GOF P1 02/24
SUPPLEMENT DATED FEBRUARY 16, 2024
TO THE PROSPECTUS OF EACH
For each of the funds listed in Schedule A, the following disclosure replaces and supersedes the corresponding disclosure in each fund’s Prospectus in the appendix titled “Appendix A – Intermediary Sales Charge Discounts and Waivers”:
MERRILL LYNCH
Purchases or sales of front-end (i.e., Class A) or level-load (i.e., Class C) mutual fund shares through a Merrill platform or account will be eligible only for the following sales load waivers (front-end, contingent deferred, or back-end waivers) and discounts, which differ from those disclosed elsewhere in this fund’s Prospectus. Purchasers will have to buy mutual fund shares directly from the mutual fund company or through another intermediary to be eligible for waivers or discounts not listed below.
It is the client’s responsibility to notify Merrill at the time of purchase or sale of any relationship or other facts that qualify the transaction for a waiver or discount. A Merrill representative may ask for reasonable documentation of such facts and Merrill may condition the granting of a waiver or discount on the timely receipt of such documentation.
Additional information on waivers and discounts is available in the Merrill Sales Load Waiver and Discounts Supplement (the “Merrill SLWD Supplement”) and in the Mutual Fund Investing at Merrill pamphlet at ml.com/funds. Clients are encouraged to review these documents and speak with their financial advisor to determine whether a transaction is eligible for a waiver or discount.
Front-end Sales Load Waivers Available at Merrill
· Shares of mutual funds available for purchase by employer-sponsored retirement, deferred compensation, and employee benefit plans (including health savings accounts) and trusts used to fund those plans provided the shares are not held in a commission-based brokerage account and shares are held for the benefit of the plan. For purposes of this provision, employer-sponsored retirement plans do not include SEP IRAs, Simple IRAs, SAR-SEPs or Keogh plans
· Shares purchased through a Merrill investment advisory program
· Brokerage class shares exchanged from advisory class shares due to the holdings moving from a Merrill investment advisory program to a Merrill brokerage account
· Shares purchased through the Merrill Edge Self-Directed platform
· Shares purchased through the systematic reinvestment of capital gains distributions and dividend reinvestment when purchasing shares of the same mutual fund in the same account
· Shares exchanged from level-load shares to front-end load shares of the same mutual fund in accordance with the description in the Merrill SLWD Supplement
· Shares purchased by eligible employees of Merrill or its affiliates and their family members who purchase shares in accounts within the employee’s Merrill Household (as defined in the Merrill SLWD Supplement)
· Shares purchased by eligible persons associated with the fund as defined in this Prospectus (e.g., the fund’s officers or trustees)
· Shares purchased from the proceeds of a mutual fund redemption in front-end load shares provided: (1) the repurchase is in a mutual fund within the same fund family; (2) the repurchase occurs within 90
calendar days from the redemption trade date; and (3) the redemption and purchase occur in the same account (known as Rights of Reinstatement). Automated transactions (i.e. systematic purchases and withdrawals) and purchases made after shares are automatically sold to pay Merrill’s account maintenance fees are not eligible for Rights of Reinstatement
Contingent Deferred Sales Charge (“CDSC”) Waivers on Front-end, Back-end, and Level Load Shares Available at Merrill
· Shares sold due to the client’s death or disability (as defined by Internal Revenue Code Section 22e(3))
· Shares sold pursuant to a systematic withdrawal program subject to Merrill’s maximum systematic withdrawal limits as described in the Merrill SLWD Supplement
· Shares sold due to return of excess contributions from an IRA account
· Shares sold as part of a required minimum distribution for IRA and retirement accounts due to the investor reaching the qualified age based on applicable IRS regulation
· Front-end or level-load shares held in commission-based, non-taxable retirement brokerage accounts (e.g., traditional, Roth, rollover, SEP IRAs, Simple IRAs, SAR-SEPs or Keogh plans) that are transferred to fee-based accounts or platforms and exchanged for a lower cost share class of the same mutual fund
Front-end Load Discounts Available at Merrill: Breakpoints, Rights of Accumulation & Letters of Intent
· Breakpoint discounts, as described in this Prospectus, where the sales load is at or below the maximum sales load that Merrill permits to be assessed to a front-end load purchase, as described in the Merrill SLWD Supplement
· Rights of Accumulation (“ROA”), as described in the Merrill SLWD Supplement, which entitle clients to breakpoint discounts based on the aggregated holdings of mutual fund family assets held in accounts in their Merrill Household
· Letters of Intent (“LOI”), which allow for breakpoint discounts on eligible new purchases based on anticipated future eligible purchases within a fund family at Merrill, in accounts within your Merrill Household, as further described in the Merrill SLWD Supplement
SCHEDULE A
Fund
| Date of Prospectus
|
FRANKLIN ALTERNATIVE STRATEGIES FUNDS |
|
K2 Alternative Strategies Fund……...................................................................................................... | October 1, 2023 |
FRANKLIN CALIFORNIA TAX-FREE INCOME FUND | |
Franklin California Tax-Free Income Fund…….................................................................................... | July 1, 2023 |
| |
FRANKLIN CALIFORNIA TAX-FREE TRUST |
|
Franklin California Intermediate-Term Tax-Free Income Fund............................................................. | November 1, 2023 |
FRANKLIN CUSTODIAN FUNDS |
|
Franklin DynaTech Fund...................................................................................................................... | February 1, 2024 |
Franklin Growth Fund........................................................................................................................... | February 1, 2024 |
Franklin Income Fund…....................................................................................................................... | February 1, 2024 |
Franklin U.S. Government Securities Fund.......................................................................................... | February 1, 2024 |
Franklin Utilities Fund........................................................................................................................... | February 1, 2024 |
FRANKLIN FEDERAL TAX-FREE INCOME FUND | |
Franklin Federal Tax-Free Income Fund……………………………………………………………………. | September 1, 2023 |
FRANKLIN FUND ALLOCATOR SERIES |
|
Franklin Conservative Allocation Fund................................................................................................. | May 1, 2023 |
Fund
| Date of Prospectus
|
Franklin Corefolio Allocation Fund........................................................................................................ | May 1, 2023 |
Franklin Global Allocation Fund............................................................................................................ | May 1, 2023 |
Franklin Growth Allocation Fund........................................................................................................... | May 1, 2023 |
Franklin LifeSmart™ Retirement Income Fund.................................................................................... | May 1, 2023 |
Franklin LifeSmart™ 2020 Retirement Target Fund............................................................................. | May 1, 2023 |
Franklin LifeSmart™ 2025 Retirement Target Fund............................................................................. | May 1, 2023 |
Franklin LifeSmart™ 2030 Retirement Target Fund……….................................................................. | May 1, 2023 |
Franklin LifeSmart™ 2035 Retirement Target Fund............................................................................. | May 1, 2023 |
Franklin LifeSmart™ 2040 Retirement Target Fund……….................................................................. | May 1, 2023 |
Franklin LifeSmart™ 2045 Retirement Target Fund............................................................................. | May 1, 2023 |
Franklin LifeSmart™ 2050 Retirement Target Fund............................................................................. | May 1, 2023 |
Franklin LifeSmart™ 2055 Retirement Target Fund............................................................................. | May 1, 2023 |
Franklin LifeSmart™ 2060 Retirement Target Fund............................................................................. | May 1, 2023 |
Franklin Moderate Allocation Fund....................................................................................................... | May 1, 2023 |
FRANKLIN GLOBAL TRUST | |
Franklin International Growth Fund...................................................................................................... | December 1, 2023 |
FRANKLIN GOLD AND PRECIOUS METALS FUND | |
Franklin Gold and Precious Metals Fund…………………………………………………………………… | December 1, 2023 |
FRANKLIN HIGH INCOME TRUST | |
Franklin High Income Fund…………………………………………………………………………………... | February 1, 2024 |
FRANKLIN INVESTORS SECURITIES TRUST | |
Franklin Convertible Securities Fund………………………………………………………………………... | March 1, 2023 |
Franklin Equity Income Fund………………………………………………...………………….…………… | March 1, 2023 |
Franklin Floating Rate Daily Access Fund………………………………………………………………….. | March 1, 2023 |
Franklin Long Duration Credit Fund…………………………………………………………………………. | August 22, 2023 |
Franklin Low Duration Total Return Fund…………………………………………………………………... | March 1, 2023 |
Franklin Low Duration U.S. Government Securities Fund……………………………………….……….. | March 1, 2023 |
Franklin Managed Income Fund……………………………………………………………………………... | March 1, 2023 |
Franklin Total Return Fund………………………………………………....………………………………... | March 1, 2023 |
FRANKLIN MANAGED TRUST | |
Franklin Rising Dividends Fund……………………………………………………………………………… | February 1, 2024 |
FRANKLIN MUNICIPAL SECURITIES TRUST | |
Franklin California High Yield Municipal Fund……………………………………………………………… | July 1, 2023 |
FRANKLIN MUTUAL SERIES FUNDS | |
Franklin Mutual Beacon Fund………………………………………………………………………………... | May 1, 2023 |
Franklin Mutual Financial Services Fund…………………………………………………………………… | May 1, 2023 |
Franklin Mutual Global Discovery Fund…………………………………………………………………….. | May 1, 2023 |
Franklin Mutual International Value Fund…………………………………………………………………... | May 1, 2023 |
Franklin Mutual Quest Fund………………………………………………………………………………….. | May 1, 2023 |
Franklin Mutual Shares Fund………………………………………………………………………………… | May 1, 2023 |
FRANKLIN NEW YORK TAX-FREE INCOME FUND | |
Franklin New York Tax-Free Income Fund…………………………………………………………………. | July 1, 2023 |
FRANKLIN NEW YORK TAX-FREE TRUST | |
Franklin New York Intermediate-Term Tax-Free Income Fund…………………………………………... | February 1, 2024 |
Fund
| Date of Prospectus
|
FRANKLIN REAL ESTATE SECURITIES TRUST | |
Franklin Real Estate Securities Fund……………………………………………………………………….. | September 1, 2023 |
FRANKLIN STRATEGIC MORTGAGE PORTFOLIO | |
Franklin Strategic Mortgage Portfolio……………………………………………………………………….. | February 1, 2024 |
FRANKLIN STRATEGIC SERIES | |
Franklin Biotechnology Discovery Fund………………………………………………………………..…… | September 1, 2023 |
Franklin Growth Opportunities Fund………………………………………………………………………… | September 1, 2023 |
Franklin Natural Resources Fund…………………………….……………………………………………… | September 1, 2023 |
Franklin Small Cap Growth Fund…………………………….……………………………………………… | September 1, 2023 |
Franklin Small-Mid Cap Growth Fund……………………………………………………….……………… | September 1, 2023 |
Franklin Strategic Income Fund……………………………………………………………………………… | September 1, 2023 |
FRANKLIN TAX-FREE TRUST | |
Franklin Alabama Tax-Free Income Fund………………………………………………..………………… | July 1, 2023 |
Franklin Arizona Tax-Free Income Fund………………………………………………….………………… | July 1, 2023 |
Franklin Colorado Tax-Free Income Fund………………………………………………..………………… | July 1, 2023 |
Franklin Connecticut Tax-Free Income Fund…………………………………………….………………… | July 1, 2023 |
Franklin Federal Intermediate-Term Tax-Free Income Fund………………………………………..…… | July 1, 2023 |
Franklin Federal Limited-Term Tax-Free Income Fund…………………………………………………… | July 1, 2023 |
Franklin Georgia Tax-Free Income Fund…………………………………………………………………… | July 1, 2023 |
Franklin High Yield Tax-Free Income Fund………………………………………………………………… | July 1, 2023 |
Franklin Louisiana Tax-Free Income Fund…………………………………………………………………. | July 1, 2023 |
Franklin Maryland Tax-Free Income Fund………………………………………………………………….. | July 1, 2023 |
Franklin Massachusetts Tax-Free Income Fund…………………………………………………………… | July 1, 2023 |
Franklin Michigan Tax-Free Income Fund………………………………………………………………….. | July 1, 2023 |
Franklin Minnesota Tax-Free Income Fund………………………………………………………………… | July 1, 2023 |
Franklin Missouri Tax-Free Income Fund…………………………………………………………………... | July 1, 2023 |
Franklin New Jersey Tax-Free Income Fund………………………………………………………………. | July 1, 2023 |
Franklin North Carolina Tax-Free Income Fund………………………………………………………….… | July 1, 2023 |
Franklin Ohio Tax-Free Income Fund……………………………………………………………………….. | July 1, 2023 |
Franklin Oregon Tax-Free Income Fund……………………………………………………………………. | July 1, 2023 |
Franklin Pennsylvania Tax-Free Income Fund…………………………………………………………….. | July 1, 2023 |
Franklin Virginia Tax-Free Income Fund……………………………………………………………………. | July 1, 2023 |
FRANKLIN VALUE INVESTORS TRUST | |
Franklin MicroCap Value Fund………………………………………………………………………………. | March 1, 2023 |
Franklin Mutual U.S. Mid Cap Value Fund…………………………………………………………………. | March 1, 2023 |
Franklin Small Cap Value Fund……………………………………………………………………………… | March 1, 2023 |
TEMPLETON CHINA WORLD FUND | |
Templeton China World Fund………………………………………………………………………………... | January 1, 2024 |
TEMPLETON DEVELOPING MARKETS TRUST | |
Templeton Developing Markets Trust……………………………………………………………………….. | May 1, 2023 |
TEMPLETON FUNDS | |
Templeton Foreign Fund……………………………………………………………………………………… | January 1, 2024 |
Templeton World Fund……………………………………………………………………………………….. | January 1, 2024 |
Templeton International Climate Change Fund……………………………………………………………. | January 1, 2024 |
TEMPLETON GLOBAL INVESTMENT TRUST | |
Templeton Emerging Markets Small Cap Fund……………………………………………………………. | January 1, 2024 |
Templeton Global Balanced Fund…………………………………………………………………………… | May 1, 2023 |
Fund
| Date of Prospectus
|
TEMPLETON GLOBAL SMALLER COMPANIES FUND | |
Templeton Global Smaller Companies Fund………………………………………………………………. | January 1, 2024 |
TEMPLETON GROWTH FUND, INC. | |
Templeton Growth Fund, Inc…………………………………………………………………………………. | January 1, 2024 |
TEMPLETON INCOME TRUST | |
Templeton Global Bond Fund………………………………………………………………………………... | May 1, 2023 |
Templeton Global Total Return Fund……………………………………………………………………….. | May 1, 2023 |
Templeton International Bond Fund…………………………………………………………………………. | May 1, 2023 |
Templeton Sustainable Emerging Markets Bond Fund…………………………………………………… | May 1, 2023 |
Please retain this supplement for future reference