Franklin Euro High Yield Fund

The Fund promotes environmental and social characteristics in accordance with Article 8 of the Sustainable Finance Disclosure Regulation (the “SFDR”).

The Fund employs a proprietary environmental, social and governance (“ESG”) methodology which combines exclusions, engagement and sustainable investments to attain the environmental and social characteristics of the Fund as well as the objectives of the sustainable investments that the Fund partially intends to make.

The Fund’s environmental or social characteristics are assessed both quantitatively and qualitatively, by means of sustainability indicators as well as of the Investment Manager’s proprietary ESG methodology and its research and engagement process further described in the Website disclosure’s dedicated sections. As part of its investment decision making process, the Fund’s ESG methodology also uses binding criteria for the selection of underlying assets and applies specific ESG exclusions.

Finally, the Fund has a minimum allocation of 5% of its portfolio to sustainable investments. The Fund ensures that its sustainable investments do not cause significant harm to any environmental or social sustainable investment objective.

Please click here for more information.