April 30, 2026.

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) DIAL BEN/342-5236.

**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>  |
| Class C | $180 | 1.64% |

---

\* 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 April 30, 2026, Class C shares of Franklin Growth Opportunities Fund returned 19.82%. The Fund compares its performance to the Russell 3000 Growth Index and the S&P 500 Index, which returned 30.98% and 31.05%, respectively, for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | In the communications services sector, Google parent company Alphabet was a leading relative contributor. The company saw a favorable resolution to its antitrust trial and benefited from the positive impacts of artificial intelligence (AI) on its business. |
| ↑ | The Fund benefited most from stock selection in the information technology (IT) sector. Within IT, Monolithic Power Systems was the leading contributor to relative returns. Shares of the analog semiconductor manufacturer advanced sharply amid growing confidence around AI infrastructure-related demand, capped by sharp earnings beat and guidance raise. |
| ↑ | In the industrials sector, an off index holding in private company Space Exploration Technologies (SpaceX) was a leading contributor to relative returns. The merger with xAI boosted the private market share price of the company, and expectations increased around a 2026 initial public offering for the aerospace and technology company. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | By sector, stock selection in communication services sector was the largest detractor from relative returns. Among individual detractors, in the IT sector, underweight in AI chip designer NVIDIA held back relative returns. The company continued to benefit from increased AI infrastructure spending, and demand for its advanced chips remained strong across cloud computing, data centers and enterprise AI applications. NVIDIA was the largest position in the Fund on an absolute basis, but the Fund was underweighted on a relative basis due to position size constraints. |
| ↓ | In the consumer staples sector, an off-benchmark holding in BellRing Brands was a leading detractor. The nutrition products company reported shrinking profit margins and saw increased competition in the protein shake category. Retailer inventory adjustments and reduced full year 2025 guidance were also headwinds for the company. |
| ↓ | In the industrials sector, Axon shares fell as investors expressed concerns about near-term margin pressure from higher investment spending, even though the company continued to report strong revenue growth and solid demand from public safety agencies. |

---

Franklin Growth Opportunities Fund PAGE 1 562-ATSR-0626

------

**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 $** **10,000 INVESTMENT –** **Class C** 4/30/2016 — 4/30/2026

![image](ts7484img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended April 30, 2026

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class C**  | 19.82 | 5.83 | 13.09 |
| **Class C (with sales charge)**  | 18.92 | 5.83 | 13.09 |
| **Russell 3000 Index**  | 31.01 | 11.91 | 14.76 |
| **Russell 3000 Growth Index**  | 30.98 | 13.23 | 17.82 |
| **S&P 500 Index**  | 31.05 | 13.14 | 15.26 |

---

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) DIAL BEN/342-5236 or visit

https://www.franklintempleton.com/investments/options/mutual-funds.

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

**KEY FUND STATISTICS** (as of April 30, 2026)

---

| | |
|:---|:---|
| **Total Net Assets** | $4394400813 |
| **Total Number of Portfolio Holdings** | 92 |
| **Total Management Fee Paid** | $24181309 |
| **Portfolio Turnover Rate** | 39.14% |

---

Franklin Growth Opportunities Fund PAGE 2 562-ATSR-0626

------

**WHAT DID THE FUND INVEST IN?** (as of April 30, 2026)

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

![image](ts7484img004.jpg)

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

† Certain categories may represent less than 0.1%.

---

| | |
|:---|:---|
| ![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) DIAL BEN/342-5236. 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.

Franklin Growth Opportunities Fund PAGE 3 562-ATSR-0626

100001159813863159561724925783213492013526683285603421910000118581340615106149482256021857221862713330227396011000011983142331659818169276932580226382344933934651536100001179213356151581528922320223672296328167315744137947.713.413.19.27.82.72.21.70.70.01.5 ------

---

| | |
|:---|:---|
| **Franklin Growth Opportunities Fund**  | ![image](img2199_202405220716489.jpg) |
| Class R [FKARX] | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| April 30, 2026  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Growth Opportunities Fund for the period May 1, 2025, to April 30, 2026.

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) DIAL BEN/342-5236.

**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>  |
| Class R | $126 | 1.14% |

---

\* 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 April 30, 2026, Class R shares of Franklin Growth Opportunities Fund returned 20.42%. The Fund compares its performance to the Russell 3000 Growth Index and the S&P 500 Index, which returned 30.98% and 31.05%, respectively, for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | In the communications services sector, Google parent company Alphabet was a leading relative contributor. The company saw a favorable resolution to its antitrust trial and benefited from the positive impacts of artificial intelligence (AI) on its business. |
| ↑ | The Fund benefited most from stock selection in the information technology (IT) sector. Within IT, Monolithic Power Systems was the leading contributor to relative returns. Shares of the analog semiconductor manufacturer advanced sharply amid growing confidence around AI infrastructure-related demand, capped by sharp earnings beat and guidance raise. |
| ↑ | In the industrials sector, an off index holding in private company Space Exploration Technologies (SpaceX) was a leading contributor to relative returns. The merger with xAI boosted the private market share price of the company, and expectations increased around a 2026 initial public offering for the aerospace and technology company. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | By sector, stock selection in communication services sector was the largest detractor from relative returns. Among individual detractors, in the IT sector, underweight in AI chip designer NVIDIA held back relative returns. The company continued to benefit from increased AI infrastructure spending, and demand for its advanced chips remained strong across cloud computing, data centers and enterprise AI applications. NVIDIA was the largest position in the Fund on an absolute basis, but the Fund was underweighted on a relative basis due to position size constraints. |
| ↓ | In the consumer staples sector, an off-benchmark holding in BellRing Brands was a leading detractor. The nutrition products company reported shrinking profit margins and saw increased competition in the protein shake category. Retailer inventory adjustments and reduced full year 2025 guidance were also headwinds for the company. |
| ↓ | In the industrials sector, Axon shares fell as investors expressed concerns about near-term margin pressure from higher investment spending, even though the company continued to report strong revenue growth and solid demand from public safety agencies. |

---

Franklin Growth Opportunities Fund PAGE 1 862-ATSR-0626

------

**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 $** **10,000 INVESTMENT –** **Class R** 4/30/2016 — 4/30/2026

![image](ts7482img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended April 30, 2026

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class R**  | 20.42 | 6.35 | 13.66 |
| **Russell 3000 Index**  | 31.01 | 11.91 | 14.76 |
| **Russell 3000 Growth Index**  | 30.98 | 13.23 | 17.82 |
| **S&P 500 Index**  | 31.05 | 13.14 | 15.26 |

---

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) DIAL BEN/342-5236 or visit

https://www.franklintempleton.com/investments/options/mutual-funds.

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

**KEY FUND STATISTICS** (as of April 30, 2026)

---

| | |
|:---|:---|
| **Total Net Assets** | $4394400813 |
| **Total Number of Portfolio Holdings** | 92 |
| **Total Management Fee Paid** | $24181309 |
| **Portfolio Turnover Rate** | 39.14% |

---

Franklin Growth Opportunities Fund PAGE 2 862-ATSR-0626

------

**WHAT DID THE FUND INVEST IN?** (as of April 30, 2026)

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

![image](ts7482img004.jpg)

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

† Certain categories may represent less than 0.1%.

---

| | |
|:---|:---|
| ![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) DIAL BEN/342-5236. 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.

Franklin Growth Opportunities Fund PAGE 3 862-ATSR-0626

100001166214010162041760426451220102086327785298883599210000118581340615106149482256021857221862713330227396011000011983142331659818169276932580226382344933934651536100001179213356151581528922320223672296328167315744137947.713.413.19.27.82.72.21.70.70.01.5 ------

---

| | |
|:---|:---|
| **Franklin Growth Opportunities Fund**  | ![image](img2199_202405220716489.jpg) |
| Class R6 [FOPPX] | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| April 30, 2026  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Growth Opportunities Fund for the period May 1, 2025, to April 30, 2026.

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) DIAL BEN/342-5236.

**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>  |
| Class R6 | $63 | 0.57% |

---

\* 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 April 30, 2026, Class R6 shares of Franklin Growth Opportunities Fund returned 21.11%. The Fund compares its performance to the Russell 3000 Growth Index and the S&P 500 Index, which returned 30.98% and 31.05%, respectively, for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | In the communications services sector, Google parent company Alphabet was a leading relative contributor. The company saw a favorable resolution to its antitrust trial and benefited from the positive impacts of artificial intelligence (AI) on its business. |
| ↑ | The Fund benefited most from stock selection in the information technology (IT) sector. Within IT, Monolithic Power Systems was the leading contributor to relative returns. Shares of the analog semiconductor manufacturer advanced sharply amid growing confidence around AI infrastructure-related demand, capped by sharp earnings beat and guidance raise. |
| ↑ | In the industrials sector, an off index holding in private company Space Exploration Technologies (SpaceX) was a leading contributor to relative returns. The merger with xAI boosted the private market share price of the company, and expectations increased around a 2026 initial public offering for the aerospace and technology company. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | By sector, stock selection in communication services sector was the largest detractor from relative returns. Among individual detractors, in the IT sector, underweight in AI chip designer NVIDIA held back relative returns. The company continued to benefit from increased AI infrastructure spending, and demand for its advanced chips remained strong across cloud computing, data centers and enterprise AI applications. NVIDIA was the largest position in the Fund on an absolute basis, but the Fund was underweighted on a relative basis due to position size constraints. |
| ↓ | In the consumer staples sector, an off-benchmark holding in BellRing Brands was a leading detractor. The nutrition products company reported shrinking profit margins and saw increased competition in the protein shake category. Retailer inventory adjustments and reduced full year 2025 guidance were also headwinds for the company. |
| ↓ | In the industrials sector, Axon shares fell as investors expressed concerns about near-term margin pressure from higher investment spending, even though the company continued to report strong revenue growth and solid demand from public safety agencies. |

---

Franklin Growth Opportunities Fund PAGE 1 352-ATSR-0626

------

**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 $** **10,000 INVESTMENT –** **Class R6** 4/30/2016 — 4/30/2026

![image](ts7483img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended April 30, 2026

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class R6**  | 21.11 | 6.97 | 14.35 |
| **Russell 3000 Index**  | 31.01 | 11.91 | 14.76 |
| **Russell 3000 Growth Index**  | 30.98 | 13.23 | 17.82 |
| **S&P 500 Index**  | 31.05 | 13.14 | 15.26 |

---

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) DIAL BEN/342-5236 or visit

https://www.franklintempleton.com/investments/options/mutual-funds.

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

**KEY FUND STATISTICS** (as of April 30, 2026)

---

| | |
|:---|:---|
| **Total Net Assets** | $4394400813 |
| **Total Number of Portfolio Holdings** | 92 |
| **Total Management Fee Paid** | $24181309 |
| **Portfolio Turnover Rate** | 39.14% |

---

Franklin Growth Opportunities Fund PAGE 2 352-ATSR-0626

------

**WHAT DID THE FUND INVEST IN?** (as of April 30, 2026)

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

![image](ts7483img004.jpg)

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

† Certain categories may represent less than 0.1%.

---

| | |
|:---|:---|
| ![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) DIAL BEN/342-5236. 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.

Franklin Growth Opportunities Fund PAGE 3 352-ATSR-0626

100001174214206165161805827292228392178429178315683823310000118581340615106149482256021857221862713330227396011000011983142331659818169276932580226382344933934651536100001179213356151581528922320223672296328167315744137947.713.413.19.27.82.72.21.70.70.01.5 ------

---

| | |
|:---|:---|
| **Franklin Growth Opportunities Fund**  | ![image](img2199_202405220716489.jpg) |
| Advisor Class [FRAAX] | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| April 30, 2026  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Growth Opportunities Fund for the period May 1, 2025, to April 30, 2026.

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) DIAL BEN/342-5236.

**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 | $70 | 0.63% |

---

\* 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 April 30, 2026, Advisor Class shares of Franklin Growth Opportunities Fund returned 21.04%. The Fund compares its performance to the Russell 3000 Growth Index and the S&P 500 Index, which returned 30.98% and 31.05%, respectively, for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | In the communications services sector, Google parent company Alphabet was a leading relative contributor. The company saw a favorable resolution to its antitrust trial and benefited from the positive impacts of artificial intelligence (AI) on its business. |
| ↑ | The Fund benefited most from stock selection in the information technology (IT) sector. Within IT, Monolithic Power Systems was the leading contributor to relative returns. Shares of the analog semiconductor manufacturer advanced sharply amid growing confidence around AI infrastructure-related demand, capped by sharp earnings beat and guidance raise. |
| ↑ | In the industrials sector, an off index holding in private company Space Exploration Technologies (SpaceX) was a leading contributor to relative returns. The merger with xAI boosted the private market share price of the company, and expectations increased around a 2026 initial public offering for the aerospace and technology company. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | By sector, stock selection in communication services sector was the largest detractor from relative returns. Among individual detractors, in the IT sector, underweight in AI chip designer NVIDIA held back relative returns. The company continued to benefit from increased AI infrastructure spending, and demand for its advanced chips remained strong across cloud computing, data centers and enterprise AI applications. NVIDIA was the largest position in the Fund on an absolute basis, but the Fund was underweighted on a relative basis due to position size constraints. |
| ↓ | In the consumer staples sector, an off-benchmark holding in BellRing Brands was a leading detractor. The nutrition products company reported shrinking profit margins and saw increased competition in the protein shake category. Retailer inventory adjustments and reduced full year 2025 guidance were also headwinds for the company. |
| ↓ | In the industrials sector, Axon shares fell as investors expressed concerns about near-term margin pressure from higher investment spending, even though the company continued to report strong revenue growth and solid demand from public safety agencies. |

---

Franklin Growth Opportunities Fund PAGE 1 662-ATSR-0626

------

**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 $** **10,000 INVESTMENT –** **Advisor Class** 4/30/2016 — 4/30/2026

![image](ts7486img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended April 30, 2026

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Advisor Class**  | 21.04 | 6.89 | 14.23 |
| **Russell 3000 Index**  | 31.01 | 11.91 | 14.76 |
| **Russell 3000 Growth Index**  | 30.98 | 13.23 | 17.82 |
| **S&P 500 Index**  | 31.05 | 13.14 | 15.26 |

---

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) DIAL BEN/342-5236 or visit

https://www.franklintempleton.com/investments/options/mutual-funds.

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

**KEY FUND STATISTICS** (as of April 30, 2026)

---

| | |
|:---|:---|
| **Total Net Assets** | $4394400813 |
| **Total Number of Portfolio Holdings** | 92 |
| **Total Management Fee Paid** | $24181309 |
| **Portfolio Turnover Rate** | 39.14% |

---

Franklin Growth Opportunities Fund PAGE 2 662-ATSR-0626

------

**WHAT DID THE FUND INVEST IN?** (as of April 30, 2026)

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

![image](ts7486img004.jpg)

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

† Certain categories may represent less than 0.1%.

---

| | |
|:---|:---|
| ![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) DIAL BEN/342-5236. 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.

Franklin Growth Opportunities Fund PAGE 3 662-ATSR-0626

100001172114148164341794527099226642159628896312423781410000118581340615106149482256021857221862713330227396011000011983142331659818169276932580226382344933934651536100001179213356151581528922320223672296328167315744137947.713.413.19.27.82.72.21.70.70.01.5 ------

---

| | |
|:---|:---|
| **Franklin Natural Resources Fund**  | ![image](img2199_202405220716489.jpg) |
| Class A [FRNRX] | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| April 30, 2026  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Natural Resources Fund for the period May 1, 2025, to April 30, 2026.

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) DIAL BEN/342-5236.

**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>  |
| Class A | $127 | 0.96% |

---

\* 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 April 30, 2026, Class A shares of Franklin Natural Resources Fund returned 64.73%. The Fund compares its performance to the S&P North American Natural Resources Sector Index and the S&P Global Natural Resources Index, which returned 53.73% and 49.88%, respectively, for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | Among metals producers, exceptionally strong gains for overweighted or off-benchmark positions in the diversified metals and mining industry, including rare earth development and production companies like Aclara Resources, MP Materials and Lindian Resources (purchased during the period); Copper-focused producers like Lundin Mining, ERO Copper and Antofagasta; and gold miners such as Barrick Mining and Newmont. Many of these stocks more than doubled in value as prices for copper, gold, silver, and other metals rose to all-time or multiyear highs. |
| ↑ | In the energy sector, beneficial underweighting and stock selection in the oil and gas storage and transportation industry (led by a much lighter-than-index exposure to Enbridge); overweighting and stock selection in oilfield services, where the Fund's holdings collectively increased more than 100%; and effective stock selection in integrated oil and gas, as well as oil and gas exploration and production. |
| ↑ | Triple-digit percentage gains for select off-benchmark industry allocations, including specialty chemicals (led by key contributor Albemarle); electrical components and equipment (led by T1 Energy); and heavy electrical equipment (led by GE Vernova). |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Benchmark-lagging gains for off-index positions in Linde, as well as Air Products and Chemicals, in the industrial gases industry and, to a lesser extent, Corteva and Nutrien in fertilizers and agricultural chemicals. |
| ↓ | Underweighted exposures to select oil and gas refining and marketing companies that rallied well beyond the benchmark averages, including key detractor Valero Energy. Relative returns were further pressured by underweighting's in other energy-related outliers to the upside, including uranium fuel producer Cameco and drilling contractor Baker Hughes. |
| ↓ | Negative returns in some of the Fund's single-asset, off-benchmark industry allocations, with the detractors focused on water infrastructure plays such as Badger Meter (electronic equipment and instruments industry) and Xylem (industrial machinery, supplies and components). |

---

Franklin Natural Resources Fund PAGE 1 403-ATSR-0626

------

**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 $** **10,000 INVESTMENT ($** **9,450 AFTER MAXIMUM APPLICABLE SALES CHARGE) –**

**Class A** 4/30/2016 — 4/30/2026

![image](ts7444img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended April 30, 2026

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class A**  | 64.73 | 20.21 | 8.15 |
| **Class A (with sales charge)**  | 55.67 | 18.86 | 7.54 |
| **Russell 3000 Index**  | 31.01 | 11.91 | 14.76 |
| **S&P North American Natural Resources Sector Index**  | 53.73 | 20.81 | 10.34 |
| **S&P Global Natural Resources Index**  | 49.88 | 12.01 | 10.96 |

---

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

Performance for periods prior to September 10, 2018, has been restated to reflect the current maximum sales charge, which is lower than the maximum sales charge prior to that date.

For current month-end performance, please call Franklin Templeton at (800) DIAL BEN/342-5236 or visit

https://www.franklintempleton.com/investments/options/mutual-funds.

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

**KEY FUND STATISTICS** (as of April 30, 2026)

---

| | |
|:---|:---|
| **Total Net Assets** | $538915982 |
| **Total Number of Portfolio Holdings** | 100 |
| **Total Management Fee Paid** | $1953759 |
| **Portfolio Turnover Rate** | 27.09% |

---

Franklin Natural Resources Fund PAGE 2 403-ATSR-0626

------

**WHAT DID THE FUND INVEST IN?** (as of April 30, 2026)

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

![image](ts7444img004.jpg)

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

---

| | |
|:---|:---|
| ![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) DIAL BEN/342-5236. 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.

Franklin Natural Resources Fund PAGE 3 403-ATSR-0626

945095801080193225472823911256119941348312556206841000011858134061510614948225602185722186271333022739601100001025911334103017397103991474815613180551740426756100001114713791131261045416042192711909920227188662827753.937.83.30.80.53.7 ------

---

| | |
|:---|:---|
| **Franklin Natural Resources Fund**  | ![image](img2199_202405220716489.jpg) |
| Class C [FNCRX] | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| April 30, 2026  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Natural Resources Fund for the period May 1, 2025, to April 30, 2026.

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) DIAL BEN/342-5236.

**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>  |
| Class C | $225 | 1.71% |

---

\* 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 April 30, 2026, Class C shares of Franklin Natural Resources Fund returned 63.49%. The Fund compares its performance to the S&P North American Natural Resources Sector Index and the S&P Global Natural Resources Index, which returned 53.73% and 49.88%, respectively, for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | Among metals producers, exceptionally strong gains for overweighted or off-benchmark positions in the diversified metals and mining industry, including rare earth development and production companies like Aclara Resources, MP Materials and Lindian Resources (purchased during the period); Copper-focused producers like Lundin Mining, ERO Copper and Antofagasta; and gold miners such as Barrick Mining and Newmont. Many of these stocks more than doubled in value as prices for copper, gold, silver, and other metals rose to all-time or multiyear highs. |
| ↑ | In the energy sector, beneficial underweighting and stock selection in the oil and gas storage and transportation industry (led by a much lighter-than-index exposure to Enbridge); overweighting and stock selection in oilfield services, where the Fund's holdings collectively increased more than 100%; and effective stock selection in integrated oil and gas, as well as oil and gas exploration and production. |
| ↑ | Triple-digit percentage gains for select off-benchmark industry allocations, including specialty chemicals (led by key contributor Albemarle); electrical components and equipment (led by T1 Energy); and heavy electrical equipment (led by GE Vernova). |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Benchmark-lagging gains for off-index positions in Linde, as well as Air Products and Chemicals, in the industrial gases industry and, to a lesser extent, Corteva and Nutrien in fertilizers and agricultural chemicals. |
| ↓ | Underweighted exposures to select oil and gas refining and marketing companies that rallied well beyond the benchmark averages, including key detractor Valero Energy. Relative returns were further pressured by underweighting's in other energy-related outliers to the upside, including uranium fuel producer Cameco and drilling contractor Baker Hughes. |
| ↓ | Negative returns in some of the Fund's single-asset, off-benchmark industry allocations, with the detractors focused on water infrastructure plays such as Badger Meter (electronic equipment and instruments industry) and Xylem (industrial machinery, supplies and components). |

---

Franklin Natural Resources Fund PAGE 1 503-ATSR-0626

------

**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 $** **10,000 INVESTMENT –** **Class C** 4/30/2016 — 4/30/2026

![image](ts7445img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended April 30, 2026

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class C**  | 63.49 | 19.31 | 7.34 |
| **Class C (with sales charge)**  | 62.49 | 19.31 | 7.34 |
| **Russell 3000 Index**  | 31.01 | 11.91 | 14.76 |
| **S&P North American Natural Resources Sector Index**  | 53.73 | 20.81 | 10.34 |
| **S&P Global Natural Resources Index**  | 49.88 | 12.01 | 10.96 |

---

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) DIAL BEN/342-5236 or visit

https://www.franklintempleton.com/investments/options/mutual-funds.

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

**KEY FUND STATISTICS** (as of April 30, 2026)

---

| | |
|:---|:---|
| **Total Net Assets** | $538915982 |
| **Total Number of Portfolio Holdings** | 100 |
| **Total Management Fee Paid** | $1953759 |
| **Portfolio Turnover Rate** | 27.09% |

---

Franklin Natural Resources Fund PAGE 2 503-ATSR-0626

------

**WHAT DID THE FUND INVEST IN?** (as of April 30, 2026)

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

![image](ts7445img004.jpg)

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

---

| | |
|:---|:---|
| ![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) DIAL BEN/342-5236. 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.

Franklin Natural Resources Fund PAGE 3 503-ATSR-0626

10000100631126196425620839711386120401343812419203051000011858134061510614948225602185722186271333022739601100001025911334103017397103991474815613180551740426756100001114713791131261045416042192711909920227188662827753.937.83.30.80.53.7 ------

---

| | |
|:---|:---|
| **Franklin Natural Resources Fund**  | ![image](img2199_202405220716489.jpg) |
| Class R6 [FNCSX] | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| April 30, 2026  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Natural Resources Fund for the period May 1, 2025, to April 30, 2026.

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) DIAL BEN/342-5236.

**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>  |
| Class R6 | $78 | 0.59% |

---

\* 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 April 30, 2026, Class R6 shares of Franklin Natural Resources Fund returned 65.36%. The Fund compares its performance to the S&P North American Natural Resources Sector Index and the S&P Global Natural Resources Index, which returned 53.73% and 49.88%, respectively, for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | Among metals producers, exceptionally strong gains for overweighted or off-benchmark positions in the diversified metals and mining industry, including rare earth development and production companies like Aclara Resources, MP Materials and Lindian Resources (purchased during the period); Copper-focused producers like Lundin Mining, ERO Copper and Antofagasta; and gold miners such as Barrick Mining and Newmont. Many of these stocks more than doubled in value as prices for copper, gold, silver, and other metals rose to all-time or multiyear highs. |
| ↑ | In the energy sector, beneficial underweighting and stock selection in the oil and gas storage and transportation industry (led by a much lighter-than-index exposure to Enbridge); overweighting and stock selection in oilfield services, where the Fund's holdings collectively increased more than 100%; and effective stock selection in integrated oil and gas, as well as oil and gas exploration and production. |
| ↑ | Triple-digit percentage gains for select off-benchmark industry allocations, including specialty chemicals (led by key contributor Albemarle); electrical components and equipment (led by T1 Energy); and heavy electrical equipment (led by GE Vernova). |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Benchmark-lagging gains for off-index positions in Linde, as well as Air Products and Chemicals, in the industrial gases industry and, to a lesser extent, Corteva and Nutrien in fertilizers and agricultural chemicals. |
| ↓ | Underweighted exposures to select oil and gas refining and marketing companies that rallied well beyond the benchmark averages, including key detractor Valero Energy. Relative returns were further pressured by underweighting's in other energy-related outliers to the upside, including uranium fuel producer Cameco and drilling contractor Baker Hughes. |
| ↓ | Negative returns in some of the Fund's single-asset, off-benchmark industry allocations, with the detractors focused on water infrastructure plays such as Badger Meter (electronic equipment and instruments industry) and Xylem (industrial machinery, supplies and components). |

---

Franklin Natural Resources Fund PAGE 1 803-ATSR-0626

------

**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 $** **10,000 INVESTMENT –** **Class R6** 4/30/2016 — 4/30/2026

![image](ts7446img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended April 30, 2026

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class R6**  | 65.36 | 20.70 | 8.64 |
| **Russell 3000 Index**  | 31.01 | 11.91 | 14.76 |
| **S&P North American Natural Resources Sector Index**  | 53.73 | 20.81 | 10.34 |
| **S&P Global Natural Resources Index**  | 49.88 | 12.01 | 10.96 |

---

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) DIAL BEN/342-5236 or visit

https://www.franklintempleton.com/investments/options/mutual-funds.

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

**KEY FUND STATISTICS** (as of April 30, 2026)

---

| | |
|:---|:---|
| **Total Net Assets** | $538915982 |
| **Total Number of Portfolio Holdings** | 100 |
| **Total Management Fee Paid** | $1953759 |
| **Portfolio Turnover Rate** | 27.09% |

---

Franklin Natural Resources Fund PAGE 2 803-ATSR-0626

------

**WHAT DID THE FUND INVEST IN?** (as of April 30, 2026)

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

![image](ts7446img004.jpg)

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

---

| | |
|:---|:---|
| ![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) DIAL BEN/342-5236. 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.

Franklin Natural Resources Fund PAGE 3 803-ATSR-0626

100001018911551100145906894412275131321482613854229081000011858134061510614948225602185722186271333022739601100001025911334103017397103991474815613180551740426756100001114713791131261045416042192711909920227188662827753.937.83.30.80.53.7 ------

---

| | |
|:---|:---|
| **Franklin Natural Resources Fund**  | ![image](img2199_202405220716489.jpg) |
| Advisor Class [FNRAX] | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| April 30, 2026  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Natural Resources Fund for the period May 1, 2025, to April 30, 2026.

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) DIAL BEN/342-5236.

**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 | $93 | 0.70% |

---

\* 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 April 30, 2026, Advisor Class shares of Franklin Natural Resources Fund returned 65.18%. The Fund compares its performance to the S&P North American Natural Resources Sector Index and the S&P Global Natural Resources Index, which returned 53.73% and 49.88%, respectively, for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | Among metals producers, exceptionally strong gains for overweighted or off-benchmark positions in the diversified metals and mining industry, including rare earth development and production companies like Aclara Resources, MP Materials and Lindian Resources (purchased during the period); Copper-focused producers like Lundin Mining, ERO Copper and Antofagasta; and gold miners such as Barrick Mining and Newmont. Many of these stocks more than doubled in value as prices for copper, gold, silver, and other metals rose to all-time or multiyear highs. |
| ↑ | In the energy sector, beneficial underweighting and stock selection in the oil and gas storage and transportation industry (led by a much lighter-than-index exposure to Enbridge); overweighting and stock selection in oilfield services, where the Fund's holdings collectively increased more than 100%; and effective stock selection in integrated oil and gas, as well as oil and gas exploration and production. |
| ↑ | Triple-digit percentage gains for select off-benchmark industry allocations, including specialty chemicals (led by key contributor Albemarle); electrical components and equipment (led by T1 Energy); and heavy electrical equipment (led by GE Vernova). |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Benchmark-lagging gains for off-index positions in Linde, as well as Air Products and Chemicals, in the industrial gases industry and, to a lesser extent, Corteva and Nutrien in fertilizers and agricultural chemicals. |
| ↓ | Underweighted exposures to select oil and gas refining and marketing companies that rallied well beyond the benchmark averages, including key detractor Valero Energy. Relative returns were further pressured by underweighting's in other energy-related outliers to the upside, including uranium fuel producer Cameco and drilling contractor Baker Hughes. |
| ↓ | Negative returns in some of the Fund's single-asset, off-benchmark industry allocations, with the detractors focused on water infrastructure plays such as Badger Meter (electronic equipment and instruments industry) and Xylem (industrial machinery, supplies and components). |

---

Franklin Natural Resources Fund PAGE 1 613-ATSR-0626

------

**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 $** **10,000 INVESTMENT –** **Advisor Class** 4/30/2016 — 4/30/2026

![image](ts7442img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended April 30, 2026

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Advisor Class**  | 65.18 | 20.52 | 8.42 |
| **Russell 3000 Index**  | 31.01 | 11.91 | 14.76 |
| **S&P North American Natural Resources Sector Index**  | 53.73 | 20.81 | 10.34 |
| **S&P Global Natural Resources Index**  | 49.88 | 12.01 | 10.96 |

---

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) DIAL BEN/342-5236 or visit

https://www.franklintempleton.com/investments/options/mutual-funds.

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

**KEY FUND STATISTICS** (as of April 30, 2026)

---

| | |
|:---|:---|
| **Total Net Assets** | $538915982 |
| **Total Number of Portfolio Holdings** | 100 |
| **Total Management Fee Paid** | $1953759 |
| **Portfolio Turnover Rate** | 27.09% |

---

Franklin Natural Resources Fund PAGE 2 613-ATSR-0626

------

**WHAT DID THE FUND INVEST IN?** (as of April 30, 2026)

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

![image](ts7442img004.jpg)

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

---

| | |
|:---|:---|
| ![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) DIAL BEN/342-5236. 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.

Franklin Natural Resources Fund PAGE 3 613-ATSR-0626

10000101641148999395849882912089129181456213590224471000011858134061510614948225602185722186271333022739601100001025911334103017397103991474815613180551740426756100001114713791131261045416042192711909920227188662827753.937.83.30.80.53.7 ------

---

| | |
|:---|:---|
| **Franklin Small Cap Growth Fund**  | ![image](img2199_202405220716489.jpg) |
| Class A [FSGRX] | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| April 30, 2026  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Small Cap Growth Fund for the period May 1, 2025, to April 30, 2026.

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) DIAL BEN/342-5236.

***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>  |
| Class A | $123 | 1.07% |

---

\* 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 April 30, 2026, Class A shares of Franklin Small Cap Growth Fund returned 30.13%. The Fund compares its performance to the Russell 2000 Growth Index and the S&P 500 Index, which returned 42.64% and 31.05%, respectively, for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | By sector, the largest contributor to relative returns was stock selection in the health care sector. However, the largest individual contributors all came from the information technology (IT) sector. An off-benchmark position in phototonics specialist Lumentum Holdings led relative contributors after the company reported strong fiscal second quarter 2026 financial results and upbeat forward guidance, driven by surging demand for artificial intelligence (AI) data center optics. |
| ↑ | Semiconductor manufacturer SiTime also advanced relative returns. Shares in the company, which makes precision timing chips, soared late in the period after the company posted strong revenue growth amid increased demand from AI data centers. |
| ↑ | Onto Innovation supported relative returns. The process control solutions company benefited from surging demand for advanced semiconductor packaging and metrology tools driven by AI chip growth. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Stock selection and an overweight in the consumer staples sector held back relative returns. Within the sector, an off-benchmark holding in BellRing Brands was the leading detractor. The nutrition products company reported shrinking profit margins and decreasing demand for its protein shakes. Retailer inventory adjustments and reduced full year 2025 guidance were also headwinds for the company. |
| ↓ | Within IT, a broader market pivot away from software stocks had a negative impact on shares of software development platform GitLab, despite the company's positive earnings reports. |
| ↓ | In the health care sector, relative performance was hurt by a position in health care software company Phreesia. The company reduced guidance for 2027, reporting that it is losing visibility into spending commitments from some of its clients. |

---

Franklin Small Cap Growth Fund PAGE 1 465-ATSR-0626

------

**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 $** **10,000 INVESTMENT ($** **9,450 AFTER MAXIMUM APPLICABLE SALES CHARGE) –**

**Class A** 4/30/2016 — 4/30/2026

![image](ts7463img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended April 30, 2026

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class A**  | 30.13 | 0.99 | 11.19 |
| **Class A (with sales charge)**  | 22.96 | -0.14 | 10.57 |
| **Russell 3000 Index**  | 31.01 | 11.91 | 14.76 |
| **Russell 2000 Growth Index**  | 42.64 | 4.00 | 11.19 |
| **S&P 500 Index**  | 31.05 | 13.14 | 15.26 |

---

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

Performance for periods prior to September 10, 2018, has been restated to reflect the current maximum sales charge, which is lower than the maximum sales charge prior to that date.

For current month-end performance, please call Franklin Templeton at (800) DIAL BEN/342-5236 or visit

https://www.franklintempleton.com/investments/options/mutual-funds.

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

**KEY FUND STATISTICS** (as of April 30, 2026)

---

| | |
|:---|:---|
| **Total Net Assets** | $2435287399 |
| **Total Number of Portfolio Holdings** | 129 |
| **Total Management Fee Paid** | $15084958 |
| **Portfolio Turnover Rate** | 48.01% |

---

Franklin Small Cap Growth Fund PAGE 2 465-ATSR-0626

------

**WHAT DID THE FUND INVEST IN?** (as of April 30, 2026)

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

![image](ts7463img004.jpg)

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

† Certain categories may represent less than 0.1%.

**HOW HAS THE FUND CHANGED?**

Effective December 31, 2025, Michael McCarthy no longer served as a portfolio manager of the Fund and Jacob Swartz was added as a portfolio manager of the Fund.

This is a summary of certain changes to the Fund since May 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 September 1, 2026, at https://www.franklintempleton.com/regulatory-fund-documents or upon request at (800) DIAL BEN/342-5236 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) DIAL BEN/342-5236. 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.

Franklin Small Cap Growth Fund PAGE 3 465-ATSR-0626

94501130913537157121472925986183111781121686209822730310000118581340615106149482256021857221862713330227396011000012406144661546514040237491746917596197752025328889100001179213356151581528922320223672296328167315744137924.624.023.18.07.54.92.81.60.70.30.02.5 ------

---

| | |
|:---|:---|
| **Franklin Small Cap Growth Fund**  | ![image](img2199_202405220716489.jpg) |
| Class C [FCSGX] | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| April 30, 2026  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Small Cap Growth Fund for the period May 1, 2025, to April 30, 2026.

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) DIAL BEN/342-5236.

***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>  |
| Class C | $209 | 1.82% |

---

\* 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 April 30, 2026, Class C shares of Franklin Small Cap Growth Fund returned 29.21%. The Fund compares its performance to the Russell 2000 Growth Index and the S&P 500 Index, which returned 42.64% and 31.05%, respectively, for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | By sector, the largest contributor to relative returns was stock selection in the health care sector. However, the largest individual contributors all came from the information technology (IT) sector. An off-benchmark position in phototonics specialist Lumentum Holdings led relative contributors after the company reported strong fiscal second quarter 2026 financial results and upbeat forward guidance, driven by surging demand for artificial intelligence (AI) data center optics. |
| ↑ | Semiconductor manufacturer SiTime also advanced relative returns. Shares in the company, which makes precision timing chips, soared late in the period after the company posted strong revenue growth amid increased demand from AI data centers. |
| ↑ | Onto Innovation supported relative returns. The process control solutions company benefited from surging demand for advanced semiconductor packaging and metrology tools driven by AI chip growth. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Stock selection and an overweight in the consumer staples sector held back relative returns. Within the sector, an off-benchmark holding in BellRing Brands was the leading detractor. The nutrition products company reported shrinking profit margins and decreasing demand for its protein shakes. Retailer inventory adjustments and reduced full year 2025 guidance were also headwinds for the company. |
| ↓ | Within IT, a broader market pivot away from software stocks had a negative impact on shares of software development platform GitLab, despite the company's positive earnings reports. |
| ↓ | In the health care sector, relative performance was hurt by a position in health care software company Phreesia. The company reduced guidance for 2027, reporting that it is losing visibility into spending commitments from some of its clients. |

---

Franklin Small Cap Growth Fund PAGE 1 565-ATSR-0626

------

**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 $** **10,000 INVESTMENT –** **Class C** 4/30/2016 — 4/30/2026

![image](ts7464img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended April 30, 2026

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class C**  | 29.21 | 0.26 | 10.38 |
| **Class C (with sales charge)**  | 28.21 | 0.26 | 10.38 |
| **Russell 3000 Index**  | 31.01 | 11.91 | 14.76 |
| **Russell 2000 Growth Index**  | 42.64 | 4.00 | 11.19 |
| **S&P 500 Index**  | 31.05 | 13.14 | 15.26 |

---

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) DIAL BEN/342-5236 or visit

https://www.franklintempleton.com/investments/options/mutual-funds.

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

**KEY FUND STATISTICS** (as of April 30, 2026)

---

| | |
|:---|:---|
| **Total Net Assets** | $2435287399 |
| **Total Number of Portfolio Holdings** | 129 |
| **Total Management Fee Paid** | $15084958 |
| **Portfolio Turnover Rate** | 48.01% |

---

Franklin Small Cap Growth Fund PAGE 2 565-ATSR-0626

------

**WHAT DID THE FUND INVEST IN?** (as of April 30, 2026)

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

![image](ts7464img004.jpg)

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

† Certain categories may represent less than 0.1%.

**HOW HAS THE FUND CHANGED?**

Effective December 31, 2025, Michael McCarthy no longer served as a portfolio manager of the Fund and Jacob Swartz was added as a portfolio manager of the Fund.

This is a summary of certain changes to the Fund since May 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 September 1, 2026, at https://www.franklintempleton.com/regulatory-fund-documents or upon request at (800) DIAL BEN/342-5236 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) DIAL BEN/342-5236. 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.

Franklin Small Cap Growth Fund PAGE 3 565-ATSR-0626

100001187614107162671513326503185341789621644207832685310000118581340615106149482256021857221862713330227396011000012406144661546514040237491746917596197752025328889100001179213356151581528922320223672296328167315744137924.624.023.18.07.54.92.81.60.70.30.02.5 ------

---

| | |
|:---|:---|
| **Franklin Small Cap Growth Fund**  | ![image](img2199_202405220716489.jpg) |
| Class R [FSSRX] | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| April 30, 2026  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Small Cap Growth Fund for the period May 1, 2025, to April 30, 2026.

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) DIAL BEN/342-5236.

***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>  |
| Class R | $152 | 1.32% |

---

\* 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 April 30, 2026, Class R shares of Franklin Small Cap Growth Fund returned 29.79%. The Fund compares its performance to the Russell 2000 Growth Index and the S&P 500 Index, which returned 42.64% and 31.05%, respectively, for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | By sector, the largest contributor to relative returns was stock selection in the health care sector. However, the largest individual contributors all came from the information technology (IT) sector. An off-benchmark position in phototonics specialist Lumentum Holdings led relative contributors after the company reported strong fiscal second quarter 2026 financial results and upbeat forward guidance, driven by surging demand for artificial intelligence (AI) data center optics. |
| ↑ | Semiconductor manufacturer SiTime also advanced relative returns. Shares in the company, which makes precision timing chips, soared late in the period after the company posted strong revenue growth amid increased demand from AI data centers. |
| ↑ | Onto Innovation supported relative returns. The process control solutions company benefited from surging demand for advanced semiconductor packaging and metrology tools driven by AI chip growth. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Stock selection and an overweight in the consumer staples sector held back relative returns. Within the sector, an off-benchmark holding in BellRing Brands was the leading detractor. The nutrition products company reported shrinking profit margins and decreasing demand for its protein shakes. Retailer inventory adjustments and reduced full year 2025 guidance were also headwinds for the company. |
| ↓ | Within IT, a broader market pivot away from software stocks had a negative impact on shares of software development platform GitLab, despite the company's positive earnings reports. |
| ↓ | In the health care sector, relative performance was hurt by a position in health care software company Phreesia. The company reduced guidance for 2027, reporting that it is losing visibility into spending commitments from some of its clients. |

---

Franklin Small Cap Growth Fund PAGE 1 865-ATSR-0626

------

**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 $** **10,000 INVESTMENT –** **Class R** 4/30/2016 — 4/30/2026

![image](ts7466img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended April 30, 2026

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class R**  | 29.79 | 0.74 | 10.91 |
| **Russell 3000 Index**  | 31.01 | 11.91 | 14.76 |
| **Russell 2000 Growth Index**  | 42.64 | 4.00 | 11.19 |
| **S&P 500 Index**  | 31.05 | 13.14 | 15.26 |

---

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) DIAL BEN/342-5236 or visit

https://www.franklintempleton.com/investments/options/mutual-funds.

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

**KEY FUND STATISTICS** (as of April 30, 2026)

---

| | |
|:---|:---|
| **Total Net Assets** | $2435287399 |
| **Total Number of Portfolio Holdings** | 129 |
| **Total Management Fee Paid** | $15084958 |
| **Portfolio Turnover Rate** | 48.01% |

---

Franklin Small Cap Growth Fund PAGE 2 865-ATSR-0626

------

**WHAT DID THE FUND INVEST IN?** (as of April 30, 2026)

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

![image](ts7466img004.jpg)

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

† Certain categories may represent less than 0.1%.

**HOW HAS THE FUND CHANGED?**

Effective December 31, 2025, Michael McCarthy no longer served as a portfolio manager of the Fund and Jacob Swartz was added as a portfolio manager of the Fund.

This is a summary of certain changes to the Fund since May 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 September 1, 2026, at https://www.franklintempleton.com/regulatory-fund-documents or upon request at (800) DIAL BEN/342-5236 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) DIAL BEN/342-5236. 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.

Franklin Small Cap Growth Fund PAGE 3 865-ATSR-0626

100001193614248164971543127152190861852222496217092817610000118581340615106149482256021857221862713330227396011000012406144661546514040237491746917596197752025328889100001179213356151581528922320223672296328167315744137924.624.023.18.07.54.92.81.60.70.30.02.5 ------

---

| | |
|:---|:---|
| **Franklin Small Cap Growth Fund**  | ![image](img2199_202405220716489.jpg) |
| Class R6 [FSMLX] | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| April 30, 2026  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Small Cap Growth Fund for the period May 1, 2025, to April 30, 2026.

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) DIAL BEN/342-5236.

***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>  |
| Class R6 | $76 | 0.66% |

---

\* 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 April 30, 2026, Class R6 shares of Franklin Small Cap Growth Fund returned 30.66%. The Fund compares its performance to the Russell 2000 Growth Index and the S&P 500 Index, which returned 42.64% and 31.05%, respectively, for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | By sector, the largest contributor to relative returns was stock selection in the health care sector. However, the largest individual contributors all came from the information technology (IT) sector. An off-benchmark position in phototonics specialist Lumentum Holdings led relative contributors after the company reported strong fiscal second quarter 2026 financial results and upbeat forward guidance, driven by surging demand for artificial intelligence (AI) data center optics. |
| ↑ | Semiconductor manufacturer SiTime also advanced relative returns. Shares in the company, which makes precision timing chips, soared late in the period after the company posted strong revenue growth amid increased demand from AI data centers. |
| ↑ | Onto Innovation supported relative returns. The process control solutions company benefited from surging demand for advanced semiconductor packaging and metrology tools driven by AI chip growth. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Stock selection and an overweight in the consumer staples sector held back relative returns. Within the sector, an off-benchmark holding in BellRing Brands was the leading detractor. The nutrition products company reported shrinking profit margins and decreasing demand for its protein shakes. Retailer inventory adjustments and reduced full year 2025 guidance were also headwinds for the company. |
| ↓ | Within IT, a broader market pivot away from software stocks had a negative impact on shares of software development platform GitLab, despite the company's positive earnings reports. |
| ↓ | In the health care sector, relative performance was hurt by a position in health care software company Phreesia. The company reduced guidance for 2027, reporting that it is losing visibility into spending commitments from some of its clients. |

---

Franklin Small Cap Growth Fund PAGE 1 335-ATSR-0626

------

**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 $** **10,000 INVESTMENT –** **Class R6** 4/30/2016 — 4/30/2026

![image](ts7462img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended April 30, 2026

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class R6**  | 30.66 | 1.40 | 11.65 |
| **Russell 3000 Index**  | 31.01 | 11.91 | 14.76 |
| **Russell 2000 Growth Index**  | 42.64 | 4.00 | 11.19 |
| **S&P 500 Index**  | 31.05 | 13.14 | 15.26 |

---

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) DIAL BEN/342-5236 or visit

https://www.franklintempleton.com/investments/options/mutual-funds.

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

**KEY FUND STATISTICS** (as of April 30, 2026)

---

| | |
|:---|:---|
| **Total Net Assets** | $2435287399 |
| **Total Number of Portfolio Holdings** | 129 |
| **Total Management Fee Paid** | $15084958 |
| **Portfolio Turnover Rate** | 48.01% |

---

Franklin Small Cap Growth Fund PAGE 2 335-ATSR-0626

------

**WHAT DID THE FUND INVEST IN?** (as of April 30, 2026)

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

![image](ts7462img004.jpg)

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

† Certain categories may represent less than 0.1%.

**HOW HAS THE FUND CHANGED?**

Effective December 31, 2025, Michael McCarthy no longer served as a portfolio manager of the Fund and Jacob Swartz was added as a portfolio manager of the Fund.

This is a summary of certain changes to the Fund since May 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 September 1, 2026, at https://www.franklintempleton.com/regulatory-fund-documents or upon request at (800) DIAL BEN/342-5236 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) DIAL BEN/342-5236. 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.

Franklin Small Cap Growth Fund PAGE 3 335-ATSR-0626

100001202114453168371585028076198621940723721230383010110000118581340615106149482256021857221862713330227396011000012406144661546514040237491746917596197752025328889100001179213356151581528922320223672296328167315744137924.624.023.18.07.54.92.81.60.70.30.02.5 ------

---

| | |
|:---|:---|
| **Franklin Small Cap Growth Fund**  | ![image](img2199_202405220716489.jpg) |
| Advisor Class [FSSAX] | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| April 30, 2026  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Small Cap Growth Fund for the period May 1, 2025, to April 30, 2026.

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) DIAL BEN/342-5236.

***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 | $95 | 0.82% |

---

\* 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 April 30, 2026, Advisor Class shares of Franklin Small Cap Growth Fund returned 30.50%. The Fund compares its performance to the Russell 2000 Growth Index and the S&P 500 Index, which returned 42.64% and 31.05%, respectively, for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | By sector, the largest contributor to relative returns was stock selection in the health care sector. However, the largest individual contributors all came from the information technology (IT) sector. An off-benchmark position in phototonics specialist Lumentum Holdings led relative contributors after the company reported strong fiscal second quarter 2026 financial results and upbeat forward guidance, driven by surging demand for artificial intelligence (AI) data center optics. |
| ↑ | Semiconductor manufacturer SiTime also advanced relative returns. Shares in the company, which makes precision timing chips, soared late in the period after the company posted strong revenue growth amid increased demand from AI data centers. |
| ↑ | Onto Innovation supported relative returns. The process control solutions company benefited from surging demand for advanced semiconductor packaging and metrology tools driven by AI chip growth. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Stock selection and an overweight in the consumer staples sector held back relative returns. Within the sector, an off-benchmark holding in BellRing Brands was the leading detractor. The nutrition products company reported shrinking profit margins and decreasing demand for its protein shakes. Retailer inventory adjustments and reduced full year 2025 guidance were also headwinds for the company. |
| ↓ | Within IT, a broader market pivot away from software stocks had a negative impact on shares of software development platform GitLab, despite the company's positive earnings reports. |
| ↓ | In the health care sector, relative performance was hurt by a position in health care software company Phreesia. The company reduced guidance for 2027, reporting that it is losing visibility into spending commitments from some of its clients. |

---

Franklin Small Cap Growth Fund PAGE 1 665-ATSR-0626

------

**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 $** **10,000 INVESTMENT –** **Advisor Class** 4/30/2016 — 4/30/2026

![image](ts7465img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended April 30, 2026

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Advisor Class**  | 30.50 | 1.25 | 11.47 |
| **Russell 3000 Index**  | 31.01 | 11.91 | 14.76 |
| **Russell 2000 Growth Index**  | 42.64 | 4.00 | 11.19 |
| **S&P 500 Index**  | 31.05 | 13.14 | 15.26 |

---

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) DIAL BEN/342-5236 or visit

https://www.franklintempleton.com/investments/options/mutual-funds.

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

**KEY FUND STATISTICS** (as of April 30, 2026)

---

| | |
|:---|:---|
| **Total Net Assets** | $2435287399 |
| **Total Number of Portfolio Holdings** | 129 |
| **Total Management Fee Paid** | $15084958 |
| **Portfolio Turnover Rate** | 48.01% |

---

Franklin Small Cap Growth Fund PAGE 2 665-ATSR-0626

------

**WHAT DID THE FUND INVEST IN?** (as of April 30, 2026)

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

![image](ts7465img004.jpg)

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

† Certain categories may represent less than 0.1%.

**HOW HAS THE FUND CHANGED?**

Effective December 31, 2025, Michael McCarthy no longer served as a portfolio manager of the Fund and Jacob Swartz was added as a portfolio manager of the Fund.

This is a summary of certain changes to the Fund since May 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 September 1, 2026, at https://www.franklintempleton.com/regulatory-fund-documents or upon request at (800) DIAL BEN/342-5236 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) DIAL BEN/342-5236. 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.

Franklin Small Cap Growth Fund PAGE 3 665-ATSR-0626

100001200014397167431574027838196691917723416227012962510000118581340615106149482256021857221862713330227396011000012406144661546514040237491746917596197752025328889100001179213356151581528922320223672296328167315744137924.624.023.18.07.54.92.81.60.70.30.02.5 ------

---

| | |
|:---|:---|
| **Franklin Small-Mid Cap Growth Fund**  | ![image](img2199_202405220716489.jpg) |
| Class A [FRSGX] | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| April 30, 2026  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Small-Mid Cap Growth Fund for the period May 1, 2025, to April 30, 2026.

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) DIAL BEN/342-5236.

***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>  |
| Class A | $90 | 0.84% |

---

\* 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 April 30, 2026, Class A shares of Franklin Small-Mid Cap Growth Fund returned 14.38%. The Fund compares its performance to the Russell Midcap Growth Index and the S&P 500 Index, which returned 12.86% and 31.05%, respectively, for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | The Fund was helped most by stock selection in the information technology (IT) sector, where an off-benchmark holding in Arteris was a leading relative contributor. The company, which develops network-on-chip (NoC) technology, has been a beneficiary of the artificial intelligence (AI) chip boom, and has seen strong adoption of its Smart NoC product. |
| ↑ | Also in IT, Lattice Semiconductor lifted relative returns. The chipmaker reported solid fourth-quarter 2025 financial results and issued strong forward guidance, highlighting accelerating growth in AI and data-center applications. |
| ↑ | In the industrials sector, nuclear power components supplier BWX Technologies was a contributor. Shares in the company traded higher on the back of strong operational momentum and major national security contracts. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Stock selection in the industrials sector weighed on relative returns over the period. Within the sector, data analytics and risk assessment firm, Verisk, was a leading detractor as investors worried that generative AI tools could weaken traditional data and analytics businesses. |
| ↓ | In financials, alternative asset manager Blue Owl Capital hampered relative returns. The company put a cap on withdrawals after investors tried to pull over $5 billion from two key funds, amid concerns about unregulated private lending markets. |
| ↓ | In the consumer staples sector, an off-benchmark holding in BellRing Brands was the leading detractor. The nutrition products company reported shrinking profit margins and decreasing demand for its protein shakes. Retailer inventory adjustments and reduced full year 2025 guidance were also headwinds for the company. |

---

Franklin Small-Mid Cap Growth Fund PAGE 1 198-ATSR-0626

------

**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 $** **10,000 INVESTMENT ($** **9,450 AFTER MAXIMUM APPLICABLE SALES CHARGE) –**

**Class A** 4/30/2016 — 4/30/2026

![image](ts7453img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended April 30, 2026

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class A**  | 14.38 | 0.50 | 10.62 |
| **Class A (with sales charge)**  | 8.08 | -0.63 | 9.99 |
| **Russell 3000 Index**  | 31.01 | 11.91 | 14.76 |
| **Russell Midcap Growth Index**  | 12.86 | 5.54 | 12.40 |
| **S&P 500 Index**  | 31.05 | 13.14 | 15.26 |

---

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

Performance for periods prior to September 10, 2018, has been restated to reflect the current maximum sales charge, which is lower than the maximum sales charge prior to that date.

For current month-end performance, please call Franklin Templeton at (800) DIAL BEN/342-5236 or visit

https://www.franklintempleton.com/investments/options/mutual-funds.

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

**KEY FUND STATISTICS** (as of April 30, 2026)

---

| | |
|:---|:---|
| **Total Net Assets** | $3532752879 |
| **Total Number of Portfolio Holdings** | 87 |
| **Total Management Fee Paid** | $16900774 |
| **Portfolio Turnover Rate** | 32.96% |

---

Franklin Small-Mid Cap Growth Fund PAGE 2 198-ATSR-0626

------

**WHAT DID THE FUND INVEST IN?** (as of April 30, 2026)

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

![image](ts7453img004.jpg)

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

**HOW HAS THE FUND CHANGED?**

Effective December 31, 2025, Michael McCarthy no longer served as a portfolio manager of the Fund.

This is a summary of certain changes to the Fund since May 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 September 1, 2026, at https://www.franklintempleton.com/regulatory-fund-documents or upon request at (800) DIAL BEN/342-5236 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) DIAL BEN/342-5236. 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.

Franklin Small-Mid Cap Growth Fund PAGE 3 198-ATSR-0626

94501086812420145851501825284195111871722158226622592110000118581340615106149482256021857221862713330227396011000011583135371592515961245762046420791250942852032187100001179213356151581528922320223672296328167315744137926.119.718.812.29.23.73.42.11.80.92.1 ------

---

| | |
|:---|:---|
| **Franklin Small-Mid Cap Growth Fund**  | ![image](img2199_202405220716489.jpg) |
| Class C [FRSIX] | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| April 30, 2026  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Small-Mid Cap Growth Fund for the period May 1, 2025, to April 30, 2026.

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) DIAL BEN/342-5236.

***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>  |
| Class C | $170 | 1.59% |

---

\* 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 April 30, 2026, Class C shares of Franklin Small-Mid Cap Growth Fund returned 13.55%. The Fund compares its performance to the Russell Midcap Growth Index and the S&P 500 Index, which returned 12.86% and 31.05%, respectively, for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | The Fund was helped most by stock selection in the information technology (IT) sector, where an off-benchmark holding in Arteris was a leading relative contributor. The company, which develops network-on-chip (NoC) technology, has been a beneficiary of the artificial intelligence (AI) chip boom, and has seen strong adoption of its Smart NoC product. |
| ↑ | Also in IT, Lattice Semiconductor lifted relative returns. The chipmaker reported solid fourth-quarter 2025 financial results and issued strong forward guidance, highlighting accelerating growth in AI and data-center applications. |
| ↑ | In the industrials sector, nuclear power components supplier BWX Technologies was a contributor. Shares in the company traded higher on the back of strong operational momentum and major national security contracts. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Stock selection in the industrials sector weighed on relative returns over the period. Within the sector, data analytics and risk assessment firm, Verisk, was a leading detractor as investors worried that generative AI tools could weaken traditional data and analytics businesses. |
| ↓ | In financials, alternative asset manager Blue Owl Capital hampered relative returns. The company put a cap on withdrawals after investors tried to pull over $5 billion from two key funds, amid concerns about unregulated private lending markets. |
| ↓ | In the consumer staples sector, an off-benchmark holding in BellRing Brands was the leading detractor. The nutrition products company reported shrinking profit margins and decreasing demand for its protein shakes. Retailer inventory adjustments and reduced full year 2025 guidance were also headwinds for the company. |

---

Franklin Small-Mid Cap Growth Fund PAGE 1 298-ATSR-0626

------

**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 $** **10,000 INVESTMENT –** **Class C** 4/30/2016 — 4/30/2026

![image](ts7454img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended April 30, 2026

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class C**  | 13.55 | -0.25 | 9.79 |
| **Class C (with sales charge)**  | 12.60 | -0.25 | 9.79 |
| **Russell 3000 Index**  | 31.01 | 11.91 | 14.76 |
| **Russell Midcap Growth Index**  | 12.86 | 5.54 | 12.40 |
| **S&P 500 Index**  | 31.05 | 13.14 | 15.26 |

---

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) DIAL BEN/342-5236 or visit

https://www.franklintempleton.com/investments/options/mutual-funds.

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

**KEY FUND STATISTICS** (as of April 30, 2026)

---

| | |
|:---|:---|
| **Total Net Assets** | $3532752879 |
| **Total Number of Portfolio Holdings** | 87 |
| **Total Management Fee Paid** | $16900774 |
| **Portfolio Turnover Rate** | 32.96% |

---

Franklin Small-Mid Cap Growth Fund PAGE 2 298-ATSR-0626

------

**WHAT DID THE FUND INVEST IN?** (as of April 30, 2026)

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

![image](ts7454img004.jpg)

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

**HOW HAS THE FUND CHANGED?**

Effective December 31, 2025, Michael McCarthy no longer served as a portfolio manager of the Fund.

This is a summary of certain changes to the Fund since May 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 September 1, 2026, at https://www.franklintempleton.com/regulatory-fund-documents or upon request at (800) DIAL BEN/342-5236 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) DIAL BEN/342-5236. 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.

Franklin Small-Mid Cap Growth Fund PAGE 3 298-ATSR-0626

100001141512944151031542625778197381879822083224182545510000118581340615106149482256021857221862713330227396011000011583135371592515961245762046420791250942852032187100001179213356151581528922320223672296328167315744137926.119.718.812.29.23.73.42.11.80.92.1 ------

---

| | |
|:---|:---|
| **Franklin Small-Mid Cap Growth Fund**  | ![image](img2199_202405220716489.jpg) |
| Class R [FSMRX] | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| April 30, 2026  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Small-Mid Cap Growth Fund for the period May 1, 2025, to April 30, 2026.

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) DIAL BEN/342-5236.

***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>  |
| Class R | $117 | 1.09% |

---

\* 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 April 30, 2026, Class R shares of Franklin Small-Mid Cap Growth Fund returned 14.07%. The Fund compares its performance to the Russell Midcap Growth Index and the S&P 500 Index, which returned 12.86% and 31.05%, respectively, for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | The Fund was helped most by stock selection in the information technology (IT) sector, where an off-benchmark holding in Arteris was a leading relative contributor. The company, which develops network-on-chip (NoC) technology, has been a beneficiary of the artificial intelligence (AI) chip boom, and has seen strong adoption of its Smart NoC product. |
| ↑ | Also in IT, Lattice Semiconductor lifted relative returns. The chipmaker reported solid fourth-quarter 2025 financial results and issued strong forward guidance, highlighting accelerating growth in AI and data-center applications. |
| ↑ | In the industrials sector, nuclear power components supplier BWX Technologies was a contributor. Shares in the company traded higher on the back of strong operational momentum and major national security contracts. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Stock selection in the industrials sector weighed on relative returns over the period. Within the sector, data analytics and risk assessment firm, Verisk, was a leading detractor as investors worried that generative AI tools could weaken traditional data and analytics businesses. |
| ↓ | In financials, alternative asset manager Blue Owl Capital hampered relative returns. The company put a cap on withdrawals after investors tried to pull over $5 billion from two key funds, amid concerns about unregulated private lending markets. |
| ↓ | In the consumer staples sector, an off-benchmark holding in BellRing Brands was the leading detractor. The nutrition products company reported shrinking profit margins and decreasing demand for its protein shakes. Retailer inventory adjustments and reduced full year 2025 guidance were also headwinds for the company. |

---

Franklin Small-Mid Cap Growth Fund PAGE 1 898-ATSR-0626

------

**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 $** **10,000 INVESTMENT –** **Class R** 4/30/2016 — 4/30/2026

![image](ts7461img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended April 30, 2026

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class R**  | 14.07 | 0.26 | 10.35 |
| **Russell 3000 Index**  | 31.01 | 11.91 | 14.76 |
| **Russell Midcap Growth Index**  | 12.86 | 5.54 | 12.40 |
| **S&P 500 Index**  | 31.05 | 13.14 | 15.26 |

---

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) DIAL BEN/342-5236 or visit

https://www.franklintempleton.com/investments/options/mutual-funds.

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

**KEY FUND STATISTICS** (as of April 30, 2026)

---

| | |
|:---|:---|
| **Total Net Assets** | $3532752879 |
| **Total Number of Portfolio Holdings** | 87 |
| **Total Management Fee Paid** | $16900774 |
| **Portfolio Turnover Rate** | 32.96% |

---

Franklin Small-Mid Cap Growth Fund PAGE 2 898-ATSR-0626

------

**WHAT DID THE FUND INVEST IN?** (as of April 30, 2026)

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

![image](ts7461img004.jpg)

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

**HOW HAS THE FUND CHANGED?**

Effective December 31, 2025, Michael McCarthy no longer served as a portfolio manager of the Fund.

This is a summary of certain changes to the Fund since May 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 September 1, 2026, at https://www.franklintempleton.com/regulatory-fund-documents or upon request at (800) DIAL BEN/342-5236 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) DIAL BEN/342-5236. 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.

Franklin Small-Mid Cap Growth Fund PAGE 3 898-ATSR-0626

100001147013077153221573426428203501947522999234672677010000118581340615106149482256021857221862713330227396011000011583135371592515961245762046420791250942852032187100001179213356151581528922320223672296328167315744137926.119.718.812.29.23.73.42.11.80.92.1 ------

---

| | |
|:---|:---|
| **Franklin Small-Mid Cap Growth Fund**  | ![image](img2199_202405220716489.jpg) |
| Class R6 [FMGGX] | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| April 30, 2026  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Small-Mid Cap Growth Fund for the period May 1, 2025, to April 30, 2026.

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) DIAL BEN/342-5236.

***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>  |
| Class R6 | $54 | 0.50% |

---

\* 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 April 30, 2026, Class R6 shares of Franklin Small-Mid Cap Growth Fund returned 14.79%. The Fund compares its performance to the Russell Midcap Growth Index and the S&P 500 Index, which returned 12.86% and 31.05%, respectively, for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | The Fund was helped most by stock selection in the information technology (IT) sector, where an off-benchmark holding in Arteris was a leading relative contributor. The company, which develops network-on-chip (NoC) technology, has been a beneficiary of the artificial intelligence (AI) chip boom, and has seen strong adoption of its Smart NoC product. |
| ↑ | Also in IT, Lattice Semiconductor lifted relative returns. The chipmaker reported solid fourth-quarter 2025 financial results and issued strong forward guidance, highlighting accelerating growth in AI and data-center applications. |
| ↑ | In the industrials sector, nuclear power components supplier BWX Technologies was a contributor. Shares in the company traded higher on the back of strong operational momentum and major national security contracts. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Stock selection in the industrials sector weighed on relative returns over the period. Within the sector, data analytics and risk assessment firm, Verisk, was a leading detractor as investors worried that generative AI tools could weaken traditional data and analytics businesses. |
| ↓ | In financials, alternative asset manager Blue Owl Capital hampered relative returns. The company put a cap on withdrawals after investors tried to pull over $5 billion from two key funds, amid concerns about unregulated private lending markets. |
| ↓ | In the consumer staples sector, an off-benchmark holding in BellRing Brands was the leading detractor. The nutrition products company reported shrinking profit margins and decreasing demand for its protein shakes. Retailer inventory adjustments and reduced full year 2025 guidance were also headwinds for the company. |

---

Franklin Small-Mid Cap Growth Fund PAGE 1 318-ATSR-0626

------

**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 $** **10,000 INVESTMENT –** **Class R6** 4/30/2016 — 4/30/2026

![image](ts7455img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended April 30, 2026

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class R6**  | 14.79 | 0.86 | 11.05 |
| **Russell 3000 Index**  | 31.01 | 11.91 | 14.76 |
| **Russell Midcap Growth Index**  | 12.86 | 5.54 | 12.40 |
| **S&P 500 Index**  | 31.05 | 13.14 | 15.26 |

---

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) DIAL BEN/342-5236 or visit

https://www.franklintempleton.com/investments/options/mutual-funds.

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

**KEY FUND STATISTICS** (as of April 30, 2026)

---

| | |
|:---|:---|
| **Total Net Assets** | $3532752879 |
| **Total Number of Portfolio Holdings** | 87 |
| **Total Management Fee Paid** | $16900774 |
| **Portfolio Turnover Rate** | 32.96% |

---

Franklin Small-Mid Cap Growth Fund PAGE 2 318-ATSR-0626

------

**WHAT DID THE FUND INVEST IN?** (as of April 30, 2026)

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

![image](ts7455img004.jpg)

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

**HOW HAS THE FUND CHANGED?**

Effective December 31, 2025, Michael McCarthy no longer served as a portfolio manager of the Fund.

This is a summary of certain changes to the Fund since May 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 September 1, 2026, at https://www.franklintempleton.com/regulatory-fund-documents or upon request at (800) DIAL BEN/342-5236 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) DIAL BEN/342-5236. 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.

Franklin Small-Mid Cap Growth Fund PAGE 3 318-ATSR-0626

100001155113273156381617027320211552037324208248402851310000118581340615106149482256021857221862713330227396011000011583135371592515961245762046420791250942852032187100001179213356151581528922320223672296328167315744137926.119.718.812.29.23.73.42.11.80.92.1 ------

---

| | |
|:---|:---|
| **Franklin Small-Mid Cap Growth Fund**  | ![image](img2199_202405220716489.jpg) |
| Advisor Class [FSGAX] | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| April 30, 2026  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Small-Mid Cap Growth Fund for the period May 1, 2025, to April 30, 2026.

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) DIAL BEN/342-5236.

***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 | $63 | 0.59% |

---

\* 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 April 30, 2026, Advisor Class shares of Franklin Small-Mid Cap Growth Fund returned 14.69%. The Fund compares its performance to the Russell Midcap Growth Index and the S&P 500 Index, which returned 12.86% and 31.05%, respectively, for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | The Fund was helped most by stock selection in the information technology (IT) sector, where an off-benchmark holding in Arteris was a leading relative contributor. The company, which develops network-on-chip (NoC) technology, has been a beneficiary of the artificial intelligence (AI) chip boom, and has seen strong adoption of its Smart NoC product. |
| ↑ | Also in IT, Lattice Semiconductor lifted relative returns. The chipmaker reported solid fourth-quarter 2025 financial results and issued strong forward guidance, highlighting accelerating growth in AI and data-center applications. |
| ↑ | In the industrials sector, nuclear power components supplier BWX Technologies was a contributor. Shares in the company traded higher on the back of strong operational momentum and major national security contracts. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Stock selection in the industrials sector weighed on relative returns over the period. Within the sector, data analytics and risk assessment firm, Verisk, was a leading detractor as investors worried that generative AI tools could weaken traditional data and analytics businesses. |
| ↓ | In financials, alternative asset manager Blue Owl Capital hampered relative returns. The company put a cap on withdrawals after investors tried to pull over $5 billion from two key funds, amid concerns about unregulated private lending markets. |
| ↓ | In the consumer staples sector, an off-benchmark holding in BellRing Brands was the leading detractor. The nutrition products company reported shrinking profit margins and decreasing demand for its protein shakes. Retailer inventory adjustments and reduced full year 2025 guidance were also headwinds for the company. |

---

Franklin Small-Mid Cap Growth Fund PAGE 1 698-ATSR-0626

------

**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 $** **10,000 INVESTMENT –** **Advisor Class** 4/30/2016 — 4/30/2026

![image](ts7460img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended April 30, 2026

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Advisor Class**  | 14.69 | 0.75 | 10.89 |
| **Russell 3000 Index**  | 31.01 | 11.91 | 14.76 |
| **Russell Midcap Growth Index**  | 12.86 | 5.54 | 12.40 |
| **S&P 500 Index**  | 31.05 | 13.14 | 15.26 |

---

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) DIAL BEN/342-5236 or visit

https://www.franklintempleton.com/investments/options/mutual-funds.

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

**KEY FUND STATISTICS** (as of April 30, 2026)

---

| | |
|:---|:---|
| **Total Net Assets** | $3532752879 |
| **Total Number of Portfolio Holdings** | 87 |
| **Total Management Fee Paid** | $16900774 |
| **Portfolio Turnover Rate** | 32.96% |

---

Franklin Small-Mid Cap Growth Fund PAGE 2 698-ATSR-0626

------

**WHAT DID THE FUND INVEST IN?** (as of April 30, 2026)

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

![image](ts7460img004.jpg)

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

**HOW HAS THE FUND CHANGED?**

Effective December 31, 2025, Michael McCarthy no longer served as a portfolio manager of the Fund.

This is a summary of certain changes to the Fund since May 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 September 1, 2026, at https://www.franklintempleton.com/regulatory-fund-documents or upon request at (800) DIAL BEN/342-5236 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) DIAL BEN/342-5236. 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.

Franklin Small-Mid Cap Growth Fund PAGE 3 698-ATSR-0626

100001152813208155421604927085209502015123916245182811910000118581340615106149482256021857221862713330227396011000011583135371592515961245762046420791250942852032187100001179213356151581528922320223672296328167315744137926.119.718.812.29.23.73.42.11.80.92.1 ------

&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 Mary C. Choksi, possesses the technical attributes identified in Item 3 to Form N-CSR to qualify as an "audit committee financial expert," and has designated Mary C. Choksi as the Audit Committee's financial expert. Mary C. Choksi is an "independent" Trustee 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 April 30, 2025 and April 30, 2026 (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 $433,006 in April 30, 2025 and $473,742 in April 30, 2026.

&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 April 30, 2025 and $0 in April 30, 2026.

&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 $60,750 in April 30, 2025 and $60,750 in April 30, 2026. 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 April 30, 2025 and $0 in April 30, 2026.

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;(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;(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;(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;(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 $377,023 in April 30, 2025 and $1,690,011 in April 30, 2026.

&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 HIGHLIGHTS FOR OPEN-END MANAGEMENT INVESTMENT COMPANIES.

#### Franklin

#### Strategic

#### Series

#### Financial

#### Statements

#### and

#### Other

#### Important

#### Information

#### Annual
\|

April

30,

2026

#### Franklin

#### Biotechnology

#### Discovery

#### Fund

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund

#### Franklin

#### Growth

#### Opportunities

#### Fund

#### Franklin

#### Natural

#### Resources

#### Fund

#### Franklin

#### Small

#### Cap

#### Growth

#### Fund

#### Franklin

#### Small-Mid

#### Cap

#### Growth

#### Fund

#### If

#### you

#### need

#### assistance

#### accessing

#### this

#### content,

#### please

#### reach

#### out

#### to

#### your

#### sales

#### representative

#### or

#### send

#### an

#### email

#### to

#### accessibility@franklintempleton.com

#### .

#### Table

#### of

#### Contents
franklintempleton.com

Financial

Statements

and

Other

Important

Information—Annual

Financial

Highlights

and

Schedules

of

Investments

#### 2
Financial

Statements

#### 109
Notes

to

Financial

Statements

#### 119
Report

of

Independent

Registered

Public

Accounting

Firm

#### 159
Tax

Information

#### 160
Changes

In

and

Disagreements

with

Accountants

#### 161
Results

of

Meeting(s)

of

Shareholders

Remuneration

Paid

to

Directors,

Officers

and

Others

Board

Approval

of

Management

and

Subadvisory

Agreements

Franklin

Strategic

Series

Financial

Highlights

#### Franklin

#### Biotechnology

#### Discovery

#### Fund
franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

#### Year

#### Ended

#### April

#### 30,

#### 2026

#### 2025

#### 2024

#### 2023

#### 2022

#### Class

#### A

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

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

$116.24

$132.38

$112.50

$101.90

$163.50

Income

from

investment

operations

a

:

Net

investment

(loss)

b

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

(0.67)

(0.44)

(0.48)

(0.47)

(0.75)

Net

realized

and

unrealized

gains

(losses)

...........

75.98 (3.94)

20.36 11.21 (43.17)

Total

from

investment

operations

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

75.31 (4.38)

19.88 10.74 (43.92)

Less

distributions

from:

Net

investment

income

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

(3.50)

—

—

(0.14)

(1.01)

Net

realized

gains

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

(14.42)

(11.76)

—

—

(16.67)

Total

distributions

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

(17.92)

(11.76)

—

(0.14)

(17.68)

Net

asset

value,

end

of

year

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

$173.63

$116.24

$132.38

$112.50

$101.90

Total

return

c

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

65.28%

(3.64)%

17.67%

10.58%

(28.56)%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

1.02%

1.02%

1.05%

1.06%

1.04%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

1.01%

1.01%

1.04%

d

1.06%

e

1.04%

d,e

Net

investment

(loss)

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

(0.45)%

(0.33)%

(0.41)%

(0.45)%

(0.54)%

#### Supplemental

#### data
Net

assets

,

end

of

year

(000's)

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

$861,886

$588,965

$705,301

$686,534

$705,915

Portfolio

turnover

rate

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

37.62%

21.87%

35.87%

24.08%

26.25%

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

Total

return

does

not

reflect

sales

commissions

or

contingent

deferred

sales

charges,

if

applicable.

d

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

e

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

Franklin

Strategic

Series

Financial

Highlights

#### Franklin

#### Biotechnology

#### Discovery

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

#### Year

#### Ended

#### April

#### 30,

#### 2026

#### 2025

#### 2024

#### 2023

#### 2022

#### Class

#### C

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

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

$104.63

$121.21

$103.78

$94.59

$152.95

Income

from

investment

operations

a

:

Net

investment

(loss)

b

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

(1.60)

(1.31)

(1.26)

(1.16)

(1.51)

Net

realized

and

unrealized

gains

(losses)

...........

68.13 (3.51)

18.69 10.35 (40.18)

Total

from

investment

operations

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

66.53 (4.82)

17.43 9.19 (41.69)

Less

distributions

from:

Net

investment

income

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

(2.61)

—

—

—

—

Net

realized

gains

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

(14.42)

(11.76)

—

—

(16.67)

Total

distributions

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

(17.03)

(11.76)

—

—

(16.67)

Net

asset

value,

end

of

year

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

$154.13

$104.63

$121.21

$103.78

$94.59

Total

return

c

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

64.06%

(4.36)%

16.80%

9.75%

(29.00)%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

1.77%

1.77%

1.80%

1.81%

1.66%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

1.76%

1.76%

1.79%

d

1.81%

e

1.66%

d,e

Net

investment

(loss)

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

(1.20)%

(1.07)%

(1.16)%

(1.20)%

(1.16)%

#### Supplemental

#### data
Net

assets

,

end

of

year

(000's)

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

$22,572

$17,197

$27,332

$29,573

$33,905

Portfolio

turnover

rate

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

37.62%

21.87%

35.87%

24.08%

26.25%

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

Total

return

does

not

reflect

sales

commissions

or

contingent

deferred

sales

charges,

if

applicable.

d

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

e

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

Franklin

Strategic

Series

Financial

Highlights

#### Franklin

#### Biotechnology

#### Discovery

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

#### Year

#### Ended

#### April

#### 30,

#### 2026

#### 2025

#### 2024

#### 2023

#### 2022

#### Class

#### R6

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

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

$124.93

$140.93

$119.33

$108.06

$172.21

Income

from

investment

operations

a

:

Net

investment

income

(loss)

b

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

(0.18)

0.04 (0.06)

(0.08)

(0.23)

Net

realized

and

unrealized

gains

(losses)

...........

81.85 (4.28)

21.66 11.94 (45.64)

Total

from

investment

operations

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

81.67 (4.24)

21.60 11.86 (45.87)

Less

distributions

from:

Net

investment

income

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

(3.98)

—

—

(0.59)

(1.61)

Net

realized

gains

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

(14.42)

(11.76)

—

—

(16.67)

Total

distributions

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

(18.40)

(11.76)

—

(0.59)

(18.28)

Net

asset

value,

end

of

year

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

$188.20

$124.93

$140.93

$119.33

$108.06

Total

return

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

65.86%

(3.31)%

18.10%

11.03%

(28.29)%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

0.78%

0.76%

0.76%

0.80%

0.74%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

0.67%

0.66%

0.68%

c

0.65%

0.66%

c

Net

investment

income

(loss)

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

(0.11)%

0.03%

(0.05)%

(0.08)%

(0.16)%

#### Supplemental

#### data
Net

assets

,

end

of

year

(000's)

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

$13,158

$6,758

$10,333

$11,692

$9,614

Portfolio

turnover

rate

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

37.62%

21.87%

35.87%

24.08%

26.25%

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

expense

reduction

rounds

to

less

than

0.01%.

Franklin

Strategic

Series

Financial

Highlights

#### Franklin

#### Biotechnology

#### Discovery

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

#### Year

#### Ended

#### April

#### 30,

#### 2026

#### 2025

#### 2024

#### 2023

#### 2022

#### Advisor

#### Class

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

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

$122.62

$138.67

$117.54

$106.46

$169.95

Income

from

investment

operations

a

:

Net

investment

(loss)

b

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

(0.31)

(0.09)

(0.19)

(0.22)

(0.42)

Net

realized

and

unrealized

gains

(losses)

...........

80.26 (4.20)

21.32 11.72 (44.99)

Total

from

investment

operations

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

79.95 (4.29)

21.13 11.50 (45.41)

Less

distributions

from:

Net

investment

income

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

(3.81)

—

—

(0.42)

(1.41)

Net

realized

gains

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

(14.42)

(11.76)

—

—

(16.67)

Total

distributions

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

(18.23)

(11.76)

—

(0.42)

(18.08)

Net

asset

value,

end

of

year

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

$184.34

$122.62

$138.67

$117.54

$106.46

Total

return

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

65.70%

(3.41)%

17.98%

10.86%

(28.39)%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

0.77%

0.77%

0.80%

0.81%

0.79%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

0.76%

0.76%

0.79%

c

0.81%

d

0.79%

c,d

Net

investment

(loss)

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

(0.20)%

(0.07)%

(0.15)%

(0.20)%

(0.29)%

#### Supplemental

#### data
Net

assets

,

end

of

year

(000's)

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

$139,744

$94,497

$131,350

$110,607

$110,726

Portfolio

turnover

rate

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

37.62%

21.87%

35.87%

24.08%

26.25%

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

expense

reduction

rounds

to

less

than

0.01%.

d

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

Franklin

Strategic

Series

Schedule

of

Investments,

April

30,

2026

#### Franklin

#### Biotechnology

#### Discovery

#### Fund
franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks

#### 95.5%

#### Biotechnology

#### 76.1%
a

Abivax

SA

,

ADR

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

France

141,080

$

16,559,970

a,b,c

Achieve

Life

Sciences,

Inc.

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

United

States

706,649

2,976,339

a,d

Achieve

Life

Sciences,

Inc.

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

United

States

1,575,682

6,917,244

a,c

Acumen

Pharmaceuticals,

Inc.

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

United

States

223,305

533,699

a

Acumen

Pharmaceuticals,

Inc.

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

United

States

826,400

1,975,096

a

Adicet

Bio,

Inc.

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

United

States

225,186

1,700,154

a

Alkermes

plc

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

United

States

232,937

7,852,306

a

Alnylam

Pharmaceuticals,

Inc.

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

United

States

54,138

16,755,170

Amgen,

Inc.

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

United

States

141,974

49,158,497

a

Apogee

Therapeutics,

Inc.

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

United

States

82,737

6,858,070

a

Arcutis

Biotherapeutics,

Inc.

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

United

States

505,651

11,741,216

a

Argenx

SE

,

ADR

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

Netherlands

48,962

38,274,575

a,d

Artiva

Biotherapeutics,

Inc.

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

South

Korea

192,871

1,974,999

a

Ascendis

Pharma

A/S

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

Denmark

129,742

29,760,220

a,d

Aura

Biosciences,

Inc.

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

United

States

765,617

5,397,600

a,d

Avalo

Therapeutics,

Inc.

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

United

States

111,577

1,495,132

a

Avalyn

Pharma,

Inc.

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

United

States

137,059

4,041,870

a

Benitec

Biopharma,

Inc.

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

Australia

995,152

11,991,582

a

BeOne

Medicines

Ltd.

,

ADR

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

United

States

33,421

9,868,219

a

Bicara

Therapeutics,

Inc.

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

United

States

387,402

8,360,135

a

BioNTech

SE

,

ADR

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

Germany

73,400

7,593,230

a

Bridgebio

Pharma,

Inc.

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

United

States

241,119

17,145,972

a,d

Cardiff

Oncology,

Inc.

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

United

States

438,961

759,402

a

CG

oncology,

Inc.

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

United

States

188,240

12,563,138

a

Cytokinetics,

Inc.

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

United

States

161,063

10,303,200

a

Dianthus

Therapeutics,

Inc.

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

United

States

270,799

23,776,152

a

Dyne

Therapeutics,

Inc.

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

United

States

519,232

9,112,522

a,d

Eikon

Therapeutics,

Inc.

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

United

States

127,376

1,224,720

a

enGene

Therapeutics,

Inc.

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

Canada

486,579

3,537,429

Gilead

Sciences,

Inc.

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

United

States

368,999

48,279,829

a

GRAIL,

Inc.

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

United

States

46,433

2,529,670

a

Ideaya

Biosciences,

Inc.

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

United

States

81,852

2,381,893

a,d

Immix

Biopharma,

Inc.

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

United

States

357,034

3,188,314

a,d

IN8bio,

Inc.

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

United

States

332,083

488,162

a

Insmed,

Inc.

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

United

States

214,314

29,217,428

a,d

Inventiva

SACA

,

ADR

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

France

969,588

4,973,986

a

Ionis

Pharmaceuticals,

Inc.

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

United

States

205,400

15,355,704

a

Jade

Biosciences,

Inc.

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

United

States

148,736

3,629,158

a,d

Kailera

Therapeutics,

Inc.

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

United

States

146,385

3,659,625

a

Mineralys

Therapeutics,

Inc.

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

United

States

567,545

15,125,074

a

Mirum

Pharmaceuticals,

Inc.

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

United

States

215,190

20,940,139

a

Neurocrine

Biosciences,

Inc.

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

United

States

135,273

17,811,396

a,d

Newamsterdam

Pharma

Co.

NV

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

Netherlands

187,726

5,361,455

a

Nuvalent,

Inc.

,

A

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

United

States

75,535

7,574,650

a

Olema

Pharmaceuticals,

Inc.

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

United

States

379,464

5,468,076

a

ORIC

Pharmaceuticals,

Inc.

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

United

States

659,005

6,510,969

a

Oruka

Therapeutics,

Inc.

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

United

States

316,426

21,646,703

a

Palisade

Bio,

Inc.

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

United

States

2,119,910

4,239,820

a

Praxis

Precision

Medicines,

Inc.

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

United

States

81,426

25,961,052

a

PTC

Therapeutics,

Inc.

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

United

States

319,652

20,796,559

Regeneron

Pharmaceuticals,

Inc.

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

United

States

61,019

43,144,094

a

Relay

Therapeutics,

Inc.

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

United

States

237,869

3,082,782

a

Revolution

Medicines,

Inc.

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

United

States

202,430

29,174,212

a

Satellos

Bioscience,

Inc.

,

(CAD

Traded)

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

Canada

96,830

766,314

a

Satellos

Bioscience,

Inc.

,

(USD

Traded)

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

Canada

246,407

1,958,936

a,d

Sensei

Biotherapeutics,

Inc.

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

United

States

48,771

1,298,284

a,d

Sionna

Therapeutics,

Inc.

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

United

States

60,891

2,356,482

a

Solid

Biosciences,

Inc.

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

United

States

1,253,978

9,103,880

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Biotechnology

#### Discovery

#### Fund
franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks
(continued)

#### Biotechnology
(continued)

a

Spyre

Therapeutics,

Inc.

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

United

States

323,584

$

24,090,829

a

Syndax

Pharmaceuticals,

Inc.

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

United

States

492,743

10,559,482

a

Tango

Therapeutics,

Inc.

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

United

States

447,635

9,677,869

a

Ultragenyx

Pharmaceutical,

Inc.

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

United

States

108,067

2,668,174

a

uniQure

NV

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

Netherlands

175,121

3,493,664

a

Vaxcyte,

Inc.

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

United

States

145,674

8,338,380

a

Verastem,

Inc.

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

United

States

401,744

2,193,522

a

Vertex

Pharmaceuticals,

Inc.

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

United

States

97,436

41,642,198

a

Vicore

Pharma

Holding

AB

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

Sweden

1,307,598

1,413,428

a

Xenon

Pharmaceuticals,

Inc.

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

Canada

123,767

6,935,903

a

Zentalis

Pharmaceuticals,

Inc.

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

United

States

440,039

1,764,556

789,010,509

#### Capital

#### Markets

#### 0.1%
a

JATT

II

Acquisition

Corp.

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

United

States

146,753

1,542,374

#### Health

#### Care

#### Providers

#### &

#### Services

#### 2.1%
a

Guardant

Health,

Inc.

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

United

States

248,985

21,681,614

#### Life

#### Sciences

#### Tools

#### &

#### Services

#### 0.6%
Sartorius

Stedim

Biotech

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

France

10,100

1,866,598

Thermo

Fisher

Scientific,

Inc.

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

United

States

8,579

4,108,998

5,975,596

#### Pharmaceuticals

#### 16.6%
a

Alto

Neuroscience,

Inc.

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

United

States

165,070

4,235,696

a,d

Alto

Neuroscience,

Inc.

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

United

States

240,205

6,163,661

a

Amylyx

Pharmaceuticals,

Inc.

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

United

States

649,259

10,388,144

AstraZeneca

plc

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

United

Kingdom

102,531

19,211,233

a

BioAge

Labs,

Inc.

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

United

States

90,709

1,528,447

a

Context

Therapeutics,

Inc.

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

United

States

1,398,833

3,301,246

a

Contineum

Therapeutics,

Inc.

,

A

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

United

States

676,121

8,667,871

Eli

Lilly

&

Co.

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

United

States

14,071

13,150,757

a

EyePoint,

Inc.

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

United

States

1,123,495

14,830,134

a

Indivior

Pharmaceuticals,

Inc.

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

United

States

332,496

12,229,203

a

Jazz

Pharmaceuticals

plc

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

United

States

283,073

57,469,480

a,d

LENZ

Therapeutics,

Inc.

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

United

States

176,891

1,588,481

a

Neumora

Therapeutics,

Inc.

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

United

States

186,984

461,851

a

Phathom

Pharmaceuticals,

Inc.

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

United

States

487,012

5,454,534

a,d

SpyGlass

Pharma,

Inc.

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

United

States

109,328

2,507,984

a

Structure

Therapeutics,

Inc.

,

ADR

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

United

States

136,424

5,654,775

a,d

VeraDermics,

Inc.

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

United

States

53,904

5,336,496

172,179,993

#### Total

#### Common

#### Stocks

#### (Cost

#### $

#### 479,739,791

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

#### 990,390,086

#### Convertible

#### Preferred

#### Stocks

#### 0.9%

#### Biotechnology

#### 0.7%
a,b,c

Ray

Therapeutics,

Inc.

,

B

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

United

States

1,389,029

3,399,269

a,b,c

Sensei

Biotherapeutics,

Inc.

,

B

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

United

States

3,363,564

6,762,833

#### Household

#### Products

#### 0.2%
a,b,c

Candid,

Inc.

,

B

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

United

States

1,519,609

2,372,462

#### Total

#### Convertible

#### Preferred

#### Stocks

#### (Cost

#### $

#### 7,322,109

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

#### 9,135,295
Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Biotechnology

#### Discovery

#### Fund
franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Preferred

#### Stocks

#### 0.5%

#### Life

#### Sciences

#### Tools

#### &

#### Services

#### 0.2%
e

Sartorius

AG

,

.34

%

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

Germany

9,200

$

2,350,384

#### Real

#### Estate

#### Management

#### &

#### Development

#### 0.3%
a,b,c

Lycia

LLC

,

C

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

Japan

859,370

3,017,588

#### Total

#### Preferred

#### Stocks

#### (Cost

#### $

#### 5,938,609

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

#### 5,367,972

#### Warrants

#### 0.8%

#### Biotechnology

#### 0.8%
a,b,c

Achieve

Life

Sciences,

Inc.

,

4/10/28

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

United

States

706,649

621,851

a,b

Achieve

Life

Sciences,

Inc.

,

6/26/30

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

United

States

698,900

1,235,342

a,b

Assembly

Biosciences,

Inc.

,

A

,

8/11/30

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

United

States

44,450

451,057

a,b

Assembly

Biosciences,

Inc.

,

B

,

12/31/26

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

United

States

44,450

28,190

a,b

Benitec

Biopharma,

Inc.

,

2/20/49

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

Australia

310,881

3,746,085

a,b,c

IN8bio,

Inc.

,

C

,

10/04/27

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

United

States

69,673

5,665

a,b

Palisade

Bio,

Inc.

,

10/01/30

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

United

States

1,447,549

2,894,953

8,983,143

#### Total

#### Warrants

#### (Cost

#### $

#### 1,620,146

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

#### 8,983,143

#### Shares

#### Escrows

#### and

#### Litigation

#### Trusts

#### 0.1%
a,b

Carmot

Therapeutics,

Inc.,

Escrow

Account

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

United

States

83,100

534,289

a

Sanofi

SA,

Escrow

Account

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

France

2,333,755

—

#### Total

#### Escrows

#### and

#### Litigation

#### Trusts

#### (Cost

#### $

#### –

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

#### 534,289

#### Total

#### Long

#### Term

#### Investments

#### (Cost

#### $

#### 494,620,655

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

#### 1,014,410,785

#### a

#### Short

#### Term

#### Investments

#### 5.6%
a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Money

#### Market

#### Funds

#### 2.5%
f,g

Franklin

Institutional

U.S.

Government

Money

Market

Fund

,

3.593 %

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

United

States

25,985,537

25,985,537

#### Total

#### Money

#### Market

#### Funds

#### (Cost

#### $

#### 25,985,537

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

#### 25,985,537
Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Biotechnology

#### Discovery

#### Fund
franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Short

#### Term

#### Investments
(continued)

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

h

#### Investments

#### from

#### Cash

#### Collateral

#### Received

#### for

#### Loaned

#### Securities

#### 3.1%

#### Money

#### Market

#### Funds

#### 3.1%
f,g

Franklin

Institutional

U.S.

Government

Money

Market

Fund

,

3.593 %

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

United

States

31,626,763

$

31,626,763

#### Total

#### Investments

#### from

#### Cash

#### Collateral

#### Received

#### for

#### Loaned

#### Securities

#### (Cost

#### $

#### 31,626,763

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

#### 31,626,763

#### Total

#### Short

#### Term

#### Investments

#### (Cost

#### $

#### 57,612,300

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

#### 57,612,300

#### a

#### Total

#### Investments

#### (Cost

#### $

#### 552,232,955

####)
103.4 #### %
................................

#### $1,072,023,085

#### Other

#### Assets,

#### less

#### Liabilities

#### (3.4 ####)

#### %
.........................................

#### (34,662,815)

#### Net

#### Assets

#### 100.0%

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

#### $1,037,360,270

#### a
See

Abbreviations

on

page

158. a

Non-income

producing.

b

Fair

valued

using

significant

unobservable

inputs.

See

Note

regarding

fair

value

measurements.

c

See

Note

regarding

restricted

securities.

d

A

portion

or

all

of

the

security

is

on

loan

at

April

30,

2026. See

Note

(e).

e

Variable

rate

security.

The

rate

shown

represents

the

yield

at

period

end.

f

See

Note

(f)

regarding

investments

in

affiliated

management

investment

companies.

g

The

rate

shown

is

the

annualized

seven-day

effective

yield

at

period

end.

h

See

Note

(e)

regarding

securities

on

loan.

Franklin

Strategic

Series

Financial

Highlights

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

#### Year

#### Ended

#### April

#### 30,

#### 2026

#### 2025

#### 2024

#### 2023

#### 2022

#### Class

#### A

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

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

$8.27

$8.10

$8.23

$8.55

$9.44

Income

from

investment

operations

a

:

Net

investment

income

b

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

0.37 0.38 0.37 0.36 0.29 Net

realized

and

unrealized

gains

(losses)

...........

0.02 0.18 (0.12)

(0.31)

(0.84)

Total

from

investment

operations

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

0.39 0.56 0.25 0.05 (0.55)

Less

distributions

from:

Net

investment

income

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

(0.36)

(0.39)

(0.38)

(0.37)

(0.34)

Net

asset

value,

end

of

year

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

$8.30

$8.27

$8.10

$8.23

$8.55

Total

return

c

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

4.78%

6.98%

3.12%

0.73%

(6.07)%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

0.80%

0.90%

0.94%

0.94%

0.90%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

0.71%

0.85%

0.91%

d

0.89%

d

0.84%

d

Net

investment

income

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

4.44%

4.64%

4.55%

4.34%

3.11%

#### Supplemental

#### data
Net

assets

,

end

of

year

(000's)

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

$2,044,094

$1,989,034

$2,079,060

$2,285,374

$2,609,533

Portfolio

turnover

rate

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

349.54%

156.08%

65.73%

e

69.77%

52.98%

Portfolio

turnover

rate

excluding

mortgage

dollar

rolls

....

156.76%

f

84.71%

f

55.51%

e,f

69.77%

41.46%

f

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

Total

return

does

not

reflect

sales

commissions

or

contingent

deferred

sales

charges,

if

applicable.

d

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

e

Excludes

the

value

of

portfolio

activity

as

a

result

of

in-kind

transactions.

f

See

Note

1(f)

regarding

mortgage

dollar

rolls.

Franklin

Strategic

Series

Financial

Highlights

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

#### Year

#### Ended

#### April

#### 30,

#### 2026

#### 2025

#### 2024

#### 2023

#### 2022

#### Class

#### C

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

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

$8.28

$8.11

$8.23

$8.55

$9.44

Income

from

investment

operations

a

:

Net

investment

income

b

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

0.34 0.35 0.34 0.32 0.25 Net

realized

and

unrealized

gains

(losses)

...........

0.02 0.17 (0.12)

(0.30)

(0.84)

Total

from

investment

operations

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

0.36 0.52 0.22 0.02 (0.59)

Less

distributions

from:

Net

investment

income

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

(0.33)

(0.35)

(0.34)

(0.34)

(0.30)

Net

asset

value,

end

of

year

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

$8.31

$8.28

$8.11

$8.23

$8.55

Total

return

c

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

4.35%

6.53%

2.80%

0.30%

(6.48)%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

1.20%

1.30%

1.34%

1.34%

1.29%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

1.11%

1.26%

1.31%

d

1.29%

d

1.24%

d

Net

investment

income

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

4.03%

4.24%

4.14%

3.92%

2.70%

#### Supplemental

#### data
Net

assets

,

end

of

year

(000's)

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

$45,168

$49,796

$64,894

$100,037

$171,374

Portfolio

turnover

rate

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

349.54%

156.08%

65.73%

e

69.77%

52.98%

Portfolio

turnover

rate

excluding

mortgage

dollar

rolls

....

156.76%

f

84.71%

f

55.51%

e,f

69.77%

41.46%

f

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

Total

return

does

not

reflect

sales

commissions

or

contingent

deferred

sales

charges,

if

applicable.

d

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

e

Excludes

the

value

of

portfolio

activity

as

a

result

of

in-kind

transactions.

f

See

Note

1(f)

regarding

mortgage

dollar

rolls.

Franklin

Strategic

Series

Financial

Highlights

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

#### Year

#### Ended

#### April

#### 30,

#### 2026

#### 2025

#### 2024

#### 2023

#### 2022

#### Class

#### R

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

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

$8.23

$8.06

$8.19

$8.51

$9.40

Income

from

investment

operations

a

:

Net

investment

income

b

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

0.35 0.36 0.35 0.33 0.27 Net

realized

and

unrealized

gains

(losses)

...........

0.02 0.18 (0.12)

(0.30)

(0.85)

Total

from

investment

operations

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

0.37 0.54 0.23 0.03 (0.58)

Less

distributions

from:

Net

investment

income

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

(0.34)

(0.37)

(0.36)

(0.35)

(0.31)

Net

asset

value,

end

of

year

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

$8.26

$8.23

$8.06

$8.19

$8.51

Total

return

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

4.67%

6.62%

2.87%

0.48%

(6.33)%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

1.05%

1.15%

1.19%

1.19%

1.15%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

0.96%

1.10%

1.16%

c

1.14%

c

1.09%

c

Net

investment

income

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

4.19%

4.39%

4.30%

4.09%

2.86%

#### Supplemental

#### data
Net

assets

,

end

of

year

(000's)

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

$33,525

$34,949

$36,034

$40,939

$48,447

Portfolio

turnover

rate

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

349.54%

156.08%

65.73%

d

69.77%

52.98%

Portfolio

turnover

rate

excluding

mortgage

dollar

rolls

....

156.76%

e

84.71%

e

55.51%

d,e

69.77%

41.46%

e

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

expense

reduction

rounds

to

less

than

0.01%.

d

Excludes

the

value

of

portfolio

activity

as

a

result

of

in-kind

transactions.

e

See

Note

1(f)

regarding

mortgage

dollar

rolls.

Franklin

Strategic

Series

Financial

Highlights

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

#### Year

#### Ended

#### April

#### 30,

#### 2026

#### 2025

#### 2024

#### 2023

#### 2022

#### Class

#### R6

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

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

$8.28

$8.11

$8.24

$8.56

$9.45

Income

from

investment

operations

a

:

Net

investment

income

b

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

0.40 0.41 0.40 0.39 0.32 Net

realized

and

unrealized

gains

(losses)

...........

0.03 0.18 (0.12)

(0.31)

(0.84)

Total

from

investment

operations

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

0.43 0.59 0.28 0.08 (0.52)

Less

distributions

from:

Net

investment

income

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

(0.39)

(0.42)

(0.41)

(0.40)

(0.37)

Net

asset

value,

end

of

year

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

$8.32

$8.28

$8.11

$8.24

$8.56

Total

return

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

5.27%

7.35%

3.49%

1.12%

(5.72)%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

0.45%

0.56%

0.58%

0.58%

0.55%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

0.36%

0.50%

0.55%

c

0.51%

c

0.48%

c

Net

investment

income

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

4.79%

4.99%

4.92%

4.73%

3.47%

#### Supplemental

#### data
Net

assets

,

end

of

year

(000's)

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

$282,964

$130,729

$133,098

$132,950

$136,184

Portfolio

turnover

rate

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

349.54%

156.08%

65.73%

d

69.77%

52.98%

Portfolio

turnover

rate

excluding

mortgage

dollar

rolls

....

156.76%

e

84.71%

e

55.51%

d,e

69.77%

41.46%

e

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

expense

reduction

rounds

to

less

than

0.01%.

d

Excludes

the

value

of

portfolio

activity

as

a

result

of

in-kind

transactions.

e

See

Note

1(f)

regarding

mortgage

dollar

rolls.

Franklin

Strategic

Series

Financial

Highlights

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

#### Year

#### Ended

#### April

#### 30,

#### 2026

#### 2025

#### 2024

#### 2023

#### 2022

#### Advisor

#### Class

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

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

$8.28

$8.11

$8.24

$8.56

$9.45

Income

from

investment

operations

a

:

Net

investment

income

b

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

0.39 0.41 0.39 0.38 0.31 Net

realized

and

unrealized

gains

(losses)

...........

0.02 0.17 (0.12)

(0.31)

(0.84)

Total

from

investment

operations

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

0.41 0.58 0.27 0.07 (0.53)

Less

distributions

from:

Net

investment

income

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

(0.38)

(0.41)

(0.40)

(0.39)

(0.36)

Net

asset

value,

end

of

year

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

$8.31

$8.28

$8.11

$8.24

$8.56

Total

return

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

5.04%

7.24%

3.37%

0.98%

(5.83)%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

0.55%

0.65%

0.69%

0.69%

0.65%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

0.46%

0.60%

0.66%

c

0.64%

c

0.59%

c

Net

investment

income

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

4.68%

4.89%

4.80%

4.59%

3.36%

#### Supplemental

#### data
Net

assets

,

end

of

year

(000's)

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

$341,568

$263,738

$272,301

$311,142

$390,465

Portfolio

turnover

rate

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

349.54%

156.08%

65.73%

d

69.77%

52.98%

Portfolio

turnover

rate

excluding

mortgage

dollar

rolls

....

156.76%

e

84.71%

e

55.51%

d,e

69.77%

41.46%

e

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

expense

reduction

rounds

to

less

than

0.01%.

d

Excludes

the

value

of

portfolio

activity

as

a

result

of

in-kind

transactions.

e

See

Note

1(f)

regarding

mortgage

dollar

rolls.

Franklin

Strategic

Series

Schedule

of

Investments,

April

30,

2026

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks

#### 0.1%

#### Machinery

#### 0.1%
a

UTEX

Industries,

Inc.

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

United

States

16,788

$

738,049

#### Oil,

#### Gas

#### &

#### Consumable

#### Fuels

#### 0.0%

#### †
b

Amplify

Energy

Corp.

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

United

States

5,288

33,843

Birch

Permian

Holdings,

Inc.

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

United

States

46,176

267,821

301,664

#### Total

#### Common

#### Stocks

#### (Cost

#### $11,360,259)

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

#### 1,039,713

#### Principal

#### Amount

#### \*

#### Corporate

#### Bonds

#### 38.6%

#### Aerospace

#### &

#### Defense

#### 1.1%
c

Axon

Enterprise,

Inc.

,

Senior

Note,

144A,

6.125%,

3/15/30

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

United

States

1,000,000

1,025,016

Senior

Note,

144A,

6.25%,

3/15/33

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

United

States

750,000

770,078

Boeing

Co.

(The)

,

Senior

Bond,

3.625%,

2/01/31

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

United

States

5,000,000

4,771,338

Senior

Bond,

6.875%,

3/15/39

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

United

States

2,600,000

2,883,003

Senior

Note,

5.15%,

5/01/30

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

United

States

8,100,000

8,232,960

c

Bombardier,

Inc.

,

Senior

Note

,

144A,

6.75 %

,

6/15/33

.........

Canada

1,025,000

1,070,052

c

Efesto

Bidco

SpA

Efesto

US

LLC

,

XR

,

Senior

Secured

Note

,

144A,

7.5 %

,

2/15/32

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

Italy

1,600,000

1,595,551

c

Honeywell

Aerospace,

Inc.

,

Senior

Bond,

144A,

4.95%,

3/16/36

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

United

States

2,020,000

1,997,843

Senior

Bond,

144A,

5.732%,

3/16/56

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

United

States

1,150,000

1,131,875

Senior

Bond,

144A,

5.852%,

3/16/66

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

United

States

770,000

758,494

Senior

Note,

144A,

4.6%,

3/16/33

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

United

States

1,010,000

997,586

Howmet

Aerospace,

Inc.

,

Senior

Bond,

4.75%,

4/15/36

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

United

States

2,250,000

2,186,554

Senior

Note,

4.85%,

10/15/31

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

United

States

2,100,000

2,118,620

29,538,970

#### Air

#### Freight

#### &

#### Logistics

#### 0.0%

#### †
FedEx

Corp.

,

Senior

Bond

,

4.05 %

,

2/15/48

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

United

States

1,200,000

909,258

#### Automobile

#### Components

#### 0.1%
c

Forvia

SE

,

Senior

Note

,

144A,

6.75 %

,

9/15/33

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

France

2,830,000

2,839,614

#### Automobiles

#### 0.3%
c

Hyundai

Capital

America

,

Senior

Note,

144A,

5.35%,

3/19/29

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

United

States

1,300,000

1,323,679

Senior

Note,

144A,

4.75%,

9/26/31

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

United

States

6,000,000

5,952,364

7,276,043

#### Banks

#### 4.8%
c

ABN

AMRO

Bank

NV

,

Senior

Non-Preferred

Note

,

144A,

6.339%

to

9/17/26,

FRN

thereafter

,

9/18/27

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

Netherlands

2,100,000

2,114,761

Banco

Santander

SA

,

Sub.

Bond

,

2.749 %

,

12/03/30

.........

Spain

3,000,000

2,714,288

Bank

of

America

Corp.

,

Senior

Bond,

2.299%

to

7/20/31,

FRN

thereafter,

7/21/32

...

United

States

3,500,000

3,096,719

Senior

Bond,

4.571%

to

4/26/32,

FRN

thereafter,

4/27/33

...

United

States

8,000,000

7,874,810

Sub.

Bond,

3.846%

to

3/07/32,

FRN

thereafter,

3/08/37

.....

United

States

1,434,000

1,332,564

c

Banque

Federative

du

Credit

Mutuel

SA

,

Senior

Preferred

Note

,

144A,

4.541 %

,

1/15/31

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

France

2,070,000

2,046,445

c

BPCE

SA

,

Senior

Non-Preferred

Note

,

144A,

2.045%

to

10/18/26,

FRN

thereafter

,

10/19/27

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

France

7,900,000

7,810,970

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Corporate

#### Bonds
(continued)

#### Banks
(continued)

Citigroup,

Inc.

,

Senior

Bond

,

4.412%

to

3/30/30,

FRN

thereafter

,

3/31/31

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

United

States

5,600,000

$

5,539,991

Fifth

Third

Bancorp

,

Senior

Note

,

5.631%

to

1/28/31,

FRN

thereafter

,

1/29/32

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

United

States

7,300,000

7,538,047

HSBC

Holdings

plc

,

Senior

Bond,

2.848%

to

6/03/30,

FRN

thereafter,

6/04/31

...

United

Kingdom

8,300,000

7,689,339

Senior

Note,

5.21%

to

8/10/27,

FRN

thereafter,

8/11/28

.....

United

Kingdom

5,850,000

5,898,578

Huntington

Bancshares,

Inc.

,

Senior

Bond

,

5.709%

to

2/01/34,

FRN

thereafter

,

2/02/35

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

United

States

7,300,000

7,473,184

JPMorgan

Chase

&

Co.

,

Senior

Bond,

2.522%

to

4/21/30,

FRN

thereafter,

4/22/31

...

United

States

9,400,000

8,693,278

Senior

Bond,

1.953%

to

2/03/31,

FRN

thereafter,

2/04/32

...

United

States

3,400,000

3,000,967

Senior

Bond,

5.336%

to

1/22/34,

FRN

thereafter,

1/23/35

...

United

States

2,500,000

2,534,809

Sub.

Bond,

5.576%

to

7/22/35,

FRN

thereafter,

7/23/36

.....

United

States

1,620,000

1,644,284

Mizuho

Financial

Group,

Inc.

,

Senior

Note

,

5.778%

to

7/05/28,

FRN

thereafter

,

7/06/29

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

Japan

5,100,000

5,237,979

Royal

Bank

of

Canada

,

Senior

Note

,

5.2 %

,

8/01/28

..........

Canada

1,800,000

1,833,938

Santander

UK

Group

Holdings

plc

,

Senior

Note

,

1.673%

to

6/23/26,

FRN

thereafter

,

6/14/27

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

United

Kingdom

6,700,000

6,675,406

c

Societe

Generale

SA

,

Senior

Non-Preferred

Bond,

144A,

2.889%

to

6/08/31,

FRN

thereafter,

6/09/32

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

France

7,500,000

6,762,598

Senior

Non-Preferred

Note,

144A,

1.792%

to

6/08/26,

FRN

thereafter,

6/09/27

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

France

7,200,000

7,178,996

Toronto-Dominion

Bank

(The)

,

Senior

Note

,

4.693 %

,

9/15/27

...

Canada

9,900,000

9,954,277

c

UniCredit

SpA

,

Senior

Preferred

Bond

,

144A,

3.127%

to

6/02/31,

FRN

thereafter

,

6/03/32

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

Italy

5,300,000

4,885,875

Wells

Fargo

&

Co.

,

Senior

Note,

6.303%

to

10/22/28,

FRN

thereafter,

10/23/29

..

United

States

7,400,000

7,704,007

Senior

Note,

5.198%

to

1/22/29,

FRN

thereafter,

1/23/30

....

United

States

4,400,000

4,475,098

131,711,208

#### Beverages

#### 0.0%

#### †
Keurig

Dr.

Pepper,

Inc.

,

Senior

Bond

,

5.3 %

,

3/15/34

.........

United

States

1,330,000

1,327,410

#### Biotechnology

#### 0.5%
AbbVie,

Inc.

,

Senior

Bond,

4.75%,

3/15/36

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

United

States

520,000

508,676

Senior

Note,

4.4%,

3/15/33

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

United

States

1,510,000

1,482,798

Amgen,

Inc.

,

Senior

Bond,

4.2%,

3/01/33

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

United

States

4,000,000

3,863,207

Senior

Bond,

5.25%,

3/02/33

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

United

States

6,600,000

6,756,043

c

Genmab

A/S

/

Genmab

Finance

LLC

,

Senior

Secured

Note

,

144A,

6.25 %

,

12/15/32

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

Denmark

2,230,000

2,289,820

14,900,544

#### Broadline

#### Retail

#### 0.3%
Amazon.com,

Inc.

,

Senior

Bond,

4.875%,

3/13/36

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

United

States

1,829,000

1,802,877

Senior

Bond,

5.8%,

3/13/56

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

United

States

260,000

256,082

Senior

Bond,

6.05%,

3/13/76

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

United

States

1,636,000

1,613,250

Senior

Note,

4.55%,

3/13/33

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

United

States

1,235,000

1,220,564

a,c,d

K2016470219

South

Africa

Ltd.

,

Senior

Secured

Note

,

144A,

%

,

12/31/22

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

South

Africa

10,914,248

—

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Corporate

#### Bonds
(continued)

#### Broadline

#### Retail
(continued)

a,c,d

K2016470260

South

Africa

Ltd.

,

Senior

Secured

Note

,

144A,

%

,

12/31/22

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

South

Africa

4,807,777

$

—

c

Wayfair

LLC

,

Senior

Secured

Note

,

144A,

7.25 %

,

10/31/29

....

United

States

2,500,000

2,563,532

7,456,305

#### Building

#### Products

#### 0.3%
Carlisle

Cos.,

Inc.

,

Senior

Bond

,

5.25 %

,

9/15/35

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

United

States

665,000

668,599

c

JH

North

America

Holdings,

Inc.

,

Senior

Secured

Note

,

144A,

5.875 %

,

1/31/31

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

United

States

475,000

475,152

Owens

Corning

,

Senior

Bond

,

5.7 %

,

6/15/34

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

United

States

7,300,000

7,573,553

8,717,304

#### Capital

#### Markets

#### 2.6%
Deutsche

Bank

AG

,

Senior

Preferred

Note

,

5.371 %

,

9/09/27

...

Germany

4,800,000

4,874,083

Goldman

Sachs

Group,

Inc.

(The)

,

Senior

Bond,

2.383%

to

7/20/31,

FRN

thereafter,

7/21/32

...

United

States

6,500,000

5,757,005

Senior

Bond,

5.536%

to

1/27/35,

FRN

thereafter,

1/28/36

...

United

States

9,800,000

9,964,461

Senior

Bond,

5.065%

to

1/20/36,

FRN

thereafter,

1/21/37

...

United

States

1,035,000

1,012,237

Senior

Note,

4.387%

to

6/14/26,

FRN

thereafter,

6/15/27

....

United

States

3,400,000

3,399,696

Senior

Note,

1.948%

to

10/20/26,

FRN

thereafter,

10/21/27

..

United

States

3,000,000

2,965,605

Senior

Note,

5.094%

to

4/19/33,

FRN

thereafter,

4/20/34

....

United

States

895,000

893,149

c

Jane

Street

Group

/

JSG

Finance,

Inc.

,

Senior

Secured

Note

,

144A,

6.125 %

,

11/01/32

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

United

States

3,600,000

3,620,979

Morgan

Stanley

,

Senior

Bond,

3.591%,

7/22/28

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

United

States

10,000,000

9,890,980

Senior

Bond,

1.794%

to

2/12/31,

FRN

thereafter,

2/13/32

...

United

States

5,000,000

4,353,024

Senior

Bond,

5.466%

to

1/17/34,

FRN

thereafter,

1/18/35

...

United

States

1,900,000

1,936,628

Senior

Bond,

5.073%

to

1/29/36,

FRN

thereafter,

1/30/37

...

United

States

1,585,000

1,551,454

Senior

Bond,

5.9%

to

3/12/46,

FRN

thereafter,

3/13/47

.....

United

States

1,615,000

1,618,931

Senior

Note,

4.493%

to

1/15/31,

FRN

thereafter,

1/16/32

....

United

States

1,555,000

1,530,420

Senior

Note,

4.708%

to

3/11/31,

FRN

thereafter,

3/12/32

....

United

States

2,325,000

2,307,571

Sub.

Bond,

5.948%

to

1/18/33,

FRN

thereafter,

1/19/38

.....

United

States

542,000

558,560

c

MSCI,

Inc.

,

Senior

Bond

,

144A,

3.25 %

,

8/15/33

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

United

States

11,800,000

10,345,681

c

Prologis

Targeted

US

Logistics

Fund

LP

,

Senior

Note

,

144A,

5.25 %

,

4/01/29

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

United

States

2,400,000

2,447,541

c

StoneX

Group,

Inc.

,

Secured

Note

,

144A,

7.875 %

,

3/01/31

....

United

States

2,600,000

2,739,329

71,767,334

#### Chemicals

#### 0.3%
c

Cerdia

Finanz

GmbH

,

Senior

Secured

Note

,

144A,

9.375 %

,

10/03/31

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

Germany

1,000,000

962,500

c

Element

Solutions,

Inc.

,

Senior

Note

,

144A,

3.875 %

,

9/01/28

...

United

States

3,000,000

2,926,790

FMC

Corp.

,

Sub.

Bond

,

8.45%

to

10/31/30,

FRN

thereafter

,

11/01/55

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

United

States

875,000

580,487

c

Rain

Carbon,

Inc.

,

Senior

Secured

Note

,

144A,

12.25 %

,

9/01/29

United

States

2,550,000

2,686,111

7,155,888

#### Commercial

#### Services

#### &

#### Supplies

#### 0.5%
c

Neptune

Bidco

US,

Inc.

,

Senior

Secured

Note

,

144A,

9.5 %

,

2/15/33

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

United

States

800,000

801,635

Republic

Services,

Inc.

,

Senior

Note

,

5.15 %

,

3/15/35

.........

United

States

5,300,000

5,401,397

c

RR

Donnelley

&

Sons

Co.

,

Senior

Secured

Note

,

144A,

9.5 %

,

8/01/29

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

United

States

2,000,000

2,066,020

Waste

Connections,

Inc.

,

Senior

Bond

,

4.8 %

,

7/15/36

........

United

States

1,895,000

1,855,795

c

Waste

Pro

USA,

Inc.

,

Senior

Note

,

144A,

%

,

2/01/33

........

United

States

800,000

816,964

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Corporate

#### Bonds
(continued)

#### Commercial

#### Services

#### &

#### Supplies
(continued)

c

Wrangler

Holdco

Corp.

,

Senior

Note

,

144A,

6.625 %

,

4/01/32

...

Canada

2,500,000

$

2,581,020

13,522,831

#### Communications

#### Equipment

#### 0.3%
Motorola

Solutions,

Inc.

,

Senior

Bond

,

5.4 %

,

4/15/34

.........

United

States

7,300,000

7,399,781

#### Construction

#### &

#### Engineering

#### 0.1%
c

Arcosa,

Inc.

,

Senior

Note

,

144A,

4.375 %

,

4/15/29

...........

United

States

2,000,000

1,954,328

#### Consumer

#### Finance

#### 1.6%
AerCap

Ireland

Capital

DAC

/

AerCap

Global

Aviation

Trust

,

Senior

Bond,

3.4%,

10/29/33

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

Ireland

7,700,000

6,845,494

Senior

Note,

4.125%,

2/28/29

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

Ireland

710,000

701,375

American

Express

Co.

,

Senior

Bond

,

5.442%

to

1/29/35,

FRN

thereafter

,

1/30/36

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

United

States

10,000,000

10,223,177

c

Avolon

Holdings

Funding

Ltd.

,

Senior

Note

,

144A,

4.9 %

,

10/10/30

Ireland

7,735,000

7,697,454

Capital

One

Financial

Corp.

,

Senior

Bond

,

5.268%

to

5/09/32,

FRN

thereafter

,

5/10/33

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

United

States

8,600,000

8,633,033

c

FirstCash,

Inc.

,

Senior

Note

,

144A,

6.875 %

,

3/01/32

.........

United

States

3,000,000

3,078,392

General

Motors

Financial

Co.,

Inc.

,

Senior

Bond,

5.45%,

9/06/34

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

United

States

1,265,000

1,265,078

Senior

Note,

4.2%,

10/27/28

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

United

States

815,000

808,488

c

Jefferson

Capital

Holdings

LLC

,

Senior

Note

,

144A,

8.25 %

,

5/15/30

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

United

States

3,000,000

3,141,123

OneMain

Finance

Corp.

,

Senior

Note

,

6.75 %

,

9/15/33

........

United

States

2,000,000

1,969,696

44,363,310

#### Consumer

#### Staples

#### Distribution

#### &

#### Retail

#### 0.1%
c

US

Foods,

Inc.

,

Senior

Note

,

144A,

4.625 %

,

6/01/30

.........

United

States

2,300,000

2,251,194

#### Containers

#### &

#### Packaging

#### 0.2%
AptarGroup,

Inc.

,

Senior

Note

,

4.75 %

,

3/30/31

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

United

States

1,550,000

1,539,563

c

Clydesdale

Acquisition

Holdings,

Inc.

,

Senior

Secured

Note

,

144A,

6.75 %

,

4/15/32

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

United

States

1,300,000

1,224,141

c

Toucan

FinCo

Ltd.

/

Toucan

FinCo

Can,

Inc.

/

Toucan

FinCo

US

LLC

,

Senior

Secured

Note

,

144A,

9.5 %

,

5/15/30

...........

Canada

500,000

438,559

WRKCo,

Inc.

,

Senior

Bond

,

%

,

6/15/33

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

United

States

3,600,000

3,168,733

6,370,996

#### Diversified

#### Consumer

#### Services

#### 0.1%
Grand

Canyon

University

,

Secured

Note

,

5.125 %

,

10/01/28

....

United

States

1,700,000

1,688,571

#### Diversified

#### REITs

#### 0.3%
c

Global

Net

Lease,

Inc.

/

Global

Net

Lease

Operating

Partnership

LP

,

Senior

Note

,

144A,

3.75 %

,

12/15/27

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

United

States

3,000,000

2,934,215

VICI

Properties

LP

,

Senior

Note

,

5.625 %

,

4/01/35

...........

United

States

5,000,000

5,018,152

7,952,367

#### Diversified

#### Telecommunication

#### Services

#### 1.4%
c

APLD

ComputeCo

LLC

,

Senior

Secured

Note

,

144A,

6.75 %

,

3/15/31

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

United

States

1,545,000

1,530,624

c

APLD

ComputeCo

LLC

,

Senior

Secured

Note

,

144A,

9.25 %

,

12/15/30

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

United

States

2,100,000

2,258,361

AT&T,

Inc.

,

Senior

Bond,

2.55%,

12/01/33

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

United

States

5,000,000

4,228,974

Senior

Bond,

5.125%,

4/30/36

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

United

States

1,320,000

1,298,857

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Corporate

#### Bonds
(continued)

#### Diversified

#### Telecommunication

#### Services
(continued)

AT&T,

Inc.,

(continued)

Senior

Bond,

6.2%,

10/30/56

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

United

States

1,150,000

$

1,139,975

Senior

Bond,

3.65%,

9/15/59

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

United

States

4,000,000

2,559,604

c

Black

Pearl

Compute

LLC

,

Senior

Secured

Note

,

144A,

6.125 %

,

2/15/31

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

United

States

900,000

914,254

CCO

Holdings

LLC

/

CCO

Holdings

Capital

Corp.

,

Senior

Bond

,

4.5 %

,

5/01/32

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

United

States

2,000,000

1,757,535

c

Cipher

Compute

LLC

,

Senior

Secured

Note

,

144A,

7.125 %

,

11/15/30

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

United

States

895,000

928,794

Comcast

Corp.

,

Senior

Bond

,

4.8 %

,

5/15/33

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

United

States

5,200,000

5,167,367

c

PR

RNO

Property

Owner

LLC

,

Senior

Secured

Note

,

144A,

6.5 %

,

5/01/31

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

United

States

515,000

510,751

c

RD

Michigan

Property

Owner

I

LLC

,

Senior

Secured

Bond

,

144A,

7.5 %

,

3/30/45

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

United

States

3,785,000

3,786,144

c

SV

RNO

Property

Owner

LLC

,

Senior

Secured

Note

,

144A,

5.875 %

,

3/01/31

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

United

States

1,385,000

1,359,791

Verizon

Communications,

Inc.

,

Senior

Bond,

5.25%,

4/02/35

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

United

States

697,000

697,123

Senior

Note,

2.355%,

3/15/32

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

United

States

8,400,000

7,347,287

Senior

Note,

4.75%,

1/15/33

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

United

States

1,386,000

1,368,139

c

WULF

Compute

LLC

,

Senior

Secured

Note

,

144A,

7.75 %

,

10/15/30

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

United

States

1,310,000

1,377,609

38,231,189

#### Electric

#### Utilities

#### 2.6%
American

Electric

Power

Co.,

Inc.

,

C,

Junior

Sub.

Bond,

5.8%

to

3/14/31,

FRN

thereafter,

3/15/56

United

States

2,600,000

2,587,151

D,

Junior

Sub.

Bond,

6.05%

to

3/14/36,

FRN

thereafter,

3/15/56

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

United

States

865,000

862,659

c

California

Buyer

Ltd.

/

Atlantica

Sustainable

Infrastructure

plc

,

Senior

Note

,

144A,

6.375 %

,

2/15/32

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

United

Kingdom

2,000,000

1,988,921

DTE

Electric

Co.

,

Senior

Bond,

5.25%,

5/15/35

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

United

States

740,000

750,779

A,

Senior

Bond,

4.85%,

3/01/36

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

United

States

1,530,000

1,496,589

Duke

Energy

Corp.

,

Senior

Bond,

2.45%,

6/01/30

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

United

States

6,200,000

5,720,470

Senior

Bond,

3.75%,

9/01/46

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

United

States

1,600,000

1,179,350

Duke

Energy

Ohio,

Inc.

,

Senior

Bond

,

5.25 %

,

4/01/33

........

United

States

1,000,000

1,022,487

c

Enel

Finance

International

NV

,

Senior

Note

,

144A,

4.375 %

,

9/30/30

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

Italy

2,770,000

2,725,470

Exelon

Corp.

,

Senior

Bond,

4.05%,

4/15/30

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

United

States

13,400,000

13,130,012

Senior

Bond,

4.45%,

4/15/46

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

United

States

1,400,000

1,150,667

c

NRG

Energy,

Inc.

,

Senior

Bond

,

144A,

%

,

1/15/36

..........

United

States

2,300,000

2,285,387

Pacific

Gas

and

Electric

Co.

,

Senior

Bond,

5.2%,

5/01/36

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

United

States

770,000

750,310

Senior

Secured

Bond,

3.25%,

6/01/31

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

United

States

6,000,000

5,557,790

Southern

Co.

(The)

,

Senior

Bond,

4.4%,

7/01/46

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

United

States

5,000,000

4,122,841

Senior

Note,

5.5%,

3/15/29

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

United

States

6,100,000

6,273,207

Virginia

Electric

and

Power

Co.

,

Senior

Bond,

4.95%,

3/15/36

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

United

States

2,970,000

2,896,597

Senior

Bond,

6.35%,

11/30/37

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

United

States

820,000

889,500

c

Vistra

Operations

Co.

LLC

,

Senior

Bond,

144A,

5.25%,

10/15/35

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

United

States

1,000,000

971,037

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Corporate

#### Bonds
(continued)

#### Electric

#### Utilities
(continued)

c

Vistra

Operations

Co.

LLC,

(continued)

Senior

Note,

144A,

4.375%,

5/01/29

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

United

States

3,000,000

$

2,949,021

Senior

Secured

Bond,

144A,

4.3%,

7/15/29

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

United

States

6,000,000

5,889,887

Xcel

Energy,

Inc.

,

Senior

Bond,

4.6%,

6/01/32

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

United

States

2,900,000

2,855,670

Senior

Bond,

5.45%,

8/15/33

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

United

States

4,500,000

4,598,273

72,654,075

#### Electrical

#### Equipment

#### 0.2%
Eaton

Corp.

,

Senior

Bond

,

4.8 %

,

3/06/36

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

United

States

1,600,000

1,575,766

Vertiv

Holdings

Co.

,

Senior

Bond,

4.85%,

3/15/36

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

United

States

2,669,000

2,599,221

Senior

Bond,

5.8%,

3/15/56

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

United

States

620,000

601,707

4,776,694

#### Electronic

#### Equipment,

#### Instruments

#### &

#### Components

#### 0.6%
Amphenol

Corp.

,

Senior

Note

,

4.4 %

,

2/15/33

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

United

States

2,845,000

2,782,095

CDW

LLC

/

CDW

Finance

Corp.

,

Senior

Note

,

3.25 %

,

2/15/29

..

United

States

5,000,000

4,780,620

Flex

Ltd.

,

Senior

Bond

,

4.875 %

,

5/12/30

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

United

States

7,100,000

7,105,268

c

TTM

Technologies,

Inc.

,

Senior

Note

,

144A,

%

,

3/01/29

......

United

States

2,000,000

1,936,162

16,604,145

#### Energy

#### Equipment

#### &

#### Services

#### 0.3%
c

Archrock

Services

LP

/

Archrock

Partners

Finance

Corp.

,

Senior

Note

,

144A,

%

,

2/01/34

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

United

States

1,045,000

1,052,274

c

Kodiak

Gas

Services

LLC

,

Senior

Note

,

144A,

5.875 %

,

4/01/31

.

United

States

1,185,000

1,194,125

c

Transocean

International

Ltd.

,

Senior

Secured

Note

,

144A,

8.75 %

,

2/15/30

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

United

States

2,800,000

2,934,025

c

Weatherford

International

Ltd.

,

Senior

Note

,

144A,

6.75 %

,

10/15/33

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

United

States

1,805,000

1,873,337

7,053,761

#### Entertainment

#### 0.2%
c

Banijay

Entertainment

SAS

,

Senior

Secured

Note,

144A,

7%,

5/01/29

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

France

1,200,000

EUR

1,452,104

Senior

Secured

Note,

144A,

8.125%,

5/01/29

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

France

308,809

318,943

Discovery

Global

Holdings,

Inc.

,

Senior

Note

,

4.054 %

,

3/15/29

.

United

States

2,100,000

2,045,043

c

OAK-Eagle

Acquireco,

Inc.

,

Senior

Note,

144A,

8.75%,

7/01/34

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

United

States

590,000

614,330

Senior

Secured

Note,

144A,

7.25%,

7/01/33

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

United

States

705,000

726,764

5,157,184

#### Financial

#### Services

#### 0.3%
Corebridge

Financial,

Inc.

,

Senior

Note

,

6.05 %

,

9/15/33

.......

United

States

4,900,000

5,152,587

c

Freedom

Mortgage

Holdings

LLC

,

Senior

Note

,

144A,

8.375 %

,

4/01/32

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

United

States

2,000,000

2,028,910

c

Petronas

Capital

Ltd.

,

Senior

Note

,

144A,

4.95 %

,

1/03/31

.....

Malaysia

2,540,000

2,601,805

9,783,302

#### Food

#### Products

#### 0.7%
c

Froneri

Lux

FinCo

SARL

,

Senior

Secured

Note

,

144A,

%

,

8/01/32

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

United

Kingdom

970,000

959,932

c

Industrial

F&B

Investments

III,

Inc.

,

Senior

Secured

Note

,

144A,

7.75 %

,

2/11/33

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

United

States

1,075,000

1,087,186

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Corporate

#### Bonds
(continued)

#### Food

#### Products
(continued)

JBS

NV

/

JBS

USA

Foods

Group

Holdings,

Inc.

/

JBS

USA

Food

Co.

Holdings

,

c

Senior

Bond,

144A,

5.625%,

3/10/37

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

United

States

595,000

$

594,283

c

Senior

Bond,

144A,

6.4%,

5/10/57

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

United

States

580,000

571,115

Senior

Note,

3%,

2/02/29

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

United

States

1,500,000

1,441,584

Senior

Note,

3.625%,

1/15/32

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

United

States

3,500,000

3,240,829

Kraft

Heinz

Foods

Co.

,

Senior

Bond

,

%

,

6/04/42

...........

United

States

3,175,000

2,808,818

c

Mars,

Inc.

,

Senior

Note

,

144A,

5.2 %

,

3/01/35

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

United

States

8,580,000

8,659,536

19,363,283

#### Gas

#### Utilities

#### 0.1%
Piedmont

Natural

Gas

Co.,

Inc.

,

Senior

Bond

,

3.35 %

,

6/01/50

..

United

States

2,800,000

1,894,327

#### Ground

#### Transportation

#### 0.5%
c

Ashtead

Capital,

Inc.

,

Senior

Bond

,

144A,

5.8 %

,

4/15/34

......

United

Kingdom

900,000

923,777

Burlington

Northern

Santa

Fe

LLC

,

Senior

Bond

,

5.55 %

,

3/15/56

United

States

1,355,000

1,311,802

c

SMBC

Aviation

Capital

Finance

DAC

,

Senior

Bond,

144A,

5.7%,

7/25/33

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

Ireland

7,300,000

7,490,278

Senior

Note,

144A,

5.1%,

4/01/30

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

Ireland

1,400,000

1,411,865

c

Watco

Cos.

LLC

/

Watco

Finance

Corp.

,

Senior

Note

,

144A,

7.125 %

,

8/01/32

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

United

States

1,700,000

1,768,002

c

XPO,

Inc.

,

Senior

Note

,

144A,

7.125 %

,

2/01/32

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

United

States

2,000,000

2,087,104

14,992,828

#### Health

#### Care

#### Equipment

#### &

#### Supplies

#### 0.4%
c

Bausch

+

Lomb

Corp.

,

Senior

Secured

Note

,

144A,

8.375 %

,

10/01/28

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

United

States

3,000,000

3,101,250

Baxter

International,

Inc.

,

Senior

Note

,

2.272 %

,

12/01/28

......

United

States

4,700,000

4,397,652

c

Medline

Borrower

LP

,

Senior

Secured

Note

,

144A,

3.875 %

,

4/01/29

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

United

States

3,355,000

3,261,270

10,760,172

#### Health

#### Care

#### Providers

#### &

#### Services

#### 1.6%
c

CHS/Community

Health

Systems,

Inc.

,

Senior

Secured

Note,

144A,

6%,

1/15/29

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

United

States

1,800,000

1,786,941

Senior

Secured

Note,

144A,

9.75%,

1/15/34

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

United

States

1,000,000

1,032,660

Cigna

Group

(The)

,

Senior

Bond

,

5.25 %

,

2/15/34

...........

United

States

7,300,000

7,406,102

c

Concentra

Health

Services,

Inc.

,

Senior

Note

,

144A,

6.875 %

,

7/15/32

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

United

States

1,500,000

1,556,311

CVS

Health

Corp.

,

Senior

Bond,

1.75%,

8/21/30

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

United

States

4,000,000

3,542,737

Senior

Bond,

1.875%,

2/28/31

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

United

States

990,000

868,315

Senior

Bond,

5.3%,

6/01/33

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

United

States

3,000,000

3,040,921

Senior

Bond,

2.7%,

8/21/40

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

United

States

6,300,000

4,416,135

c

DaVita,

Inc.

,

Senior

Note

,

144A,

4.625 %

,

6/01/30

...........

United

States

3,000,000

2,905,508

Elevance

Health,

Inc.

,

Senior

Bond

,

3.7 %

,

9/15/49

..........

United

States

1,400,000

1,002,074

HCA,

Inc.

,

Senior

Bond,

3.5%,

9/01/30

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

United

States

11,900,000

11,316,894

Senior

Note,

4.6%,

11/15/32

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

United

States

1,385,000

1,351,723

Icon

Investments

Six

DAC

,

Senior

Secured

Bond,

6%,

5/08/34

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

United

States

460,000

470,295

Senior

Secured

Note,

5.849%,

5/08/29

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

United

States

765,000

779,639

c

Kedrion

SpA

,

Senior

Secured

Note

,

144A,

6.5 %

,

9/01/29

......

Italy

2,000,000

1,959,972

c,e

MPH

Acquisition

Holdings

LLC

,

Senior

Secured

Note

,

144A,

PIK,

11.5 %

,

12/31/30

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

United

States

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Corporate

#### Bonds
(continued)

#### Health

#### Care

#### Providers

#### &

#### Services
(continued)

c

Tenet

Healthcare

Corp.

,

Senior

Note

,

144A,

%

,

11/15/33

.....

United

States

1,360,000

$

1,375,265

44,811,799

#### Health

#### Care

#### REITs

#### 0.3%
Alexandria

Real

Estate

Equities,

Inc.

,

Senior

Bond,

1.875%,

2/01/33

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

United

States

6,400,000

5,158,376

Senior

Bond,

5.25%,

5/15/36

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

United

States

2,200,000

2,144,981

7,303,357

#### Health

#### Care

#### Technology

#### 0.1%
c

IQVIA,

Inc.

,

Senior

Note

,

144A,

6.25 %

,

6/01/32

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

United

States

3,000,000

3,058,938

#### Hotel

#### &

#### Resort

#### REITs

#### 0.1%
c

RHP

Hotel

Properties

LP

/

RHP

Finance

Corp.

,

Senior

Note

,

144A,

6.5 %

,

4/01/32

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

United

States

2,500,000

2,566,842

#### Hotels,

#### Restaurants

#### &

#### Leisure

#### 0.7%
c

1011778

BC

ULC

/

New

Red

Finance,

Inc.

,

Secured

Bond

,

144A,

%

,

10/15/30

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

Canada

2,000,000

1,903,797

c,f

A&K

Travel

Group

Holdings

Ltd.

,

Senior

Note

,

144A,

7.5 %

,

5/15/33

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

Jersey

570,000

573,522

Airbnb,

Inc.

,

Senior

Bond,

5.25%,

3/16/36

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

United

States

605,000

603,599

Senior

Note,

4.65%,

3/16/31

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

United

States

1,205,000

1,203,305

c

Carnival

Corp.

,

Senior

Note,

144A,

5.75%,

3/15/30

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

United

States

2,500,000

2,537,610

Senior

Note,

144A,

5.75%,

8/01/32

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

United

States

670,000

674,206

Marriott

International,

Inc.

,

Senior

Note

,

4.5 %

,

5/01/33

........

United

States

1,640,000

1,590,047

c

NCL

Corp.

Ltd.

,

Senior

Note

,

144A,

6.25 %

,

9/15/33

..........

United

States

600,000

581,119

c

Rivers

Enterprise

Borrower

LLC

,

Senior

Secured

Note

,

144A,

6.25 %

,

10/15/30

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

United

States

645,000

656,447

c

Royal

Caribbean

Cruises

Ltd.

,

Senior

Note,

144A,

5.625%,

9/30/31

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

United

States

1,500,000

1,520,869

Senior

Note,

144A,

6%,

2/01/33

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

United

States

5,500,000

5,585,750

c

Viking

Cruises

Ltd.

,

Senior

Note

,

144A,

5.875 %

,

10/15/33

.....

United

States

2,030,000

2,036,163

19,466,434

#### Household

#### Durables

#### 0.3%
c

Ashton

Woods

USA

LLC

/

Ashton

Woods

Finance

Co.

,

Senior

Note

,

144A,

6.875 %

,

8/01/33

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

United

States

940,000

923,426

Toll

Brothers

Finance

Corp.

,

Senior

Bond

,

3.8 %

,

11/01/29

.....

United

States

4,900,000

4,775,779

c

Weekley

Homes

LLC

/

Weekley

Finance

Corp.

,

Senior

Note

,

144A,

4.875 %

,

9/15/28

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

United

States

2,000,000

1,958,565

7,657,770

#### Independent

#### Power

#### and

#### Renewable

#### Electricity

#### Producers

#### 0.6%
c

AES

Andes

SA

,

Senior

Note

,

144A,

6.25 %

,

3/14/32

..........

Chile

1,080,000

1,119,699

c

Atlantica

Sustainable

Infrastructure

Ltd.

,

Senior

Note

,

144A,

4.125 %

,

6/15/28

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

Spain

1,528,000

1,493,403

c

Clearway

Energy

Operating

LLC

,

Senior

Note

,

144A,

3.75 %

,

2/15/31

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

United

States

2,800,000

2,621,613

Constellation

Energy

Generation

LLC

,

Senior

Bond,

5.8%,

3/01/33

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

United

States

3,000,000

3,146,624

Senior

Bond,

6.125%,

1/15/34

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

United

States

2,000,000

2,143,845

Senior

Note,

4.4%,

1/15/31

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

United

States

1,110,000

1,098,721

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Corporate

#### Bonds
(continued)

#### Independent

#### Power

#### and

#### Renewable

#### Electricity

#### Producers
(continued)

c

Leeward

Renewable

Energy

Operations

LLC

,

Senior

Note

,

144A,

4.25 %

,

7/01/29

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

United

States

2,300,000

$

2,201,767

c

Talen

Energy

Supply

LLC

,

Senior

Note

,

144A,

6.375 %

,

5/01/33

.

United

States

1,740,000

1,743,108

15,568,780

#### Insurance

#### 1.9%
c

AIA

Group

Ltd.

,

Senior

Bond

,

144A,

4.95 %

,

4/04/33

.........

Hong

Kong

3,100,000

3,171,727

Arch

Capital

Group

Ltd.

,

Senior

Bond

,

3.635 %

,

6/30/50

.......

United

States

6,400,000

4,592,041

Arthur

J

Gallagher

&

Co.

,

Senior

Note

,

%

,

2/15/32

..........

United

States

2,075,000

2,081,297

c

Asurion

LLC

/

Asurion

Co-Issuer,

Inc.

,

Senior

Secured

Note,

144A,

8%,

12/31/32

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

United

States

1,100,000

1,149,719

Senior

Secured

Note,

144A,

8.375%,

2/01/34

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

United

States

1,600,000

1,579,861

c

Athene

Global

Funding

,

Secured

Note,

144A,

5.033%,

7/17/30

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

United

States

3,800,000

3,765,739

Senior

Secured

Bond,

144A,

5.543%,

8/22/35

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

United

States

1,200,000

1,179,488

Brown

&

Brown,

Inc.

,

Senior

Bond

,

5.65 %

,

6/11/34

..........

United

States

7,300,000

7,379,432

c

Corebridge

Global

Funding

,

Secured

Note

,

144A,

5.9 %

,

9/19/28

United

States

2,100,000

2,163,876

F&G

Annuities

&

Life,

Inc.

,

Senior

Note

,

6.5 %

,

6/04/29

.......

United

States

2,200,000

2,226,921

c

Metropolitan

Life

Global

Funding

I

,

Secured

Note,

144A,

5.05%,

1/06/28

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

United

States

9,600,000

9,701,735

Secured

Note,

144A,

4.3%,

8/25/29

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

United

States

3,000,000

2,986,774

c

RGA

Global

Funding

,

Secured

Note

,

144A,

5.5 %

,

1/11/31

.....

United

States

6,400,000

6,599,877

c

Sammons

Financial

Group,

Inc.

,

Senior

Bond

,

144A,

6.875 %

,

4/15/34

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

United

States

3,700,000

3,920,626

52,499,113

#### Interactive

#### Media

#### &

#### Services

#### 0.1%
Meta

Platforms,

Inc.

,

Senior

Bond,

5.25%,

5/15/36

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

United

States

1,790,000

1,787,048

Senior

Bond,

6.3%,

5/15/56

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

United

States

1,280,000

1,284,544

3,071,592

#### IT

#### Services

#### 0.2%
c

Beignet

Investor

LLC

,

Senior

Secured

Bond

,

144A,

6.581 %

,

5/30/49

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

United

States

1,532,000

1,583,537

c

Cogent

Communications

Group

LLC

/

Cogent

Finance,

Inc.

,

Senior

Secured

Note

,

144A,

6.5 %

,

7/01/32

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

United

States

2,000,000

1,857,200

c

Fortress

Intermediate

3,

Inc.

,

Senior

Secured

Note

,

144A,

7.5 %

,

6/01/31

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

United

States

2,000,000

2,022,466

5,463,203

#### Leisure

#### Products

#### 0.0%

#### †
Brunswick

Corp.

,

Senior

Bond

,

2.4 %

,

8/18/31

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

United

States

1,300,000

1,133,408

#### Life

#### Sciences

#### Tools

#### &

#### Services

#### 0.0%

#### †
Thermo

Fisher

Scientific,

Inc.

,

Senior

Bond

,

4.902 %

,

2/12/36

...

United

States

1,380,000

1,366,649

#### Machinery

#### 0.2%
c

ESAB

Corp.

,

Senior

Note

,

144A,

6.25 %

,

4/15/29

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

United

States

2,900,000

2,941,928

c

Terex

Corp.

,

Senior

Note

,

144A,

6.25 %

,

10/15/32

...........

United

States

2,000,000

2,034,434

4,976,362

#### Media

#### 1.1%
Charter

Communications

Operating

LLC

/

Charter

Communications

Operating

Capital

Corp.

,

Senior

Secured

Bond,

2.8%,

4/01/31

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

United

States

15,900,000

14,241,763

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Corporate

#### Bonds
(continued)

#### Media
(continued)

Charter

Communications

Operating

LLC

/

Charter

Communications

Operating

Capital

Corp.,

(continued)

Senior

Secured

Bond,

5.85%,

12/01/35

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

United

States

1,255,000

$

1,225,236

c

Clear

Channel

Outdoor

Holdings,

Inc.

,

Senior

Secured

Note

,

144A,

7.5 %

,

3/15/33

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

United

States

2,000,000

2,102,308

c

Directv

Financing

LLC

,

Senior

Secured

Note

,

144A,

8.875 %

,

2/01/30

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

United

States

1,440,000

1,468,399

Fox

Corp.

,

Senior

Bond

,

6.5 %

,

10/13/33

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

United

States

5,500,000

5,908,094

c

Nexstar

Media,

Inc.

,

Senior

Note

,

144A,

7.25 %

,

4/15/34

......

United

States

1,545,000

1,555,979

c

Sinclair

Television

Group,

Inc.

,

Senior

Secured

Note

,

144A,

8.125 %

,

2/15/33

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

United

States

2,000,000

2,072,430

c

Univision

Communications,

Inc.

,

Senior

Secured

Note,

144A,

9.375%,

8/01/32

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

United

States

500,000

517,802

Senior

Secured

Note,

144A,

8.875%,

4/15/33

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

United

States

385,000

387,385

c

VZ

Secured

Financing

BV

,

Senior

Secured

Note

,

144A,

7.5 %

,

1/15/33

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

Netherlands

1,000,000

970,057

30,449,453

#### Metals

#### &

#### Mining

#### 0.3%
c

Anglo

American

Capital

plc

,

Senior

Note

,

144A,

%

,

3/21/33

...

South

Africa

2,155,000

2,132,042

c

Commercial

Metals

Co.

,

Senior

Bond,

144A,

6%,

12/15/35

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

United

States

1,040,000

1,039,480

Senior

Note,

144A,

5.75%,

11/15/33

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

United

States

520,000

521,166

c

Glencore

Funding

LLC

,

Senior

Bond

,

144A,

5.508 %

,

4/01/36

...

Australia

2,165,000

2,181,031

c

Mineral

Resources

Ltd.

,

Senior

Note,

144A,

7%,

4/01/31

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

Australia

685,000

711,625

Senior

Note,

144A,

6%,

5/01/32

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

Australia

335,000

332,704

c

Novelis

Corp.

,

Senior

Note

,

144A,

6.375 %

,

8/15/33

..........

United

States

2,480,000

2,492,157

9,410,205

#### Multi-Utilities

#### 0.7%
Dominion

Energy,

Inc.

,

A,

Senior

Note,

4.35%,

8/15/32

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

United

States

3,200,000

3,105,315

C,

Senior

Note,

3.375%,

4/01/30

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

United

States

7,800,000

7,454,317

DTE

Energy

Co.

,

Senior

Note

,

4.875 %

,

6/01/28

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

United

States

5,700,000

5,745,928

Public

Service

Enterprise

Group,

Inc.

,

Senior

Bond

,

5.4 %

,

3/15/35

United

States

2,225,000

2,248,260

18,553,820

#### Oil,

#### Gas

#### &

#### Consumable

#### Fuels

#### 4.2%
c

Aker

BP

ASA

,

Senior

Bond

,

144A,

3.1 %

,

7/15/31

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

Norway

8,700,000

7,970,893

c

Calumet

Specialty

Products

Partners

LP

/

Calumet

Finance

Corp.

,

Senior

Secured

Note

,

144A,

9.25 %

,

7/15/29

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

United

States

2,400,000

2,436,000

Canadian

Natural

Resources

Ltd.

,

Senior

Bond

,

2.95 %

,

7/15/30

Canada

8,200,000

7,715,757

Cheniere

Energy,

Inc.

,

c

Senior

Bond,

144A,

5.2%,

7/30/36

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

United

States

430,000

425,266

Senior

Note,

5.65%,

4/15/34

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

United

States

1,600,000

1,648,779

c

Crescent

Energy

Finance

LLC

,

Senior

Note,

144A,

7.375%,

1/15/33

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

United

States

750,000

768,006

Senior

Note,

144A,

8.375%,

1/15/34

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

United

States

1,865,000

1,973,291

c

DT

Midstream,

Inc.

,

Senior

Bond

,

144A,

4.375 %

,

6/15/31

.....

United

States

6,600,000

6,381,587

Eastern

Energy

Gas

Holdings

LLC

,

Senior

Bond

,

5.8 %

,

1/15/35

United

States

6,700,000

6,974,226

Energy

Transfer

LP

,

Senior

Note,

6.4%,

12/01/30

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

United

States

6,000,000

6,405,926

c

Senior

Note,

144A,

6%,

2/01/29

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

United

States

4,000,000

4,037,762

c

Hess

Midstream

Operations

LP

,

Senior

Note

,

144A,

6.5 %

,

6/01/29

United

States

2,700,000

2,767,824

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Corporate

#### Bonds
(continued)

#### Oil,

#### Gas

#### &

#### Consumable

#### Fuels
(continued)

c

Hilcorp

Energy

I

LP

/

Hilcorp

Finance

Co.

,

Senior

Bond

,

144A,

6.25 %

,

4/15/32

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

United

States

910,000

$

904,616

c

KazMunayGas

National

Co.

JSC

,

Senior

Bond

,

Reg

S,

5.375 %

,

4/24/30

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

Kazakhstan

1,120,000

1,140,864

c

Kinetik

Holdings

LP

,

Senior

Note

,

144A,

5.875 %

,

6/15/30

......

United

States

3,000,000

3,011,799

MPLX

LP

,

Senior

Bond

,

5.4 %

,

4/01/35

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

United

States

9,100,000

9,100,456

Murphy

Oil

Corp.

,

Senior

Note,

6%,

10/01/32

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

United

States

135,000

135,971

Senior

Note,

6.5%,

2/15/34

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

United

States

500,000

504,141

ONEOK,

Inc.

,

Senior

Bond,

5.375%,

6/01/29

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

United

States

10,900,000

11,129,140

c

Senior

Note,

144A,

5.625%,

1/15/28

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

United

States

1,700,000

1,721,202

c

Pertamina

Hulu

Energi

PT

,

Senior

Note

,

144A,

5.25 %

,

5/21/30

.

Indonesia

1,700,000

1,718,903

Sabine

Pass

Liquefaction

LLC

,

Senior

Secured

Note

,

4.5 %

,

5/15/30

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

United

States

10,000,000

9,990,556

c

Sunoco

LP

,

Senior

Note,

144A,

5.375%,

7/15/31

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

United

States

1,075,000

1,070,577

Senior

Note,

144A,

5.625%,

7/15/34

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

United

States

640,000

631,738

Targa

Resources

Corp.

,

Senior

Note

,

4.35 %

,

4/15/31

........

United

States

1,320,000

1,294,342

Transcontinental

Gas

Pipe

Line

Co.

LLC

,

Senior

Note

,

5.1 %

,

3/15/36

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

United

States

1,525,000

1,513,730

c

Var

Energi

ASA

,

Senior

Bond

,

144A,

%

,

11/15/32

..........

Norway

9,000,000

10,248,673

c

Venture

Global

Calcasieu

Pass

LLC

,

Senior

Secured

Bond,

144A,

4.125%,

8/15/31

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

United

States

2,600,000

2,437,086

Senior

Secured

Bond,

144A,

6%,

5/01/36

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

United

States

1,080,000

1,088,913

c

Venture

Global

LNG,

Inc.

,

Senior

Secured

Note

,

144A,

8.375 %

,

6/01/31

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

United

States

2,500,000

2,607,760

c

Venture

Global

Plaquemines

LNG

LLC

,

Senior

Secured

Bond,

144A,

7.75%,

5/01/35

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

United

States

900,000

1,012,652

Senior

Secured

Bond,

144A,

6.75%,

1/15/36

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

United

States

730,000

776,366

Senior

Secured

Note,

144A,

7.5%,

5/01/33

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

United

States

500,000

554,699

Viper

Energy

Partners

LLC

,

Senior

Bond

,

5.7 %

,

8/01/35

......

United

States

1,840,000

1,868,950

c

Western

Midstream

Operating

LP

,

Senior

Note

,

144A,

7.25 %

,

4/01/30

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

United

States

1,900,000

2,003,845

115,972,296

#### Paper

#### &

#### Forest

#### Products

#### 0.1%
c

Georgia-Pacific

LLC

,

Senior

Note

,

144A,

4.9 %

,

5/15/33

.......

United

States

2,055,000

2,051,461

#### Personal

#### Care

#### Products

#### 0.4%
c

Coty,

Inc.

/

HFC

Prestige

Products,

Inc.

/

HFC

Prestige

International

US

LLC

,

Senior

Secured

Note

,

144A,

4.75 %

,

1/15/29

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

United

States

8,000,000

7,753,960

c

Opal

Bidco

SAS

,

Senior

Secured

Note

,

144A,

6.5 %

,

3/31/32

...

France

2,000,000

2,037,354

9,791,314

#### Pharmaceuticals

#### 1.1%
c

Bayer

US

Finance

II

LLC

,

Senior

Bond

,

144A,

4.375 %

,

12/15/28

Germany

11,700,000

11,616,909

Merck

&

Co.,

Inc.

,

Senior

Bond,

4.75%,

12/04/35

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

United

States

1,190,000

1,165,321

Senior

Note,

4.45%,

12/04/32

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

United

States

740,000

733,254

Novartis

Capital

Corp.

,

Senior

Bond,

4.9%,

3/18/36

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

United

States

1,780,000

1,768,360

Senior

Bond,

5.7%,

3/18/56

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

United

States

955,000

957,258

Senior

Note,

4.1%,

11/05/30

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

United

States

5,305,000

5,237,050

Senior

Note,

4.6%,

3/18/33

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

United

States

1,445,000

1,435,440

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Corporate

#### Bonds
(continued)

#### Pharmaceuticals
(continued)

Pfizer

Investment

Enterprises

Pte.

Ltd.

,

Senior

Bond

,

4.75 %

,

5/19/33

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

United

States

3,500,000

$

3,486,249

Royalty

Pharma

plc

,

Senior

Bond,

5.2%,

9/25/35

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

United

States

1,250,000

1,239,192

Senior

Bond,

3.3%,

9/02/40

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

United

States

5,300,000

4,060,787

31,699,820

#### Residential

#### REITs

#### 0.1%
Essex

Portfolio

LP

,

Senior

Bond

,

5.375 %

,

4/01/35

...........

United

States

2,600,000

2,644,537

#### Semiconductors

#### &

#### Semiconductor

#### Equipment

#### 0.7%
Broadcom,

Inc.

,

Senior

Bond,

4.95%,

1/15/36

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

United

States

1,230,000

1,218,379

Senior

Bond,

5.7%,

1/15/56

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

United

States

185,000

184,048

c

Foundry

JV

Holdco

LLC

,

Senior

Secured

Bond,

144A,

6.25%,

1/25/35

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

United

States

7,400,000

7,821,414

Senior

Secured

Bond,

144A,

6.4%,

1/25/38

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

United

States

1,315,000

1,406,272

Senior

Secured

Note,

144A,

5.9%,

1/25/33

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

United

States

1,565,000

1,629,604

Intel

Corp.

,

Senior

Bond,

5.3%,

5/15/36

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

United

States

1,310,206

1,305,208

Senior

Bond,

6.125%,

5/15/56

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

United

States

806,577

801,129

Marvell

Technology,

Inc.

,

Senior

Bond

,

5.3 %

,

4/15/36

........

United

States

3,370,000

3,373,139

c

Qnity

Electronics,

Inc.

,

Senior

Note,

144A,

6.25%,

8/15/33

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

United

States

320,000

327,801

Senior

Secured

Note,

144A,

5.75%,

8/15/32

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

United

States

550,000

555,979

18,622,973

#### Software

#### 0.7%
c

Gen

Digital,

Inc.

,

Senior

Note

,

144A,

6.25 %

,

4/01/33

.........

United

States

750,000

731,314

Oracle

Corp.

,

Senior

Bond,

4.3%,

7/08/34

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

United

States

8,000,000

7,118,896

Senior

Bond,

5.7%,

2/04/36

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

United

States

2,855,000

2,743,234

Senior

Bond,

6.7%,

2/04/56

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

United

States

935,000

862,388

Senior

Note,

4.8%,

9/26/32

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

United

States

915,000

870,385

Salesforce,

Inc.

,

Senior

Note

,

5.2 %

,

3/15/33

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

United

States

3,505,000

3,499,733

Synopsys,

Inc.

,

Senior

Bond

,

5.15 %

,

4/01/35

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

United

States

4,631,000

4,633,137

20,459,087

#### Specialized

#### REITs

#### 0.2%
American

Tower

Corp.

,

Senior

Note

,

4.7 %

,

12/15/32

.........

United

States

925,000

913,872

c

Iron

Mountain,

Inc.

,

Senior

Note

,

144A,

%

,

2/15/29

.........

United

States

2,700,000

2,760,861

c

Millrose

Properties,

Inc.

,

Senior

Note

,

144A,

6.375 %

,

8/01/30

..

United

States

1,995,000

2,021,940

5,696,673

#### Specialty

#### Retail

#### 0.1%
AutoNation,

Inc.

,

Senior

Bond

,

4.75 %

,

6/01/30

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

United

States

1,900,000

1,892,026

#### Technology

#### Hardware,

#### Storage

#### &

#### Peripherals

#### 0.5%
Dell

International

LLC

/

EMC

Corp.

,

Senior

Bond

,

5.4 %

,

4/15/34

United

States

7,800,000

7,940,235

Hewlett

Packard

Enterprise

Co.

,

Senior

Note

,

4.85 %

,

10/15/31

.

United

States

4,500,000

4,475,448

c

Seagate

Data

Storage

Technology

Pte.

Ltd.

,

Senior

Note

,

144A,

5.875 %

,

7/15/30

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

United

States

1,600,000

1,635,883

14,051,566

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Corporate

#### Bonds
(continued)

#### Textiles,

#### Apparel

#### &

#### Luxury

#### Goods

#### 0.1%
Tapestry,

Inc.

,

Senior

Bond

,

5.5 %

,

3/11/35

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

United

States

1,820,000

$

1,829,278

#### Tobacco

#### 0.5%
BAT

Capital

Corp.

,

Senior

Bond,

4.39%,

8/15/37

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

United

Kingdom

1,700,000

1,549,053

Senior

Note,

4.625%,

3/22/33

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

United

Kingdom

4,985,000

4,886,551

Philip

Morris

International,

Inc.

,

Senior

Bond

,

5.375 %

,

2/15/33

..

United

States

7,200,000

7,407,594

13,843,198

#### Trading

#### Companies

#### &

#### Distributors

#### 0.1%
c

EquipmentShare.com,

Inc.

,

Secured

Note

,

144A,

8.625 %

,

5/15/32

United

States

1,500,000

1,592,722

c

WESCO

Distribution,

Inc.

,

Senior

Note

,

144A,

6.375 %

,

3/15/29

.

United

States

2,000,000

2,041,870

3,634,592

#### Transportation

#### Infrastructure

#### 0.0%

#### †
c,g

Rutas

and

Finance

Ltd.

,

Senior

Secured

Bond

,

144A,

2.6%

,

9/30/36

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

United

States

196,000

149,940

#### Wireless

#### Telecommunication

#### Services

#### 0.8%
c

Connect

Finco

SARL

/

Connect

US

Finco

LLC

,

Senior

Secured

Note

,

144A,

%

,

9/15/29

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

United

Kingdom

2,500,000

2,639,842

a,g

Digicel

Group

Holdings

Ltd.

,

29.35%,

11/17/33

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

Bermuda

677,343

21,434

32.05%,

11/17/33

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

Bermuda

72,906

8,936

T-Mobile

USA,

Inc.

,

Senior

Bond,

5%,

2/15/36

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

United

States

2,485,000

2,432,675

Senior

Bond,

3.3%,

2/15/51

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

United

States

4,800,000

3,113,867

Senior

Note,

3.875%,

4/15/30

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

United

States

13,400,000

13,050,268

21,267,022

#### Total

#### Corporate

#### Bonds

#### (Cost

#### $1,086,608,718)
.................................

#### 1,061,337,724
h

#### Senior

#### Floating

#### Rate

#### Interests

#### 3.0%
i

#### Aerospace

#### &

#### Defense

#### 0.1%
TransDigm,

Inc.,

First

Lien,

CME

Term

Loan,

K,

5.902%,

(1-month

SOFR

+

2.25%),

3/22/30

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

United

States

1,020,872

1,023,603

f

TransDigm,

Inc.,

First

Lien,

CME

Term

Loan,

N,

6.152%,

(1-month

SOFR

+

2.5%),

2/14/33

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

United

States

1,186,047

1,189,350

f

VSE

Corp.,

First

Lien,

CME

Term

Loan,

B,

5.474%,

(12-month

SOFR

+

2%),

3/17/33

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

United

States

150,961

151,842

2,364,795

a

a

a

a

a

a

i

#### Air

#### Freight

#### &

#### Logistics

#### 0.1%
Rand

Parent

LLC,

First

Lien,

CME

Term

Loan,

B,

6.7%,

(3-month

SOFR

+

3%),

3/18/30

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

United

States

392,381

394,454

Stonepeak

Nile

Parent

LLC,

First

Lien,

Amendment

No.

CME

Term

Loan,

5.919%,

(3-month

SOFR

+

2.25%),

4/09/32

.....

United

States

1,097,250

1,102,226

1,496,680

a

a

a

a

a

a

i

#### Automobile

#### Components

#### 0.0%

#### †
American

Axle

&

Manufacturing,

Inc.,

First

Lien,

CME

Term

Loan,

C,

6.912%,

(3-month

SOFR

+

3.25%),

2/03/33

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

United

States

292,444

292,809

Clarios

Global

LP,

First

Lien,

Amendment

No.

Dollar

CME

Term

Loan,

6.402%,

(1-month

SOFR

+

2.75%),

1/28/32

.........

United

States

766,091

770,722

e

First

Brands

Group

LLC,

First

Lien,

2021

CME

Term

Loan,

PIK,

3.779%,

(1-month

SOFR

+

7%),

3/30/27

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

United

States

71,058

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

h

#### Senior

#### Floating

#### Rate

#### Interests
(continued)

i

#### Automobile

#### Components
(continued)

e

First

Brands

Group

LLC,

First

Lien,

Debtor-In-Possession

Roll

Up

CME

Term

Loan,

PIK,

10.661%,

(1-month

SOFR

+

7%),

6/29/26

United

States

705,417

$

2,776

e

First

Brands

Group

LLC,

First

Lien,

USD

Debtor-In-Possession

New

Money

CME

Term

Loan,

PIK,

13.657%,

(1-month

SOFR

+

10%),

6/29/26

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

United

States

276,894

68,446

e

First

Brands

Group

LLC,

Second

Lien,

2021

CME

Term

Loan,

PIK,

14.279%,

(1-month

SOFR

+

10.615%),

3/30/28

........

United

States

1,132,040

1,528

1,136,447

a

a

a

a

a

a

#### Beverages

#### 0.0%

#### †
i

Primo

Brands

Corp.,

First

Lien,

2026

Refinancing

CME

Term

Loan,

6.45%,

(3-month

SOFR

+

2.75%),

3/31/31

..........

United

States

316,298

318,658

#### Biotechnology

#### 0.1%
f,i

BioMarin

Pharmaceutical,

Inc.,

First

Lien,

CME

Term

Loan,

B,

5.174%,

(12-month

SOFR

+

1.75%),

1/28/33

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

United

States

2,657,291

2,668,093

#### Broadline

#### Retail

#### 0.0%

#### †
i

Peer

Holding

III

BV,

First

Lien,

CME

Term

Loan,

B5B,

6.2%,

(3-month

SOFR

+

2.5%),

7/01/31

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

Netherlands

316,236

317,501

i

#### Building

#### Products

#### 0.0%

#### †
EMRLD

Borrower

LP,

First

Lien,

Second

Amendment

Incremental

CME

Term

Loan,

5.95%,

(1-month

SOFR

+

2.25%),

8/04/31

..

United

States

218,578

219,130

Quikrete

Holdings,

Inc.,

First

Lien,

CME

Term

Loan,

B2,

5.902%,

(1-month

SOFR

+

2.25%),

3/19/29

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

United

States

400,116

400,991

Quikrete

Holdings,

Inc.,

First

Lien,

CME

Term

Loan,

B3,

5.902%,

(1-month

SOFR

+

2.25%),

2/10/32

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

United

States

273,103

273,641

893,762

a

a

a

a

a

a

i

#### Capital

#### Markets

#### 0.2%
Citadel

Securities

Global

Holdings

LLC,

First

Lien,

2024

CME

Term

Loan,

5.7%,

(3-month

SOFR

+

2%),

10/31/31

........

United

States

696,724

700,110

f

CPI

Holdco

B

LLC,

First

Lien,

2025

Fourth

Amendment

Incremental

CME

Term

Loan,

5.652%,

(1-month

SOFR

+

2%),

5/19/31

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

United

States

1,000,000

1,001,020

Jane

Street

Group

LLC,

First

Lien,

Extended

CME

Term

Loan,

5.673%,

(3-month

SOFR

+

2%),

12/15/31

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

United

States

2,696,776

2,695,428

4,396,558

a

a

a

a

a

a

i

#### Chemicals

#### 0.1%
Albaugh

LLC,

First

Lien,

Initial

CME

Term

Loan,

7.413%,

(1-month

SOFR

+

3.75;

3-month

SOFR

+

3.75),

4/06/29

.....

United

States

611,336

594,742

f

Minerals

Technologies,

Inc.,

First

Lien,

CME

Term

Loan,

B,

5.652%,

(1-month

SOFR

+

2%),

11/26/31

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

United

States

1,000,000

1,003,750

Solstice

Advanced

Materials,

Inc.,

First

Lien,

CME

Term

Loan,

B,

5.413%,

(3-month

SOFR

+

1.75%),

10/29/32

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

United

States

225,090

226,955

1,825,447

a

a

a

a

a

a

i

#### Commercial

#### Services

#### &

#### Supplies

#### 0.1%
APi

Group

DE,

Inc.,

First

Lien,

2021

Incremental

CME

Term

Loan,

5.402%,

(1-month

SOFR

+

1.75%),

1/03/29

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

United

States

1,100,000

1,104,587

Cimpress

USA,

Inc.,

First

Lien,

2024-2

Refinancing

CME

Term

Loan,

B1,

6.168%,

(1-month

SOFR

+

2.5%),

5/17/28

.......

Ireland

459,268

460,990

Prime

Security

Services

Borrower

LLC,

First

Lien,

2025

Incremental

CME

Term

Loan,

B2,

5.407%,

(1-month

SOFR

+

1.75%),

3/08/32

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

United

States

1,097,229

1,087,371

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

h

#### Senior

#### Floating

#### Rate

#### Interests
(continued)

i

#### Commercial

#### Services

#### &

#### Supplies
(continued)

Spin

Holdco,

Inc.,

First

Lien,

Initial

CME

Term

Loan,

7.928%,

(3-month

SOFR

+

4%),

9/04/30

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

United

States

131,898

$

93,318

f

WMB

Holdings,

Inc.,

First

Lien,

USD

CME

Term

Loan,

B,

5.652%,

(1-month

SOFR

+

2%),

11/05/29

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

United

States

1,042,559

1,046,145

3,792,411

a

a

a

a

a

a

#### Communications

#### Equipment

#### 0.0%

#### †
i

Viavi

Solutions,

Inc.,

First

Lien,

CME

Term

Loan,

6.18%,

(3-month

SOFR

+

2.5%),

10/18/32

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

United

States

155,709

156,732

i

#### Containers

#### &

#### Packaging

#### 0.1%
Clydesdale

Acquisition

Holdings,

Inc.,

First

Lien,

2025

Incremental

Closing

Date

CME

Term

Loan,

B,

6.902%,

(1-month

SOFR

+

3.25%),

4/01/32

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

United

States

585,040

544,368

f

Owens-Brockway

Glass

Container,

Inc.,

First

Lien,

CME

Term

Loan,

B1,

6.652%,

(1-month

SOFR

+

3%),

9/30/32

.........

United

States

1,006,577

995,254

1,539,622

a

a

a

a

a

a

#### Distributors

#### 0.0%

#### †
i

Core

&

Main

LP,

First

Lien,

CME

Term

Loan,

D,

5.654%,

(1-month

SOFR

+

2%),

7/27/28

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

United

States

453,446

455,239

i

#### Electric

#### Utilities

#### 0.3%
Alpha

Generation

LLC,

First

Lien,

Initial

CME

Term

Loan,

B,

5.402%,

(1-month

SOFR

+

1.75%),

9/30/31

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

United

States

2,643,661

2,646,912

Astoria

Energy

LLC,

First

Lien,

Advance

CME

Term

Loan,

B,

5.919%,

(1-month

SOFR

+

2.25;

3-month

SOFR

+

2.25),

6/23/32

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

United

States

164,017

164,799

Constellation

Renewables

LLC,

First

Lien,

CME

Term

Loan,

5.673%,

(3-month

SOFR

+

2%),

12/15/27

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

United

States

2,700,000

2,704,225

f

NRG

Energy,

Inc.,

First

Lien,

Incremental

CME

Term

Loan,

B,

5.561%,

(12-month

SOFR

+

1.75%),

4/15/33

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

United

States

2,746,199

2,759,587

8,275,523

a

a

a

a

a

a

i

#### Entertainment

#### 0.2%
f

Delta

(Lux)

SARL,

First

Lien,

CME

Term

Loan,

B,

5.45%,

(1-month

SOFR

+

1.75%),

9/30/31

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

Luxembourg

750,000

752,438

f

Live

Nation

Entertainment,

Inc.,

First

Lien,

Initial

CME

Term

Loan,

B,

5.657%,

(1-month

SOFR

+

2%),

10/21/32

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

United

States

1,000,000

1,002,500

Playtika

Holding

Corp.,

First

Lien,

CME

Term

Loan,

B1,

6.517%,

(1-month

SOFR

+

2.75%),

3/13/28

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

United

States

683,423

658,912

f

TKO

Worldwide

Holdings

LLC,

First

Lien,

CME

Term

Loan,

B5,

5.664%,

(3-month

SOFR

+

2%),

11/21/31

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

United

States

2,629,463

2,639,507

5,053,357

a

a

a

a

a

a

i

#### Financial

#### Services

#### 0.1%
Colossus

Acquireco

LLC,

First

Lien,

Initial

CME

Term

Loan,

5.38%,

(1-day

SOFR

+

1.75%),

7/30/32

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

United

States

2,697,243

2,700,615

First

Eagle

Holdings,

Inc.,

First

Lien,

Initial

CME

Term

Loan,

7.2%,

(3-month

SOFR

+

3.5%),

8/16/32

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

United

States

482,834

482,298

3,182,913

a

a

a

a

a

a

i

#### Food

#### Products

#### 0.1%
Chobani

LLC,

First

Lien,

Closing

Date

CME

Term

Loan,

5.918%,

(1-month

SOFR

+

2.25%),

10/28/32

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

United

States

271,960

273,805

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

h

#### Senior

#### Floating

#### Rate

#### Interests
(continued)

i

#### Food

#### Products
(continued)

f

Froneri

International

Ltd.,

First

Lien,

CME

Term

Loan,

B4,

5.877%,

(6-month

SOFR

+

2.25%),

9/30/31

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

United

Kingdom

2,374,387

$

2,360,508

f

Wayne-Sanderson

Farms

LLC,

First

Lien,

CME

Term

Loan,

B,

5.652%,

(1-month

SOFR

+

2%),

5/21/32

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

United

States

1,000,000

1,001,250

3,635,563

a

a

a

a

a

a

i

#### Ground

#### Transportation

#### 0.2%
Aggreko

Holdings,

Inc.,

First

Lien,

2025

Amended

USD

CME

Term

Loan,

6.664%,

(3-month

SOFR

+

3%),

5/21/31

.......

United

Kingdom

87,316

87,851

f

First

Student

Bidco,

Inc.,

First

Lien,

Initial

CME

Term

Loan,

B,

5.95%,

(3-month

SOFR

+

2.25%),

8/15/30

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

United

States

1,075,527

1,077,318

f

First

Student

Bidco,

Inc.,

First

Lien,

Initial

CME

Term

Loan,

C,

5.95%,

(3-month

SOFR

+

2.25%),

8/15/30

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

United

States

196,795

197,123

Genesee

&

Wyoming,

Inc.,

First

Lien,

Initial

CME

Term

Loan,

5.45%,

(3-month

SOFR

+

1.75%),

4/10/31

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

United

States

2,697,215

2,702,569

4,064,861

a

a

a

a

a

a

#### Health

#### Care

#### Equipment

#### &

#### Supplies

#### 0.0%

#### †
i

Hologic,

Inc.,

First

Lien,

CME

Term

Loan,

B,

5.924%,

(3-month

SOFR

+

2.25%),

4/07/33

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

United

States

500,000

497,815

i

#### Health

#### Care

#### Providers

#### &

#### Services

#### 0.0%

#### †
Medical

Solutions

Holdings,

Inc.,

First

Lien,

CME

Term

Loan,

7.263%,

(3-month

SOFR

+

3.5%),

11/01/28

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

United

States

636,821

105,477

Paradigm

Parent

LLC,

First

Lien,

Initial

CME

Term

Loan,

8.2%,

(3-month

SOFR

+

4.5%),

4/16/32

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

United

States

248,750

217,113

Surgery

Center

Holdings,

Inc.,

First

Lien,

2025

Refinancing

CME

Term

Loan,

6.168%,

(1-month

SOFR

+

2.5%),

12/19/30

.....

United

States

57,487

57,706

380,296

a

a

a

a

a

a

#### Health

#### Care

#### Technology

#### 0.0%

#### †
i

Cotiviti,

Inc.,

First

Lien,

New

CME

Term

Loan,

B,

6.415%,

(1-month

SOFR

+

2.75%),

5/01/31

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

United

States

310,139

285,715

i

#### Hotels,

#### Restaurants

#### &

#### Leisure

#### 0.3%
1011778

BC

ULC,

First

Lien,

CME

Term

Loan,

B5,

5.418%,

(1-month

SOFR

+

1.75%),

9/20/30

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

Canada

2,700,000

2,705,899

Caesars

Entertainment,

Inc.,

First

Lien,

2023

Incremental

CME

Term

Loan,

B,

5.902%,

(1-month

SOFR

+

2.25%),

2/06/30

...

United

States

299,208

291,106

DK

Crown

Holdings,

Inc.,

First

Lien,

CME

Term

Loan,

B,

5.411%,

(1-month

SOFR

+

1.75%),

3/04/32

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

United

States

1,097,229

1,100,274

f

Flutter

Financing

BV,

First

Lien,

2024

Refinancing

CME

Term

Loan,

B,

5.45%,

(3-month

SOFR

+

1.75%),

12/02/30

.......

Ireland

1,300,000

1,298,375

f

Raising

Cane's

Restaurants

LLC,

First

Lien,

First

Amendment

New

CME

Term

Loan,

5.652%,

(1-month

SOFR

+

2%),

11/03/32

United

States

2,697,250

2,703,157

8,098,811

a

a

a

a

a

a

#### Household

#### Products

#### 0.0%

#### †
i

Energizer

Holdings,

Inc.,

First

Lien,

Initial

CME

Term

Loan,

5.652%,

(1-month

SOFR

+

2%),

3/19/32

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

United

States

1,096,911

1,100,564

i

#### Independent

#### Power

#### and

#### Renewable

#### Electricity

#### Producers

#### 0.0%

#### †
Calpine

Construction

Finance

Co.

LP,

First

Lien,

2025

Refinancing

CME

Term

Loan,

5.402%,

(1-month

SOFR

+

1.75%),

7/31/30

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

United

States

300,000

301,354

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

h

#### Senior

#### Floating

#### Rate

#### Interests
(continued)

i

#### Independent

#### Power

#### and

#### Renewable

#### Electricity

#### Producers
(continued)

Talen

Energy

Supply

LLC,

First

Lien,

2024-1

Incremental

CME

Term

Loan,

B,

6.153%,

(3-month

SOFR

+

2.5%),

12/15/31

...

United

States

132,848

$

133,500

434,854

a

a

a

a

a

a

i

#### Insurance

#### 0.1%
Asurion

LLC,

First

Lien,

New

CME

Term

Loan,

B10,

7.763%,

(3-month

SOFR

+

4%),

8/21/28

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

United

States

234,752

235,316

Asurion

LLC,

First

Lien,

New

CME

Term

Loan,

B11,

8.013%,

(3-month

SOFR

+

4.25%),

8/21/28

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

United

States

10,216

10,232

f

Lockton,

Inc.,

First

Lien,

CME

Term

Loan,

B,

5.811%,

(12-month

SOFR

+

2%),

4/25/33

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

United

States

2,290,000

2,298,587

2,544,135

a

a

a

a

a

a

#### IT

#### Services

#### 0.0%

#### †
i

MH

Sub

I

LLC,

First

Lien,

2024

December

New

CME

Term

Loan,

7.902%,

(1-month

SOFR

+

4.25%),

12/31/31

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

United

States

101,386

80,405

#### Machinery

#### 0.0%

#### †
i

Columbus

McKinnon

Corp.,

First

Lien,

Initial

CME

Term

Loan,

7.2%,

(3-month

SOFR

+

3.5%),

2/03/33

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

United

States

63,934

64,121

i

#### Media

#### 0.2%
Advantage

Sales

&

Marketing,

Inc.,

First

Lien,

Exchange

CME

Term

Loan,

9.93%,

(3-month

SOFR

+

6%),

4/19/30

........

United

States

280,556

230,408

Charter

Communications

Operating

LLC,

First

Lien,

CME

Term

Loan

B5,

5.942%,

(3-month

SOFR

+

2.25%),

12/15/31

......

United

States

1,097,222

1,097,853

Nexstar

Media,

Inc.,

First

Lien,

CME

Term

Loan,

B7,

6.402%,

(1-month

SOFR

+

2.75%),

3/18/33

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

United

States

2,685,000

2,686,477

4,014,738

a

a

a

a

a

a

#### Mortgage

#### Real

#### Estate

#### Investment

#### Trusts
(REITs)

#### 0.0%

#### †
i

Starwood

Property

Mortgage

LLC,

First

Lien,

CME

Term

Loan,

B5,

5.668%,

(1-month

SOFR

+

2%),

1/02/30

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

United

States

246,884

248,119

i

#### Oil,

#### Gas

#### &

#### Consumable

#### Fuels

#### 0.2%
f

CQP

Holdco

LP,

First

Lien,

CME

Term

Loan,

B,

5.45%,

(3-month

SOFR

+

1.75%),

12/31/32

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

United

States

2,700,000

2,701,863

Delek

US

Holdings,

Inc.,

First

Lien,

CME

Term

Loan,

B,

7.268%,

(1-month

SOFR

+

3.5%),

11/19/29

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

United

States

446,538

447,690

UGI

Energy

Services

LLC,

First

Lien,

Initial

CME

Term

Loan,

6.152%,

(1-month

SOFR

+

2.5%),

2/22/30

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

United

States

517,472

521,353

f

Venture

Global

Calcasieu

Pass

LLC,

First

Lien,

Initial

CME

Term

Loan,

6.724%,

(12-month

SOFR

+

3.25%),

4/11/33

........

United

States

2,652,382

2,663,986

6,334,892

a

a

a

a

a

a

i

#### Passenger

#### Airlines

#### 0.1%
AAdvantage

Loyalty

IP

Ltd.,

First

Lien,

2025

Incremental

CME

Term

Loan,

6.425%,

(3-month

SOFR

+

2.75%),

5/28/32

.....

United

States

1,097,229

1,094,371

AAdvantage

Loyalty

IP

Ltd.,

First

Lien,

CME

Term

Loan,

5.925%,

(3-month

SOFR

+

2.25%),

4/20/28

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

United

States

291,067

289,873

AS

Mileage

Plan

IP

Ltd.,

First

Lien,

Initial

CME

Term

Loan,

5.425%,

(3-month

SOFR

+

1.75%),

10/15/31

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

United

States

421,541

422,529

United

Airlines,

Inc.,

First

Lien,

CME

Term

Loan,

B,

5.404%,

(1-month

SOFR

+

1.75%),

2/24/31

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

United

States

1,059,455

1,063,762

2,870,535

a

a

a

a

a

a

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

h

#### Senior

#### Floating

#### Rate

#### Interests
(continued)

i

#### Professional

#### Services

#### 0.1%
Maximus,

Inc.,

First

Lien,

CME

Term

Loan,

B,

5.652%,

(1-month

SOFR

+

2%),

5/30/31

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

United

States

278,276

$

278,536

f

SS&C

Technologies,

Inc.,

First

Lien,

CME

Term

Loan,

B8,

5.652%,

(1-month

SOFR

+

2%),

5/09/31

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

United

States

2,600,000

2,603,237

2,881,773

a

a

a

a

a

a

#### Real

#### Estate

#### Management

#### &

#### Development

#### 0.0%

#### †
f,i

Greystar

Real

Estate

Partners

LLC,

First

Lien,

CME

Term

Loan,

B3,

6.173%,

(3-month

SOFR

+

2.5%),

8/21/30

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

United

States

362,500

363,859

#### Software

#### 0.1%
i

Adeia,

Inc.,

First

Lien,

Initial

CME

Term

Loan,

B6,

6.168%,

(1-month

SOFR

+

2.5%),

6/08/28

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

United

States

999,911

1,002,411

i

Gen

Digital,

Inc.,

First

Lien,

CME

Term

Loan,

B,

5.402%,

(1-month

SOFR

+

1.75%),

9/12/29

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

United

States

1,000,000

986,180

a,d

WorkCapital

BSD

SARL,

Term

Loan,

6.5%,

1/01/38

..........

Luxembourg

20,000,000

—

1,988,591

a

a

a

a

a

a

i

#### Specialty

#### Retail

#### 0.1%
e

GNC

Holdings,

Inc.,

Second

Lien,

CME

Term

Loan,

PIK,

9.768%,

(1-month

SOFR

+

6%),

10/07/26

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

United

States

3,335,320

2,597,380

Great

Outdoors

Group

LLC,

First

Lien,

CME

Term

Loan,

B,

6.902%,

(1-month

SOFR

+

3.25%),

1/23/32

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

United

States

439,451

442,802

3,040,182

a

a

a

a

a

a

i

#### Trading

#### Companies

#### &

#### Distributors

#### 0.1%
Herc

Holdings,

Inc.,

First

Lien,

CME

Term

Loan,

B,

5.402%,

(1-month

SOFR

+

1.75%),

6/02/32

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

United

States

463,003

465,649

QXO

Building

Products,

Inc.,

First

Lien,

CME

Term

Loan,

B,

5.652%,

(1-month

SOFR

+

2%),

4/30/32

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

United

States

1,100,000

1,101,694

1,567,343

a

a

a

a

a

a

#### Water

#### Utilities

#### 0.0%

#### †
i

Deep

Blue

Operating

I

LLC,

First

Lien,

Initial

CME

Term

Loan,

6.411%,

(1-month

SOFR

+

2.75%),

10/01/32

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

United

States

124,304

125,081

#### Total

#### Senior

#### Floating

#### Rate

#### Interests

#### (Cost

#### $104,939,861)
.......................

#### 82,495,991
j

#### Marketplace

#### Loans

#### 0.1%
a

#### Financial

#### Services

#### 0.1%
a

a

a

a

a

a

#### Total

#### Marketplace

#### Loans

#### (Cost

#### $9,189,510)
...................................

#### 2,232,026

#### Foreign

#### Government

#### and

#### Agency

#### Securities

#### 2.7%
c

Angola

Government

Bond

,

Senior

Bond

,

144A,

8.25 %

,

5/09/28

.

Angola

1,560,000

1,600,534

c

Bank

Gospodarstwa

Krajowego

,

Senior

Bond

,

Reg

S,

5.375 %

,

5/22/33

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

Poland

1,560,000

1,595,066

c

Benin

Government

Bond

,

Senior

Bond

,

Reg

S,

4.95 %

,

1/22/35

.

Benin

1,660,000

EUR

1,762,612

Brazil

Government

Bond

,

Senior

Bond,

3.875%,

6/12/30

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

Brazil

3,100,000

2,978,325

Senior

Bond,

6%,

10/20/33

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

Brazil

720,000

728,136

c

Bulgaria

Government

Bond

,

Senior

Bond,

Reg

S,

5%,

3/05/37

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

Bulgaria

530,000

517,453

Senior

Note,

Reg

S,

3.625%,

9/05/32

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

Bulgaria

1,230,000

EUR

1,460,425

Chile

Government

Bond

,

Senior

Note

,

4.85 %

,

1/22/29

........

Chile

1,660,000

1,682,825

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Foreign

#### Government

#### and

#### Agency

#### Securities
(continued)

Colombia

Government

Bond

,

Senior

Bond,

7.5%,

2/02/34

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

Colombia

1,550,000

$

1,625,175

Senior

Note,

4.5%,

11/26/30

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

Colombia

1,030,000

EUR

1,189,578

c

Comision

Federal

de

Electricidad

,

Senior

Bond

,

144A,

3.348 %

,

2/09/31

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

Mexico

2,000,000

1,817,740

c

Corp.

Nacional

del

Cobre

de

Chile

,

Senior

Bond

,

Reg

S,

3.75 %

,

1/15/31

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

Chile

1,570,000

1,495,224

c

Costa

Rica

Government

Bond

,

Senior

Bond

,

144A,

6.125 %

,

2/19/31

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

Costa

Rica

1,930,000

2,010,964

c

Dominican

Republic

Government

Bond

,

Senior

Bond,

Reg

S,

6%,

7/19/28

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

Dominican

Republic

1,540,000

1,564,871

Senior

Bond,

Reg

S,

4.875%,

9/23/32

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

Dominican

Republic

1,630,000

1,541,898

c

Eagle

Funding

Luxco

SARL

,

Senior

Note

,

144A,

5.5 %

,

8/17/30

.

Mexico

1,100,000

1,109,845

Ecopetrol

SA

,

Senior

Bond

,

4.625 %

,

11/02/31

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

Colombia

880,000

793,367

c

Egypt

Government

Bond

,

Senior

Bond

,

Reg

S,

7.6 %

,

3/01/29

..

Egypt

1,120,000

1,151,514

c

El

Salvador

Government

Bond

,

Senior

Bond

,

Reg

S,

8.625 %

,

2/28/29

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

El

Salvador

1,430,000

1,524,401

c

Electricite

de

France

SA

,

Senior

Note

,

144A,

5.7 %

,

5/23/28

....

France

1,700,000

1,738,406

c

Guatemala

Government

Bond

,

Senior

Bond,

Reg

S,

6.6%,

6/13/36

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

Guatemala

2,200,000

2,365,000

Senior

Note,

144A,

7.05%,

10/04/32

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

Guatemala

710,000

775,125

c

Hungary

Government

Bond

,

Senior

Note

,

Reg

S,

5.25 %

,

6/16/29

Hungary

1,680,000

1,710,033

c

Indonesia

Government

Bond

,

Senior

Bond

,

Reg

S,

4.35 %

,

1/08/27

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

Indonesia

1,570,000

1,573,672

c

Ivory

Coast

Government

Bond

,

Senior

Bond

,

Reg

S,

6.125 %

,

6/15/33

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

Ivory

Coast

2,470,000

2,418,580

c

Kazakhstan

Government

Bond

,

Senior

Bond

,

Reg

S,

4.714 %

,

4/09/35

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

Kazakhstan

1,890,000

1,864,026

Mexico

Government

Bond

,

Senior

Bond

,

2.659 %

,

5/24/31

.....

Mexico

1,990,000

1,771,399

c

Montenegro

Government

Bond

,

Senior

Note

,

144A,

4.875 %

,

4/01/32

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

Montenegro

990,000

EUR

1,169,647

c

Nigeria

Government

Bond

,

Senior

Note

,

144A,

8.375 %

,

3/24/29

Nigeria

1,450,000

1,551,268

c

North

Macedonia

Government

Bond

,

Senior

Note

,

144A,

4.75 %

,

1/21/34

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

North

Macedonia

450,000

EUR

515,181

c

Paraguay

Government

Bond

,

Senior

Bond

,

144A,

3.849 %

,

6/28/33

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

Paraguay

2,950,000

2,770,787

Peru

Government

Bond

,

Senior

Bond

,

2.783 %

,

1/23/31

.......

Peru

2,660,000

2,451,057

Petroleos

Mexicanos

,

Senior

Note

,

6.7 %

,

2/16/32

...........

Mexico

980,000

983,807

Philippines

Government

Bond

,

Senior

Bond

,

5.5 %

,

2/04/35

....

Philippines

2,360,000

2,424,809

c

Power

Finance

Corp.

Ltd.

,

Senior

Bond

,

Reg

S,

3.95 %

,

4/23/30

.

India

1,690,000

1,636,730

c

Romania

Government

Bond

,

Senior

Bond,

Reg

S,

5.625%,

2/22/36

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

Romania

1,960,000

EUR

2,243,358

Senior

Note,

Reg

S,

3%,

2/27/27

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

Romania

1,990,000

1,960,872

c

Serbia

Government

Bond

,

Senior

Note

,

144A,

6.25 %

,

5/26/28

..

Serbia

1,880,000

1,931,326

South

Africa

Government

Bond

,

Senior

Bond,

4.85%,

9/27/27

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

South

Africa

1,470,000

1,473,961

Senior

Bond,

5.875%,

4/20/32

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

South

Africa

1,530,000

1,553,013

Turkiye

Government

Bond

,

Senior

Bond

,

5.95 %

,

1/15/31

......

Turkiye

3,430,000

3,368,805

Uruguay

Government

Bond

,

Senior

Bond

,

4.375 %

,

1/23/31

....

Uruguay

2,660,000

2,672,768

c

Uzbekistan

Government

Bond

,

Senior

Note

,

144A,

6.9 %

,

2/28/32

Uzbekistan

1,620,000

1,739,774

#### Total

#### Foreign

#### Government

#### and

#### Agency

#### Securities

#### (Cost

#### $71,803,891)
............

#### 72,813,357

#### U.S.

#### Government

#### and

#### Agency

#### Securities

#### 14.6%
FFCB

,

2.1 %,

2/25/36

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

United

States

7,700,000

6,160,168

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### U.S.

#### Government

#### and

#### Agency

#### Securities
(continued)

U.S.

Treasury

Bonds

,

3.875%,

2/15/43

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

United

States

19,000,000

$

16,753,399

4.125%,

8/15/44

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

United

States

18,500,000

16,638,076

2.5%,

5/15/46

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

United

States

40,450,000

27,529,701

2.875%,

5/15/49

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

United

States

55,250,000

38,851,973

4.25%,

8/15/54

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

United

States

134,700,000

119,175,298

4.75%,

8/15/55

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

United

States

1,105,000

1,063,217

U.S.

Treasury

Notes

,

3.625%,

5/15/26

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

United

States

3,500,000

3,499,825

4.375%,

8/15/26

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

United

States

12,100,000

12,122,817

1.875%,

2/28/27

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

United

States

48,200,000

47,464,672

3.875%,

11/30/27

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

United

States

43,700,000

43,698,293

2.875%,

5/15/28

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

United

States

37,000,000

36,269,395

4.5%,

5/31/29

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

United

States

6,930,000

7,045,861

4.375%,

11/30/30

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

United

States

24,000,000

24,361,406

#### Total

#### U.S.

#### Government

#### and

#### Agency

#### Securities

#### (Cost

#### $415,225,550)
..............

#### 400,634,101

#### Asset-Backed

#### Securities

#### 9.2%

#### Consumer

#### Finance

#### 0.2%
GM

Financial

Consumer

Automobile

Receivables

Trust

,

2026-2

,

A3

,

4.15 %

,

8/18/31

.

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

United

States

6,067,000

6,065,334

#### Financial

#### Services

#### 9.0%
c,i

Allegro

CLO

XIII

Ltd.

,

2021-1A

,

D1R

,

144A,

FRN

,

6.825 %

,

(3-month

SOFR

+

3.15 %),

7/20/38

.

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

United

States

2,500,000

2,513,595

c,i

Angel

Oak

Mortgage

Trust

,

2025-HB1

,

A1

,

144A,

FRN

,

5.445 %

,

(30-day

SOFR

Average

+

1.8 %),

2/25/55

.

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

United

States

1,155,255

1,161,691

c,i

Apex

Credit

CLO

LLC

,

2021-2A

,

A1AR

,

144A,

FRN

,

4.855 %

,

(3-month

SOFR

+

1.18 %),

10/20/34

.

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

United

States

5,100,000

5,105,905

c,i

Bain

Capital

Credit

CLO

Ltd.

,

2022-2A

,

A1R

,

144A,

FRN

,

4.814 %

,

(3-month

SOFR

+

1.15 %),

4/22/35

.

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

United

States

5,200,000

5,205,144

c,i

Black

Diamond

CLO

Ltd.

,

2021-1A

,

A1AR

,

144A,

FRN

,

4.914 %

,

(3-month

SOFR

+

1.25 %),

11/22/34

.

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

United

States

4,132,000

4,137,685

c,i

BlueMountain

CLO

XXXI

Ltd.

,

2021-31A

,

A1R

,

144A,

FRN

,

4.775 %

,

(3-month

SOFR

+

1.1 %),

4/19/34

.

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

United

States

12,470,000

12,481,173

c

BofA

Auto

Trust

,

2026-1A

,

A3

,

144A,

4.18 %

,

10/15/30

.

.......

United

States

8,620,000

8,603,470

c

BRAVO

Residential

Funding

Trust

,

2024-CES1,

A1A,

144A,

6.377%,

4/25/54

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

United

States

2,489,631

2,512,508

i

2025-HE1,

A1,

144A,

FRN,

4.995%,

(30-day

SOFR

Average

+

1.35%),

9/25/72

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

United

States

2,612,774

2,620,190

c,i

Carlyle

Global

Market

Strategies

CLO

Ltd.

,

2014-2RA

,

B

,

144A,

FRN

,

5.739 %

,

(3-month

SOFR

+

2.087 %),

5/15/31

.

........

United

States

580,000

581,762

CarMax

Auto

Owner

Trust

,

2026-2,

A2A,

4.11%,

8/15/29

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

United

States

8,288,000

8,295,857

2026-2,

A3,

4.22%,

6/16/31

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

United

States

5,086,000

5,089,342

c,i

CIFC

Funding

Ltd.

,

2017-4A,

A2R,

144A,

FRN,

5.479%,

(3-month

SOFR

+

1.812%),

10/24/30

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

United

States

4,319,957

4,320,042

2020-1A,

A1R,

144A,

FRN,

5.085%,

(3-month

SOFR

+

1.412%),

7/15/36

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

United

States

6,090,000

6,101,190

c

Compass

Datacenters

Issuer

II

LLC

,

2024-2A,

A1,

144A,

5.022%,

8/25/49

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

United

States

1,191,000

1,190,676

2025-1A,

A1,

144A,

5.316%,

5/25/50

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

United

States

1,279,000

1,284,775

2025-2A,

A1,

144A,

4.926%,

11/25/50

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

United

States

6,207,000

6,101,459

c

Compass

Datacenters

Issuer

III

LLC

,

2025-1A

,

A2

,

144A,

5.656 %

,

2/25/50

.

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

United

States

3,900,000

3,926,788

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Asset-Backed

#### Securities
(continued)

#### Financial

#### Services
(continued)

c,i

Dryden

CLO

Ltd.

,

2017-53A

,

AR

,

144A,

FRN

,

4.673 %

,

(3-month

SOFR

+

%),

1/15/31

.

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

United

States

3,070,379

$

3,070,414

c,i

Dryden

CLO

Ltd.

,

2019-75A

,

AR3

,

144A,

FRN

,

4.713 %

,

(3-month

SOFR

+

1.04 %),

4/14/34

.

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

United

States

12,600,000

12,590,891

c

FIGRE

Trust

,

2025-FL1,

A1,

144A,

5.265%,

7/25/55

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

United

States

1,917,296

1,917,539

2025-FL2,

A1,

144A,

5.053%,

11/25/55

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

United

States

1,620,604

1,612,232

k

2025-HE4,

A,

144A,

FRN,

5.408%,

7/25/55

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

United

States

4,634,844

4,649,144

k

2025-HE5,

A,

144A,

FRN,

5.285%,

8/25/55

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

United

States

1,390,593

1,390,082

c,i

Greywolf

CLO

II

Ltd.

,

2013-1A

,

A1SR

,

144A,

FRN

,

5.073 %

,

(3-month

SOFR

+

1.4 %),

4/15/34

.

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

United

States

1,000,000

1,001,665

c

GS

Mortgage-Backed

Securities

Trust

,

2025-CES2,

A1,

144A,

5.18%,

9/25/55

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

United

States

2,102,907

2,099,132

i

2025-HE1,

A1,

144A,

FRN,

5.195%,

(30-day

SOFR

Average

+

1.55%),

10/25/55

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

United

States

3,091,097

3,101,102

c

Home

Partners

of

America

Trust

,

2021-2,

B,

144A,

2.302%,

12/17/26

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

United

States

11,867,096

11,678,566

2021-3,

B,

144A,

2.649%,

1/17/41

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

United

States

4,265,909

3,998,349

c,f

Iskandar

Enterprise

LLC

,

2026-1A

,

A21

,

144A,

5.049 %

,

4/17/56

.

United

States

10,262,000

10,285,730

c

J.P.

Morgan

Mortgage

Trust

,

2024-CES1,

A1A,

144A,

5.919%,

6/25/54

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

United

States

893,964

898,466

k

2025-CES2,

A1,

144A,

FRN,

5.592%,

6/25/55

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

United

States

2,789,998

2,801,106

i

2025-HE3,

A1,

144A,

FRN,

4.99%,

(30-day

SOFR

Average

+

1.35%),

3/20/56

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

United

States

1,594,376

1,600,596

c,i

LCM

Ltd.

,

34A

,

A1R

,

144A,

FRN

,

4.855 %

,

(3-month

SOFR

+

1.18 %),

10/20/34

.

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

United

States

10,900,000

10,905,295

c,i

MidOcean

Credit

CLO

XVIII

LLC

,

2025-18A

,

A1

,

144A,

FRN

,

4.845 %

,

(3-month

SOFR

+

1.17 %),

10/18/35

.

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

United

States

10,000,000

10,006,767

c,i

Neuberger

Berman

Loan

Advisers

CLO

Ltd.

,

2021-45A

,

AR

,

144A,

FRN

,

4.729 %

,

(3-month

SOFR

+

1.06 %),

10/14/36

.

...

United

States

850,000

850,850

c,i

Neuberger

Berman

Loan

Advisers

CLO

Ltd.

,

2022-50A

,

AR2

,

144A,

FRN

,

4.706 %

,

(3-month

SOFR

+

1.04 %),

7/23/36

.

....

Jersey

1,820,000

1,818,071

c,i

Neuberger

Berman

Loan

Advisers

CLO

Ltd.

,

2022-51A

,

AR2

,

144A,

FRN

,

4.666 %

,

(3-month

SOFR

+

%),

10/23/36

.

......

Jersey

11,300,000

11,276,616

c,i

Octagon

Ltd.

,

2021-1A

,

AR

,

144A,

FRN

,

4.743 %

,

(3-month

SOFR

+

1.07 %),

10/15/34

.

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

United

States

2,125,000

2,125,000

c,i

Octagon

Investment

Partners

Ltd.

,

2019-1A

,

A1RR

,

144A,

FRN

,

4.823 %

,

(3-month

SOFR

+

1.15 %),

4/15/35

.

.........

United

States

7,180,000

7,187,131

c

PK

ALIFT

Loan

Funding

LP

,

2025-2

,

A

,

144A,

4.75 %

,

3/15/43

.

United

States

1,194,037

1,182,830

c

PK

ALIFT

Loan

Funding

LP

,

2026-1

,

A

,

144A,

4.614 %

,

9/15/43

.

United

States

1,186,000

1,163,264

c

PRET

LLC

,

2026-NPL3

,

A1

,

144A,

4.968 %

,

2/25/56

.

.........

United

States

8,406,045

8,347,845

c

Sabey

Data

Center

Issuer

LLC

,

2026-1

,

A2

,

144A,

5.482 %

,

1/20/51

.

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

United

States

4,974,000

4,937,821

c,i

Trinitas

CLO

XVIII

Ltd.

,

2021-18A

,

A1R

,

144A,

FRN

,

4.895 %

,

(3-month

SOFR

+

1.22 %),

1/20/35

.

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

United

States

10,000,000

10,013,904

c

Truist

Bank

Auto

Credit-Linked

Notes

,

2025-1

,

B

,

144A,

4.728 %

,

9/26/33

.

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

United

States

2,842,774

2,843,214

c,i

Venture

CLO

Ltd.

,

2022-45A

,

A1R

,

144A,

FRN

,

4.945 %

,

(3-month

SOFR

+

1.27 %),

7/20/35

.

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

Jersey

13,000,000

13,019,046

c,i

Voya

CLO

Ltd.

,

2013-2A,

A2AR,

144A,

FRN,

5.328%,

(3-month

SOFR

+

1.662%),

4/25/31

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

United

States

1,760,885

1,764,387

2013-2A,

BR,

144A,

FRN,

5.778%,

(3-month

SOFR

+

2.112%),

4/25/31

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

United

States

5,770,000

5,789,907

2016-1A,

BR,

144A,

FRN

,

5.737%,

(3-month

SOFR

+

2.062%),

1/20/31

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

United

States

590,000

591,986

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Asset-Backed

#### Securities
(continued)

#### Financial

#### Services
(continued)

c,i

Voya

CLO

Ltd.,

(continued)

2019-3A,

AR,

144A,

FRN,

5.022%,

(3-month

SOFR

+

1.342%),

10/17/32

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

United

States

1,449,634

$

1,449,657

c,i

Wind

River

CLO

Ltd.

,

2021-4A

,

AR

,

144A,

FRN

,

4.902 %

,

(3-month

SOFR

+

1.23 %),

1/20/35

.

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

United

States

6,500,000

6,509,144

245,711,001

a

a

a

a

a

a

#### Total

#### Asset-Backed

#### Securities

#### (Cost

#### $252,262,099)
............................

#### 251,776,335

#### Commercial

#### Mortgage-Backed

#### Securities

#### 6.2%

#### Financial

#### Services

#### 6.1%
k

Banc

of

America

Commercial

Mortgage

Trust

,

2015-UBS7

,

B

,

FRN

,

4.429 %

,

9/15/48

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

United

States

1,059,534

1,049,290

k,l

BANK

,

2020-BN26

,

XA

,

IO,

FRN

,

1.305 %

,

3/15/63

..........

United

States

26,468,234

879,500

k

BANK5

Trust

,

c,l

2025-5YR13,

XA,

IO,

144A,

FRN,

1.284%,

1/15/58

.........

United

States

49,381,938

1,762,244

l

2025-5YR14,

XA,

IO,

FRN,

1.2%,

4/15/58

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

United

States

50,114,123

1,734,325

2025-5YR18,

AS,

FRN,

5.466%,

12/15/58

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

United

States

3,758,000

3,793,309

k,l

BBCMS

Mortgage

Trust

,

2024-5C31,

XA,

IO,

FRN,

1.281%,

12/15/57

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

United

States

38,512,897

1,296,895

2025-5C33,

XA,

IO,

FRN,

1.038%,

3/15/58

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

United

States

89,250,615

2,508,129

k

BBCMS

Trust

,

2026-5C41

,

C

,

FRN

,

%

,

5/15/69

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

United

States

3,000,000

3,029,876

Benchmark

Mortgage

Trust

,

2019-B13,

A2,

2.889%,

8/15/57

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

United

States

5,285,807

5,084,721

k,l

2020-B20,

XA,

IO,

FRN,

1.62%,

10/15/53

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

United

States

35,780,061

1,605,999

k,l

2020-B22,

XA,

IO,

FRN,

1.602%,

1/15/54

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

United

States

26,297,137

1,458,952

k,l

2024-V12,

XA,

IO,

FRN,

1.067%,

12/15/57

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

United

States

51,021,128

1,449,163

k,l

2025-V13,

XA,

IO,

FRN,

1.132%,

2/15/58

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

United

States

46,939,000

1,325,487

k,l

2025-V14,

XA,

IO,

FRN,

0.981%,

4/15/57

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

United

States

78,337,435

2,106,838

k

2025-V19,

AS,

FRN,

5.597%,

1/15/58

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

United

States

3,779,000

3,858,609

2026-V21,

AS,

5.506%,

3/15/59

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

United

States

2,696,000

2,745,892

k,l

2026-V21,

XA,

IO,

FRN,

1.648%,

3/15/59

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

United

States

24,070,864

1,481,304

k,l

BMO

Mortgage

Trust

,

2024-5C8,

XA,

IO,

FRN,

1.239%,

12/15/57

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

United

States

47,149,769

1,576,669

2025-5C9,

XA,

IO,

FRN,

0.923%,

4/15/58

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

United

States

73,077,203

1,821,895

c,i

BX

Commercial

Mortgage

Trust

,

2026-CSMO

,

B

,

144A,

FRN

,

5.355 %

,

(1-month

SOFR

+

1.7 %),

2/15/43

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

United

States

5,400,000

5,419,508

c

BX

Trust

,

k

2025-ARIA,

C,

144A,

FRN,

5.701%,

12/13/42

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

United

States

5,210,000

5,233,936

i

2025-VOLT,

A,

144A,

FRN,

5.355%,

(1-month

SOFR

+

1.7%),

12/15/44

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

United

States

1,834,000

1,836,043

CFCRE

Commercial

Mortgage

Trust

,

2016-C6,

B,

3.804%,

11/10/49

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

United

States

3,371,000

3,224,719

2016-C7,

A3,

3.839%,

12/10/54

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

United

States

2,540,000

2,527,317

k

CGMS

Commercial

Mortgage

Trust

,

2017-B1

,

AS

,

FRN

,

3.711 %

,

8/15/50

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

United

States

3,326,000

3,259,006

Citigroup

Commercial

Mortgage

Trust

,

2016-C3

,

A4

,

3.154 %

,

11/15/49

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

United

States

6,526,137

6,481,947

COMM

Mortgage

Trust

,

c

2012-CR3,

B,

144A,

3.922%,

10/15/45

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

United

States

3,404,473

3,323,096

2012-CR4,

AM,

3.251%,

10/15/45

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

United

States

2,790,000

2,728,436

k

2014-CR14,

C,

FRN,

3.246%,

2/10/47

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

United

States

1,548,000

1,517,956

2014-CR17,

B,

4.377%,

5/10/47

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

United

States

2,634,330

2,611,404

c,k

2014-UBS6,

D,

144A,

FRN,

3.959%,

12/10/47

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

United

States

2,766,321

2,679,672

k

2015-CR26,

B,

FRN,

4.837%,

10/10/48

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

United

States

905,026

887,859

k

2015-LC19,

C,

FRN,

4.567%,

2/10/48

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

United

States

1,119,500

1,092,261

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Commercial

#### Mortgage-Backed

#### Securities
(continued)

#### Financial

#### Services
(continued)

k,l

CSAIL

Commercial

Mortgage

Trust

,

2021-C20

,

XA

,

IO,

FRN

,

1.11 %

,

3/15/54

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

United

States

39,258,253

$

1,371,063

c,k

CSTL

Commercial

Mortgage

Trust

,

2025-GATE2

,

A

,

144A,

FRN

,

4.712 %

,

11/10/42

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

United

States

3,422,000

3,371,075

GS

Mortgage

Securities

Trust

,

c,k

2013-GC13,

AS,

144A,

FRN,

3.983%,

7/10/46

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

United

States

999,559

992,293

k

2014-GC24,

B,

FRN,

4.447%,

9/10/47

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

United

States

1,378,580

1,334,969

2016-GS2,

A4,

3.05%,

5/10/49

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

United

States

412,771

412,159

2016-GS3,

A3,

2.592%,

10/10/49

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

United

States

4,989,001

4,973,862

J.P.

Morgan

Chase

Commercial

Mortgage

Securities

Trust

,

2016-JP2,

AS,

3.056%,

8/15/49

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

United

States

2,684,000

2,642,960

2016-JP3,

AS,

3.144%,

8/15/49

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

United

States

3,990,000

3,869,651

k

2016-JP3,

B,

FRN,

3.397%,

8/15/49

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

United

States

1,368,000

1,278,054

c,k

JPMBB

Commercial

Mortgage

Securities

Trust

,

2014-C19

,

F

,

144A,

FRN

,

3.75 %

,

4/15/47

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

United

States

3,098,225

3,043,645

JPMCC

Commercial

Mortgage

Securities

Trust

,

2016-C4

,

AS

,

3.385 %

,

12/15/49

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

United

States

5,571,000

5,360,267

c,k

MAD

Commercial

Mortgage

Trust

,

2025-11MD

,

D

,

144A,

FRN

,

6.571 %

,

10/15/42

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

United

States

4,951,000

5,014,492

Morgan

Stanley

Bank

of

America

Merrill

Lynch

Trust

,

k

2013-C10,

B,

FRN,

4.082%,

7/15/46

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

United

States

3,221,993

3,065,743

k

2013-C10,

C,

FRN,

4.082%,

7/15/46

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

United

States

4,935,000

4,574,484

k

2013-C9,

B,

FRN,

3.708%,

5/15/46

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

United

States

2,886,507

2,757,476

k

2013-C9,

C,

FRN,

3.829%,

5/15/46

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

United

States

3,888,000

3,599,506

k,l

2025-5C1,

XA,

IO,

FRN,

1.377%,

3/15/58

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

United

States

39,340,212

1,522,222

2025-5C2,

AS,

5.384%,

11/15/58

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

United

States

4,968,000

5,025,397

k

Morgan

Stanley

Capital

I

Trust

,

2018-H3,

AS,

FRN,

4.429%,

7/15/51

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

United

States

2,265,000

2,232,636

l

2021-L5,

XA,

IO,

FRN,

1.382%,

5/15/54

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

United

States

32,952,093

1,484,960

c,k

NYC

Commercial

Mortgage

Trust

,

2025-28L

,

A

,

144A,

FRN

,

4.824 %

,

11/05/38

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

United

States

4,200,000

4,190,886

c,k

VEGAS

,

2024-GCS

,

D

,

144A,

FRN

,

6.424 %

,

7/10/36

.........

United

States

2,750,000

2,734,996

c,k

VRTX

Trust

,

2025-HQ

,

D

,

144A,

FRN

,

6.815 %

,

8/05/42

.......

United

States

3,960,000

3,960,459

Wells

Fargo

Commercial

Mortgage

Trust

,

c

2016-C33,

D,

144A,

3.123%,

3/15/59

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

United

States

2,482,514

2,428,209

c,k

2016-C34,

D,

144A,

FRN,

5.294%,

6/15/49

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

United

States

2,819,995

2,754,761

2018-C46,

AS,

4.382%,

8/15/51

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

United

States

2,363,000

2,321,777

k,l

2025-5C3,

XA,

IO,

FRN,

1.044%,

1/15/58

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

United

States

41,712,264

1,143,316

2025-5C4,

AS,

6.093%,

5/15/58

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

United

States

3,517,000

3,641,533

k

WFRBS

Commercial

Mortgage

Trust

,

2014-C21,

B,

FRN,

4.213%,

8/15/47

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

United

States

2,301,088

2,267,601

2014-C23,

B,

FRN,

4.408%,

10/15/57

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

United

States

1,881,000

1,849,041

168,611,750

a

a

a

a

a

a

#### Retail

#### REITs

#### 0.1%
c,k

Fashion

Show

Mall

LLC

,

2024-SHOW

,

A

,

144A,

FRN

,

5.274 %

,

10/10/41

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

United

States

2,962,000

2,986,492

#### Total

#### Commercial

#### Mortgage-Backed

#### Securities

#### (Cost

#### $171,321,140)
.............

#### 171,598,242

#### Mortgage-Backed

#### Securities

#### 30.7%
m

#### Federal

#### Home

#### Loan

#### Mortgage

#### Corp.
(FHLMC)

#### Adjustable

#### Rate

#### 0.0%

#### †
FHLMC,

5.848%,

(1-year

CMT

T-Note

+/-

MBS

Margin),

1/01/33

United

States

6,556

6,680

#### Federal

#### Home

#### Loan

#### Mortgage

#### Corp.
(FHLMC)

#### Fixed

#### Rate

#### 3.5%
FHLMC

Gold

Pool,

Year,

5%,

5/01/27

-

5/01/30

...........

United

States

32,279

32,500

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Mortgage-Backed

#### Securities
(continued)

#### Federal

#### Home

#### Loan

#### Mortgage

#### Corp.
(FHLMC)

#### Fixed

#### Rate
(continued)

FHLMC

Gold

Pool,

Year,

4.5%,

10/01/40

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

United

States

28,719

$

28,527

FHLMC

Gold

Pool,

Year,

5%,

3/01/34

-

2/01/38

...........

United

States

148,988

150,197

FHLMC

Gold

Pool,

Year,

5.5%,

6/01/33

-

6/01/36

.........

United

States

239,553

246,027

FHLMC

Gold

Pool,

Year,

6%,

6/01/33

-

6/01/37

...........

United

States

119,619

124,108

FHLMC

Gold

Pool,

Year,

6.5%,

6/01/29

-

6/01/36

.........

United

States

24,079

25,455

FHLMC

Gold

Pool,

Year,

7%,

8/01/32

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

United

States

1,074

1,135

FHLMC

Gold

Pool,

Year,

7.5%,

1/01/31

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

United

States

862

890

FHLMC

Pool,

Year,

2%,

3/01/52

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

United

States

30,227,648

24,322,475

FHLMC

Pool,

Year,

4%,

6/01/52

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

United

States

31,212,528

29,363,712

FHLMC

Pool,

Year,

4.5%,

8/01/52

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

United

States

21,188,032

20,459,284

FHLMC

Pool,

Year,

5.5%,

11/01/52

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

United

States

21,191,294

21,425,138

96,179,448

m

#### Federal

#### National

#### Mortgage

#### Association
(FNMA)

#### Adjustable

#### Rate

#### 0.0%

#### †
FNMA,

6.05%,

(1-year

CMT

T-Note

+/-

MBS

Margin),

12/01/34

.

United

States

24,417

25,068

#### Federal

#### National

#### Mortgage

#### Association
(FNMA)

#### Fixed

#### Rate

#### 18.6%
FNMA,

Year,

2.5%,

7/01/27

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

United

States

10,989

10,887

FNMA,

Year,

4.5%,

3/01/28

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

United

States

1,964

1,961

FNMA,

Year,

5%,

3/01/28

-

6/01/31

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

United

States

54,021

54,316

FNMA,

Year,

2%,

4/01/52

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

United

States

91,977,236

74,002,276

FNMA,

Year,

3%,

9/01/48

-

9/01/51

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

United

States

12,817,309

11,383,038

FNMA,

Year,

3.5%,

8/01/52

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

United

States

29,816,427

27,380,575

FNMA,

Year,

4%,

2/01/49

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

United

States

6,373,621

6,101,913

FNMA,

Year,

4.5%,

2/01/41

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

United

States

93,600

92,862

FNMA,

Year,

5%,

10/01/35

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

United

States

187,849

190,241

FNMA,

Year,

5%,

4/01/53

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

United

States

20,426,406

20,235,354

FNMA,

Year,

5.5%,

9/01/33

-

12/01/35

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

United

States

275,432

281,425

FNMA,

Year,

6%,

6/01/34

-

5/01/38

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

United

States

471,619

487,063

FNMA,

Year,

6%,

8/01/53

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

United

States

16,693,055

17,133,415

FNMA,

Year,

6.5%,

3/01/28

-

10/01/37

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

United

States

76,304

80,308

FNMA,

Year,

7.5%,

10/01/29

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

United

States

958

980

n

Uniform

Mortgage-Backed

Securities,

1.5%,

TBA,

5/25/56

.....

United

States

15,910,000

12,189,343

n

Uniform

Mortgage-Backed

Securities,

2%,

TBA,

5/25/56

......

United

States

7,099,000

5,681,772

n

Uniform

Mortgage-Backed

Securities,

2.5%,

TBA,

5/25/56

.....

United

States

110,861,000

92,847,788

n

Uniform

Mortgage-Backed

Securities,

3%,

TBA,

5/25/56

......

United

States

51,901,000

45,444,776

n

Uniform

Mortgage-Backed

Securities,

4.5%,

TBA,

5/25/56

.....

United

States

46,500,000

44,734,862

n

Uniform

Mortgage-Backed

Securities,

5%,

TBA,

5/25/56

......

United

States

43,050,000

42,418,225

n

Uniform

Mortgage-Backed

Securities,

5.5%,

TBA,

5/25/56

.....

United

States

79,590,000

79,998,345

n

Uniform

Mortgage-Backed

Securities,

6%,

TBA,

5/25/56

......

United

States

29,040,000

29,649,514

510,401,239

#### Government

#### National

#### Mortgage

#### Association
(GNMA)

#### Fixed

#### Rate

#### 8.6%
GNMA

I,

Single-family,

Year,

5%,

6/15/34

-

7/15/34

........

United

States

22,778

22,958

GNMA

I,

Single-family,

Year,

5.5%,

2/15/33

-

6/15/36

......

United

States

116,170

117,030

GNMA

I,

Single-family,

Year,

6%,

8/15/36

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

United

States

5,272

5,523

GNMA

I,

Single-family,

Year,

7.5%,

5/15/27

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

United

States

n

GNMA

II,

Single-family,

Year,

2%,

5/15/56

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

United

States

34,310,000

28,237,765

n

GNMA

II,

Single-family,

Year,

2.5%,

5/15/56

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

United

States

14,570,000

12,482,616

n

GNMA

II,

Single-family,

Year,

3.5%,

5/15/56

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

United

States

19,960,000

18,045,867

n

GNMA

II,

Single-family,

Year,

4.5%,

5/15/56

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

United

States

23,000,000

22,184,219

GNMA

II,

Single-family,

Year,

5%,

9/20/33

-

11/20/33

.......

United

States

46,030

46,580

n

GNMA

II,

Single-family,

Year,

5%,

5/15/56

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

United

States

18,439,000

18,281,816

GNMA

II,

Single-family,

Year,

5.5%,

6/20/34

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

United

States

25,006

25,777

n

GNMA

II,

Single-family,

Year,

5.5%,

5/15/56

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

United

States

27,833,000

28,032,938

GNMA

II,

Single-family,

Year,

6%,

11/20/34

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

United

States

28,178

29,510

n

GNMA

II,

Single-family,

Year,

6%,

5/15/56

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

United

States

81,518,000

83,116,894

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Mortgage-Backed

#### Securities
(continued)

#### Government

#### National

#### Mortgage

#### Association
(GNMA)

#### Fixed

#### Rate
(continued)

GNMA

II,

Single-family,

Year,

6.5%,

7/20/28

-

12/20/31

.....

United

States

12,992

$

13,598

n

GNMA

II,

Single-family,

Year,

6.5%,

5/15/56

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

United

States

23,635,000

24,690,741

GNMA

II,

Single-family,

Year,

7.5%,

4/20/32

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

United

States

3,810

3,895

235,337,784

#### Total

#### Mortgage-Backed

#### Securities

#### (Cost

#### $842,876,345)
.........................

#### 841,950,219

#### Residential

#### Mortgage-Backed

#### Securities

#### 3.0%

#### Financial

#### Services

#### 3.0%
c,i

Bellemeade

Re

Ltd.

,

2021-3A

,

B1

,

144A,

FRN

,

7.495 %

,

(30-day

SOFR

Average

+

3.85 %),

9/25/31

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

United

States

2,675,000

2,749,788

c

BRAVO

Residential

Funding

Trust

,

k

2019-2,

A3,

144A,

FRN,

3.5%,

10/25/44

.................

United

States

1,663,600

1,598,234

2023-NQM6,

A1,

144A,

6.602%,

9/25/63

................

United

States

820,828

822,961

2024-NQM3,

A1,

144A,

6.191%,

3/25/64

................

United

States

780,395

786,334

c,i

Chase

Home

Lending

Mortgage

Trust

,

2025-3,

A11,

144A,

FRN,

4.945%,

(30-day

SOFR

Average

+

1.3%),

2/25/56

....................................

United

States

1,788,235

1,786,735

2025-7,

A11,

144A,

FRN,

5.045%,

(30-day

SOFR

Average

+

1.4%),

5/25/56

....................................

United

States

1,577,870

1,583,936

c,k

CIM

Trust

,

2019-INV1,

A1,

144A,

FRN,

4%,

2/25/49

................

United

States

368,820

352,562

2019-INV2,

A3,

144A,

FRN,

4%,

5/25/49

................

United

States

1,085,630

1,029,429

c,i

Citigroup

Mortgage

Loan

Trust

,

2025-4

,

A28

,

144A,

FRN

,

4.945 %

,

(30-day

SOFR

Average

+

1.3 %),

10/25/55

...............

United

States

1,426,211

1,431,094

c

Cross

Mortgage

Trust

,

2024-H1

,

A1

,

144A,

6.085 %

,

12/25/68

..

United

States

584,285

587,518

c,i

FHLMC

STACR

REMIC

Trust

,

2023-DNA2,

M1A,

144A,

FRN,

5.745%,

(30-day

SOFR

Average

+

2.1%),

4/25/43

..................................

United

States

1,348,666

1,366,040

2025-DNA1,

A1,

144A,

FRN,

4.595%,

(30-day

SOFR

Average

+

0.95%),

1/25/45

...................................

United

States

1,750,770

1,752,683

2025-DNA3,

M1,

144A,

FRN,

4.745%,

(30-day

SOFR

Average

+

1.1%),

9/25/45

..................................

United

States

2,655,378

2,656,685

c,i

FNMA

Connecticut

Avenue

Securities

Trust

,

2025-R01,

1M1,

144A,

FRN,

4.745%,

(30-day

SOFR

Average

+

1.1%),

1/25/45

....................................

United

States

944,679

945,056

2025-R02,

1A1,

144A,

FRN,

4.645%,

(30-day

SOFR

Average

+

1%),

2/25/45

.....................................

United

States

1,076,263

1,078,382

2025-R03,

2A1,

144A,

FRN,

5.095%,

(30-day

SOFR

Average

+

1.45%),

3/25/45

...................................

United

States

1,398,972

1,407,189

2025-R04,

1A1,

144A,

FRN,

4.645%,

(30-day

SOFR

Average

+

1%),

5/25/45

.....................................

United

States

1,300,303

1,302,503

2026-R01,

2M1,

144A,

FRN,

4.645%,

(30-day

SOFR

Average

+

1%),

1/25/46

.....................................

United

States

3,175,594

3,177,587

2026-R03,

2A1,

144A,

FRN,

4.74%,

(30-day

SOFR

Average

+

1.1%),

4/25/46

....................................

United

States

8,991,000

9,055,721

c,i

GS

Mortgage-Backed

Securities

Trust

,

2025-PJ8

,

A27

,

144A,

FRN

,

4.945 %

,

(30-day

SOFR

Average

+

1.3 %),

2/25/56

.....

United

States

719,423

721,376

c,i

Home

Re

Ltd.

,

2026-1

,

M1C

,

144A,

FRN

,

6.245 %

,

(30-day

SOFR

Average

+

2.6 %),

1/25/36

............................

United

States

978,000

984,890

c

HOMES

Trust

,

2024-NQM1

,

A1

,

144A,

5.915 %

,

7/25/69

......

United

States

563,192

567,048

c

Imperial

Fund

Mortgage

Trust

,

2023-NQM1

,

A1

,

144A,

5.941 %

,

2/25/68

.........................................

United

States

1,669,896

1,673,082

c

J.P.

Morgan

Mortgage

Trust

,

k

2021-15,

A4,

144A,

FRN,

2.5%,

6/25/52

.................

United

States

3,110,898

2,787,051

2025-VIS2,

A2,

144A,

5.638%,

12/25/55

.................

United

States

2,937,729

2,943,580

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Residential

#### Mortgage-Backed

#### Securities
(continued)

#### Financial

#### Services
(continued)

c,k

LHOME

Mortgage

Trust

,

2025-RTL2

,

A1

,

144A,

FRN

,

5.612 %

,

4/25/40

.........................................

United

States

897,000

$

901,552

c,k

Mill

City

Mortgage

Loan

Trust

,

2018-4

,

A1B

,

144A,

FRN

,

3.5 %

,

4/25/66

.........................................

United

States

3,156,124

3,106,246

c

Morgan

Stanley

Residential

Mortgage

Loan

Trust

,

2024-NQM1

,

A1

,

144A,

6.152 %

,

12/25/68

..........................

United

States

1,658,416

1,669,296

c

OBX

Trust

,

k

2021-J3,

A4,

144A,

FRN,

2.5%,

10/25/51

................

United

States

881,829

792,841

2023-NQM7,

A1,

144A,

6.844%,

4/25/63

................

United

States

1,504,543

1,512,104

2024-NQM2,

A1,

144A,

5.878%,

12/25/63

...............

United

States

948,739

953,300

2024-NQM3,

A1,

144A,

6.129%,

12/25/63

...............

United

States

1,262,363

1,270,794

2024-NQM8,

A1,

144A,

6.233%,

5/25/64

................

United

States

1,936,039

1,954,879

i

2025-J2,

AF,

144A,

FRN,

4.945%,

(30-day

SOFR

Average

+

1.3%),

9/25/55

....................................

United

States

3,016,134

3,026,662

c,k

OLIT

,

2025-HB2

,

A

,

144A,

FRN

,

%

,

11/25/38

..............

United

States

2,001,781

1,957,411

c,k

Onity

Loan

Investment

Trust

,

2025-HB1

,

A

,

144A,

FRN

,

%

,

6/25/38

.........................................

United

States

1,249,794

1,227,347

c,i

PMT

Loan

Trust

,

2025-J2

,

A11

,

144A,

FRN

,

4.995 %

,

(30-day

SOFR

Average

+

1.35 %),

8/25/56

.....................

United

States

456,006

458,161

c,k

Provident

Funding

Associates

LLP

,

2021-J1

,

A3

,

144A,

FRN

,

2.5 %

,

2/20/49

....................................

United

States

1,428,306

1,277,022

c,k

Provident

Funding

Mortgage

Trust

,

2019-1

,

A2

,

144A,

FRN

,

%

,

12/25/49

........................................

United

States

1,215,806

1,059,082

c

PRPM

LLC

,

2026-1

,

A1

,

144A,

5.185 %

,

2/25/31

............

United

States

3,800,130

3,767,265

c,k

PSMC

Trust

,

2021-3

,

A3

,

144A,

FRN

,

2.5 %

,

8/25/51

.........

United

States

7,790,182

7,044,184

c,i

Radian

Mortgage

Capital

Trust

,

2025-J3

,

A25

,

144A,

FRN

,

5.145 %

,

(30-day

SOFR

Average

+

1.5 %),

12/25/55

........

United

States

2,186,648

2,198,380

c,i

Sequoia

Mortgage

Trust

,

2025-8

,

A26F

,

144A,

FRN

,

5.045 %

,

(30-

day

SOFR

Average

+

1.4 %),

9/25/55

...................

United

States

1,633,825

1,641,078

c

Verus

Securitization

Trust

,

2023-6,

A1,

144A,

6.665%,

9/25/68

....................

United

States

363,884

365,476

2024-4,

A1,

144A,

6.218%,

6/25/69

....................

United

States

1,259,235

1,273,187

82,603,731

a

a

a

a

a

a

#### Total

#### Residential

#### Mortgage-Backed

#### Securities

#### (Cost

#### $84,420,817)
...............

#### 82,603,731

#### Agency

#### Commercial

#### Mortgage-Backed

#### Securities

#### 4.5%

#### Financial

#### Services

#### 4.5%
l

FHLMC

,

4988,

LI,

IO,

4%,

7/25/50

............................

United

States

25,548,481

5,888,858

5052,

KI,

IO,

4%,

12/25/50

...........................

United

States

19,247,359

3,944,660

5070,

HI,

IO,

3.5%,

2/25/51

..........................

United

States

28,976,200

5,420,949

5124,

YI,

IO,

3%,

7/25/51

............................

United

States

14,700,640

2,543,539

5125,

IL,

IO,

4.5%,

11/15/47

..........................

United

States

22,106,705

4,660,124

5147,

NI,

IO,

3%,

10/25/46

...........................

United

States

66,099,337

9,394,652

5164,

IC,

IO,

4%,

11/25/51

...........................

United

States

22,592,216

4,700,618

5187,

EI,

IO,

4.5%,

1/25/52

..........................

United

States

11,843,493

2,723,019

5206,

IV,

IO,

4%,

1/25/50

............................

United

States

30,592,534

4,991,701

5365,

IO,

2.5%,

7/25/51

.............................

United

States

46,673,093

7,445,586

5457,

IO,

5%,

10/25/54

.............................

United

States

15,440,818

3,260,712

5529,

EI,

IO,

4.5%,

11/25/51

.........................

United

States

18,813,393

4,147,941

FNMA

,

l

2021-12,

MI,

IO,

3%,

3/25/51

.........................

United

States

15,683,918

2,938,327

i

2024-105,

KF,

FRN,

4.645%,

(30-day

SOFR

Average

+

1%),

1/25/55

.........................................

United

States

8,374,242

8,433,253

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Agency

#### Commercial

#### Mortgage-Backed

#### Securities
(continued)

#### Financial

#### Services
(continued)

FNMA,

(continued)

i

2024-87,

FB,

FRN,

4.745%,

(30-day

SOFR

Average

+

1.1%),

12/25/54

........................................

United

States

8,364,979

$

8,446,386

GNMA

,

l

2019-137,

PI,

IO,

3.5%,

11/20/49

......................

United

States

28,937,421

5,633,005

l

2020-151,

MI,

IO,

2.5%,

10/20/50

......................

United

States

27,935,517

4,160,825

l

2022-78,

IO,

3%,

8/20/51

............................

United

States

23,102,220

3,864,877

l

2023-168,

IE,

IO,

3%,

11/20/51

.......................

United

States

33,531,376

5,457,768

l

2023-171,

IO,

3%,

2/20/51

...........................

United

States

14,852,389

2,434,700

l

2023-40,

CI,

IO,

2%,

10/20/50

........................

United

States

20,843,062

2,073,949

l

2024-79,

IN,

IO,

3%,

11/20/51

........................

United

States

22,190,257

4,687,618

i

2025-169,

FB,

FRN,

4.64%,

(30-day

SOFR

Average

+

1%),

10/20/55

........................................

United

States

5,898,651

5,938,680

l

2025-173,

DI,

IO,

3%,

8/20/51

........................

United

States

25,450,062

4,414,440

l

2025-25,

IG,

IO,

4.5%,

12/20/52

.......................

United

States

10,921,180

2,182,067

l

2025-5,

IO,

3.5%,

4/20/51

...........................

United

States

26,434,098

4,984,427

124,772,681

a

a

a

a

a

a

#### Total

#### Agency

#### Commercial

#### Mortgage-Backed

#### Securities

#### (Cost

#### $123,805,800)
......

#### 124,772,681

#### Municipal

#### Bonds

#### 0.9%

#### California

#### 0.4%
California

Health

Facilities

Financing

Authority

,

State

of

California

Personal

Income

Tax

,

Revenue

,

2022

,

4.19 %

,

6/01/37

......

United

States

2,875,000

2,693,267

City

of

Orange

,

Revenue

,

2021

,

Refunding

,

2.65 %

,

6/01/34

....

United

States

1,305,000

1,119,354

City

of

Pomona

,

Revenue

,

2020

BJ

,

3.716 %

,

8/01/40

........

United

States

795,000

683,620

County

of

Fresno

,

Revenue

,

2004

A

,

NATL

Insured

,

4.71 %,

8/15/32

.........................................

United

States

1,710,000

1,280,055

County

of

Tulare

,

Revenue

,

2018

,

4.445 %

,

6/01/37

..........

United

States

2,495,000

2,377,064

State

of

California

,

GO

,

4.35 %

,

11/01/32

..................

United

States

3,575,000

3,570,935

11,724,295

#### Florida

#### 0.1%
State

Board

of

Administration

Finance

Corp.

,

Florida

Hurricane

Catastrophe

Fund

,

Revenue

,

2024

A

,

5.526 %

,

7/01/34

......

United

States

2,540,000

2,656,664

#### Georgia

#### 0.0%

#### †
Georgia

Higher

Education

Facilities

Authority

,

University

System

of

Georgia

,

Revenue

,

2026

A

,

5.273 %

,

1/01/40

...........

United

States

615,000

614,961

#### Illinois

#### 0.1%
State

of

Illinois

,

GO

,

2026

A

,

4.954 %

,

4/01/33

..............

United

States

2,390,000

2,417,780

#### New

#### Jersey

#### 0.0%

#### †
New

Jersey

Transportation

Trust

Fund

Authority

,

State

of

New

Jersey

,

Revenue

,

2010

B

,

6.561 %

,

12/15/40

.............

United

States

525,000

575,281

#### New

#### York

#### 0.1%
New

York

City

Transitional

Finance

Authority

,

Future

Tax

Secured

,

Revenue

,

2026

,

4.66 %

,

2/01/36

....................

United

States

1,925,000

1,887,291

#### Ohio

#### 0.0%

#### †
JobsOhio

Beverage

System

,

Revenue,

Senior

Lien

,

2020

A

,

ETM,

2.833 %

,

1/01/38

...................................

United

States

1,575,000

1,316,401

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Municipal

#### Bonds
(continued)

#### Pennsylvania

#### 0.2%
Pennsylvania

Economic

Development

Financing

Authority

,

Revenue

,

2025

,

5.689 %

,

6/01/54

......................

United

States

1,855,000

$

1,862,680

Redevelopment

Authority

of

the

City

of

Philadelphia

,

City

of

Philadelphia

,

Revenue

,

2026

A

,

5.002 %

,

11/01/38

.........

United

States

2,895,000

2,852,990

4,715,670

#### Total

#### Municipal

#### Bonds

#### (Cost

#### $26,342,800)
....................................

#### 25,908,343

#### Shares
a

#### Escrows

#### and

#### Litigation

#### Trusts

#### 0.0%

#### †
a,b

All

Day

Electric,

Inc.,

Escrow

Account

....................

United

States

—

a,b

K2016470219

South

Africa

Ltd.,

Escrow

Account

............

South

Africa

620,001

9,813

b

Mesquite

Energy,

Inc.,

Escrow

Account

...................

United

States

6,000,000

30,300

#### Total

#### Escrows

#### and

#### Litigation

#### Trusts

#### (Cost

#### $5,707,489)

#### .........................

#### 40,113

#### Total

#### Long

#### Term

#### Investments

#### (Cost

#### $3,205,864,279)

#### ...........................

#### 3,119,202,576

#### a

#### Number

#### of

#### Contracts

#### Notional

#### Amount

#### #

#### a

#### aa

#### Options

#### Purchased

#### 0.1%

#### Puts

#### -

#### Over-the-Counter

#### Interest

#### Rate

#### Swaptions

#### 0.1%
Receive

Floating

1-day

SOFR,

Pay

Fixed

3.88%,

Counterparty

CITI,

Expires

7/10/26

...............................

25,374,000

374,491

Receive

Floating

1-day

SOFR,

Pay

Fixed

4.3%,

Counterparty

CITI,

Expires

7/10/26

...............................

50,748,000

145,602

Receive

Floating

3-month

EURIBOR,

Pay

Fixed

2.765%,

Counterparty

BOFA,

Expires

3/19/27

...................

248,789,000

EUR

1,073,850

1,593,943

#### Total

#### Options

#### Purchased

#### (Cost

#### $1,482,034)

#### ...................................

#### 1,593,943

#### Short

#### Term

#### Investments

#### 8.6%
a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Money

#### Market

#### Funds

#### 8.6%
o,p

Franklin

Institutional

U.S.

Government

Money

Market

Fund,

3.593%

.........................................

United

States

234,995,433

234,995,433

#### Total

#### Money

#### Market

#### Funds

#### (Cost

#### $234,995,433)

#### ...............................

#### 234,995,433

#### Total

#### Short

#### Term

#### Investments

#### (Cost

#### $234,995,433

####)
.............................

#### 234,995,433

#### a

#### Total

#### Investments

#### (Cost

#### $3,442,341,746)

#### 122.3%

#### ..............................

#### $3,355,791,952

#### TBA

#### Sale

#### Commitments

#### (0.8)%

#### ..............................................

#### (21,469,454)

#### Options

#### Written

#### (0.1)%

#### .....................................................

#### (1,611,285)

#### Other

#### Assets,

#### less

#### Liabilities

#### (21.4

####)%
........................................

#### (585,391,943)

#### Net

#### Assets

#### 100.0%

#### .........................................................

#### $2,747,319,270

#### a
Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### a
a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
q

#### TBA

#### Sale

#### Commitments

#### (0.8)%

#### Mortgage-Backed

#### Securities

#### (0.8)%

#### Federal

#### National

#### Mortgage

#### Association
(FNMA)

#### Fixed

#### Rate

#### (0.8)%
Uniform

Mortgage-Backed

Securities

,

3.5%,

TBA,

5/25/56

................................

United

States

(5,811,000)

$

(5,290,164)

4%,

TBA,

5/25/56

..................................

United

States

(17,250,000)

(16,179,290)

(21,469,454)

#### Total

#### TBA

#### Sale

#### Commitments

#### (Proceeds

#### $(21,612,812))

#### ........................

#### $(21,469,454)

#### Number

#### of

#### Contracts

#### Notional

#### Amount

#### #
r

#### Options

#### Written

#### (0.1)%

#### Puts

#### -

#### Over-the-Counter

#### Interest

#### Rate

#### Swaptions

#### (0.1)%
Receive

Floating

1-day

SOFR,

Pay

Fixed

4.09%,

Counterparty

CITI,

Expires

7/10/26

...............................

(76,122,000)

(509,880)

Receive

Floating

3-month

EURIBOR,

Pay

Fixed

3.165%,

Counterparty

BOFA,

Expires

3/19/27

...................

(248,789,000)

EUR

(667,713)

Receive

Floating

3-month

EURIBOR,

Pay

Fixed

3.565%,

Counterparty

BOFA,

Expires

3/19/27

...................

(248,789,000)

EUR

(433,692)

(1,611,285)

#### Total

#### Options

#### Written

#### (Premiums

#### received

#### $1,504,514)

#### .........................

#### $

#### (1,611,285)
Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

#

Notional

amount

is

the

number

of

contracts

multiplied

by

contract

size,

and

may

be

multiplied

by

the

underlying

price.

May

include

currency

units,

bushels,

shares,

pounds,

barrels

or

other

units.

Currency

units

are

stated

in

U.S.

dollars

unless

otherwise

indicated.

\*

The

principal

amount

is

stated

in

U.S.

dollars

unless

otherwise

indicated.

†

Rounds

to

less

than

0.1%

of

net

assets.

a

Fair

valued

using

significant

unobservable

inputs.

See

Note

regarding

fair

value

measurements.

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

April

30,

2026,

the

aggregate

value

of

these

securities

was

$818,189,185,

representing

29.8%

of

net

assets.

d

Defaulted

security

or

security

for

which

income

has

been

deemed

uncollectible.

See

Note

6. e

Income

may

be

received

in

additional

securities

and/or

cash.

f

A

portion

or

all

of

the

security

purchased

on

a

delayed

delivery

basis.

See

Note

1(c).

g

The

rate

shown

represents

the

yield

at

period

end.

h

See

Note

1(g)

regarding

senior

floating

rate

interests.

i

The

coupon

rate

shown

represents

the

rate

inclusive

of

any

caps

or

floors,

if

applicable,

in

effect

at

period

end.

j

See

Note

1(h)

regarding

Marketplace

Lending.

See

full

breakdown

of

marketplace

loans

holdings

in

the

table

at

the

end

of

this

schedule.

k

Adjustable

rate

security

with

an

interest

rate

that

is

not

based

on

a

published

reference

index

and

spread.

The

rate

is

based

on

the

structure

of

the

agreement

and

current

market

conditions.

The

coupon

rate

shown

represents

the

rate

at

period

end.

l

Investment

in

an

interest-only

security

entitles

holders

to

receive

only

the

interest

payment

on

the

underlying

instruments.

The

principal

amount

shown

is

the

notional

amount

of

the

underlying

instruments.

m

Adjustable

Rate

Mortgage-Backed

Security

(ARM);

the

rate

shown

is

the

effective

rate

at

period

end.

ARM

rates

are

not

based

on

a

published

reference

rate

and

spread;

they

are

based

on

the

weighted

average

rates

of

the

underlying

mortgage

loans,

less

the

applicable

servicing

and

guarantee

fees

(MBS

margin).

n

Security

purchased

on

a

to-be-announced

(TBA)

basis.

See

Note

1(c).

o

See

Note

3(f)

regarding

investments

in

affiliated

management

investment

companies.

p

The

rate

shown

is

the

annualized

seven-day

effective

yield

at

period

end.

q

Security

sold

on

a

to-be-announced

(TBA)

basis

resulting

in

a

short

position.

As

such,

the

Fund

is

not

subject

to

fees

and

expenses

associated

with

short

sale

transactions.

See

Note

1(c).

r

See

Note

1(d)

regarding

written

options.

Franklin

Strategic

Series

Schedule

of

Investments,

April

30,

2026

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

At

April

30,

2026,

the

Fund

had

the

following

marketplace

loans

outstanding.

See

Note

1(h).

#### Description

#### Principal

#### Amount

#### Value

#### Marketplace

#### Loans

#### -

#### 0.1%
Block,

Inc.

a

8440181. SQ.FTS.B,

5.639%,

6/02/26

....

$

1,263

$

595

a

8439564. SQ.FTS.B,

5.908%,

6/02/26

....

671

a,b

8439931. SQ.FTS.B,

6.559%,

6/02/26

....

1,480

a

8444430. SQ.FTS.B,

5.666%,

6/03/26

....

a,b

8445397. SQ.FTS.B,

6.325%,

6/03/26

....

12,637

a

8452856. SQ.FTS.B,

4.769%,

6/04/26

....

a,b

8451575. SQ.FTS.B,

5.409%,

6/04/26

....

20,874

971

a

8449424. SQ.FTS.B,

6.419%,

6/04/26

....

1,146

668

a,b

8458127. SQ.FTS.B,

5.114%,

6/05/26

....

19,354

a

8461445. SQ.FTS.B,

4.78%,

6/06/26

.....

3,192

2,911

a

8463921. SQ.FTS.B,

4.948%,

6/06/26

....

582

a,b

8463484. SQ.FTS.B,

6.672%,

6/06/26

....

9,869

a

8467646. SQ.FTS.B,

6.657%,

6/08/26

....

915

a,b

8470542. SQ.FTS.B,

5.114%,

6/09/26

....

9,729

6,556

a,b

8471165. SQ.FTS.B,

5.635%,

6/09/26

....

18,441

a,b

8470455. SQ.FTS.B,

6.325%,

6/09/26

....

984

a

8476774. SQ.FTS.B,

6.326%,

6/10/26

....

a

8480113. SQ.FTS.B,

6.533%,

6/11/26

....

a

8485153. SQ.FTS.B,

4.78%,

6/12/26

.....

786

609

a

8488063. SQ.FTS.B,

4.957%,

6/12/26

....

1,079

a,b

8485522. SQ.FTS.B,

6.42%,

6/12/26

.....

13,205

a

8490622. SQ.FTS.B,

4.781%,

6/13/26

....

855

783

a

8492444. SQ.FTS.B,

5.11%,

6/14/26

.....

710

652

a

8497694. SQ.FTS.B,

5.11%,

6/16/26

.....

584

567

a

8496689. SQ.FTS.B,

6.15%,

6/16/26

.....

2,010

998

a

8506309. SQ.FTS.B,

4.778%,

6/18/26

....

1,411

1,198

a,b

8503138. SQ.FTS.B,

6.415%,

6/18/26

....

1,828

a,b

8512865. SQ.FTS.B,

5.912%,

6/19/26

....

21,196

545

a

8520522. SQ.FTS.B,

6.114%,

6/22/26

....

a,b

8520316. SQ.FTS.B,

6.442%,

6/22/26

....

2,461

1,093

a

8524499. SQ.FTS.B,

4.707%,

6/23/26

....

594

a,b

8523060. SQ.FTS.B,

4.979%,

6/23/26

....

1,036

a,b

8523082. SQ.FTS.B,

6.335%,

6/23/26

....

3,415

a

8525381. SQ.FTS.B,

4.776%,

6/24/26

....

2,135

1,630

a

8526175. SQ.FTS.B,

4.927%,

6/24/26

....

a,b

8530595. SQ.FTS.B,

6.289%,

6/25/26

....

11,746

a

8533616. SQ.FTS.B,

5.338%,

6/26/26

....

682

558

a

8531192. SQ.FTS.B,

5.914%,

6/26/26

....

2,730

1,667

a,b

8534044. SQ.FTS.B,

6.448%,

6/26/26

....

11,141

a,b

8539874. SQ.FTS.B,

5.031%,

6/28/26

....

8,313

a,b

8540718. SQ.FTS.B,

5.343%,

6/29/26

....

3,501

a

8546597. SQ.FTS.B,

4.717%,

6/30/26

....

593

515

a,b

8557100. SQ.FTS.B,

4.945%,

7/03/26

....

2,142

a

8560945. SQ.FTS.B,

5.904%,

7/05/26

....

568

a

8586236. SQ.FTS.B,

5.029%,

7/06/26

....

#### Description

#### Principal

#### Amount

#### Value
Block,

Inc.

(continued)

a,b

8590354. SQ.FTS.B,

5.348%,

7/06/26

....

$

2,989

$

a,b

8592557. SQ.FTS.B,

6.095%,

7/06/26

....

2,028

a

8593881. SQ.FTS.B,

4.717%,

7/07/26

....

a,b

8596048. SQ.FTS.B,

5.598%,

7/07/26

....

15,182

551

a

8598300. SQ.FTS.B,

4.717%,

7/08/26

....

a

8598520. SQ.FTS.B,

5.031%,

7/08/26

....

2,831

2,578

a

8598846. SQ.FTS.B,

5.596%,

7/08/26

....

2,941

2,505

a,b

8603241. SQ.FTS.B,

5.031%,

7/09/26

....

5,719

a,b

8604154. SQ.FTS.B,

5.031%,

7/09/26

....

26,722

17,752

a

8605739. SQ.FTS.B,

5.621%,

7/09/26

....

a,b

8608202. SQ.FTS.B,

5.66%,

7/10/26

.....

a,b

8606413. SQ.FTS.B,

6.45%,

7/10/26

.....

5,442

a

8609461. SQ.FTS.B,

5.031%,

7/11/26

....

a

8613403. SQ.FTS.B,

4.717%,

7/13/26

....

1,904

1,832

a

8611635. SQ.FTS.B,

4.722%,

7/13/26

....

1,498

1,067

a

8612102. SQ.FTS.B,

6.099%,

7/13/26

....

903

748

a

8617158. SQ.FTS.B,

6.101%,

7/14/26

....

645

569

a

8618340. SQ.FTS.B,

4.95%,

7/15/26

.....

a

8621156. SQ.FTS.B,

5.347%,

7/15/26

....

7,890

7,076

a,b

8621035. SQ.FTS.B,

6.443%,

7/15/26

....

1,808

a

8627682. SQ.FTS.B,

4.721%,

7/16/26

....

1,343

1,259

a,b

8627433. SQ.FTS.B,

5.603%,

7/16/26

....

2,693

1,580

a

8625165. SQ.FTS.B,

5.64%,

7/16/26

.....

1,051

550

a,b

8625097. SQ.FTS.B,

6.081%,

7/16/26

....

1,551

a,b

8625055. SQ.FTS.B,

6.44%,

7/16/26

.....

1,294

a,b

8624623. SQ.FTS.B,

6.445%,

7/16/26

....

1,687

951

a,b

8630161. SQ.FTS.B,

4.928%,

7/17/26

....

738

a,b

8630113. SQ.FTS.B,

6.11%,

7/17/26

.....

3,058

a,b

8632209. SQ.FTS.B,

5.619%,

7/18/26

....

a

8633413. SQ.FTS.B,

5.028%,

7/20/26

....

860

751

a

8633610. SQ.FTS.B,

5.918%,

7/20/26

....

a

8633174. SQ.FTS.B,

6.289%,

7/20/26

....

a

8634408. SQ.FTS.B,

4.715%,

7/21/26

....

2,896

1,876

a

8635256. SQ.FTS.B,

5.031%,

7/21/26

....

16,661

12,113

a

8639095. SQ.FTS.B,

5.031%,

7/22/26

....

18,046

11,279

a

8637462. SQ.FTS.B,

6.1%,

7/22/26

......

4,426

3,781

a

8640249. SQ.FTS.B,

6.448%,

7/22/26

....

2,329

1,417

a

8646055. SQ.FTS.B,

6.094%,

7/23/26

....

790

618

a,b

8652314. SQ.FTS.B,

6.447%,

7/26/26

....

1,492

a,b

8659412. SQ.FTS.B,

4.72%,

7/28/26

.....

7,284

3,876

a

8656818. SQ.FTS.B,

5.031%,

7/28/26

....

2,451

1,823

a,b

8661211. SQ.FTS.B,

6.499%,

7/28/26

....

a

8665558. SQ.FTS.B,

4.719%,

7/29/26

....

2,284

1,996

a

8666384. SQ.FTS.B,

6.1%,

7/29/26

......

15,283

11,241

a,b

8662647. SQ.FTS.B,

6.445%,

7/29/26

....

3,734

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

#### Description

#### Principal

#### Amount

#### Value

#### Marketplace

#### Loans
(continued)

Block,

Inc.

(continued)

a

8673280. SQ.FTS.B,

5.036%,

7/30/26

....

$

2,193

$

1,728

a

8674563. SQ.FTS.B,

5.344%,

7/30/26

....

4,294

3,149

a,b

8671964. SQ.FTS.B,

5.346%,

7/30/26

....

6,031

2,311

a,b

8674744. SQ.FTS.B,

6.472%,

7/30/26

....

879

a

8677309. SQ.FTS.B,

4.719%,

7/31/26

....

5,220

4,395

a

8680247. SQ.FTS.B,

5.027%,

8/01/26

....

a

8680461. SQ.FTS.B,

5.031%,

8/01/26

....

2,569

2,372

a

8684229. SQ.FTS.B,

4.722%,

8/03/26

....

675

605

a

8689297. SQ.FTS.B,

5.031%,

8/04/26

....

1,843

1,755

a

8688026. SQ.FTS.B,

5.912%,

8/04/26

....

a,b

8692180. SQ.FTS.B,

5.912%,

8/04/26

....

34,128

718

a

8693676. SQ.FTS.B,

5.031%,

8/05/26

....

874

844

a,b

8697792. SQ.FTS.B,

5.343%,

8/05/26

....

5,744

a

8704195. SQ.FTS.B,

5.612%,

8/06/26

....

a

8706579. SQ.FTS.B,

5.597%,

8/07/26

....

7,714

5,191

a

8712364. SQ.FTS.B,

6.447%,

8/09/26

....

662

a

8715175. SQ.FTS.B,

5.361%,

8/10/26

....

a,b

8713665. SQ.FTS.B,

5.6%,

8/10/26

......

951

a

8720364. SQ.FTS.B,

5.353%,

8/11/26

....

1,341

939

a

8719381. SQ.FTS.B,

6.102%,

8/11/26

....

1,820

1,660

a,b

8723059. SQ.FTS.B,

4.717%,

8/12/26

....

20,170

550

a,b

8723864. SQ.FTS.B,

5.627%,

8/12/26

....

9,920

a,b

8722338. SQ.FTS.B,

5.63%,

8/12/26

.....

1,713

a

8734581. SQ.FTS.B,

4.717%,

8/13/26

....

1,610

1,339

a,b

8734472. SQ.FTS.B,

6.444%,

8/13/26

....

3,490

a,b

8738312. SQ.FTS.B,

6.45%,

8/14/26

.....

6,129

a,b

8739327. SQ.FTS.B,

6.447%,

8/15/26

....

10,390

a,b

8740558. SQ.FTS.B,

5.031%,

8/16/26

....

23,179

648

a,b

8740399. SQ.FTS.B,

5.597%,

8/16/26

....

6,482

4,680

a,b

8741215. SQ.FTS.B,

5.595%,

8/17/26

....

5,716

1,826

a

8744200. SQ.FTS.B,

5.342%,

8/18/26

....

2,707

1,787

a

8748954. SQ.FTS.B,

4.719%,

8/19/26

....

2,844

2,747

a

8757818. SQ.FTS.B,

5.348%,

8/21/26

....

3,346

3,146

a

8760036. SQ.FTS.B,

5.598%,

8/21/26

....

664

a

8757666. SQ.FTS.B,

6.102%,

8/21/26

....

a,b

8757027. SQ.FTS.B,

6.105%,

8/21/26

....

3,241

a

8763721. SQ.FTS.B,

4.72%,

8/24/26

.....

2,579

1,909

a,b

8764217. SQ.FTS.B,

5.346%,

8/24/26

....

8,186

a

8769719. SQ.FTS.B,

6.287%,

8/25/26

....

890

669

a,b

8767996. SQ.FTS.B,

6.447%,

8/25/26

....

7,938

a,b

8768460. SQ.FTS.B,

6.451%,

8/25/26

....

4,904

a

8775913. SQ.FTS.B,

5.031%,

8/26/26

....

3,961

1,877

a

8772121. SQ.FTS.B,

5.6%,

8/26/26

......

6,091

4,479

a

8775615. SQ.FTS.B,

5.6%,

8/26/26

......

1,993

1,302

a

8773308. SQ.FTS.B,

6.103%,

8/26/26

....

2,766

1,425

a

8783977. SQ.FTS.B,

5.036%,

8/28/26

....

2,718

1,932

#### Description

#### Principal

#### Amount

#### Value
Block,

Inc.

(continued)

a,b

8784101. SQ.FTS.B,

6.095%,

8/28/26

....

$

1,625

$

a

8786222. SQ.FTS.B,

6.453%,

8/28/26

....

701

a

8789099. SQ.FTS.B,

6.459%,

9/01/26

....

a,b

8789983. SQ.FTS.B,

5.031%,

9/02/26

....

9,342

a

8794574. SQ.FTS.B,

4.941%,

9/03/26

....

a

8793937. SQ.FTS.B,

6.439%,

9/03/26

....

a,b

8798528. SQ.FTS.B,

4.937%,

9/04/26

....

15,404

7,387

a

8797084. SQ.FTS.B,

5.346%,

9/04/26

....

1,553

1,429

a

8797688. SQ.FTS.B,

6.1%,

9/04/26

......

7,998

5,666

a,b

8799251. SQ.FTS.B,

6.293%,

9/04/26

....

2,686

742

a

8797465. SQ.FTS.B,

6.314%,

9/04/26

....

a

8800909. SQ.FTS.B,

4.717%,

9/05/26

....

1,172

1,111

a,b

8803302. SQ.FTS.B,

5.031%,

9/05/26

....

7,833

a

8803453. SQ.FTS.B,

6.289%,

9/05/26

....

2,970

857

a,b

8803185. SQ.FTS.B,

6.448%,

9/05/26

....

6,688

a

8810202. SQ.FTS.B,

4.714%,

9/06/26

....

a,b

8808155. SQ.FTS.B,

4.949%,

9/06/26

....

713

a

8814570. SQ.FTS.B,

4.719%,

9/07/26

....

3,206

2,792

a

8813700. SQ.FTS.B,

5.031%,

9/07/26

....

6,146

5,626

a

8811330. SQ.FTS.B,

5.346%,

9/07/26

....

20,477

17,057

a

8810676. SQ.FTS.B,

5.591%,

9/07/26

....

1,694

692

a

8816217. SQ.FTS.B,

4.717%,

9/09/26

....

10,239

8,468

a

8817896. SQ.FTS.B,

4.718%,

9/10/26

....

3,728

3,308

a

8819695. SQ.FTS.B,

5.342%,

9/10/26

....

1,495

1,270

a

8824350. SQ.FTS.B,

4.717%,

9/11/26

....

6,229

5,175

a,b

8824912. SQ.FTS.B,

4.939%,

9/11/26

....

7,671

3,826

a

8823852. SQ.FTS.B,

5.027%,

9/11/26

....

1,602

1,155

a

8822169. SQ.FTS.B,

5.348%,

9/11/26

....

1,927

1,733

a,b

8822671. SQ.FTS.B,

6.099%,

9/11/26

....

2,827

a

8825752. SQ.FTS.B,

4.715%,

9/12/26

....

a

8830042. SQ.FTS.B,

4.721%,

9/12/26

....

597

587

a

8829866. SQ.FTS.B,

6.1%,

9/12/26

......

5,460

4,003

a,b

8836466. SQ.FTS.B,

5.911%,

9/13/26

....

1,364

922

a

8838758. SQ.FTS.B,

5.918%,

9/13/26

....

a

8841697. SQ.FTS.B,

5.031%,

9/14/26

....

3,170

2,498

a

8842210. SQ.FTS.B,

5.583%,

9/14/26

....

a

8845787. SQ.FTS.B,

4.946%,

9/15/26

....

1,151

552

a

8844470. SQ.FTS.B,

5.041%,

9/15/26

....

a,b

8846019. SQ.FTS.B,

6.095%,

9/15/26

....

1,341

a

8846996. SQ.FTS.B,

5.6%,

9/16/26

......

1,684

1,475

a

8848129. SQ.FTS.B,

5.597%,

9/17/26

....

7,312

4,656

a,b

8855947. SQ.FTS.B,

5.358%,

9/18/26

....

1,680

a,b

8862132. SQ.FTS.B,

6.1%,

9/19/26

......

4,940

a,b

8860499. SQ.FTS.B,

6.455%,

9/19/26

....

1,554

a

8867824. SQ.FTS.B,

4.719%,

9/20/26

....

5,060

4,147

a

8869520. SQ.FTS.B,

4.719%,

9/20/26

....

1,371

1,339

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Description

#### Principal

#### Amount

#### Value

#### Marketplace

#### Loans
(continued)

Block,

Inc.

(continued)

a,b

8867817. SQ.FTS.B,

4.953%,

9/20/26

....

$

580

$

a

8865647. SQ.FTS.B,

5.031%,

9/20/26

....

a,b

8865093. SQ.FTS.B,

5.914%,

9/20/26

....

5,963

1,791

a

8866511. SQ.FTS.B,

6.289%,

9/20/26

....

6,099

1,645

a

8869364. SQ.FTS.B,

6.289%,

9/20/26

....

1,157

713

a,b

8866657. SQ.FTS.B,

6.447%,

9/20/26

....

26,140

a

8871615. SQ.FTS.B,

4.719%,

9/21/26

....

2,563

2,186

a

8873146. SQ.FTS.B,

4.719%,

9/21/26

....

3,331

3,242

a

8873449. SQ.FTS.B,

5.35%,

9/21/26

.....

2,347

2,054

a,b

8870696. SQ.FTS.B,

5.618%,

9/21/26

....

1,558

a

8875640. SQ.FTS.B,

6.102%,

9/22/26

....

1,015

800

a

8876611. SQ.FTS.B,

4.717%,

9/23/26

....

2,825

2,789

a

8876148. SQ.FTS.B,

4.72%,

9/23/26

.....

2,705

1,729

a

8877024. SQ.FTS.B,

6.45%,

9/24/26

.....

948

812

a

8881961. SQ.FTS.B,

4.717%,

9/25/26

....

804

798

a

8881760. SQ.FTS.B,

5.038%,

9/25/26

....

1,663

1,363

a

8882306. SQ.FTS.B,

5.595%,

9/25/26

....

a

8886794. SQ.FTS.B,

5.346%,

9/26/26

....

8,127

6,770

a

8890340. SQ.FTS.B,

5.597%,

9/26/26

....

3,604

2,067

a

8888248. SQ.FTS.B,

6.436%,

9/26/26

....

774

a,b

8886342. SQ.FTS.B,

6.445%,

9/26/26

....

4,893

1,377

a

8888165. SQ.FTS.B,

6.457%,

9/26/26

....

767

527

a

8895373. SQ.FTS.B,

5.026%,

9/27/26

....

1,349

1,235

a,b

8894126. SQ.FTS.B,

6.447%,

9/27/26

....

4,659

a

8898889. SQ.FTS.B,

5.031%,

9/28/26

....

746

628

a

8898952. SQ.FTS.B,

5.598%,

9/28/26

....

4,199

3,996

a

8898743. SQ.FTS.B,

6.105%,

9/28/26

....

545

a

8903852. SQ.FTS.B,

4.717%,

9/29/26

....

8,267

7,801

a

8908825. SQ.FTS.B,

4.719%,

9/30/26

....

4,528

3,256

a

8904946. SQ.FTS.B,

5.346%,

9/30/26

....

741

719

a,b

8906652. SQ.FTS.B,

6.102%,

9/30/26

....

6,028

a

8913761. SQ.FTS.B,

5.342%,

10/01/26

...

894

a

8913778. SQ.FTS.B,

5.355%,

10/01/26

...

a

8914772. SQ.FTS.B,

4.714%,

10/02/26

...

1,449

1,323

a,b

8916787. SQ.FTS.B,

4.717%,

10/02/26

...

5,743

a

8918904. SQ.FTS.B,

4.717%,

10/02/26

...

4,173

3,358

a,b

8916567. SQ.FTS.B,

6.316%,

10/02/26

...

645

a

8918224. SQ.FTS.B,

6.476%,

10/02/26

...

a

8922950. SQ.FTS.B,

4.717%,

10/03/26

...

4,496

4,374

a

8923924. SQ.FTS.B,

4.717%,

10/03/26

...

2,706

2,624

a

8925868. SQ.FTS.B,

4.962%,

10/03/26

...

a

8925982. SQ.FTS.B,

5.031%,

10/03/26

...

1,877

1,673

a,b

8925548. SQ.FTS.B,

6.099%,

10/03/26

...

5,133

a,b

8921608. SQ.FTS.B,

6.473%,

10/03/26

...

711

a,b

8928016. SQ.FTS.B,

5.6%,

10/04/26

.....

4,939

a,b

8927566. SQ.FTS.B,

6.449%,

10/04/26

...

6,399

#### Description

#### Principal

#### Amount

#### Value
Block,

Inc.

(continued)

a

8927942. SQ.FTS.B,

6.452%,

10/04/26

...

$

753

$

a

8930299. SQ.FTS.B,

4.717%,

10/05/26

...

2,286

2,271

a

8935811. SQ.FTS.B,

5.031%,

10/07/26

...

7,208

4,984

a

8940929. SQ.FTS.B,

4.717%,

10/08/26

...

2,785

2,653

a

8939540. SQ.FTS.B,

4.719%,

10/08/26

...

3,231

2,680

a

8937064. SQ.FTS.B,

6.447%,

10/08/26

...

925

609

a

8942058. SQ.FTS.B,

5.031%,

10/09/26

...

20,415

15,462

a

8942926. SQ.FTS.B,

5.603%,

10/09/26

...

a,b

8943220. SQ.FTS.B,

6.447%,

10/09/26

...

9,148

a

8942798. SQ.FTS.B,

6.45%,

10/09/26

....

1,355

1,189

a

8948714. SQ.FTS.B,

5.912%,

10/10/26

...

3,433

3,039

a

8955300. SQ.FTS.B,

6.478%,

10/11/26

...

a

8958970. SQ.FTS.B,

4.717%,

10/13/26

...

2,951

2,903

a

8963717. SQ.FTS.B,

5.034%,

10/14/26

...

3,668

2,567

a,b

8964612. SQ.FTS.B,

6.446%,

10/15/26

...

5,657

1,536

a

8971413. SQ.FTS.B,

5.338%,

10/16/26

...

550

a

8977614. SQ.FTS.B,

5.037%,

10/17/26

...

800

692

a

8979331. SQ.FTS.B,

6.1%,

10/17/26

.....

1,533

1,450

a,b

8977675. SQ.FTS.B,

6.277%,

10/17/26

...

971

a

8978308. SQ.FTS.B,

6.447%,

10/17/26

...

655

568

a,b

8983195. SQ.FTS.B,

6.11%,

10/18/26

....

1,220

553

a

8985653. SQ.FTS.B,

4.969%,

10/19/26

...

620

a

8985454. SQ.FTS.B,

5.029%,

10/19/26

...

a

8985623. SQ.FTS.B,

5.36%,

10/19/26

....

846

775

a

8986677. SQ.FTS.B,

5.031%,

10/20/26

...

1,852

1,680

a

8995697. SQ.FTS.B,

5.346%,

10/22/26

...

9,400

6,148

a,b

8995610. SQ.FTS.B,

6.1%,

10/22/26

.....

6,434

a

8996846. SQ.FTS.B,

4.719%,

10/23/26

...

3,685

3,573

a

8999594. SQ.FTS.B,

5.92%,

10/23/26

....

1,089

744

a

8999514. SQ.FTS.B,

6.441%,

10/23/26

...

1,232

1,038

a

9006035. SQ.FTS.B,

4.722%,

10/24/26

...

818

797

a,b

9006269. SQ.FTS.B,

5.597%,

10/24/26

...

20,237

a

9009247. SQ.FTS.B,

4.712%,

10/25/26

...

2,108

1,837

a

9008810. SQ.FTS.B,

4.717%,

10/25/26

...

2,392

2,220

a

9009735. SQ.FTS.B,

6.447%,

10/25/26

...

10,663

7,983

a

9012361. SQ.FTS.B,

4.717%,

10/26/26

...

1,226

1,101

a,b

4578615. SQ.FTS.B,

4.717%,

4/01/33

....

1,525

–

a,b

4583983. SQ.FTS.B,

4.403%,

4/04/33

....

3,383

–

a,b

4585288. SQ.FTS.B,

4.874%,

4/04/33

....

13,554

–

a,b

4587010. SQ.FTS.B,

3.938%,

4/05/33

....

1,755

–

a,b

4590358. SQ.FTS.B,

3.953%,

4/05/33

....

–

a,b

4588245. SQ.FTS.B,

4.558%,

4/05/33

....

3,204

–

a,b

4589702. SQ.FTS.B,

4.569%,

4/05/33

....

3,489

–

a,b

4598182. SQ.FTS.B,

4.574%,

4/07/33

....

1,281

–

a,b

4602285. SQ.FTS.B,

4.403%,

4/08/33

....

31,712

–

a,b

4604615. SQ.FTS.B,

4.56%,

4/09/33

.....

13,726

–

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

#### Description

#### Principal

#### Amount

#### Value

#### Marketplace

#### Loans
(continued)

Block,

Inc.

(continued)

a,b

4604886. SQ.FTS.B,

4.717%,

4/10/33

....

$

2,273

$

–

a,b

4606179. SQ.FTS.B,

3.932%,

4/11/33

....

10,364

–

a,b

4606464. SQ.FTS.B,

4.403%,

4/11/33

....

12,284

a,b

4606335. SQ.FTS.B,

4.882%,

4/11/33

....

2,103

–

a,b

4609551. SQ.FTS.B,

4.56%,

4/12/33

.....

5,454

–

a,b

4612920. SQ.FTS.B,

3.314%,

4/13/33

....

2,172

–

a,b

4610443. SQ.FTS.B,

4.403%,

4/13/33

....

10,147

–

a,b

4622639. SQ.FTS.B,

3.928%,

4/15/33

....

3,183

–

a,b

4624869. SQ.FTS.B,

4.554%,

4/17/33

....

1,488

–

a,b

4626298. SQ.FTS.B,

3.934%,

4/18/33

....

10,268

–

a,b

4627586. SQ.FTS.B,

4.403%,

4/18/33

....

4,624

–

a,b

4626514. SQ.FTS.B,

5.031%,

4/18/33

....

2,949

a,b

4629149. SQ.FTS.B,

4.403%,

4/19/33

....

6,425

–

a,b

4632596. SQ.FTS.B,

4.705%,

4/20/33

....

848

–

a,b

4635753. SQ.FTS.B,

4.874%,

4/21/33

....

11,156

–

a,b

4642502. SQ.FTS.B,

4.868%,

4/25/33

....

662

–

a,b

4643970. SQ.FTS.B,

4.56%,

4/26/33

.....

2,081

–

a,b

4657373. SQ.FTS.B,

3.296%,

4/30/33

....

3,122

–

a,b

4656958. SQ.FTS.B,

4.717%,

4/30/33

....

3,103

–

a,b

4661015. SQ.FTS.B,

4.566%,

5/01/33

....

2,307

–

a,b

4661890. SQ.FTS.B,

3.931%,

5/02/33

....

2,289

–

a,b

4663096. SQ.FTS.B,

4.403%,

5/02/33

....

27,120

–

a,b

4663916. SQ.FTS.B,

4.403%,

5/02/33

....

24,742

a,b

4662184. SQ.FTS.B,

5.031%,

5/02/33

....

2,428

–

a,b

4665676. SQ.FTS.B,

4.564%,

5/03/33

....

4,604

–

a,b

4675799. SQ.FTS.B,

3.306%,

5/05/33

....

3,282

–

a,b

4677893. SQ.FTS.B,

5.031%,

5/06/33

....

2,173

–

a,b

4693423. SQ.FTS.B,

4.403%,

5/09/33

....

7,036

–

a,b

4693941. SQ.FTS.B,

4.561%,

5/09/33

....

8,872

–

a,b

4692191. SQ.FTS.B,

4.562%,

5/09/33

....

9,113

–

a,b

4692982. SQ.FTS.B,

4.591%,

5/09/33

....

–

a,b

4691756. SQ.FTS.B,

4.715%,

5/09/33

....

7,269

–

a,b

4706450. SQ.FTS.B,

4.561%,

5/10/33

....

6,009

–

a,b

4706808. SQ.FTS.B,

4.563%,

5/10/33

....

4,870

–

a,b

4701939. SQ.FTS.B,

4.717%,

5/10/33

....

1,446

–

a,b

4707248. SQ.FTS.B,

4.732%,

5/11/33

....

641

–

a,b

4711828. SQ.FTS.B,

5.031%,

5/12/33

....

3,618

–

a,b

4714060. SQ.FTS.B,

5.031%,

5/13/33

....

1,082

–

a,b

4714469. SQ.FTS.B,

3.27%,

5/14/33

.....

828

–

a,b

4738688. SQ.FTS.B,

4.418%,

5/18/33

....

840

–

a,b

4747188. SQ.FTS.B,

3.31%,

5/19/33

.....

553

–

a,b

4750103. SQ.FTS.B,

4.403%,

5/20/33

....

8,831

–

a,b

4750803. SQ.FTS.B,

4.403%,

5/21/33

....

3,382

–

a,b

4764584. SQ.FTS.B,

5.031%,

5/23/33

....

523

–

a,b

4773604. SQ.FTS.B,

4.403%,

5/24/33

....

9,605

–

a,b

4777853. SQ.FTS.B,

4.565%,

5/24/33

....

1,347

–

#### Description

#### Principal

#### Amount

#### Value
Block,

Inc.

(continued)

a,b

4774144. SQ.FTS.B,

4.57%,

5/24/33

.....

$

1,718

$

–

a,b

4779678. SQ.FTS.B,

3.301%,

5/25/33

....

899

–

a,b

4796651. SQ.FTS.B,

4.564%,

6/01/33

....

3,524

–

a,b

4808500. SQ.FTS.B,

4.403%,

6/02/33

....

7,711

–

a,b

4807880. SQ.FTS.B,

4.56%,

6/02/33

.....

19,691

a,b

4815646. SQ.FTS.B,

4.403%,

6/05/33

....

5,300

–

a,b

4820091. SQ.FTS.B,

4.564%,

6/07/33

....

1,630

–

a,b

4820553. SQ.FTS.B,

4.875%,

6/07/33

....

10,164

–

a,b

4821904. SQ.FTS.B,

4.56%,

6/08/33

.....

796

–

a,b

4831001. SQ.FTS.B,

3.774%,

6/10/33

....

847

–

a,b

4831653. SQ.FTS.B,

3.926%,

6/10/33

....

2,099

–

a,b

4830931. SQ.FTS.B,

4.528%,

6/10/33

....

–

a,b

4831110. SQ.FTS.B,

4.57%,

6/10/33

.....

962

–

a,b

4834162. SQ.FTS.B,

4.574%,

6/12/33

....

–

a,b

4839102. SQ.FTS.B,

3.296%,

6/14/33

....

1,596

–

a,b

4838333. SQ.FTS.B,

3.941%,

6/14/33

....

750

–

a,b

4842631. SQ.FTS.B,

3.302%,

6/15/33

....

5,776

–

a,b

4842605. SQ.FTS.B,

3.937%,

6/15/33

....

4,000

–

a,b

4841116. SQ.FTS.B,

4.562%,

6/15/33

....

11,234

–

a,b

4848622. SQ.FTS.B,

3.302%,

6/16/33

....

2,069

–

a,b

4862341. SQ.FTS.B,

2.982%,

6/18/33

....

522

–

a,b

4862443. SQ.FTS.B,

4.227%,

6/18/33

....

7,578

–

a,b

4863062. SQ.FTS.B,

4.391%,

6/19/33

....

3,882

–

a,b

4863238. SQ.FTS.B,

4.42%,

6/19/33

.....

2,993

–

a,b

4862998. SQ.FTS.B,

4.559%,

6/19/33

....

1,027

–

a,b

4863412. SQ.FTS.B,

4.56%,

6/19/33

.....

11,561

–

a,b

4862938. SQ.FTS.B,

5.031%,

6/19/33

....

691

–

a,b

4867257. SQ.FTS.B,

3.939%,

6/20/33

....

607

–

a,b

4867843. SQ.FTS.B,

3.675%,

6/21/33

....

–

a,b

4868757. SQ.FTS.B,

4.406%,

6/21/33

....

3,219

a,b

4869815. SQ.FTS.B,

4.56%,

6/21/33

.....

7,257

–

a,b

4873297. SQ.FTS.B,

3.376%,

6/22/33

....

–

a,b

4871837. SQ.FTS.B,

3.928%,

6/22/33

....

1,490

–

a,b

4872072. SQ.FTS.B,

4.557%,

6/22/33

....

4,085

–

a,b

4873405. SQ.FTS.B,

4.56%,

6/22/33

.....

5,886

–

a,b

4873313. SQ.FTS.B,

5.031%,

6/22/33

....

1,287

–

a,b

4874535. SQ.FTS.B,

3.306%,

6/23/33

....

977

–

a,b

4875940. SQ.FTS.B,

4.539%,

6/23/33

....

7,944

a,b

4874845. SQ.FTS.B,

4.559%,

6/23/33

....

3,811

–

a,b

4874157. SQ.FTS.B,

4.877%,

6/23/33

....

3,873

–

a,b

4877067. SQ.FTS.B,

3.562%,

6/24/33

....

1,174

–

a,b

4877254. SQ.FTS.B,

3.774%,

6/25/33

....

1,462

–

a,b

4877394. SQ.FTS.B,

4.225%,

6/25/33

....

4,239

–

a,b

4877534. SQ.FTS.B,

4.931%,

6/25/33

....

1,841

–

a,b

4879828. SQ.FTS.B,

2.958%,

6/27/33

....

1,403

–

a,b

4879371. SQ.FTS.B,

3.443%,

6/27/33

....

536

–

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Description

#### Principal

#### Amount

#### Value

#### Marketplace

#### Loans
(continued)

Block,

Inc.

(continued)

a,b

4879124. SQ.FTS.B,

4.073%,

6/27/33

....

$

4,098

$

–

a,b

4878787. SQ.FTS.B,

4.233%,

6/27/33

....

4,067

–

a,b

4880273. SQ.FTS.B,

4.416%,

6/27/33

....

32,499

a,b

4879728. SQ.FTS.B,

4.695%,

6/27/33

....

2,694

–

a,b

4878103. SQ.FTS.B,

5.346%,

6/27/33

....

627

–

a,b

4881967. SQ.FTS.B,

2.297%,

6/28/33

....

–

a,b

4881632. SQ.FTS.B,

2.333%,

6/28/33

....

5,202

–

a,b

4880881. SQ.FTS.B,

2.411%,

6/28/33

....

–

a,b

4882630. SQ.FTS.B,

3.643%,

6/28/33

....

5,042

a,b

4881595. SQ.FTS.B,

4.069%,

6/28/33

....

1,106

–

a,b

4881625. SQ.FTS.B,

4.427%,

6/28/33

....

1,074

–

a,b

4881933. SQ.FTS.B,

4.55%,

6/28/33

.....

502

–

a,b

4882127. SQ.FTS.B,

4.561%,

6/28/33

....

35,043

–

a,b

4880840. SQ.FTS.B,

4.719%,

6/28/33

....

1,128

–

a,b

4886903. SQ.FTS.B,

3.296%,

6/30/33

....

2,071

–

a,b

4889268. SQ.FTS.B,

3.31%,

6/30/33

.....

524

–

a,b

4886912. SQ.FTS.B,

4.563%,

6/30/33

....

2,287

–

a,b

4889574. SQ.FTS.B,

4.877%,

7/01/33

....

2,517

–

a,b

4894101. SQ.FTS.B,

4.717%,

7/04/33

....

12,955

a,b

4893066. SQ.FTS.B,

5.031%,

7/04/33

....

3,265

–

a,b

4896547. SQ.FTS.B,

5.849%,

7/05/33

....

4,712

–

a,b

4899151. SQ.FTS.B,

4.563%,

7/06/33

....

3,147

–

a,b

4898852. SQ.FTS.B,

4.874%,

7/06/33

....

2,213

–

a,b

4908064. SQ.FTS.B,

4.403%,

7/11/33

....

16,814

a,b

4907364. SQ.FTS.B,

5.031%,

7/11/33

....

1,373

–

a,b

4922562. SQ.FTS.B,

4.56%,

7/14/33

.....

6,112

–

a,b

4916400. SQ.FTS.B,

4.569%,

7/14/33

....

955

–

a,b

4916673. SQ.FTS.B,

4.719%,

7/14/33

....

9,163

–

a,b

4923493. SQ.FTS.B,

3.354%,

7/15/33

....

–

a,b

4925329. SQ.FTS.B,

4.145%,

7/18/33

....

1,389

–

a,b

4928876. SQ.FTS.B,

3.333%,

7/19/33

....

514

–

a,b

4931020. SQ.FTS.B,

4.56%,

7/20/33

.....

10,152

–

a,b

4935511. SQ.FTS.B,

4.403%,

7/22/33

....

–

a,b

4941224. SQ.FTS.B,

5.031%,

7/25/33

....

4,401

–

a,b

4947272. SQ.FTS.B,

4.885%,

7/27/33

....

1,224

–

a,b

4954105. SQ.FTS.B,

4.557%,

7/28/33

....

2,531

–

a,b

4961597. SQ.FTS.B,

3.303%,

7/31/33

....

6,826

–

a,b

4964338. SQ.FTS.B,

4.886%,

8/01/33

....

1,028

–

a,b

4975322. SQ.FTS.B,

4.539%,

8/05/33

....

1,106

–

a,b

4976561. SQ.FTS.B,

4.553%,

8/07/33

....

2,306

–

a,b

4977248. SQ.FTS.B,

4.56%,

8/07/33

.....

23,393

a,b

4980976. SQ.FTS.B,

4.557%,

8/08/33

....

3,062

–

a,b

4978982. SQ.FTS.B,

4.561%,

8/08/33

....

8,763

a,b

4979694. SQ.FTS.B,

6.253%,

8/08/33

....

7,423

–

a,b

4981159. SQ.FTS.B,

4.717%,

8/09/33

....

3,017

–

a,b

4983108. SQ.FTS.B,

5.031%,

8/09/33

....

–

#### Description

#### Principal

#### Amount

#### Value
Block,

Inc.

(continued)

a,b

4989442. SQ.FTS.B,

6.239%,

8/11/33

....

$

717

$

–

a,b

4990668. SQ.FTS.B,

3.935%,

8/12/33

....

1,655

–

a,b

4995431. SQ.FTS.B,

4.556%,

8/15/33

....

6,247

–

a,b

5004424. SQ.FTS.B,

4.56%,

8/16/33

.....

1,829

–

a,b

5016072. SQ.FTS.B,

5.435%,

8/17/33

....

5,014

–

a,b

5025752. SQ.FTS.B,

2.033%,

8/19/33

....

6,406

–

a,b

5025882. SQ.FTS.B,

4.885%,

8/19/33

....

1,669

–

a,b

5027373. SQ.FTS.B,

4.018%,

8/21/33

....

8,844

–

a,b

5030831. SQ.FTS.B,

4.56%,

8/22/33

.....

5,213

–

a,b

5031471. SQ.FTS.B,

4.563%,

8/22/33

....

5,258

–

a,b

5033148. SQ.FTS.B,

3.906%,

8/23/33

....

–

a,b

5035669. SQ.FTS.B,

4.725%,

8/23/33

....

3,399

–

a,b

5044258. SQ.FTS.B,

5.149%,

8/27/33

....

8,147

a,b

5045662. SQ.FTS.B,

4.574%,

8/28/33

....

2,040

–

a,b

5047314. SQ.FTS.B,

4.591%,

8/28/33

....

–

a,b

5047321. SQ.FTS.B,

4.717%,

8/28/33

....

5,110

–

a,b

5044794. SQ.FTS.B,

4.807%,

8/28/33

....

5,731

–

a,b

5059326. SQ.FTS.B,

4.561%,

9/04/33

....

13,048

–

a,b

5062512. SQ.FTS.B,

2.6%,

9/06/33

......

3,648

–

a,b

5062340. SQ.FTS.B,

4.883%,

9/06/33

....

2,074

–

a,b

5065404. SQ.FTS.B,

4.572%,

9/07/33

....

2,639

–

a,b

5067242. SQ.FTS.B,

4.382%,

9/08/33

....

5,352

–

a,b

5067403. SQ.FTS.B,

5.351%,

9/08/33

....

2,045

–

a,b

5071139. SQ.FTS.B,

3.848%,

9/09/33

....

2,742

a,b

5075119. SQ.FTS.B,

3.748%,

9/10/33

....

1,106

–

a,b

5072967. SQ.FTS.B,

4.066%,

9/10/33

....

542

–

a,b

5074442. SQ.FTS.B,

4.861%,

9/10/33

....

1,909

–

a,b

5077583. SQ.FTS.B,

5.031%,

9/11/33

....

3,691

–

a,b

5081612. SQ.FTS.B,

4.666%,

9/14/33

....

1,324

–

a,b

5084934. SQ.FTS.B,

3.774%,

9/16/33

....

33,929

–

a,b

5085858. SQ.FTS.B,

3.936%,

9/16/33

....

884

–

a,b

5090272. SQ.FTS.B,

4.563%,

9/17/33

....

4,187

–

a,b

5093863. SQ.FTS.B,

4.558%,

9/19/33

....

9,864

–

a,b

5094427. SQ.FTS.B,

3.774%,

9/20/33

....

2,121

–

a,b

5096674. SQ.FTS.B,

4.56%,

9/21/33

.....

13,763

a,b

5095917. SQ.FTS.B,

5.031%,

9/21/33

....

17,638

–

a,b

5098275. SQ.FTS.B,

6.063%,

9/22/33

....

6,026

–

a,b

5100485. SQ.FTS.B,

5.722%,

9/23/33

....

4,264

–

a,b

5106538. SQ.FTS.B,

4.562%,

9/24/33

....

11,727

–

a,b

5107353. SQ.FTS.B,

5.031%,

9/24/33

....

1,383

–

a,b

5109145. SQ.FTS.B,

5.031%,

9/25/33

....

1,195

–

a,b

5111024. SQ.FTS.B,

4.724%,

9/27/33

....

670

–

a,b

5112445. SQ.FTS.B,

3.774%,

9/28/33

....

–

a,b

5114206. SQ.FTS.B,

4.571%,

9/28/33

....

573

–

a,b

5112955. SQ.FTS.B,

5.031%,

9/28/33

....

4,811

–

a,b

5113266. SQ.FTS.B,

5.387%,

9/28/33

....

1,765

–

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

#### Description

#### Principal

#### Amount

#### Value

#### Marketplace

#### Loans
(continued)

Block,

Inc.

(continued)

a,b

5124518. SQ.FTS.B,

3.351%,

9/30/33

....

$

11,687

$

–

a,b

5119221. SQ.FTS.B,

4.403%,

9/30/33

....

2,448

–

a,b

5119131. SQ.FTS.B,

4.56%,

9/30/33

.....

1,885

–

a,b

5126438. SQ.FTS.B,

3.495%,

10/01/33

...

22,782

a,b

5128413. SQ.FTS.B,

3.917%,

10/02/33

...

1,332

–

a,b

5131669. SQ.FTS.B,

4.56%,

10/04/33

....

22,967

–

a,b

5132006. SQ.FTS.B,

5.007%,

10/04/33

...

790

–

a,b

5138072. SQ.FTS.B,

4.672%,

10/06/33

...

4,185

–

a,b

5142028. SQ.FTS.B,

3.927%,

10/07/33

...

612

–

a,b

5142049. SQ.FTS.B,

4.503%,

10/07/33

...

537

–

a,b

5141482. SQ.FTS.B,

4.508%,

10/07/33

...

2,827

–

a,b

5149269. SQ.FTS.B,

4.974%,

10/10/33

...

941

–

a,b

5153369. SQ.FTS.B,

4.559%,

10/11/33

...

12,680

–

a,b

5153956. SQ.FTS.B,

3.94%,

10/12/33

....

2,957

–

a,b

5157152. SQ.FTS.B,

4.407%,

10/12/33

...

4,186

–

a,b

5154314. SQ.FTS.B,

4.567%,

10/12/33

...

2,780

–

a,b

5154612. SQ.FTS.B,

4.57%,

10/12/33

....

1,314

–

a,b

5157821. SQ.FTS.B,

4.557%,

10/13/33

...

4,950

–

a,b

5159643. SQ.FTS.B,

4.886%,

10/13/33

...

1,281

–

a,b

5163000. SQ.FTS.B,

3.303%,

10/14/33

...

6,619

–

a,b

5162509. SQ.FTS.B,

4.561%,

10/14/33

...

55,221

–

a,b

5165754. SQ.FTS.B,

4.566%,

10/14/33

...

1,218

–

a,b

5170843. SQ.FTS.B,

4.403%,

10/15/33

...

14,553

–

a,b

5168750. SQ.FTS.B,

4.558%,

10/15/33

...

2,545

–

a,b

5171656. SQ.FTS.B,

4.053%,

10/16/33

...

875

–

a,b

5172517. SQ.FTS.B,

3.302%,

10/17/33

...

3,231

–

a,b

5173148. SQ.FTS.B,

5.012%,

10/17/33

...

670

–

a,b

5175259. SQ.FTS.B,

3.354%,

10/18/33

...

–

a,b

5176617. SQ.FTS.B,

4.294%,

10/18/33

...

935

–

a,b

5175826. SQ.FTS.B,

4.557%,

10/18/33

...

3,657

–

a,b

5176935. SQ.FTS.B,

5.031%,

10/18/33

...

–

a,b

5177078. SQ.FTS.B,

5.189%,

10/18/33

...

–

a,b

5184366. SQ.FTS.B,

3.774%,

10/19/33

...

3,564

–

a,b

5189604. SQ.FTS.B,

3.774%,

10/20/33

...

4,636

–

a,b

5203735. SQ.FTS.B,

3.298%,

10/21/33

...

6,108

–

a,b

5210519. SQ.FTS.B,

5.535%,

10/24/33

...

11,522

–

a,b

5223636. SQ.FTS.B,

4.563%,

10/27/33

...

2,509

–

a,b

5230601. SQ.FTS.B,

3.301%,

10/28/33

...

5,805

–

a,b

5234006. SQ.FTS.B,

4.403%,

10/28/33

...

25,481

a,b

5230330. SQ.FTS.B,

4.717%,

10/28/33

...

1,320

–

a,b

5238828. SQ.FTS.B,

3.774%,

10/29/33

...

19,166

–

a,b

5240546. SQ.FTS.B,

3.953%,

10/30/33

...

1,371

–

a,b

5240481. SQ.FTS.B,

4.563%,

10/30/33

...

1,280

–

a,b

5240561. SQ.FTS.B,

4.95%,

10/30/33

....

993

–

a,b

5240923. SQ.FTS.B,

4.56%,

11/01/33

....

7,658

–

a,b

5245023. SQ.FTS.B,

3.936%,

11/02/33

...

1,235

–

#### Description

#### Principal

#### Amount

#### Value
Block,

Inc.

(continued)

a,b

5252966. SQ.FTS.B,

4.188%,

11/04/33

...

$

2,234

$

–

a,b

5256925. SQ.FTS.B,

4.403%,

11/04/33

...

12,494

–

a,b

5251953. SQ.FTS.B,

4.553%,

11/04/33

...

1,860

–

a,b

5267302. SQ.FTS.B,

3.354%,

11/06/33

...

–

a,b

5267196. SQ.FTS.B,

4.723%,

11/06/33

...

2,396

–

a,b

5270825. SQ.FTS.B,

4.877%,

11/06/33

...

4,533

–

a,b

5273714. SQ.FTS.B,

4.563%,

11/08/33

...

2,002

–

a,b

5276774. SQ.FTS.B,

4.556%,

11/09/33

...

3,264

–

a,b

5280986. SQ.FTS.B,

4.555%,

11/10/33

...

1,327

–

a,b

5284007. SQ.FTS.B,

4.403%,

11/11/33

...

1,049

–

a,b

5289917. SQ.FTS.B,

3.774%,

11/12/33

...

702

–

a,b

5287039. SQ.FTS.B,

4.475%,

11/12/33

...

8,749

–

a,b

5288567. SQ.FTS.B,

6.146%,

11/12/33

...

–

a,b

5292026. SQ.FTS.B,

4.719%,

11/13/33

...

5,106

–

a,b

5293955. SQ.FTS.B,

4.721%,

11/14/33

...

5,278

–

a,b

5293907. SQ.FTS.B,

4.874%,

11/14/33

...

2,714

–

a,b

5295255. SQ.FTS.B,

3.303%,

11/16/33

...

1,890

a,b

5296246. SQ.FTS.B,

4.26%,

11/16/33

....

1,628

–

a,b

5300323. SQ.FTS.B,

4.569%,

11/17/33

...

1,387

–

a,b

5312373. SQ.FTS.B,

4.56%,

11/18/33

....

721

–

a,b

5317481. SQ.FTS.B,

4.528%,

11/19/33

...

593

–

a,b

5319057. SQ.FTS.B,

5.031%,

11/19/33

...

2,284

–

a,b

5325009. SQ.FTS.B,

3.047%,

11/22/33

...

6,356

–

a,b

5325109. SQ.FTS.B,

4.114%,

11/22/33

...

3,741

–

a,b

5325953. SQ.FTS.B,

3.673%,

11/23/33

...

26,736

a,b

5331997. SQ.FTS.B,

3.29%,

11/24/33

....

1,138

–

a,b

5333772. SQ.FTS.B,

3.324%,

11/24/33

...

967

–

a,b

5334010. SQ.FTS.B,

3.33%,

11/24/33

....

–

a,b

5332017. SQ.FTS.B,

4.403%,

11/24/33

...

3,457

–

a,b

5334017. SQ.FTS.B,

4.403%,

11/24/33

...

710

–

a,b

5334919. SQ.FTS.B,

4.56%,

11/24/33

....

1,216

–

a,b

5332382. SQ.FTS.B,

4.858%,

11/24/33

...

1,453

–

a,b

5333523. SQ.FTS.B,

4.881%,

11/24/33

...

620

–

a,b

5337318. SQ.FTS.B,

3.962%,

11/25/33

...

1,470

–

a,b

5336258. SQ.FTS.B,

4.558%,

11/25/33

...

4,115

–

a,b

5365379. SQ.FTS.B,

4.56%,

11/26/33

....

768

–

a,b

5364900. SQ.FTS.B,

4.571%,

11/26/33

...

1,391

–

a,b

5377413. SQ.FTS.B,

3.944%,

11/27/33

...

944

–

a,b

5378585. SQ.FTS.B,

3.953%,

11/27/33

...

–

a,b

5369148. SQ.FTS.B,

4.354%,

11/27/33

...

969

–

a,b

5377620. SQ.FTS.B,

4.414%,

11/27/33

...

13,408

a,b

5397535. SQ.FTS.B,

3.585%,

11/30/33

...

5,543

–

a,b

5393796. SQ.FTS.B,

5.031%,

11/30/33

...

–

a,b

5408127. SQ.FTS.B,

3.774%,

12/01/33

...

1,021

–

a,b

5412734. SQ.FTS.B,

3.992%,

12/01/33

...

8,127

–

a,b

5413423. SQ.FTS.B,

4.879%,

12/01/33

...

2,550

–

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Description

#### Principal

#### Amount

#### Value

#### Marketplace

#### Loans
(continued)

Block,

Inc.

(continued)

a,b

5411388. SQ.FTS.B,

5.031%,

12/01/33

...

$

563

$

–

a,b

5447961. SQ.FTS.B,

4.557%,

12/02/33

...

697

–

a,b

5472760. SQ.FTS.B,

4.479%,

12/04/33

...

3,648

–

a,b

5475686. SQ.FTS.B,

4.56%,

12/06/33

....

2,736

–

a,b

5479438. SQ.FTS.B,

4.866%,

12/06/33

...

631

–

a,b

5480752. SQ.FTS.B,

5.031%,

12/06/33

...

3,098

–

a,b

5505930. SQ.FTS.B,

6.289%,

12/07/33

...

1,048

–

a,b

5518310. SQ.FTS.B,

3.913%,

12/08/33

...

–

a,b

5515187. SQ.FTS.B,

4.403%,

12/08/33

...

4,692

–

a,b

5516154. SQ.FTS.B,

4.72%,

12/08/33

....

12,489

–

a,b

5507000. SQ.FTS.B,

4.758%,

12/08/33

...

38,614

a,b

5533995. SQ.FTS.B,

3.277%,

12/09/33

...

813

–

a,b

5534121. SQ.FTS.B,

5.031%,

12/09/33

...

5,159

–

a,b

5534689. SQ.FTS.B,

3.346%,

12/10/33

...

3,849

–

a,b

5537817. SQ.FTS.B,

4.193%,

12/10/33

...

798

–

a,b

5537728. SQ.FTS.B,

4.447%,

12/10/33

...

2,668

–

a,b

5535547. SQ.FTS.B,

4.724%,

12/10/33

...

4,404

–

a,b

5537953. SQ.FTS.B,

5.029%,

12/10/33

...

4,030

–

a,b

5539948. SQ.FTS.B,

4.239%,

12/11/33

...

1,314

–

a,b

5541083. SQ.FTS.B,

2.917%,

12/12/33

...

–

a,b

5541094. SQ.FTS.B,

4.721%,

12/12/33

...

5,085

–

a,b

5546515. SQ.FTS.B,

4.556%,

12/13/33

...

2,064

–

a,b

5552344. SQ.FTS.B,

3.537%,

12/14/33

...

1,674

–

a,b

5547946. SQ.FTS.B,

5.031%,

12/14/33

...

1,134

–

a,b

5554641. SQ.FTS.B,

3.292%,

12/15/33

...

62,255

–

a,b

5556696. SQ.FTS.B,

5.344%,

12/15/33

...

5,553

a,b

5563038. SQ.FTS.B,

4.564%,

12/16/33

...

4,772

–

a,b

5562047. SQ.FTS.B,

4.565%,

12/16/33

...

3,095

–

a,b

5564628. SQ.FTS.B,

3.302%,

12/17/33

...

2,787

–

a,b

5565992. SQ.FTS.B,

4.875%,

12/17/33

...

2,616

–

a,b

5568881. SQ.FTS.B,

3.298%,

12/19/33

...

1,314

–

a,b

5569070. SQ.FTS.B,

4.568%,

12/19/33

...

29,610

–

a,b

5572327. SQ.FTS.B,

4.572%,

12/20/33

...

–

a,b

5574351. SQ.FTS.B,

4.403%,

12/21/33

...

10,696

a,b

5573406. SQ.FTS.B,

4.546%,

12/21/33

...

–

a,b

5575886. SQ.FTS.B,

4.557%,

12/21/33

...

894

–

a,b

5586899. SQ.FTS.B,

3.653%,

12/24/33

...

2,468

–

a,b

5585522. SQ.FTS.B,

4.55%,

12/24/33

....

–

a,b

5588173. SQ.FTS.B,

3.774%,

12/25/33

...

2,866

–

a,b

5589322. SQ.FTS.B,

4.564%,

12/26/33

...

4,040

–

a,b

5588832. SQ.FTS.B,

4.719%,

12/26/33

...

7,140

–

a,b

5594180. SQ.FTS.B,

2.869%,

12/28/33

...

732

–

a,b

5595624. SQ.FTS.B,

4.567%,

12/28/33

...

789

–

a,b

5600496. SQ.FTS.B,

2.664%,

12/29/33

...

–

a,b

5599728. SQ.FTS.B,

2.797%,

12/29/33

...

4,867

–

a,b

5597497. SQ.FTS.B,

4.56%,

12/29/33

....

1,451

–

#### Description

#### Principal

#### Amount

#### Value
Block,

Inc.

(continued)

a,b

5600632. SQ.FTS.B,

5.031%,

12/29/33

...

$

3,133

$

–

a,b

5600526. SQ.FTS.B,

5.296%,

12/29/33

...

1,008

–

a,b

5611517. SQ.FTS.B,

4.558%,

12/30/33

...

2,001

–

a,b

5612507. SQ.FTS.B,

4.56%,

12/30/33

....

11,600

a,b

5616046. SQ.FTS.B,

2.619%,

1/01/34

....

1,631

–

a,b

5616216. SQ.FTS.B,

3.563%,

1/01/34

....

5,841

a,b

5614938. SQ.FTS.B,

4.555%,

1/01/34

....

2,188

–

a,b

5618116. SQ.FTS.B,

4.875%,

1/02/34

....

8,099

a,b

5618863. SQ.FTS.B,

3.774%,

1/03/34

....

1,492

–

a,b

5619959. SQ.FTS.B,

4.559%,

1/04/34

....

2,374

–

a,b

5620066. SQ.FTS.B,

4.566%,

1/04/34

....

2,868

–

a,b

5619464. SQ.FTS.B,

4.582%,

1/04/34

....

646

–

a,b

5623363. SQ.FTS.B,

4.559%,

1/05/34

....

10,990

–

a,b

5624299. SQ.FTS.B,

4.712%,

1/05/34

....

6,091

–

a,b

5630151. SQ.FTS.B,

3.936%,

1/06/34

....

506

–

a,b

5647775. SQ.FTS.B,

4.257%,

1/07/34

....

1,305

–

a,b

5654133. SQ.FTS.B,

4.875%,

1/08/34

....

32,774

–

a,b

5655643. SQ.FTS.B,

3.936%,

1/09/34

....

4,363

–

a,b

5656207. SQ.FTS.B,

4.559%,

1/09/34

....

8,733

a,b

5663245. SQ.FTS.B,

3.302%,

1/11/34

....

500

–

a,b

5663983. SQ.FTS.B,

3.826%,

1/11/34

....

–

a,b

5662691. SQ.FTS.B,

4.56%,

1/11/34

.....

573

–

a,b

5666806. SQ.FTS.B,

3.304%,

1/12/34

....

13,430

–

a,b

5671581. SQ.FTS.B,

4.559%,

1/12/34

....

18,583

–

a,b

5673210. SQ.FTS.B,

3.934%,

1/13/34

....

2,838

–

a,b

5675130. SQ.FTS.B,

4.718%,

1/13/34

....

–

a,b

5695450. SQ.FTS.B,

3.323%,

1/14/34

....

26,182

a,b

5694816. SQ.FTS.B,

3.38%,

1/14/34

.....

1,074

–

a,b

5689248. SQ.FTS.B,

4.556%,

1/14/34

....

1,934

–

a,b

5700432. SQ.FTS.B,

4.193%,

1/15/34

....

929

–

a,b

5696963. SQ.FTS.B,

4.559%,

1/15/34

....

8,836

–

a,b

5703401. SQ.FTS.B,

5.031%,

1/17/34

....

1,653

–

a,b

5703743. SQ.FTS.B,

5.031%,

1/17/34

....

855

–

a,b

5708905. SQ.FTS.B,

3.906%,

1/18/34

....

553

–

a,b

5709549. SQ.FTS.B,

4.174%,

1/18/34

....

12,160

–

a,b

5708392. SQ.FTS.B,

4.561%,

1/18/34

....

9,171

–

a,b

5706022. SQ.FTS.B,

5.179%,

1/18/34

....

–

a,b

5721102. SQ.FTS.B,

4.871%,

1/20/34

....

1,302

–

a,b

5728577. SQ.FTS.B,

4.56%,

1/21/34

.....

3,241

–

a,b

5732624. SQ.FTS.B,

4.56%,

1/22/34

.....

11,619

–

a,b

5731303. SQ.FTS.B,

4.574%,

1/22/34

....

1,418

–

a,b

5735573. SQ.FTS.B,

4.403%,

1/24/34

....

5,816

a,b

5737632. SQ.FTS.B,

3.931%,

1/25/34

....

5,796

–

a,b

5741303. SQ.FTS.B,

4.567%,

1/26/34

....

2,044

–

a,b

5751520. SQ.FTS.B,

3.308%,

1/28/34

....

2,991

–

a,b

5754310. SQ.FTS.B,

3.164%,

1/29/34

....

1,070

–

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

#### Description

#### Principal

#### Amount

#### Value

#### Marketplace

#### Loans
(continued)

Block,

Inc.

(continued)

a,b

5756610. SQ.FTS.B,

3.774%,

1/29/34

....

$

4,556

$

–

a,b

5757607. SQ.FTS.B,

3.929%,

1/31/34

....

9,346

–

a,b

5760954. SQ.FTS.B,

4.102%,

2/01/34

....

2,824

–

a,b

5758291. SQ.FTS.B,

4.565%,

2/01/34

....

5,772

–

a,b

5767488. SQ.FTS.B,

4.566%,

2/03/34

....

1,220

–

a,b

5773116. SQ.FTS.B,

4.87%,

2/04/34

.....

3,729

–

a,b

5777772. SQ.FTS.B,

4.558%,

2/05/34

....

8,178

–

a,b

5778008. SQ.FTS.B,

4.687%,

2/05/34

....

4,729

–

a,b

5781951. SQ.FTS.B,

4.557%,

2/08/34

....

4,019

–

a,b

5784874. SQ.FTS.B,

5.153%,

2/09/34

....

3,818

–

a,b

5792518. SQ.FTS.B,

4.876%,

2/10/34

....

16,456

–

a,b

5802478. SQ.FTS.B,

3.774%,

2/11/34

....

7,637

–

a,b

5812068. SQ.FTS.B,

3.302%,

2/12/34

....

2,493

–

a,b

5809201. SQ.FTS.B,

3.975%,

2/12/34

....

718

–

a,b

5812645. SQ.FTS.B,

4.529%,

2/12/34

....

2,690

–

a,b

5810852. SQ.FTS.B,

4.558%,

2/12/34

....

3,602

–

a,b

5813253. SQ.FTS.B,

4.558%,

2/12/34

....

7,311

–

a,b

5813184. SQ.FTS.B,

4.894%,

2/12/34

....

1,676

–

a,b

5813462. SQ.FTS.B,

4.687%,

2/13/34

....

1,394

–

a,b

5814016. SQ.FTS.B,

4.876%,

2/13/34

....

2,868

–

a,b

5814576. SQ.FTS.B,

3.308%,

2/14/34

....

2,223

–

a,b

5816945. SQ.FTS.B,

4.876%,

2/15/34

....

4,384

–

a,b

5815447. SQ.FTS.B,

5.156%,

2/15/34

....

1,227

–

a,b

5817070. SQ.FTS.B,

5.158%,

2/15/34

....

30,140

–

a,b

5823345. SQ.FTS.B,

3.944%,

2/17/34

....

1,884

–

a,b

5825002. SQ.FTS.B,

4.56%,

2/17/34

.....

35,998

–

a,b

5823283. SQ.FTS.B,

4.633%,

2/17/34

....

–

a,b

5824742. SQ.FTS.B,

4.688%,

2/17/34

....

3,322

–

a,b

5825354. SQ.FTS.B,

4.723%,

2/17/34

....

4,905

–

a,b

5827842. SQ.FTS.B,

4.561%,

2/18/34

....

7,668

–

a,b

5830440. SQ.FTS.B,

4.562%,

2/18/34

....

2,577

–

a,b

5828926. SQ.FTS.B,

4.685%,

2/18/34

....

17,907

–

a,b

5832209. SQ.FTS.B,

4.403%,

2/19/34

....

26,120

–

a,b

5832609. SQ.FTS.B,

4.929%,

2/19/34

....

2,194

–

a,b

5834318. SQ.FTS.B,

3.304%,

2/20/34

....

8,185

–

a,b

5834294. SQ.FTS.B,

4.537%,

2/20/34

....

502

–

a,b

5835079. SQ.FTS.B,

5.031%,

2/20/34

....

683

–

a,b

5837211. SQ.FTS.B,

4.56%,

2/22/34

.....

2,901

–

a,b

5837315. SQ.FTS.B,

4.561%,

2/22/34

....

4,547

–

a,b

5837252. SQ.FTS.B,

5.262%,

2/22/34

....

1,427

–

a,b

5840394. SQ.FTS.B,

4.809%,

2/23/34

....

7,735

–

a,b

5839815. SQ.FTS.B,

4.859%,

2/23/34

....

615

–

a,b

5842093. SQ.FTS.B,

4.874%,

2/23/34

....

1,240

–

a,b

5851647. SQ.FTS.B,

4.534%,

2/25/34

....

1,396

–

a,b

5848551. SQ.FTS.B,

4.685%,

2/25/34

....

1,094

–

a,b

5852027. SQ.FTS.B,

4.82%,

2/26/34

.....

–

#### Description

#### Principal

#### Amount

#### Value
Block,

Inc.

(continued)

a,b

5854311. SQ.FTS.B,

5.158%,

2/26/34

....

$

663

$

–

a,b

5853740. SQ.FTS.B,

5.288%,

2/26/34

....

2,104

–

a,b

5855240. SQ.FTS.B,

5.19%,

2/27/34

.....

6,098

–

a,b

5866864. SQ.FTS.B,

4.019%,

2/28/34

....

2,964

–

a,b

5857039. SQ.FTS.B,

4.523%,

2/28/34

....

–

a,b

5861134. SQ.FTS.B,

4.529%,

2/28/34

....

14,061

a,b

5866568. SQ.FTS.B,

4.617%,

2/28/34

....

2,638

–

a,b

5855911. SQ.FTS.B,

4.687%,

2/28/34

....

2,925

–

a,b

5861125. SQ.FTS.B,

4.772%,

2/28/34

....

619

–

a,b

5862630. SQ.FTS.B,

5.067%,

2/28/34

....

5,065

–

a,b

5873819. SQ.FTS.B,

5.09%,

3/01/34

.....

1,232

–

a,b

5874482. SQ.FTS.B,

4.762%,

3/02/34

....

657

–

a,b

5874329. SQ.FTS.B,

5.179%,

3/02/34

....

–

a,b

5877776. SQ.FTS.B,

5.458%,

3/03/34

....

691

–

a,b

5878846. SQ.FTS.B,

5.302%,

3/05/34

....

–

a,b

5885192. SQ.FTS.B,

5.384%,

3/07/34

....

2,394

–

a,b

5884477. SQ.FTS.B,

5.518%,

3/07/34

....

988

–

a,b

5883334. SQ.FTS.B,

5.524%,

3/07/34

....

1,109

–

a,b

5889080. SQ.FTS.B,

4.718%,

3/08/34

....

771

–

a,b

5889436. SQ.FTS.B,

4.844%,

3/08/34

....

14,724

–

a,b

5889875. SQ.FTS.B,

5.174%,

3/08/34

....

–

a,b

5889597. SQ.FTS.B,

5.287%,

3/08/34

....

1,085

–

a,b

5894091. SQ.FTS.B,

4.599%,

3/09/34

....

2,167

–

a,b

5893929. SQ.FTS.B,

4.751%,

3/09/34

....

788

–

a,b

5893541. SQ.FTS.B,

5.441%,

3/09/34

....

4,112

–

a,b

5893815. SQ.FTS.B,

5.451%,

3/09/34

....

1,195

–

a,b

5898769. SQ.FTS.B,

3.93%,

3/12/34

.....

2,169

–

a,b

5898320. SQ.FTS.B,

5.031%,

3/12/34

....

8,262

–

a,b

5900989. SQ.FTS.B,

3.935%,

3/13/34

....

5,386

–

a,b

5900390. SQ.FTS.B,

4.434%,

3/13/34

....

13,495

–

a,b

5900600. SQ.FTS.B,

5.093%,

3/13/34

....

7,701

–

a,b

5903864. SQ.FTS.B,

5.043%,

3/14/34

....

2,296

–

a,b

5911495. SQ.FTS.B,

4.309%,

3/16/34

....

40,359

a,b

5910869. SQ.FTS.B,

5.031%,

3/16/34

....

2,092

–

a,b

5913989. SQ.FTS.B,

5.445%,

3/17/34

....

1,336

–

a,b

5914396. SQ.FTS.B,

5.177%,

3/18/34

....

1,467

–

a,b

5915505. SQ.FTS.B,

5.283%,

3/19/34

....

16,318

a,b

5917707. SQ.FTS.B,

5.541%,

3/19/34

....

3,053

–

a,b

5921285. SQ.FTS.B,

4.747%,

3/20/34

....

2,698

–

a,b

5921918. SQ.FTS.B,

5.156%,

3/20/34

....

11,547

–

a,b

5923022. SQ.FTS.B,

5.284%,

3/21/34

....

1,435

–

a,b

5934059. SQ.FTS.B,

5.076%,

3/24/34

....

1,242

–

a,b

5934219. SQ.FTS.B,

5.158%,

3/24/34

....

22,371

–

a,b

5934730. SQ.FTS.B,

4.74%,

3/25/34

.....

2,564

–

a,b

5936923. SQ.FTS.B,

4.526%,

3/26/34

....

9,927

–

a,b

5938584. SQ.FTS.B,

5.097%,

3/26/34

....

6,806

–

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Description

#### Principal

#### Amount

#### Value

#### Marketplace

#### Loans
(continued)

Block,

Inc.

(continued)

a,b

5937124. SQ.FTS.B,

5.189%,

3/26/34

....

$

$

–

a,b

5941367. SQ.FTS.B,

4.717%,

3/27/34

....

4,768

–

a,b

5945082. SQ.FTS.B,

3.927%,

3/28/34

....

2,500

–

a,b

5943947. SQ.FTS.B,

4.74%,

3/28/34

.....

1,308

–

a,b

5945214. SQ.FTS.B,

5.367%,

3/28/34

....

656

–

a,b

5950686. SQ.FTS.B,

4.744%,

3/29/34

....

810

–

a,b

5954440. SQ.FTS.B,

4.843%,

3/30/34

....

7,514

–

a,b

5953097. SQ.FTS.B,

5.031%,

3/30/34

....

885

–

a,b

5956888. SQ.FTS.B,

4.221%,

4/02/34

....

2,980

–

a,b

5956650. SQ.FTS.B,

5.084%,

4/02/34

....

–

a,b

5956268. SQ.FTS.B,

5.096%,

4/02/34

....

609

–

a,b

5960434. SQ.FTS.B,

5.182%,

4/03/34

....

–

a,b

5959931. SQ.FTS.B,

5.429%,

4/03/34

....

1,644

–

a,b

5959978. SQ.FTS.B,

5.543%,

4/03/34

....

1,182

–

a,b

5966156. SQ.FTS.B,

4.03%,

4/05/34

.....

4,893

–

a,b

5964109. SQ.FTS.B,

5.28%,

4/05/34

.....

3,134

a,b

5980129. SQ.FTS.B,

4.947%,

4/10/34

....

695

–

a,b

5981924. SQ.FTS.B,

4.843%,

4/11/34

....

12,026

a,b

5983869. SQ.FTS.B,

5.031%,

4/11/34

....

1,723

–

a,b

5983705. SQ.FTS.B,

5.441%,

4/11/34

....

4,402

–

a,b

5986027. SQ.FTS.B,

5.095%,

4/12/34

....

3,601

–

a,b

5991404. SQ.FTS.B,

4.591%,

4/13/34

....

1,408

a,b

5995853. SQ.FTS.B,

4.028%,

4/14/34

....

7,553

–

a,b

5995769. SQ.FTS.B,

4.938%,

4/14/34

....

4,698

–

a,b

5996582. SQ.FTS.B,

5.428%,

4/15/34

....

–

a,b

6000328. SQ.FTS.B,

5.275%,

4/17/34

....

2,618

–

a,b

6001519. SQ.FTS.B,

4.591%,

4/18/34

....

505

–

a,b

6010572. SQ.FTS.B,

4.216%,

4/20/34

....

6,145

–

a,b

6010705. SQ.FTS.B,

4.906%,

4/20/34

....

4,090

–

a,b

6015748. SQ.FTS.B,

4.756%,

4/21/34

....

3,151

–

a,b

6023977. SQ.FTS.B,

5.196%,

4/25/34

....

871

–

a,b

6024354. SQ.FTS.B,

5.439%,

4/26/34

....

4,215

–

a,b

6037378. SQ.FTS.B,

4.751%,

4/29/34

....

732

–

a,b

6038361. SQ.FTS.B,

4.526%,

4/30/34

....

2,968

–

a,b

6057823. SQ.FTS.B,

4.905%,

5/04/34

....

17,364

–

a,b

6063087. SQ.FTS.B,

4.305%,

5/07/34

....

4,299

–

a,b

6064155. SQ.FTS.B,

5.379%,

5/08/34

....

694

–

a,b

6064464. SQ.FTS.B,

5.542%,

5/08/34

....

3,001

–

a,b

6111911. SQ.FTS.B,

5.379%,

5/09/34

.....

1,257

a,b

6120978. SQ.FTS.B,

4.769%,

5/10/34

....

836

–

a,b

6123828. SQ.FTS.B,

4.906%,

5/10/34

....

15,343

–

a,b

6122851. SQ.FTS.B,

5.157%,

5/10/34

....

5,276

–

a,b

6122683. SQ.FTS.B,

5.438%,

5/10/34

....

9,407

–

a,b

6126543. SQ.FTS.B,

5.457%,

5/12/34

....

–

a,b

6127052. SQ.FTS.B,

5.539%,

5/13/34

....

2,897

–

a,b

6134462. SQ.FTS.B,

4.527%,

5/15/34

....

5,519

#### Description

#### Principal

#### Amount

#### Value
Block,

Inc.

(continued)

a,b

6143084. SQ.FTS.B,

5.515%,

5/17/34

....

$

$

–

a,b

6145383. SQ.FTS.B,

5.158%,

5/18/34

....

25,311

a,b

6147718. SQ.FTS.B,

5.373%,

5/20/34

....

3,339

–

a,b

6147775. SQ.FTS.B,

5.453%,

5/20/34

....

1,022

–

a,b

6149657. SQ.FTS.B,

4.748%,

5/21/34

....

8,931

–

a,b

6149268. SQ.FTS.B,

5.031%,

5/21/34

....

3,411

–

a,b

6154074. SQ.FTS.B,

4.534%,

5/22/34

....

4,237

–

a,b

6160262. SQ.FTS.B,

4.751%,

5/23/34

....

4,566

–

a,b

6159444. SQ.FTS.B,

4.901%,

5/23/34

....

605

–

a,b

6161261. SQ.FTS.B,

5.287%,

5/24/34

....

1,545

–

a,b

6164819. SQ.FTS.B,

5.444%,

5/26/34

....

–

a,b

6164962. SQ.FTS.B,

5.445%,

5/26/34

....

3,092

–

a,b

6169262. SQ.FTS.B,

5.444%,

5/28/34

....

–

a,b

6173109. SQ.FTS.B,

4.311%,

5/29/34

....

732

–

a,b

6173073. SQ.FTS.B,

4.906%,

5/29/34

....

1,600

–

a,b

6185954. SQ.FTS.B,

5.441%,

6/03/34

....

1,742

–

a,b

6185770. SQ.FTS.B,

5.547%,

6/03/34

....

2,564

–

a,b

6190982. SQ.FTS.B,

4.314%,

6/05/34

....

4,546

–

a,b

6191154. SQ.FTS.B,

5.532%,

6/06/34

....

2,148

–

a,b

6209210. SQ.FTS.B,

4.309%,

6/09/34

....

6,712

a,b

6209706. SQ.FTS.B,

5.036%,

6/10/34

....

2,323

–

a,b

6211694. SQ.FTS.B,

5.372%,

6/12/34

....

3,075

–

a,b

6217699. SQ.FTS.B,

4.748%,

6/13/34

....

3,192

–

a,b

6217315. SQ.FTS.B,

5.031%,

6/13/34

....

687

–

a,b

6220586. SQ.FTS.B,

5.031%,

6/14/34

....

3,429

–

a,b

6220625. SQ.FTS.B,

5.378%,

6/14/34

....

8,814

–

a,b

6227194. SQ.FTS.B,

5.02%,

6/16/34

.....

1,771

–

a,b

6236255. SQ.FTS.B,

5.436%,

6/18/34

....

2,023

–

a,b

6237088. SQ.FTS.B,

4.742%,

6/19/34

....

1,309

–

a,b

6237213. SQ.FTS.B,

5.438%,

6/19/34

....

994

–

a,b

6243468. SQ.FTS.B,

4.969%,

6/20/34

....

12,676

–

a,b

6243792. SQ.FTS.B,

5.374%,

6/21/34

....

2,999

–

a,b

6245571. SQ.FTS.B,

5.674%,

6/21/34

....

502

–

a,b

6254473. SQ.FTS.B,

5.251%,

6/23/34

....

13,950

–

a,b

6254361. SQ.FTS.B,

5.374%,

6/23/34

....

1,745

–

a,b

6254841. SQ.FTS.B,

5.443%,

6/23/34

....

4,682

–

a,b

6259695. SQ.FTS.B,

5.545%,

6/27/34

....

2,225

–

a,b

6265153. SQ.FTS.B,

5.127%,

6/29/34

....

11,421

–

a,b

6266370. SQ.FTS.B,

5.252%,

6/29/34

....

5,770

–

a,b

6275326. SQ.FTS.B,

5.44%,

7/03/34

.....

2,114

–

a,b

6277033. SQ.FTS.B,

5.25%,

7/04/34

.....

3,011

–

a,b

6278139. SQ.FTS.B,

5.61%,

7/04/34

.....

931

–

a,b

6282812. SQ.FTS.B,

4.969%,

7/06/34

....

15,894

–

a,b

6285291. SQ.FTS.B,

4.969%,

7/06/34

....

21,510

–

a,b

6285821. SQ.FTS.B,

5.609%,

7/07/34

....

1,998

–

a,b

6300866. SQ.FTS.B,

5.66%,

7/13/34

.....

–

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

#### Description

#### Principal

#### Amount

#### Value

#### Marketplace

#### Loans
(continued)

Block,

Inc.

(continued)

a,b

6309341. SQ.FTS.B,

5.767%,

7/18/34

....

$

1,719

$

–

a,b

6314763. SQ.FTS.B,

4.749%,

7/19/34

....

982

–

a,b

6319056. SQ.FTS.B,

4.748%,

7/21/34

....

–

a,b

6351823. SQ.FTS.B,

4.966%,

7/24/34

....

1,939

–

a,b

6353581. SQ.FTS.B,

5.118%,

7/24/34

....

916

–

a,b

6351975. SQ.FTS.B,

5.478%,

7/24/34

....

2,638

–

a,b

6359468. SQ.FTS.B,

5.627%,

7/26/34

....

–

a,b

6370285. SQ.FTS.B,

5.757%,

7/30/34

....

1,998

–

a,b

6372961. SQ.FTS.B,

5.377%,

7/31/34

....

57,137

–

a,b

6379092. SQ.FTS.B,

5.66%,

8/02/34

.....

954

–

a,b

6382243. SQ.FTS.B,

4.969%,

8/03/34

....

40,502

–

a,b

6386635. SQ.FTS.B,

4.99%,

8/05/34

.....

1,423

–

a,b

6389269. SQ.FTS.B,

5.373%,

8/06/34

....

5,046

–

a,b

6389202. SQ.FTS.B,

5.751%,

8/06/34

....

3,677

–

a,b

6392987. SQ.FTS.B,

4.75%,

8/07/34

.....

7,102

–

a,b

6392793. SQ.FTS.B,

5.48%,

8/07/34

.....

–

a,b

6393441. SQ.FTS.B,

4.971%,

8/08/34

....

2,464

–

a,b

6404033. SQ.FTS.B,

4.755%,

8/11/34

....

2,159

–

a,b

6410608. SQ.FTS.B,

5.471%,

8/14/34

....

23,537

–

a,b

6413090. SQ.FTS.B,

5.251%,

8/15/34

....

14,328

–

a,b

6422493. SQ.FTS.B,

4.96%,

8/17/34

.....

–

a,b

6424176. SQ.FTS.B,

4.969%,

8/18/34

....

22,930

a,b

6427394. SQ.FTS.B,

4.75%,

8/21/34

.....

24,524

–

a,b

6427044. SQ.FTS.B,

5.471%,

8/21/34

....

637

–

a,b

6431015. SQ.FTS.B,

4.969%,

8/22/34

....

2,894

–

a,b

6439616. SQ.FTS.B,

4.969%,

8/23/34

....

2,924

–

a,b

6439850. SQ.FTS.B,

5.472%,

8/23/34

....

7,981

–

a,b

6436390. SQ.FTS.B,

5.597%,

8/23/34

....

3,413

–

a,b

6442480. SQ.FTS.B,

5.383%,

8/24/34

....

1,919

–

a,b

6451818. SQ.FTS.B,

4.528%,

8/28/34

....

32,683

a,b

6452723. SQ.FTS.B,

4.75%,

8/28/34

.....

1,840

–

a,b

6454314. SQ.FTS.B,

4.97%,

9/01/34

.....

6,133

–

a,b

6461434. SQ.FTS.B,

5.252%,

9/03/34

....

6,632

a,b

6464078. SQ.FTS.B,

5.121%,

9/04/34

....

818

–

a,b

6467555. SQ.FTS.B,

5.377%,

9/06/34

....

3,596

–

a,b

6465421. SQ.FTS.B,

5.451%,

9/06/34

....

1,180

–

a,b

6470092. SQ.FTS.B,

5.469%,

9/07/34

....

3,576

–

a,b

6475454. SQ.FTS.B,

5.126%,

9/08/34

....

2,557

–

a,b

6475554. SQ.FTS.B,

5.597%,

9/08/34

....

8,062

–

a,b

6481328. SQ.FTS.B,

4.748%,

9/09/34

....

6,302

–

a,b

6483513. SQ.FTS.B,

4.528%,

9/10/34

....

7,992

–

a,b

6484336. SQ.FTS.B,

5.253%,

9/10/34

....

22,221

a,b

6488356. SQ.FTS.B,

5.66%,

9/13/34

.....

3,633

–

a,b

6496050. SQ.FTS.B,

5.598%,

9/15/34

....

2,621

–

a,b

6503201. SQ.FTS.B,

4.755%,

9/17/34

....

1,828

–

a,b

6508534. SQ.FTS.B,

5.66%,

9/20/34

.....

3,125

–

#### Description

#### Principal

#### Amount

#### Value
Block,

Inc.

(continued)

a,b

6523267. SQ.FTS.B,

4.84%,

9/24/34

.....

$

5,923

$

–

a,b

6531074. SQ.FTS.B,

5.031%,

9/28/34

....

24,833

–

a,b

6533670. SQ.FTS.B,

5.44%,

9/28/34

.....

2,210

a,b

6537472. SQ.FTS.B,

5.437%,

9/29/34

....

2,567

–

a,b

6541353. SQ.FTS.B,

5.597%,

9/30/34

....

727

–

a,b

6547411. SQ.FTS.B,

4.749%,

10/01/34

...

14,177

a,b

6552948. SQ.FTS.B,

5.131%,

10/04/34

...

1,758

–

a,b

6553144. SQ.FTS.B,

5.44%,

10/04/34

....

734

–

a,b

6563116. SQ.FTS.B,

5.436%,

10/07/34

...

626

–

a,b

6566625. SQ.FTS.B,

5.189%,

10/08/34

...

10,420

–

a,b

6570679. SQ.FTS.B,

5.44%,

10/10/34

....

15,812

–

a,b

6577981. SQ.FTS.B,

5.251%,

10/12/34

...

10,021

–

a,b

6581786. SQ.FTS.B,

5.755%,

10/13/34

...

584

–

a,b

6582337. SQ.FTS.B,

6.008%,

10/13/34

...

569

–

a,b

6592468. SQ.FTS.B,

5.188%,

10/18/34

...

26,389

–

a,b

6591444. SQ.FTS.B,

6.157%,

10/18/34

...

1,914

–

a,b

6608375. SQ.FTS.B,

6.263%,

10/24/34

...

1,568

–

a,b

6614457. SQ.FTS.B,

5.759%,

10/26/34

...

2,216

–

a,b

6617414. SQ.FTS.B,

6.006%,

10/27/34

...

2,152

–

a,b

6623607. SQ.FTS.B,

6.419%,

10/28/34

...

2,737

–

a,b

6624957. SQ.FTS.B,

6.411%,

10/30/34

...

3,183

–

a,b

6628247. SQ.FTS.B,

4.937%,

11/01/34

...

3,665

–

a,b

6626404. SQ.FTS.B,

6.006%,

11/01/34

...

693

–

a,b

6628104. SQ.FTS.B,

6.162%,

11/01/34

...

8,424

–

a,b

6629787. SQ.FTS.B,

5.57%,

11/02/34

....

7,692

–

a,b

6632388. SQ.FTS.B,

6.413%,

11/02/34

...

6,201

–

a,b

6633231. SQ.FTS.B,

4.745%,

11/03/34

...

–

a,b

6639032. SQ.FTS.B,

5.442%,

11/04/34

...

11,342

–

a,b

6644191. SQ.FTS.B,

5.189%,

11/05/34

...

32,363

–

a,b

6641907. SQ.FTS.B,

5.372%,

11/05/34

...

3,766

–

a,b

6641788. SQ.FTS.B,

5.445%,

11/05/34

...

1,794

–

a,b

6651688. SQ.FTS.B,

4.654%,

11/09/34

...

53,478

–

a,b

6649660. SQ.FTS.B,

5.185%,

11/09/34

...

–

a,b

6651437. SQ.FTS.B,

5.454%,

11/09/34

...

–

a,b

6655130. SQ.FTS.B,

5.442%,

11/10/34

...

888

–

a,b

6663871. SQ.FTS.B,

4.935%,

11/12/34

...

3,838

–

a,b

6662849. SQ.FTS.B,

4.936%,

11/12/34

...

4,461

–

a,b

6662189. SQ.FTS.B,

6.013%,

11/12/34

...

858

–

a,b

6664005. SQ.FTS.B,

6.167%,

11/12/34

...

3,617

–

a,b

6665226. SQ.FTS.B,

6.006%,

11/13/34

...

660

–

a,b

6668780. SQ.FTS.B,

5.566%,

11/15/34

...

9,273

–

a,b

6672424. SQ.FTS.B,

5.377%,

11/16/34

...

4,203

a,b

6670037. SQ.FTS.B,

5.571%,

11/16/34

...

6,805

–

a,b

6674961. SQ.FTS.B,

5.44%,

11/17/34

....

5,853

–

a,b

6678696. SQ.FTS.B,

4.936%,

11/18/34

...

19,360

–

a,b

6681578. SQ.FTS.B,

4.937%,

11/18/34

...

10,776

–

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Description

#### Principal

#### Amount

#### Value

#### Marketplace

#### Loans
(continued)

Block,

Inc.

(continued)

a,b

6679343. SQ.FTS.B,

5.379%,

11/18/34

...

$

3,191

$

–

a,b

6684387. SQ.FTS.B,

4.738%,

11/19/34

...

1,197

–

a,b

6682519. SQ.FTS.B,

5.381%,

11/19/34

...

771

–

a,b

6685009. SQ.FTS.B,

5.752%,

11/20/34

...

2,633

–

a,b

6685907. SQ.FTS.B,

5.568%,

11/21/34

...

5,699

–

a,b

6686639. SQ.FTS.B,

4.937%,

11/22/34

...

1,131

–

a,b

6686940. SQ.FTS.B,

4.937%,

11/22/34

...

2,880

–

a,b

6689856. SQ.FTS.B,

4.659%,

11/23/34

...

4,087

–

a,b

6692529. SQ.FTS.B,

5.186%,

11/23/34

...

6,099

–

a,b

6689979. SQ.FTS.B,

5.377%,

11/23/34

...

12,919

–

a,b

6709316. SQ.FTS.B,

5.767%,

11/29/34

...

–

a,b

6719810. SQ.FTS.B,

6.432%,

12/01/34

...

1,571

–

a,b

6724464. SQ.FTS.B,

4.747%,

12/02/34

...

9,907

–

a,b

6729931. SQ.FTS.B,

6.262%,

12/05/34

...

5,140

–

a,b

6731838. SQ.FTS.B,

4.654%,

12/06/34

...

5,855

–

a,b

6731255. SQ.FTS.B,

5.188%,

12/06/34

...

1,286

–

a,b

6730881. SQ.FTS.B,

5.755%,

12/06/34

...

5,559

–

a,b

6737291. SQ.FTS.B,

5.203%,

12/07/34

...

1,511

–

a,b

6742103. SQ.FTS.B,

6.26%,

12/08/34

....

970

–

a,b

6746092. SQ.FTS.B,

4.659%,

12/09/34

...

1,222

–

a,b

6745247. SQ.FTS.B,

4.74%,

12/09/34

....

775

–

a,b

6746977. SQ.FTS.B,

5.188%,

12/10/34

...

15,911

–

a,b

6753247. SQ.FTS.B,

4.655%,

12/13/34

...

9,691

–

a,b

6753008. SQ.FTS.B,

4.749%,

12/13/34

...

6,085

–

a,b

6756294. SQ.FTS.B,

5.751%,

12/14/34

...

756

–

a,b

6764489. SQ.FTS.B,

4.937%,

12/15/34

...

21,402

–

a,b

6770530. SQ.FTS.B,

5.39%,

12/19/34

....

1,058

–

a,b

6771134. SQ.FTS.B,

6.006%,

12/19/34

...

18,256

–

a,b

6774551. SQ.FTS.B,

5.567%,

12/20/34

...

17,810

–

a,b

6781272. SQ.FTS.B,

5.566%,

12/22/34

...

37,439

–

a,b

6783369. SQ.FTS.B,

6.27%,

12/23/34

....

1,854

–

a,b

6792314. SQ.FTS.B,

6.005%,

12/27/34

...

6,421

–

a,b

6795315. SQ.FTS.B,

6.417%,

12/28/34

...

1,229

–

a,b

6800044. SQ.FTS.B,

6.258%,

12/29/34

...

4,752

–

a,b

6804745. SQ.FTS.B,

5.449%,

12/30/34

...

–

a,b

6806677. SQ.FTS.B,

5.568%,

12/30/34

...

3,293

–

a,b

6808256. SQ.FTS.B,

5.546%,

1/01/35

....

794

–

a,b

6812850. SQ.FTS.B,

4.652%,

1/03/35

....

1,848

–

a,b

6812517. SQ.FTS.B,

5.566%,

1/03/35

....

14,910

–

a,b

6810642. SQ.FTS.B,

6.009%,

1/03/35

....

5,633

–

a,b

6815367. SQ.FTS.B,

5.371%,

1/05/35

....

1,775

–

a,b

6822097. SQ.FTS.B,

4.751%,

1/06/35

....

1,805

–

a,b

6818955. SQ.FTS.B,

4.938%,

1/06/35

....

7,512

–

a,b

6826532. SQ.FTS.B,

5.749%,

1/08/35

....

3,960

–

a,b

6836269. SQ.FTS.B,

4.747%,

1/12/35

....

758

–

a,b

6833875. SQ.FTS.B,

5.189%,

1/12/35

....

1,457

–

#### Description

#### Principal

#### Amount

#### Value
Block,

Inc.

(continued)

a,b

6836478. SQ.FTS.B,

5.749%,

1/12/35

....

$

673

$

–

a,b

6841626. SQ.FTS.B,

4.748%,

1/13/35

....

5,625

–

a,b

6838796. SQ.FTS.B,

6.176%,

1/13/35

....

1,173

–

a,b

6839643. SQ.FTS.B,

6.205%,

1/13/35

....

576

–

a,b

6843667. SQ.FTS.B,

6.415%,

1/14/35

....

32,216

–

a,b

6845960. SQ.FTS.B,

4.748%,

1/15/35

....

2,477

–

a,b

6846131. SQ.FTS.B,

5.747%,

1/15/35

....

690

–

a,b

6846797. SQ.FTS.B,

5.191%,

1/16/35

....

623

–

a,b

6846652. SQ.FTS.B,

5.773%,

1/16/35

....

–

a,b

6849498. SQ.FTS.B,

4.655%,

1/17/35

....

5,530

–

a,b

6849711. SQ.FTS.B,

4.743%,

1/17/35

....

628

–

a,b

6849119. SQ.FTS.B,

5.563%,

1/17/35

....

–

a,b

6848265. SQ.FTS.B,

6.172%,

1/17/35

....

1,144

–

a,b

6852615. SQ.FTS.B,

4.756%,

1/18/35

....

1,041

–

a,b

6855849. SQ.FTS.B,

4.653%,

1/19/35

....

3,144

–

a,b

6862957. SQ.FTS.B,

6.254%,

1/21/35

....

4,171

–

a,b

6871369. SQ.FTS.B,

5.567%,

1/25/35

....

–

a,b

6871155. SQ.FTS.B,

6.012%,

1/25/35

....

3,560

–

a,b

6873383. SQ.FTS.B,

6.15%,

1/26/35

.....

–

a,b

6880856. SQ.FTS.B,

5.366%,

1/28/35

....

1,568

–

a,b

6884787. SQ.FTS.B,

6.262%,

1/29/35

....

3,067

–

a,b

6889119. SQ.FTS.B,

6.008%,

1/31/35

....

3,513

–

a,b

6889109. SQ.FTS.B,

6.258%,

1/31/35

....

1,082

–

a,b

6891067. SQ.FTS.B,

6.255%,

2/01/35

....

5,566

–

a,b

6895588. SQ.FTS.B,

4.657%,

2/02/35

....

10,603

–

a,b

6893023. SQ.FTS.B,

5.378%,

2/02/35

....

14,273

a,b

6899300. SQ.FTS.B,

4.643%,

2/03/35

....

1,221

–

a,b

6899194. SQ.FTS.B,

4.754%,

2/03/35

....

–

a,b

6903284. SQ.FTS.B,

4.654%,

2/04/35

....

3,163

–

a,b

6904989. SQ.FTS.B,

5.189%,

2/05/35

....

22,112

–

a,b

6904822. SQ.FTS.B,

5.573%,

2/05/35

....

–

a,b

6908001. SQ.FTS.B,

5.565%,

2/07/35

....

23,167

–

a,b

6909141. SQ.FTS.B,

5.379%,

2/08/35

....

19,068

–

a,b

6913052. SQ.FTS.B,

4.942%,

2/09/35

....

2,970

–

a,b

6914678. SQ.FTS.B,

5.758%,

2/09/35

....

3,385

–

a,b

6916173. SQ.FTS.B,

5.577%,

2/10/35

....

512

–

a,b

6920447. SQ.FTS.B,

6.006%,

2/11/35

....

24,973

–

a,b

6923496. SQ.FTS.B,

6.258%,

2/15/35

....

2,278

a,b

6934833. SQ.FTS.B,

4.938%,

2/17/35

....

4,744

–

a,b

6934329. SQ.FTS.B,

6.258%,

2/17/35

....

12,367

–

a,b

6936990. SQ.FTS.B,

4.748%,

2/18/35

....

3,340

–

a,b

6937130. SQ.FTS.B,

6.132%,

2/18/35

....

–

a,b

6938552. SQ.FTS.B,

6.416%,

2/18/35

....

6,233

–

a,b

6942251. SQ.FTS.B,

4.656%,

2/20/35

....

3,601

–

a,b

6946120. SQ.FTS.B,

6.164%,

2/21/35

....

10,031

–

a,b

6944161. SQ.FTS.B,

6.261%,

2/21/35

....

1,708

–

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

#### Description

#### Principal

#### Amount

#### Value

#### Marketplace

#### Loans
(continued)

Block,

Inc.

(continued)

a,b

6966531. SQ.FTS.B,

4.749%,

2/28/35

....

$

3,997

$

–

a,b

6978952. SQ.FTS.B,

4.937%,

2/28/35

....

51,353

a,b

6967741. SQ.FTS.B,

5.189%,

2/28/35

....

1,401

–

a,b

6966362. SQ.FTS.B,

5.376%,

2/28/35

....

–

a,b

6968103. SQ.FTS.B,

5.455%,

2/28/35

....

537

–

a,b

6966621. SQ.FTS.B,

5.569%,

2/28/35

....

1,752

–

a,b

6971755. SQ.FTS.B,

5.975%,

2/28/35

....

–

a,b

6970716. SQ.FTS.B,

6.005%,

2/28/35

....

1,583

–

a,b

6966412. SQ.FTS.B,

6.167%,

2/28/35

....

2,449

–

a,b

6978418. SQ.FTS.B,

6.247%,

2/28/35

....

1,258

–

a,b

6966854. SQ.FTS.B,

6.26%,

2/28/35

.....

3,823

–

a,b

6981964. SQ.FTS.B,

5.376%,

3/01/35

....

13,283

–

a,b

6984708. SQ.FTS.B,

5.567%,

3/02/35

....

1,263

–

a,b

6987569. SQ.FTS.B,

5.754%,

3/05/35

....

3,671

–

a,b

6993089. SQ.FTS.B,

4.76%,

3/06/35

.....

594

–

a,b

7009269. SQ.FTS.B,

6.165%,

3/12/35

....

22,063

–

a,b

7014159. SQ.FTS.B,

5.56%,

3/13/35

.....

1,246

–

a,b

7021732. SQ.FTS.B,

5.376%,

3/15/35

....

2,798

a,b

7022730. SQ.FTS.B,

6.259%,

3/15/35

....

3,666

–

a,b

7028537. SQ.FTS.B,

5.189%,

3/18/35

....

66,996

a,b

7032279. SQ.FTS.B,

5.567%,

3/19/35

....

1,308

–

a,b

7043444. SQ.FTS.B,

5.376%,

3/21/35

....

6,529

–

a,b

7040179. SQ.FTS.B,

5.564%,

3/21/35

....

8,893

–

a,b

7046836. SQ.FTS.B,

6.261%,

3/22/35

....

2,078

–

a,b

7050197. SQ.FTS.B,

4.749%,

3/25/35

....

13,025

–

a,b

7052668. SQ.FTS.B,

4.936%,

3/25/35

....

1,948

–

a,b

7052092. SQ.FTS.B,

5.754%,

3/25/35

....

4,535

–

a,b

7050592. SQ.FTS.B,

6.263%,

3/25/35

....

912

–

a,b

7054612. SQ.FTS.B,

6.006%,

3/26/35

....

5,385

–

a,b

7061323. SQ.FTS.B,

5.189%,

3/28/35

....

34,494

–

a,b

7062421. SQ.FTS.B,

6.006%,

3/28/35

....

896

–

a,b

7062617. SQ.FTS.B,

6.164%,

3/28/35

....

20,347

–

a,b

7067874. SQ.FTS.B,

6.003%,

3/29/35

....

3,096

–

a,b

7065573. SQ.FTS.B,

6.258%,

3/29/35

....

13,691

–

a,b

7071000. SQ.FTS.B,

4.721%,

4/02/35

....

645

–

a,b

7071948. SQ.FTS.B,

6.248%,

4/02/35

....

631

–

a,b

7080510. SQ.FTS.B,

6.274%,

4/04/35

....

1,437

–

a,b

7085620. SQ.FTS.B,

6.007%,

4/05/35

....

8,877

–

a,b

7089901. SQ.FTS.B,

5.375%,

4/06/35

....

7,927

–

a,b

7091540. SQ.FTS.B,

5.756%,

4/06/35

....

10,017

–

a,b

7091737. SQ.FTS.B,

6.421%,

4/06/35

....

949

–

a,b

7095396. SQ.FTS.B,

5.76%,

4/09/35

.....

2,090

–

a,b

7098792. SQ.FTS.B,

4.653%,

4/10/35

....

2,031

–

a,b

7101698. SQ.FTS.B,

5.393%,

4/11/35

....

1,010

–

a,b

7102724. SQ.FTS.B,

5.566%,

4/11/35

....

4,584

a,b

7102932. SQ.FTS.B,

6.255%,

4/11/35

....

1,825

–

#### Description

#### Principal

#### Amount

#### Value
Block,

Inc.

(continued)

a,b

7105121. SQ.FTS.B,

4.938%,

4/12/35

....

$

1,161

$

–

a,b

7106451. SQ.FTS.B,

5.377%,

4/12/35

....

11,899

–

a,b

7108839. SQ.FTS.B,

4.653%,

4/13/35

....

3,313

–

a,b

7109927. SQ.FTS.B,

6.418%,

4/13/35

....

8,573

–

a,b

7112255. SQ.FTS.B,

6.155%,

4/14/35

....

2,323

–

a,b

7115405. SQ.FTS.B,

4.655%,

4/16/35

....

32,107

a,b

7115331. SQ.FTS.B,

5.762%,

4/16/35

....

561

–

a,b

7121272. SQ.FTS.B,

6.012%,

4/17/35

....

2,783

–

a,b

7122345. SQ.FTS.B,

4.762%,

4/18/35

....

–

a,b

7123668. SQ.FTS.B,

4.936%,

4/18/35

....

2,218

–

a,b

7123343. SQ.FTS.B,

6.006%,

4/18/35

....

2,848

a,b

7134939. SQ.FTS.B,

5.756%,

4/19/35

....

9,292

–

a,b

7137611. SQ.FTS.B,

5.189%,

4/20/35

....

10,916

a,b

7147597. SQ.FTS.B,

5.364%,

4/23/35

....

1,926

–

a,b

7147279. SQ.FTS.B,

5.38%,

4/23/35

.....

6,849

–

a,b

7154719. SQ.FTS.B,

5.759%,

4/25/35

....

6,577

–

a,b

7163900. SQ.FTS.B,

6.413%,

4/27/35

....

5,443

a,b

7164193. SQ.FTS.B,

5.377%,

4/28/35

....

5,624

–

a,b

7165931. SQ.FTS.B,

5.385%,

4/29/35

....

1,875

–

a,b

7168044. SQ.FTS.B,

5.764%,

4/30/35

....

2,062

–

a,b

7176646. SQ.FTS.B,

4.762%,

5/01/35

....

1,231

–

a,b

7176634. SQ.FTS.B,

5.445%,

5/01/35

....

1,458

–

a,b

7173920. SQ.FTS.B,

5.759%,

5/01/35

....

–

a,b

7173881. SQ.FTS.B,

6.415%,

5/01/35

....

2,005

–

a,b

7180807. SQ.FTS.B,

4.654%,

5/02/35

....

2,907

–

a,b

7180850. SQ.FTS.B,

4.935%,

5/02/35

....

2,462

–

a,b

7179318. SQ.FTS.B,

5.189%,

5/02/35

....

11,067

–

a,b

7196096. SQ.FTS.B,

6.003%,

5/07/35

....

8,216

–

a,b

7201085. SQ.FTS.B,

6.419%,

5/08/35

....

1,847

–

a,b

7203631. SQ.FTS.B,

4.745%,

5/09/35

....

1,386

–

a,b

7204614. SQ.FTS.B,

5.184%,

5/09/35

....

3,537

–

a,b

7206450. SQ.FTS.B,

5.373%,

5/09/35

....

1,582

–

a,b

7204933. SQ.FTS.B,

5.409%,

5/09/35

....

–

a,b

7206160. SQ.FTS.B,

6.258%,

5/09/35

....

11,872

–

a,b

7215803. SQ.FTS.B,

4.932%,

5/13/35

....

3,486

–

a,b

7215930. SQ.FTS.B,

6.257%,

5/13/35

....

13,761

–

a,b

7224254. SQ.FTS.B,

5.757%,

5/15/35

....

2,770

–

a,b

7222451. SQ.FTS.B,

6.258%,

5/15/35

....

1,539

–

a,b

7235145. SQ.FTS.B,

6.008%,

5/18/35

....

20,605

–

a,b

7237806. SQ.FTS.B,

5.384%,

5/20/35

....

768

–

a,b

7243413. SQ.FTS.B,

5.382%,

5/21/35

....

837

a,b

7244368. SQ.FTS.B,

6%,

5/21/35

.......

620

–

a,b

7243236. SQ.FTS.B,

6.26%,

5/21/35

.....

8,746

–

a,b

7247605. SQ.FTS.B,

5.185%,

5/22/35

....

1,856

–

a,b

7249679. SQ.FTS.B,

6.422%,

5/22/35

....

–

a,b

7249518. SQ.FTS.B,

6.424%,

5/22/35

....

1,960

–

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Description

#### Principal

#### Amount

#### Value

#### Marketplace

#### Loans
(continued)

Block,

Inc.

(continued)

a,b

7253237. SQ.FTS.B,

6.01%,

5/24/35

.....

$

$

–

a,b

7252834. SQ.FTS.B,

6.167%,

5/24/35

....

4,847

–

a,b

7256122. SQ.FTS.B,

5.365%,

5/25/35

....

1,533

–

a,b

7256570. SQ.FTS.B,

4.935%,

5/26/35

....

5,380

a,b

7262532. SQ.FTS.B,

4.752%,

5/28/35

....

3,144

–

a,b

7262602. SQ.FTS.B,

5.43%,

5/28/35

.....

–

a,b

7264204. SQ.FTS.B,

4.654%,

5/29/35

....

20,052

a,b

7275604. SQ.FTS.B,

5.374%,

6/01/35

....

756

–

a,b

7280873. SQ.FTS.B,

5.192%,

6/04/35

....

5,514

a,b

7281601. SQ.FTS.B,

5.409%,

6/04/35

....

1,132

–

a,b

7282811. SQ.FTS.B,

6.248%,

6/04/35

....

529

–

a,b

7281210. SQ.FTS.B,

6.261%,

6/04/35

....

901

–

a,b

7287176. SQ.FTS.B,

6.006%,

6/05/35

....

5,152

–

a,b

7284693. SQ.FTS.B,

6.007%,

6/05/35

....

1,055

–

a,b

7287732. SQ.FTS.B,

6.184%,

6/05/35

....

–

a,b

7287144. SQ.FTS.B,

6.267%,

6/05/35

....

1,419

–

a,b

7290056. SQ.FTS.B,

5.377%,

6/06/35

....

5,162

a,b

7289261. SQ.FTS.B,

5.565%,

6/06/35

....

1,039

–

a,b

7299621. SQ.FTS.B,

4.654%,

6/08/35

....

35,360

a,b

7300176. SQ.FTS.B,

6.008%,

6/08/35

....

a,b

7303540. SQ.FTS.B,

5.565%,

6/10/35

....

1,343

a,b

7303522. SQ.FTS.B,

6.265%,

6/10/35

....

–

a,b

7314543. SQ.FTS.B,

5.191%,

6/12/35

....

3,475

–

a,b

7316842. SQ.FTS.B,

4.743%,

6/13/35

....

1,433

a,b

7317981. SQ.FTS.B,

5.434%,

6/13/35

....

1,348

a,b

7314697. SQ.FTS.B,

5.559%,

6/13/35

....

3,748

a,b

7318018. SQ.FTS.B,

5.564%,

6/13/35

....

6,392

a,b

7323718. SQ.FTS.B,

6.006%,

6/14/35

....

3,869

–

a,b

7327791. SQ.FTS.B,

4.748%,

6/15/35

....

8,988

a,b

7324925. SQ.FTS.B,

5.182%,

6/15/35

....

1,333

a,b

7328914. SQ.FTS.B,

5.566%,

6/16/35

....

10,484

–

a,b

7329210. SQ.FTS.B,

6.42%,

6/17/35

.....

3,315

a,b

7334014. SQ.FTS.B,

5.459%,

6/18/35

....

1,044

a,b

7330422. SQ.FTS.B,

6.162%,

6/18/35

....

625

a,b

7336581. SQ.FTS.B,

4.937%,

6/19/35

....

49,530

a,b

7335932. SQ.FTS.B,

5.566%,

6/19/35

....

8,474

–

a,b

7334863. SQ.FTS.B,

5.763%,

6/19/35

....

1,344

a,b

7339897. SQ.FTS.B,

4.653%,

6/20/35

....

3,395

a,b

7340806. SQ.FTS.B,

6.008%,

6/20/35

....

3,592

a,b

7344575. SQ.FTS.B,

6.009%,

6/21/35

....

4,098

a,b

7346393. SQ.FTS.B,

6.164%,

6/21/35

....

62,612

a,b

7348505. SQ.FTS.B,

6.038%,

6/22/35

....

564

a,b

7351981. SQ.FTS.B,

4.654%,

6/23/35

....

17,215

a,b

7352490. SQ.FTS.B,

4.752%,

6/23/35

....

1,987

a,b

7352850. SQ.FTS.B,

6.257%,

6/24/35

....

12,690

a,b

7353901. SQ.FTS.B,

6.167%,

6/25/35

....

4,755

#### Description

#### Principal

#### Amount

#### Value
Block,

Inc.

(continued)

a,b

7359006. SQ.FTS.B,

5.439%,

6/27/35

....

$

2,767

$

a,b

7371685. SQ.FTS.B,

5.752%,

6/30/35

....

3,456

a,b

7370367. SQ.FTS.B,

5.764%,

6/30/35

....

1,662

a,b

7370851. SQ.FTS.B,

6.02%,

6/30/35

.....

664

a,b

7375076. SQ.FTS.B,

5.374%,

7/02/35

....

6,359

a,b

7377813. SQ.FTS.B,

5.76%,

7/03/35

.....

5,830

a,b

7387529. SQ.FTS.B,

5.372%,

7/06/35

....

631

a,b

7389966. SQ.FTS.B,

4.756%,

7/08/35

....

1,331

a,b

7389892. SQ.FTS.B,

5.193%,

7/08/35

....

2,172

a,b

7402047. SQ.FTS.B,

5.75%,

7/11/35

.....

5,039

a,b

7401076. SQ.FTS.B,

6.161%,

7/11/35

....

4,234

a,b

7411525. SQ.FTS.B,

6.169%,

7/16/35

....

946

a,b

7412344. SQ.FTS.B,

4.707%,

7/17/35

....

–

a,b

7412972. SQ.FTS.B,

5.377%,

7/17/35

....

6,512

a,b

7416105. SQ.FTS.B,

4.939%,

7/18/35

....

2,940

a,b

7417924. SQ.FTS.B,

5.566%,

7/18/35

....

5,269

a,b

7423387. SQ.FTS.B,

5.574%,

7/21/35

....

1,914

a,b

7426750. SQ.FTS.B,

4.758%,

7/22/35

....

1,835

a,b

7430504. SQ.FTS.B,

4.654%,

7/24/35

....

68,115

a,b

7438053. SQ.FTS.B,

5.566%,

7/25/35

....

9,004

a,b

7441625. SQ.FTS.B,

4.937%,

7/26/35

....

27,213

1,989

a,b

7443079. SQ.FTS.B,

6.271%,

7/28/35

....

a,b

7447048. SQ.FTS.B,

4.749%,

7/29/35

....

43,825

a,b

7446590. SQ.FTS.B,

5.377%,

7/29/35

....

8,070

a,b

7461359. SQ.FTS.B,

6.162%,

8/02/35

....

10,885

a,b

7468484. SQ.FTS.B,

4.653%,

8/06/35

....

27,792

a,b

7473943. SQ.FTS.B,

5.377%,

8/07/35

....

2,381

a,b

7483714. SQ.FTS.B,

5.453%,

8/10/35

....

–

a,b

7484428. SQ.FTS.B,

5.189%,

8/11/35

....

4,409

a,b

7483959. SQ.FTS.B,

5.756%,

8/11/35

....

2,817

a,b

7488673. SQ.FTS.B,

5.581%,

8/13/35

....

805

a,b

7489102. SQ.FTS.B,

5.757%,

8/13/35

....

1,307

a,b

7490203. SQ.FTS.B,

6.424%,

8/13/35

....

509

a,b

7500824. SQ.FTS.B,

6.258%,

8/15/35

....

27,055

a,b

7508686. SQ.FTS.B,

4.934%,

8/16/35

....

2,765

a,b

7508856. SQ.FTS.B,

4.932%,

8/17/35

....

3,854

a,b

7511303. SQ.FTS.B,

4.939%,

8/19/35

....

5,973

a,b

7511680. SQ.FTS.B,

5.381%,

8/19/35

....

5,184

a,b

7511795. SQ.FTS.B,

5.761%,

8/19/35

....

2,165

a,b

7514863. SQ.FTS.B,

4.654%,

8/20/35

....

9,340

a,b

7519968. SQ.FTS.B,

6.415%,

8/21/35

....

10,143

a,b

7533921. SQ.FTS.B,

5.566%,

8/26/35

....

9,844

a,b

7535779. SQ.FTS.B,

4.653%,

8/27/35

....

3,761

a,b

7537580. SQ.FTS.B,

4.937%,

8/27/35

....

25,953

a,b

7539738. SQ.FTS.B,

5.566%,

8/27/35

....

8,562

1,079

a,b

7542074. SQ.FTS.B,

4.654%,

8/28/35

....

5,237

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

#### Description

#### Principal

#### Amount

#### Value

#### Marketplace

#### Loans
(continued)

Block,

Inc.

(continued)

a,b

7549987. SQ.FTS.B,

5.732%,

8/29/35

....

$

653

$

a,b

7552166. SQ.FTS.B,

5.418%,

9/01/35

....

717

a,b

7560015. SQ.FTS.B,

6.262%,

9/04/35

....

1,773

a,b

7573684. SQ.FTS.B,

4.764%,

9/07/35

....

a,b

7573640. SQ.FTS.B,

4.937%,

9/07/35

....

3,544

a,b

7573480. SQ.FTS.B,

5.571%,

9/07/35

....

3,736

a,b

7573972. SQ.FTS.B,

6.003%,

9/07/35

....

4,128

a,b

7571507. SQ.FTS.B,

6.169%,

9/07/35

....

2,659

a,b

7578877. SQ.FTS.B,

4.78%,

9/09/35

.....

–

a,b

7580830. SQ.FTS.B,

5.189%,

9/11/35

....

4,100

a,b

7581869. SQ.FTS.B,

6.01%,

9/11/35

.....

1,493

a,b

7581762. SQ.FTS.B,

6.253%,

9/11/35

....

a,b

7586278. SQ.FTS.B,

4.654%,

9/12/35

....

8,025

a,b

7586914. SQ.FTS.B,

5.375%,

9/12/35

....

9,130

a,b

7590230. SQ.FTS.B,

5.196%,

9/13/35

....

855

a,b

7596084. SQ.FTS.B,

4.94%,

9/14/35

.....

7,889

1,304

a,b

7599917. SQ.FTS.B,

6.447%,

9/15/35

....

a,b

7600486. SQ.FTS.B,

4.769%,

9/16/35

....

645

a,b

7600104. SQ.FTS.B,

5.752%,

9/16/35

....

3,186

a,b

7601096. SQ.FTS.B,

5.377%,

9/17/35

....

12,879

a,b

7603430. SQ.FTS.B,

5.38%,

9/18/35

.....

4,283

a,b

7602494. SQ.FTS.B,

6.255%,

9/18/35

....

2,210

a,b

7608442. SQ.FTS.B,

5.565%,

9/19/35

....

5,862

a,b

7617942. SQ.FTS.B,

5.758%,

9/21/35

....

2,823

a,b

7621404. SQ.FTS.B,

6.413%,

9/23/35

....

3,184

a,b

7623850. SQ.FTS.B,

5.19%,

9/25/35

.....

a,b

7623781. SQ.FTS.B,

5.379%,

9/25/35

....

1,952

a,b

7624159. SQ.FTS.B,

6.261%,

9/25/35

....

668

a,b

7629674. SQ.FTS.B,

5.189%,

9/26/35

....

7,987

a,b

7626558. SQ.FTS.B,

5.564%,

9/26/35

....

970

a,b

7629259. SQ.FTS.B,

5.565%,

9/26/35

....

2,930

a,b

7629134. SQ.FTS.B,

6.413%,

9/26/35

....

4,696

a,b

7630481. SQ.FTS.B,

5.189%,

9/27/35

....

11,930

a,b

7643054. SQ.FTS.B,

6.165%,

9/29/35

....

a,b

7639746. SQ.FTS.B,

6.415%,

9/29/35

....

63,645

a,b

7643615. SQ.FTS.B,

6.134%,

9/30/35

....

a,b

7648077. SQ.FTS.B,

4.75%,

10/01/35

....

6,098

a,b

7647696. SQ.FTS.B,

5.441%,

10/01/35

...

11,385

a,b

7654130. SQ.FTS.B,

6.264%,

10/03/35

...

a,b

7669547. SQ.FTS.B,

5.432%,

10/07/35

...

1,096

a,b

7674523. SQ.FTS.B,

6.289%,

10/09/35

...

6,179

a,b

7675618. SQ.FTS.B,

6.415%,

10/09/35

...

38,440

a,b

7679612. SQ.FTS.B,

5.562%,

10/10/35

...

2,603

a,b

7682366. SQ.FTS.B,

5.376%,

10/11/35

...

4,325

a,b

7684952. SQ.FTS.B,

5.567%,

10/11/35

...

741

a,b

7685699. SQ.FTS.B,

6.305%,

10/11/35

...

968

#### Description

#### Principal

#### Amount

#### Value
Block,

Inc.

(continued)

a,b

7686665. SQ.FTS.B,

5.569%,

10/12/35

...

$

2,104

$

a,b

7694250. SQ.FTS.B,

4.749%,

10/15/35

...

606

a,b

7693783. SQ.FTS.B,

5.378%,

10/15/35

...

11,907

a,b

7696123. SQ.FTS.B,

5.912%,

10/16/35

...

1,117

a,b

7696300. SQ.FTS.B,

5.912%,

10/16/35

...

5,166

a,b

7695636. SQ.FTS.B,

6.27%,

10/16/35

....

a,b

7703086. SQ.FTS.B,

5.093%,

10/18/35

...

1,487

a,b

7714659. SQ.FTS.B,

5.193%,

10/24/35

...

5,959

a,b

7723470. SQ.FTS.B,

4.78%,

10/25/35

....

a,b

7725398. SQ.FTS.B,

5.907%,

10/26/35

...

3,637

a,b

7725775. SQ.FTS.B,

6.163%,

10/26/35

...

3,004

a,b

7729059. SQ.FTS.B,

6.165%,

10/26/35

...

13,362

a,b

7726167. SQ.FTS.B,

6.289%,

10/26/35

...

a,b

7735985. SQ.FTS.B,

6.479%,

10/29/35

...

2,176

a,b

7740921. SQ.FTS.B,

4.779%,

10/30/35

...

11,985

a,b

7738357. SQ.FTS.B,

5.723%,

10/30/35

...

36,237

a,b

7742677. SQ.FTS.B,

5.094%,

11/01/35

...

5,339

a,b

7751779. SQ.FTS.B,

5.105%,

11/02/35

...

894

a,b

7755332. SQ.FTS.B,

5.357%,

11/03/35

...

a,b

7755761. SQ.FTS.B,

5.723%,

11/03/35

...

8,935

a,b

7756617. SQ.FTS.B,

5.725%,

11/03/35

...

590

a,b

7763863. SQ.FTS.B,

4.783%,

11/06/35

...

a,b

7764093. SQ.FTS.B,

4.767%,

11/07/35

...

1,341

a,b

7765591. SQ.FTS.B,

6.162%,

11/07/35

...

3,020

886

a,b

7769643. SQ.FTS.B,

6.178%,

11/08/35

...

1,249

a,b

7768040. SQ.FTS.B,

6.293%,

11/08/35

...

1,043

a,b

7781183. SQ.FTS.B,

6.289%,

11/10/35

...

4,278

1,329

a,b

7779968. SQ.FTS.B,

6.479%,

11/10/35

...

604

a,b

7781843. SQ.FTS.B,

6.164%,

11/11/35

...

675

a,b

7782479. SQ.FTS.B,

6.272%,

11/11/35

...

955

a,b

7782836. SQ.FTS.B,

6.302%,

11/12/35

...

1,154

a,b

7786042. SQ.FTS.B,

6.167%,

11/13/35

...

7,212

a,b

7791025. SQ.FTS.B,

4.783%,

11/14/35

...

6,835

a,b

7790524. SQ.FTS.B,

6.16%,

11/14/35

....

2,565

a,b

7794575. SQ.FTS.B,

4.78%,

11/15/35

....

17,650

a,b

7791568. SQ.FTS.B,

5.537%,

11/15/35

...

2,384

a,b

7791405. SQ.FTS.B,

6.16%,

11/15/35

....

6,235

a,b

7794434. SQ.FTS.B,

6.169%,

11/15/35

...

6,526

a,b

7794291. SQ.FTS.B,

6.173%,

11/15/35

...

1,915

a,b

7805584. SQ.FTS.B,

5.536%,

11/19/35

...

750

a,b

7808746. SQ.FTS.B,

5.346%,

11/20/35

...

13,544

a,b

7812943. SQ.FTS.B,

4.765%,

11/21/35

...

1,044

a,b

7811957. SQ.FTS.B,

6.287%,

11/21/35

...

4,258

a,b

7812879. SQ.FTS.B,

6.48%,

11/21/35

....

2,192

a,b

7816821. SQ.FTS.B,

4.749%,

11/22/35

...

3,477

a,b

7815015. SQ.FTS.B,

5.719%,

11/22/35

...

3,550

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Description

#### Principal

#### Amount

#### Value

#### Marketplace

#### Loans
(continued)

Block,

Inc.

(continued)

a,b

7813617. SQ.FTS.B,

5.91%,

11/22/35

....

$

9,140

$

a,b

7822474. SQ.FTS.B,

4.781%,

11/23/35

...

937

a,b

7826745. SQ.FTS.B,

5.094%,

11/24/35

...

2,952

a,b

7829173. SQ.FTS.B,

5.912%,

11/24/35

...

5,086

a,b

7830023. SQ.FTS.B,

4.78%,

11/25/35

....

11,398

3,778

a,b

7831708. SQ.FTS.B,

5.535%,

11/27/35

...

2,942

a,b

7835424. SQ.FTS.B,

4.749%,

11/28/35

...

17,516

a,b

7836267. SQ.FTS.B,

6.475%,

11/28/35

...

590

a,b

7840090. SQ.FTS.B,

4.75%,

11/29/35

....

1,654

a,b

7836996. SQ.FTS.B,

5.912%,

11/29/35

...

961

a,b

7846633. SQ.FTS.B,

4.75%,

11/30/35

....

5,174

a,b

7848953. SQ.FTS.B,

5.723%,

11/30/35

...

16,191

a,b

7851585. SQ.FTS.B,

5.915%,

12/02/35

...

a,b

7856432. SQ.FTS.B,

4.776%,

12/03/35

...

2,066

a,b

7854215. SQ.FTS.B,

6.167%,

12/03/35

...

1,540

a,b

7858606. SQ.FTS.B,

5.094%,

12/04/35

...

11,300

a,b

7858486. SQ.FTS.B,

5.954%,

12/04/35

...

814

a,b

7869186. SQ.FTS.B,

4.772%,

12/06/35

...

a,b

7867381. SQ.FTS.B,

6.163%,

12/06/35

...

10,339

a,b

7869657. SQ.FTS.B,

6.168%,

12/06/35

...

1,298

a,b

7872677. SQ.FTS.B,

5.094%,

12/07/35

...

10,160

a,b

7874634. SQ.FTS.B,

5.103%,

12/08/35

...

972

a,b

7874816. SQ.FTS.B,

5.921%,

12/08/35

...

1,135

a,b

7875298. SQ.FTS.B,

6.287%,

12/09/35

...

1,516

a,b

7876499. SQ.FTS.B,

4.762%,

12/10/35

...

600

a,b

7883146. SQ.FTS.B,

4.747%,

12/11/35

...

7,837

a,b

7880155. SQ.FTS.B,

6.164%,

12/11/35

...

1,351

a,b

7886840. SQ.FTS.B,

4.747%,

12/12/35

...

511

a,b

7885173. SQ.FTS.B,

5.433%,

12/12/35

...

636

a,b

7886251. SQ.FTS.B,

5.912%,

12/12/35

...

10,832

a,b

7885639. SQ.FTS.B,

6.163%,

12/12/35

...

3,984

a,b

7889998. SQ.FTS.B,

4.78%,

12/13/35

....

4,101

a,b

7895307. SQ.FTS.B,

6.289%,

12/14/35

...

20,016

a,b

7898689. SQ.FTS.B,

5.346%,

12/15/35

...

7,135

2,778

a,b

7899279. SQ.FTS.B,

6.156%,

12/15/35

...

1,617

a,b

7900211. SQ.FTS.B,

4.745%,

12/16/35

...

1,260

a,b

7901651. SQ.FTS.B,

4.78%,

12/17/35

....

769

a,b

7910537. SQ.FTS.B,

5.346%,

12/19/35

...

16,066

a,b

7914153. SQ.FTS.B,

5.348%,

12/20/35

...

5,956

a,b

7913994. SQ.FTS.B,

6.177%,

12/20/35

...

1,646

a,b

7915978. SQ.FTS.B,

5.094%,

12/21/35

...

36,680

a,b

7919163. SQ.FTS.B,

5.102%,

12/22/35

...

a,b

7919471. SQ.FTS.B,

5.912%,

12/22/35

...

5,680

a,b

7923129. SQ.FTS.B,

4.781%,

12/24/35

...

6,985

a,b

7926597. SQ.FTS.B,

5.911%,

12/25/35

...

3,105

a,b

7931961. SQ.FTS.B,

5.439%,

12/26/35

...

3,056

892

#### Description

#### Principal

#### Amount

#### Value
Block,

Inc.

(continued)

a,b

7929420. SQ.FTS.B,

6.281%,

12/26/35

...

$

2,513

$

a,b

7935066. SQ.FTS.B,

4.725%,

12/27/35

...

a,b

7935729. SQ.FTS.B,

6.153%,

12/27/35

...

1,923

a,b

7939914. SQ.FTS.B,

5.534%,

12/28/35

...

7,671

a,b

7942180. SQ.FTS.B,

4.757%,

12/29/35

...

2,229

a,b

7942057. SQ.FTS.B,

5.904%,

12/29/35

...

3,066

a,b

7944955. SQ.FTS.B,

5.093%,

1/01/36

....

24,782

a,b

7950936. SQ.FTS.B,

5.347%,

1/02/36

....

1,955

885

a,b

7951446. SQ.FTS.B,

5.719%,

1/02/36

....

3,188

a,b

7950515. SQ.FTS.B,

5.911%,

1/02/36

....

1,304

a,b

7960559. SQ.FTS.B,

5.912%,

1/05/36

....

a,b

7962505. SQ.FTS.B,

6.163%,

1/05/36

....

20,002

a,b

7964764. SQ.FTS.B,

4.759%,

1/07/36

....

1,606

a,b

7968350. SQ.FTS.B,

4.746%,

1/08/36

....

1,919

a,b

7969237. SQ.FTS.B,

5.097%,

1/09/36

....

667

a,b

7970839. SQ.FTS.B,

5.718%,

1/09/36

....

2,510

1,120

a,b

7978500. SQ.FTS.B,

4.766%,

1/11/36

....

771

a,b

7977115. SQ.FTS.B,

5.436%,

1/11/36

....

1,089

a,b

7983953. SQ.FTS.B,

5.723%,

1/12/36

....

5,877

2,717

a,b

7984842. SQ.FTS.B,

4.741%,

1/13/36

....

3,159

a,b

7984169. SQ.FTS.B,

6.164%,

1/13/36

....

24,072

a,b

7986712. SQ.FTS.B,

6.165%,

1/15/36

....

1,216

a,b

7990281. SQ.FTS.B,

6.165%,

1/16/36

....

9,974

a,b

7993294. SQ.FTS.B,

6.151%,

1/17/36

....

1,119

a,b

8000517. SQ.FTS.B,

6.284%,

1/17/36

....

1,021

a,b

7997671. SQ.FTS.B,

6.289%,

1/17/36

....

580

a,b

8004096. SQ.FTS.B,

6.163%,

1/18/36

....

67,437

529

a,b

8008266. SQ.FTS.B,

4.722%,

1/19/36

....

a,b

8008601. SQ.FTS.B,

4.78%,

1/19/36

.....

6,115

a,b

8010295. SQ.FTS.B,

5.911%,

1/20/36

....

13,906

a,b

8010866. SQ.FTS.B,

5.547%,

1/21/36

....

528

a,b

8012825. SQ.FTS.B,

5.906%,

1/22/36

....

779

a,b

8015166. SQ.FTS.B,

6.158%,

1/22/36

....

740

a,b

8016257. SQ.FTS.B,

5.095%,

1/23/36

....

a,b

8016541. SQ.FTS.B,

6.477%,

1/23/36

....

4,399

a,b

8021419. SQ.FTS.B,

4.759%,

1/24/36

....

1,975

a,b

8021596. SQ.FTS.B,

5.093%,

1/24/36

....

2,023

a,b

8020710. SQ.FTS.B,

6.162%,

1/24/36

....

5,242

a,b

8021730. SQ.FTS.B,

6.478%,

1/24/36

....

10,299

a,b

8025995. SQ.FTS.B,

5.422%,

1/25/36

....

943

a,b

8031599. SQ.FTS.B,

5.346%,

1/27/36

....

872

a,b

8031473. SQ.FTS.B,

5.445%,

1/27/36

....

3,422

a,b

8040547. SQ.FTS.B,

5.351%,

1/30/36

....

1,219

652

a,b

8037317. SQ.FTS.B,

6.165%,

1/30/36

....

a,b

8048220. SQ.FTS.B,

4.78%,

2/01/36

.....

618

a,b

8050429. SQ.FTS.B,

4.78%,

2/01/36

.....

527

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

#### Description

#### Principal

#### Amount

#### Value

#### Marketplace

#### Loans
(continued)

Block,

Inc.

(continued)

a,b

8051888. SQ.FTS.B,

4.744%,

2/02/36

....

$

1,531

$

a,b

8052271. SQ.FTS.B,

6.163%,

2/02/36

....

669

a,b

8050565. SQ.FTS.B,

6.164%,

2/02/36

....

6,532

a,b

8056576. SQ.FTS.B,

6.477%,

2/05/36

....

669

a,b

8070315. SQ.FTS.B,

5.902%,

2/08/36

....

a,b

8074535. SQ.FTS.B,

4.78%,

2/09/36

.....

17,750

2,666

a,b

8073409. SQ.FTS.B,

6.296%,

2/09/36

....

1,109

a,b

8076636. SQ.FTS.B,

4.776%,

2/10/36

....

547

a,b

8076650. SQ.FTS.B,

5.094%,

2/10/36

....

2,948

1,396

a,b

8083196. SQ.FTS.B,

5.347%,

2/13/36

....

3,791

1,887

a,b

8085032. SQ.FTS.B,

6.48%,

2/14/36

.....

9,808

a,b

8097211. SQ.FTS.B,

5.909%,

2/17/36

....

1,063

509

a,b

8098527. SQ.FTS.B,

5.72%,

2/18/36

.....

1,559

a,b

8099364. SQ.FTS.B,

5.917%,

2/19/36

....

855

a,b

8104579. SQ.FTS.B,

6.474%,

2/20/36

....

2,671

a,b

8113190. SQ.FTS.B,

6.543%,

2/22/36

....

2,143

a,b

8117156. SQ.FTS.B,

6.152%,

2/23/36

....

10,731

5,801

a,b

8119065. SQ.FTS.B,

6.155%,

2/24/36

....

3,355

a,b

8122481. SQ.FTS.B,

4.78%,

2/26/36

.....

12,947

2,245

a,b

8125247. SQ.FTS.B,

4.749%,

2/27/36

....

2,612

a,b

8124817. SQ.FTS.B,

5.644%,

2/27/36

....

1,528

a,b

8137603. SQ.FTS.B,

4.782%,

2/28/36

....

3,443

2,100

a,b

8139332. SQ.FTS.B,

6.318%,

2/28/36

....

a,b

8139400. SQ.FTS.B,

6.423%,

2/28/36

....

564

a,b

8155930. SQ.FTS.B,

5.114%,

3/05/36

....

651

a

8158885. SQ.FTS.B,

5.92%,

3/05/36

.....

a,b

8162440. SQ.FTS.B,

6.421%,

3/07/36

....

6,964

a,b

8163826. SQ.FTS.B,

6.4%,

3/08/36

......

676

a,b

8165084. SQ.FTS.B,

5.41%,

3/09/36

.....

11,638

a,b

8164934. SQ.FTS.B,

6.159%,

3/09/36

....

802

a,b

8165043. SQ.FTS.B,

6.348%,

3/09/36

....

1,227

503

a,b

8177398. SQ.FTS.B,

4.779%,

3/12/36

....

7,486

a,b

8178539. SQ.FTS.B,

4.78%,

3/12/36

.....

9,322

a,b

8181148. SQ.FTS.B,

5.628%,

3/13/36

....

3,453

a

8180916. SQ.FTS.B,

6.346%,

3/13/36

....

a

8185295. SQ.FTS.B,

5.101%,

3/15/36

....

a,b

8185861. SQ.FTS.B,

6.336%,

3/15/36

....

900

a,b

8187056. SQ.FTS.B,

4.779%,

3/16/36

....

28,286

7,451

a

8190366. SQ.FTS.B,

5.119%,

3/17/36

....

a,b

8193726. SQ.FTS.B,

5.114%,

3/18/36

....

14,703

a

8203270. SQ.FTS.B,

5.413%,

3/20/36

....

1,696

1,103

a

8205825. SQ.FTS.B,

5.614%,

3/20/36

....

a,b

8205976. SQ.FTS.B,

5.912%,

3/20/36

....

3,822

986

a,b

8205369. SQ.FTS.B,

6.329%,

3/20/36

....

1,746

a,b

8204610. SQ.FTS.B,

6.682%,

3/20/36

....

2,461

a

8206989. SQ.FTS.B,

6.551%,

3/21/36

....

1,589

847

#### Description

#### Principal

#### Amount

#### Value
Block,

Inc.

(continued)

a,b

8209177. SQ.FTS.B,

6.148%,

3/23/36

....

$

4,860

$

a

8213268. SQ.FTS.B,

4.958%,

3/24/36

....

1,115

608

a

8215602. SQ.FTS.B,

4.784%,

3/25/36

....

535

a

8216882. SQ.FTS.B,

5.66%,

3/25/36

.....

3,816

2,212

a,b

8216590. SQ.FTS.B,

6.314%,

3/25/36

....

1,287

a,b

8221997. SQ.FTS.B,

6.536%,

3/26/36

....

a

8226398. SQ.FTS.B,

5.627%,

3/27/36

....

a

8227883. SQ.FTS.B,

5.913%,

3/27/36

....

2,327

1,472

a

8228042. SQ.FTS.B,

4.779%,

3/28/36

....

8,824

5,097

a

8237680. SQ.FTS.B,

4.956%,

4/01/36

....

9,120

5,208

a,b

8247535. SQ.FTS.B,

6.552%,

4/03/36

....

1,830

a

8248806. SQ.FTS.B,

6.675%,

4/03/36

....

8,029

4,532

a

8250977. SQ.FTS.B,

4.778%,

4/04/36

....

1,943

1,365

a

8250191. SQ.FTS.B,

6.334%,

4/04/36

....

a,b

8255354. SQ.FTS.B,

4.958%,

4/07/36

....

655

a,b

8255421. SQ.FTS.B,

5.41%,

4/07/36

.....

7,188

2,437

a

8277202. SQ.FTS.B,

5.113%,

4/11/36

....

1,713

1,015

a

8276869. SQ.FTS.B,

5.114%,

4/11/36

....

4,242

2,947

a,b

8283179. SQ.FTS.B,

5.117%,

4/15/36

....

6,353

a,b

8281860. SQ.FTS.B,

5.408%,

4/15/36

....

3,357

a

8284751. SQ.FTS.B,

5.63%,

4/15/36

.....

a

8284791. SQ.FTS.B,

5.66%,

4/15/36

.....

a

8283828. SQ.FTS.B,

6.324%,

4/15/36

....

1,079

618

a,b

8287641. SQ.FTS.B,

5.112%,

4/16/36

....

4,543

a,b

8287420. SQ.FTS.B,

5.909%,

4/16/36

....

2,138

a,b

8288479. SQ.FTS.B,

6.326%,

4/16/36

....

5,431

a,b

8286845. SQ.FTS.B,

6.411%,

4/16/36

....

1,221

a,b

8287565. SQ.FTS.B,

6.414%,

4/16/36

....

553

a,b

8286690. SQ.FTS.B,

6.534%,

4/16/36

....

1,636

a

8298827. SQ.FTS.B,

5.41%,

4/19/36

.....

3,744

2,682

a

8299881. SQ.FTS.B,

4.782%,

4/20/36

....

1,524

1,135

a

8304334. SQ.FTS.B,

5.409%,

4/21/36

....

2,178

1,315

a,b

8301755. SQ.FTS.B,

6.326%,

4/21/36

....

4,584

a,b

8304151. SQ.FTS.B,

6.673%,

4/21/36

....

2,265

a,b

8304649. SQ.FTS.B,

6.325%,

4/22/36

....

2,215

a

8308031. SQ.FTS.B,

4.776%,

4/23/36

....

a

8318235. SQ.FTS.B,

5.646%,

4/25/36

....

1,382

766

a,b

8319657. SQ.FTS.B,

5.66%,

4/25/36

.....

16,364

8,055

a

8322385. SQ.FTS.B,

4.78%,

4/27/36

.....

1,082

803

a,b

8322107. SQ.FTS.B,

6.54%,

4/27/36

.....

1,115

a

8329865. SQ.FTS.B,

5.114%,

4/29/36

....

1,179

899

a

8327713. SQ.FTS.B,

5.413%,

4/29/36

....

782

594

a

8333158. SQ.FTS.B,

5.115%,

4/30/36

....

a

8334093. SQ.FTS.B,

5.635%,

4/30/36

....

2,627

1,518

a,b

8339247. SQ.FTS.B,

6.673%,

4/30/36

....

8,515

a

8340531. SQ.FTS.B,

5.409%,

5/01/36

....

21,358

12,388

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Description

#### Principal

#### Amount

#### Value

#### Marketplace

#### Loans
(continued)

Block,

Inc.

(continued)

a,b

8344345. SQ.FTS.B,

6.329%,

5/02/36

....

$

2,204

$

1,302

a

8344398. SQ.FTS.B,

6.359%,

5/02/36

....

a,b

8345584. SQ.FTS.B,

6.415%,

5/03/36

....

1,848

a,b

8348402. SQ.FTS.B,

4.952%,

5/04/36

....

a

8347538. SQ.FTS.B,

5.115%,

5/04/36

....

1,605

965

a,b

8347967. SQ.FTS.B,

5.117%,

5/04/36

....

2,187

1,523

a

8348640. SQ.FTS.B,

5.66%,

5/04/36

.....

675

506

a,b

8349157. SQ.FTS.B,

6.327%,

5/04/36

....

5,772

a

8352758. SQ.FTS.B,

4.78%,

5/05/36

.....

44,359

32,601

a

8351752. SQ.FTS.B,

6.422%,

5/05/36

....

4,250

2,009

a

8362642. SQ.FTS.B,

5.113%,

5/07/36

....

4,698

2,537

a

8360828. SQ.FTS.B,

5.66%,

5/07/36

.....

8,464

4,997

a

8361678. SQ.FTS.B,

6.141%,

5/07/36

....

a,b

8367859. SQ.FTS.B,

4.78%,

5/08/36

.....

2,964

a

8367817. SQ.FTS.B,

4.954%,

5/08/36

....

1,251

582

a,b

8368633. SQ.FTS.B,

5.675%,

5/09/36

....

512

a,b

8370594. SQ.FTS.B,

5.615%,

5/11/36

....

a

8370406. SQ.FTS.B,

6.154%,

5/11/36

....

a,b

8370392. SQ.FTS.B,

6.301%,

5/11/36

....

a,b

8370612. SQ.FTS.B,

6.42%,

5/11/36

.....

4,659

a,b

8373458. SQ.FTS.B,

5.912%,

5/12/36

....

2,677

1,747

a,b

8373052. SQ.FTS.B,

6.141%,

5/12/36

....

2,470

a

8372657. SQ.FTS.B,

6.154%,

5/12/36

....

4,702

2,788

a,b

8373371. SQ.FTS.B,

6.321%,

5/12/36

....

3,913

a

8374700. SQ.FTS.B,

6.424%,

5/12/36

....

3,675

2,161

a,b

8376661. SQ.FTS.B,

4.956%,

5/13/36

....

1,560

a,b

8376230. SQ.FTS.B,

5.66%,

5/13/36

.....

4,232

a,b

8381919. SQ.FTS.B,

4.965%,

5/14/36

....

1,506

a

8383275. SQ.FTS.B,

5.404%,

5/14/36

....

938

723

a,b

8382098. SQ.FTS.B,

6.149%,

5/14/36

....

8,174

a,b

8383353. SQ.FTS.B,

6.15%,

5/14/36

.....

37,881

1,009

a,b

8382493. SQ.FTS.B,

6.55%,

5/14/36

.....

10,128

a

8385298. SQ.FTS.B,

5.66%,

5/15/36

.....

a

8387911. SQ.FTS.B,

4.781%,

5/16/36

....

2,323

1,181

a

8388466. SQ.FTS.B,

5.125%,

5/16/36

....

624

a

8388312. SQ.FTS.B,

5.427%,

5/16/36

....

618

a,b

8392372. SQ.FTS.B,

4.78%,

5/18/36

.....

3,862

a,b

8391986. SQ.FTS.B,

5.112%,

5/18/36

....

5,055

a

8390042. SQ.FTS.B,

5.66%,

5/18/36

.....

916

a

8390639. SQ.FTS.B,

6.427%,

5/18/36

....

a,b

8396180. SQ.FTS.B,

4.959%,

5/19/36

....

1,271

a,b

8395941. SQ.FTS.B,

6.146%,

5/19/36

....

2,108

1,099

a

8396223. SQ.FTS.B,

6.152%,

5/19/36

....

3,884

2,151

a,b

8398764. SQ.FTS.B,

5.66%,

5/20/36

.....

21,029

572

a

8406914. SQ.FTS.B,

6.547%,

5/21/36

....

4,280

2,722

a

8412573. SQ.FTS.B,

4.784%,

5/22/36

....

3,263

2,213

#### Description

#### Principal

#### Amount

#### Value
Block,

Inc.

(continued)

a,b

8408339. SQ.FTS.B,

6.551%,

5/22/36

....

$

5,451

$

a

8414495. SQ.FTS.B,

4.781%,

5/24/36

....

2,543

1,971

a,b

8418827. SQ.FTS.B,

5.409%,

5/25/36

....

63,980

1,305

a

8422169. SQ.FTS.B,

5.663%,

5/26/36

....

4,809

3,358

a

8424605. SQ.FTS.B,

5.911%,

5/26/36

....

3,964

2,424

a

8423665. SQ.FTS.B,

6.152%,

5/26/36

....

3,025

2,455

a

8431678. SQ.FTS.B,

6.153%,

5/28/36

....

991

710

a,b

8435782. SQ.FTS.B,

4.943%,

5/29/36

....

1,958

a

8436467. SQ.FTS.B,

4.962%,

5/29/36

....

783

a,b

8435257. SQ.FTS.B,

5.917%,

5/29/36

....

1,285

615,067

Freedom

Financial

Asset

Management

LLC

APP-15053612.FP.FTS.B,

13.99%,

7/26/26

515

517

APP-15053337.FP.FTS.B,

17.99%,

7/26/26

841

855

APP-16719236.FP.FTS.B,

10.49%,

9/04/26

1,801

1,809

APP-16630984.FP.FTS.B,

14.49%,

9/12/26

1,714

1,727

APP-16335651.FP.FTS.B,

14.49%,

9/15/26

1,959

1,971

APP-17464221.FP.FTS.B,

16.74%,

9/15/26

1,169

1,182

APP-16710569.FP.FTS.B,

15.49%,

9/16/26

2,922

2,941

APP-17279512.FP.FTS.B,

16.74%,

9/22/26

1,754

1,785

APP-16676602.FP.FTS.B,

11.24%,

11/05/26

1,440

1,442

APP-11381442.FP.FTS.B,

20.49%,

11/26/26

4,117

4,235

APP-11579549.FP.FTS.B,

13.49%,

12/15/26

..........................

5,002

5,028

APP-11022370.FP.FTS.B,

16.49%,

12/20/26

..........................

1,411

1,422

APP-11740523.FP.FTS.B,

10.99%,

12/21/26

..........................

4,097

4,133

APP-11723942.FP.FTS.B,

19.49%,

12/21/26

..........................

10,986

11,340

APP-12116526.FP.FTS.B,

18.99%,

1/05/27

2,908

2,961

APP-11410185.FP.FTS.B,

22.49%,

1/10/27

6,718

6,948

APP-12032875.FP.FTS.B,

11.24%,

1/16/27

4,648

4,695

APP-11694985.FP.FTS.B,

12.99%,

1/21/27

3,002

3,036

APP-12169743.FP.FTS.B,

24.24%,

1/22/27

6,973

7,245

APP-12186510.FP.FTS.B,

9.74%,

1/23/27

.

7,297

7,364

APP-11595106.FP.FTS.B,

13.49%,

1/26/27

2,519

2,547

APP-11595260.FP.FTS.B,

18.99%,

1/30/27

796

803

APP-11709701.FP.FTS.B,

16.49%,

2/04/27

2,636

2,659

APP-11725393.FP.FTS.B,

17.99%,

2/04/27

11,267

11,522

APP-11694359.FP.FTS.B,

19.99%,

2/04/27

APP-11660434.FP.FTS.B,

20.49%,

2/04/27

7,372

7,634

APP-11694079.FP.FTS.B,

10.99%,

2/05/27

4,130

4,162

APP-11722179.FP.FTS.B,

11.99%,

2/05/27

5,541

5,587

APP-11742867.FP.FTS.B,

23.24%,

2/05/27

5,087

5,265

APP-12337990.FP.FTS.B,

16.49%,

2/07/27

1,831

1,848

APP-11738196.FP.FTS.B,

21.99%,

2/15/27

2,861

2,950

APP-12029572.FP.FTS.B,

16.99%,

2/24/27

1,207

1,217

APP-12050224.FP.FTS.B,

11.74%,

3/01/27

9,017

9,087

APP-12168636.FP.FTS.B,

13.24%,

3/01/27

4,318

4,356

APP-12158633.FP.FTS.B,

23.24%,

3/02/27

5,367

5,540

APP-12050159.FP.FTS.B,

13.24%,

3/07/27

7,592

7,672

APP-12105970.FP.FTS.B,

10.99%,

3/08/27

4,763

4,805

APP-12155604.FP.FTS.B,

11.24%,

3/08/27

1,389

1,392

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

#### Description

#### Principal

#### Amount

#### Value

#### Marketplace

#### Loans
(continued)

Freedom

Financial

Asset

Management

LLC

(continued)

APP-12106008.FP.FTS.B,

13.49%,

3/08/27

$

3,553

$

3,591

APP-12432804.FP.FTS.B,

13.24%,

3/09/27

7,909

7,986

APP-11508449.FP.FTS.B,

8.49%,

3/10/27

.

6,142

6,194

APP-12203395.FP.FTS.B,

22.49%,

3/10/27

3,750

1,412

APP-12210087.FP.FTS.B,

18.74%,

3/11/27

11,317

11,601

APP-12071137.FP.FTS.B,

19.99%,

3/11/27

7,040

7,253

APP-12460903.FP.FTS.B,

10.99%,

3/15/27

8,368

8,446

APP-12467297.FP.FTS.B,

13.24%,

3/15/27

6,798

6,876

APP-12418630.FP.FTS.B,

17.99%,

3/18/27

4,877

5,018

APP-12463831.FP.FTS.B,

19.99%,

3/18/27

2,189

2,245

APP-12380981.FP.FTS.B,

13.74%,

3/20/27

2,084

2,103

APP-12230901.FP.FTS.B,

20.24%,

3/20/27

11,183

11,524

APP-12424835.FP.FTS.B,

23.99%,

3/20/27

9,053

9,452

APP-12459776.FP.FTS.B,

10.99%,

3/21/27

7,178

7,253

APP-12287335.FP.FTS.B,

13.24%,

3/21/27

5,222

5,292

APP-12270745.FP.FTS.B,

17.74%,

3/23/27

7,597

7,816

APP-12429877.FP.FTS.B,

19.74%,

3/23/27

8,621

8,922

APP-12107351.FP.FTS.B,

16.49%,

3/24/27

5,829

6,016

APP-12468743.FP.FTS.B,

18.24%,

3/24/27

793

795

APP-11397497.FP.FTS.B,

11.99%,

4/19/27

6,131

6,204

APP-12033253.FP.FTS.B,

17.99%,

4/24/27

4,091

4,261

APP-12133804.FP.FTS.B,

10.99%,

4/30/27

5,989

6,051

APP-12097459.FP.FTS.B,

13.24%,

5/08/27

6,658

6,737

APP-12345892.FP.FTS.B,

13.49%,

5/22/27

2,986

3,017

APP-12468566.FP.FTS.B,

19.74%,

6/25/27

13,331

13,910

APP-15007182.FP.FTS.B,

16.99%,

7/11/27

3,584

3,637

APP-15105817.FP.FTS.B,

11.74%,

7/15/27

6,356

6,427

APP-16662334.FP.FTS.B,

15.24%,

7/26/27

8,338

8,458

APP-15116487.FP.FTS.B,

21.49%,

7/28/27

6,075

6,364

APP-16465567.FP.FTS.B,

15.49%,

7/30/27

5,165

5,247

APP-16640475.FP.FTS.B,

12.74%,

8/02/27

5,926

5,988

APP-12159801.FP.FTS.B,

16.99%,

8/15/27

8,933

9,203

APP-15106325.FP.FTS.B,

23.24%,

8/28/27

539

541

APP-16632155.FP.FTS.B,

11.49%,

9/01/27

5,681

5,741

APP-16448250.FP.FTS.B,

13.49%,

9/01/27

2,345

2,374

APP-16676570.FP.FTS.B,

15.24%,

9/01/27

7,132

7,303

APP-12175594.FP.FTS.B,

18.99%,

9/01/27

2,016

2,034

APP-16852920.FP.FTS.B,

10.99%,

9/04/27

12,540

12,679

APP-16640455.FP.FTS.B,

10.99%,

9/05/27

7,274

7,353

APP-15052242.FP.FTS.B,

11.74%,

9/13/27

16,801

17,088

APP-17458875.FP.FTS.B,

16.49%,

9/13/27

1,749

1,769

APP-16687847.FP.FTS.B,

9.49%,

9/15/27

.

6,388

6,470

APP-17490395.FP.FTS.B,

15.24%,

9/26/27

11,640

11,832

APP-17504832.FP.FTS.B,

13.74%,

9/27/27

1,818

1,826

APP-12176796.FP.FTS.B,

8.99%,

10/25/27

3,415

3,438

APP-16627732.FP.FTS.B,

12.99%,

10/25/27

..........................

9,998

10,158

b

APP-16800634.FP.FTS.B,

15.99%,

10/28/27

..........................

22,740

2,805

APP-11872544.FP.FTS.B,

19.99%,

11/25/27

1,828

1,867

APP-12199831.FP.FTS.B,

16.99%,

5/22/36

682

688

453,087

LendingClub

Corp.

-

LCX

162966512. LC.FTS.B,

11.02%,

4/12/35

...

1,591

–

#### Description

#### Principal

#### Amount

#### Value
LendingClub

Corp.

-

LCX

PM

172665217. LC.FTS.B,

15.4%,

12/04/35

...

$

531

$

531

Prosper

Funding

LLC

1592846. PS.FTS.B,

15.9%,

7/23/26

.....

575

581

1599440. PS.FTS.B,

26.4%,

8/05/26

.....

1600466. PS.FTS.B,

18.73%,

8/06/26

....

1,499

1,509

1603759. PS.FTS.B,

20.59%,

8/06/26

....

1,036

1,042

1611384. PS.FTS.B,

13.88%,

8/09/26

....

906

905

1611810. PS.FTS.B,

13%,

8/10/26

.......

1606042. PS.FTS.B,

14.74%,

8/10/26

....

2,574

1,821

1611807. PS.FTS.B,

19.33%,

8/10/26

....

1,545

1,558

1612149. PS.FTS.B,

20.7%,

8/10/26

.....

660

667

1612140. PS.FTS.B,

23.74%,

8/10/26

....

715

721

1603532. PS.FTS.B,

20.5%,

8/12/26

.....

1,156

1,168

1611322. PS.FTS.B,

12.5%,

8/19/26

.....

3,081

3,084

1618149. PS.FTS.B,

13.7%,

8/19/26

.....

878

879

1615738. PS.FTS.B,

13.3%,

8/27/26

.....

1611798. PS.FTS.B,

25.74%,

9/01/26

....

1,719

1,751

1625300. PS.FTS.B,

11.79%,

9/23/26

....

752

755

1631647. PS.FTS.B,

12.7%,

9/28/26

.....

1,786

1,793

1638105. PS.FTS.B,

13.4%,

9/28/26

.....

861

865

1648282. PS.FTS.B,

14%,

10/26/26

......

2,016

2,047

1645223. PS.FTS.B,

10.5%,

10/27/26

....

1,127

1,131

1648588. PS.FTS.B,

14.39%,

10/27/26

...

2,031

2,063

1646309. PS.FTS.B,

9.62%,

10/28/26

....

2,219

2,227

1646072. PS.FTS.B,

28.23%,

10/28/26

...

1,987

2,045

1646819. PS.FTS.B,

11.2%,

10/29/26

....

590

598

1650901. PS.FTS.B,

11.2%,

10/29/26

....

2,285

2,316

1489833. PS.FTS.B,

16.99%,

10/30/26

...

1,375

1,383

1649809. PS.FTS.B,

11.1%,

10/31/26

....

1,272

1,276

1656183. PS.FTS.B,

14.38%,

10/31/26

...

1,190

1,194

1650023. PS.FTS.B,

14.79%,

11/04/26

....

1,735

1,737

1649791. PS.FTS.B,

15.1%,

11/05/26

....

4,017

4,085

1651754. PS.FTS.B,

10.5%,

11/08/26

....

2,905

2,905

1658080. PS.FTS.B,

14.63%,

11/08/26

....

2,006

2,024

1666449. PS.FTS.B,

14.6%,

11/09/26

....

1,807

1,830

1658839. PS.FTS.B,

14.68%,

11/09/26

....

2,361

2,362

1658842. PS.FTS.B,

17%,

11/09/26

......

2,088

2,113

1667757. PS.FTS.B,

18.25%,

11/12/26

....

2,185

2,219

1661797. PS.FTS.B,

21%,

11/15/26

......

1664327. PS.FTS.B,

13.5%,

11/30/26

....

813

830

1687146. PS.FTS.B,

11.43%,

12/16/26

....

2,022

2,023

1680241. PS.FTS.B,

14.38%,

12/16/26

...

4,445

4,453

1680301. PS.FTS.B,

18.5%,

12/16/26

....

960

975

1675265. PS.FTS.B,

10.5%,

12/20/26

....

3,805

3,811

b

1688964. PS.FTS.B,

13.93%,

12/21/26

...

4,186

–

1689036. PS.FTS.B,

14.6%,

12/21/26

....

3,783

3,840

1676819. PS.FTS.B,

14.68%,

12/22/26

...

6,409

5,680

1680116. PS.FTS.B,

14%,

12/29/26

......

5,340

5,497

1690116. PS.FTS.B,

23.11%,

12/31/26

....

3,542

3,665

1694572. PS.FTS.B,

11.6%,

1/13/27

.....

4,119

4,124

b

1694593. PS.FTS.B,

23.4%,

1/13/27

.....

5,579

–

1702152. PS.FTS.B,

12.87%,

1/14/27

....

1,161

1,162

1688534. PS.FTS.B,

12.9%,

1/16/27

.....

761

759

1704984. PS.FTS.B,

10.29%,

1/19/27

....

2,397

2,403

1698709. PS.FTS.B,

15.2%,

1/20/27

.....

3,026

3,074

1674146. PS.FTS.B,

18.78%,

1/20/27

....

2,417

2,458

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Description

#### Principal

#### Amount

#### Value

#### Marketplace

#### Loans
(continued)

Prosper

Funding

LLC

(continued)

1721439. PS.FTS.B,

12%,

2/15/27

.......

$

566

$

566

1708901. PS.FTS.B,

18.33%,

2/15/27

....

4,689

4,778

1720974. PS.FTS.B,

18.4%,

2/15/27

.....

4,657

4,735

1709498. PS.FTS.B,

25.9%,

2/16/27

.....

2,641

2,666

1708466. PS.FTS.B,

18.6%,

2/22/27

.....

1,544

1,569

1709507. PS.FTS.B,

13.5%,

3/15/27

.....

929

932

1749006. PS.FTS.B,

19.53%,

3/31/27

....

3,134

3,163

1749429. PS.FTS.B,

25.9%,

4/01/27

.....

1,895

1,944

b

1603750. PS.FTS.B,

15.9%,

5/20/27

.....

3,120

1722171. PS.FTS.B,

18.78%,

6/14/27

....

2,574

1,372

b

1682455. PS.FTS.B,

11.43%,

11/21/27

....

16,126

992

1739157. PS.FTS.B,

11.5%,

12/18/27

....

12,327

6,872

1708907. PS.FTS.B,

18.13%,

2/20/28

....

9,391

9,278

b

1689368. PS.FTS.B,

16.2%,

1/14/35

.....

–

140,001

Upgrade,

Inc.

-

Card

991762816. UG.FTS.B,

29.49%,

6/20/26

..

991545568. UG.FTS.B,

29.49%,

8/16/26

..

991721350. UG.FTS.B,

29.49%,

8/16/26

..

516

991573331. UG.FTS.B,

29.49%,

9/17/26

..

991658250. UG.FTS.B,

16.99%,

1/20/27

..

991645022. UG.FTS.B,

29.49%,

1/21/27

..

991721939. UG.FTS.B,

16.99%,

2/02/27

..

991894965. UG.FTS.B,

16.99%,

2/03/27

..

1,363

1,397

991579043. UG.FTS.B,

19.99%,

4/17/27

..

1,291

1,032

991663324. UG.FTS.B,

22.36%,

5/29/27

..

b

991727635. UG.FTS.B,

28.98%,

6/07/27

..

–

991579317. UG.FTS.B,

29.49%,

6/16/27

..

b

991693097. UG.FTS.B,

26.94%,

9/20/27

..

991716805. UG.FTS.B,

22.97%,

11/08/27

.

991664785. UG.FTS.B,

18.98%,

12/26/27

.

991735384. UG.FTS.B,

29.49%,

6/06/29

..

991587677. UG.FTS.B,

29.49%,

1/17/30

..

991719643. UG.FTS.B,

29.49%,

8/22/30

..

991883200. UG.FTS.B,

29.49%,

1/07/31

..

991758368. UG.FTS.B,

29.49%,

1/20/31

..

991754815. UG.FTS.B,

29.49%,

2/24/31

..

991695320. UG.FTS.B,

29.49%,

3/05/31

..

–

5,479

Upstart

Network,

Inc.

L1711804.UP.FTS.B,

9.08%,

9/14/26

.....

1,015

1,000

L1709773.UP.FTS.B,

9.1%,

9/14/26

.....

L1710250.UP.FTS.B,

9.72%,

9/14/26

....

823

812

L1711112.UP.FTS.B,

12.03%,

9/14/26

....

573

567

L1711626.UP.FTS.B,

13.98%,

9/14/26

....

2,242

2,213

L1707201.UP.FTS.B,

16.24%,

9/14/26

....

1,757

1,737

L1711610.UP.FTS.B,

17.32%,

9/14/26

....

2,981

2,940

L1708807.UP.FTS.B,

17.72%,

9/14/26

....

1,202

1,189

L1710981.UP.FTS.B,

17.81%,

9/14/26

....

1,300

1,282

L1709643.UP.FTS.B,

20.04%,

9/14/26

....

L1708429.UP.FTS.B,

20.63%,

9/14/26

....

b

L1709924.UP.FTS.B,

24.74%,

9/14/26

....

L1710379.UP.FTS.B,

24.83%,

9/14/26

....

L1710592.UP.FTS.B,

25.03%,

9/14/26

....

#### Description

#### Principal

#### Amount

#### Value
Upstart

Network,

Inc.

(continued)

L1712014.UP.FTS.B,

25.46%,

9/14/26

....

$

$

L1710375.UP.FTS.B,

25.49%,

9/14/26

....

L1711582.UP.FTS.B,

25.87%,

9/14/26

....

4,270

4,207

L1709668.UP.FTS.B,

25.91%,

9/14/26

....

FW1708283.UP.FTS.B,

30.95%,

9/14/26

..

698

605

b

FW1709045.UP.FTS.B,

31.04%,

9/14/26

..

686

FW1709237.UP.FTS.B,

31.24%,

9/14/26

..

760

749

FW1712567.UP.FTS.B,

31.44%,

9/14/26

..

L1709686.UP.FTS.B,

14.5%,

9/16/26

....

2,280

2,250

FW1711817.UP.FTS.B,

20.95%,

9/20/26

..

617

608

b

L1873953.UP.FTS.B,

6.89%,

10/18/26

....

9,434

796

L1873001.UP.FTS.B,

11.14%,

10/18/26

...

1,123

942

L1872155.UP.FTS.B,

11.36%,

10/18/26

...

L1873842.UP.FTS.B,

11.7%,

10/18/26

....

2,149

2,120

L1873090.UP.FTS.B,

11.9%,

10/18/26

....

FW1873975.UP.FTS.B,

13.55%,

10/18/26

.

863

852

L1874369.UP.FTS.B,

14.32%,

10/18/26

...

1,088

1,076

FW1874328.UP.FTS.B,

14.8%,

10/18/26

..

1,363

1,348

L1860167.UP.FTS.B,

14.86%,

10/18/26

...

L1873835.UP.FTS.B,

15.93%,

10/18/26

...

1,407

1,228

L1872814.UP.FTS.B,

16.38%,

10/18/26

...

1,897

1,877

L1873320.UP.FTS.B,

16.64%,

10/18/26

...

L1873707.UP.FTS.B,

17.21%,

10/18/26

...

913

903

FW1869707.UP.FTS.B,

17.52%,

10/18/26

.

2,150

2,123

L1874163.UP.FTS.B,

17.64%,

10/18/26

...

975

962

L1873356.UP.FTS.B,

19.63%,

10/18/26

...

L1872983.UP.FTS.B,

19.88%,

10/18/26

...

548

514

FW1873856.UP.FTS.B,

20.15%,

10/18/26

.

904

893

L1873825.UP.FTS.B,

20.43%,

10/18/26

...

7,565

7,460

L1873221.UP.FTS.B,

20.79%,

10/18/26

...

L1873820.UP.FTS.B,

21.93%,

10/18/26

...

L1874034.UP.FTS.B,

22.67%,

10/18/26

...

L1873180.UP.FTS.B,

24.02%,

10/18/26

...

L1873408.UP.FTS.B,

24.34%,

10/18/26

...

L1870381.UP.FTS.B,

24.72%,

10/18/26

...

1,009

995

L1868887.UP.FTS.B,

24.97%,

10/18/26

...

2,779

1,140

L1872784.UP.FTS.B,

25.04%,

10/18/26

...

1,073

1,058

L1873304.UP.FTS.B,

25.15%,

10/18/26

...

FW1873077.UP.FTS.B,

25.29%,

10/18/26

.

L1872764.UP.FTS.B,

25.4%,

10/18/26

....

L1874416.UP.FTS.B,

25.46%,

10/18/26

...

4,047

3,993

L1874151.UP.FTS.B,

25.48%,

10/18/26

...

L1870887.UP.FTS.B,

26.18%,

10/18/26

...

FW1874429.UP.FTS.B,

27.19%,

10/18/26

.

650

641

FW1873344.UP.FTS.B,

27.72%,

10/18/26

.

2,403

2,372

FW1872622.UP.FTS.B,

28.59%,

10/18/26

.

553

546

FW1874208.UP.FTS.B,

29.47%,

10/18/26

.

619

611

FW1873268.UP.FTS.B,

30.52%,

10/18/26

.

FW1872558.UP.FTS.B,

30.55%,

10/18/26

.

FW1874112.UP.FTS.B,

31.18%,

10/18/26

.

895

883

L1874280.UP.FTS.B,

15.62%,

11/01/26

...

4,694

4,645

L2010047.UP.FTS.B,

7.23%,

11/09/26

....

1,343

1,321

L1982018.UP.FTS.B,

9.85%,

11/09/26

....

716

704

L2008329.UP.FTS.B,

10.3%,

11/09/26

....

867

853

L2009188.UP.FTS.B,

10.68%,

11/09/26

...

3,071

3,028

L2009665.UP.FTS.B,

10.88%,

11/09/26

...

1,242

1,223

L2006518.UP.FTS.B,

11.38%,

11/09/26

...

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

#### Description

#### Principal

#### Amount

#### Value

#### Marketplace

#### Loans
(continued)

Upstart

Network,

Inc.

(continued)

L2005066.UP.FTS.B,

12.51%,

11/09/26

...

$

2,293

$

2,259

FW2004957.UP.FTS.B,

13.66%,

11/09/26

.

L2006397.UP.FTS.B,

13.66%,

11/09/26

...

1,545

1,522

L2008524.UP.FTS.B,

14.03%,

11/09/26

...

2,988

2,944

L2009234.UP.FTS.B,

14.43%,

11/09/26

...

1,091

1,077

L2008618.UP.FTS.B,

14.73%,

11/09/26

...

943

929

L2009287.UP.FTS.B,

14.91%,

11/09/26

...

915

902

L2008691.UP.FTS.B,

15.38%,

11/09/26

...

740

730

L2008772.UP.FTS.B,

15.55%,

11/09/26

...

1,596

1,576

L2009243.UP.FTS.B,

15.94%,

11/09/26

...

1,609

1,589

FW2010280.UP.FTS.B,

16.52%,

11/09/26

.

2,603

2,571

FW2009372.UP.FTS.B,

16.77%,

11/09/26

.

2,448

2,418

L2008272.UP.FTS.B,

17.06%,

11/09/26

...

3,282

3,241

L2006918.UP.FTS.B,

18.03%,

11/09/26

...

5,207

5,126

FW2005908.UP.FTS.B,

18.71%,

11/09/26

.

760

749

FW2009511.UP.FTS.B,

18.82%,

11/09/26

.

1,010

994

L2007966.UP.FTS.B,

18.98%,

11/09/26

...

L2007377.UP.FTS.B,

19.06%,

11/09/26

...

2,883

2,847

L2007099.UP.FTS.B,

20.26%,

11/09/26

...

5,547

5,450

L2008551.UP.FTS.B,

20.27%,

11/09/26

...

3,780

3,713

FW2004995.UP.FTS.B,

21%,

11/09/26

...

1,021

1,005

FW2006513.UP.FTS.B,

21.09%,

11/09/26

.

L2006375.UP.FTS.B,

21.38%,

11/09/26

...

FW2009886.UP.FTS.B,

22.16%,

11/09/26

.

722

711

L2009468.UP.FTS.B,

22.18%,

11/09/26

...

2,331

2,291

L2009034.UP.FTS.B,

22.22%,

11/09/26

...

L2007056.UP.FTS.B,

24.37%,

11/09/26

...

FW2006718.UP.FTS.B,

24.97%,

11/09/26

.

946

930

L2007001.UP.FTS.B,

25.04%,

11/09/26

...

L2009837.UP.FTS.B,

25.1%,

11/09/26

....

L2005357.UP.FTS.B,

25.2%,

11/09/26

....

944

928

L2006252.UP.FTS.B,

25.33%,

11/09/26

...

L2007046.UP.FTS.B,

25.34%,

11/09/26

...

FW2009941.UP.FTS.B,

25.35%,

11/09/26

.

1,499

1,473

L2009460.UP.FTS.B,

25.35%,

11/09/26

...

586

577

L2007026.UP.FTS.B,

25.44%,

11/09/26

...

L1976857.UP.FTS.B,

25.45%,

11/09/26

...

1,516

1,491

L2008185.UP.FTS.B,

25.45%,

11/09/26

...

767

754

FW2007576.UP.FTS.B,

26.1%,

11/09/26

..

969

952

L2009167.UP.FTS.B,

26.14%,

11/09/26

...

1,918

1,885

FW2006658.UP.FTS.B,

26.38%,

11/09/26

.

1,155

1,137

FW2008080.UP.FTS.B,

27.3%,

11/09/26

..

FW2009450.UP.FTS.B,

27.39%,

11/09/26

.

1,516

1,490

FW2005859.UP.FTS.B,

28.42%,

11/09/26

.

2,752

2,706

FW2005194.UP.FTS.B,

29.14%,

11/09/26

.

1,306

1,285

FW2005025.UP.FTS.B,

31.15%,

11/09/26

.

1,558

1,532

FW2008400.UP.FTS.B,

31.31%,

11/09/26

.

704

695

FW2009323.UP.FTS.B,

31.47%,

11/09/26

.

1,265

1,244

FW2009221.UP.FTS.B,

30.79%,

11/12/26

.

3,104

2,344

L2005604.UP.FTS.B,

7.24%,

11/15/26

....

3,725

2,985

L2009697.UP.FTS.B,

20.69%,

11/15/26

...

890

876

L2077278.UP.FTS.B,

10.24%,

11/19/26

...

L2079683.UP.FTS.B,

10.46%,

11/19/26

...

616

607

L2077229.UP.FTS.B,

11.22%,

11/19/26

...

2,940

2,900

L2079790.UP.FTS.B,

11.54%,

11/19/26

...

1,271

1,253

L2069545.UP.FTS.B,

12.88%,

11/19/26

...

911

899

L2080759.UP.FTS.B,

14.39%,

11/19/26

...

2,192

2,163

#### Description

#### Principal

#### Amount

#### Value
Upstart

Network,

Inc.

(continued)

L2077934.UP.FTS.B,

15.05%,

11/19/26

...

$

1,187

$

1,171

b

L2077136.UP.FTS.B,

16.73%,

11/19/26

...

2,286

FW2080998.UP.FTS.B,

16.87%,

11/19/26

.

FW2078513.UP.FTS.B,

16.88%,

11/19/26

.

2,947

2,918

L2079147.UP.FTS.B,

16.93%,

11/19/26

...

2,655

2,629

L2073789.UP.FTS.B,

17.39%,

11/19/26

...

654

L2079089.UP.FTS.B,

19.11%,

11/19/26

...

1,001

991

L2079136.UP.FTS.B,

19.7%,

11/19/26

....

2,838

2,801

FW2076082.UP.FTS.B,

20.04%,

11/19/26

.

2,431

2,401

L2077767.UP.FTS.B,

20.73%,

11/19/26

...

1,752

1,729

FW2080860.UP.FTS.B,

21.93%,

11/19/26

.

3,142

3,100

L2080597.UP.FTS.B,

22.59%,

11/19/26

...

L2079001.UP.FTS.B,

24.08%,

11/19/26

...

1,399

1,380

b

FW2076263.UP.FTS.B,

24.18%,

11/19/26

.

944

FW2080275.UP.FTS.B,

26.15%,

11/19/26

.

670

662

L2075827.UP.FTS.B,

27%,

11/19/26

.....

1,808

1,786

L2078364.UP.FTS.B,

15.16%,

11/20/26

...

954

944

FW2009687.UP.FTS.B,

29.61%,

11/21/26

.

1,038

1,021

L2008677.UP.FTS.B,

10.77%,

11/23/26

...

1,466

1,444

L2010117.UP.FTS.B,

24.96%,

11/23/26

...

764

751

FW2007433.UP.FTS.B,

21.02%,

11/24/26

.

1,305

1,283

L2079956.UP.FTS.B,

14.89%,

12/01/26

...

1,268

1,255

FW2080677.UP.FTS.B,

18.72%,

12/04/26

.

3,678

2,601

L2196810.UP.FTS.B,

7.42%,

12/07/26

....

934

917

L2198501.UP.FTS.B,

8.94%,

12/07/26

....

640

629

L2195995.UP.FTS.B,

9.12%,

12/07/26

....

692

680

L2197856.UP.FTS.B,

11.23%,

12/07/26

...

906

892

FW2199260.UP.FTS.B,

12.51%,

12/07/26

.

4,204

4,138

L2200250.UP.FTS.B,

13.28%,

12/07/26

...

872

858

L2197658.UP.FTS.B,

13.72%,

12/07/26

...

895

655

b

FW2198593.UP.FTS.B,

14.12%,

12/07/26

.

1,695

L2199997.UP.FTS.B,

14.15%,

12/07/26

...

655

644

L2198350.UP.FTS.B,

15.19%,

12/07/26

...

L2199879.UP.FTS.B,

16.31%,

12/07/26

...

2,346

961

L2198446.UP.FTS.B,

16.58%,

12/07/26

...

8,555

8,443

b

L2198345.UP.FTS.B,

17.18%,

12/07/26

...

5,774

1,153

L2198376.UP.FTS.B,

17.42%,

12/07/26

...

4,226

4,154

L2199726.UP.FTS.B,

18.1%,

12/07/26

....

1,141

1,126

L2196412.UP.FTS.B,

18.83%,

12/07/26

...

L2199248.UP.FTS.B,

19.04%,

12/07/26

...

2,961

2,922

L2199129.UP.FTS.B,

20.12%,

12/07/26

...

L2197655.UP.FTS.B,

20.75%,

12/07/26

...

999

980

L2196680.UP.FTS.B,

21.47%,

12/07/26

...

1,199

1,179

L2199874.UP.FTS.B,

22.34%,

12/07/26

...

1,683

1,651

L2192706.UP.FTS.B,

22.47%,

12/07/26

...

2,043

2,006

FW2196522.UP.FTS.B,

23.26%,

12/07/26

.

761

b

L2200210.UP.FTS.B,

24.56%,

12/07/26

...

6,477

L2198546.UP.FTS.B,

25.32%,

12/07/26

...

L2197183.UP.FTS.B,

25.46%,

12/07/26

...

L2197844.UP.FTS.B,

25.47%,

12/07/26

...

601

589

L2199814.UP.FTS.B,

25.68%,

12/07/26

...

1,297

1,273

FW2199793.UP.FTS.B,

25.9%,

12/07/26

..

1,735

1,704

FW2200069.UP.FTS.B,

28.54%,

12/07/26

.

774

617

FW2198176.UP.FTS.B,

29.22%,

12/07/26

.

610

598

FW2199632.UP.FTS.B,

32.42%,

12/07/26

.

1,179

1,158

L2201100.UP.FTS.B,

5.82%,

12/08/26

....

1,508

1,478

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Description

#### Principal

#### Amount

#### Value

#### Marketplace

#### Loans
(continued)

Upstart

Network,

Inc.

(continued)

L2203382.UP.FTS.B,

6.5%,

12/08/26

....

$

1,527

$

1,498

L2206413.UP.FTS.B,

7.44%,

12/08/26

....

1,024

1,008

L2201126.UP.FTS.B,

7.87%,

12/08/26

....

1,493

1,473

L2200918.UP.FTS.B,

8.74%,

12/08/26

....

687

676

FW2202215.UP.FTS.B,

9.76%,

12/08/26

..

4,165

4,106

L2205258.UP.FTS.B,

10.97%,

12/08/26

...

504

L2202707.UP.FTS.B,

11.01%,

12/08/26

...

677

668

L2200873.UP.FTS.B,

11.09%,

12/08/26

...

1,504

1,481

L2205661.UP.FTS.B,

11.13%,

12/08/26

...

2,006

1,975

FW2202691.UP.FTS.B,

11.21%,

12/08/26

.

502

FW2201210.UP.FTS.B,

12.48%,

12/08/26

.

b

L2202867.UP.FTS.B,

13.27%,

12/08/26

...

694

L2202534.UP.FTS.B,

13.68%,

12/08/26

...

2,634

2,593

L2200884.UP.FTS.B,

13.99%,

12/08/26

...

1,307

1,286

L2201701.UP.FTS.B,

14.19%,

12/08/26

...

1,240

1,221

L2200543.UP.FTS.B,

14.23%,

12/08/26

...

979

964

FW2206534.UP.FTS.B,

14.38%,

12/08/26

.

567

558

FW2201365.UP.FTS.B,

14.41%,

12/08/26

.

2,578

2,539

L2205970.UP.FTS.B,

14.78%,

12/08/26

...

L2203172.UP.FTS.B,

14.86%,

12/08/26

...

1,795

1,767

L2203888.UP.FTS.B,

15.35%,

12/08/26

...

543

534

L2205432.UP.FTS.B,

15.94%,

12/08/26

...

4,228

4,174

L2195672.UP.FTS.B,

16.2%,

12/08/26

....

2,371

2,341

L2203269.UP.FTS.B,

16.66%,

12/08/26

...

835

824

L2200406.UP.FTS.B,

17.28%,

12/08/26

...

825

815

L2203876.UP.FTS.B,

17.53%,

12/08/26

...

4,698

3,363

L2202653.UP.FTS.B,

17.59%,

12/08/26

...

2,339

2,309

L2200437.UP.FTS.B,

17.72%,

12/08/26

...

L2206114.UP.FTS.B,

17.92%,

12/08/26

...

L2201870.UP.FTS.B,

17.98%,

12/08/26

...

570

561

L2202316.UP.FTS.B,

18.78%,

12/08/26

...

579

L2171699.UP.FTS.B,

19.26%,

12/08/26

...

1,692

1,661

FW2201480.UP.FTS.B,

19.28%,

12/08/26

.

1,363

1,345

L2201833.UP.FTS.B,

19.78%,

12/08/26

...

972

957

L2203346.UP.FTS.B,

19.86%,

12/08/26

...

1,257

1,241

L2200528.UP.FTS.B,

20.47%,

12/08/26

...

694

683

L2201790.UP.FTS.B,

20.6%,

12/08/26

....

557

548

L2203266.UP.FTS.B,

21.37%,

12/08/26

...

1,058

1,039

L2203685.UP.FTS.B,

21.52%,

12/08/26

...

707

694

L2206634.UP.FTS.B,

21.58%,

12/08/26

...

FW2202543.UP.FTS.B,

22.46%,

12/08/26

.

L2200624.UP.FTS.B,

22.5%,

12/08/26

....

L2203293.UP.FTS.B,

22.93%,

12/08/26

...

L2203557.UP.FTS.B,

23.55%,

12/08/26

...

b

L2197277.UP.FTS.B,

23.68%,

12/08/26

...

1,999

FW2200085.UP.FTS.B,

23.88%,

12/08/26

.

L2204440.UP.FTS.B,

24.51%,

12/08/26

...

L2200752.UP.FTS.B,

24.63%,

12/08/26

...

FW2200668.UP.FTS.B,

24.66%,

12/08/26

.

1,550

1,521

L2201876.UP.FTS.B,

24.84%,

12/08/26

...

L2200418.UP.FTS.B,

24.91%,

12/08/26

...

1,407

1,384

L2204236.UP.FTS.B,

25.3%,

12/08/26

....

L2204385.UP.FTS.B,

25.38%,

12/08/26

...

L2204272.UP.FTS.B,

25.42%,

12/08/26

...

L2200539.UP.FTS.B,

25.48%,

12/08/26

...

1,183

1,162

L2202382.UP.FTS.B,

25.5%,

12/08/26

....

L2206619.UP.FTS.B,

25.63%,

12/08/26

...

1,621

1,593

#### Description

#### Principal

#### Amount

#### Value
Upstart

Network,

Inc.

(continued)

L2205529.UP.FTS.B,

25.96%,

12/08/26

...

$

1,520

$

1,493

FW2200840.UP.FTS.B,

27.39%,

12/08/26

.

1,868

1,836

FW2200263.UP.FTS.B,

28.29%,

12/08/26

.

4,301

4,227

FW2203128.UP.FTS.B,

28.72%,

12/08/26

.

FW2201641.UP.FTS.B,

29.67%,

12/08/26

.

1,887

1,855

FW2206862.UP.FTS.B,

29.87%,

12/08/26

.

FW2202866.UP.FTS.B,

30.6%,

12/08/26

..

FW2203290.UP.FTS.B,

31.07%,

12/08/26

.

FW2205002.UP.FTS.B,

31.08%,

12/08/26

.

744

731

FW2200524.UP.FTS.B,

31.14%,

12/08/26

.

784

770

FW2199311.UP.FTS.B,

31.18%,

12/08/26

.

FW2199186.UP.FTS.B,

25.95%,

12/09/26

.

FW2200076.UP.FTS.B,

28.24%,

12/13/26

.

11,318

11,117

L2202911.UP.FTS.B,

21.13%,

12/14/26

...

1,255

1,234

FW2203667.UP.FTS.B,

23.01%,

12/14/26

.

3,066

3,012

L2196899.UP.FTS.B,

24.65%,

12/15/26

...

1,241

1,219

FW2199126.UP.FTS.B,

31.54%,

12/15/26

.

1,480

1,456

L2200110.UP.FTS.B,

25.93%,

12/16/26

...

1,768

1,446

L2203117.UP.FTS.B,

13.79%,

12/17/26

...

1,519

1,495

b

L2201499.UP.FTS.B,

21.34%,

12/17/26

...

3,493

FW2205704.UP.FTS.B,

28.05%,

12/18/26

.

1,127

1,108

L2206448.UP.FTS.B,

16%,

12/19/26

.....

1,778

1,752

L2196775.UP.FTS.B,

22.04%,

12/19/26

...

b

FW2197646.UP.FTS.B,

16.34%,

1/01/27

..

2,680

L2411009.UP.FTS.B,

5.26%,

1/11/27

.....

5,848

5,726

L2402399.UP.FTS.B,

6.09%,

1/11/27

.....

4,602

4,507

L2413519.UP.FTS.B,

6.19%,

1/11/27

.....

3,805

3,730

FW2406810.UP.FTS.B,

7.3%,

1/11/27

....

761

748

L2408660.UP.FTS.B,

7.61%,

1/11/27

.....

1,208

1,186

L2412785.UP.FTS.B,

7.81%,

1/11/27

.....

L2413727.UP.FTS.B,

8.61%,

1/11/27

.....

871

L2407187.UP.FTS.B,

8.85%,

1/11/27

.....

891

875

FW2411415.UP.FTS.B,

9.04%,

1/11/27

...

1,113

1,094

L2410685.UP.FTS.B,

9.48%,

1/11/27

.....

1,914

1,249

FW2406985.UP.FTS.B,

9.83%,

1/11/27

...

547

537

L2411458.UP.FTS.B,

10.12%,

1/11/27

....

L2413945.UP.FTS.B,

10.53%,

1/11/27

....

4,069

4,005

L2413044.UP.FTS.B,

11.78%,

1/11/27

....

1,565

1,540

L2412100.UP.FTS.B,

13.07%,

1/11/27

....

1,274

1,254

L2411596.UP.FTS.B,

13.42%,

1/11/27

....

969

954

FW2412839.UP.FTS.B,

13.8%,

1/11/27

...

2,141

2,107

FW2407206.UP.FTS.B,

13.82%,

1/11/27

..

1,178

1,160

L2409821.UP.FTS.B,

14.42%,

1/11/27

....

1,073

1,056

L2410324.UP.FTS.B,

14.46%,

1/11/27

....

3,988

3,925

L2408774.UP.FTS.B,

14.55%,

1/11/27

....

796

787

L2408843.UP.FTS.B,

14.84%,

1/11/27

....

L2406986.UP.FTS.B,

16.62%,

1/11/27

....

1,033

1,020

L2412621.UP.FTS.B,

16.62%,

1/11/27

....

826

816

FW2411635.UP.FTS.B,

17.05%,

1/11/27

..

1,061

1,044

L2411840.UP.FTS.B,

17.48%,

1/11/27

....

6,377

4,384

L2406982.UP.FTS.B,

17.53%,

1/11/27

....

2,170

1,501

FW2411466.UP.FTS.B,

17.75%,

1/11/27

..

L2407285.UP.FTS.B,

17.96%,

1/11/27

....

1,233

L2410765.UP.FTS.B,

18.19%,

1/11/27

....

1,512

1,493

L2412345.UP.FTS.B,

18.51%,

1/11/27

....

628

618

FW2406958.UP.FTS.B,

18.83%,

1/11/27

..

L2407160.UP.FTS.B,

18.83%,

1/11/27

....

3,753

3,708

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

#### Description

#### Principal

#### Amount

#### Value

#### Marketplace

#### Loans
(continued)

Upstart

Network,

Inc.

(continued)

L2412374.UP.FTS.B,

19.25%,

1/11/27

....

$

2,657

$

2,610

FW2410395.UP.FTS.B,

20.34%,

1/11/27

..

1,100

1,083

FW2412890.UP.FTS.B,

20.68%,

1/11/27

..

2,300

2,260

L2407644.UP.FTS.B,

21.08%,

1/11/27

....

890

875

L2410907.UP.FTS.B,

21.6%,

1/11/27

.....

808

794

L2410622.UP.FTS.B,

23.11%,

1/11/27

....

1,105

1,087

FW2412083.UP.FTS.B,

23.34%,

1/11/27

..

1,061

1,043

FW2412786.UP.FTS.B,

24.26%,

1/11/27

..

1,744

1,715

FW2407461.UP.FTS.B,

25.01%,

1/11/27

..

1,187

1,167

L2407824.UP.FTS.B,

25.08%,

1/11/27

....

975

958

L2406959.UP.FTS.B,

25.22%,

1/11/27

....

L2413560.UP.FTS.B,

25.29%,

1/11/27

....

871

856

b

FW2411982.UP.FTS.B,

25.34%,

1/11/27

..

1,780

b

L2411780.UP.FTS.B,

25.37%,

1/11/27

....

L2409900.UP.FTS.B,

25.4%,

1/11/27

.....

L2411491.UP.FTS.B,

25.4%,

1/11/27

.....

L2411973.UP.FTS.B,

25.47%,

1/11/27

....

FW2412928.UP.FTS.B,

25.61%,

1/11/27

..

FW2411046.UP.FTS.B,

26.47%,

1/11/27

..

2,397

1,690

b

L2409231.UP.FTS.B,

26.66%,

1/11/27

....

1,381

FW2406988.UP.FTS.B,

27.86%,

1/11/27

..

1,241

1,220

FW2410159.UP.FTS.B,

27.94%,

1/11/27

..

1,008

991

FW2411293.UP.FTS.B,

29.42%,

1/11/27

..

FW2407567.UP.FTS.B,

29.43%,

1/11/27

..

1,132

809

FW2408568.UP.FTS.B,

29.5%,

1/11/27

...

1,141

1,123

FW2412942.UP.FTS.B,

30.18%,

1/11/27

..

1,061

1,044

FW2413390.UP.FTS.B,

30.33%,

1/11/27

..

1,054

1,037

FW2413147.UP.FTS.B,

30.55%,

1/11/27

..

1,318

896

FW2412502.UP.FTS.B,

30.76%,

1/11/27

..

3,873

3,811

FW2411299.UP.FTS.B,

30.92%,

1/11/27

..

FW2392367.UP.FTS.B,

30.94%,

1/11/27

..

537

528

FW2411010.UP.FTS.B,

31.02%,

1/11/27

..

1,172

1,153

FW2407947.UP.FTS.B,

31.05%,

1/11/27

..

963

707

FW2411738.UP.FTS.B,

31.08%,

1/11/27

..

FW2410751.UP.FTS.B,

34.47%,

1/11/27

..

1,335

1,322

L2414801.UP.FTS.B,

6.11%,

1/12/27

.....

1,851

1,813

L2419361.UP.FTS.B,

6.41%,

1/12/27

....

L2402757.UP.FTS.B,

6.51%,

1/12/27

....

1,055

1,035

L2416784.UP.FTS.B,

6.53%,

1/12/27

....

L2418799.UP.FTS.B,

6.56%,

1/12/27

....

2,073

2,030

FW2414856.UP.FTS.B,

6.64%,

1/12/27

...

L2416695.UP.FTS.B,

6.86%,

1/12/27

....

777

761

L2414595.UP.FTS.B,

7.05%,

1/12/27

....

1,299

1,275

L2410292.UP.FTS.B,

7.3%,

1/12/27

.....

642

631

L2417990.UP.FTS.B,

7.34%,

1/12/27

....

8,704

8,549

L2417199.UP.FTS.B,

7.43%,

1/12/27

....

6,731

6,618

FW2419541.UP.FTS.B,

7.5%,

1/12/27

....

2,300

2,261

L2414153.UP.FTS.B,

7.51%,

1/12/27

....

L2417691.UP.FTS.B,

7.69%,

1/12/27

....

3,918

3,838

L2418009.UP.FTS.B,

9.08%,

1/12/27

....

2,159

2,121

L2414926.UP.FTS.B,

9.43%,

1/12/27

....

5,739

5,636

L2413887.UP.FTS.B,

9.49%,

1/12/27

....

1,090

1,073

FW2415990.UP.FTS.B,

9.9%,

1/12/27

....

6,212

4,193

L2414275.UP.FTS.B,

9.91%,

1/12/27

....

6,394

6,286

L2417012.UP.FTS.B,

10.17%,

1/12/27

....

FW2417548.UP.FTS.B,

10.24%,

1/12/27

..

2,759

2,710

FW2417403.UP.FTS.B,

10.31%,

1/12/27

..

1,292

1,272

#### Description

#### Principal

#### Amount

#### Value
Upstart

Network,

Inc.

(continued)

L2414718.UP.FTS.B,

10.85%,

1/12/27

....

$

744

$

732

L2414779.UP.FTS.B,

11.77%,

1/12/27

....

757

746

L2419353.UP.FTS.B,

12.95%,

1/12/27

....

6,312

6,215

L2414553.UP.FTS.B,

14.38%,

1/12/27

....

4,409

2,994

L2418960.UP.FTS.B,

15.54%,

1/12/27

....

4,052

4,005

L2414253.UP.FTS.B,

16.15%,

1/12/27

....

1,650

1,630

L2414473.UP.FTS.B,

16.4%,

1/12/27

....

L2420474.UP.FTS.B,

16.75%,

1/12/27

....

3,126

3,079

L2417581.UP.FTS.B,

17.27%,

1/12/27

....

919

909

FW2415024.UP.FTS.B,

19.94%,

1/12/27

..

1,903

1,872

L2418100.UP.FTS.B,

20.74%,

1/12/27

....

4,011

3,951

L2389418.UP.FTS.B,

22.12%,

1/12/27

....

1,658

564

FW2416362.UP.FTS.B,

23.42%,

1/12/27

..

989

973

L2409743.UP.FTS.B,

23.49%,

1/12/27

....

3,098

1,993

L2415306.UP.FTS.B,

24.21%,

1/12/27

....

2,529

2,488

L2411740.UP.FTS.B,

25.36%,

1/12/27

....

L2414777.UP.FTS.B,

25.43%,

1/12/27

....

L2418684.UP.FTS.B,

25.49%,

1/12/27

....

722

710

FW2418174.UP.FTS.B,

25.89%,

1/12/27

..

2,280

2,244

FW2419574.UP.FTS.B,

26.43%,

1/12/27

..

4,267

4,198

b

FW2418008.UP.FTS.B,

28.88%,

1/12/27

..

555

FW2418392.UP.FTS.B,

30.87%,

1/12/27

..

523

515

FW2416140.UP.FTS.B,

30.99%,

1/12/27

..

572

563

FW2419527.UP.FTS.B,

33.12%,

1/12/27

..

L2418737.UP.FTS.B,

5.93%,

1/16/27

....

678

664

L2410494.UP.FTS.B,

17.56%,

1/16/27

....

4,230

4,178

L2413379.UP.FTS.B,

24.03%,

1/18/27

....

4,723

4,644

FW2415348.UP.FTS.B,

30.45%,

1/19/27

..

5,146

5,063

L2419563.UP.FTS.B,

14.64%,

1/27/27

....

5,683

5,596

L2417088.UP.FTS.B,

15.78%,

2/12/27

....

1,756

1,736

L1708544.UP.FTS.B,

12.57%,

2/14/27

....

761

749

FW1708581.UP.FTS.B,

23.53%,

2/14/27

..

876

863

L1709217.UP.FTS.B,

25.78%,

2/14/27

....

8,173

6,384

L2632551.UP.FTS.B,

5.37%,

2/15/27

....

2,228

2,179

L2632779.UP.FTS.B,

5.63%,

2/15/27

....

1,305

1,276

L2630774.UP.FTS.B,

8.69%,

2/15/27

....

791

773

L2635638.UP.FTS.B,

9.41%,

2/15/27

....

1,297

1,276

FW2633029.UP.FTS.B,

9.57%,

2/15/27

...

FW2635247.UP.FTS.B,

10.37%,

2/15/27

..

1,712

1,684

L2633836.UP.FTS.B,

12%,

2/15/27

......

2,281

2,244

L2630147.UP.FTS.B,

12.15%,

2/15/27

....

8,435

8,302

L2635861.UP.FTS.B,

12.41%,

2/15/27

....

1,796

1,768

L2637042.UP.FTS.B,

13.14%,

2/15/27

....

1,715

1,688

L2631332.UP.FTS.B,

13.22%,

2/15/27

....

1,073

1,056

FW2633237.UP.FTS.B,

13.24%,

2/15/27

..

762

750

b

L2632724.UP.FTS.B,

14.48%,

2/15/27

....

1,485

L2637603.UP.FTS.B,

14.83%,

2/15/27

....

1,402

1,380

FW2631558.UP.FTS.B,

15.18%,

2/15/27

..

3,327

3,275

L2635221.UP.FTS.B,

15.45%,

2/15/27

....

1,285

1,266

FW2631951.UP.FTS.B,

15.91%,

2/15/27

..

2,252

1,721

L2635424.UP.FTS.B,

16.37%,

2/15/27

....

9,059

8,958

FW2635945.UP.FTS.B,

17.32%,

2/15/27

..

1,265

1,246

FW2635531.UP.FTS.B,

18.53%,

2/15/27

..

2,769

2,738

L2633648.UP.FTS.B,

20.29%,

2/15/27

....

2,347

2,320

L2632212.UP.FTS.B,

21.09%,

2/15/27

....

950

936

FW2631142.UP.FTS.B,

21.84%,

2/15/27

..

744

732

L2636740.UP.FTS.B,

22.15%,

2/15/27

....

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Description

#### Principal

#### Amount

#### Value

#### Marketplace

#### Loans
(continued)

Upstart

Network,

Inc.

(continued)

L2633500.UP.FTS.B,

22.28%,

2/15/27

....

$

1,281

$

1,261

L2629665.UP.FTS.B,

24.47%,

2/15/27

....

1,972

1,548

L2634268.UP.FTS.B,

25.05%,

2/15/27

....

584

575

L2632154.UP.FTS.B,

25.31%,

2/15/27

....

6,139

6,047

L2631893.UP.FTS.B,

25.41%,

2/15/27

....

892

879

L2634591.UP.FTS.B,

25.45%,

2/15/27

....

FW2631141.UP.FTS.B,

25.72%,

2/15/27

..

3,470

3,418

L2634677.UP.FTS.B,

25.78%,

2/15/27

....

1,053

1,037

L2636195.UP.FTS.B,

25.92%,

2/15/27

....

3,952

3,893

L2635199.UP.FTS.B,

26.23%,

2/15/27

....

1,667

1,642

FW2634760.UP.FTS.B,

26.38%,

2/15/27

..

1,564

1,540

FW2637086.UP.FTS.B,

26.68%,

2/15/27

..

880

866

FW2632183.UP.FTS.B,

27.72%,

2/15/27

..

1,916

1,888

FW2629864.UP.FTS.B,

30.9%,

2/15/27

...

732

576

FW2631968.UP.FTS.B,

30.98%,

2/15/27

..

802

790

FW2633604.UP.FTS.B,

31.13%,

2/15/27

..

751

740

L2641249.UP.FTS.B,

9.09%,

2/16/27

....

2,927

2,873

FW2640044.UP.FTS.B,

9.77%,

2/16/27

...

1,117

1,097

L2628258.UP.FTS.B,

10.4%,

2/16/27

....

3,320

3,268

L2639939.UP.FTS.B,

10.73%,

2/16/27

....

2,943

2,897

L2640107.UP.FTS.B,

11.57%,

2/16/27

....

2,229

2,195

L2642580.UP.FTS.B,

11.66%,

2/16/27

....

730

719

L2642829.UP.FTS.B,

11.96%,

2/16/27

....

4,489

4,420

L2637999.UP.FTS.B,

12.45%,

2/16/27

....

2,367

2,331

L2639543.UP.FTS.B,

14.06%,

2/16/27

....

2,178

2,145

L2637807.UP.FTS.B,

14.59%,

2/16/27

....

3,183

3,135

L2643572.UP.FTS.B,

14.72%,

2/16/27

....

FW2640160.UP.FTS.B,

14.88%,

2/16/27

..

5,079

5,001

FW2643607.UP.FTS.B,

16.31%,

2/16/27

..

11,304

11,183

FW2638305.UP.FTS.B,

16.48%,

2/16/27

..

2,484

2,457

L2639711.UP.FTS.B,

16.7%,

2/16/27

.....

L2641429.UP.FTS.B,

17.81%,

2/16/27

....

3,015

2,983

L2638277.UP.FTS.B,

18.32%,

2/16/27

....

1,177

1,164

FW2640938.UP.FTS.B,

20.16%,

2/16/27

..

2,637

2,597

L2643431.UP.FTS.B,

20.38%,

2/16/27

....

4,039

3,098

FW2639130.UP.FTS.B,

21.01%,

2/16/27

..

977

963

L2631819.UP.FTS.B,

22.11%,

2/16/27

....

4,432

4,365

L2637903.UP.FTS.B,

22.13%,

2/16/27

....

2,857

2,817

FW2643737.UP.FTS.B,

23.79%,

2/16/27

..

4,481

1,528

L2644184.UP.FTS.B,

24.14%,

2/16/27

....

2,556

2,530

L2638887.UP.FTS.B,

24.84%,

2/16/27

....

519

511

L2642235.UP.FTS.B,

24.97%,

2/16/27

....

L2644251.UP.FTS.B,

25.49%,

2/16/27

....

L2643938.UP.FTS.B,

25.5%,

2/16/27

....

L2638678.UP.FTS.B,

25.84%,

2/16/27

....

1,770

1,744

FW2638017.UP.FTS.B,

27.09%,

2/16/27

..

2,306

2,274

FW2636711.UP.FTS.B,

27.4%,

2/16/27

...

2,704

2,666

FW2644630.UP.FTS.B,

28.55%,

2/16/27

..

2,916

2,876

FW2639696.UP.FTS.B,

30.14%,

2/16/27

..

FW2639361.UP.FTS.B,

31.17%,

2/16/27

..

FW2638060.UP.FTS.B,

31.21%,

2/16/27

..

742

732

FW2645630.UP.FTS.B,

12.87%,

2/17/27

..

1,906

1,879

L2644980.UP.FTS.B,

12.95%,

2/17/27

....

FW2645588.UP.FTS.B,

15.61%,

2/17/27

..

875

750

b

L2645010.UP.FTS.B,

20.52%,

2/17/27

....

3,456

592

FW2642053.UP.FTS.B,

21.61%,

2/17/27

..

1,026

1,011

L2645131.UP.FTS.B,

25.45%,

2/17/27

....

#### Description

#### Principal

#### Amount

#### Value
Upstart

Network,

Inc.

(continued)

FW2645571.UP.FTS.B,

26.48%,

2/17/27

..

$

1,063

$

1,049

FW2645842.UP.FTS.B,

30.86%,

2/17/27

..

773

762

FW2639867.UP.FTS.B,

26.3%,

2/19/27

...

558

550

L2633374.UP.FTS.B,

7.21%,

2/22/27

....

3,665

3,583

FW2636201.UP.FTS.B,

12.12%,

2/28/27

..

1,483

1,459

FW2645675.UP.FTS.B,

15.8%,

2/28/27

...

6,143

6,080

L2643974.UP.FTS.B,

25.5%,

2/28/27

....

963

950

FW2644598.UP.FTS.B,

29.38%,

3/01/27

..

3,239

3,194

L1874284.UP.FTS.B,

13.39%,

3/18/27

....

1,599

1,575

L1874238.UP.FTS.B,

17.32%,

3/18/27

....

1,703

1,302

b

L1873877.UP.FTS.B,

25.05%,

3/18/27

....

2,038

FW1873866.UP.FTS.B,

28.25%,

3/18/27

..

b

FW1872975.UP.FTS.B,

32.03%,

3/18/27

..

1,693

L1874548.UP.FTS.B,

26.04%,

3/26/27

....

2,004

1,978

b

L1873528.UP.FTS.B,

25.71%,

3/28/27

....

3,114

FW2204427.UP.FTS.B,

30.34%,

4/08/27

..

2,842

1,832

L1947969.UP.FTS.B,

8.25%,

4/09/27

....

695

L2004674.UP.FTS.B,

22.44%,

4/09/27

....

3,420

3,365

L2006933.UP.FTS.B,

23.7%,

4/09/27

....

1,801

1,771

L2006560.UP.FTS.B,

24.67%,

4/09/27

....

2,395

2,354

L2004971.UP.FTS.B,

25.6%,

4/09/27

....

2,937

2,882

FW2007255.UP.FTS.B,

28.65%,

4/09/27

..

1,565

1,539

FW2009107.UP.FTS.B,

29.81%,

4/09/27

..

1,191

1,170

FW2008461.UP.FTS.B,

31.23%,

4/09/27

..

L2079526.UP.FTS.B,

17.98%,

4/19/27

....

1,024

771

L2078541.UP.FTS.B,

18.53%,

4/19/27

....

891

878

L2076557.UP.FTS.B,

21.86%,

4/19/27

....

7,337

7,248

L2078089.UP.FTS.B,

22.76%,

4/19/27

....

6,295

6,211

FW2077484.UP.FTS.B,

23.29%,

4/19/27

..

6,043

1,915

FW2076494.UP.FTS.B,

27.89%,

4/19/27

..

1,461

1,444

L2005313.UP.FTS.B,

17.04%,

4/20/27

....

11,268

11,132

FW2009466.UP.FTS.B,

29.96%,

4/24/27

..

L2412142.UP.FTS.B,

8.74%,

4/26/27

....

4,937

4,838

L2196542.UP.FTS.B,

14.21%,

5/07/27

....

2,903

1,711

FW2198673.UP.FTS.B,

15.71%,

5/07/27

..

7,453

4,443

L2197891.UP.FTS.B,

23.8%,

5/07/27

....

940

923

FW2198564.UP.FTS.B,

27.96%,

5/07/27

..

1,776

1,111

FW2197220.UP.FTS.B,

29.81%,

5/07/27

..

932

916

b

L2203856.UP.FTS.B,

13.82%,

5/08/27

....

12,256

883

b

L2205436.UP.FTS.B,

16.02%,

5/08/27

....

13,386

2,061

L2201272.UP.FTS.B,

16.5%,

5/08/27

....

1,407

1,381

L2205691.UP.FTS.B,

16.93%,

5/08/27

....

9,261

670

L2203740.UP.FTS.B,

19.62%,

5/08/27

....

710

698

b

FW2202220.UP.FTS.B,

20.45%,

5/08/27

..

10,488

824

L2204624.UP.FTS.B,

23.54%,

5/08/27

....

8,815

5,509

L2204118.UP.FTS.B,

23.56%,

5/08/27

....

6,251

6,140

FW2202542.UP.FTS.B,

24.64%,

5/08/27

..

1,665

1,638

L2203217.UP.FTS.B,

25.16%,

5/08/27

....

FW2201944.UP.FTS.B,

25.52%,

5/08/27

..

2,347

1,433

L2195192.UP.FTS.B,

17.22%,

5/15/27

....

1,129

1,115

b

L2197038.UP.FTS.B,

12.26%,

5/16/27

....

1,395

FW2198942.UP.FTS.B,

24.77%,

5/18/27

..

6,397

4,819

FW2645832.UP.FTS.B,

18.88%,

5/21/27

..

5,156

5,103

L2194879.UP.FTS.B,

17.51%,

5/22/27

....

5,980

5,906

L2195912.UP.FTS.B,

25.21%,

5/22/27

....

2,414

2,368

FW2195399.UP.FTS.B,

29.81%,

5/22/27

..

1,048

1,032

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

#### Description

#### Principal

#### Amount

#### Value

#### Marketplace

#### Loans
(continued)

Upstart

Network,

Inc.

(continued)

L2203741.UP.FTS.B,

7.33%,

5/23/27

....

$

4,128

$

4,043

FW2199867.UP.FTS.B,

13.82%,

5/23/27

..

5,400

5,307

L2203381.UP.FTS.B,

18.04%,

5/23/27

....

1,994

1,969

L2204897.UP.FTS.B,

23.87%,

5/23/27

....

11,416

8,380

L2206744.UP.FTS.B,

13.51%,

5/28/27

....

7,052

6,933

FW2185665.UP.FTS.B,

20.17%,

6/08/27

..

2,760

L2412468.UP.FTS.B,

7.67%,

6/11/27

.....

13,688

7,649

L2412874.UP.FTS.B,

8.03%,

6/11/27

.....

1,994

580

L2412901.UP.FTS.B,

8.44%,

6/11/27

.....

4,199

2,370

L2408318.UP.FTS.B,

10.27%,

6/11/27

....

1,184

1,162

L2413229.UP.FTS.B,

11.26%,

6/11/27

....

7,138

7,009

FW2407472.UP.FTS.B,

18.08%,

6/11/27

..

9,110

8,951

b

L2413373.UP.FTS.B,

23.72%,

6/11/27

....

16,202

1,174

FW2409812.UP.FTS.B,

24.81%,

6/11/27

..

1,188

1,168

FW2411228.UP.FTS.B,

26.37%,

6/11/27

..

1,770

1,744

FW2413018.UP.FTS.B,

30.69%,

6/11/27

..

b

L2415490.UP.FTS.B,

12.71%,

6/12/27

....

6,033

b

L2418697.UP.FTS.B,

22.86%,

6/12/27

....

1,820

L2416737.UP.FTS.B,

23.4%,

6/12/27

....

750

511

FW2418092.UP.FTS.B,

30.98%,

6/12/27

..

582

573

FW2411936.UP.FTS.B,

13.61%,

6/26/27

..

2,237

2,197

b

L2198053.UP.FTS.B,

20.47%,

7/08/27

....

1,817

FW1711888.UP.FTS.B,

15.29%,

7/14/27

..

2,103

2,079

L2637476.UP.FTS.B,

21.48%,

7/15/27

....

4,389

L2633167.UP.FTS.B,

24.54%,

7/15/27

....

2,466

2,429

FW2634310.UP.FTS.B,

27.59%,

7/15/27

..

3,560

2,592

FW2634423.UP.FTS.B,

28.99%,

7/15/27

..

10,120

9,985

FW2637881.UP.FTS.B,

14.54%,

7/16/27

..

1,860

1,826

L2639355.UP.FTS.B,

21.49%,

7/16/27

....

1,351

1,331

FW2639691.UP.FTS.B,

23.69%,

7/16/27

..

6,238

6,135

L2645113.UP.FTS.B,

10.21%,

7/17/27

....

2,420

2,376

FW2645472.UP.FTS.B,

26.31%,

7/17/27

..

6,533

6,440

FW2632915.UP.FTS.B,

24.46%,

7/20/27

..

5,573

5,481

FW2644628.UP.FTS.B,

30.88%,

7/24/27

..

690

682

L2642277.UP.FTS.B,

22.82%,

7/28/27

....

2,706

2,666

L2407955.UP.FTS.B,

27%,

8/11/27

......

2,542

L2009631.UP.FTS.B,

16.91%,

9/09/27

....

2,838

2,803

FW2007802.UP.FTS.B,

23.93%,

9/09/27

..

13,669

13,378

L2004302.UP.FTS.B,

21.93%,

9/24/27

....

1,023

1,004

FW2005949.UP.FTS.B,

25.57%,

9/24/27

..

2,979

2,925

FW2192438.UP.FTS.B,

23.66%,

10/07/27

.

3,578

3,509

L2202159.UP.FTS.B,

13.54%,

10/08/27

...

8,409

8,213

L2203340.UP.FTS.B,

21.11%,

10/08/27

...

882

L2206615.UP.FTS.B,

25.87%,

10/08/27

...

8,166

4,428

b

FW2202975.UP.FTS.B,

30.2%,

10/08/27

..

2,397

L2641861.UP.FTS.B,

16.53%,

10/17/27

...

4,451

L2200600.UP.FTS.B,

11.71%,

10/23/27

...

1,677

1,156

L2201626.UP.FTS.B,

25.65%,

11/08/27

...

1,425

FW2410081.UP.FTS.B,

8.78%,

11/11/27

..

2,977

FW2415964.UP.FTS.B,

31.16%,

11/12/27

.

FW2410499.UP.FTS.B,

31.67%,

11/16/27

.

753

741

b

L2645397.UP.FTS.B,

26.19%,

11/19/27

...

1,295

FW2406392.UP.FTS.B,

23.41%,

12/11/27

.

3,126

L2644100.UP.FTS.B,

5.16%,

12/16/27

....

987

967

FW2643411.UP.FTS.B,

29.58%,

12/16/27

.

2,727

2,686

L1710242.UP.FTS.B,

16.42%,

9/14/28

....

1,399

1,377

#### Description

#### Principal

#### Amount

#### Value
Upstart

Network,

Inc.

(continued)

L1973640.UP.FTS.B,

20.1%,

11/09/28

....

$

5,691

$

L2009558.UP.FTS.B,

26.34%,

11/09/28

...

9,332

9,288

L2195991.UP.FTS.B,

26.01%,

12/07/28

...

5,404

5,389

L2204377.UP.FTS.B,

25.94%,

12/08/28

...

2,614

2,582

L2635238.UP.FTS.B,

13.81%,

2/15/29

....

7,786

7,735

L2631621.UP.FTS.B,

15.64%,

2/15/29

....

11,526

11,331

L2633434.UP.FTS.B,

17.36%,

2/15/29

....

2,529

2,517

L2413593.UP.FTS.B,

23.06%,

4/11/29

....

4,860

1,017,861

#### Total

#### Marketplace

#### Loans

#### (Cost

#### $9,189,510

####)
.......................

#### $2,232,026
a

The

rate

shown

represents

the

yield

at

period

end.

b

Defaulted

security

or

security

for

which

income

has

been

deemed

uncollectible.

See

Note

6. Franklin

Strategic

Series

Schedule

of

Investments,

April

30,

2026

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

At

April

30,

2026

,

the

Fund

had

the

following futures

contracts

outstanding.

See

Note

(d).

At

April

30,

2026

,

the

Fund

had

the

following

forward

exchange

contracts

outstanding.

See

Note

(d).

At

April

30,

2026

,

the

Fund

had

the

following credit

default

swap

contracts outstanding.

See

Note

1(d)

.

#### Futures

#### Contracts

#### Description

#### Type

#### Number

#### of

#### Contracts

#### Notional

#### Amount

#### \*

#### Expiration

#### Date

#### Value/

#### Unrealized

#### Appreciation
(Depreciation)

#### Interest

#### rate

#### contracts
Euro-Bobl

..................................

Short

$

3,522,945

6/08/26

$

49,656

Euro-Bund

.................................

Short

4,119,605

6/08/26

82,185

U.S.

Treasury

Year

Notes

....................

Short

40,477,312

6/18/26

518,655

U.S.

Treasury

Year

Ultra

Notes

................

Long

23,249,031

6/18/26

(193,405)

U.S.

Treasury

Year

Notes

.....................

Long

65,037,250

6/30/26

(108,202)

U.S.

Treasury

Year

Notes

.....................

Long

23,076,891

6/30/26

(93,910)

U.S.

Treasury

Long

Bonds

.....................

Long

791

89,259,406

6/18/26

(2,858,180)

U.S.

Treasury

Ultra

Bonds

......................

Long

31,748,625

6/18/26

(1,175,415)

Total

Futures

Contracts

......................................................................

$(3,778,616)

\*

As

of

period

end.

#### Forward

#### Exchange

#### Contracts

#### Currency

#### Counter-

#### party

#### a

#### Type

#### Quantity

#### Contract

#### Amount

#### \*

#### Settlement

#### Date

#### Unrealized

#### Appreciation

#### Unrealized

#### Depreciation

#### a

#### OTC

#### Forward

#### Exchange

#### Contracts
Euro

.............

JPHQ

Sell

3,974,000

4,614,963

5/26/26

$

—

$

(54,085)

Euro

.............

JPHQ

Sell

2,600,000

3,085,770

6/22/26

27,212

—

Euro

.............

JPHQ

Buy

846,000

996,657

7/13/26

—

(553)

Euro

.............

JPHQ

Sell

2,381,000

2,805,012

7/13/26

1,556

—

Total

Forward

Exchange

Contracts

...................................................

$28,768

$(54,638)

Net

unrealized

appreciation

(depreciation)

............................................

$(25,870)

\*

In

U.S.

dollars

unless

otherwise

indicated.

a

May

be

comprised

of

multiple

contracts

with

the

same

counterparty,

currency

and

settlement

date.

#### Credit

#### Default

#### Swap

#### Contracts

#### Description

#### Periodic

#### Payment

#### Rate

#### Received
(Paid)

#### Payment

#### Frequency

#### Counter-

#### party

#### Maturity

#### Date

#### Notional

#### Amount

#### a

#### Value

#### Upfront

#### Payments
(Receipts)

#### Unrealized

#### Appreciation
(Depreciation)

#### Rating

#### b

#### Centrally

#### Cleared

#### Swap

#### Contracts

#### to

#### Buy

#### Protection

#### c

#### Traded

#### Index
iTraxx

Europe

Main

....

(1.00)%

Quarterly

6/20/31

69,880,000

EUR

$

(1,683,607)

$

(990,819)

$

(692,788)

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

See

Note 9 regarding

other

derivative

information.

See

Abbreviations

on

page

158. #### Credit

#### Default

#### Swap

#### Contracts
(continued)

#### Description

#### Periodic

#### Payment

#### Rate

#### Received
(Paid)

#### Payment

#### Frequency

#### Counter-

#### party

#### Maturity

#### Date

#### Notional

#### Amount

#### a

#### Value

#### Upfront

#### Payments
(Receipts)

#### Unrealized

#### Appreciation
(Depreciation)

#### Rating

#### b

#### Centrally

#### Cleared

#### Swap

#### Contracts
(continued)

#### to

#### Sell

#### Protection

#### c,d

#### Traded

#### Index
CDX.NA.HY.45

.

5.00%

Quarterly

12/20/30

10,230,000

$

797,704

$

732,056

$

65,648

Non-

Investment

Grade

CDX.NA.HY.46

.

5.00%

Quarterly

6/20/31

18,400,000

1,418,605

951,748

466,857

Non-

Investment

Grade

CDX.NA.IG.46

..

1.00%

Quarterly

6/20/31

80,470,000

1,784,139

1,232,845

551,294

Investment

Grade

Total

Centrally

Cleared

Swap

Contracts

.....................................

$2,316,841

$1,925,830

$391,011

#### OTC

#### Swap

#### Contracts

#### to

#### Buy

#### Protection

#### c

#### Traded

#### Index
CDX.NA.HY.45

.

(5.00)%

Quarterly

CITI

12/20/30

9,300,000

(1,414,531)

(1,291,228)

(123,303)

Total

OTC

Swap

Contracts

..............................................

$(1,414,531)

$(1,291,228)

$(123,303)

Total

Credit

Default

Swap

Contracts

....................................

$902,310

$

634,602

$267,708

a

In

U.S.

dollars

unless

otherwise

indicated.

For

contracts

to

sell

protection,

the

notional

amount

is

equal

to

the

maximum

potential

amount

of

the

future

payments

and

no

recourse

provisions

have

been

entered

into

in

association

with

the

contracts.

b

Based

on

Standard

and

Poor's

(S&P)

Rating

for

single

name

swaps

and

internal

ratings

for

index

swaps.

Internal

ratings

based

on

mapping

into

equivalent

ratings

from

external

vendors.

c

Performance

triggers

for

settlement

of

contract

include

default,

bankruptcy

or

restructuring

for

single

name

swaps,

and

failure

to

pay

or

bankruptcy

of

the

underlying

securities

for

traded

index

swaps.

d

The

fund

enters

contracts

to

sell

protection

to

create

a

long

credit

position.

Franklin

Strategic

Series

Financial

Highlights

#### Franklin

#### Growth

#### Opportunities

#### Fund
franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

#### Year

#### Ended

#### April

#### 30,

#### 2026

#### 2025

#### 2024

#### 2023

#### 2022

#### Class

#### A

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$44.86

$45.99

$39.15

$43.14

$56.25

Income

from

investment

operations

a

:

Net

investment

(loss)

b

..........................

(0.25)

(0.16)

(0.20)

(0.12)

(0.28)

Net

realized

and

unrealized

gains

(losses)

...........

9.34 4.24 12.81 (2.19)

(7.76)

Total

from

investment

operations

....................

9.09 4.08 12.61 (2.31)

(8.04)

Less

distributions

from:

Net

realized

gains

.............................

(8.65)

(5.21)

(5.77)

(1.68)

(5.07)

Net

asset

value,

end

of

year

.......................

$45.30

$44.86

$45.99

$39.15

$43.14

Total

return

c

...................................

20.74%

7.85%

33.49%

(4.98)%

(16.57)%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

0.89%

0.89%

0.91%

0.95%

0.90%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

0.88%

0.89%

d

0.91%

d,e

0.94%

e

0.89%

e

Net

investment

(loss)

............................

(0.53)%

(0.32)%

(0.45)%

(0.30)%

(0.49)%

#### Supplemental

#### data
Net

assets,

end

of

year

(000's)

.....................

$3,569,378

$3,383,277

$3,453,647

$2,765,017

$3,215,834

Portfolio

turnover

rate

............................

39.14%

f

27.59%

27.49%

16.52%

f

17.20%

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

Total

return

does

not

reflect

sales

commissions

or

contingent

deferred

sales

charges,

if

applicable.

d

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

e

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

f

Excludes

the

value

of

portfolio

activity

as

a

result

of

in-kind

transactions.

See

Note

for

current

year

information.

Franklin

Strategic

Series

Financial

Highlights

#### Franklin

#### Growth

#### Opportunities

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

#### Year

#### Ended

#### April

#### 30,

#### 2026

#### 2025

#### 2024

#### 2023

#### 2022

#### Class

#### C

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$29.51

$31.99

$28.86

$32.55

$43.87

Income

from

investment

operations

a

:

Net

investment

(loss)

b

..........................

(0.39)

(0.36)

(0.38)

(0.30)

(0.54)

Net

realized

and

unrealized

gains

(losses)

...........

6.05 3.09 9.28 (1.71)

(5.71)

Total

from

investment

operations

....................

5.66 2.73 8.90 (2.01)

(6.25)

Less

distributions

from:

Net

realized

gains

.............................

(8.65)

(5.21)

(5.77)

(1.68)

(5.07)

Net

asset

value,

end

of

year

.......................

$26.52

$29.51

$31.99

$28.86

$32.55

Total

return

c

...................................

19.82%

7.03%

32.52%

(5.69)%

(17.20)%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

1.64%

1.64%

1.66%

1.70%

1.65%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

1.64%

d

1.64%

d

1.66%

d,e

1.69%

e

1.64%

e

Net

investment

(loss)

............................

(1.28)%

(1.07)%

(1.18)%

(1.05)%

(1.23)%

#### Supplemental

#### data
Net

assets,

end

of

year

(000's)

.....................

$67,999

$75,994

$87,686

$119,070

$158,895

Portfolio

turnover

rate

............................

39.14%

f

27.59%

27.49%

16.52%

f

17.20%

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

Total

return

does

not

reflect

sales

commissions

or

contingent

deferred

sales

charges,

if

applicable.

d

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

e

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

f

Excludes

the

value

of

portfolio

activity

as

a

result

of

in-kind

transactions.

See

Note

for

current

year

information.

Franklin

Strategic

Series

Financial

Highlights

#### Franklin

#### Growth

#### Opportunities

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

#### Year

#### Ended

#### April

#### 30,

#### 2026

#### 2025

#### 2024

#### 2023

#### 2022

#### Class

#### R

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$40.28

$41.85

$36.13

$40.06

$52.69

Income

from

investment

operations

a

:

Net

investment

(loss)

b

..........................

(0.33)

(0.26)

(0.29)

(0.20)

(0.39)

Net

realized

and

unrealized

gains

(losses)

...........

8.35 3.90 11.78 (2.05)

(7.17)

Total

from

investment

operations

....................

8.02 3.64 11.49 (2.25)

(7.56)

Less

distributions

from:

Net

realized

gains

.............................

(8.65)

(5.21)

(5.77)

(1.68)

(5.07)

Net

asset

value,

end

of

year

.......................

$39.65

$40.28

$41.85

$36.13

$40.06

Total

return

....................................

20.42%

7.57%

33.18%

(5.21)%

(16.79)%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

1.14%

1.14%

1.16%

1.20%

1.15%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

1.14%

c

1.14%

c

1.16%

c,d

1.19%

d

1.14%

d

Net

investment

(loss)

............................

(0.78)%

(0.57)%

(0.70)%

(0.55)%

(0.73)%

#### Supplemental

#### data
Net

assets,

end

of

year

(000's)

.....................

$25,148

$25,260

$28,933

$22,664

$27,009

Portfolio

turnover

rate

............................

39.14%

e

27.59%

27.49%

16.52%

e

17.20%

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

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

d

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

e

Excludes

the

value

of

portfolio

activity

as

a

result

of

in-kind

transactions.

See

Note

for

current

year

information.

Franklin

Strategic

Series

Financial

Highlights

#### Franklin

#### Growth

#### Opportunities

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

#### Year

#### Ended

#### April

#### 30,

#### 2026

#### 2025

#### 2024

#### 2023

#### 2022

#### Class

#### R6

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$53.48

$53.82

$44.87

$48.98

$63.06

Income

from

investment

operations

a

:

Net

investment

income

(loss)

b

....................

(0.12)

(—)

c

(0.05)

0.02 (0.10)

Net

realized

and

unrealized

gains

(losses)

...........

11.19 4.87 14.77 (2.45)

(8.91)

Total

from

investment

operations

....................

11.07 4.87 14.72 (2.43)

(9.01)

Less

distributions

from:

Net

realized

gains

.............................

(8.65)

(5.21)

(5.77)

(1.68)

(5.07)

Net

asset

value,

end

of

year

.......................

$55.90

$53.48

$53.82

$44.87

$48.98

Total

return

....................................

21.11%

8.19%

33.94%

(4.62)%

(16.32)%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

0.57%

0.57%

0.58%

0.59%

0.57%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

0.57%

d

0.57%

d

0.58%

d,e

0.58%

e

0.57%

d,e

Net

investment

income

(loss)

......................

(0.21)%

(—)%

f

(0.11)%

0.05%

(0.16)%

#### Supplemental

#### data
Net

assets,

end

of

year

(000's)

.....................

$408,527

$371,773

$375,777

$449,119

$461,475

Portfolio

turnover

rate

............................

39.14%

g

27.59%

27.49%

16.52%

g

17.20%

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

Amount

rounds

to

less

than

$0.01

per

share.

d

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

e

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

f

Rounds

to

less

than

0.01%.

g

Excludes

the

value

of

portfolio

activity

as

a

result

of

in-kind

transactions.

See

Note

for

current

year

information.

Franklin

Strategic

Series

Financial

Highlights

#### Franklin

#### Growth

#### Opportunities

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

#### Year

#### Ended

#### April

#### 30,

#### 2026

#### 2025

#### 2024

#### 2023

#### 2022

#### Advisor

#### Class

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$52.06

$52.54

$43.96

$48.07

$62.01

Income

from

investment

operations

a

:

Net

investment

(loss)

b

..........................

(0.16)

(0.04)

(0.10)

(0.02)

(0.15)

Net

realized

and

unrealized

gains

(losses)

...........

10.89 4.77 14.45 (2.41)

(8.72)

Total

from

investment

operations

....................

10.73 4.73 14.35 (2.43)

(8.87)

Less

distributions

from:

Net

realized

gains

.............................

(8.65)

(5.21)

(5.77)

(1.68)

(5.07)

Net

asset

value,

end

of

year

.......................

$54.14

$52.06

$52.54

$43.96

$48.07

Total

return

....................................

21.04%

8.12%

33.80%

(4.71)%

(16.37)%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

0.64%

0.64%

0.66%

0.69%

0.65%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

0.63%

0.64%

c

0.66%

c,d

0.68%

d

0.64%

d

Net

investment

(loss)

............................

(0.28)%

(0.08)%

(0.19)%

(0.05)%

(0.24)%

#### Supplemental

#### data
Net

assets,

end

of

year

(000's)

.....................

$323,349

$304,150

$291,914

$325,234

$636,524

Portfolio

turnover

rate

............................

39.14%

e

27.59%

27.49%

16.52%

e

17.20%

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

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

d

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

e

Excludes

the

value

of

portfolio

activity

as

a

result

of

in-kind

transactions.

See

Note

for

current

year

information.

Franklin

Strategic

Series

Schedule

of

Investments,

April

30,

2026

#### Franklin

#### Growth

#### Opportunities

#### Fund
franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks

#### 96.2%

#### Aerospace

#### &

#### Defense

#### 5.8%
a,b,c

Anduril

Industries,

Inc.

,

B

.............................

United

States

117,526

$

8,103,418

a,b,c

Anduril

Industries,

Inc.

,

C

.............................

United

States

3,792

b

Axon

Enterprise,

Inc.

.................................

United

States

80,066

32,167,316

BWX

Technologies,

Inc.

..............................

United

States

168,598

36,482,921

Curtiss-Wright

Corp.

.................................

United

States

83,386

60,054,597

Howmet

Aerospace,

Inc.

..............................

United

States

183,253

44,537,809

a,b,c

Space

Exploration

Technologies

Corp.

,

A

..................

United

States

142,857

75,227,068

256,576,921

#### Automobiles

#### 1.9%
b

Tesla,

Inc.

.........................................

United

States

223,200

85,179,816

#### Beverages

#### 0.6%
Coca-Cola

Co.

(The)

.................................

United

States

326,610

25,723,803

#### Biotechnology

#### 1.6%
b

Insmed,

Inc.

.......................................

United

States

227,635

31,033,479

b

Natera,

Inc.

........................................

United

States

193,955

39,985,763

71,019,242

#### Broadline

#### Retail

#### 5.3%
b

Amazon.com,

Inc.

...................................

United

States

873,802

231,609,958

#### Building

#### Products

#### 1.2%
Trane

Technologies

plc

...............................

United

States

110,655

54,502,014

#### Capital

#### Markets

#### 0.7%
S&P

Global,

Inc.

....................................

United

States

72,600

31,307,298

#### Chemicals

#### 0.9%
Linde

plc

..........................................

United

States

80,837

40,510,654

#### Commercial

#### Services

#### &

#### Supplies

#### 1.1%
a,b,c

Celonis

SE

........................................

Germany

4,619

416,631

a,b,c

Celonis

SE

,

D

......................................

Germany

25,571

2,306,491

a,b

Optoro,

Inc.

........................................

United

States

556,026

—

Republic

Services,

Inc.

,

A

.............................

United

States

209,953

43,926,367

46,649,489

#### Communications

#### Equipment

#### 1.7%
b

Arista

Networks,

Inc.

.................................

United

States

284,115

49,069,502

b

Ciena

Corp.

.......................................

United

States

46,431

24,496,067

73,565,569

#### Construction

#### &

#### Engineering

#### 0.5%
Comfort

Systems

USA,

Inc.

............................

United

States

12,815

23,582,804

#### Construction

#### Materials

#### 0.8%
Martin

Marietta

Materials,

Inc.

..........................

United

States

53,572

33,164,818

#### Consumer

#### Staples

#### Distribution

#### &

#### Retail

#### 2.2%
Casey's

General

Stores,

Inc.

...........................

United

States

115,652

95,083,292

#### Electric

#### Utilities

#### 0.7%
Entergy

Corp.

......................................

United

States

251,944

29,706,717

#### Electrical

#### Equipment

#### 2.3%
b

Forgent

Power

Solutions,

Inc.

,

A

........................

United

States

332,179

12,496,574

GE

Vernova,

Inc.

....................................

United

States

59,727

64,711,815

nVent

Electric

plc

...................................

United

States

158,665

22,673,229

99,881,618

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Growth

#### Opportunities

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks
(continued)

#### Electronic

#### Equipment,

#### Instruments

#### &

#### Components

#### 3.3%
Amphenol

Corp.

,

A

..................................

United

States

640,449

$

94,318,924

b

Celestica,

Inc.

......................................

Canada

70,419

28,842,918

b

Coherent

Corp.

.....................................

United

States

72,133

23,061,642

146,223,484

#### Entertainment

#### 2.1%
b

Netflix,

Inc.

........................................

United

States

757,944

70,951,138

b

ROBLOX

Corp.

,

A

...................................

United

States

402,009

22,215,017

93,166,155

#### Financial

#### Services

#### 1.5%
Mastercard,

Inc.

,

A

..................................

United

States

126,585

63,662,128

#### Ground

#### Transportation

#### 0.8%
Old

Dominion

Freight

Line,

Inc.

.........................

United

States

170,767

36,276,034

#### Health

#### Care

#### Equipment

#### &

#### Supplies

#### 0.9%
b

Dexcom,

Inc.

.......................................

United

States

359,238

21,392,623

b

Intuitive

Surgical,

Inc.

................................

United

States

41,520

18,999,967

40,392,590

#### Health

#### Care

#### Providers

#### &

#### Services

#### 1.6%
McKesson

Corp.

....................................

United

States

85,928

70,048,506

#### Hotels,

#### Restaurants

#### &

#### Leisure

#### 0.7%
b

DoorDash,

Inc.

,

A

...................................

United

States

183,223

30,900,559

#### Interactive

#### Media

#### &

#### Services

#### 11.2%
Alphabet,

Inc.

,

C

....................................

United

States

864,803

330,302,858

Meta

Platforms,

Inc.

,

A

...............................

United

States

261,427

159,969,795

490,272,653

#### IT

#### Services

#### 1.7%
a,b,c

Canva

Australia

Holdings

Pty.

Ltd.

,

A

.....................

Australia

3,094

5,093,157

a,b,c

Canva

Australia

Holdings

Pty.

Ltd.

,

B

.....................

Australia

11,829

19,472,190

b

Cloudflare,

Inc.

,

A

...................................

United

States

126,315

25,890,786

b

Shopify,

Inc.

,

A

.....................................

Canada

217,662

26,365,398

76,821,531

#### Life

#### Sciences

#### Tools

#### &

#### Services

#### 0.5%
b

Repligen

Corp.

.....................................

United

States

88,804

10,506,401

b,d

Tempus

AI,

Inc.

,

A

...................................

United

States

186,393

10,341,084

20,847,485

#### Machinery

#### 1.0%
Parker-Hannifin

Corp.

................................

United

States

47,348

43,059,218

#### Pharmaceuticals

#### 3.2%
Eli

Lilly

&

Co.

......................................

United

States

107,712

100,667,635

b

Jazz

Pharmaceuticals

plc

.............................

United

States

192,521

39,085,614

139,753,249

#### Semiconductors

#### &

#### Semiconductor

#### Equipment

#### 24.7%
b

Advanced

Micro

Devices,

Inc.

..........................

United

States

105,207

37,294,829

Analog

Devices,

Inc.

.................................

United

States

100,531

40,439,600

Broadcom,

Inc.

.....................................

United

States

510,415

213,062,534

KLA

Corp.

.........................................

United

States

17,181

30,072,763

Lam

Research

Corp.

.................................

United

States

191,021

49,256,675

b

Lattice

Semiconductor

Corp.

...........................

United

States

437,397

53,484,905

b

MACOM

Technology

Solutions

Holdings,

Inc.

..............

United

States

78,346

22,063,017

Micron

Technology,

Inc.

...............................

United

States

50,525

26,129,509

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Growth

#### Opportunities

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks
(continued)

#### Semiconductors

#### &

#### Semiconductor

#### Equipment
(continued)

Monolithic

Power

Systems,

Inc.

.........................

United

States

54,601

$

88,148,400

NVIDIA

Corp.

......................................

United

States

2,144,801

428,037,936

Taiwan

Semiconductor

Manufacturing

Co.

Ltd.

,

ADR

.........

Taiwan

160,443

63,545,055

Teradyne,

Inc.

......................................

United

States

98,639

33,879,537

1,085,414,760

#### Software

#### 6.5%
b

AppLovin

Corp.

,

A

...................................

United

States

36,621

16,345,783

a,b,c

ClearMotion,

Inc.

....................................

United

States

6,309,366

650,899

b

Crowdstrike

Holdings,

Inc.

,

A

...........................

United

States

57,593

25,672,080

Microsoft

Corp.

.....................................

United

States

443,757

180,955,230

a,b,c

OpenAI

Foundation

..................................

United

States

8,668

5,960,897

a,b,c

Plaid,

Inc.

,

A

.......................................

United

States

56,433

13,666,978

a,b,c

Stripe,

Inc.

,

B

......................................

United

States

260,482

16,635,683

b

Synopsys,

Inc.

.....................................

United

States

53,327

25,735,610

285,623,160

#### Specialty

#### Retail

#### 1.0%
b

AutoZone,

Inc.

.....................................

United

States

8,320

30,817,530

b

Carvana

Co.

,

A

.....................................

United

States

32,968

13,048,734

43,866,264

#### Technology

#### Hardware,

#### Storage

#### &

#### Peripherals

#### 7.8%
Apple,

Inc.

........................................

United

States

1,138,591

308,956,668

Dell

Technologies,

Inc.

,

C

.............................

United

States

107,581

22,479,050

b

Everpure,

Inc.

,

A

....................................

United

States

162,855

11,635,989

343,071,707

#### Trading

#### Companies

#### &

#### Distributors

#### 0.4%
b,d

QXO,

Inc.

.........................................

United

States

931,611

18,697,433

#### Total

#### Common

#### Stocks

#### (Cost

#### $

#### 1,980,982,888

####)
..................................

#### 4,226,160,929

#### Convertible

#### Preferred

#### Stocks

#### 2.4%

#### Aerospace

#### &

#### Defense

#### 0.3%
a,b,c

Anduril

Industries,

Inc.

,

G

.............................

United

States

180,222

12,426,307

#### Automobile

#### Components

#### 0.3%
a,b,c

Flock

Group,

Inc.

,

B

.................................

United

States

750,387

11,729,975

a,b,c

Flock

Group,

Inc.

,

C

.................................

United

States

80,684

1,261,244

a,b,c

Flock

Group,

Inc.

,

................................

United

States

21,303

333,006

13,324,225

#### Software

#### 1.8%
a,b,c

Anthropic

PBC

,

.................................

United

States

38,589

9,999,815

a,b,c

Databricks,

Inc.

,

G

..................................

United

States

338,280

64,623,462

a,b,c

OneTrust

LLC

,

C

....................................

United

States

517,056

4,805,902

79,429,179

#### Total

#### Convertible

#### Preferred

#### Stocks

#### (Cost

#### $

#### 60,096,304

####)
.........................

#### 105,179,711

#### Preferred

#### Stocks

#### 0.3%

#### Software

#### 0.3%
a,b,c

Anthropic

PBC

,

..................................

United

States

49,656

12,867,677

a,b,c

ClearMotion,

Inc.

,

................................

United

States

417,667

60,170

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Growth

#### Opportunities

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Preferred

#### Stocks
(continued)

#### Software
(continued)

a,b,c

ClearMotion,

Inc.

,

................................

United

States

2,606,463

$

341,496

13,269,343

#### Total

#### Preferred

#### Stocks

#### (Cost

#### $

#### 7,251,387

####)
.....................................

#### 13,269,343

#### Escrows

#### and

#### Litigation

#### Trusts

#### 0.0%
a,b

Fortinet,

Inc.,

Escrow

Account

..........................

United

States

810,440

—

a,b

Wheels

Up

Experience,

Inc.,

Escrow

Account

..............

United

States

514

—

#### Total

#### Escrows

#### and

#### Litigation

#### Trusts

#### (Cost

#### $

#### –

####)
.................................

#### —

#### Total

#### Long

#### Term

#### Investments

#### (Cost

#### $

#### 2,048,330,579

####)
...........................

#### 4,344,609,983

#### a

#### Short

#### Term

#### Investments

#### 1.5%
a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Money

#### Market

#### Funds

#### 1.1%
e,f

Franklin

Institutional

U.S.

Government

Money

Market

Fund

,

3.593 %

.........................................

United

States

47,555,504

47,555,504

#### Total

#### Money

#### Market

#### Funds

#### (Cost

#### $

#### 47,555,504

####)
................................

#### 47,555,504
g

#### Investments

#### from

#### Cash

#### Collateral

#### Received

#### for

#### Loaned

#### Securities

#### 0.4%

#### Money

#### Market

#### Funds

#### 0.4%
e,f

Franklin

Institutional

U.S.

Government

Money

Market

Fund

,

3.593 %

.........................................

United

States

19,950,750

19,950,750

#### Total

#### Investments

#### from

#### Cash

#### Collateral

#### Received

#### for

#### Loaned

#### Securities

#### (Cost

#### $

#### 19,950,750

####)
.........................................................

#### 19,950,750

#### Total

#### Short

#### Term

#### Investments

#### (Cost

#### $

#### 67,506,254

####)
..............................

#### 67,506,254

#### a

#### Total

#### Investments

#### (Cost

#### $

#### 2,115,836,833

####)
100.4 #### %
...............................

#### $4,412,116,237

#### Other

#### Assets,

#### less

#### Liabilities

#### (0.4 ####)

#### %
.........................................

#### (17,715,424)

#### Net

#### Assets

#### 100.0%

#### .........................................................

#### $4,394,400,813

#### a
See

Abbreviations

on

.

a

Fair

valued

using

significant

unobservable

inputs.

See

Note

regarding

fair

value

measurements.

b

Non-income

producing.

c

See

Note

regarding

restricted

securities.

d

A

portion

or

all

of

the

security

is

on

loan

at

April

30,

2026. See

Note

1(e).

e

See

Note

3(f)

regarding

investments

in

affiliated

management

investment

companies.

f

The

rate

shown

is

the

annualized

seven-day

effective

yield

at

period

end.

g

See

Note

1(e)

regarding

securities

on

loan.

Franklin

Strategic

Series

Financial

Highlights

#### Franklin

#### Natural

#### Resources

#### Fund
franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

#### Year

#### Ended

#### April

#### 30,

#### 2026

#### 2025

#### 2024

#### 2023

#### 2022

#### Class

#### A

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$28.15

$30.98

$28.10

$27.01

$20.02

Income

from

investment

operations

a

:

Net

investment

income

b

.........................

0.51 0.52 0.55 0.68 0.50 Net

realized

and

unrealized

gains

(losses)

...........

17.56 (2.67)

2.90 1.09 6.77 Total

from

investment

operations

....................

18.07 (2.15)

3.45 1.77 7.27 Less

distributions

from:

Net

investment

income

..........................

(0.62)

(0.68)

(0.57)

(0.68)

(0.28)

Net

asset

value,

end

of

year

.......................

$45.60

$28.15

$30.98

$28.10

$27.01

Total

return

c

...................................

64.73%

(6.87)%

12.41%

6.56%

36.63%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

0.97%

1.00%

1.02%

0.97%

1.10%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

0.96%

d

0.99%

1.01%

e

0.96%

e

1.10%

d

Net

investment

income

...........................

1.40%

1.72%

1.90%

2.45%

2.17%

#### Supplemental

#### data
Net

assets

,

end

of

year

(000's)

.....................

$389,699

$221,768

$272,081

$301,153

$289,403

Portfolio

turnover

rate

............................

27.09%

19.72%

11.86%

23.76%

27.45%

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

Total

return

does

not

reflect

sales

commissions

or

contingent

deferred

sales

charges,

if

applicable.

d

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

e

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

Franklin

Strategic

Series

Financial

Highlights

#### Franklin

#### Natural

#### Resources

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

#### Year

#### Ended

#### April

#### 30,

#### 2026

#### 2025

#### 2024

#### 2023

#### 2022

#### Class

#### C

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$27.48

$30.12

$27.43

$26.45

$19.58

Income

from

investment

operations

a

:

Net

investment

income

b

.........................

0.24 0.29 0.33 0.46 0.32 Net

realized

and

unrealized

gains

(losses)

...........

17.12 (2.58)

2.82 1.06 6.63 Total

from

investment

operations

....................

17.36 (2.29)

3.15 1.52 6.95 Less

distributions

from:

Net

investment

income

..........................

(0.38)

(0.35)

(0.46)

(0.54)

(0.08)

Net

asset

value,

end

of

year

.......................

$44.46

$27.48

$30.12

$27.43

$26.45

Total

return

c

...................................

63.49%

(7.58)%

11.60%

5.75%

35.59%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

1.72%

1.75%

1.77%

1.72%

1.86%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

1.71%

d

1.74%

1.76%

e

1.71%

e

1.86%

d

Net

investment

income

...........................

0.67%

0.99%

1.16%

1.72%

1.41%

#### Supplemental

#### data
Net

assets

,

end

of

year

(000's)

.....................

$18,182

$13,076

$17,371

$25,090

$30,427

Portfolio

turnover

rate

............................

27.09%

19.72%

11.86%

23.76%

27.45%

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

Total

return

does

not

reflect

sales

commissions

or

contingent

deferred

sales

charges,

if

applicable.

d

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

e

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

Franklin

Strategic

Series

Financial

Highlights

#### Franklin

#### Natural

#### Resources

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

#### Year

#### Ended

#### April

#### 30,

#### 2026

#### 2025

#### 2024

#### 2023

#### 2022

#### Class

#### R6

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$30.67

$33.71

$30.45

$29.17

$21.58

Income

from

investment

operations

a

:

Net

investment

income

b

.........................

0.68 0.69 0.73 0.79 0.64 Net

realized

and

unrealized

gains

(losses)

...........

19.18 (2.91)

3.15 1.24 7.31 Total

from

investment

operations

....................

19.86 (2.22)

3.88 2.03 7.95 Less

distributions

from:

Net

investment

income

..........................

(0.73)

(0.82)

(0.62)

(0.75)

(0.36)

Net

asset

value,

end

of

year

.......................

$49.80

$30.67

$33.71

$30.45

$29.17

Total

return

....................................

65.36%

(6.56)%

12.90%

6.99%

37.24%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

0.64%

0.67%

0.67%

0.65%

0.80%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

0.59%

c

0.62%

0.61%

d

0.56%

d

0.65%

Net

investment

income

...........................

1.70%

2.09%

2.34%

2.65%

2.53%

#### Supplemental

#### data
Net

assets

,

end

of

year

(000's)

.....................

$19,396

$6,894

$7,995

$12,387

$4,943

Portfolio

turnover

rate

............................

27.09%

19.72%

11.86%

23.76%

27.45%

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%.

d

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

Franklin

Strategic

Series

Financial

Highlights

#### Franklin

#### Natural

#### Resources

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

#### Year

#### Ended

#### April

#### 30,

#### 2026

#### 2025

#### 2024

#### 2023

#### 2022

#### Advisor

#### Class

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$30.43

$33.43

$30.23

$28.97

$21.44

Income

from

investment

operations

a

:

Net

investment

income

b

.........................

0.64 0.65 0.67 0.80 0.60 Net

realized

and

unrealized

gains

(losses)

...........

19.02 (2.89)

3.13 1.18 7.24 Total

from

investment

operations

....................

19.66 (2.24)

3.80 1.98 7.84 Less

distributions

from:

Net

investment

income

..........................

(0.69)

(0.76)

(0.60)

(0.72)

(0.31)

Net

asset

value,

end

of

year

.......................

$49.40

$30.43

$33.43

$30.23

$28.97

Total

return

....................................

65.18%

(6.68)%

12.72%

6.86%

36.93%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

0.71%

0.75%

0.77%

0.72%

0.85%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

0.70%

c

0.74%

0.76%

d

0.71%

d

0.85%

c

Net

investment

income

...........................

1.62%

1.97%

2.15%

2.71%

2.39%

#### Supplemental

#### data
Net

assets

,

end

of

year

(000's)

.....................

$111,640

$52,147

$76,028

$82,840

$87,707

Portfolio

turnover

rate

............................

27.09%

19.72%

11.86%

23.76%

27.45%

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%.

d

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

Franklin

Strategic

Series

Schedule

of

Investments,

April

30,

2026

#### Franklin

#### Natural

#### Resources

#### Fund
franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Shares
a

#### Value
a

#### Common

#### Stocks

#### 97.5%

#### Agricultural

#### Products

#### &

#### Services

#### 0.8%
Bunge

Global

SA

.....................................

United

States

34,700

$

4,409,329

#### Coal

#### &

#### Consumable

#### Fuels

#### 0.8%
Cameco

Corp.

.......................................

Canada

36,100

4,441,744

#### Construction

#### &

#### Engineering

#### 0.5%
a,b

Cadeler

A/S

,

ADR

.....................................

Denmark

100,624

2,785,272

a

#### Construction

#### Materials

#### 2.0%
Martin

Marietta

Materials,

Inc.

............................

United

States

17,100

10,586,097

#### Copper

#### 4.4%
Antofagasta

plc

.......................................

Chile

88,600

4,296,899

a

Capstone

Copper

Corp.

................................

Canada

185,600

1,546,724

a

ERO

Copper

Corp.

....................................

Brazil

50,300

1,300,131

Freeport-McMoRan,

Inc.

................................

United

States

222,500

12,856,050

Lundin

Mining

Corp.

...................................

Chile

156,800

4,024,035

24,023,839

#### Diversified

#### Metals

#### &

#### Mining

#### 9.4%
a

Aclara

Resources,

Inc.

.................................

United

Kingdom

549,700

1,966,755

a,c

Aclara

Resources,

Inc.

,

144A

............................

United

Kingdom

455,354

1,629,198

Anglo

American

plc

....................................

South

Africa

57,316

2,836,281

b

BHP

Group

Ltd.

,

ADR

..................................

Australia

159,900

12,680,070

a

Brazilian

Rare

Earths

Ltd.

...............................

Australia

630,000

2,258,771

Glencore

plc

.........................................

Australia

546,900

4,250,418

Hudbay

Minerals,

Inc.

..................................

Canada

67,600

1,563,656

a

IperionX

Ltd.

.........................................

Australia

933,700

2,848,064

a

Ivanhoe

Electric,

Inc.

...................................

United

States

99,000

1,270,170

a

Ivanhoe

Mines

Ltd.

,

A

..................................

Congo

306,600

2,482,865

a

Lindian

Resources

Ltd.

.................................

Australia

5,058,152

2,981,523

a,b

MP

Materials

Corp.

....................................

United

States

68,700

4,536,948

Rio

Tinto

plc

,

ADR

.....................................

Australia

43,600

4,380,928

South32

Ltd.

.........................................

Australia

685,800

2,032,402

Teck

Resources

Ltd.

,

B

.................................

Canada

52,200

3,050,046

50,768,095

#### Electrical

#### Components

#### &

#### Equipment

#### 0.9%
a

Otovo

ASA

..........................................

Norway

1,518,096

1,751,734

a

T1

Energy,

Inc.

.......................................

Norway

704,800

3,383,040

5,134,774

#### Electronic

#### Equipment

#### &

#### Instruments

#### 0.5%
Badger

Meter,

Inc.

.....................................

United

States

23,700

2,865,567

#### Fertilizers

#### &

#### Agricultural

#### Chemicals

#### 3.8%
Corteva,

Inc.

.........................................

United

States

115,200

9,332,352

Nutrien

Ltd.

..........................................

Canada

147,500

11,210,000

20,542,352

#### Gold

#### 10.7%
Agnico

Eagle

Mines

Ltd.

................................

Canada

66,300

12,467,338

Alamos

Gold,

Inc.

,

A

...................................

Canada

130,100

5,191,166

Barrick

Mining

Corp.

...................................

Canada

326,900

12,860,246

a

Coeur

Mining,

Inc.

.....................................

United

States

132,900

2,388,213

Equinox

Gold

Corp.

....................................

Canada

509,400

7,111,224

Newmont

Corp.

.......................................

United

States

159,700

17,741,073

57,759,260

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Natural

#### Resources

#### Fund
franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Shares
a

#### Value
a

#### Common

#### Stocks
(continued)

#### Heavy

#### Electrical

#### Equipment

#### 1.1%
a

Forgent

Power

Solutions,

Inc.

,

A

..........................

United

States

56,700

$

2,133,054

GE

Vernova,

Inc.

......................................

United

States

3,400

3,683,764

5,816,818

#### Industrial

#### Gases

#### 4.1%
Air

Products

and

Chemicals,

Inc.

..........................

United

States

33,100

9,931,655

Linde

plc

............................................

United

States

24,000

12,027,360

21,959,015

#### Industrial

#### Machinery

#### &

#### Supplies

#### &

#### Components

#### 0.5%
Xylem,

Inc.

..........................................

United

States

21,800

2,575,888

#### Integrated

#### Oil

#### &

#### Gas

#### 15.3%
BP

plc

,

ADR

.........................................

United

States

274,500

13,005,810

Chevron

Corp.

.......................................

United

States

76,140

14,718,624

Exxon

Mobil

Corp.

.....................................

United

States

135,806

20,958,940

Occidental

Petroleum

Corp.

.............................

United

States

102,200

6,191,276

Shell

plc

,

ADR

........................................

United

States

96,600

8,758,722

Suncor

Energy,

Inc.

....................................

Canada

131,800

9,031,504

TotalEnergies

SE

.....................................

France

111,800

10,364,978

83,029,854

#### Metal,

#### Glass

#### &

#### Plastic

#### Containers

#### 1.0%
Ball

Corp.

...........................................

United

States

42,000

2,565,360

Crown

Holdings,

Inc.

...................................

United

States

25,700

2,526,567

5,091,927

#### Oil

#### &

#### Gas

#### Drilling

#### 0.8%
Patterson-UTI

Energy,

Inc.

..............................

United

States

210,300

2,569,866

a

Precision

Drilling

Corp.

.................................

Canada

17,200

1,605,276

4,175,142

#### Oil

#### &

#### Gas

#### Equipment

#### &

#### Services

#### 7.7%
Baker

Hughes

Co.

,

A

...................................

United

States

65,100

4,535,517

Cactus,

Inc.

,

A

........................................

United

States

51,800

2,886,296

Flowco

Holdings,

Inc.

,

A

................................

United

States

77,000

1,911,910

Halliburton

Co.

.......................................

United

States

65,400

2,766,420

Liberty

Energy,

Inc.

,

A

..................................

United

States

134,600

4,548,134

a

Oceaneering

International,

Inc.

...........................

United

States

34,700

1,302,638

Ranger

Energy

Services,

Inc.

,

A

..........................

United

States

77,000

1,344,420

Select

Water

Solutions,

Inc.

,

A

............................

United

States

147,718

2,471,322

SLB

Ltd.

............................................

United

States

126,400

7,189,632

Solaris

Energy

Infrastructure,

Inc.

,

A

.......................

United

States

28,300

2,089,672

Technip

Energies

NV

...................................

France

58,099

2,748,523

TechnipFMC

plc

......................................

United

Kingdom

86,500

6,536,805

Trican

Well

Service

Ltd.

.................................

Canada

249,600

1,324,854

41,656,143

#### Oil

#### &

#### Gas

#### Exploration

#### &

#### Production

#### 17.8%
Aker

BP

ASA

.........................................

Norway

186,100

7,275,081

Canadian

Natural

Resources

Ltd.

.........................

Canada

212,600

10,148,330

ConocoPhillips

.......................................

United

States

149,100

18,753,798

Coterra

Energy,

Inc.

...................................

United

States

316,400

11,361,924

EOG

Resources,

Inc.

..................................

United

States

94,000

13,213,580

EQT

Corp.

..........................................

United

States

115,700

6,951,256

a

Infinity

Natural

Resources,

Inc.

,

A

.........................

United

States

283,800

4,623,102

Matador

Resources

Co.

................................

United

States

93,300

5,918,952

Ovintiv,

Inc.

..........................................

United

States

125,900

7,749,145

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Natural

#### Resources

#### Fund
franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Shares
a

#### Value
a

#### Common

#### Stocks
(continued)

#### Oil

#### &

#### Gas

#### Exploration

#### &

#### Production
(continued)

Permian

Resources

Corp.

,

A

.............................

United

States

195,700

$

4,231,034

a

Tamboran

Resources

Corp.

..............................

Australia

65,400

2,360,940

Tourmaline

Oil

Corp.

...................................

Canada

57,200

2,770,832

95,357,974

#### Oil

#### &

#### Gas

#### Refining

#### &

#### Marketing

#### 4.2%
Marathon

Petroleum

Corp.

..............................

United

States

26,500

6,579,685

Phillips

...........................................

United

States

55,600

9,960,740

Valero

Energy

Corp.

...................................

United

States

25,000

6,314,500

22,854,925

#### Oil

#### &

#### Gas

#### Storage

#### &

#### Transportation

#### 8.5%
Cheniere

Energy,

Inc.

..................................

United

States

10,300

2,831,985

Enbridge,

Inc.

........................................

Canada

76,900

4,261,798

Kinder

Morgan,

Inc.

....................................

United

States

276,200

9,078,694

ONEOK,

Inc.

.........................................

United

States

20,800

1,923,168

Targa

Resources

Corp.

.................................

United

States

33,000

8,582,640

TC

Energy

Corp.

......................................

Canada

114,900

7,690,257

Williams

Cos.,

Inc.

(The)

................................

United

States

145,800

11,125,998

45,494,540

#### Paper

#### &

#### Plastic

#### Packaging

#### Products

#### &

#### Materials

#### 0.6%
Packaging

Corp.

of

America

.............................

United

States

16,700

3,564,615

#### Precious

#### Metals

#### &

#### Minerals

#### 0.1%
Valterra

Platinum

Ltd.

..................................

South

Africa

5,648

458,862

#### Specialty

#### Chemicals

#### 0.6%
Albemarle

Corp.

......................................

United

States

800

157,360

Neo

Performance

Materials,

Inc.

..........................

Canada

74,300

1,383,877

c

Neo

Performance

Materials,

Inc.

,

144A

.....................

Canada

85,000

1,583,171

3,124,408

#### Steel

#### 1.4%
Reliance,

Inc.

........................................

United

States

11,400

4,132,500

Vale

SA

,

ADR

,

B

......................................

Brazil

186,500

3,051,140

7,183,640

#### Total

#### Common

#### Stocks

#### (Cost

#### $

#### 276,440,161

####)
.....................................

#### 525,660,080
a

#### Convertible

#### Preferred

#### Stocks

#### 0.8%

#### Environmental

#### &

#### Facilities

#### Services

#### 0.4%
a,d,e

Redwood

Materials,

Inc.

,

E

..............................

United

States

39,802

1,899,983

a

#### Specialty

#### Chemicals

#### 0.4%
Albemarle

Corp.

,

7.25 %

................................

United

States

30,800

2,400,552

#### Total

#### Convertible

#### Preferred

#### Stocks

#### (Cost

#### $

#### 3,439,983

####)
............................

#### 4,300,535

#### Warrants
a

#### a
a

#### Warrants

#### 0.1%

#### Integrated

#### Oil

#### &

#### Gas

#### 0.1%
a

Occidental

Petroleum

Corp.

,

8/03/27

.......................

United

States

17,900

690,045

#### Total

#### Warrants

#### (Cost

#### $

#### 88,605

####)
.................................................

#### 690,045
Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Natural

#### Resources

#### Fund
franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

a

#### a
a

#### Convertible

#### Bonds

#### 0.3%

#### Gold

#### 0.3%
c

B2Gold

Corp.

,

Senior

Note

,

144A,

2.75 %

,

2/01/30

.............

Canada

933,000

$

1,500,497

#### Total

#### Convertible

#### Bonds

#### (Cost

#### $

#### 933,000

####)
.......................................

#### 1,500,497

#### Total

#### Long

#### Term

#### Investments

#### (Cost

#### $

#### 280,901,749

####)
...............................

#### 532,151,157

#### a

#### Short

#### Term

#### Investments

#### 3.8%
a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Money

#### Market

#### Funds

#### 1.4%
f,g

Franklin

Institutional

U.S.

Government

Money

Market

Fund

,

3.593 %

United

States

7,586,679

7,586,679

#### Total

#### Money

#### Market

#### Funds

#### (Cost

#### $

#### 7,586,679

####)
...................................

#### 7,586,679
h

#### Investments

#### from

#### Cash

#### Collateral

#### Received

#### for

#### Loaned

#### Securities

#### 2.4%

#### Money

#### Market

#### Funds

#### 2.4%
f,g

Franklin

Institutional

U.S.

Government

Money

Market

Fund

,

3.593 %

United

States

12,868,615

12,868,615

#### Total

#### Investments

#### from

#### Cash

#### Collateral

#### Received

#### for

#### Loaned

#### Securities

#### (Cost

#### $

#### 12,868,615

####)
................................................................

#### 12,868,615

#### Total

#### Short

#### Term

#### Investments

#### (Cost

#### $

#### 20,455,294

####)
................................

#### 20,455,294

#### a

#### Total

#### Investments

#### (Cost

#### $

#### 301,357,043

####)
102.5 #### %
..................................

#### $552,606,451

#### Other

#### Assets,

#### less

#### Liabilities

#### (2.5 ####)

#### %
...........................................

#### (13,690,469)

#### Net

#### Assets

#### 100.0%

#### ...........................................................

#### $538,915,982
See

Abbreviations

on

.

\*

The

principal

amount

is

stated

in

U.S.

dollars

unless

otherwise

indicated.

a

Non-income

producing.

b

A

portion

or

all

of

the

security

is

on

loan

at

April

30,

2026. See

Note

1(e).

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

April

30,

2026,

the

aggregate

value

of

these

securities

was

$4,712,866,

representing

0.9%

of

net

assets.

d

Fair

valued

using

significant

unobservable

inputs.

See

Note

regarding

fair

value

measurements.

e

See

Note

regarding

restricted

securities.

f

See

Note

3(f)

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.

Franklin

Strategic

Series

Financial

Highlights

#### Franklin

#### Small

#### Cap

#### Growth

#### Fund
franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

#### Year

#### Ended

#### April

#### 30,

#### 2026

#### 2025

#### 2024

#### 2023

#### 2022

#### Class

#### A

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$20.25

$20.93

$17.19

$17.78

$30.08

Income

from

investment

operations

a

:

Net

investment

(loss)

b

..........................

(0.15)

(0.14)

(0.09)

(0.09)

(0.14)

Net

realized

and

unrealized

gains

(losses)

...........

6.20 (0.54)

3.83 (0.40)

(7.89)

Total

from

investment

operations

....................

6.05 (0.68)

3.74 (0.49)

(8.03)

Less

distributions

from:

Net

realized

gains

.............................

(2.04)

—

—

(0.10)

(4.27)

Net

asset

value,

end

of

year

.......................

$24.26

$20.25

$20.93

$17.19

$17.78

Total

return

c

...................................

30.13%

(3.25)%

21.76%

(2.73)%

(29.53)%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

1.07%

1.04%

1.08%

1.11%

1.03%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

1.07%

d

1.04%

d

1.07%

e

1.10%

e

1.03%

d,e

Net

investment

(loss)

............................

(0.67)%

(0.64)%

(0.48)%

(0.54)%

(0.54)%

#### Supplemental

#### data
Net

assets,

end

of

year

(000's)

.....................

$873,630

$778,491

$881,445

$763,871

$860,536

Portfolio

turnover

rate

............................

48.01%

16.31%

f

15.99%

16.86%

30.88%

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

Total

return

does

not

reflect

sales

commissions

or

contingent

deferred

sales

charges,

if

applicable.

d

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

e

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

f

Excludes

the

value

of

portfolio

activity

as

a

result

of

in-kind

transactions.

See

Note

for

prior

year

information.

Franklin

Strategic

Series

Financial

Highlights

#### Franklin

#### Small

#### Cap

#### Growth

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

#### Year

#### Ended

#### April

#### 30,

#### 2026

#### 2025

#### 2024

#### 2023

#### 2022

#### Class

#### C

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$13.75

$14.32

$11.84

$12.37

$22.57

Income

from

investment

operations

a

:

Net

investment

(loss)

b

..........................

(0.22)

(0.21)

(0.16)

(0.15)

(0.25)

Net

realized

and

unrealized

gains

(losses)

...........

4.19 (0.36)

2.64 (0.28)

(5.68)

Total

from

investment

operations

....................

3.97 (0.57)

2.48 (0.43)

(5.93)

Less

distributions

from:

Net

realized

gains

.............................

(2.04)

—

—

(0.10)

(4.27)

Net

asset

value,

end

of

year

.......................

$15.68

$13.75

$14.32

$11.84

$12.37

Total

return

c

...................................

29.21%

(3.98)%

20.95%

(3.44)%

(30.07)%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

1.82%

1.79%

1.83%

1.86%

1.78%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

1.82%

d

1.79%

d

1.82%

e

1.84%

e

1.78%

d,e

Net

investment

(loss)

............................

(1.41)%

(1.39)%

(1.23)%

(1.28)%

(1.31)%

#### Supplemental

#### data
Net

assets,

end

of

year

(000's)

.....................

$17,343

$19,333

$22,351

$20,551

$32,755

Portfolio

turnover

rate

............................

48.01%

16.31%

f

15.99%

16.86%

30.88%

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

Total

return

does

not

reflect

sales

commissions

or

contingent

deferred

sales

charges,

if

applicable.

d

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

e

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

f

Excludes

the

value

of

portfolio

activity

as

a

result

of

in-kind

transactions.

See

Note

for

prior

year

information.

Franklin

Strategic

Series

Financial

Highlights

#### Franklin

#### Small

#### Cap

#### Growth

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

#### Year

#### Ended

#### April

#### 30,

#### 2026

#### 2025

#### 2024

#### 2023

#### 2022

#### Class

#### R

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$18.18

$18.85

$15.52

$16.10

$27.76

Income

from

investment

operations

a

:

Net

investment

(loss)

b

..........................

(0.19)

(0.18)

(0.12)

(0.12)

(0.19)

Net

realized

and

unrealized

gains

(losses)

...........

5.57 (0.49)

3.45 (0.36)

(7.20)

Total

from

investment

operations

....................

5.38 (0.67)

3.33 (0.48)

(7.39)

Less

distributions

from:

Net

realized

gains

.............................

(2.04)

—

—

(0.10)

(4.27)

Net

asset

value,

end

of

year

.......................

$21.52

$18.18

$18.85

$15.52

$16.10

Total

return

....................................

29.79%

(3.50)%

21.46%

(2.95)%

(29.71)%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

1.32%

1.29%

1.33%

1.36%

1.28%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

1.32%

c

1.29%

c

1.32%

d

1.35%

d

1.28%

c,d

Net

investment

(loss)

............................

(0.92)%

(0.89)%

(0.73)%

(0.79)%

(0.79)%

#### Supplemental

#### data
Net

assets,

end

of

year

(000's)

.....................

$48,833

$40,535

$39,963

$39,777

$50,324

Portfolio

turnover

rate

............................

48.01%

16.31%

e

15.99%

16.86%

30.88%

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

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

d

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

e

Excludes

the

value

of

portfolio

activity

as

a

result

of

in-kind

transactions.

See

Note

for

prior

year

information.

Franklin

Strategic

Series

Financial

Highlights

#### Franklin

#### Small

#### Cap

#### Growth

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

#### Year

#### Ended

#### April

#### 30,

#### 2026

#### 2025

#### 2024

#### 2023

#### 2022

#### Class

#### R6

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$23.92

$24.63

$20.15

$20.73

$34.14

Income

from

investment

operations

a

:

Net

investment

(loss)

b

..........................

(0.07)

(0.07)

(0.02)

(0.02)

(0.04)

Net

realized

and

unrealized

gains

(losses)

...........

7.35 (0.64)

4.50 (0.46)

(9.10)

Total

from

investment

operations

....................

7.28 (0.71)

4.48 (0.48)

(9.14)

Less

distributions

from:

Net

realized

gains

.............................

(2.04)

—

—

(0.10)

(4.27)

Net

asset

value,

end

of

year

.......................

$29.16

$23.92

$24.63

$20.15

$20.73

Total

return

....................................

30.66%

(2.88)%

22.23%

(2.29)%

(29.26)%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

0.67%

0.66%

0.67%

0.68%

0.65%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

0.66%

0.65%

0.66%

c

0.66%

c

0.64%

c

Net

investment

(loss)

............................

(0.26)%

(0.25)%

(0.07)%

(0.10)%

(0.15)%

#### Supplemental

#### data
Net

assets,

end

of

year

(000's)

.....................

$1,151,092

$1,113,133

$1,458,516

$1,345,064

$1,529,170

Portfolio

turnover

rate

............................

48.01%

16.31%

d

15.99%

16.86%

30.88%

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

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

d

Excludes

the

value

of

portfolio

activity

as

a

result

of

in-kind

transactions.

See

Note

for

prior

year

information.

Franklin

Strategic

Series

Financial

Highlights

#### Franklin

#### Small

#### Cap

#### Growth

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

#### Year

#### Ended

#### April

#### 30,

#### 2026

#### 2025

#### 2024

#### 2023

#### 2022

#### Advisor

#### Class

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$23.19

$23.91

$19.59

$20.19

$33.43

Income

from

investment

operations

a

:

Net

investment

(loss)

b

..........................

(0.11)

(0.10)

(0.05)

(0.05)

(0.08)

Net

realized

and

unrealized

gains

(losses)

...........

7.13 (0.62)

4.37 (0.45)

(8.89)

Total

from

investment

operations

....................

7.02 (0.72)

4.32 (0.50)

(8.97)

Less

distributions

from:

Net

realized

gains

.............................

(2.04)

—

—

(0.10)

(4.27)

Net

asset

value,

end

of

year

.......................

$28.17

$23.19

$23.91

$19.59

$20.19

Total

return

....................................

30.50%

(3.05)%

22.10%

(2.50)%

(29.34)%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

0.82%

0.79%

0.83%

0.86%

0.78%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

0.82%

c

0.79%

c

0.82%

d

0.85%

d

0.77%

d

Net

investment

(loss)

............................

(0.42)%

(0.38)%

(0.23)%

(0.29)%

(0.29)%

#### Supplemental

#### data
Net

assets,

end

of

year

(000's)

.....................

$344,389

$326,857

$390,099

$341,973

$433,191

Portfolio

turnover

rate

............................

48.01%

16.31%

e

15.99%

16.86%

30.88%

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

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

d

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

e

Excludes

the

value

of

portfolio

activity

as

a

result

of

in-kind

transactions.

See

Note

for

prior

year

information.

Franklin

Strategic

Series

Schedule

of

Investments,

April

30,

2026

#### Franklin

#### Small

#### Cap

#### Growth

#### Fund
franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks

#### 96.8%

#### Aerospace

#### &

#### Defense

#### 6.2%
a

AAR

Corp.

........................................

United

States

426,041

$

47,022,145

a,b

Aevex

Corp.

,

A

.....................................

United

States

465,304

14,075,446

BWX

Technologies,

Inc.

..............................

United

States

301,978

65,345,019

a

Kratos

Defense

&

Security

Solutions,

Inc.

.................

United

States

389,378

24,550,283

150,992,893

#### Banks

#### 2.1%
FB

Financial

Corp.

..................................

United

States

442,703

23,936,951

Western

Alliance

Bancorp

.............................

United

States

337,723

27,537,934

51,474,885

#### Biotechnology

#### 11.2%
a

Alkermes

plc

.......................................

United

States

317,039

10,687,385

a

Apogee

Therapeutics,

Inc.

.............................

United

States

68,595

5,685,839

a

Arcutis

Biotherapeutics,

Inc.

...........................

United

States

398,931

9,263,178

a,b

Ascendis

Pharma

A/S

................................

Denmark

131,118

30,075,847

a

Benitec

Biopharma,

Inc.

..............................

Australia

357,531

4,308,249

a

Bicara

Therapeutics,

Inc.

..............................

United

States

505,080

10,899,626

a

Bridgebio

Pharma,

Inc.

...............................

United

States

429,950

30,573,744

a

CG

oncology,

Inc.

...................................

United

States

202,961

13,545,617

a

Cytokinetics,

Inc.

....................................

United

States

214,074

13,694,314

a

Dianthus

Therapeutics,

Inc.

............................

United

States

208,194

18,279,433

a

Dyne

Therapeutics,

Inc.

..............................

United

States

505,324

8,868,436

a

Mirum

Pharmaceuticals,

Inc.

...........................

United

States

162,759

15,838,078

a,b

Newamsterdam

Pharma

Co.

NV

........................

Netherlands

296,852

8,478,093

a,b

Olema

Pharmaceuticals,

Inc.

...........................

United

States

382,477

5,511,494

a

Oruka

Therapeutics,

Inc.

..............................

United

States

213,110

14,578,855

a

Praxis

Precision

Medicines,

Inc.

........................

United

States

25,376

8,090,630

a

PTC

Therapeutics,

Inc.

...............................

United

States

185,128

12,044,428

a

Relay

Therapeutics,

Inc.

..............................

United

States

460,495

5,968,015

a

Revolution

Medicines,

Inc.

.............................

United

States

84,606

12,193,417

a

Spyre

Therapeutics,

Inc.

..............................

United

States

155,799

11,599,236

a

Syndax

Pharmaceuticals,

Inc.

..........................

United

States

563,259

12,070,640

a

Xenon

Pharmaceuticals,

Inc.

...........................

Canada

200,051

11,210,858

273,465,412

#### Building

#### Products

#### 3.3%
AAON,

Inc.

........................................

United

States

474,302

44,257,120

a

Modine

Manufacturing

Co.

............................

United

States

143,981

36,661,882

80,919,002

#### Capital

#### Markets

#### 3.7%
Evercore,

Inc.

,

A

....................................

United

States

76,714

24,647,441

Hamilton

Lane,

Inc.

,

A

................................

United

States

166,979

15,360,398

Houlihan

Lokey,

Inc.

,

A

...............................

United

States

169,911

26,293,727

a

Miami

International

Holdings,

Inc.

.......................

United

States

505,985

23,523,243

89,824,809

#### Commercial

#### Services

#### &

#### Supplies

#### 0.0%
a,c

Optoro,

Inc.

........................................

United

States

554,878

—

#### Communications

#### Equipment

#### 1.8%
a

Lumentum

Holdings,

Inc.

..............................

United

States

48,526

43,785,980

#### Construction

#### &

#### Engineering

#### 6.3%
Arcosa,

Inc.

.......................................

United

States

543,335

68,715,577

Granite

Construction,

Inc.

.............................

United

States

441,767

60,553,003

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Small

#### Cap

#### Growth

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks
(continued)

#### Construction

#### &

#### Engineering
(continued)

a,b

Solv

Energy,

Inc.

,

A

..................................

United

States

620,471

$

24,719,565

153,988,145

#### Construction

#### Materials

#### 0.3%
b

Titan

America

SA

...................................

Belgium

465,636

7,678,338

#### Consumer

#### Staples

#### Distribution

#### &

#### Retail

#### 1.5%
a

Performance

Food

Group

Co.

..........................

United

States

391,733

35,475,340

#### Diversified

#### Consumer

#### Services

#### 0.1%
a,b

Nerdy,

Inc.

........................................

United

States

1,988,031

1,777,697

#### Electrical

#### Equipment

#### 1.3%
a

Forgent

Power

Solutions,

Inc.

,

A

........................

United

States

836,032

31,451,524

#### Electronic

#### Equipment,

#### Instruments

#### &

#### Components

#### 4.6%
Badger

Meter,

Inc.

...................................

United

States

151,859

18,361,272

a

Fabrinet

..........................................

Thailand

61,026

41,709,440

a

Mirion

Technologies,

Inc.

,

A

............................

United

States

770,242

15,212,279

Vontier

Corp.

.......................................

United

States

1,037,534

37,226,720

112,509,711

#### Energy

#### Equipment

#### &

#### Services

#### 2.6%
Cactus,

Inc.

,

A

......................................

United

States

421,346

23,477,399

Liberty

Energy,

Inc.

,

A

................................

United

States

1,155,269

39,036,540

62,513,939

#### Financial

#### Services

#### 1.9%
a

Flywire

Corp.

......................................

United

States

1,029,716

13,911,463

a

Paymentus

Holdings,

Inc.

,

A

...........................

United

States

1,136,062

31,866,539

45,778,002

#### Food

#### Products

#### 0.8%
a

Freshpet,

Inc.

......................................

United

States

285,124

19,211,655

#### Health

#### Care

#### Equipment

#### &

#### Supplies

#### 3.1%
a

Ceribell,

Inc.

.......................................

United

States

767,437

15,471,530

a

Haemonetics

Corp.

..................................

United

States

315,365

18,950,283

a

Integer

Holdings

Corp.

...............................

United

States

282,278

24,984,426

a

Kestra

Medical

Technologies

Ltd.

.......................

United

States

792,087

16,412,042

75,818,281

#### Health

#### Care

#### Providers

#### &

#### Services

#### 5.5%
Ensign

Group,

Inc.

(The)

..............................

United

States

124,880

23,313,847

a

GeneDx

Holdings

Corp.

,

A

.............................

United

States

201,666

12,682,775

a

Guardant

Health,

Inc.

................................

United

States

304,272

26,496,006

a

HealthEquity,

Inc.

...................................

United

States

292,152

23,965,229

a

Hinge

Health,

Inc.

,

A

.................................

United

States

348,510

15,543,546

a

Privia

Health

Group,

Inc.

..............................

United

States

1,272,198

31,614,120

133,615,523

#### Health

#### Care

#### REITs

#### 0.0%

#### †
a

Janus

Living,

Inc.

,

................................

United

States

22,515

590,794

#### Hotel

#### &

#### Resort

#### REITs

#### 0.7%
Pebblebrook

Hotel

Trust

..............................

United

States

1,142,568

16,053,080

#### Hotels,

#### Restaurants

#### &

#### Leisure

#### 3.4%
a

Cava

Group,

Inc.

....................................

United

States

315,564

29,476,833

a

Navan,

Inc.

,

A

......................................

United

States

560,849

9,809,249

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Small

#### Cap

#### Growth

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks
(continued)

#### Hotels,

#### Restaurants

#### &

#### Leisure
(continued)

Texas

Roadhouse,

Inc.

,

A

.............................

United

States

156,627

$

25,215,381

Wingstop,

Inc.

......................................

United

States

115,426

18,936,790

83,438,253

#### Household

#### Durables

#### 1.0%
a

M/I

Homes,

Inc.

.....................................

United

States

195,570

25,715,499

#### IT

#### Services

#### 0.6%
a

DigitalOcean

Holdings,

Inc.

............................

United

States

143,861

13,872,516

#### Life

#### Sciences

#### Tools

#### &

#### Services

#### 1.8%
Bio-Techne

Corp.

...................................

United

States

300,718

16,635,720

a

Repligen

Corp.

.....................................

United

States

234,118

27,698,500

44,334,220

#### Machinery

#### 3.0%
a

Alliance

Laundry

Holdings,

Inc.

.........................

United

States

787,743

19,985,040

a

RBC

Bearings,

Inc.

..................................

United

States

87,266

52,280,188

72,265,228

#### Media

#### 1.6%
New

York

Times

Co.

(The)

,

A

...........................

United

States

502,038

39,676,063

#### Oil,

#### Gas

#### &

#### Consumable

#### Fuels

#### 2.4%
a

Infinity

Natural

Resources,

Inc.

,

A

.......................

United

States

1,176,185

19,160,054

Matador

Resources

Co.

..............................

United

States

611,064

38,765,900

57,925,954

#### Passenger

#### Airlines

#### 1.6%
a

Alaska

Air

Group,

Inc.

................................

United

States

491,479

19,221,744

a

Allegiant

Travel

Co.

..................................

United

States

251,350

19,012,114

38,233,858

#### Personal

#### Care

#### Products

#### 0.6%
a

BellRing

Brands,

Inc.

.................................

United

States

870,171

15,489,044

#### Pharmaceuticals

#### 3.5%
a

Amylyx

Pharmaceuticals,

Inc.

..........................

United

States

751,245

12,019,920

a

EyePoint,

Inc.

......................................

United

States

1,506,751

19,889,113

a

Jazz

Pharmaceuticals

plc

.............................

United

States

188,758

38,321,649

a,b

LENZ

Therapeutics,

Inc.

..............................

United

States

147,282

1,322,593

a

Phathom

Pharmaceuticals,

Inc.

.........................

United

States

565,898

6,338,058

a

Structure

Therapeutics,

Inc.

,

ADR

.......................

United

States

185,223

7,677,493

85,568,826

#### Professional

#### Services

#### 1.9%
a,b

Andersen

Group,

Inc.

,

A

..............................

United

States

952,087

33,684,838

a

Legalzoom.com,

Inc.

.................................

United

States

1,914,759

12,350,196

46,035,034

#### Semiconductors

#### &

#### Semiconductor

#### Equipment

#### 8.5%
a

Credo

Technology

Group

Holding

Ltd.

....................

United

States

263,118

45,785,163

a

Lattice

Semiconductor

Corp.

...........................

United

States

443,407

54,219,808

a

Onto

Innovation,

Inc.

.................................

United

States

187,795

55,410,793

a

SiTime

Corp.

.......................................

United

States

90,474

50,859,959

206,275,723

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Small

#### Cap

#### Growth

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks
(continued)

#### Software

#### 6.7%
a,c,d

ClearMotion,

Inc.

....................................

United

States

3,698,772

$

381,580

a

Freshworks,

Inc.

,

A

..................................

United

States

1,001,040

8,168,486

a

Gitlab,

Inc.

,

A

......................................

United

States

637,482

14,113,852

a

Intapp,

Inc.

........................................

United

States

499,138

11,205,648

a

JFrog

Ltd.

.........................................

United

States

332,466

15,439,721

a

Klaviyo,

Inc.

,

A

.....................................

United

States

941,201

18,908,728

a

LiveRamp

Holdings,

Inc.

..............................

United

States

532,998

15,579,532

a

nCino,

Inc.

........................................

United

States

1,045,050

18,267,474

a

Netskope,

Inc.

,

A

....................................

United

States

1,070,518

10,662,359

a

Procore

Technologies,

Inc.

............................

United

States

468,167

26,488,889

a

ServiceTitan,

Inc.

,

A

.................................

United

States

395,472

23,514,765

162,731,034

#### Specialty

#### Retail

#### 1.5%
a

Boot

Barn

Holdings,

Inc.

..............................

United

States

122,754

21,046,173

Lithia

Motors,

Inc.

,

A

.................................

United

States

57,385

16,648,536

37,694,709

#### Textiles,

#### Apparel

#### &

#### Luxury

#### Goods

#### 0.6%
Steven

Madden

Ltd.

.................................

United

States

410,498

15,418,305

#### Trading

#### Companies

#### &

#### Distributors

#### 1.1%
Herc

Holdings,

Inc.

..................................

United

States

204,177

25,914,145

#### Total

#### Common

#### Stocks

#### (Cost

#### $

#### 1,616,015,433

####)
..................................

#### 2,357,513,421

#### Convertible

#### Preferred

#### Stocks

#### 2.8%

#### Automobile

#### Components

#### 0.6%
a,c,d

Flock

Group,

Inc.

,

G

.................................

United

States

987,540

15,437,126

#### Communications

#### Equipment

#### 0.2%
a,c,d

Astranis

Space

Technologies

Corp.

,

E

....................

United

States

311,952

5,999,994

#### Diversified

#### Consumer

#### Services

#### 0.5%
a,c,d

Newsela,

Inc.

,

D

....................................

United

States

709,046

12,707,441

#### Software

#### 1.3%
a,c,d

Benchling,

Inc.

,

F

...................................

United

States

382,306

1,803,489

a,c,d

Checkr,

Inc.

,

E

.....................................

United

States

1,388,889

21,170,063

a,c,d

OneTrust

LLC

,

A

....................................

United

States

625,361

5,812,569

a,c,d

OneTrust

LLC

,

..................................

United

States

56,457

524,753

a,c,d

Smule,

Inc.

,

J

......................................

United

States

162,712

1,603,972

30,914,846

#### Specialty

#### Retail

#### 0.2%
a,c,d

1661,

Inc.

,

F

.......................................

United

States

3,436,485

3,786,378

#### Total

#### Convertible

#### Preferred

#### Stocks

#### (Cost

#### $

#### 96,764,288

####)
.........................

#### 68,845,785

#### Preferred

#### Stocks

#### 0.2%

#### Automobile

#### Components

#### 0.2%
a,c,d

Tula

eTechnology,

Inc.

................................

United

States

361,111

—

a,c,d

Tula

eTechnology,

Inc.

,

E

.............................

United

States

3,611,111

3,872,916

3,872,916

#### Software

#### 0.0%

#### †
a,c,d

ClearMotion,

Inc.

,

................................

United

States

1,037,942

149,527

a,c,d

ClearMotion,

Inc.

,

................................

United

States

6,477,294

848,649

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Small

#### Cap

#### Growth

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Preferred

#### Stocks
(continued)

#### Software
(continued)

a,c,d

Smule,

Inc.

,

144A

,

G

.................................

United

States

1,542,673

$

177,103

a,c,d

Smule,

Inc.

,

144A

,

H

.................................

United

States

352,675

47,866

1,223,145

#### Total

#### Preferred

#### Stocks

#### (Cost

#### $

#### 21,224,989

####)
....................................

#### 5,096,061

#### Rights

#### 0.0%

#### Biotechnology

#### 0.0%
a,c,d

Chinook

Therapeutics,

Inc.,

CVR

,

6/30/30

.................

United

States

410,500

—

#### Total

#### Rights

#### (Cost

#### $

#### –

####)
......................................................

#### —

#### Shares

#### Escrows

#### and

#### Litigation

#### Trusts

#### 0.0%
a,c

Wheels

Up

Experience,

Inc.,

Escrow

Account

..............

United

States

—

#### Total

#### Escrows

#### and

#### Litigation

#### Trusts

#### (Cost

#### $

#### –

####)
.................................

#### —

#### Total

#### Long

#### Term

#### Investments

#### (Cost

#### $

#### 1,734,004,710

####)
...........................

#### 2,431,455,267

#### a

#### Short

#### Term

#### Investments

#### 2.6%
a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Money

#### Market

#### Funds

#### 0.5%
e,f

Franklin

Institutional

U.S.

Government

Money

Market

Fund

,

3.593 %

.........................................

United

States

11,427,550

11,427,550

#### Total

#### Money

#### Market

#### Funds

#### (Cost

#### $

#### 11,427,550

####)
................................

#### 11,427,550
g

#### Investments

#### from

#### Cash

#### Collateral

#### Received

#### for

#### Loaned

#### Securities

#### 2.1%

#### Money

#### Market

#### Funds

#### 2.1%
e,f

Franklin

Institutional

U.S.

Government

Money

Market

Fund

,

3.593 %

.........................................

United

States

51,918,825

51,918,825

#### Total

#### Investments

#### from

#### Cash

#### Collateral

#### Received

#### for

#### Loaned

#### Securities

#### (Cost

#### $

#### 51,918,825

####)
.........................................................

#### 51,918,825

#### Total

#### Short

#### Term

#### Investments

#### (Cost

#### $

#### 63,346,375

####)
..............................

#### 63,346,375

#### a

#### Total

#### Investments

#### (Cost

#### $

#### 1,797,351,085

####)
102.4 #### %
..............................

#### $2,494,801,642

#### Other

#### Assets,

#### less

#### Liabilities

#### (2.4 ####)

#### %
.........................................

#### (59,514,243)

#### Net

#### Assets

#### 100.0%

#### .........................................................

#### $2,435,287,399

#### a
Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Small

#### Cap

#### Growth

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

See

Abbreviations

on

.

†

Rounds

to

less

than

0.1%

of

net

assets.

a

Non-income

producing.

b

A

portion

or

all

of

the

security

is

on

loan

at

April

30,

2026. See

Note

1(e).

c

Fair

valued

using

significant

unobservable

inputs.

See

Note

regarding

fair

value

measurements.

d

See

Note

regarding

restricted

securities.

e

See

Note

3(f)

regarding

investments

in

affiliated

management

investment

companies.

f

The

rate

shown

is

the

annualized

seven-day

effective

yield

at

period

end.

g

See

Note

1(e)

regarding

securities

on

loan.

Franklin

Strategic

Series

Financial

Highlights

#### Franklin

#### Small-Mid

#### Cap

#### Growth

#### Fund
franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

#### Year

#### Ended

#### April

#### 30,

#### 2026

#### 2025

#### 2024

#### 2023

#### 2022

#### Class

#### A

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$36.02

$35.22

$29.75

$33.07

$49.66

Income

from

investment

operations

a

:

Net

investment

(loss)

b

..........................

(0.12)

(0.08)

(0.01)

(0.05)

(0.25)

Net

realized

and

unrealized

gains

(losses)

...........

5.29 0.88 5.48 (1.39)

(9.42)

Total

from

investment

operations

....................

5.17 0.80 5.47 (1.44)

(9.67)

Less

distributions

from:

Net

realized

gains

.............................

(3.04)

—

—

(1.88)

(6.92)

Net

asset

value,

end

of

year

.......................

$38.15

$36.02

$35.22

$29.75

$33.07

Total

return

c

...................................

14.38%

2.27%

18.39%

(4.07)%

(22.83)%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

0.85%

0.84%

0.87%

0.90%

0.85%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

0.84%

0.84%

d

0.85%

e

0.88%

e

0.84%

e

Net

investment

(loss)

............................

(0.29)%

(0.20)%

(0.02)%

(0.17)%

(0.54)%

#### Supplemental

#### data
Net

assets,

end

of

year

(000's)

.....................

$2,595,224

$2,596,499

$2,822,866

$2,578,199

$3,019,703

Portfolio

turnover

rate

............................

32.96%

33.86%

f

37.02%

27.75%

48.89%

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

Total

return

does

not

reflect

sales

commissions

or

contingent

deferred

sales

charges,

if

applicable.

d

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

e

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

f

Excludes

the

value

of

portfolio

activity

as

a

result

of

in-kind

transactions.

See

Note

for

prior

year

information.

Franklin

Strategic

Series

Financial

Highlights

#### Franklin

#### Small-Mid

#### Cap

#### Growth

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

#### Year

#### Ended

#### April

#### 30,

#### 2026

#### 2025

#### 2024

#### 2023

#### 2022

#### Class

#### C

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$16.04

$15.80

$13.45

$16.20

$27.98

Income

from

investment

operations

a

:

Net

investment

(loss)

b

..........................

(0.18)

(0.16)

(0.11)

(0.13)

(0.32)

Net

realized

and

unrealized

gains

(losses)

...........

2.35 0.40 2.46 (0.74)

(4.54)

Total

from

investment

operations

....................

2.17 0.24 2.35 (0.87)

(4.86)

Less

distributions

from:

Net

realized

gains

.............................

(3.04)

—

—

(1.88)

(6.92)

Net

asset

value,

end

of

year

.......................

$15.17

$16.04

$15.80

$13.45

$16.20

Total

return

c

...................................

13.55%

1.52%

17.47%

(4.76)%

(23.43)%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

1.60%

1.59%

1.62%

1.65%

1.60%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

1.59%

1.59%

d

1.60%

e

1.63%

e

1.59%

e

Net

investment

(loss)

............................

(1.04)%

(0.95)%

(0.77)%

(0.92)%

(1.29)%

#### Supplemental

#### data
Net

assets,

end

of

year

(000's)

.....................

$41,625

$48,685

$60,281

$82,982

$110,596

Portfolio

turnover

rate

............................

32.96%

33.86%

f

37.02%

27.75%

48.89%

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

Total

return

does

not

reflect

sales

commissions

or

contingent

deferred

sales

charges,

if

applicable.

d

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

e

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

f

Excludes

the

value

of

portfolio

activity

as

a

result

of

in-kind

transactions.

See

Note

for

prior

year

information.

Franklin

Strategic

Series

Financial

Highlights

#### Franklin

#### Small-Mid

#### Cap

#### Growth

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

#### Year

#### Ended

#### April

#### 30,

#### 2026

#### 2025

#### 2024

#### 2023

#### 2022

#### Class

#### R

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$30.04

$29.44

$24.93

$28.11

$43.32

Income

from

investment

operations

a

:

Net

investment

(loss)

b

..........................

(0.18)

(0.14)

(0.07)

(0.11)

(0.32)

Net

realized

and

unrealized

gains

(losses)

...........

4.40 0.74 4.58 (1.19)

(7.97)

Total

from

investment

operations

....................

4.22 0.60 4.51 (1.30)

(8.29)

Less

distributions

from:

Net

realized

gains

.............................

(3.04)

—

—

(1.88)

(6.92)

Net

asset

value,

end

of

year

.......................

$31.22

$30.04

$29.44

$24.93

$28.11

Total

return

....................................

14.07%

2.04%

18.09%

(4.30)%

(23.00)%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

1.10%

1.09%

1.12%

1.15%

1.10%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

1.09%

1.09%

c

1.10%

d

1.13%

d

1.09%

d

Net

investment

(loss)

............................

(0.54)%

(0.45)%

(0.27)%

(0.42)%

(0.79)%

#### Supplemental

#### data
Net

assets,

end

of

year

(000's)

.....................

$34,130

$33,211

$37,276

$34,371

$38,761

Portfolio

turnover

rate

............................

32.96%

33.86%

e

37.02%

27.75%

48.89%

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

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

d

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

e

Excludes

the

value

of

portfolio

activity

as

a

result

of

in-kind

transactions.

See

Note

for

prior

year

information.

Franklin

Strategic

Series

Financial

Highlights

#### Franklin

#### Small-Mid

#### Cap

#### Growth

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

#### Year

#### Ended

#### April

#### 30,

#### 2026

#### 2025

#### 2024

#### 2023

#### 2022

#### Class

#### R6

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$44.32

$43.23

$36.39

$39.84

$58.24

Income

from

investment

operations

a

:

Net

investment

income

(loss)

b

....................

0.02 0.07 0.14 0.08 (0.10)

Net

realized

and

unrealized

gains

(losses)

...........

6.52 1.07 6.70 (1.65)

(11.38)

Total

from

investment

operations

....................

6.54 1.14 6.84 (1.57)

(11.48)

Less

distributions

from:

Net

investment

income

..........................

—

(0.05)

—

—

—

Net

realized

gains

.............................

(3.04)

—

—

(1.88)

(6.92)

Total

distributions

...............................

(3.04)

(0.05)

—

(1.88)

(6.92)

Net

asset

value,

end

of

year

.......................

$47.82

$44.32

$43.23

$36.39

$39.84

Total

return

....................................

14.79%

2.61%

18.82%

(3.70)%

(22.57)%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

0.51%

0.51%

0.51%

0.53%

0.51%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

0.50%

0.50%

0.49%

c

0.49%

c

0.50%

c

Net

investment

income

(loss)

......................

0.05%

0.14%

0.34%

0.23%

(0.19)%

#### Supplemental

#### data
Net

assets,

end

of

year

(000's)

.....................

$437,861

$437,087

$539,962

$451,447

$540,509

Portfolio

turnover

rate

............................

32.96%

33.86%

d

37.02%

27.75%

48.89%

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

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

d

Excludes

the

value

of

portfolio

activity

as

a

result

of

in-kind

transactions.

See

Note

for

prior

year

information.

Franklin

Strategic

Series

Financial

Highlights

#### Franklin

#### Small-Mid

#### Cap

#### Growth

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

#### Year

#### Ended

#### April

#### 30,

#### 2026

#### 2025

#### 2024

#### 2023

#### 2022

#### Advisor

#### Class

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$42.85

$41.79

$35.22

$38.68

$56.79

Income

from

investment

operations

a

:

Net

investment

income

(loss)

b

....................

(0.02)

0.02 0.09 0.03 (0.15)

Net

realized

and

unrealized

gains

(losses)

...........

6.30 1.04 6.48 (1.61)

(11.04)

Total

from

investment

operations

....................

6.28 1.06 6.57 (1.58)

(11.19)

Less

distributions

from:

Net

investment

income

..........................

—

(—)

c

—

—

—

Net

realized

gains

.............................

(3.04)

—

—

(1.88)

(6.92)

Net

asset

value,

end

of

year

.......................

$46.09

$42.85

$41.79

$35.22

$38.68

Total

return

....................................

14.69%

2.52%

18.68%

(3.81)%

(22.65)%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

0.60%

0.59%

0.62%

0.65%

0.60%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

0.59%

0.59%

d

0.60%

e

0.63%

e

0.59%

e

Net

investment

income

(loss)

......................

(0.04)%

0.05%

0.23%

0.08%

(0.28)%

#### Supplemental

#### data
Net

assets,

end

of

year

(000's)

.....................

$423,911

$416,492

$435,671

$469,050

$532,573

Portfolio

turnover

rate

............................

32.96%

33.86%

f

37.02%

27.75%

48.89%

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

Amount

rounds

to

less

than

$0.01

per

share.

d

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

e

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

f

Excludes

the

value

of

portfolio

activity

as

a

result

of

in-kind

transactions.

See

Note

for

prior

year

information.

Franklin

Strategic

Series

Schedule

of

Investments,

April

30,

2026

#### Franklin

#### Small-Mid

#### Cap

#### Growth

#### Fund
franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks

#### 94.1%

#### Aerospace

#### &

#### Defense

#### 7.5%
a

Arxis,

Inc.

,

A

.......................................

United

States

222,303

$

7,780,605

a

Axon

Enterprise,

Inc.

.................................

United

States

172,026

69,113,166

BWX

Technologies,

Inc.

..............................

United

States

250,270

54,155,925

Howmet

Aerospace,

Inc.

..............................

United

States

551,035

133,923,546

264,973,242

#### Banks

#### 1.2%
Fifth

Third

Bancorp

..................................

United

States

851,600

43,227,216

#### Biotechnology

#### 5.4%
a

Alnylam

Pharmaceuticals,

Inc.

..........................

United

States

158,320

48,998,457

a

Ascendis

Pharma

A/S

................................

Denmark

72,761

16,689,918

a

CG

oncology,

Inc.

...................................

United

States

200,480

13,380,035

a

Insmed,

Inc.

.......................................

United

States

235,515

32,107,760

a

Ionis

Pharmaceuticals,

Inc.

............................

United

States

167,060

12,489,406

a

Natera,

Inc.

........................................

United

States

324,800

66,960,768

190,626,344

#### Building

#### Products

#### 1.6%
AAON,

Inc.

........................................

United

States

597,073

55,712,882

#### Capital

#### Markets

#### 7.1%
Ares

Management

Corp.

,

A

............................

United

States

411,312

48,288,029

LPL

Financial

Holdings,

Inc.

...........................

United

States

139,948

46,760,825

MSCI,

Inc.

,

A

.......................................

United

States

109,440

64,723,910

Nasdaq,

Inc.

.......................................

United

States

443,736

40,783,776

a

Robinhood

Markets,

Inc.

,

A

............................

United

States

220,553

16,076,108

Tradeweb

Markets,

Inc.

,

A

.............................

United

States

296,376

33,564,582

250,197,230

#### Construction

#### &

#### Engineering

#### 3.2%
Comfort

Systems

USA,

Inc.

............................

United

States

61,667

113,482,697

#### Consumer

#### Staples

#### Distribution

#### &

#### Retail

#### 1.8%
Casey's

General

Stores,

Inc.

...........................

United

States

60,400

49,657,860

a

Performance

Food

Group

Co.

..........................

United

States

136,395

12,351,931

62,009,791

#### Electrical

#### Equipment

#### 6.8%
AMETEK,

Inc.

......................................

United

States

265,345

62,488,747

Vertiv

Holdings

Co.

,

A

................................

United

States

537,785

176,656,995

239,145,742

#### Entertainment

#### 2.1%
a

ROBLOX

Corp.

,

A

...................................

United

States

1,338,959

73,990,874

#### Financial

#### Services

#### 0.8%
a

Paymentus

Holdings,

Inc.

,

A

...........................

United

States

954,396

26,770,808

#### Ground

#### Transportation

#### 1.5%
Old

Dominion

Freight

Line,

Inc.

.........................

United

States

244,488

51,936,586

#### Health

#### Care

#### Equipment

#### &

#### Supplies

#### 2.9%
a

Dexcom,

Inc.

.......................................

United

States

1,035,580

61,668,789

a

IDEXX

Laboratories,

Inc.

..............................

United

States

75,336

42,248,429

103,917,218

#### Health

#### Care

#### Providers

#### &

#### Services

#### 2.0%
Cencora,

Inc.

......................................

United

States

231,186

71,207,600

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Small-Mid

#### Cap

#### Growth

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks
(continued)

#### Health

#### Care

#### Technology

#### 0.7%
a

Veeva

Systems,

Inc.

,

A

...............................

United

States

166,734

$

26,005,502

#### Hotels,

#### Restaurants

#### &

#### Leisure

#### 11.6%
a

Cava

Group,

Inc.

....................................

United

States

461,336

43,093,396

a

DoorDash,

Inc.

,

A

...................................

United

States

269,209

45,402,098

Hilton

Worldwide

Holdings,

Inc.

.........................

United

States

266,715

86,434,330

Marriott

International,

Inc.

,

A

...........................

United

States

151,450

54,777,950

Royal

Caribbean

Cruises

Ltd.

..........................

United

States

410,701

108,326,496

Texas

Roadhouse,

Inc.

,

A

.............................

United

States

278,884

44,897,535

Wingstop,

Inc.

......................................

United

States

167,672

27,508,268

410,440,073

#### Household

#### Durables

#### 0.8%
a

NVR,

Inc.

.........................................

United

States

4,717

29,791,959

#### Independent

#### Power

#### and

#### Renewable

#### Electricity

#### Producers

#### 2.1%
Vistra

Corp.

........................................

United

States

475,201

75,005,726

#### Interactive

#### Media

#### &

#### Services

#### 0.3%
a

Pinterest,

Inc.

,

A

....................................

United

States

437,741

8,605,988

#### IT

#### Services

#### 2.2%
a

Cloudflare,

Inc.

,

A

...................................

United

States

370,301

75,900,596

#### Life

#### Sciences

#### Tools

#### &

#### Services

#### 1.0%
a

Repligen

Corp.

.....................................

United

States

296,425

35,070,042

#### Machinery

#### 0.9%
Xylem,

Inc.

........................................

United

States

275,637

32,569,268

#### Media

#### 1.3%
New

York

Times

Co.

(The)

,

A

...........................

United

States

585,501

46,272,144

#### Oil,

#### Gas

#### &

#### Consumable

#### Fuels

#### 3.3%
Cheniere

Energy,

Inc.

................................

United

States

88,393

24,303,655

Targa

Resources

Corp.

...............................

United

States

358,980

93,363,519

117,667,174

#### Professional

#### Services

#### 1.5%
Verisk

Analytics,

Inc.

,

A

...............................

United

States

291,117

53,708,175

#### Real

#### Estate

#### Management

#### &

#### Development

#### 0.6%
a

Jones

Lang

LaSalle,

Inc.

..............................

United

States

62,023

19,731,377

#### Residential

#### REITs

#### 0.4%
Equity

LifeStyle

Properties,

Inc.

.........................

United

States

197,734

12,514,585

#### Semiconductors

#### &

#### Semiconductor

#### Equipment

#### 6.2%
a

Credo

Technology

Group

Holding

Ltd.

....................

United

States

166,730

29,012,687

a

Lattice

Semiconductor

Corp.

...........................

United

States

435,091

53,202,928

Monolithic

Power

Systems,

Inc.

.........................

United

States

74,528

120,318,748

a

Onto

Innovation,

Inc.

.................................

United

States

57,063

16,837,009

219,371,372

#### Software

#### 7.5%
a

Arteris,

Inc.

........................................

United

States

1,456,454

42,178,908

a

Datadog,

Inc.

,

A

....................................

United

States

519,477

68,669,664

a

Fair

Isaac

Corp.

....................................

United

States

33,957

34,805,925

a

Guidewire

Software,

Inc.

..............................

United

States

237,365

32,848,942

a

Manhattan

Associates,

Inc.

............................

United

States

102,085

14,076,501

a,b,c

Plaid,

Inc.

,

A

.......................................

United

States

30,940

7,493,068

Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Small-Mid

#### Cap

#### Growth

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks
(continued)

#### Software
(continued)

a

Procore

Technologies,

Inc.

............................

United

States

552,941

$

31,285,402

a

Tyler

Technologies,

Inc.

...............................

United

States

98,554

33,620,711

264,979,121

#### Specialty

#### Retail

#### 6.8%
a

AutoZone,

Inc.

.....................................

United

States

15,400

57,042,062

a

Burlington

Stores,

Inc.

................................

United

States

178,660

57,172,987

a

Carvana

Co.

,

A

.....................................

United

States

200,070

79,187,706

Tractor

Supply

Co.

..................................

United

States

1,377,833

48,361,938

241,764,693

#### Technology

#### Hardware,

#### Storage

#### &

#### Peripherals

#### 1.0%
a

Everpure,

Inc.

,

A

....................................

United

States

504,541

36,049,454

#### Trading

#### Companies

#### &

#### Distributors

#### 2.0%
Fastenal

Co.

.......................................

United

States

417,357

18,751,850

United

Rentals,

Inc.

..................................

United

States

54,446

52,259,449

71,011,299

#### Total

#### Common

#### Stocks

#### (Cost

#### $

#### 2,246,150,861

####)
..................................

#### 3,323,656,778

#### Convertible

#### Preferred

#### Stocks

#### 2.7%

#### Aerospace

#### &

#### Defense

#### 0.8%
a,b,c

Anduril

Industries,

Inc.

,

F

..............................

United

States

414,483

28,578,603

#### Diversified

#### Consumer

#### Services

#### 0.2%
a,b,c

Newsela,

Inc.

,

D

....................................

United

States

423,782

7,594,972

#### Semiconductors

#### &

#### Semiconductor

#### Equipment

#### 0.2%
a,b,c

Phononic

Devices,

Inc.

,

F-S

...........................

United

States

2,970,061

6,046,293

#### Software

#### 1.5%
a,b,c

Benchling,

Inc.

,

F

...................................

United

States

347,106

1,637,436

a,b,c

Databricks,

Inc.

,

G

..................................

United

States

227,829

43,523,409

a,b,c

OneTrust

LLC

,

C

....................................

United

States

767,526

7,133,956

52,294,801

#### Total

#### Convertible

#### Preferred

#### Stocks

#### (Cost

#### $

#### 65,344,990

####)
.........................

#### 94,514,669

#### Preferred

#### Stocks

#### 0.0%

#### †

#### Semiconductors

#### &

#### Semiconductor

#### Equipment

#### 0.0%

#### †
a,b,c

Phononic

Devices,

Inc.

,

G-2-S

..........................

United

States

513,050

1,824,398

a,b,c

Phononic,

Inc.

,

H-S

..................................

United

States

117,763

584,839

2,409,237

#### Total

#### Preferred

#### Stocks

#### (Cost

#### $

#### 460,692

####)
.......................................

#### 2,409,237

#### Warrants

#### 0.0%

#### †

#### Semiconductors

#### &

#### Semiconductor

#### Equipment

#### 0.0%

#### †
a,b,c

Phononic,

Inc.

,

H-S

,

12/31/29

..........................

United

States

23,970

32,191

a,b,c

Phononic,

Inc.

,

H-S-X

,

12/31/29

........................

United

States

47,104

63,259

95,450

#### Total

#### Warrants

#### (Cost

#### $

#### 44,031

####)
...............................................

#### 95,450
Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Small-Mid

#### Cap

#### Growth

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Convertible

#### Bonds

#### 0.0%

#### †

#### Semiconductors

#### &

#### Semiconductor

#### Equipment

#### 0.0%

#### †
b,c

Phononic,

Inc.

,

5.31 %

,

11/30/27

........................

United

States

66,235

$

79,754

b,c

Phononic,

Inc.

,

H-S

,

5.31 %

,

11/30/27

....................

United

States

66,235

81,015

b,c

Phononic,

Inc.

,

H-S

,

5.31 %

,

11/30/27

....................

United

States

66,235

82,304

243,073

#### Total

#### Convertible

#### Bonds

#### (Cost

#### $

#### 198,704

####)
.....................................

#### 243,073
d

#### Senior

#### Floating

#### Rate

#### Interests

#### 0.1%

#### Semiconductors

#### &

#### Semiconductor

#### Equipment

#### 0.1%
b,e

Phononic,

Inc.,

First

Lien,

Term

Loan,

B

,

PIK,

%

,

12/31/27

...

United

States

1,174,043

1,010,160

#### Total

#### Senior

#### Floating

#### Rate

#### Interests

#### (Cost

#### $

#### 1,127,742

####)
.........................

#### 1,010,160

#### Shares
a

#### Escrows

#### and

#### Litigation

#### Trusts

#### 0.0%
a,b

Blaize

Events

&

Media,

Inc.,

Escrow

Account

...............

United

States

343,168

—

a,b

Blaize

Holdings,

Inc.,

Escrow

Account

....................

United

States

114,150

—

#### Total

#### Escrows

#### and

#### Litigation

#### Trusts

#### (Cost

#### $

#### –

####)
.................................

#### —

#### Total

#### Long

#### Term

#### Investments

#### (Cost

#### $

#### 2,313,327,020

####)
...........................

#### 3,421,929,367

#### a

#### Short

#### Term

#### Investments

#### 2.1%
a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Money

#### Market

#### Funds

#### 2.1%
f,g

Franklin

Institutional

U.S.

Government

Money

Market

Fund

,

3.593 %

.........................................

United

States

74,959,605

74,959,605

#### Total

#### Money

#### Market

#### Funds

#### (Cost

#### $

#### 74,959,605

####)
................................

#### 74,959,605

#### Total

#### Short

#### Term

#### Investments

#### (Cost

#### $

#### 74,959,605

####)
..............................

#### 74,959,605

#### a

#### Total

#### Investments

#### (Cost

#### $

#### 2,388,286,625

####)
99.0 #### %
................................

#### $3,496,888,972

#### Other

#### Assets,

#### less

#### Liabilities
1.0 #### %
...........................................

#### 35,863,907

#### Net

#### Assets

#### 100.0%

#### .........................................................

#### $3,532,752,879

#### a
Franklin

Strategic

Series

Schedule

of

Investments

#### Franklin

#### Small-Mid

#### Cap

#### Growth

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

See

Abbreviations

on

.

\*

The

principal

amount

is

stated

in

U.S.

dollars

unless

otherwise

indicated.

†

Rounds

to

less

than

0.1%

of

net

assets.

a

Non-income

producing.

b

Fair

valued

using

significant

unobservable

inputs.

See

Note

regarding

fair

value

measurements.

c

See

Note

regarding

restricted

securities.

d

See

Note

1(g)

regarding

senior

floating

rate

interests.

e

Income

may

be

received

in

additional

securities

and/or

cash.

f

See

Note

3(f)

regarding

investments

in

affiliated

management

investment

companies.

g

The

rate

shown

is

the

annualized

seven-day

effective

yield

at

period

end.

Franklin

Strategic

Series

Financial

Statements

Statements

of

Assets

and

Liabilities

April

30,

2026

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Franklin

#### Biotechnology

#### Discovery

#### Fund

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund

#### Franklin

#### Growth

#### Opportunities

#### Fund
Assets:

Investments

in

securities:

Cost

-

Unaffiliated

issuers

.................................

$494,620,655

$3,207,346,313

$2,048,330,579

Cost

-

Non-controlled

affiliates

(Note

f)

......................

57,612,300

234,995,433

67,506,254

Value

-

Unaffiliated

issuers

(Includes

securities

loaned

of

$31,272,989,

$—

and

$19,958,958,

respectively)

..........................

$1,014,410,785

$3,120,796,519

$4,344,609,983

Value

-

Non-controlled

affiliates

(Note

f)

......................

57,612,300

234,995,433

67,506,254

Cash

..................................................

93,044

—

35,681

Foreign

currency,

at

value

(cost

$113,

$167,265

and

$–,

respectively)

..

169,148

—

Receivables:

Investment

securities

sold

.................................

313,172

1,844,303

105,530,395

Receivable

for

sales

of

TBA

securities

(Note

c)

................

–

21,612,812

–

Capital

shares

sold

......................................

450,599

2,714,380

1,230,540

Dividends

and

interest

...................................

229,019

27,901,807

223,896

Deposits

with

brokers

for:

OTC

derivative

contracts

................................

—

1,040,000

—

TBA

transactions

(Note

1c)

..............................

—

2,003,000

—

Futures

contracts

......................................

—

5,198,156

—

Centrally

cleared

swap

contracts

..........................

—

237,200

—

Variation

margin

on

centrally

cleared

swap

contracts

.............

—

145,230

—

Unrealized

appreciation

on

OTC

forward

exchange

contracts

........

—

28,768

—

Unrealized

appreciation

on

unfunded

commitments

(Note

c)

........

311,468

—

—

Total

assets

........................................

1,073,420,503

3,418,686,756

4,519,136,749

Liabilities:

Payables:

Investment

securities

purchased

............................

2,798,212

52,335,774

11,844,549

Payable

for

purchases

of

TBA

securities

(Note

c)

...............

—

590,170,941

—

Capital

shares

redeemed

.................................

656,925

1,461,089

89,323,250

Management

fees

.......................................

510,798

852,087

1,881,512

Distribution

fees

........................................

135,819

460,215

770,434

Transfer

agent

fees

......................................

261,242

704,098

826,168

Trustees'

fees

and

expenses

...............................

Variation

margin

on

futures

contracts

.........................

—

37,617

—

Funds

advanced

by

custodian

...............................

—

411,174

—

OTC

swap

contracts

(upfront

receipts

$–,

$1,419,283

and

$–,

respectively)

............................................

—

1,291,228

—

Unrealized

depreciation

on

OTC

swap

contracts

..................

—

123,303

—

Options

written,

at

value

(premiums

received

$–,

$1,504,514

and

$–,

respectively)

............................................

—

1,611,285

—

Unrealized

depreciation

on

OTC

forward

exchange

contracts

........

—

54,638

—

TBA

sale

commitments,

at

value

(proceeds

$–,

$21,612,812

and

$–)

(Note

1c)

...............................................

—

21,469,454

—

Payable

upon

return

of

securities

loaned

(Note

e)

................

31,626,763

—

19,950,750

Unrealized

depreciation

on

unfunded

loan

commitments

(Note

8)

.....

—

—

Accrued

expenses

and

other

liabilities

.........................

70,227

384,301

139,219

Total

liabilities

.......................................

36,060,233

671,367,486

124,735,936

Net

assets,

at

value

...............................

$1,037,360,270

$2,747,319,270

$4,394,400,813

Net

assets

consist

of:

Paid-in

capital

...........................................

$455,619,045

$3,901,923,879

$1,889,321,150

Total

distributable

earnings

(losses)

...........................

581,741,225

(1,154,604,609)

2,505,079,663

Net

assets,

at

value

...............................

$1,037,360,270

$2,747,319,270

$4,394,400,813

Franklin

Strategic

Series

Financial

Statements

Statements

of

Assets

and

Liabilities

(continued)

April

30,

2026

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

#### Franklin

#### Biotechnology

#### Discovery

#### Fund

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund

#### Franklin

#### Growth

#### Opportunities

#### Fund

#### Class

#### A:
Net

assets,

at

value

.....................................

$861,885,514

$2,044,094,482

$3,569,378,187

Shares

outstanding

......................................

4,963,881

246,238,308

78,797,446

Net

asset

value

per

share

a,b

................................

$173.63

$8.30

$45.30

Maximum

offering

price

per

share

(net

asset

value

per

share

÷

94.50%,

96.25%

and

94.50%,

respectively)

b

..........................

$183.74

$8.62

$47.94

#### Class

#### C:
Net

assets,

at

value

.....................................

$22,571,899

$45,167,848

$67,998,689

Shares

outstanding

......................................

146,448

5,433,207

2,563,799

Net

asset

value

and

maximum

offering

price

per

share

a,b

..........

$154.13

$8.31

$26.52

#### Class

#### R:
Net

assets,

at

value

.....................................

$—

$33,525,075

$25,147,654

Shares

outstanding

......................................

—

4,060,396

634,251

Net

asset

value

and

maximum

offering

price

per

share

b

...........

$—

$8.26

$39.65

#### Class

#### R6:
Net

assets,

at

value

.....................................

$13,158,425

$282,963,666

$408,527,105

Shares

outstanding

......................................

69,918

34,022,747

7,307,798

Net

asset

value

and

maximum

offering

price

per

share

b

...........

$188.20

$8.32

$55.90

#### Advisor

#### Class:
Net

assets,

at

value

.....................................

$139,744,432

$341,568,199

$323,349,178

Shares

outstanding

......................................

758,068

41,079,666

5,972,224

Net

asset

value

and

maximum

offering

price

per

share

b

...........

$184.34

$8.31

$54.14

a

Redemption

price

is

equal

to

net

asset

value

less

contingent

deferred

sales

charges,

if

applicable.

b

Net

asset

value

per

share

may

not

recalculate

due

to

rounding.

Franklin

Strategic

Series

Financial

Statements

Statements

of

Assets

and

Liabilities

(continued)

April

30,

2026

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Franklin

#### Natural

#### Resources

#### Fund

#### Franklin

#### Small

#### Cap

#### Growth

#### Fund

#### Franklin

#### Small-

#### Mid

#### Cap

#### Growth

#### Fund
Assets:

Investments

in

securities:

Cost

-

Unaffiliated

issuers

.................................

$280,901,749

$1,734,004,710

$2,313,327,020

Cost

-

Non-controlled

affiliates

(Note

f)

......................

20,455,294

63,346,375

74,959,605

Value

-

Unaffiliated

issuers

(Includes

securities

loaned

of

$12,988,816,

$52,624,457

and

$—,

respectively)

..........................

$532,151,157

$2,431,455,267

$3,421,929,367

Value

-

Non-controlled

affiliates

(Note

f)

......................

20,455,294

63,346,375

74,959,605

Cash

..................................................

106,660

—

6,840

Foreign

currency,

at

value

(cost

$81,082,

$–

and

$166,

respectively)

..

81,170

—

Receivables:

Investment

securities

sold

(Includes

securities

loaned

$–,

$659,884

and

$–

respectively)

.....................................

13,633

8,024,054

39,684,882

Capital

shares

sold

......................................

475,050

532,160

646,247

Dividends

and

interest

...................................

265,462

173,340

725,732

European

Union

tax

reclaims

(Note

i)

.......................

65,052

—

—

Due

from

custodian

......................................

—

1,198,750

—

Total

assets

........................................

553,613,478

2,504,729,946

3,537,952,844

Liabilities:

Payables:

Investment

securities

purchased

............................

947,270

1,064,280

—

Capital

shares

redeemed

.................................

414,660

12,960,156

2,185,246

Management

fees

.......................................

212,261

1,220,464

1,290,045

Distribution

fees

........................................

93,950

210,207

568,976

Transfer

agent

fees

......................................

117,327

532,122

986,223

Trustees'

fees

and

expenses

...............................

Funds

advanced

by

custodian

...............................

—

198,324

—

Payable

upon

return

of

securities

loaned

(Note

e)

................

12,868,615

53,117,575

—

Accrued

expenses

and

other

liabilities

.........................

43,314

139,285

169,259

Total

liabilities

.......................................

14,697,496

69,442,547

5,199,965

Net

assets,

at

value

...............................

$538,915,982

$2,435,287,399

$3,532,752,879

Net

assets

consist

of:

Paid-in

capital

...........................................

$413,537,403

$1,422,126,677

$2,353,006,343

Total

distributable

earnings

(losses)

...........................

125,378,579

1,013,160,722

1,179,746,536

Net

assets,

at

value

...............................

$538,915,982

$2,435,287,399

$3,532,752,879

Franklin

Strategic

Series

Financial

Statements

Statements

of

Assets

and

Liabilities

(continued)

April

30,

2026

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

#### Franklin

#### Natural

#### Resources

#### Fund

#### Franklin

#### Small

#### Cap

#### Growth

#### Fund

#### Franklin

#### Small-

#### Mid

#### Cap

#### Growth

#### Fund

#### Class

#### A:
Net

assets,

at

value

.....................................

$389,698,549

$873,630,329

$2,595,224,470

Shares

outstanding

......................................

8,546,118

36,008,822

68,026,218

Net

asset

value

per

share

a,b

................................

$45.60

$24.26

$38.15

Maximum

offering

price

per

share

(net

asset

value

per

share

÷

94.50%)

b

..............................................

$48.25

$25.67

$40.37

#### Class

#### C:
Net

assets,

at

value

.....................................

$18,181,552

$17,343,081

$41,625,312

Shares

outstanding

......................................

408,925

1,106,148

2,743,939

Net

asset

value

and

maximum

offering

price

per

share

a,b

..........

$44.46

$15.68

$15.17

#### Class

#### R:
Net

assets,

at

value

.....................................

$—

$48,833,074

$34,130,448

Shares

outstanding

......................................

—

2,269,284

1,093,125

Net

asset

value

and

maximum

offering

price

per

share

b

...........

$—

$21.52

$31.22

#### Class

#### R6:
Net

assets,

at

value

.....................................

$19,396,026

$1,151,091,967

$437,861,376

Shares

outstanding

......................................

389,460

39,474,981

9,157,059

Net

asset

value

and

maximum

offering

price

per

share

b

...........

$49.80

$29.16

$47.82

#### Advisor

#### Class:
Net

assets,

at

value

.....................................

$111,639,855

$344,388,948

$423,911,273

Shares

outstanding

......................................

2,259,931

12,227,193

9,198,420

Net

asset

value

and

maximum

offering

price

per

share

b

...........

$49.40

$28.17

$46.09

a

Redemption

price

is

equal

to

net

asset

value

less

contingent

deferred

sales

charges,

if

applicable.

b

Net

asset

value

per

share

may

not

recalculate

due

to

rounding.

Franklin

Strategic

Series

Financial

Statements

Statements

of

Operations

for

the

year

ended

April

30,

2026

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Franklin

#### Biotechnology

#### Discovery

#### Fund

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund

#### Franklin

#### Growth

#### Opportunities

#### Fund
Investment

income:

Dividends:

(net

of

foreign

taxes

of

$2,384,

$–

and

$58,437,

respectively)

Unaffiliated

issuers

......................................

$3,565,905

$114,279

$14,836,331

Non-controlled

affiliates

(Note

f)

...........................

728,255

4,256,023

1,104,970

Interest:

Unaffiliated

issuers

......................................

—

127,813,171

—

Income

from

securities

loaned:

Unaffiliated

entities

(net

of

fees

and

rebates)

...................

(517,768)

12,459

(697,248)

Non-controlled

affiliates

(Note

f)

...........................

1,177,751

4,804

759,446

Total

investment

income

.................................

4,954,143

132,200,736

16,003,499

Expenses:

Management

fees

(Note

a)

.................................

5,380,598

9,035,652

24,268,214

Distribution

fees:

(Note

3c)

&nbsp;&nbsp;&nbsp;&nbsp;Class

A

..............................................

1,834,630

5,057,427

9,150,742

&nbsp;&nbsp;&nbsp;&nbsp;Class

C

..............................................

202,109

305,467

762,908

&nbsp;&nbsp;&nbsp;&nbsp;Class

R

..............................................

—

171,023

130,470

Transfer

agent

fees:

(Note

3e)

&nbsp;&nbsp;&nbsp;&nbsp;Class

A

..............................................

896,470

2,825,585

3,072,065

&nbsp;&nbsp;&nbsp;&nbsp;Class

C

..............................................

24,857

65,466

64,243

&nbsp;&nbsp;&nbsp;&nbsp;Class

R

..............................................

—

47,724

21,932

&nbsp;&nbsp;&nbsp;&nbsp;Class

R6

.............................................

14,443

63,726

72,616

&nbsp;&nbsp;&nbsp;&nbsp;Advisor

Class

..........................................

144,189

420,845

279,522

Custodian

fees

..........................................

4,447

17,900

24,954

Reports

to

shareholders

fees

................................

79,251

282,439

213,823

Registration

and

filing

fees

..................................

88,876

119,636

91,715

Professional

fees

.........................................

107,254

288,620

138,980

Trustees'

fees

and

expenses

................................

9,894

27,991

48,949

Marketplace

lending

fees

(Note

h)

...........................

—

546,604

—

Other

..................................................

29,668

180,249

118,357

Total

expenses

.......................................

8,816,686

19,456,354

38,459,490

Expenses

waived/paid

by

affiliates

(Note

f

and

g)

............

(91,716)

(2,187,640)

(86,905)

Net

expenses

.......................................

8,724,970

17,268,714

38,372,585

Net

investment

income

(loss)

..........................

(3,770,827)

114,932,022

(22,369,086)

Franklin

Strategic

Series

Financial

Statements

Statements

of

Operations

(continued)

for

the

year

ended

April

30,

2026

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

#### Franklin

#### Biotechnology

#### Discovery

#### Fund

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund

#### Franklin

#### Growth

#### Opportunities

#### Fund
Realized

and

unrealized

gains

(losses):

Net

realized

gain

(loss)

from:

Investments:

\*

Unaffiliated

issuers

....................................

132,431,714

(16,231,490)

719,356,046

Non-controlled

affiliates

(Note

f)

..........................

—

338,565

—

Written

options

.........................................

—

1,771,572

—

Foreign

currency

transactions

..............................

1,922

11,840

—

Forward

exchange

contracts

...............................

—

(339,383)

—

Futures

contracts

.......................................

—

(2,182,585)

—

TBA

sale

commitments

...................................

—

3,064,225

—

Swap

contracts

.........................................

—

(2,182,807)

—

Net

realized

gain

(loss)

................................

132,433,636

(15,750,063)

719,356,046

Net

change

in

unrealized

appreciation

(depreciation)

on:

Investments:

Unaffiliated

issuers

....................................

301,996,177

23,149,775

137,236,875

Non-controlled

affiliates

(Note

f)

..........................

—

(1,061,917)

—

Translation

of

other

assets

and

liabilities

denominated

in

foreign

currencies

...........................................

(5) (1,721)

—

Unfunded

commitments

(Note

c)

...........................

311,468

—

—

Unfunded

loan

commitments

(Note

8)

........................

—

(24) —

Written

options

.........................................

—

(106,771)

—

Forward

exchange

contracts

...............................

—

144,902

—

Futures

contracts

.......................................

—

(2,216,598)

—

TBA

sale

commitments

...................................

—

143,358

—

Swap

contracts

.........................................

—

(252,763)

—

Change

in

deferred

tax

benefit

.............................

—

(287,971)

—

Net

change

in

unrealized

appreciation

(depreciation)

..........

302,307,640

19,510,270

137,236,875

Net

realized

and

unrealized

gain

(loss)

..........................

434,741,276

3,760,207

856,592,921

Net

increase

(decrease)

in

net

assets

resulting

from

operations

........

$430,970,449

$118,692,229

$834,223,835

Franklin

Strategic

Series

Financial

Statements

Statements

of

Operations

(continued)

for

the

year

ended

April

30,

2026

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Franklin

#### Natural

#### Resources

#### Fund

#### Franklin

#### Small

#### Cap

#### Growth

#### Fund

#### Franklin

#### Small-

#### Mid

#### Cap

#### Growth

#### Fund
Investment

income:

Dividends:

(net

of

foreign

taxes

of

$404,047,

$–

and

$–,

respectively)

Unaffiliated

issuers

......................................

$8,508,739

$7,808,790

$17,622,223

Non-controlled

affiliates

(Note

f)

...........................

372,469

1,668,928

2,630,648

Interest:

Unaffiliated

issuers

......................................

77,907

—

103,876

Income

from

securities

loaned:

Unaffiliated

entities

(net

of

fees

and

rebates)

...................

(375,984)

(1,569,913)

(273,403)

Non-controlled

affiliates

(Note

f)

...........................

459,264

1,928,892

373,347

Other

income

(Note

1i)

.....................................

63,005

—

—

Total

investment

income

.................................

9,105,400

9,836,697

20,456,691

Expenses:

Management

fees

(Note

a)

.................................

1,993,550

15,248,855

17,048,347

Distribution

fees:

(Note

3c)

&nbsp;&nbsp;&nbsp;&nbsp;Class

A

..............................................

715,888

2,129,580

6,850,563

&nbsp;&nbsp;&nbsp;&nbsp;Class

C

..............................................

154,305

188,919

477,203

&nbsp;&nbsp;&nbsp;&nbsp;Class

R

..............................................

—

226,686

176,179

Transfer

agent

fees:

(Note

3e)

&nbsp;&nbsp;&nbsp;&nbsp;Class

A

..............................................

406,877

1,552,754

3,361,698

&nbsp;&nbsp;&nbsp;&nbsp;Class

C

..............................................

22,096

34,519

58,772

&nbsp;&nbsp;&nbsp;&nbsp;Class

R

..............................................

—

82,586

43,191

&nbsp;&nbsp;&nbsp;&nbsp;Class

R6

.............................................

8,143

351,158

176,088

&nbsp;&nbsp;&nbsp;&nbsp;Advisor

Class

..........................................

104,662

630,027

550,080

Custodian

fees

..........................................

5,009

13,779

28,126

Reports

to

shareholders

fees

................................

39,138

177,980

269,042

Registration

and

filing

fees

..................................

45,900

94,571

71,909

Professional

fees

.........................................

89,132

120,188

127,925

Trustees'

fees

and

expenses

................................

4,395

27,021

41,028

Other

..................................................

47,453

58,197

85,375

Total

expenses

.......................................

3,636,548

20,936,820

29,365,526

Expenses

waived/paid

by

affiliates

(Note

f

and

g)

............

(44,498)

(163,897)

(185,250)

Net

expenses

.......................................

3,592,050

20,772,923

29,180,276

Net

investment

income

(loss)

..........................

5,513,350

(10,936,226)

(8,723,585)

Realized

and

unrealized

gains

(losses):

Net

realized

gain

(loss)

from:

Investments:

Unaffiliated

issuers

....................................

25,796,403

384,753,801

264,955,392

Foreign

currency

transactions

..............................

15,489

—

—

Net

realized

gain

(loss)

................................

25,811,892

384,753,801

264,955,392

Net

change

in

unrealized

appreciation

(depreciation)

on:

Investments:

Unaffiliated

issuers

....................................

162,285,186

270,177,712

245,936,725

Translation

of

other

assets

and

liabilities

denominated

in

foreign

currencies

...........................................

(1,700)

—

Net

change

in

unrealized

appreciation

(depreciation)

..........

162,283,486

270,177,712

245,936,729

Net

realized

and

unrealized

gain

(loss)

..........................

188,095,378

654,931,513

510,892,121

Net

increase

(decrease)

in

net

assets

resulting

from

operations

........

$193,608,728

$643,995,287

$502,168,536

\*

Includes

gains

from

redemption

in-kind.

See

Note

11. Franklin

Strategic

Series

Financial

Statements

Statements

of

Changes

in

Net

Assets

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

#### Franklin

#### Biotechnology

#### Discovery

#### Fund

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund

#### Year

#### Ended

#### April

#### 30,

#### 2026

#### Year

#### Ended

#### April

#### 30,

#### 2025

#### Year

#### Ended

#### April

#### 30,

#### 2026

#### Year

#### Ended

#### April

#### 30,

#### 2025
Increase

(decrease)

in

net

assets:

Operations:

Net

investment

income

(loss)

.......

$(3,770,827)

$(2,590,143)

$114,932,022

$119,294,173

Net

realized

gain

(loss)

............

132,433,636

73,170,652

(15,750,063)

(38,648,459)

Net

change

in

unrealized

appreciation

(depreciation)

.................

302,307,640

(94,432,247)

19,510,270

93,676,023

Net

increase

(decrease)

in

net

assets

resulting

from

operations

.

430,970,449

(23,851,738)

118,692,229

174,321,737

Distributions

to

shareholders:

Class

A

........................

(83,604,188)

(58,160,749)

(86,978,395)

(95,594,345)

Class

C

........................

(2,442,259)

(2,094,936)

(1,820,476)

(2,412,060)

Class

R

........................

—

—

(1,393,969)

(1,613,364)

Class

R6

.......................

(1,454,759)

(718,012)

(7,647,352)

(6,689,754)

Advisor

Class

...................

(13,121,806)

(10,336,804)

(13,660,378)

(13,313,957)

Total

distributions

to

shareholders

.....

(100,623,012)

(71,310,501)

(111,500,570)

(119,623,480)

Capital

share

transactions:

(Note

2)

Class

A

........................

(2,040,920)

(38,843,761)

47,867,343

(133,993,404)

Class

C

........................

(1,895,840)

(7,618,126)

(4,826,778)

(16,499,318)

Class

R

........................

—

—

(1,542,895)

(1,822,597)

Class

R6

.......................

2,873,926

(2,735,688)

152,958,148

(5,214,894)

Advisor

Class

...................

659,401

(22,539,823)

77,426,224

(14,309,594)

Total

capital

share

transactions

.......

(403,433)

(71,737,398)

271,882,042

(171,839,807)

Net

increase

(decrease)

in

net

assets

.....................

329,944,004

(166,899,637)

279,073,701

(117,141,550)

Net

assets:

Beginning

of

year

..................

707,416,266

874,315,903

2,468,245,569

2,585,387,119

End

of

year

......................

$1,037,360,270

$707,416,266

$2,747,319,270

$2,468,245,569

Franklin

Strategic

Series

Financial

Statements

Statements

of

Changes

in

Net

Assets

(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Franklin

#### Growth

#### Opportunities

#### Fund

#### Franklin

#### Natural

#### Resources

#### Fund

#### Year

#### Ended

#### April

#### 30,

#### 2026

#### Year

#### Ended

#### April

#### 30,

#### 2025

#### Year

#### Ended

#### April

#### 30,

#### 2026

#### Year

#### Ended

#### April

#### 30,

#### 2025
Increase

(decrease)

in

net

assets:

Operations:

Net

investment

income

(loss)

.......

$(22,369,086)

$(13,326,269)

$5,513,350

$5,936,093

Net

realized

gain

(loss)

............

719,356,046

635,930,982

25,811,892

40,252,844

Net

change

in

unrealized

appreciation

(depreciation)

.................

137,236,875

(271,511,394)

162,283,486

(69,393,925)

Net

increase

(decrease)

in

net

assets

resulting

from

operations

.

834,223,835

351,093,319

193,608,728

(23,204,988)

Distributions

to

shareholders:

Class

A

........................

(612,663,084)

(369,084,244)

(4,817,152)

(5,502,509)

Class

C

........................

(19,015,638)

(12,622,834)

(160,066)

(182,237)

Class

R

........................

(4,900,231)

(3,415,709)

—

—

Class

R6

.......................

(56,931,350)

(34,745,269)

(219,156)

(189,377)

Advisor

Class

...................

(48,211,191)

(28,758,057)

(1,265,420)

(1,473,063)

Total

distributions

to

shareholders

.....

(741,721,494)

(448,626,113)

(6,461,794)

(7,347,186)

Capital

share

transactions:

(Note

2)

Class

A

........................

122,601,424

13,326,108

29,895,817

(27,661,206)

Class

C

........................

(2,901,437)

(6,183,112)

(2,366,776)

(2,902,346)

Class

R

........................

(123,716)

(2,540,912)

—

—

Class

R6

.......................

16,732,533

(1,469,348)

7,011,085

(408,268)

Advisor

Class

...................

5,135,808

16,896,851

23,343,521

(18,065,354)

Total

capital

share

transactions

.......

141,444,612

20,029,587

57,883,647

(49,037,174)

Net

increase

(decrease)

in

net

assets

.....................

233,946,953

(77,503,207)

245,030,581

(79,589,348)

Net

assets:

Beginning

of

year

..................

4,160,453,860

4,237,957,067

293,885,401

373,474,749

End

of

year

......................

$4,394,400,813

$4,160,453,860

$538,915,982

$293,885,401

Franklin

Strategic

Series

Financial

Statements

Statements

of

Changes

in

Net

Assets

(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

#### Franklin

#### Small

#### Cap

#### Growth

#### Fund

#### Franklin

#### Small-Mid

#### Cap

#### Growth

#### Fund

#### Year

#### Ended

#### April

#### 30,

#### 2026

#### Year

#### Ended

#### April

#### 30,

#### 2025

#### Year

#### Ended

#### April

#### 30,

#### 2026

#### Year

#### Ended

#### April

#### 30,

#### 2025
Increase

(decrease)

in

net

assets:

Operations:

Net

investment

income

(loss)

.......

$(10,936,226)

$(11,377,359)

$(8,723,585)

$(5,524,130)

Net

realized

gain

(loss)

............

384,753,801

144,656,230

264,955,392

307,720,259

Net

change

in

unrealized

appreciation

(depreciation)

.................

270,177,712

(178,380,414)

245,936,729

(192,741,089)

Net

increase

(decrease)

in

net

assets

resulting

from

operations

.

643,995,287

(45,101,543)

502,168,536

109,455,040

Distributions

to

shareholders:

Class

A

........................

(72,040,761)

—

(202,149,326)

—

Class

C

........................

(2,329,693)

—

(7,705,668)

—

Class

R

........................

(4,258,273)

—

(3,099,620)

—

Class

R6

.......................

(82,542,335)

—

(27,526,306)

(584,008)

Advisor

Class

...................

(24,999,071)

—

(27,635,120)

(36,409)

Total

distributions

to

shareholders

.....

(186,170,133)

—

(268,116,040)

(620,417)

Capital

share

transactions:

(Note

2)

Class

A

........................

(55,079,343)

(82,255,977)

(165,615,063)

(300,799,425)

Class

C

........................

(4,584,322)

(2,290,623)

(5,737,002)

(13,148,119)

Class

R

........................

933,597

3,114,250

(603,930)

(5,075,773)

Class

R6

.......................

(193,227,775)

(332,174,220)

(35,047,398)

(122,929,048)

Advisor

Class

...................

(48,928,040)

(55,318,476)

(26,269,429)

(30,964,132)

Total

capital

share

transactions

.......

(300,885,883)

(468,925,046)

(233,272,822)

(472,916,497)

Net

increase

(decrease)

in

net

assets

.....................

156,939,271

(514,026,589)

779,674

(364,081,874)

Net

assets:

Beginning

of

year

..................

2,278,348,128

2,792,374,717

3,531,973,205

3,896,055,079

End

of

year

......................

$2,435,287,399

$2,278,348,128

$3,532,752,879

$3,531,973,205

Franklin

Strategic

Series

franklintempleton.com

Annual

Report

Notes

to

Financial

Statements

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
Franklin

Strategic

Series

(Trust)

is

registered

under

the

Investment

Company

Act

of

1940

(1940

Act)

as

an

open-end

management

investment

company,

consisting

of t

welve

separate

funds,

six

of

which

are

included

in

this

report (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. The

classes

of

shares

offered

within

each

of

the

Funds

are

indicated

below.

Class

C

shares

automatically

convert

to

Class

A

shares

on

a

monthly

basis,

after

they

have

been

held

for

years.

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.

#### Class

#### A,

#### Class

#### C,

#### Class

#### R6

#### &

#### Advisor

#### Class
Franklin

Biotechnology

Discovery

Fund

Franklin

Natural

Resources

Fund

#### A,

#### Class

#### C,

#### Class

#### R,

#### Class

#### R6

#### &

#### Advisor

#### Class
Franklin

Core

Plus

Bond

Fund

Franklin

Growth

Opportunities

Fund

Franklin

Small

Cap

Growth

Fund

Franklin

Small-Mid

Cap

Growth

Fund

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.

Certain

derivative

financial

instruments

are

centrally

cleared

or

trade

in

the

OTC

market.

The

Funds' pricing

services

use

various

techniques

including

industry

standard

option

pricing

models

and

proprietary

discounted

cash

flow

models

to

determine

the

fair

value

of

those

instruments.

The

Funds' net

Franklin

Strategic

Series

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

benefit

or

obligation

under

the

derivative

contract,

as

measured

by

the

fair

value

of

the

contract,

is

included

in

net

assets.

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.

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

April

30,

2026,

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

#### and

#### TBA

#### Basis
Certain

or

all

Funds

may

purchase

securities

on

a

when-

issued,

forward

commitment

or

delayed

delivery and to-

be-announced

(TBA)

basis,

with

payment

and

delivery

scheduled

for

a

future

date.

These

transactions

are

subject

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

a. #### Financial

#### Instrument

#### Valuation
(continued)

Franklin

Strategic

Series

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

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.

Collateral

has

been

pledged

and/or

received

for

open

TBA

trades.

These

types

of

securities

may

be

considered

unfunded

and

the

Fund

may

be

obligated

to

perform

on

such

agreements

at

a

future

date.

Unfunded

commitments

are

marked

to

market

daily

and

any

unrealized

appreciation

or

depreciation

is

included

in

the

Statement

of

Assets

and

Liabilities

and

the

Statement

of

Operations.

At

April

30,

2026,

unfunded

commitments

were

as

follows:

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

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.

Derivative

counterparty

credit

risk

is

managed

through

a

formal

evaluation

of

the

creditworthiness

of

all

potential

counterparties.

Certain

or

all

Funds

attempt

to

reduce

their

exposure

to

counterparty

credit

risk

on

OTC

derivatives,

whenever

possible,

by

entering

into

International

Swaps

and

Derivatives

Association

(ISDA)

master

agreements

with

certain

counterparties.

These

agreements

contain

various

provisions,

including

but

not

limited

to

collateral

requirements,

events

of

default,

or

early

termination.

Termination

events

applicable

to

the

counterparty

include

certain

deteriorations

in

the

credit

quality

of

the

counterparty.

Termination

events

applicable

to

the

Funds

include

failure

of

the

Funds

to

maintain

certain

net

asset

levels

and/or

limit

the

decline

in

net

assets

over

various

periods

of

time.

In

the

event

of

default

or

early

termination,

the

ISDA

master

agreement

gives

the

non-defaulting

party

the

right

to

net

and

close-out

all

transactions

traded,

whether

or

not

arising

under

the

ISDA

agreement,

to

one

net

amount

payable

by

one

counterparty

to

the

other.

However,

absent

an

event

of

default

or

early

termination,

OTC

derivative

assets

and

liabilities

are

presented

gross

and

not

offset

in

the

Statements

of

Assets

and

Liabilities.

Early

termination

by

the

counterparty

may

result

in

an

immediate

payment

by

the

Funds

of

any

net

liability

owed

to

that

counterparty

under

the

ISDA

agreement.

At

April

30,

2026,

certain

or

all

Funds

had

OTC

derivatives

in

a

net

liability

position

by

counterparty

and

the

aggregate

value

of

collateral

pledged

for

such

contracts

was

as

follows:

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.

For

OTC

derivatives

traded

under

an

ISDA

master

agreement,

posting

of

collateral

is

required

by

either

the

Fund

or

the

applicable

counterparty

if

the

total

net

exposure

of

all

OTC

derivatives

with

the

applicable

counterparty

exceeds

the

minimum

transfer

amount,

which

typically

ranges

from

$100,000

to

$250,000,

and

can

vary

depending

on

the

counterparty

and

the

type

of

agreement.

Generally,

collateral

is

determined

at

the

close

of

Fund

business

each

day

and

any

additional

collateral

required

due

to

changes

in

derivative

values

may

be

delivered

by

the

Fund

or

the

counterparty

the

next

business

day,

or

within

a

few

business

days.

Collateral

pledged

and/or

received

by

the

Fund

for

OTC

derivatives,

if

any,

is

held

in

segregated

accounts

with

the

Fund's

custodian/counterparty

broker

and

can

be

in

the

form

of

cash

and/or

securities.

Unrestricted

#### Investment

#### Unfunded

#### Commitment

#### Franklin

#### Biotechnology

#### Discovery

#### Fund
Candid

Therapeutics,

Inc.,

$3,046,668

Obsidian

Therapeutics,

Inc.,

C

$3,667,504

$6,714,172

Net

Liability

Position

Aggregate

Value

of

Collateral

Pledged

Franklin

Core

Plus

Bond

Fund

$1,457,743

$1,300,000

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

c. #### Securities

#### Purchased

#### on

#### a

#### When-Issued,

#### Forward Commitment or

#### Delayed

#### Delivery

#### Basis

#### and

#### TBA

#### Basis
(continued)

Franklin

Strategic

Series

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

cash

may

be

invested

according

to

the

Funds'

investment

objectives.

To

the

extent

that

the

amounts

due

to

the

Fund

from

its

counterparties

are

not

subject

to

collateralization

or

are

not

fully

collateralized,

the

Fund

bears

the

risk

of

loss

from

counterparty

non-performance.

Certain

or

all

Funds

entered

into

exchange

traded

futures

contracts

primarily

to

manage

and/or

gain

exposure

to

interest

rate

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.

Certain

or

all

Funds

entered

into

OTC

forward

exchange

contracts

primarily

to

manage

and/or

gain

exposure

to

certain

foreign

currencies.

A

forward

exchange

contract

is

an

agreement

between

the

Fund

and

a

counterparty

to

buy

or

sell

a

foreign

currency at

a

specific

exchange

rate

on

a

future

date. Forward

exchange

contracts

outstanding

at

period

end,

if

any,

are

listed

in

the

Funds'

Schedules

of

Investments.

Certain

or

all

Funds

entered

into

credit

default

swap

contracts

primarily

to

manage

and/or

gain

exposure

to

credit

risk.

A

credit

default

swap

is

an

agreement

between

the

Fund

and

a

counterparty

whereby

the

buyer

of

the

contract

receives

credit

protection

and

the

seller

of

the

contract

guarantees

the

credit

worthiness

of

a

referenced

debt

obligation.

These

agreements

may

be

privately

negotiated

in

the

over-the-counter

market

(OTC

credit

default

swaps)

or

may

be

executed

in

a

multilateral

trade

facility

platform,

such

as

a

registered

exchange

(centrally

cleared

credit

default

swaps).

The

underlying

referenced

debt

obligation

may

be

a

single

issuer

of

corporate

or

sovereign

debt,

a

credit

index,

a

basket

of

issuers

or

indices,

or

a

tranche

of

a

credit

index

or

basket

of

issuers

or

indices.

In

the

event

of

a

default

of

the

underlying

referenced

debt

obligation,

the

buyer

is

entitled

to

receive

the

notional

amount

of

the

credit

default

swap

contract

from

the

seller

in

exchange

for

the

referenced

debt

obligation,

a

net

settlement

amount

equal

to

the

notional

amount

of

the

credit

default

swap

less

the

recovery

value

of

the

referenced

debt

obligation,

or

other

agreed

upon

amount.

For

centrally

cleared

credit

default

swaps,

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

Consolidated

Statements

of

Assets

and

Liabilities.

Over

the

term

of

the

contract,

the

buyer

pays

the

seller

a

periodic

stream

of

payments,

provided

that

no

event

of

default

has

occurred.

Such

periodic

payments

are

accrued

daily

as

an

unrealized

appreciation or

depreciation

until

the

payments

are

made,

at

which

time

they

are

realized.

Upfront

payments

and

receipts

are

reflected

in

the Statements

of

Assets

and

Liabilities

and

represent

compensating

factors

between

stated

terms

of

the

credit

default

swap

agreement

and

prevailing

market

conditions

(credit

spreads

and

other

relevant

factors).

These

upfront

payments

and

receipts

are

amortized

over

the

term

of

the

contract

as

a

realized

gain

or

loss

in

the

Statements

of

Operations.

Credit

default

swap

contracts

outstanding

at

period

end,

if

any,

are

listed

in

the

Funds'

Schedules

of

Investments.

Certain

or

all

Funds

purchased

or

wrote

exchange

traded and/or

OTC option

contracts

primarily

to

manage

and/

or

gain

exposure

to

equity

volatility

and

credit risk.

An

option

is

a

contract

entitling

the

holder

to

purchase

or

sell

a

specific

amount

of

shares

or

units

of

an

asset

or

notional

amount

of

a

swap

(swaption),

at

a

specified

price.

When

an

option

is

purchased

or

written,

an

amount

equal

to

the

premium

paid

or

received

is

recorded

as

an

asset

or

liability,

respectively.

Upon

exercise

of

an

option,

the

acquisition

cost

or

sales

proceeds

of

the

underlying

investment

is

adjusted

by

any

premium

received

or

paid.

Upon

expiration

of

an

option,

any

premium

received

or

paid

is

recorded

as

a

realized

gain

or

loss.

Upon

closing

an

option

other

than

through

expiration

or

exercise,

the

difference

between

the

premium

received

or

paid

and

the

cost

to

close

the

position

is

recorded

as

a

realized

gain

or

loss.

Option

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

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

d. #### Derivative

#### Financial

#### Instruments
(continued)

Franklin

Strategic

Series

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

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,

and/or

uninvested

cash

as

included

in

due

from

custodian

in

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. #### Mortgage

#### Dollar

#### Rolls
Certain

or

all

Funds

enter

into

mortgage

dollar

rolls,

typically

on

a

TBA

basis.

Mortgage

dollar

rolls

are

agreements

between

the

Fund

and

a

financial

institution

where

the

Fund

sells

(or

buys)

mortgage-backed

securities

for

delivery

on

a

specified

date

and

simultaneously

contracts

to

repurchase

(or

sell)

substantially

similar

(same

type,

coupon,

and

maturity)

securities

at

a

future

date

and

at

a

predetermined

price.

Gains

or

losses

are

realized

on

the

initial

sale,

and

the

difference

between

the

repurchase

price

and

the

sale

price

is

recorded

as

an

unrealized

gain

or

loss

to

the

Fund

upon

entering

into

the

mortgage

dollar

roll.

In

addition,

the

Fund

may

invest

the

cash

proceeds

that

are

received

from

the

initial

sale.

During

the

period

between

the

sale

and

repurchase,

the

Fund

is

not

entitled

to

principal

and

interest

paid

on

the

mortgage

backed

securities.

Transactions

in

mortgage

dollar

rolls

are

accounted

for

as

purchases

and

sales

and

may

result

in

an

increase

to

the

Fund's

portfolio

turnover

rate.

The

risks

of

mortgage

dollar

roll

transactions

include

the

potential

inability

of

the

counterparty

to

fulfill

its

obligations.

g. #### Senior

#### Floating

#### Rate

#### Interests
Certain

or

all

Funds

invest

in

senior

secured

corporate

loans

that

pay

interest

at

rates

which

are

periodically

reset

by

reference

to

a

base

lending

rate

plus

a

spread.

These

base

lending

rates

are

generally

the

prime

rate

offered

by

a

designated

U.S.

bank

or

the

Secured

Overnight

Financing

Rate

(SOFR).

Senior

secured

corporate

loans

often

require

prepayment

of

principal

from

excess

cash

flows

or

at

the

discretion

of

the

borrower.

As

a

result,

actual

maturity

may

be

substantially

less

than

the

stated

maturity.

Senior

secured

corporate

loans

in

which

the

Funds

invest

are

generally

readily

marketable,

but

may

be

subject

to

certain

restrictions

on

resale.

h. #### Marketplace

#### Lending
Certain

or

all

Funds

invest in

loans

obtained

through

marketplace

lending.

Marketplace

lending,

sometimes

referred

to

as

peer-to-peer

lending,

is

a

method

of

financing

in

which

a

platform

facilitates

the

borrowing

and

lending

of

money.

It

is

considered

an

alternative

to

more

traditional

forms

of

debt

financing.

Prospective

borrowers

are

required

to

provide

certain

financial

information

to

the

platform,

including,

but

not

limited

to,

the

intended

purpose

of

the

loan,

income,

employment

information,

credit

score,

debt-

to-income

ratio,

credit

history

(including

defaults

and

delinquencies)

and

home

ownership

status.

Based

on

this

and

other

information,

the

platform

assigns

its

own

credit

rating

to

the

borrower

and

sets

the

interest

rate

for

the

requested

loan.

The

platform

then

posts

the

borrowing

requests

online,

giving

investors

the

opportunity

to

purchase

the

loans

based

on

factors

such

as

the

interest

rates

and

expected

yields

of

the

loans,

the

borrower

background

data,

and

the

credit

rating

assigned

by

the

platform.

When

the

Funds

invest

in

these

loans,

they

usually

purchase

all

rights,

title

and

interest

in

the

loans

pursuant

to

a

loan

purchase

agreement

directly

from

the

platform.

The

platform

or

a

third-party

servicer

typically

continues

to

service

the

loans,

collecting

payments

and

distributing

them

to

the

Funds,

less

any

servicing

fees

assessed.

The

servicer

is

typically

responsible

for

taking

actions

against

a

borrower

in

the

event

of

a

default

on

the

loan.

Servicing

fees,

along

with

other

administration

fees,

are

included

in

marketplace

lending

fees

in

the

Statements

of

Operations.

The

Funds,

as

investors

in

a

loan,

would

be

entitled

to

receive

payment

only

from

the

borrower

and

would

not

be

able

to

recover

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

e. #### Securities

#### Lending
(continued)

Franklin

Strategic

Series

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

any

deficiency

from

the

platform,

except

under

very

narrow

circumstances.

The

loans

in

which

the

Funds

may

invest

are

unsecured.

i. #### 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

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

in

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

April

30,

2026, 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.

j. #### 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.

Paydown

gains

and

losses

are

recorded

as

an

adjustment

to

interest

income.

Certain

or

all

Funds

may

receive

other

income

from

investments

in

senior

secured

corporate

loans

or

unfunded

commitments,

including

amendment

fees,

consent

fees

or

commitment

fees.

These

fees

are

recorded

as

income

when

received

by

the

Funds.

Facility

fees

are

recognized

as

income

over

the

expected

term

of

the

loan.

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.

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

h. #### Marketplace

#### Lending
(continued)

Franklin

Strategic

Series

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

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.

Inflation-indexed

bonds

are

adjusted

for

inflation

through

periodic

increases

or

decreases

in

the

security's

interest

accruals,

face

amount,

or

principal

redemption

value,

by

amounts

corresponding

to

the

rate

of

inflation

as

measured

by

an

index.

Any

increase

or

decrease

in

the

face

amount

or

principal

redemption

value

will

be

included

as

interest

income in

the

Statements of

Operations.

k. #### 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.

l. #### 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.

2. #### Shares

#### of

#### Beneficial

#### Interest
At

April

30,

2026,

there

were

an

unlimited

number

of

shares

authorized

(without

par value).

Transactions

in

the

Funds'

shares

were

as

follows:

#### Franklin

#### Biotechnology

#### Discovery

#### Fund

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund

#### Shares

#### Amount

#### Shares

#### Amount
Class

A

#### Class

#### A

#### Shares:
Year

ended

April

30,

2026

Shares

sold

a

...................................

452,826

$71,581,297

39,993,641

$335,013,734

Shares

issued

in

reinvestment

of

distributions

..........

471,712

79,384,475

9,897,465

82,552,750

Shares

redeemed

...............................

(1,027,573)

(153,006,692)

(44,244,021)

(369,699,141)

Net

increase

(decrease)

..........................

(103,035)

$(2,040,920)

5,647,085

$47,867,343

Year

ended

April

30,

2025

Shares

sold

a

...................................

332,355

$44,053,974

22,481,003

$186,387,121

Shares

issued

in

reinvestment

of

distributions

..........

458,575

55,359,208

10,959,008

90,763,522

Shares

redeemed

...............................

(1,051,742)

(138,256,943)

(49,596,623)

(411,144,047)

Net

increase

(decrease)

..........................

(260,812)

$(38,843,761)

(16,156,612)

$(133,993,404)

Class

C

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

j. #### Security

#### Transactions,

#### Investment

#### Income,

#### Expenses

#### and

#### Distributions
(continued)

Franklin

Strategic

Series

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Biotechnology

#### Discovery

#### Fund

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund

#### Shares

#### Amount

#### Shares

#### Amount

#### Class

#### C

#### Shares:
Year

ended

April

30,

2026

Shares

sold

...................................

26,661

$3,563,880

1,562,595

$13,103,380

Shares

issued

in

reinvestment

of

distributions

..........

16,176

2,422,884

211,384

1,764,984

Shares

redeemed

a

..............................

(60,742)

(7,882,604)

(2,356,029)

(19,695,142)

Net

increase

(decrease)

..........................

(17,905)

$(1,895,840)

(582,050)

$(4,826,778)

Year

ended

April

30,

2025

Shares

sold

...................................

19,046

$2,353,553

753,774

$6,257,260

Shares

issued

in

reinvestment

of

distributions

..........

19,065

2,077,266

281,445

2,334,099

Shares

redeemed

a

..............................

(99,243)

(12,048,945)

(3,024,923)

(25,090,677)

Net

increase

(decrease)

..........................

(61,132)

$(7,618,126)

(1,989,704)

$(16,499,318)

Class

R

#### Class

#### R

#### Shares:
Year

ended

April

30,

2026

Shares

sold

...................................

—

$—

1,260,218

$10,482,036

Shares

issued

in

reinvestment

of

distributions

..........

—

—

167,768

1,392,158

Shares

redeemed

...............................

—

—

(1,616,566)

(13,417,089)

Net

increase

(decrease)

..........................

—

$—

(188,580)

$(1,542,895)

Year

ended

April

30,

2025

Shares

sold

...................................

—

$—

1,024,893

$8,467,666

Shares

issued

in

reinvestment

of

distributions

..........

—

—

195,600

1,611,622

Shares

redeemed

...............................

—

—

(1,443,030)

(11,901,885)

Net

increase

(decrease)

..........................

—

$—

(222,537)

$(1,822,597)

Class

R6

#### Class

#### R6

#### Shares:
Year

ended

April

30,

2026

Shares

sold

...................................

62,072

$10,713,579

22,290,109

$186,905,014

Shares

issued

in

reinvestment

of

distributions

..........

7,740

1,410,180

776,337

6,488,881

Shares

redeemed

...............................

(53,986)

(9,249,833)

(4,827,510)

(40,435,747)

Net

increase

(decrease)

..........................

15,826

$2,873,926

18,238,936

$152,958,148

Year

ended

April

30,

2025

Shares

sold

...................................

16,934

$2,422,327

2,929,164

$24,331,763

Shares

issued

in

reinvestment

of

distributions

..........

5,289

685,392

691,054

5,733,962

Shares

redeemed

...............................

(41,454)

(5,843,407)

(4,242,650)

(35,280,619)

Net

increase

(decrease)

..........................

(19,231)

$(2,735,688)

(622,432)

$(5,214,894)

Advisor

Class

2. #### Shares

#### of

#### Beneficial

#### Interest
(continued)

Franklin

Strategic

Series

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Biotechnology

#### Discovery

#### Fund

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund

#### Shares

#### Amount

#### Shares

#### Amount

#### Advisor

#### Class

#### Shares:
Year

ended

April

30,

2026

Shares

sold

...................................

203,282

$34,026,257

17,131,235

$143,549,189

Shares

issued

in

reinvestment

of

distributions

..........

72,286

12,903,771

1,200,545

10,031,756

Shares

redeemed

...............................

(288,166)

(46,270,627)

(9,102,941)

(76,154,721)

Net

increase

(decrease)

..........................

(12,598)

$659,401

9,228,839

$77,426,224

Year

ended

April

30,

2025

Shares

sold

...................................

220,200

$30,743,369

6,280,226

$52,139,748

Shares

issued

in

reinvestment

of

distributions

..........

80,296

10,216,149

1,138,066

9,442,088

Shares

redeemed

...............................

(477,052)

(63,499,341)

(9,142,865)

(75,891,430)

Net

increase

(decrease)

..........................

(176,556)

$(22,539,823)

(1,724,573)

$(14,309,594)

#### Franklin

#### Growth

#### Opportunities

#### Fund

#### Franklin

#### Natural

#### Resources

#### Fund

#### Shares

#### Amount

#### Shares

#### Amount
Class

A

#### Class

#### A

#### Shares:
Year

ended

April

30,

2026

Shares

sold

a

...................................

4,683,801

$223,489,392

2,541,925

$100,691,102

Shares

issued

in

reinvestment

of

distributions

..........

13,485,705

596,472,754

129,315

4,725,177

Shares

redeemed

...............................

(14,790,752)

(697,360,722)

(2,004,183)

(75,520,462)

Net

increase

(decrease)

..........................

3,378,754

$122,601,424

667,057

$29,895,817

Year

ended

April

30,

2025

Shares

sold

a

...................................

5,031,942

$250,874,920

925,041

$27,838,462

Shares

issued

in

reinvestment

of

distributions

..........

7,302,641

359,874,058

194,399

5,414,009

Shares

redeemed

...............................

(12,005,894)

(597,422,870)

(2,024,155)

(60,913,677)

Net

increase

(decrease)

..........................

328,689

$13,326,108

(904,715)

$(27,661,206)

Class

C

#### Class

#### C

#### Shares:
Year

ended

April

30,

2026

Shares

sold

...................................

291,912

$8,795,031

86,187

$3,223,767

Shares

issued

in

reinvestment

of

distributions

..........

729,395

18,942,404

4,463

159,430

Shares

redeemed

a

..............................

(1,032,731)

(30,638,872)

(157,628)

(5,749,973)

Net

increase

(decrease)

..........................

(11,424)

$(2,901,437)

(66,978)

$(2,366,776)

Year

ended

April

30,

2025

Shares

sold

...................................

356,759

$12,096,577

94,231

$2,813,600

Shares

issued

in

reinvestment

of

distributions

..........

387,090

12,580,477

6,634

180,856

Shares

redeemed

a

..............................

(910,033)

(30,860,166)

(201,667)

(5,896,802)

Net

increase

(decrease)

..........................

(166,184)

$(6,183,112)

(100,802)

$(2,902,346)

Class

R

2. #### Shares

#### of

#### Beneficial

#### Interest
(continued)

Franklin

Strategic

Series

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Growth

#### Opportunities

#### Fund

#### Franklin

#### Natural

#### Resources

#### Fund

#### Shares

#### Amount

#### Shares

#### Amount

#### Class

#### R

#### Shares:
Year

ended

April

30,

2026

Shares

sold

...................................

74,393

$3,207,758

—

$—

Shares

issued

in

reinvestment

of

distributions

..........

126,458

4,900,231

—

—

Shares

redeemed

...............................

(193,793)

(8,231,705)

—

—

Net

increase

(decrease)

..........................

7,058

$(123,716)

—

$—

Year

ended

April

30,

2025

Shares

sold

...................................

93,018

$4,125,976

—

$—

Shares

issued

in

reinvestment

of

distributions

..........

77,139

3,415,709

—

—

Shares

redeemed

...............................

(234,362)

(10,082,597)

—

—

Net

increase

(decrease)

..........................

(64,205)

$(2,540,912)

—

$—

Class

R6

#### Class

#### R6

#### Shares:
Year

ended

April

30,

2026

Shares

sold

...................................

1,978,710

$110,802,413

235,117

$9,847,873

Shares

issued

in

reinvestment

of

distributions

..........

1,043,128

56,881,762

5,498

219,156

Shares

redeemed

in-kind

(Not

e

11)

..................

(1,529,052)

(85,474,006)

—

—

Shares

redeemed

...............................

(1,136,364)

(65,477,636)

(75,943)

(3,055,944)

Net

increase

(decrease)

..........................

356,422

$16,732,533

164,672

$7,011,085

Year

ended

April

30,

2025

Shares

sold

...................................

455,037

$26,879,630

60,752

$1,999,816

Shares

issued

in

reinvestment

of

distributions

..........

591,573

34,713,486

6,248

189,377

Shares

redeemed

...............................

(1,077,443)

(63,062,464)

(79,392)

(2,597,461)

Net

increase

(decrease)

..........................

(30,833)

$(1,469,348)

(12,392)

$(408,268)

Advisor

Class

#### Advisor

#### Class

#### Shares:
Year

ended

April

30,

2026

Shares

sold

...................................

570,840

$32,104,980

831,085

$34,993,830

Shares

issued

in

reinvestment

of

distributions

..........

890,650

47,044,169

31,875

1,260,631

Shares

redeemed

...............................

(1,331,401)

(74,013,341)

(316,660)

(12,910,940)

Net

increase

(decrease)

..........................

130,089

$5,135,808

546,300

$23,343,521

Year

ended

April

30,

2025

Shares

sold

...................................

841,794

$48,289,642

299,136

$9,817,889

Shares

issued

in

reinvestment

of

distributions

..........

487,232

27,840,441

48,788

1,467,544

Shares

redeemed

...............................

(1,042,578)

(59,233,232)

(908,746)

(29,350,787)

Net

increase

(decrease)

..........................

286,448

$16,896,851

(560,822)

$(18,065,354)

2. #### Shares

#### of

#### Beneficial

#### Interest
(continued)

Franklin

Strategic

Series

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Small

#### Cap

#### Growth

#### Fund

#### Franklin

#### Small-Mid

#### Cap

#### Growth

#### Fund

#### Shares

#### Amount

#### Shares

#### Amount
Class

A

#### Class

#### A

#### Shares:
Year

ended

April

30,

2026

Shares

sold

a

...................................

3,101,248

$71,345,735

4,205,625

$165,499,049

Shares

issued

in

reinvestment

of

distributions

..........

2,972,039

70,229,288

5,216,816

198,030,341

Shares

redeemed

...............................

(8,512,645)

(196,654,366)

(13,485,096)

(529,144,453)

Net

increase

(decrease)

..........................

(2,439,358)

$(55,079,343)

(4,062,655)

$(165,615,063)

Year

ended

April

30,

2025

Shares

sold

a

...................................

4,955,470

$109,647,310

5,367,190

$203,572,054

Shares

redeemed

...............................

(8,615,492)

(191,903,287)

(13,437,841)

(504,371,479)

Net

increase

(decrease)

..........................

(3,660,022)

$(82,255,977)

(8,070,651)

$(300,799,425)

Class

C

#### Class

#### C

#### Shares:
Year

ended

April

30,

2026

Shares

sold

...................................

181,432

$2,778,167

326,799

$5,525,953

Shares

issued

in

reinvestment

of

distributions

..........

151,481

2,319,174

505,294

7,645,105

Shares

redeemed

a

..............................

(632,578)

(9,681,663)

(1,122,915)

(18,908,060)

Net

increase

(decrease)

..........................

(299,665)

$(4,584,322)

(290,822)

$(5,737,002)

Year

ended

April

30,

2025

Shares

sold

...................................

223,183

$3,388,766

364,289

$6,156,727

Shares

redeemed

a

..............................

(377,681)

(5,679,389)

(1,144,009)

(19,304,846)

Net

increase

(decrease)

..........................

(154,498)

$(2,290,623)

(779,720)

$(13,148,119)

Class

R

#### Class

#### R

#### Shares:
Year

ended

April

30,

2026

Shares

sold

...................................

401,464

$8,291,387

157,905

$5,097,476

Shares

issued

in

reinvestment

of

distributions

..........

202,968

4,258,273

99,567

3,095,521

Shares

redeemed

...............................

(564,298)

(11,616,063)

(270,081)

(8,796,927)

Net

increase

(decrease)

..........................

40,134

$933,597

(12,609)

$(603,930)

Year

ended

April

30,

2025

Shares

sold

...................................

798,778

$16,855,590

194,991

$6,053,095

Shares

redeemed

...............................

(690,039)

(13,741,340)

(355,454)

(11,128,868)

Net

increase

(decrease)

..........................

108,739

$3,114,250

(160,463)

$(5,075,773)

Class

R6

2. #### Shares

#### of

#### Beneficial

#### Interest
(continued)

Franklin

Strategic

Series

Notes

to

Financial

Statements

franklintempleton.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:

#### Franklin

#### Small

#### Cap

#### Growth

#### Fund

#### Franklin

#### Small-Mid

#### Cap

#### Growth

#### Fund

#### Shares

#### Amount

#### Shares

#### Amount

#### Class

#### R6

#### Shares:
Year

ended

April

30,

2026

Shares

sold

...................................

8,190,921

$222,960,058

1,934,449

$93,878,361

Shares

issued

in

reinvestment

of

distributions

..........

2,551,955

72,373,453

505,819

24,036,539

Shares

redeemed

...............................

(17,808,329)

(488,561,286)

(3,145,268)

(152,962,298)

Net

increase

(decrease)

..........................

(7,065,453)

$(193,227,775)

(705,000)

$(35,047,398)

Year

ended

April

30,

2025

Shares

sold

...................................

8,186,126

$213,802,927

2,024,595

$92,994,472

Shares

issued

in

reinvestment

of

distributions

..........

—

—

10,403

510,275

Shares

redeemed

in-kind

(Not

e

11)

..................

(2,046,951)

(51,319,956)

(530,869)

(23,798,846)

Shares

redeemed

...............................

(18,809,271)

(494,657,191)

(4,131,407)

(192,634,949)

Net

increase

(decrease)

..........................

(12,670,096)

$(332,174,220)

(2,627,278)

$(122,929,048)

Advisor

Class

#### Advisor

#### Class

#### Shares:
Year

ended

April

30,

2026

Shares

sold

...................................

1,669,576

$44,082,030

1,384,638

$64,724,024

Shares

issued

in

reinvestment

of

distributions

..........

818,641

22,438,962

581,876

26,655,751

Shares

redeemed

...............................

(4,355,250)

(115,449,032)

(2,487,808)

(117,649,204)

Net

increase

(decrease)

..........................

(1,867,033)

$(48,928,040)

(521,294)

$(26,269,429)

Year

ended

April

30,

2025

Shares

sold

...................................

2,433,680

$61,722,891

1,568,765

$70,783,754

Shares

issued

in

reinvestment

of

distributions

..........

—

—

743

35,253

Shares

redeemed

...............................

(4,651,378)

(117,041,367)

(2,274,042)

(101,783,139)

Net

increase

(decrease)

..........................

(2,217,698)

$(55,318,476)

(704,534)

$(30,964,132)

a

May

include

a

portion

of

Class

C

shares

that

were

automatically

converted

to

Class

A. #### Subsidiary

#### Affiliation
Franklin

Advisers,

Inc.

(Advisers)

Investment

manager

Franklin

Templeton

Services,

LLC

(FT

Services)

Administrative

manager

Franklin

Distributors,

LLC

(Distributors)

Principal

underwriter

Franklin

Templeton

Investor

Services,

LLC

(Investor

Services)

Transfer

agent

2. #### Shares

#### of

#### Beneficial

#### Interest
(continued)

Franklin

Strategic

Series

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

a. #### Management

#### Fees
Franklin

Biotechnology

Discovery

Fund pays

an

investment

management fee,

calculated

daily

and

paid

monthly,

to Advisers based

on the

average

daily

net

assets

of

the

Fund

as

follows:

Prior

to

May

8,

2025,

Franklin

Core

Plus

Bond

Fund

paid

fees,

calculated

daily

and

paid

monthly,

to

Advisers

based

on

the

average

daily

net

assets

of

the

Fund

as

follows:

Effective

May

8,

2025,

Franklin

Core

Plus

Bond

Fund

pays

an

investment

management

fee,

calculated

daily

and

paid

monthly,

to

Advisers

based

on

the

average

daily

net

assets

of

the

Fund

as

follows:

#### Annualized

#### Fee

#### Rate

#### Net

#### Assets
0.775%

Up

to

and

including

$100

million

0.650%

Over

$100

million,

up

to

and

including

$200

million

0.635%

Over

$200

million,

up

to

and

including

$250

million

0.585%

Over

$250

million,

up

to

and

including

$700

million

0.550%

Over

$700

million,

up

to

and

including

$1.2

billion

0.525%

Over

$1.2

billion,

up

to

and

including

$7.5

billion

0.515%

Over

$7.5

billion,

up

to

and

including

$10

billion

0.505%

Over

$10

billion,

up

to

and

including

$12.5

billion

0.495%

Over

$12.5

billion,

up

to

and

including

$15

billion

0.475%

In

excess

of

$15

billion

#### Annualized

#### Fee

#### Rate

#### Net

#### Assets
0.625%

Up

to

and

including

$100

million

0.500%

Over

$100

million,

up

to

and

including

$250

million

0.450%

Over

$250

million,

up

to

and

including

$7.5

billion

0.440%

Over

$7.5

billion,

up

to

and

including

$10

billion

0.430%

Over

$10

billion,

up

to

and

including

$12.5

billion

0.420%

Over

$12.5

billion,

up

to

and

including

$15

billion

0.400%

Over

$15

billion,

up

to

and

including

$17.5

billion

0.380%

Over

$17.5

billion,

up

to

and

including

$20

billion

0.360%

Over

$20

billion,

up

to

and

including

$35

billion

0.355%

Over

$35

billion,

up

to

and

including

$50

billion

0.350%

In

excess

of

$50

billion

#### Annualized

#### Fee

#### Rate

#### Net

#### Assets
0.350%

Up

to

and

including

$5

billion

0.330%

Over

$5

billion,

up

to

and

including

$10

billion

0.310%

Over

$10

billion,

up

to

and

including

$20

billion

0.290%

In

excess

of

$20

billion

3. #### Transactions

#### with

#### Affiliates
(continued)

Franklin

Strategic

Series

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

Franklin

Growth

Opportunities

Fund pays

an

investment

management fee,

calculated

daily

and

paid

monthly,

to Advisers based

on the

average

daily

net

assets

of

the

Fund

as

follows:

Franklin

Natural

Resources

Fund

and

Franklin

Small-Mid

Cap

Growth

Fund pay

an

investment

management fee,

calculated

daily and

paid

monthly,

to Advisers based

on the

average

daily

net

assets

of

each

of

the

Funds

as

follows:

Franklin

Small

Cap

Growth

Fund pays

an

investment

management fee,

calculated

daily

and

paid

monthly,

to Advisers based

on the

average

daily

net

assets

of

the

Fund

as

follows:

#### Annualized

#### Fee

#### Rate

#### Net

#### Assets
0.700%

Up

to

and

including

$500

million

0.600%

Over

$500

million,

up

to

and

including

$1

billion

0.550%

Over

$1

billion,

up

to

and

including

$1.5

billion

0.500%

Over

$1.5

billion,

up

to

and

including

$6.5

billion

0.475%

Over

$6.5

billion,

up

to

and

including

$11.5

billion

0.450%

Over

$11.5

billion,

up

to

and

including

$16.5

billion

0.440%

Over

$16.5

billion,

up

to

and

including

$19

billion

0.430%

Over

$19

billion,

up

to

and

including

$21.5

billion

0.420%

In

excess

of

$21.5

billion

#### Annualized

#### Fee

#### Rate

#### Net

#### Assets
0.625%

Up

to

and

including

$100

million

0.500%

Over

$100

million,

up

to

and

including

$250

million

0.450%

Over

$250

million,

up

to

and

including

$7.5

billion

0.440%

Over

$7.5

billion,

up

to

and

including

$10

billion

0.430%

Over

$10

billion,

up

to

and

including

$12.5

billion

0.420%

Over

$12.5

billion,

up

to

and

including

$15

billion

0.400%

In

excess

of

$15

billion

#### Annualized

#### Fee

#### Rate

#### Net

#### Assets
0.750%

Up

to

and

including

$500

million

0.650%

Over

$500

million,

up

to

and

including

$1

billion

0.600%

Over

$1

billion,

up

to

and

including

$1.5

billion

0.550%

Over

$1.5

billion,

up

to

and

including

$6.5

billion

0.525%

Over

$6.5

billion,

up

to

and

including

$11.5

billion

0.500%

Over

$11.5

billion,

up

to

and

including

$16.5

billion

0.490%

Over

$16.5

billion,

up

to

and

including

$19

billion

0.480%

Over

$19

billion,

up

to

and

including

$21.5

billion

0.470%

In

excess

of

$21.5

billion

3. #### Transactions

#### with

#### Affiliates
(continued)

a. #### Management

#### Fees
(continued)

Franklin

Strategic

Series

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

For

the

year

ended

April

30,

2026,

each

Fund's

gross

effective

investment

management

fee

rate

based

on

average

daily

net

assets

was

as

follows:

b. #### Administrative

#### Fees
Under

an

agreement

with

Advisers,

FT

Services

provides

administrative

services

to

the

Funds.

The

fee

is

paid

by

Advisers

based

on

each

of the

Funds'

average

daily

net

assets,

and

is

not

an

additional

expense

of

the

Funds.

c. #### Distribution

#### Fees
The

Board

has

adopted

distribution

plans

for

each

share

class,

with

the

exception

of

Class

R6

and

Advisor

Class

shares,

pursuant

to

Rule

12b-1

under

the

1940

Act.

Under

the

Funds'

Class

A

reimbursement

distribution

plans,

the

Funds

reimburse

Distributors

for

costs

incurred

in

connection

with

the

servicing,

sale

and

distribution

of each

Fund's

shares

up

to

the

maximum

annual

plan

rate.

Under

the

Class

A

reimbursement

distribution

plans,

costs

exceeding

the

maximum

for

the

current

plan

year

cannot

be

reimbursed

in

subsequent

periods.

In

addition,

under

the

Funds'

Class

C

and

R compensation

distribution

plans,

the

Funds

pay

Distributors

for

costs

incurred

in

connection

with

the

servicing,

sale

and

distribution

of each

Fund's

shares

up

to

the

maximum

annual

plan

rate

for

each

class.

The

plan

year,

for

purposes

of

monitoring

compliance

with

the

maximum

annual

plan

rates,

is

February

through

January

for

each

Fund.

The

maximum

annual

plan

rates,

based

on

the

average

daily

net

assets,

for

each

class,

are

as

follows:

For

Franklin

Biotechnology

Discovery

Fund,

Franklin

Growth

Opportunities

Fund,

Franklin

Natural

Resources

Fund

and

Franklin

Small

Cap

Growth

Fund,

the

Board

has

set

the

current

rate

at

0.25%

per

year

for

Class

A

shares

until

further

notice

and

approval

by

the

Board.

#### Franklin

#### Biotechnology

#### Discovery

#### Fund

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund

#### Franklin

#### Growth

#### Opportunities

#### Fund
Gross

effective

investment

management

fee

rate

...................

0.609%

0.352%

0.539%

#### Franklin

#### Natural

#### Resources

#### Fund

#### Franklin

#### Small

#### Cap

#### Growth

#### Fund

#### Franklin

#### Small-

#### Mid

#### Cap

#### Growth

#### Fund
Gross

effective

investment

management

fee

rate

...................

0.515%

0.621%

0.457%

#### Franklin

#### Biotechnology

#### Discovery

#### Fund

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund

#### Franklin

#### Growth

#### Opportunities

#### Fund
Class

A

................................................

0.35%

0.25%

0.35%

Class

C

................................................

1.00%

0.65%

1.00%

Class

R

................................................

—%

0.50%

0.50%

#### Franklin

#### Natural

#### Resources

#### Fund

#### Franklin

#### Small

#### Cap

#### Growth

#### Fund

#### Franklin

#### Small-

#### Mid

#### Cap

#### Growth

#### Fund
Class

A

................................................

0.35%

0.35%

0.25%

Class

C

................................................

1.00%

1.00%

1.00%

Class

R

................................................

—%

0.50%

0.50%

3. #### Transactions

#### with

#### Affiliates
(continued)

a. #### Management

#### Fees
(continued)

Franklin

Strategic

Series

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

d. #### Sales

#### Charges/Underwriting

#### Agreements
Front-end

sales

charges

and

contingent

deferred

sales

charges

(CDSC)

do

not

represent

expenses

of

the

Funds.

These

charges

are

deducted

from

the

proceeds

of

sales

of

fund

shares

prior

to

investment

or

from

redemption

proceeds

prior

to

remittance,

as

applicable.

Distributors

has

advised

the

Funds

of

the

following

commission

transactions

related

to

the

sales

and

redemptions

of

the

Funds'

shares

for

the

year:

e. #### 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,

except

for

Class

R6, 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.

Class

R6

pays

Investor

Services

transfer

agent

fees

allocated

specifically

to

that

class

based

upon

its

relative

assets

and

relative

transactions.

For

the

year

ended

April

30,

2026,

the Funds

paid

transfer

agent

fees

as

noted

in

the

Statements of

Operations

of

which

the

following

amounts

were

retained

by

Investor

Services:

f. #### 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

#### Franklin

#### Biotechnology

#### Discovery

#### Fund

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund

#### Franklin

#### Growth

#### Opportunities

#### Fund
Sales

charges

retained

net

of

commissions

paid

to

unaffiliated

brokers/

dealers

..................................................

$52,630

$52,907

$217,954

CDSC

retained

............................................

$8,887

$27,743

$26,969

#### Franklin

#### Natural

#### Resources

#### Fund

#### Franklin

#### Small

#### Cap

#### Growth

#### Fund

#### Franklin

#### Small-

#### Mid

#### Cap

#### Growth

#### Fund
Sales

charges

retained

net

of

commissions

paid

to

unaffiliated

brokers/

dealers

..................................................

$55,347

$79,280

$157,806

CDSC

retained

............................................

$7,772

$7,144

$11,820

#### Franklin

#### Biotechnology

#### Discovery

#### Fund

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund

#### Franklin

#### Growth

#### Opportunities

#### Fund
Transfer

agent

fees

.........................................

$359,690

$1,300,999

$1,248,145

#### Franklin

#### Natural

#### Resources

#### Fund

#### Franklin

#### Small

#### Cap

#### Growth

#### Fund

#### Franklin

#### Small-

#### Mid

#### Cap

#### Growth

#### Fund
Transfer

agent

fees

.........................................

$207,535

$1,133,086

$1,274,363

3. #### Transactions

#### with

#### Affiliates
(continued)

Franklin

Strategic

Series

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

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

April

30,

2026,

investments

in

affiliated

management

investment

companies

were

as

follows:

#### &nbsp;&nbsp;&nbsp;&nbsp;aa

#### 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

#### Franklin

#### Biotechnology

#### Discovery

#### Fund

#### Non-Controlled

#### Affiliates
Dividends

Franklin

Institutional

U.S.

Government

Money

Market

Fund,

3.593%

............

$17,698,635

$263,259,822

$(254,972,920)

$—

$—

$25,985,537

25,985,537

$728,255

#### Non-Controlled

#### Affiliates
Income

from

securities

loaned

Franklin

Institutional

U.S.

Government

Money

Market

Fund,

3.593%

............

$6,416,814

$478,451,846

$(453,241,897)

$—

$—

$31,626,763

31,626,763

$1,177,751

#### Total

#### Affiliated

#### Securities

#### ...
$24,115,449

$741,711,668

$(708,214,817)

$—

$—

$57,612,300

$1,906,006

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund

#### Non-Controlled

#### Affiliates
Dividends

Franklin

BSP

Real

Estate

Debt

BDC

..................

$24,292,230

$—

$(23,568,878)

$338,565

$(1,061,917)

$—

—

$663,723

Franklin

Institutional

U.S.

Government

Money

Market

Fund,

3.593%

............

20,674,651

790,237,907

(575,917,125)

—

—

234,995,433

234,995,433

3,592,300

#### Non-Controlled

#### Affiliates
Income

from

securities

loaned

Franklin

Institutional

U.S.

Government

Money

Market

Fund,

3.593%

............

$—

$10,224,000

$(10,224,000)

$—

$—

$—

—

$4,804

#### Total

#### Affiliated

#### Securities

#### ...
$44,966,881

$800,461,907

$(609,710,003)

$338,565

$(1,061,917)

$234,995,433

$4,260,827

#### Franklin

#### Growth

#### Opportunities

#### Fund

#### Non-Controlled

#### Affiliates
Dividends

Franklin

Institutional

U.S.

Government

Money

Market

Fund,

3.593%

............

$40,512,033

$1,007,079,188

$(1,000,035,717)

$—

$—

$47,555,504

47,555,504

$1,104,970

3. #### Transactions

#### with

#### Affiliates
(continued)

f. #### Investments

#### in

#### Affiliated

#### Management

#### Investment

#### Companies
(continued)

Franklin

Strategic

Series

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### &nbsp;&nbsp;&nbsp;&nbsp;aa

#### 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

#### Franklin

#### Growth

#### Opportunities

#### Fund
(continued)

#### Non-Controlled

#### Affiliates
Income

from

securities

loaned

Franklin

Institutional

U.S.

Government

Money

Market

Fund,

3.593%

............

$9,816,000

$391,493,861

$(381,359,111)

$—

$—

$19,950,750

19,950,750

$759,446

#### Total

#### Affiliated

#### Securities

#### ...
$50,328,033

$1,398,573,049

$(1,381,394,828)

$—

$—

$67,506,254

$1,864,416

#### Franklin

#### Natural

#### Resources

#### Fund

#### Non-Controlled

#### Affiliates
Dividends

Franklin

Institutional

U.S.

Government

Money

Market

Fund,

3.593%

............

$12,963,979

$98,547,424

$(103,924,724)

$—

$—

$7,586,679

7,586,679

$372,469

#### Non-Controlled

#### Affiliates
Income

from

securities

loaned

Franklin

Institutional

U.S.

Government

Money

Market

Fund,

3.593%

............

$8,457,500

$343,725,970

$(339,314,855)

$—

$—

$12,868,615

12,868,615

$459,264

#### Total

#### Affiliated

#### Securities

#### ...
$21,421,479

$442,273,394

$(443,239,579)

$—

$—

$20,455,294

$831,733

#### Franklin

#### Small

#### Cap

#### Growth

#### Fund

#### Non-Controlled

#### Affiliates
Dividends

Franklin

Institutional

U.S.

Government

Money

Market

Fund,

3.593%

............

$27,922,674

$729,777,542

$(746,272,666)

$—

$—

$11,427,550

11,427,550

$1,668,928

#### Non-Controlled

#### Affiliates
Income

from

securities

loaned

Franklin

Institutional

U.S.

Government

Money

Market

Fund,

3.593%

............

$19,765,870

$908,752,513

$(876,599,558)

$—

$—

$51,918,825

51,918,825

$1,928,892

#### Total

#### Affiliated

#### Securities

#### ...
$47,688,544

$1,638,530,055

$(1,622,872,224)

$—

$—

$63,346,375

$3,597,820

3. #### Transactions

#### with

#### Affiliates
(continued)

f. #### Investments

#### in

#### Affiliated

#### Management

#### Investment

#### Companies
(continued)

Franklin

Strategic

Series

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

g. #### Waiver

#### and

#### Expense

#### Reimbursements
Effective

May

8,

2025,

Advisers

has

contractually

agreed

in

advance

to

waive

or

limit

its

respective

fees

and

to

assume

as

their

own

expense

certain

expenses

otherwise

payable

by

Franklin

Core

Plus

Bond

Fund

so

that

the

operating

expenses

(excluding

interest

expense,

distribution

fees,

acquired

fund

fees

and

expenses

and

certain

non-routine

expenses

or

costs,

such

as

those

relating

to

litigation,

indemnification,

reorganizations

and

liquidations)

for

each

Class

do

not

exceed

0.47%,

and

for

Class

R6

do

not

exceed

0.37%,

based

on

the

average

net

assets

of

each

Class

until

August

31,

2026. Total

expenses

waived

or

paid

are

not

subject

to

recapture

subsequent

to

the

Fund's

fiscal

year

end.

Prior

to

May

8,

2025,

the

expenses

(excluding

certain

fees

and

expenses

as

previously

disclosed)

for

each

Class

of

Franklin

Core

Plus

Bond

were

limited

to

0.58%

and

for

Class

R6

were

limited

to

0.48%

based

on

average

net

assets

of

each

Class.

Effective

September

1,

2025,

operating

expenses

include

acquired

fund

fees

and

expenses.

Transfer

agent

fees

on

Class

R6

shares

of

the

Funds have

been

capped

so

that

transfer

agent

fees

for

that

class

do

not

exceed

0.03%

based

on

the

average

net

assets

of

the

class

until

August

31,

2026. h. #### Interfund

#### Transactions
Certain

or

all

Funds

engaged

in

purchases

and

sales

of

investments

with

funds

or

other

accounts

that

have

common

investment

managers

(or

affiliated

investment

managers),

directors,

trustees

or

officers.

These

purchases,

sales

and

the

related

net

realized

gains

(losses),

if

any,

(excluding

in-kind

transactions)

for

the

year

ended

April

30,

2026,

were

as

follows:

#### &nbsp;&nbsp;&nbsp;&nbsp;aa

#### 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

#### Franklin

#### Small-Mid

#### Cap

#### Growth

#### Fund

#### Non-Controlled

#### Affiliates
Dividends

Franklin

Institutional

U.S.

Government

Money

Market

Fund,

3.593%

............

$67,276,399

$596,622,727

$(588,939,521)

$—

$—

$74,959,605

74,959,605

$2,630,648

#### Non-Controlled

#### Affiliates
Income

from

securities

loaned

Franklin

Institutional

U.S.

Government

Money

Market

Fund,

3.593%

............

$8,437,275

$394,069,592

$(402,506,867)

$—

$—

$—

—

$373,347

#### Total

#### Affiliated

#### Securities

#### ...
$75,713,674

$990,692,319

$(991,446,388)

$—

$—

$74,959,605

$3,003,995

#### Franklin

#### Small

#### Cap

#### Growth

#### Fund
Purchases

..............................

$2,011,609

Sales

..................................

—

Net

Realized

Gains

(Losses)

.................

—

3. #### Transactions

#### with

#### Affiliates
(continued)

f. #### Investments

#### in

#### Affiliated

#### Management

#### Investment

#### Companies
(continued)

Franklin

Strategic

Series

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

4. #### Income

#### Taxes
For

tax

purposes,

capital

losses

may

be

carried

over

to

offset

future

capital

gains.

At

April

30,

2026,

the

capital

loss

carryforwards

were

as

follows:

During

the

year

ended April

30,

2026,

the

utilized

capital

loss

carryforwards

were

as

follows:

For

tax

purposes,

the

Funds

may

elect

to

defer

any

portion

of

a

post-October

capital

loss

or

late-year

ordinary

loss

to

the

first

day

of

the

following

fiscal

year.

At April

30,

2026,

the

deferred

losses

were

as

follows:

The

tax

character

of

distributions

paid

during

the

years

ended

April

30,

2026

and

2025,

was

as

follows:

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund

#### Franklin

#### Natural

#### Resources

#### Fund

Capital

loss

carryforwards

not

subject

to

expiration:

Short

term

...............................................................

$

156,787,169

$

—

Long

term

...............................................................

892,305,908

130,116,851

Total

capital

loss

carryforwards

..............................................

$1,049,093,077

$130,116,851

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund

#### Franklin

#### Natural

#### Resources

#### Fund
Capital

loss

utilized

carryforwards

...............................................

$9,879,476

$24,920,135

#### Franklin

#### Growth

#### Opportunities

#### Fund

#### Franklin

#### Small

#### Cap

#### Growth

#### Fund

#### Franklin

#### Small-

#### Mid

#### Cap

#### Growth

#### Fund
Late-year

ordinary

loss

...........................................

$8,322,509

$6,079,144

$2,892,994

#### Franklin

#### Biotechnology

#### Discovery

#### Fund

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund

#### 2026

#### 2025

#### 2026

#### 2025
Distributions

paid

from:

Ordinary

income

........................

$23,180,444

$23,129,664

$111,500,570

$119,623,480

Long

term

capital

gain

....................

77,442,568

48,180,837

—

—

$100,623,012

$71,310,501

$111,500,570

$119,623,480

#### Franklin

#### Growth

#### Opportunities

#### Fund

#### Franklin

#### Natural

#### Resources

#### Fund

#### 2026

#### 2025

#### 2026

#### 2025
Distributions

paid

from:

Ordinary

income

........................

$—

$15,984,820

$6,461,794

$7,347,186

Long

term

capital

gain

....................

741,721,494

432,641,293

—

—

$741,721,494

$448,626,113

$6,461,794

$7,347,186

Franklin

Strategic

Series

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

At

April

30,

2026,

the

cost

of

investments,

net

unrealized

appreciation

(depreciation)

,

undistributed

ordinary

income

and

undistributed

long

term

capital

gains

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,

passive

foreign

investment

company

shares,

paydown

losses,

payments-in-kind,

bond

discounts

and

premiums,

derivative

financial

instruments,

corporate

actions,

net

operating

losses

and

in-kind

transactions.

The

Funds

except

for

Franklin

Core

Plus

Bond

Fund

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.

#### Franklin

#### Small

#### Cap

#### Growth

#### Fund

#### Franklin

#### Small-Mid

#### Cap

#### Growth

#### Fund

#### 2026

#### 2025

#### 2026

#### 2025
Distributions

paid

from:

Ordinary

income

........................

$—

$—

$—

$619,958

Long

term

capital

gain

....................

186,170,133

—

268,116,040

$186,170,133

$—

$268,116,040

$620,417

#### Franklin

#### Biotechnology

#### Discovery

#### Fund

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund

#### Franklin

#### Growth

#### Opportunities

#### Fund
a

a

a

a

Cost

of

investments

........................................

$560,575,683

$3,434,784,833

$2,126,355,381

Unrealized

appreciation

......................................

$545,633,836

$33,072,041

$2,374,512,544

Unrealized

depreciation

......................................

(34,186,434)

(138,047,837)

(88,751,688)

Net

unrealized

appreciation

(depreciation)

........................

$511,447,402

$(104,975,796)

$2,285,760,856

Distributable

earnings:

Undistributed

ordinary

income

.................................

$22,915,030

$440,424

$—

Undistributed

long

term

capital

gains

............................

47,067,252

—

227,641,315

Total

distributable

earnings

...................................

$69,982,282

$440,424

$227,641,315

#### Franklin

#### Natural

#### Resources

#### Fund

#### Franklin

#### Small

#### Cap

#### Growth

#### Fund

#### Franklin

#### Small-

#### Mid

#### Cap

#### Growth

#### Fund
a

a

a

a

Cost

of

investments

........................................

$310,295,982

$1,811,356,098

$2,389,603,262

Unrealized

appreciation

......................................

$254,773,699

$907,419,139

$1,238,300,507

Unrealized

depreciation

......................................

(12,463,230)

(223,973,595)

(131,014,797)

Net

unrealized

appreciation

(depreciation)

........................

$242,310,469

$683,445,544

$1,107,285,710

Distributable

earnings:

Undistributed

ordinary

income

.................................

$10,953,923

$67,778,784

$—

Undistributed

long

term

capital

gains

............................

—

207,031,075

67,523,676

Total

distributable

earnings

...................................

$10,953,923

$274,809,859

$67,523,676

4. #### Income

#### Taxes
(continued)

Franklin

Strategic

Series

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

5. #### Investment

#### Transactions
Purchases

and

sales

of

investments

(excluding

short

term

securities

and

in-kind

transactions)

for

the

year

ended

April

30,

2026,

were

as

follows:

At

April

30,

2026,

in

connection

with

securities

lending

transactions,

certain

or

all

Funds

loaned

investments

and

received

cash

collateral

as

follows:

6. #### Credit

#### Risk

#### and

#### Defaulted

#### Securities
At

April

30,

2026,

Franklin

Core

Plus

Bond

Fund

had 9.2% of

its

portfolio

invested

in

high

yield

securities,

senior

secured

floating

rate

loans,

or

other

securities

rated

below

investment

grade

and

unrated

securities.

These

securities

may

be

more

sensitive

to

economic

conditions

causing

greater

price

volatility

and

are

potentially

subject

to

a

greater

risk

of

loss

due

to

default

than

higher

rated

securities.

Franklin

Core

Plus

Bond

Fund held

a defaulted

securities

and/or

other

securities

for

which

the

income

has

been

deemed

uncollectible.

At

April

30,

2026,

the

value

of

these

securities represents

less

than

0.1% of

the

Fund's net

assets.

The

Fund

discontinues

accruing

income

on

securities

for

which

income

has

been

deemed

uncollectible

and

provides

an

estimate

for

losses

on

interest

receivable.

The

securities

have

been

identified

in

the

accompanying

Schedule

of

Investments.

#### Franklin

#### Biotechnology

#### Discovery

#### Fund

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund

#### Franklin

#### Growth

#### Opportunities

#### Fund
Purchases

...............................................

$327,287,523

$10,863,346,451

$1,745,001,151

Sales

...................................................

$432,213,700

$10,647,482,976

$2,281,579,353

a

#### Franklin

#### Natural

#### Resources

#### Fund

#### Franklin

#### Small

#### Cap

#### Growth

#### Fund

#### Franklin

#### Small-

#### Mid

#### Cap

#### Growth

#### Fund
Purchases

...............................................

$166,483,610

$1,152,570,981

$1,201,163,393

Sales

...................................................

$103,189,120

$1,586,946,987

$1,706,729,543

a

Sales

of

investments

excludes

in-kind

transactions

of

$79,782,475.

#### Franklin

#### Biotechnology

#### Discovery

#### Fund

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund

#### Franklin

#### Growth

#### Opportunities

#### Fund

#### Securities

#### lending

#### transactions

#### a

#### :
Equity

investments

b

.........................................

$31,626,763

$—

$19,950,750

#### Franklin

#### Natural

#### Resources

#### Fund

#### Franklin

#### Small

#### Cap

#### Growth

#### Fund

#### Franklin

#### Small-

#### Mid

#### Cap

#### Growth

#### Fund

#### Securities

#### lending

#### transactions

#### a

#### :
Equity

investments

b

.........................................

$12,868,615

$53,117,575

$—

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.

Franklin

Strategic

Series

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

7. #### Restricted

#### Securities
Certain

or

all

Funds

invest

in

securities

that

are

restricted

under

the

Securities

Act

of

1933

(1933

Act).

Restricted

securities

are

often

purchased

in

private

placement

transactions,

and

cannot

be

sold

without

prior

registration

unless

the

sale

is

pursuant

to

an

exemption

under

the

1933

Act.

Disposal

of

these

securities

may

require

greater

effort

and

expense,

and

prompt

sale

at

an

acceptable

price

may

be

difficult.

The

Funds

may

have

registration

rights

for

restricted

securities.

The

issuer

generally

incurs

all

registration

costs.

At

April

30,

2026,

investments

in

restricted

securities,

excluding

securities

exempt

from

registration

under

the

1933

Act,

were

as

follows:

#### Shares

#### /

#### Warrants

#### Issuer

#### Acquisition

#### Date

#### Cost

#### Value

#### Franklin

#### Biotechnology

#### Discovery

#### Fund
706,649

a

Achieve

Life

Sciences,

Inc.

.....................

4/17/26

$

2,568,669

$

2,976,339

706,649

a

Achieve

Life

Sciences,

Inc.,

4/10/28

..............

4/17/26

621,851

223,305

b

Acumen

Pharmaceuticals,

Inc.

..................

3/16/26

736,906

533,699

2,735,200

Candid

Therapeutics,

Inc.

......................

3/02/26

2,735,200

3,046,668

1,519,609

Candid,

Inc.,

B

..............................

8/19/24

1,823,531

2,372,462

69,673

c

IN8bio,

Inc.,

C,

10/04/27

.......................

10/10/24

—

5,665

859,370

Lycia

LLC,

C

...............................

4/26/24

1,754,576

3,017,589

1,389,029

Ray

Therapeutics,

Inc.,

B. .....................

4/17/26

3,671,204

3,399,269

d

Sensei

Biotherapeutics,

Inc.,

B

..................

2/20/26

1,827,374

3,363,564

#### Total

#### Restricted

#### Securities
(Value

is

1.9%

of

Net

Assets)

#### ...............
$15,117,531

$19,337,106

#### Shares

#### Issuer

#### Acquisition

#### Date

#### Cost

#### Value

#### Franklin

#### Growth

#### Opportunities

#### Fund
117,526

Anduril

Industries,

Inc.,

B

......................

7/22/25

$

4,804,792

$

8,103,418

Anduril

Industries,

Inc.,

C

......................

7/22/25

2,249

3,792

180,222

Anduril

Industries,

Inc.,

G

......................

5/08/25

7,367,980

12,426,307

49,656

Anthropic

PBC,

..........................

8/29/25

6,999,887

12,867,677

38,589

Anthropic

PBC,

..........................

2/12/26

9,999,815

9,999,815

3,094

Canva

Australia

Holdings

Pty.

Ltd.,

A

.............

3/18/24

3,300,249

5,093,157

11,829

Canva

Australia

Holdings

Pty.

Ltd.,

B

.............

12/22/21

20,158,531

19,472,190

4,619

Celonis

SE

.................................

6/16/21

1,708,060

416,631

25,571

Celonis

SE,

D

..............................

6/16/21

-

10/04/22

9,427,681

2,306,491

6,309,366

ClearMotion,

Inc.

............................

11/06/17

-

12/21/18

15,500,000

650,899

417,667

ClearMotion,

Inc.,

.........................

3/23/23

—

60,170

2,606,463

ClearMotion,

Inc.,

.........................

12/21/21

251,500

341,496

338,280

Databricks,

Inc.,

G

...........................

2/01/21

20,000,005

64,623,462

750,387

Flock

Group,

Inc.,

B

..........................

3/26/25

11,082,616

11,729,975

80,684

Flock

Group,

Inc.,

C

..........................

3/26/25

1,191,638

1,261,244

21,303

Flock

Group,

Inc.,

........................

3/26/25

314,628

333,006

517,056

OneTrust

LLC,

C

............................

4/01/21

10,139,623

4,805,902

8,668

OpenAI

Foundation

..........................

10/03/25

3,727,240

5,960,897

56,433

Plaid,

Inc.,

A

................................

3/31/25

11,511,011

13,666,978

142,857

Space

Exploration

Technologies

Corp.,

A

..........

5/25/22

9,999,990

75,227,068

Franklin

Strategic

Series

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Shares

#### Issuer

#### Acquisition

#### Date

#### Cost

#### Value

#### Franklin

#### Growth

#### Opportunities

#### Fund
(continued)

260,482

Stripe,

Inc.,

B

...............................

4/30/25

$

9,377,352

$

16,635,683

#### Total

#### Restricted

#### Securities
(Value

is

6.1%

of

Net

Assets)

#### ...............
$156,864,847

$265,986,258

#### Shares

#### Issuer

#### Acquisition

#### Date

#### Cost

#### Value

#### Franklin

#### Natural

#### Resources

#### Fund
39,802

Redwood

Materials,

Inc.,

E

.....................

10/20/25

$

1,899,983

$

1,899,983

#### Total

#### Restricted

#### Securities
(Value

is

0.4%

of

Net

Assets)

#### ...............
$1,899,983

$1,899,983

#### Shares

#### Issuer

#### Acquisition

#### Date

#### Cost

#### Value

#### Franklin

#### Small

#### Cap

#### Growth

#### Fund
3,436,485

1661,

Inc.,

F

................................

5/28/21

$

19,999,999

$

3,786,378

311,952

Astranis

Space

Technologies

Corp.,

E

............

2/10/26

5,999,994

5,999,994

382,306

Benchling,

Inc.,

F

............................

10/20/21

12,499,992

1,803,489

1,388,889

Checkr,

Inc.,

E

..............................

8/24/21

25,000,002

21,170,063

410,500

Chinook

Therapeutics,

Inc.,

CVR,

6/30/30

.........

8/14/23

—

—

3,698,772

ClearMotion,

Inc.

............................

12/21/18

10,000,000

381,580

1,037,942

ClearMotion,

Inc.,

.........................

3/23/23

—

149,527

6,477,294

ClearMotion,

Inc.,

.........................

12/21/21

625,000

848,649

987,540

Flock

Group,

Inc.,

G

..........................

3/08/24

9,999,899

15,437,126

709,046

Newsela,

Inc.,

D

.............................

1/21/21

15,000,010

12,707,441

625,361

OneTrust

LLC,

A

............................

3/10/23

6,878,971

5,812,569

56,457

OneTrust

LLC,

...........................

3/10/23

621,027

524,753

1,542,673

Smule,

Inc.,

144A,

G

.........................

5/31/16

11,099,995

177,103

352,675

Smule,

Inc.,

144A,

H

.........................

4/27/17

2,999,995

47,866

162,712

Smule,

Inc.,

J

...............................

8/05/22

-

11/28/22

764,393

1,603,972

361,111

Tula

eTechnology,

Inc.

........................

11/01/18

—

—

3,611,111

Tula

eTechnology,

Inc.,

E

......................

9/08/17

6,500,000

3,872,916

#### Total

#### Restricted

#### Securities
(Value

is

3.1%

of

Net

Assets)

#### ...............
$127,989,277

$74,323,426

#### Principal

#### Amount

#### \*

#### /

#### Shares

#### /

#### Warrants

#### Issuer

#### Acquisition

#### Date

#### Cost

#### Value

#### Franklin

#### Small-Mid

#### Cap

#### Growth

#### Fund
414,483

Anduril

Industries,

Inc.,

F

......................

7/17/24

$

9,009,451

$

28,578,603

347,106

Benchling,

Inc.,

F

............................

10/20/21

11,349,082

1,637,436

227,829

Databricks,

Inc.,

G

...........................

2/01/21

13,469,851

43,523,409

423,782

Newsela,

Inc.,

D

.............................

1/21/21

8,965,193

7,594,972

767,526

OneTrust

LLC,

C

............................

4/01/21

15,051,415

7,133,956

2,970,061

Phononic

Devices,

Inc.,

F-S

....................

6/06/19

7,499,998

6,046,293

513,050

Phononic

Devices,

Inc.,

G-2-S

..................

1/17/20

-

11/03/20

1,824,398

7. #### Restricted

#### Securities
(continued)

Franklin

Strategic

Series

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

8. #### Unfunded

#### Loan

#### Commitments
Certain

or

all

Funds

enter

into

certain

credit

agreements,

all

or

a

portion

of

which

may

be

unfunded.

The

Funds

are

obligated

to

fund

these

loan

commitments

at

the

borrowers'

discretion.

Unfunded

loan

commitments

and

funded

portions

of

credit

agreements

are

marked

to

market

daily

and

any

unrealized

appreciation

or

depreciation

is

included

in

the

Statements

of

Assets

and

Liabilities

and

the

Statements

of

Operations.

Funded

portions

of

credit

agreements

are

presented

in

the

Schedules

of

Investments.

At

April

30,

2026,

unfunded

commitments

were

as

follows:

#### Principal

#### Amount\*/

#### Shares/

#### Warrants

#### Issuer

#### Acquisition

#### Date

#### Cost

#### Value

#### Franklin

#### Small-Mid

#### Cap

#### Growth

#### Fund
(continued)

66,235

Phononic,

Inc.,

5.31%,

11/30/27

.................

2/11/25

$

66,235

$

79,754

117,763

Phononic,

Inc.,

H-S

..........................

10/17/22

460,645

584,839

23,970

Phononic,

Inc.,

H-S,

12/31/29

...................

5/15/24

-

2/11/25

32,191

66,235

Phononic,

Inc.,

H-S,

5.31%,

11/30/27

.............

10/01/24

66,235

81,015

66,235

Phononic,

Inc.,

H-S,

5.31%,

11/30/27

.

............

5/15/24

66,235

82,304

47,104

Phononic,

Inc.,

H-S-X,

12/31/29

.................

10/17/22

44,029

63,259

30,940

Plaid,

Inc.,

A

................................

3/31/25

6,311,036

7,493,068

#### Total

#### Restricted

#### Securities
(Value

is

3.0%

of

Net

Assets)

#### ...............
$72,359,454

$104,755,497

\*

In

U.S.

dollars

unless

otherwise

indicated.

a

The

Fund

also

invests

in

unrestricted

securities

of

the

issuer,

valued

at

$8,152,586

as

of

April

30,

2026. b

The

Fund

also

invests

in

unrestricted

securities

of

the

issuer,

valued

at

$1,975,096

as

of

April

30,

2026. c

The

Fund

also

invests

in

unrestricted

securities

of

the

issuer,

valued

at

$488,162

as

of

April

30,

2026. d

The

Fund

also

invests

in

unrestricted

securities

of

the

issuer,

valued

at

$1,298,284

as

of

April

30,

2026. #### Borrower

#### Unfunded

#### Commitment

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
First

Eagle

Holdings,

Inc.

$

82,642

7. #### Restricted

#### Securities
(continued)

Franklin

Strategic

Series

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

9. #### Other

#### Derivative

#### Information
At

April

30,

2026,

investments

in

derivative

contracts

are

reflected

in

the

Statements

of

Assets

and

Liabilities

as

follows:

For

the

year

ended

April

30,

2026

,

the

effect

of

derivative

contracts

in

the

Statements

of

Operations

was

as

follows:

#### 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

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
Interest

rate

contracts

.......

Investments

in

securities,

at

value

$

1,593,943

a

Options

written,

at

value

$

1,611,285

Variation

margin

on

futures

contracts

650,496

b

Variation

margin

on

futures

contracts

4,429,112

b

Foreign

exchange

contracts

..

Unrealized

appreciation

on

OTC

forward

exchange

contracts

28,768

Unrealized

depreciation

on

OTC

forward

exchange

contracts

54,638

Credit

contracts

............

Variation

margin

on

centrally

cleared

swap

contracts

1,083,799

b

Variation

margin

on

centrally

cleared

swap

contracts

692,788

b

OTC

swap

contracts

(upfront

payments)

—

OTC

swap

contracts

(upfront

receipts)

1,291,228

Unrealized

appreciation

on

OTC

swap

contracts

—

Unrealized

depreciation

on

OTC

swap

contracts

123,303

Total

....................

$3,357,006

$8,202,354

a

Purchased

option

contracts

are

included

in

investments

in

securities,

at

value

in

the

Statement

of

Assets

and

Liabilities.

b

This

amount

reflects

the

cumulative

appreciation

(depreciation)

of

futures

contracts

and

centrally

cleared

swap

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

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
Net

realized

gain

(loss)

from:

Net

change

in

unrealized

&nbsp;&nbsp;&nbsp;&nbsp;appreciation

(depreciation)

on:

Interest

rate

contracts

..........

Investments

$(1,631,260)

a

Investments

$111,909

a

Written

options

—

Written

options

(106,771)

Futures

contracts

(2,182,585)

Futures

contracts

(2,216,598)

Swap

contracts

357,057

Swap

contracts

—

Foreign

exchange

contracts

.....

Investments

(1,389,903)

a

Investments

—

Written

options

548,510

Written

options

—

Forward

exchange

contracts

(339,383)

Forward

exchange

contracts

144,902

Franklin

Strategic

Series

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

For

the

year

ended

April

30,

2026,

the

average

month

end

notional

amount

of

futures

contracts,

swap

contracts

and

options,

and

the

average month

end

contract

value

for forward

exchange

contracts,

were as

follows:

See

Note

1(d) regarding

derivative

financial

instruments.

10. #### Upcoming

#### Reorganization
On

May

19,

2026,

the

Board

for

Franklin

Total

Return

Fund

approved

a

proposal

to

reorganize

Franklin

Total

Return

Fund

with

and

into

Franklin

Core

Plus

Bond.

Upon

completion

of

the

reorganization

on

or

about

October

2,

2026,

assets

in

Franklin

Total

Return

Fund

will

be

transferred

into

Franklin

Core

Plus

Bond

Fund.

11. #### 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

matures

on

January

29,

2027. 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.

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

April

30,

2026,

the

Funds

did

not

use

the

Global

Credit

Facility.

#### 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
Credit

contracts

...............

Investments

(2,325,086)

a

Investments

—

Written

options

1,223,062

Written

options

—

Swap

contracts

(2,539,864)

Swap

contracts

(252,763)

Total

.......................

$(8,279,452)

$(2,319,321)

a

Purchased

option

contracts

are

included

in

net

realized

gain

(loss)

from

investments

and

net

change

in

unrealized

appreciation

(depreciation)

on

investments

in

the

Statements

of

Operations.

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
Futures

contracts

............................................................................

$322,252,528

Swap

contracts

..............................................................................

100,565,574

Forward

exchange

contracts

....................................................................

10,416,184

Options

....................................................................................

184,083,762

9. #### Other

#### Derivative

#### Information
(continued)

Franklin

Strategic

Series

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

12. #### Redemption

#### In-Kind
During

the

period

ended

April

30,

2026,

Franklin

Growth

Opportunities

Fund

realized

$65,126,047

of

net

gains

resulting

from

non-pro

rata

redemptions

in-kind

in

which

shareholders

redeemed

fund

shares

for

cash

and

selected

portfolio

securities

held

by

the

Fund,

whereby

portfolio

securities

selected

by

the

investment

manager

were

distributed

to

the

redeeming

shareholders

of

the

Fund.

As

such

gains

are

not

taxable

to

the

Fund

and

are

not

distributed

to

remaining

shareholders,

they

are

reclassified

from

accumulated

net

realized

gain

to

paid-in

capital.

During

the year

ended

April

30,

2025,

Franklin

Small

Cap

Growth

Fund

realized

$11,579,715

of

net

gains

resulting

from

redemptions in-kind

in

which

shareholders

redeemed

fund

shares

for

cash

and

securities

held

by

the

Fund.

Because

such

gains

are

not

taxable

to

the

Fund,

and

are

not

distributed

to

remaining

shareholders,

they

are

reclassified

from

accumulated

net

realized

gains

to

paid-in

capital.

During

the year

ended

April

30,

2025,

Franklin

Small-Mid

Cap

Growth

Fund

realized

$5,735,544

of

net

gains

resulting

from

a

redemption in-kind

in

which

a

shareholder

redeemed

fund

shares

for

cash

and

securities

held

by

the

Fund.

Because

such

gains

are

not

taxable

to

the

Fund,

and

are

not

distributed

to

remaining

shareholders,

they

are

reclassified

from

accumulated

net

realized

gains

to

paid-in

capital.

13. #### 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

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

April

30,

2026,

in

valuing

the

Funds'

assets

and

liabilities carried

at

fair

value,

is

as

follows:

#### Level

#### 1

#### Level

#### 2

#### Level

#### 3

#### Total

#### Franklin

#### Biotechnology

#### Discovery

#### Fund

#### Assets:
Investments

in

Securities:

a

Common

Stocks

:

Biotechnology

.........................

$

785,500,471

$

533,699

$

2,976,339

$

789,010,509

Capital

Markets

........................

1,542,374

—

—

1,542,374

Health

Care

Providers

&

Services

..........

21,681,614

—

—

21,681,614

Life

Sciences

Tools

&

Services

............

4,108,998

1,866,598

—

5,975,596

Pharmaceuticals

.......................

172,179,993

—

—

172,179,993

Convertible

Preferred

Stocks

................

—

—

9,135,295

9,135,295

Preferred

Stocks

:

Life

Sciences

Tools

&

Services

............

—

2,350,384

—

2,350,384

Real

Estate

Management

&

Development

....

—

—

3,017,588

3,017,588

Warrants

...............................

—

—

8,983,143

8,983,143

Escrows

and

Litigation

Trusts

...............

—

—

534,289

b

534,289

Short

Term

Investments

...................

57,612,300

—

—

57,612,300

Total

Investments

in

Securities

...........

$1,042,625,750

$4,750,681

c

$24,646,654

$1,072,023,085

Franklin

Strategic

Series

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Level

#### 1

#### Level

#### 2

#### Level

#### 3

#### Total

#### Franklin

#### Biotechnology

#### Discovery

#### Fund
(continued)

#### Assets:
(continued)

Other

Financial

Instruments:

Unfunded

Commitments

..................

$—

$—

$311,468

$311,468

Total

Other

Financial

Instruments

.........

$—

$—

$311,468

$311,468

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund

#### Assets:
Investments

in

Securities:

a

Common

Stocks

:

Machinery

............................

$

—

$

—

$

738,049

$

738,049

Oil,

Gas

&

Consumable

Fuels

.............

33,843

267,821

—

301,664

Corporate

Bonds

:

Aerospace

&

Defense

...................

—

29,538,970

—

29,538,970

Air

Freight

&

Logistics

...................

—

909,258

—

909,258

Automobile

Components

.................

—

2,839,614

—

2,839,614

Automobiles

..........................

—

7,276,043

—

7,276,043

Banks

...............................

—

131,711,208

—

131,711,208

Beverages

...........................

—

1,327,410

—

1,327,410

Biotechnology

.........................

—

14,900,544

—

14,900,544

Broadline

Retail

.......................

—

7,456,305

—

b

7,456,305

Building

Products

......................

—

8,717,304

—

8,717,304

Capital

Markets

........................

—

71,767,334

—

71,767,334

Chemicals

...........................

—

7,155,888

—

7,155,888

Commercial

Services

&

Supplies

...........

—

13,522,831

—

13,522,831

Communications

Equipment

..............

—

7,399,781

—

7,399,781

Construction

&

Engineering

...............

—

1,954,328

—

1,954,328

Consumer

Finance

.....................

—

44,363,310

—

44,363,310

Consumer

Staples

Distribution

&

Retail

......

—

2,251,194

—

2,251,194

Containers

&

Packaging

.................

—

6,370,996

—

6,370,996

Diversified

Consumer

Services

............

—

1,688,571

—

1,688,571

Diversified

REITs

......................

—

7,952,367

—

7,952,367

Diversified

Telecommunication

Services

.....

—

38,231,189

—

38,231,189

Electric

Utilities

........................

—

72,654,075

—

72,654,075

Electrical

Equipment

....................

—

4,776,694

—

4,776,694

Electronic

Equipment,

Instruments

&

Components

........................

—

16,604,145

—

16,604,145

Energy

Equipment

&

Services

.............

—

7,053,761

—

7,053,761

Entertainment

.........................

—

5,157,184

—

5,157,184

Financial

Services

......................

—

9,783,302

—

9,783,302

Food

Products

........................

—

19,363,283

—

19,363,283

Gas

Utilities

..........................

—

1,894,327

—

1,894,327

Ground

Transportation

..................

—

14,992,828

—

14,992,828

Health

Care

Equipment

&

Supplies

.........

—

10,760,172

—

10,760,172

Health

Care

Providers

&

Services

..........

—

44,811,799

—

44,811,799

Health

Care

REITs

.....................

—

7,303,357

—

7,303,357

Health

Care

Technology

.................

—

3,058,938

—

3,058,938

Hotel

&

Resort

REITs

...................

—

2,566,842

—

2,566,842

Hotels,

Restaurants

&

Leisure

.............

—

19,466,434

—

19,466,434

Household

Durables

....................

—

7,657,770

—

7,657,770

Independent

Power

and

Renewable

Electricity

Producers

..........................

—

15,568,780

—

15,568,780

Insurance

............................

—

52,499,113

—

52,499,113

Interactive

Media

&

Services

..............

—

3,071,592

—

3,071,592

IT

Services

...........................

—

5,463,203

—

5,463,203

Leisure

Products

.......................

—

1,133,408

—

1,133,408

Life

Sciences

Tools

&

Services

............

—

1,366,649

—

1,366,649

Machinery

............................

—

4,976,362

—

4,976,362

13. #### Fair

#### Value

#### Measurements
(continued)

Franklin

Strategic

Series

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Level

#### 1

#### Level

#### 2

#### Level

#### 3

#### Total

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund
(continued)

#### Assets:
(continued)

Investments

in

Securities:

a

(continued)

Corporate

Bonds:

(continued)

Media

...............................

$

—

$

30,449,453

$

—

$

30,449,453

Metals

&

Mining

.......................

—

9,410,205

—

9,410,205

Multi-Utilities

..........................

—

18,553,820

—

18,553,820

Oil,

Gas

&

Consumable

Fuels

.............

—

115,972,296

—

115,972,296

Paper

&

Forest

Products

.................

—

2,051,461

—

2,051,461

Personal

Care

Products

.................

—

9,791,314

—

9,791,314

Pharmaceuticals

.......................

—

31,699,820

—

31,699,820

Residential

REITs

......................

—

2,644,537

—

2,644,537

Semiconductors

&

Semiconductor

Equipment

.

—

18,622,973

—

18,622,973

Software

.............................

—

20,459,087

—

20,459,087

Specialized

REITs

......................

—

5,696,673

—

5,696,673

Specialty

Retail

........................

—

1,892,026

—

1,892,026

Technology

Hardware,

Storage

&

Peripherals

.

—

14,051,566

—

14,051,566

Textiles,

Apparel

&

Luxury

Goods

..........

—

1,829,278

—

1,829,278

Tobacco

.............................

—

13,843,198

—

13,843,198

Trading

Companies

&

Distributors

..........

—

3,634,592

—

3,634,592

Transportation

Infrastructure

..............

—

149,940

—

149,940

Wireless

Telecommunication

Services

.......

—

21,236,652

30,370

21,267,022

Senior

Floating

Rate

Interests

...............

—

82,495,991

—

b

82,495,991

Marketplace

Loans

.......................

—

—

2,232,026

b

2,232,026

Foreign

Government

and

Agency

Securities

....

—

72,813,357

—

72,813,357

U.S.

Government

and

Agency

Securities

.......

—

400,634,101

—

400,634,101

Asset-Backed

Securities

...................

—

251,776,335

—

251,776,335

Commercial

Mortgage-Backed

Securities

......

—

171,598,242

—

171,598,242

Mortgage-Backed

Securities

................

—

841,950,219

—

841,950,219

Residential

Mortgage-Backed

Securities

.......

—

82,603,731

—

82,603,731

Agency

Commercial

Mortgage-Backed

Securities

—

124,772,681

—

124,772,681

Municipal

Bonds

.........................

—

25,908,343

—

25,908,343

Escrows

and

Litigation

Trusts

...............

—

30,300

9,813

b

40,113

Options

Purchased

.......................

—

1,593,943

—

1,593,943

Short

Term

Investments

...................

234,995,433

—

—

234,995,433

Total

Investments

in

Securities

...........

$235,029,276

$3,117,752,418

$3,010,258

$3,355,791,952

Other

Financial

Instruments:

Forward

Exchange

Contracts

...............

$—

$28,768

$—

$28,768

Futures

Contracts

.......................

650,496

—

—

650,496

Swap

Contracts

.........................

—

1,083,799

—

1,083,799

Total

Other

Financial

Instruments

.........

$650,496

$1,112,567

$—

$1,763,063

–

–

–

–

#### Liabilities:
Other

Financial

Instruments:

TBA

Sale

Commitments

...................

$

—

$

21,469,454

$

—

$

21,469,454

Options

Written

..........................

—

1,611,285

—

1,611,285

Forward

Exchange

Contracts

...............

—

54,638

—

54,638

Futures

Contracts

........................

4,429,112

—

—

4,429,112

Swap

Contracts

.........................

—

816,091

—

816,091

Unfunded

Loan

Commitments

...............

—

—

Total

Other

Financial

Instruments

.........

$4,429,112

$23,951,560

$—

$28,380,672

13. #### Fair

#### Value

#### Measurements
(continued)

Franklin

Strategic

Series

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Level

#### 1

#### Level

#### 2

#### Level

#### 3

#### Total

#### Franklin

#### Growth

#### Opportunities

#### Fund

#### Assets:
Investments

in

Securities:

a

Common

Stocks

:

Aerospace

&

Defense

...................

$

173,242,643

$

—

$

83,334,278

$

256,576,921

Automobiles

..........................

85,179,816

—

—

85,179,816

Beverages

...........................

25,723,803

—

—

25,723,803

Biotechnology

.........................

71,019,242

—

—

71,019,242

Broadline

Retail

.......................

231,609,958

—

—

231,609,958

Building

Products

......................

54,502,014

—

—

54,502,014

Capital

Markets

........................

31,307,298

—

—

31,307,298

Chemicals

...........................

40,510,654

—

—

40,510,654

Commercial

Services

&

Supplies

...........

43,926,367

—

2,723,122

b

46,649,489

Communications

Equipment

..............

73,565,569

—

—

73,565,569

Construction

&

Engineering

...............

23,582,804

—

—

23,582,804

Construction

Materials

..................

33,164,818

—

—

33,164,818

Consumer

Staples

Distribution

&

Retail

......

95,083,292

—

—

95,083,292

Electric

Utilities

........................

29,706,717

—

—

29,706,717

Electrical

Equipment

....................

99,881,618

—

—

99,881,618

Electronic

Equipment,

Instruments

&

Components

........................

146,223,484

—

—

146,223,484

Entertainment

.........................

93,166,155

—

—

93,166,155

Financial

Services

......................

63,662,128

—

—

63,662,128

Ground

Transportation

..................

36,276,034

—

—

36,276,034

Health

Care

Equipment

&

Supplies

.........

40,392,590

—

—

40,392,590

Health

Care

Providers

&

Services

..........

70,048,506

—

—

70,048,506

Hotels,

Restaurants

&

Leisure

.............

30,900,559

—

—

30,900,559

Interactive

Media

&

Services

..............

490,272,653

—

—

490,272,653

IT

Services

...........................

52,256,184

—

24,565,347

76,821,531

Life

Sciences

Tools

&

Services

............

20,847,485

—

—

20,847,485

Machinery

............................

43,059,218

—

—

43,059,218

Pharmaceuticals

.......................

139,753,249

—

—

139,753,249

Semiconductors

&

Semiconductor

Equipment

.

1,085,414,760

—

—

1,085,414,760

Software

.............................

248,708,703

—

36,914,457

285,623,160

Specialty

Retail

........................

43,866,264

—

—

43,866,264

Technology

Hardware,

Storage

&

Peripherals

.

343,071,707

—

—

343,071,707

Trading

Companies

&

Distributors

..........

18,697,433

—

—

18,697,433

Convertible

Preferred

Stocks

................

—

—

105,179,711

105,179,711

Preferred

Stocks

.........................

—

—

13,269,343

13,269,343

Escrows

and

Litigation

Trusts

...............

—

—

—

b

—

Short

Term

Investments

...................

67,506,254

—

—

67,506,254

Total

Investments

in

Securities

...........

$4,146,129,979

$—

$265,986,258

$4,412,116,237

#### Level

#### 1

#### Level

#### 2

#### Level

#### 3

#### Total

#### Franklin

#### Natural

#### Resources

#### Fund

#### Assets:
Investments

in

Securities:

a

Common

Stocks

:

Agricultural

Products

&

Services

...........

$

4,409,329

$

—

$

—

$

4,409,329

Coal

&

Consumable

Fuels

................

4,441,744

—

—

4,441,744

Construction

&

Engineering

...............

2,785,272

—

—

2,785,272

Construction

Materials

..................

10,586,097

—

—

10,586,097

Copper

..............................

19,726,940

4,296,899

—

24,023,839

Diversified

Metals

&

Mining

...............

35,819,407

14,948,688

—

50,768,095

Electrical

Components

&

Equipment

........

3,383,040

1,751,734

—

5,134,774

Electronic

Equipment

&

Instruments

........

2,865,567

—

—

2,865,567

13. #### Fair

#### Value

#### Measurements
(continued)

Franklin

Strategic

Series

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Level

#### 1

#### Level

#### 2

#### Level

#### 3

#### Total

#### Franklin

#### Natural

#### Resources

#### Fund
(continued)

#### Assets:
(continued)

Investments

in

Securities:

a

(continued)

Common

Stocks:

(continued)

Fertilizers

&

Agricultural

Chemicals

.........

$

20,542,352

$

—

$

—

$

20,542,352

Gold

................................

57,759,260

—

—

57,759,260

Heavy

Electrical

Equipment

..............

5,816,818

—

—

5,816,818

Industrial

Gases

.......................

21,959,015

—

—

21,959,015

Industrial

Machinery

&

Supplies

&

Components

2,575,888

—

—

2,575,888

Integrated

Oil

&

Gas

....................

83,029,854

—

—

83,029,854

Metal,

Glass

&

Plastic

Containers

..........

5,091,927

—

—

5,091,927

Oil

&

Gas

Drilling

......................

4,175,142

—

—

4,175,142

Oil

&

Gas

Equipment

&

Services

...........

38,907,620

2,748,523

—

41,656,143

Oil

&

Gas

Exploration

&

Production

.........

88,082,893

7,275,081

—

95,357,974

Oil

&

Gas

Refining

&

Marketing

............

22,854,925

—

—

22,854,925

Oil

&

Gas

Storage

&

Transportation

.........

45,494,540

—

—

45,494,540

Paper

&

Plastic

Packaging

Products

&

Materials

3,564,615

—

—

3,564,615

Precious

Metals

&

Minerals

...............

—

458,862

—

458,862

Specialty

Chemicals

....................

3,124,408

—

—

3,124,408

Steel

................................

7,183,640

—

—

7,183,640

Convertible

Preferred

Stocks

:

Environmental

&

Facilities

Services

.........

—

—

1,899,983

1,899,983

Specialty

Chemicals

....................

2,400,552

—

—

2,400,552

Warrants

..............................

690,045

—

—

690,045

Convertible

Bonds

.......................

—

1,500,497

—

1,500,497

Short

Term

Investments

...................

20,455,294

—

—

20,455,294

Total

Investments

in

Securities

...........

$517,726,184

$32,980,284

d

$1,899,983

$552,606,451

#### Level

#### 1

#### Level

#### 2

#### Level

#### 3

#### Total

#### Franklin

#### Small

#### Cap

#### Growth

#### Fund

#### Assets:
Investments

in

Securities:

a

Common

Stocks

:

Aerospace

&

Defense

...................

$

150,992,893

$

—

$

—

$

150,992,893

Banks

...............................

51,474,885

—

—

51,474,885

Biotechnology

.........................

273,465,412

—

—

273,465,412

Building

Products

......................

80,919,002

—

—

80,919,002

Capital

Markets

........................

89,824,809

—

—

89,824,809

Commercial

Services

&

Supplies

...........

—

—

—

b

—

Communications

Equipment

..............

43,785,980

—

—

43,785,980

Construction

&

Engineering

...............

153,988,145

—

—

153,988,145

Construction

Materials

..................

7,678,338

—

—

7,678,338

Consumer

Staples

Distribution

&

Retail

......

35,475,340

—

—

35,475,340

Diversified

Consumer

Services

............

1,777,697

—

—

1,777,697

Electrical

Equipment

....................

31,451,524

—

—

31,451,524

Electronic

Equipment,

Instruments

&

Components

........................

112,509,711

—

—

112,509,711

Energy

Equipment

&

Services

.............

62,513,939

—

—

62,513,939

Financial

Services

......................

45,778,002

—

—

45,778,002

Food

Products

........................

19,211,655

—

—

19,211,655

Health

Care

Equipment

&

Supplies

.........

75,818,281

—

—

75,818,281

Health

Care

Providers

&

Services

..........

133,615,523

—

—

133,615,523

Health

Care

REITs

.....................

590,794

—

—

590,794

Hotel

&

Resort

REITs

...................

16,053,080

—

—

16,053,080

Hotels,

Restaurants

&

Leisure

.............

83,438,253

—

—

83,438,253

Household

Durables

....................

25,715,499

—

—

25,715,499

13. #### Fair

#### Value

#### Measurements
(continued)

Franklin

Strategic

Series

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Level

#### 1

#### Level

#### 2

#### Level

#### 3

#### Total

#### Franklin

#### Small

#### Cap

#### Growth

#### Fund
(continued)

#### Assets:
(continued)

Investments

in

Securities:

a

(continued)

Common

Stocks:

(continued)

IT

Services

...........................

$

13,872,516

$

—

$

—

$

13,872,516

Life

Sciences

Tools

&

Services

............

44,334,220

—

—

44,334,220

Machinery

............................

72,265,228

—

—

72,265,228

Media

...............................

39,676,063

—

—

39,676,063

Oil,

Gas

&

Consumable

Fuels

.............

57,925,954

—

—

57,925,954

Passenger

Airlines

.....................

38,233,858

—

—

38,233,858

Personal

Care

Products

.................

15,489,044

—

—

15,489,044

Pharmaceuticals

.......................

85,568,826

—

—

85,568,826

Professional

Services

...................

46,035,034

—

—

46,035,034

Semiconductors

&

Semiconductor

Equipment

.

206,275,723

—

—

206,275,723

Software

.............................

162,349,454

—

381,580

162,731,034

Specialty

Retail

........................

37,694,709

—

—

37,694,709

Textiles,

Apparel

&

Luxury

Goods

..........

15,418,305

—

—

15,418,305

Trading

Companies

&

Distributors

..........

25,914,145

—

—

25,914,145

Convertible

Preferred

Stocks

................

—

—

68,845,785

68,845,785

Preferred

Stocks

.........................

—

—

5,096,061

b

5,096,061

Rights

.................................

—

—

—

b

—

Escrows

and

Litigation

Trusts

...............

—

—

—

b

—

Short

Term

Investments

...................

63,346,375

—

—

63,346,375

Total

Investments

in

Securities

...........

$2,420,478,216

$—

$74,323,426

$2,494,801,642

#### Franklin

#### Small-Mid

#### Cap

#### Growth

#### Fund

#### Assets:
Investments

in

Securities:

a

Common

Stocks

:

Aerospace

&

Defense

...................

264,973,242

—

—

264,973,242

Banks

...............................

43,227,216

—

—

43,227,216

Biotechnology

.........................

190,626,344

—

—

190,626,344

Building

Products

......................

55,712,882

—

—

55,712,882

Capital

Markets

........................

250,197,230

—

—

250,197,230

Construction

&

Engineering

...............

113,482,697

—

—

113,482,697

Consumer

Staples

Distribution

&

Retail

......

62,009,791

—

—

62,009,791

Electrical

Equipment

....................

239,145,742

—

—

239,145,742

Entertainment

.........................

73,990,874

—

—

73,990,874

Financial

Services

......................

26,770,808

—

—

26,770,808

Ground

Transportation

..................

51,936,586

—

—

51,936,586

Health

Care

Equipment

&

Supplies

.........

103,917,218

—

—

103,917,218

Health

Care

Providers

&

Services

..........

71,207,600

—

—

71,207,600

Health

Care

Technology

.................

26,005,502

—

—

26,005,502

Hotels,

Restaurants

&

Leisure

.............

410,440,073

—

—

410,440,073

Household

Durables

....................

29,791,959

—

—

29,791,959

Independent

Power

and

Renewable

Electricity

Producers

..........................

75,005,726

—

—

75,005,726

Interactive

Media

&

Services

..............

8,605,988

—

—

8,605,988

IT

Services

...........................

75,900,596

—

—

75,900,596

Life

Sciences

Tools

&

Services

............

35,070,042

—

—

35,070,042

Machinery

............................

32,569,268

—

—

32,569,268

Media

...............................

46,272,144

—

—

46,272,144

Oil,

Gas

&

Consumable

Fuels

.............

117,667,174

—

—

117,667,174

Professional

Services

...................

53,708,175

—

—

53,708,175

Real

Estate

Management

&

Development

....

19,731,377

—

—

19,731,377

Residential

REITs

......................

12,514,585

—

—

12,514,585

Semiconductors

&

Semiconductor

Equipment

.

219,371,372

—

—

219,371,372

Software

.............................

257,486,053

—

7,493,068

264,979,121

13. #### Fair

#### Value

#### Measurements
(continued)

Franklin

Strategic

Series

Notes

to

Financial

Statements

franklintempleton.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.

At

April

30,

2026,

the

reconciliations

are

as

follows:

#### Level

#### 1

#### Level

#### 2

#### Level

#### 3

#### Total

#### Franklin

#### Small-Mid

#### Cap

#### Growth

#### Fund
(continued)

#### Assets:
(continued)

Investments

in

Securities:

a

(continued)

Common

Stocks:

(continued)

Specialty

Retail

........................

$

241,764,693

$

—

$

—

$

241,764,693

Technology

Hardware,

Storage

&

Peripherals

.

36,049,454

—

—

36,049,454

Trading

Companies

&

Distributors

..........

71,011,299

—

—

71,011,299

Convertible

Preferred

Stocks

................

—

—

94,514,669

94,514,669

Preferred

Stocks

.........................

—

—

2,409,237

2,409,237

Warrants

...............................

—

—

95,450

95,450

Convertible

Bonds

.......................

—

—

243,073

243,073

Senior

Floating

Rate

Interests

...............

—

—

1,010,160

1,010,160

Escrows

and

Litigation

Trusts

...............

—

—

—

b

—

Short

Term

Investments

...................

74,959,605

—

—

74,959,605

Total

Investments

in

Securities

...........

$3,391,123,315

$—

$105,765,657

$3,496,888,972

a

For

detailed

categories,

see

the

accompanying

Schedule

of

Investments.

b

Includes

financial

instruments

determined

to

have

no

value.

c

Includes

foreign

securities

valued

at

$4,216,982,

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.

d

Includes

foreign

securities

valued

at

$31,479,787,

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.

#### Balance

#### at

#### Beginning

#### of

#### Year

#### Purchases

#### a

#### Sales

#### b

#### Transfer

#### Into

#### Level

#### 3

#### c

#### Transfer

#### Out

#### of

#### Level

#### 3

#### Net

#### Accretion

#### (Amortiza-

#### tion)

#### Net

#### Realized

#### Gain
(Loss)

#### Net

#### Unr

#### ealized

#### Appreciatio

#### n

#### (#### Depreciation

####)

#### Balance

#### at

#### End

#### of

#### Year

#### Net

#### Change

#### in

#### Unrealized

#### Appreciation
(Depreciation)

#### on

#### Assets

#### Held

#### at

#### Year

#### End

#### a

#### Franklin

#### Biotechnology

#### Discovery

#### Fund

#### Assets:
Investments

in

Securities:

Common

Stocks

:

Biotechnology

......

$

—

$

2,568,669

$

—

$

—

$

—

$

—

$

—

$

407,670

$

2,976,339

$

407,670

Convertible

Preferred

Stocks

:

Biotechnology

......

—

5,498,578

—

—

—

—

—

1,264,255

6,762,833

1,264,255

Household

Products

..

1,275,136

—

—

—

—

—

—

1,097,326

2,372,462

1,097,326

Preferred

Stocks

:

Real

Estate

Management

&

Development

.....

1,311,980

—

—

—

—

—

—

1,705,608

3,017,588

1,705,609

Warrants

:

Biotechnology

......

289,723

1,020,208

(9) d

4,224,842

—

—

(13) 3,448,392

8,983,143

3,659,042

Escrows

and

Litigation

Trusts

:

400,031

d

—

(838,547)

—

—

—

838,547

134,258

534,289

d

134,258

Total

Investments

in

Securities

............

$3,276,870

$9,087,455

$(838,556)

$4,224,842

$—

$—

$838,534

$8,057,509

$24,646,654

$8,268,160

Other

Financial

Instruments:

Unfunded

Commitments

......

$—

$—

$—

$—

$—

$—

$—

$311,468

$311,468

$311,468

13. #### Fair

#### Value

#### Measurements
(continued)

Franklin

Strategic

Series

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Balance

#### at

#### Beginning

#### of

#### Year

#### Purchases

#### a

#### Sales

#### b

#### Transfer

#### Into

#### Level

#### 3

#### c

#### Transfer

#### Out

#### of

#### Level

#### 3

#### Net

#### Accretion

#### (Amortiza-

#### tion)

#### Net

#### Realized

#### Gain
(Loss)

#### Net

#### Unrealized

#### Appreciation
(Depreciation)

#### Balance

#### at

#### End

#### of

#### Year

#### Net

#### Change

#### in

#### Unrealized

#### Appreciation
(Depreciation)

#### on

#### Assets

#### Held

#### at

#### Year

#### End

#### a

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund

#### Assets:
Investments

in

Securities:

Common

Stocks

:

Broadline

Retail

.....

$

—

d

$

—

$

—

d

$

—

$

—

$

—

$

(986,430)

$

986,430

$

—

$

—

Machinery

.........

750,386

—

—

—

—

—

—

(12,337)

738,049

(12,337)

Management

Investment

Companies

:

Capital

Markets

.....

24,292,230

—

(23,568,844)

—

—

—

338,532

(1,061,918)

—

—

Warrants

:

Machinery

.........

1,787

—

—

d

—

—

—

(1,272)

(515) —

—

Oil,

Gas

&

Consumable

Fuels

..........

—

d

—

—

d

—

—

—

—

—

—

—

Software

..........

—

d

—

—

d

—

—

—

(750,000)

750,000

—

—

Corporate

Bonds

:

Broadline

Retail

.....

—

d

—

—

—

—

—

—

—

—

d

—

Financial

Services

...

—

d

—

(20,345)

—

—

—

(1,446,931)

1,467,276

—

—

Wireless

Telecommunication

Services

........

30,370

—

—

—

—

22,053

—

(22,053)

30,370

(22,053)

Senior

Floating

Rate

Interests

:

Software

..........

—

d

—

—

—

—

—

—

—

—

d

—

Marketplace

Loans

:

Financial

Services

...

29,226,804

115,577

(27,046,640)

—

—

—

269,176

(332,891)

2,232,026

d

(5,273,594)

Escrows

and

Litigation

Trusts

...........

8,787

—

d

—

—

—

—

—

1,026

9,813

d

1,026

Total

Investments

in

Securities

............

$54,310,364

$115,577

$(50,635,829)

$—

$—

$22,053

$(2,576,925)

$1,775,018

$3,010,258

$(5,306,958)

#### Franklin

#### Growth

#### Opportunities

#### Fund

#### Assets:
Investments

in

Securities:

Common

Stocks

:

Aerospace

&

Defense

.

26,428,545

4,807,041

—

—

—

—

—

52,098,692

83,334,278

52,098,692

Commercial

Services

&

Supplies

........

6,471,119

—

d

(13,532)

—

—

—

13,532

(3,747,997)

2,723,122

d

(3,747,997)

IT

Services

........

19,175,724

—

—

—

—

—

—

5,389,623

24,565,347

5,389,623

Leisure

Products

....

55,397,163

—

(51,496,420)

—

—

—

31,766,190

(35,666,933)

—

—

Software

..........

21,592,488

3,727,240

—

—

—

—

—

11,594,729

36,914,457

11,594,729

Convertible

Preferred

Stocks

:

Aerospace

&

Defense

.

—

7,367,980

—

—

—

—

—

5,058,327

12,426,307

5,058,327

Automobile

Components

12,588,882

—

—

—

—

—

—

735,343

13,324,225

735,343

Software

..........

37,296,393

9,999,815

—

—

—

—

—

32,132,971

79,429,179

32,132,971

Preferred

Stocks

:

Commercial

Services

&

Supplies

........

7,445,041

—

(549,993)

—

—

—

(10,392,598)

3,497,550

—

—

Software

..........

5,669,986

6,999,887

(3,223,200)

—

—

—

(777,033)

4,599,703

13,269,343

5,877,087

Escrows

and

Litigation

Trusts

:

—

d

—

—

d

—

—

—

—

—

—

d

—

Total

Investments

in

Securities

............

$192,065,341

$32,901,963

$(55,283,145)

$—

$—

$—

$20,610,091

$75,692,008

$265,986,258

$109,138,775

13. #### Fair

#### Value

#### Measurements
(continued)

Franklin

Strategic

Series

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Balance

#### at

#### Beginning

#### of

#### Year

#### Purchases

#### a

#### Sales

#### b

#### Transfer

#### Into

#### Level

#### 3

#### c

#### Transfer

#### Out

#### of

#### Level

#### 3

#### Net

#### Accretion

#### (Amortiza-

#### tion)

#### Net

#### Realized

#### Gain
(Loss)

#### Net

#### Unrealized

#### Appreciation
(Depreciation)

#### Balance

#### at

#### End

#### of

#### Year

#### Net

#### Change

#### in

#### Unrealized

#### Appreciation
(Depreciation)

#### on

#### Assets

#### Held

#### at

#### Year

#### End

#### a

#### Franklin

#### Small

#### Cap

#### Growth

#### Fund

#### Assets:
Investments

in

Securities:

Common

Stocks

:

Commercial

Services

&

Supplies

........

$

—

$

—

d

$

(13,504)

$

—

$

—

$

—

$

13,504

$

—

$

—

d

$

—

Software

..........

412,783

—

—

—

—

—

—

(31,203)

381,580

(31,203)

Convertible

Preferred

Stocks

:

Automobile

Components

14,585,176

—

—

—

—

—

—

851,950

15,437,126

851,950

Communications

Equipment

.......

—

5,999,994

—

—

—

—

—

—

5,999,994

—

Diversified

Consumer

Services

........

11,929,905

—

—

—

—

—

—

777,536

12,707,441

777,536

Software

..........

36,310,373

—

—

—

—

—

—

(5,395,527)

30,914,846

(5,395,527)

Specialty

Retail

.....

5,047,362

—

—

—

—

—

—

(1,260,984)

3,786,378

(1,260,984)

Preferred

Stocks

:

Automobile

Components

7,317,732

d

—

—

—

—

—

—

(3,444,816)

3,872,916

d

(3,444,816)

Commercial

Services

&

Supplies

........

7,429,670

—

(548,858)

—

—

—

(10,371,141)

3,490,329

—

—

Software

..........

1,456,951

—

—

—

—

—

—

(233,806)

1,223,145

(233,806)

Rights

:

Biotechnology

......

802,045

—

(821,000)

—

—

—

660,906

(641,951)

—

d

(641,951)

Escrows

and

Litigation

Trusts

...........

—

d

—

—

d

—

—

—

—

—

—

d

—

Total

Investments

in

Securities

............

$85,291,997

$5,999,994

$(1,383,362)

$—

$—

$—

$(9,696,731)

$(5,888,472)

$74,323,426

$(9,378,801)

#### Franklin

#### Small-Mid

#### Cap

#### Growth

#### Fund

#### Assets:
Investments

in

Securities:

Common

Stocks

:

Leisure

Products

....

42,691,367

—

(39,684,882)

—

—

—

25,632,821

(28,639,306)

—

—

Software

..........

6,311,036

—

—

—

—

—

—

1,182,032

7,493,068

1,182,032

Convertible

Preferred

Stocks

:

Aerospace

&

Defense

.

16,944,894

—

—

—

—

—

—

11,633,709

28,578,603

11,633,709

Diversified

Consumer

Services

........

7,130,256

—

—

—

—

—

—

464,716

7,594,972

464,716

Semiconductors

&

Semiconductor

Equipment

.......

135,046

—

—

—

—

—

—

5,911,247

6,046,293

5,911,247

Software

..........

35,005,434

—

—

—

—

—

—

17,289,367

52,294,801

17,289,367

Preferred

Stocks

:

Semiconductors

&

Semiconductor

Equipment

.......

180,297

—

—

—

—

—

—

2,228,940

2,409,237

2,228,940

Warrants

:

Semiconductors

&

Semiconductor

Equipment

.......

6,183

—

—

—

—

—

—

89,267

95,450

89,267

Convertible

Bonds

:

Semiconductors

&

Semiconductor

Equipment

.......

198,705

—

—

—

—

—

—

44,368

243,073

44,368

13. #### Fair

#### Value

#### Measurements
(continued)

Franklin

Strategic

Series

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

Significant

unobservable

valuation

inputs

for

material

Level

3 assets

and/or

liabilities and

impact

to

fair

value

as

a

result

of

changes

in

unobservable

valuation

inputs

as

of

April

30,

2026,

are

as

follows:

#### Balance

#### at

#### Beginning

#### of

#### Year

#### Purchases

#### a

#### Sales

#### b

#### Transfer

#### Into

#### Level

#### 3

#### c

#### Transfer

#### Out

#### of

#### Level

#### 3

#### Net

#### Accretion

#### (Amortiza-

#### tion)

#### Net

#### Realized

#### Gain
(Loss)

#### Net

#### Unrealized

#### Appreciation
(Depreciation)

#### Balance

#### at

#### End

#### of

#### Year

#### Net

#### Change

#### in

#### Unrealized

#### Appreciation
(Depreciation)

#### on

#### Assets

#### Held

#### at

#### Year

#### End

#### a

#### Franklin

#### Small-Mid

#### Cap

#### Growth

#### Fund
(continued)

#### Assets:
(continued)

Investments

in

Securities:

(continued)

Senior

Floating

Rate

Interests

:

Semiconductors

&

Semiconductor

Equipment

.......

$

824,303

$

109,594

$

—

$

—

$

—

$

(14,078)

$

—

$

90,341

$

1,010,160

$

90,341

Escrows

and

Litigation

Trusts

:

—

d

—

—

—

—

—

—

—

—

d

—

Total

Investments

in

Securities

............

$109,427,521

$109,594

$(39,684,882)

$—

$—

$(14,078)

$25,632,821

$10,294,681

$105,765,657

$38,933,987

a

Purchases

include

all

purchases

of

securities

and

securities

received

in

corporate

actions.

b

Sales

include

all

sales

of

securities,

maturities,

paydowns

and

securities

tendered

in

corporate

actions.

c

Transferred

into

Level

as

a

result

of

the

unavailability

of

a

quoted

market

price

in

an

active

market

for

identical

securities

or

as

a

result

of

the

unreliability

of

the

foreign

exchange

rate

and

other

significant

observable

valuation

inputs.

May

include

amounts

related

to

a

corporate

action.

d

Includes

financial

instruments

determined

to

have

no

value.

#### Description

#### Fair

#### Value

#### at

#### End

#### of

#### Year

#### Valuation

#### Technique

#### Unobservable

#### Inputs

#### Amount

#### /

#### Range

#### (Weighted

#### Average)

#### Impact

#### to

#### Fair

#### Value

#### if

#### Input

#### Increases

#### a

#### Franklin

#### Growth

#### Opportunities

#### Fund

#### Assets:
Investments

in

Securities:

Convertible

Preferred

Stocks:

Software.

.

.

.

.

.

.

$64,623,462

Market

comparables

Discount

for

lack

of

marketability

12.4%

Decrease

EV

/

Revenue

multiple

27.9x

Increase

Revenue

$5.7

bil

Increase

Trade

price

$190.0

Increase

All

Other

Investments.

.

.

.

201,362,796

b,c,d

Total.

.

.

.

.

.

.

.

.

.

.

.

.

.

.

.

.

.

$265,986,258

13. #### Fair

#### Value

#### Measurements
(continued)

Franklin

Strategic

Series

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Description

#### Fair

#### Value

#### at

#### End

#### of

#### Year

#### Valuation

#### Technique

#### Unobservable

#### Inputs

#### Amount

#### /

#### Range

#### (Weighted

#### Average)

#### Impact

#### to

#### Fair

#### Value

#### if

#### Input

#### Increases

#### a

#### Franklin

#### Small

#### Cap

#### Growth

#### Fund

#### Assets:
Investments

in

Securities:

Convertible

Preferred

Stocks:

Diversified

Consumer

Services.

.

.

.

.

$12,707,441

Market

comparables

Discount

for

lack

of

marketability

9.1%

Decrease

EV

/

EBITDA

multiple

5.8x

Increase

EV

/

Revenue

multiple

1.3x

Increase

Volatility

41.9%

Increase

Software

.

.

.

.

.

.

.

.

.

.

.

.

.

.

21,170,063

Market

comparables

Discount

for

lack

of

marketability

11.0%

Decrease

EV

/

Revenue

multiple

2.5x

Increase

Volatility

48.9%

Increase

All

Other

Investments.

.

.

.

40,445,922

b,c,d

Total.

.

.

.

.

.

.

.

.

.

.

.

.

.

.

.

.

.

$74,323,426

#### Description

#### Fair

#### Value

#### at

#### End

#### of

#### Year

#### Valuation

#### Technique

#### Unobservable

#### Inputs

#### Amount

#### /

#### Range

#### (Weighted

#### Average)

#### Impact

#### to

#### Fair

#### Value

#### if

#### Input

#### Increases

#### a

#### Franklin

#### Small-Mid

#### Cap

#### Growth

#### Fund

#### Assets:
Investments

in

Securities:

Convertible

Preferred

Stocks:

Software

.......................

$43,523,409

Market

comparables

Discount

for

lack

of

marketability

12.4%

Decrease

EV

/

Revenue

multiple

27.9x

Increase

Revenue

$5.7

bil

Increase

Trade

price

$190.0

Increase

All

Other

Investments.

.

.

.

.

.

.

.

.

62,242,248

b,c,d

Total.

.

.

.

.

.

.

.

.

.

.

.

.

.

.

.

.

.

.

.

.

.

$105,765,657

a

Represents

the

directional

change

in

the

fair

value

of

the

Level

financial

instruments

that

would

result

from

a

significant

and

reasonable

increase

in

the

corresponding

input.

A

significant

and

reasonable

decrease

in

the

input

would

have

the

opposite

effect.

Significant

increases

and

decreases

in

these

inputs

in

isolation

could

result

in

significantly

higher

or

lower

fair

value

measurements.

b

Includes

the

fair

value

of

immaterial

assets

and/or

liabilities

developed

using

various

valuation

techniques

and

unobservable

inputs.

c

Includes

financial

instruments

determined

to

have

no

value.

d

Includes

the

fair

value

of

assets

and/or

liabilities

derived

from

recent

transactions,

private

transaction

prices,

or

non-public

third-party

pricing

information

that

is

unobservable.

#### Abbreviations

#### List

#### EBITDA

#### -
Earnings

before

interest,

taxes,

depreciation

and

amortization

#### EV
-

Enterprise

value

13. #### Fair

#### Value

#### Measurements
(continued)

Franklin

Strategic

Series

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

Level

financial

instruments,

for

the

Franklin

Biotechnology

Discovery

Fund,

include

the

fair

value

of

immaterial

assets

and/or

liabilities

developed

using

various

valuation

techniques

and

unobservable

inputs.

14. #### Operating

#### Segments
Each

Fund

operates

as

a

single

operating

segment,

which

is

an

investment

portfolio.

The

portfolio

managers

assigned

to

the

Fund

within the

Funds'

investment

manager

serve

as

the

Chief

Operating

Decision

Maker

("CODM")

and are

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.

15. #### 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.

13. #### Fair

#### Value

#### Measurements
(continued)

Franklin

Strategic

Series

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Abbreviations

#### Counterparty

#### BOFA
Bank

of

America

NA

#### CITI
Citibank

NA

#### JPHQ
JPMorgan

Chase

Bank

NA

#### Cu

#### r

#### rency

#### CAD
Canadian

Dollar

#### EUR
Euro

#### USD
United

States

Dollar

#### Index

#### CDX.NA.HY.

#### Series

#### number
CDX

North

America

High

Yield

Index

#### CDX.NA.IG.

#### Series

#### number
CDX

North

America

Investment

Grade

Index

#### Selected

#### Portfolio

#### ADR
American

Depositary

Receipt

#### BDC
Business

Development

Company

#### CLO
Collateralized

Loan

Obligation

#### CME
Chicago

Mercantile

Exchange

#### CMT
Constant

Monthly

U.S.

Treasury

Securities

Yield

Curve

Rate

Index

#### CVR
Contingent

Value

Right

#### ETM
Escrowed

to

Maturity

#### FFCB
Federal

Farm

Credit

Banks

Funding

Corp.

#### FHLMC
Federal

Home

Loan

Mortgage

Corp.

#### FNMA
Federal

National

Mortgage

Association

#### FRN
Floating

Rate

Note

#### GNMA
Government

National

Mortgage

Association

#### GO
General

Obligation

#### IO
Interest

Only

#### MBS
Mortgage-Backed

Security

#### NATL
National

Reinsurance

Corp.

#### PIK
Payment-In-Kind

#### REIT
Real

Estate

Investment

Trust

#### REMIC
Real

Estate

Mortgage

Investment

Conduit

#### SOFR
Secured

Overnight

Financing

Rate

#### STACR
Structured

Agency

Credit

Risk

#### T-Note
Treasury

Note

Franklin

Strategic

Series

franklintempleton.com

Annual

Report

Report

of

Independent

Registered

Public

Accounting

Firm

To

the

Board

of

Trustees

of

Franklin

Strategic

Series

and

Shareholders

of

Franklin

Biotechnology

Discovery

Fund,

Franklin

Core

Plus

Bond

Fund,

Franklin

Growth

Opportunities

Fund,

Franklin

Natural

Resources

Fund,

Franklin

Small

Cap

Growth

Fund

and

Franklin

Small-Mid

Cap

Growth

Fund

#### Opinions

#### on

#### the

#### Financial

#### Statements
We

have

audited

the

accompanying

statements

of

assets

and

liabilities,

including

the

schedules

of

investments,

of

Franklin

Biotechnology

Discovery

Fund,

Franklin

Core

Plus

Bond

Fund,

Franklin

Growth

Opportunities

Fund,

Franklin

Natural

Resources

Fund,

Franklin

Small

Cap

Growth

Fund

and

Franklin

Small-Mid

Cap

Growth

Fund

(six

of

the

funds

constituting

Franklin

Strategic

Series,

hereafter

collectively

referred

to

as

the

"Funds")

as

of

April

30,

2026,

the

related

statements

of

operations

for

the

year

ended

April

30,

2026,

the

statements

of

changes

in

net

assets

for

each

of

the

two

years

in

the

period

ended

April

30,

2026,

including

the

related

notes,

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

April

30,

2026

(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

April

30,

2026,

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

April

30,

2026

and

each

of

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

April

30,

2026

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

April

30,

2026

by

correspondence

with

the

custodians,

transfer

agent,

private

placement

agents,

agent

banks,

portfolio

companies

and

brokers;

when

replies

were

not

received

from

private

placement

agents,

agent

banks,

or

brokers,

we

performed

other

auditing

procedures.

We

believe

that

our

audits

provide

a

reasonable

basis

for

our

opinions.

/s/PricewaterhouseCoopers

LLP

San

Francisco,

California

June

17,

2026

We

have

served

as

the

auditor

of

one

or

more

investment

companies

in

the

Franklin

Templeton

Group

of

Funds

since

1948. Franklin

Strategic

Series

Tax

Information

(unaudited)

franklintempleton.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

April

30,

2026:

Note

(1) -

The

Law

varies

in

each

state

as

to

whether

and

what

percentage

of

dividend

income

attributable

to

Federal

obligations

is

exempt

from

state

income

tax.

Shareholders

are

advised

to

consult

with

their

tax

advisors

to

determine

if

any

portion

of

the

dividends

received

is

exempt

from

state

income

taxes.

#### Pursuant

#### to:

#### Franklin

#### Biotechnology

#### Discovery

#### Fund

#### Franklin

#### Core

#### Plus

#### Bond

#### Fund

#### Franklin

#### Growth

#### Opportunities

#### Fund
Long-Term

Capital

Gain

Dividends

Distributed

§852(b)(3)(C)

$77,442,568

—

$776,486,096

Income

Eligible

for

Dividends

Received

Deduction

(DRD)

§854(b)(1)(A)

$3,229,092

$778,002

$13,529,794

Qualified

Dividend

Income

Earned

(QDI)

§854(b)(1)(B)

$3,467,481

$778,002

$15,057,578

Short-Term

Capital

Gain

Dividends

Distributed

§871(k)(2)(C)

$11,766,876

—

—

Section

163(j)

Interest

Dividends

Earned

§163(j)

—

$121,271,847

—

Interest

Earned

from

Federal

Obligations

Note

(1) —

$17,545,319

—

#### Pursuant

#### to:

#### Franklin

#### Natural

#### Resources

#### Fund

#### Franklin

#### Small

#### Cap

#### Growth

#### Fund

#### Franklin

#### Small-Mid

#### Cap

#### Growth

#### Fund
Long-Term

Capital

Gain

Dividends

Distributed

§852(b)(3)(C)

—

$203,398,002

$283,156,503

Income

Eligible

for

Dividends

Received

Deduction

(DRD)

§854(b)(1)(A)

$4,573,547

$7,816,686

$15,980,516

Qualified

Dividend

Income

Earned

(QDI)

§854(b)(1)(B)

$8,009,347

$7,869,850

$15,988,209

Short-Term

Capital

Gain

Dividends

Distributed

§871(k)(2)(C)

—

$7,530,976

—

Section

163(j)

Interest

Dividends

Earned

§163(j)

$58,692

$1,308,109

—

Franklin

Strategic

Series

franklintempleton.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

Funds'

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.

FSS-AFSOI

06/26©

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 Registrants acknowledge the Staff's comment. In future filings on Form N-CSR,
 the certifications required by Rule 30a-2 and Item 19(a)(3) will include the designations "principal executive officer" and
 "principal financial officer" in the signature blocks, reflecting the capacity in which each signatory executes the certification,
 in conformity with the language of the Rule and Form N-CSR. The Registrants may also include each signatory's actual title with
 respect to the Funds alongside the required designation.

&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.](fss-efp25102_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.](fss-efp25102_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.](fss-efp25102_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.

**Franklin Strategic Series**

---

| | |
|:---|:---|
| By: | /s/ Christopher Kings |
|  | Christopher Kings |
|  | Chief Executive Officer – Finance and Administration |
| Date: | June 25, 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: | June 25, 2026 |

---

---

| | |
|:---|:---|
| By: | /s/ Jeffrey White |
|  | Jeffrey White |
|  | Chief Financial Officer, Chief Accounting Officer and Treasurer |
| Date: | June 25, 2026 |

---

## Ex-99.Code

**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 **Franklin Strategic Series;** 

&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: June 25, 2026 |
| /s/ Christopher Kings |
| Christopher Kings |
| 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 **Franklin Strategic Series**;

&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: June 25, 2026 |
| /s/ Jeffrey White |
| Jeffrey White |
| 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 **Franklin Strategic Series (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 **April 25, 2026** (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 – Finance and Administration** | **Chief Financial Officer, Chief Accounting Officer and Treasurer** |
| Franklin Strategic Series | Franklin Strategic Series |
| /s/ Christopher Kings | /s/ Jeffrey White |
| Christopher Kings | Jeffrey White |
| Date: June 25, 2026 | Date: June 25, 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.