Franklin Templeton·2026-06-25·via All Articles on Seeking Alpha
Summary
Franklin Income SMA (pure gross of fees) outperformed its benchmark, the Blended 50% MSCI USA High Dividend Yield Index + 25% Bloomberg High Yield Very Liquid Index + 25% Bloomberg US Aggregate Index, for the quarter ended March 31, 2026.
Fixed income allocations to the energy, health care and materials sectors had a positive effect on the strategy's absolute performance.
Absolute yield levels remain attractive for an income-generating strategy, but credit spreads remain near cycle lows, despite some recent widening.
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Key Takeaways
Markets: US equities endured a difficult first quarter of 2026 as investors reassessed the durability of the artificial intelligence (AI) trade and as geopolitical risk intensified. Technology-focused shares came under pressure as rising AI-related capital
