About FAUGX
Franklin Low Duration U.S. Government Securities Fund Class A1 is an open‑end mutual fund focused on high current income while preserving capital. The strategy primarily invests in **U.S. government and agency securities** and maintains a **short interest‑rate duration**, aiming to reduce sensitivity to rate fluctuations compared with intermediate or long‑duration bond funds. The portfolio typically centers on Treasury notes, agency debentures, and cash equivalents, reflecting a conservative credit profile anchored by U.S. government backing. The fund distributes income on a **monthly** basis, aligning with its income‑oriented mandate. As a share class designed for retail investors, it features a published expense structure and front‑end sales charge framework disclosed by the sponsor. Within the fixed income landscape, the fund serves as a **defensive core bond holding** for investors seeking government exposure with lower duration risk, potentially functioning as a liquidity sleeve or ballast alongside riskier assets. Its role is to provide steady income, mitigate portfolio volatility from rate moves, and offer transparent exposure to the U.S. rate complex through high‑quality, short‑maturity securities.
Fund Family Franklin Templeton Investments
Category Short Government
Performance Rating Above Average
Risk Rating Below Average
Stock Exchange NASDAQ
Ticker Symbol FAUGX
Share Class Class A1
Index Bloomberg 1-3 Y Government TR
FAUGX had a total return of 5.13% in the past year, including dividends. Since the fund's
inception, the average annual return has been 3.96%.
