Franklin Templeton Investments CEO on M&A Activity

The transcript discusses Franklin Templeton's recent acquisitions in the private capital space, highlighting the growth of private markets and the strategic shift from public to private investments. It addresses the challenges and benefits of these moves, including client reactions and the importance of maintaining independent investment teams. The discussion also covers criticisms of private capital, emphasizing the regulatory and economic factors influencing these trends. Finally, it touches on leadership roles in supporting investment teams during market fluctuations.

Why has Franklin Templeton been acquiring companies in the private capital space?

• To reduce their overall asset management size

• To eliminate competition in the market

• To diversify their investment portfolio and offer more solutions to clients

• To focus solely on public companies

What is one reason companies are choosing to stay private longer?

• To increase their public visibility

• To focus on short-term profits

• To capture growth trajectory in private markets

• To avoid regulatory scrutiny

What is a key challenge of investing in private markets?

• Immediate returns

• Lack of strategic benefits

• High liquidity

• Illiquidity of assets

How should leaders support their investment teams during volatile market conditions?

• By encouraging them to change their investment process

• By providing emotional and strategic support

• By focusing only on growth investments

• By ignoring market trends

What is a common mistake value investors might make during challenging times?

• Increasing their focus on value stocks

• Shifting towards growth markets

• Sticking to their investment process

• Reducing their investment in growth markets