Franklin Templeton’s Muzzarelli On International Equity Diversification With ETFs

Dan Muzzarelli, Head of US ETF Distribution for Franklin Templeton, joined Julie Cooling, Founder and CEO of RIA Channel, to discuss ETF flows across a variety of strategies.

Franklin Templeton is now a $1.6 trillion asset manager, having acquired traditional and alternative asset managers, including Western Asset, Clearbridge, Putnam Investments, and Legg Mason. Franklin Templeton offers significant resources to advisors including a portfolio construction team and 17 people who can help compare ETF selections and offer education on the ETF market.

In the seven years since launching its ETF offerings, Franklin Templeton has grown to over $25 billion in AUM, with 73 ETFs offered in the US and over 120 globally. The ETF offerings include active fixed income strategies, alternative investment options, and indexed and active equity funds.

Investor flows and repositioning have been strong this year, as half of the developed world is in an election year, and the market is looking for rate cuts by global central banks.  Some investors are adjusting their duration based on the anticipated changes in interest rates, while others are moving their equity exposure from the US to developed foreign markets.

The Franklin International Core Dividend Tilt Index ETF (DIVI) offers low-cost exposure to international equity markets with an enhanced dividend yield. The Franklin International Low Volatility High Dividend Index ETF (LVHI) offers currency-hedged exposure to international equities with high dividends and low volatility.

Resources:

Franklin Templeton ETFs