About FEMGX
Templeton Sustainable Emerging Markets Bond Fund Class A is a mutual fund focused primarily on providing current income to investors, with capital appreciation as a secondary objective. The fund invests at least 80% of its net assets in a diversified portfolio of bonds issued by governments and corporations domiciled in emerging market countries, denominated in local currencies. Emphasizing sustainable investment principles, it integrates environmental, social, and governance (ESG) factors into its selection process, catering to investors seeking exposure to emerging markets with a commitment to responsible investing.
Notable features include a moderate interest rate sensitivity with an effective duration of around 4.65 years, and a medium credit quality profile. The fund is non-diversified, which allows for concentrated positions in select issuers or countries, as shown by the significant allocation to derivatives and sovereign bonds in its top holdings. As part of the emerging-markets local-currency bond category, it provides diversification for portfolios looking to capture yield and growth potential from developing economies, albeit with accompanying risks such as currency volatility, political instability, and higher expense ratios compared to peers.
Fund Family Franklin Templeton Investments
Category Emerging-Markets Local-Currency Bond
Performance Rating Above Average
Risk Rating Average
Stock Exchange NASDAQ
Ticker Symbol FEMGX
Share Class Class A
Index Index is not available on Lipper Database
FEMGX had a total return of 12.97% in the past year, including dividends. Since the fund's
inception, the average annual return has been 1.76%.
