Franklin Templeton Completes Acquisition of Putnam Investments

Adds Complementary Investment Capabilities with Scale and Strong Performance

Accelerates Franklin Templeton’s Growth in the Retirement Sector and Significantly Increases Franklin Templeton’s Defined Contribution AUM to Over $100 Billion

Franklin Resources, Inc. [NYSE:BEN], a global investment management organization operating as Franklin Templeton, today announced the successful completion on January 1, 2024 of its acquisition of Putnam Investments (“Putnam”) from Great-West Lifeco, Inc. (“Great-West”). Per the terms of the transaction, Great-West becomes a long-term shareholder in Franklin Resources, Inc., consistent with Great-West’s continuing commitment to asset management.

“With complementary capabilities and a track record of strong investment performance, Putnam expands our ability to offer more choice to more clients,” said Jenny Johnson, President and CEO of Franklin Templeton. “The addition of Putnam accelerates our growth in the retirement sector by increasing our defined contribution AUM and expands our insurance assets, further strengthening our presence in these key market segments to better serve all our clients. Putnam also shares our client-focused culture and emphasis on delivering strong investment results. We’re delighted to welcome the talented team at Putnam to Franklin Templeton and are pleased to have Great-West as an investor.”

Founded in 1937, Putnam is a global asset management firm with $142 billion¹ in AUM as of November 30, 2023. The transaction adds a target date fund range and complementary investment capabilities with scale, including in the areas of stable value, ultra short duration and large cap value. Consistent with Franklin Templeton’s previous acquisitions, the execution plan is designed to minimize disruption to Putnam’s investment teams and client relationships. Franklin Templeton’s global infrastructure will enhance Putnam’s investment, risk management, operations and technology capabilities. The addition of Putnam brings Franklin Templeton’s AUM to $1.55 trillion as of November 30, 2023.

1. Excludes AUM from PanAgora, which was not a party to the transaction.

About Franklin Templeton

Franklin Resources, Inc. [NYSE:BEN] is a global investment management organization with subsidiaries operating as Franklin Templeton and serving clients in over 150 countries. Franklin Templeton’s mission is to help clients achieve better outcomes through investment management expertise, wealth management and technology solutions. Through its specialist investment managers, the company offers specialization on a global scale, bringing extensive capabilities in fixed income, equity, alternatives and multi-asset solutions. With more than 1,300 investment professionals, and offices in major financial markets around the world, the California-based company has over 75 years of investment experience and over $1.4 trillion in assets under management as of November 30, 2023. For more information, please visit franklinresources.com.

Forward-Looking Statements

Statements in this press release that are not historical facts are “forward-looking statements” within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. When used in this press release, words or phrases generally written in the future tense and/or preceded by words such as “will,” “may,” “could,” “expect,” “believe,” “anticipate,” “intend,” “plan,” “seek,” “estimate,” “preliminary” or other similar words are forward-looking statements.

Various forward-looking statements in this press release relate to the strategic relationship between Franklin Resources, Inc. (“Franklin”), Great-West, the Power Group of Companies and the acquisition by Franklin of Putnam from Great-West including regarding expected growth, client and stockholder benefits, key assumptions, revenue realization, financial benefits or returns. accretion and integration costs. Forward-looking statements involve a number of known and unknown risks, uncertainties and other important factors, some of which are listed below, that could cause actual results and outcomes to differ materially from any future results or outcomes expressed or implied by such forward-looking statements. Important transaction related and other risk factors that may cause such differences include: (i) the occurrence of any event, change or other circumstances that could give rise to the termination of the strategic relationship; (ii) Franklin, Putnam, Great-West or Power Group of Companies could experience financial or other setbacks if the transaction or strategic relationship encounters unanticipated problems; and (v) anticipated benefits of the acquisition or the strategic relationship, including the realization of revenue, accretion, and financial benefits or returns, may not be fully realized or may take longer to realize than expected.

Forward-looking statements involve a number of known and unknown risks, uncertainties and other important factors that may cause actual results and outcomes to differ materially from any future results or outcomes expressed or implied by such forward-looking statements, including market and volatility risks, investment performance and reputational risks, global operational risks, competition and distribution risks, third-party risks, technology and security risks, human capital risks, cash management risks, and legal and regulatory risks. For a detailed discussion of other risk factors, please refer to Power’s and Great-West’s recent filings with Canadian securities regulators, which are available for viewing at www.sedarplus.com, and Franklin’s recent filings with the U.S. Securities and Exchange Commission (“SEC”), including, without limitation, those discussed under the headings “Risk Factors” and “Quantitative and Qualitative Disclosures About Market Risk” in Franklin’s most recent Annual Report on Form 10-K and subsequent periodic and current reports.

Any forward-looking statement made in this press release speaks only as of the date on which it is made. Factors or events that could cause actual results to differ may emerge from time to time, and it is not possible for us to predict all of them. Franklin, Putnam, Great-West and Power Group undertake no obligation to publicly update any forward-looking statement, whether as a result of new information, future developments or otherwise, except as may be required by law.

View source version on businesswire.com: https://www.businesswire.com/news/home/20240101741067/en/