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SAN MATEO, Calif. - Franklin Resources, Inc. (NYSE: BEN), commonly known as Franklin Templeton, has announced its preliminary month-end assets under management (AUM) totaling $1.58 trillion as of February 28, 2025, holding steady from $1.58 trillion on January 31, 2025. The figures reflect positive market conditions, which were slightly offset by long-term net outflows. According to InvestingPro analysis, the company maintains strong financial health with a current ratio of 5.36x, indicating robust liquidity. The stock currently appears undervalued based on InvestingPro’s Fair Value assessment.
The investment firm experienced long-term net outflows of $10 billion, which included $10 billion from its subsidiary, Western Asset Management. Excluding these outflows from Western Asset Management, the company’s long-term net flows remained flat.
In terms of asset classes, equity assets decreased slightly from $636.1 billion at the end of January to $623.4 billion at the end of February. Fixed income assets also saw a minor decline from $456.4 billion to $455.6 billion in the same period. Alternative assets and multi-asset categories showed a slight variation, with alternative assets decreasing from $250.0 billion to $249.3 billion and multi-asset increasing from $176.8 billion to $179.9 billion.
Western Asset Management’s preliminary AUM stood at $249 billion as of February 28, down from $256 billion at the end of January, reflecting both positive market impacts and the aforementioned net outflows. Additionally, the company reported preliminary cash management net outflows of $600 million.
Franklin Templeton, a global investment management organization, operates with the mission of providing investment management expertise, wealth management, and technology solutions to help clients achieve better outcomes. With subsidiaries serving clients in over 150 countries, the company brings extensive capabilities across equity, fixed income, alternatives, and multi-asset solutions. The California-based company, with a history of more than 75 years in investment experience, maintains a significant presence in major financial markets worldwide.
The financial results presented in this press release are preliminary, and investors are encouraged to review the company’s filings with the U.S. Securities and Exchange Commission for detailed risk factors and management’s discussion. The information is based on a press release statement.
In other recent news, Franklin Resources has been in the spotlight with several significant developments. The company reported its first fiscal quarter of 2025 earnings, which, despite a mixed picture, led to a positive market reaction due to the announcement of an additional $200-250 million in cost savings expected by the beginning of fiscal year 2027. This has prompted TD Cowen to maintain a Hold rating while raising the price target to $20, emphasizing the stable fundamentals of Franklin Resources, excluding WAMCO. BofA Securities also adjusted its outlook, increasing the price target to $20 from $18, while maintaining an Underperform rating, citing updated earnings per share estimates and anticipated expense savings.
Meanwhile, Franklin Templeton, a subsidiary of Franklin Resources, launched a new exchange-traded product, the Franklin Crypto Index ETF (EZPZ), offering exposure to bitcoin and ether. This move highlights Franklin Templeton’s ongoing expansion in the digital asset space. Additionally, Franklin Resources held its annual stockholders meeting, re-electing its board of directors and ratifying PricewaterhouseCoopers LLP as its independent auditor for the fiscal year ending September 30, 2025.
In other developments, the California State Teachers’ Retirement System (CalSTRS) announced the withdrawal of approximately $1 billion from Western Asset Management Company (Wamco), a subsidiary of Franklin Resources, amid fraud charges against a former trader. This decision aligns with a broader trend of significant withdrawals from Wamco, following Franklin Resources’ disclosure of a potential enforcement action against the trader. Despite these challenges, Franklin Resources continues to demonstrate resilience through strategic cost-saving measures and expansion into digital assets.
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