Individual Investor Contact Us Careers United Kingdom Our Company Products Fund Views Insights Resources Search Home Share WHAT IS AN ETF? An ETF, or Exchange Traded Fund, is a basket of securities such as stocks and/or bonds that are held in a single fund that is bought or sold on an exchange. Over the last 20 years, ETFs have become popular primarily because they provide transparent, affordable access to a wide array of investment strategies. Some Characteristics of ETFs ETFs include some characteristics of stocks and other qualities inherent to mutual funds, making them a unique investment structure, offering benefits such as: Diversification: Investors own a diversified portfolio of stocks and/or bonds in a single fund which is professionally managed. Intra-Day Trading: Similar to stocks, ETFs can be bought and sold throughout the day on an exchange. Investors can place various types of orders, including limit and stop-loss orders. Mutual fund shares settle after the market has closed. Cost: The management fees for index-tracking ETFs are often lower than mutual funds, but investors may pay a brokerage commission each time they buy or sell an ETF. Investment Minimums: ETFs have no investment minimum, with exception to the cost to purchase a single share. Mutual funds typically have an investment minimum. Transparency: ETFs disclose all of the portfolio’s holdings on a daily basis, allowing investors to know exactly what they own. Mutual funds typically post holdings on a quarterly basis. TYPES OF ETFs FROM FRANKLIN TEMPLETON Franklin Templeton offers a variety of equity and fixed-income ETFs to fit the investment requirements and risk tolerance of many investors. Passive ETFs Also known as traditional index-based ETFs, these seek to track an index (typically market-cap weighted) in order to capture the risk and return of a given market. Investors and advisors may use passive ETFs to precisely target exposure at a low cost. LEARN MORE Smart Beta ETFs Similar to passive ETFs, smart beta ETFs seek to track an underlying index that is constructed using a transparent and rules-based process. However, the underlying indexes for smart beta ETFs are typically not market-cap weighted. Instead, they are designed with a desired outcome in mind, such as lowering drawdowns during heightened periods of market volatility or pursuing stronger risk-adjusted returns versus a broader investment universe. LEARN MORE Active ETFs Instead of seeking to track an index, the portfolio managers invest opportunistically outside the benchmark using fundamental research and expertise. Investors may use active ETFs to seek potential outperformance of the broader market. LEARN MORE FEATURED ETFS Franklin Templeton offers a broad range of ETFs that track a variety of asset classes, including equity and fixed income. Here’s a selection of a few of our ETFs: FLXE Franklin LibertyQ Emerging Markets UCITS ETF FLXU Franklin LibertyQ U.S. Equity UCITS ETF FLXG Franklin LibertyQ Global Equity SRI UCITS ETF For a full list of our ETFs, including recent prices and investment performance, click here. How Do I Invest in ETFs? Talk with your financial adviser about adding a LibertyShares ETF to your portfolio or purchase an ETF directly through an online brokerage account. Important Legal Information This material is intended to be of general interest only and does not constitute legal or tax advice nor is it an offer for shares or invitation to apply for shares of any of the Franklin LibertyShares ETF ranges. Nothing in this material should be construed as investment advice. Past performance is not an indicator, nor a guarantee of future performance. The value of investments and any income received from them can go down as well as up, and investors may not get back the full amount invested. An investment in Franklin LibertyShares ETFs entails risks which are described in the prospectus and the relevant Key Investment Information Document. Currency fluctuations may affect the value of overseas investments. When investing in a fund denominated in a foreign currency, performance may also be affected by currency fluctuations. Where a fund invests in a specific sector or geographical area, the returns may be more volatile than a more diversified fund. There is no guarantee that the Fund will achieve its objective. Franklin LibertyShares ETFs (domiciled outside of the U.S. or Canada) may not be directly or indirectly offered or sold to residents of the United States of America or Canada. ETFs trade like stocks, fluctuate in market value and may trade at prices above or below their net asset value. Brokerage commissions and ETF expenses will reduce returns. Issued by Franklin Templeton Investment Management Limited (FTIML), Cannon Place, 78 Cannon Street, London, EC4N 6HL. FTIML is authorised and regulated by the Financial Conduct Authority. Investments entail risks, the value of investments can go down as well as up and investors should be aware they might not get back the full value invested. United Kingdom Individual Investor This website is intended for residents of United Kingdom. OUR COMPANY Our Firm UK Profile Media Centre Contact Us PRODUCTS Franklin Templeton Mutual Fund Prices ETF Prices Investment Trust (TEMIT) Franklin Templeton Fund Charges and Costs Our Products FUND VIEWS INSIGHTS RESOURCES Literature Investor Education Investment Advice Your Account Careers Terms of Use Anti Corruption Privacy & Cookies Notice/Settings Security Policy Important Legal Information Support Modern Slavery Statement Copyright © 2021 Franklin Templeton. All Rights Reserved. TOP Franklin Templeton uses cookies to analyse website usage, personalise your website experience and assist in our marketing efforts. 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