The MFWire
Manage Email Alerts | Sponsorships | About MFWire | Who We Are

Subscribe to MFWire.com's News Alerts [click]

Rating:The Case For a Franklin Templeton Turnaround Not Rated 0.0 Email Routing List Email & Route  Print Print
Thursday, September 29, 2016

The Case For a Franklin Templeton Turnaround

Reported by Neil Anderson, Managing Editor

Franklin Templeton has had a rough couple of years, yet Moody's sees lights at the end of the tunnel.

Neal Epstein
Moody's Investors Service
Vice President, Senior Credit Officer
Yesterday Moody's Investors Service's Neal Epstein (vice president, senior credit officer) and Dean Ungar (vice president, senior analyst) released an "issuer in-depth" report on Franklin parent Franklin Resources [profile]. And they are standing by their A1, stable rating of the San Mateo, California-based, publicly-traded mutual fund shop, despite an AUM drop of about 20 percent since June 2014. The subtitle of the report is "Core Strengths Will Help Firm Overcome Challenges".

The good news, as the Moody's folks see it, is that Franklin has big scale, massive distribution capabilities, and "a rock-solid balance sheet" with plenty of cash. For example, despite the big AUM drop, Franklin still has EBITDA that's nearly twice its outstanding debt total of $1.4 billion.

Epstein and Ungar of Moody's also argue that, when it comes to the investing environment and Franklin's strategies, the worm will turn. Value investing won't be out of favor forever, and Franklin is even moving into the smart beta and active ETF space. 

Stay ahead of the news ... Sign up for our email alerts now

 Do You Recommend This Story?

Return to Top
 News Archives
2024: Q3Q2Q1
2023: Q4Q3Q2Q1
2022: Q4Q3Q2Q1
2021: Q4Q3Q2Q1
2020: Q4Q3Q2Q1
2019: Q4Q3Q2Q1
2018: Q4Q3Q2Q1
2017: Q4Q3Q2Q1
2016: Q4Q3Q2Q1
2015: Q4Q3Q2Q1
2014: Q4Q3Q2Q1
2013: Q4Q3Q2Q1
2012: Q4Q3Q2Q1
2011: Q4Q3Q2Q1
2010: Q4Q3Q2Q1
2009: Q4Q3Q2Q1
2008: Q4Q3Q2Q1
2007: Q4Q3Q2Q1
2006: Q4Q3Q2Q1
2005: Q4Q3Q2Q1
2004: Q4Q3Q2Q1
2003: Q4Q3Q2Q1
2002: Q4Q3Q2Q1
 Subscribe via RSS:
Add to My Yahoo!
follow us in feedly

©All rights reserved to InvestmentWires, Inc. 1997-2024
14 Wall Street | 20th Floor | New York, NY 10005 | P: 212-331-8968 | F: 212-331-8998
Privacy Policy :: Terms of Use