Franklin Templeton Canada Enhances Quotential Portfolios With New Private Market Investment Capabilities

Franklin Templeton Canada Enhances Quotential Portfolios With New Private Market Investment Capabilities

New real estate and private credit allocations broaden diversification within one of Canada's longest-running multi-asset programs

TORONTO, Aug. 6, 2026 /CNW/ -- Franklin Templeton Canada today announced enhancements to all Franklin Quotential Portfolios by adding private market investments, including real estate and private credit, to help deliver broader diversification, reduce portfolio volatility and improve long-term outcomes for Canadian investors.

"Broadening access to alternatives, including real estate and private credit investments, is an important step in the continued evolution of the Quotential portfolios for Canadian investors," said Dennis Tew, head of sales, Franklin Templeton Canada. "By integrating private market strategies within a disciplined multi-asset framework, we are providing advisors and investors with a more accessible way to benefit from investment capabilities often associated with institutional and high-net-worth portfolios, all at the same fee."

Since launching in 2002, the Franklin Quotential Portfolios have evolved alongside investor needs, expanding across asset classes, risk profiles and investment strategies while maintaining the disciplined portfolio construction framework that has guided the portfolios for more than 20 years.¹

Enhancing Diversification Through Private Markets

Michael Greenberg, head of Americas portfolio management, Franklin Templeton Investment Solutions, added: "Alternatives can play a meaningful role in improving diversification and return potential, but implementation is critical. Our approach focuses on disciplined manager selection, thoughtful portfolio construction and access through structures designed to balance liquidity, transparency and long-term investment objectives, helping to reduce portfolio volatility and support more consistent outcomes across market cycles."

Potential benefits of the initial private market investments include:

• Improved risk-adjusted returns through exposure to investments with low correlation to traditional public markets
• Stable income from real estate and private credit investments
• Inflation resilience through exposure to real assets tied to physical value

Initial Private Market Investment Opportunities

The Franklin Quotential Portfolios will initially access two private market strategies managed by Franklin Templeton's investment managers, Clarion Partners and Benefit Street Partners (BSP). They are part of Franklin Templeton's US$294 billion² alternatives business, which spans private real estate, private credit, hedge fund strategies and secondary private equity investments.

Real Estate: Franklin Clarion Real Estate Income Fund

• Investment approach: Provides exposure primarily to U.S. core and core-plus real estate, combining private real estate equity and debt with liquid public real estate securities to support diversification and liquidity.
• Role in portfolios: Can complement traditional equity and fixed income allocations by providing diversified real estate exposure, income potential and access to inflation-sensitive real assets.
• Investment capabilities: The investment group, which has over 40 years of both transactional and ground-up development experience across a broad range of sectors in leading markets, is supported by expert asset management, acquisitions and research teams.

Private Credit: Franklin BSP Lending Fund

• Investment approach: Focuses on senior secured lending to established mid-sized U.S. businesses, complemented by liquid assets to help manage portfolio liquidity.
• Role in portfolios: Can complement traditional equity and fixed income allocations by providing private credit exposure, income potential and enhanced diversification.
• Investment capabilities: The investment group has deep private credit origination, credit research and risk management capabilities, supported by a disciplined underwriting and portfolio monitoring process.

These strategies are also available individually to accredited investors as of August 6, 2026.

Portfolio Amendments

Each publicly offered investment fund managed by Franklin Templeton Canada, including the Franklin Quotential Portfolios, has received an exemptive relief order from the Ontario Securities Commission (OSC) to invest up to 10 per cent of its assets in alternative investment vehicles managed by Franklin Templeton Canada or its affiliates (the "Exemptive Relief"). Alternative investment vehicles may include: any privately offered collective investment vehicle that is not an investment fund; and any privately offered investment fund that has non-traditional investment strategies, including private real estate, private equity, private credit and private infrastructure (collectively, the "Alternative Investments").

The investment strategies of all the Franklin Quotential Portfolios, which includes Franklin Quotential Balanced Growth Portfolio, Franklin Quotential Balanced Income Portfolio, Franklin Quotential Diversified Equity Portfolio, Franklin Quotential Diversified Income Portfolio and Franklin Quotential Growth Portfolio, are being amended to permit investment in Alternative Investments, subject to the Exemptive Relief. In addition, each Franklin Quotential Portfolio is amending its investment strategies to expand its use of derivatives to equitize cash and efficiently make tactical shifts across major asset categories. 

About Franklin Templeton Investment Solutions
Franklin Templeton Investment Solutions is a global multi-asset investment team that brings together Franklin Templeton's public and private market capabilities to build outcome-focused portfolios. The team applies deep research, active management and a disciplined approach to asset allocation, manager selection and portfolio construction, supported by dedicated research specialists and regulated investment structures designed to enhance liquidity management and oversight. Franklin Templeton Investment Solutions has US$103 billion³ in total assets. In Canada, the Franklin Templeton Investment Solutions team is part of Franklin Templeton Investments Corp.

About Clarion Partners
Clarion Partners, an SEC registered investment adviser with FCA-authorized an FINRA member affiliate, has been a leading U.S. real estate investment manager for more than 40 years. Headquartered in New York, the firm maintains strategically located offices across the United States and Europe. With US$72.6 billion⁴ in total real estate and debt assets under management, Clarion Partners offers a broad range of real estate strategies across the risk/return spectrum to 500 institutional investors across the globe. Clarion Partners is an independently managed subsidiary of Franklin Templeton.

About Benefit Street Partners
Benefit Street Partners (BSP) is an alternative credit pioneer with US$93 billion⁵ in assets under management (including Apera). It seeks to deliver attractive, risk-adjusted returns through its deep specialism, long-term relationships and global reach. A wholly owned subsidiary of Franklin Templeton, BSP is focused exclusively on credit. Through its disciplined, solutions-oriented approach, BSP unlocks opportunities across market cycles and geographies. The firm manages strategies spanning private debt, real estate debt, structured credit and liquid loans.

About Franklin Templeton
Franklin Templeton is a trusted investment partner, delivering tailored solutions that align with clients' strategic goals. With deep portfolio management expertise across public and private markets, we combine investment excellence with cutting-edge technology. Since our founding in 1947, we have empowered clients through strategic partnership, forward-looking insights, and continuous innovation – providing the tools and resources to navigate change and capture opportunity.

In Canada, Franklin Templeton operates as Franklin Templeton Canada, a business name used by Franklin Templeton Investments Corp. To learn more, visit franklintempleton.ca and follow us on LinkedIn.

With US$1.79 trillion in assets under management as of June 30, 2026, Franklin Templeton operates globally in more than 35 countries.

Franklin Resources, Inc. [NYSE: BEN]

Commissions, management fees and expenses all may be associated with investments in mutual funds. Investors should carefully consider a mutual fund's investment objectives and strategies, risks, fees and expenses before investing. The simplified prospectus and fund facts contain this and other information. Please read the simplified prospectus and fund facts carefully before investing. Brokerage commissions and mutual fund expenses will reduce returns. Mutual funds are not guaranteed, their values change frequently and past performance may not be repeated.

This announcement does not constitute an offer to sell or the solicitation of an offer to buy any security, product, service or fund. Diversification does not assure a profit or protect against market loss. All investments involve risk, including loss of principal, and there is no guarantee that investment objectives will be met. Past performance is not a guarantee of future results.

Franklin Templeton Investments Corp. is the manager and trustee of Franklin BSP Lending Fund ("FBLUX") and Franklin Clarion Real Estate Income Fund ("CPREX" and, together with FBLUX, the "Funds"). The Funds are Canadian access funds established as trusts under the laws of the Province of Ontario. The investment objective of FBLEND will be to invest substantially all of its investable assets in shares ofFranklin BSP Lending Fund (the "FBLUX Master Fund"). The FBLUX Master Fund is a non-diversified, close ended management company, organized as a Delaware statutory trust registered under the Investment Company Act of 1940, as amended, and operating as an interval fund. The investment objective of the FBLUX Master Fund is to generate risk-adjusted returns (i.e., returns made relative to the amount of risk taken) with consistent current income. The FBLUX Master Sub-Fund seeks to achieve its investment objective through private debt investment opportunities in middle market companies in the United States, which it generally defines as companies with $25 million to $100 million EBITDA. Franklin Templeton Fund Adviser, LLC ("FTFA"), the investment manager of the FBLUX Master Fund, is a Delaware limited liability company located at 1 Madison Avenue, New York, New York 10010. FTFA is part of the Franklin Templeton group of companies. 

The investment objective of CPREX will be to invest substantially all of its investable assets in shares of Clarion Partners Real Estate Income Fund Inc. (the "CPREX Master Fund"). The CPREX Master Fund is a non-diversified, closed-end management investment company, organized as a Maryland corporation registered under the Investment Company Act of 1940, as amended, and operating as an interval fund. The investment objective of the CPREX Master Fund is to provide current income and long-term capital appreciation. The CPREX Master Fund seeks to achieve its investment objective by investing, under normal market conditions, at least 80% of its net assets (plus the amount of borrowings for investment purposes) in a portfolio of private commercial real estate and publicly traded real estate securities.. FTFA is the investment manager of the CPREX Master Fund.

The risks associated with private credit, private real estate and other private asset investments involve a high degree of risk, may be considered speculative and are suitable only for accredited investors in reliance on prospectus exemptions in each of the provinces and territories of Canada who can afford to risk the loss of all or substantially all of such investment. Less information may be available with respect to private investments and such investments offer limited liquidity. Complete information relating to FBLUX and CPREX and, including each Fund's investment objective, strategies, restrictions, risks, fees, redemption limitations, liquidity, certain material conflicts of interest and other matters of interest, are contained in the relevant Fund's subscription agreement and confidential private offering memorandum (collectively, the "Offering Documents"), and the constating documents of the relevant Fund. Only the most recent Offering Documents should be relied upon for information on the Funds. As the Funds are prospectus exempt funds, they are not subject to the same regulatory requirements as publicly offered investment funds offered by way of prospectus.

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