Franklin Templeton Launches New Metaverse ETF For European Investors

Franklin Templeton Launches New Metaverse ETF For European Investors

• ETF selects securities issued by companies with significant exposure to the metaverse and supporting blockchain technologies

London, 6 September 2022 – Franklin Templeton¹ is pleased to announce the launch of its new UCITS ETF, offering European investors access to cutting-edge companies across the metaverse.

The metaverse is a forward-looking, shared virtual and mixed reality, powered by digital technologies. As an interactive and immersive space, the metaverse is expected to influence many aspects of people’s lives - including how they interact, socialise, learn, shop, work and play virtually. It combines aspects of social media, online gaming and augmented virtual reality and is widely regarded as the next iteration of the internet as we currently know it, merging our digital lives seamlessly.

Dina Ting, Head of Global Index Portfolio Management, Franklin Templeton commented: “Society has already experienced three foundational changes in the way that technology operates and how it’s been delivered since the early 1970s. This exciting fourth wave is now emerging, enabled by blockchain technology.”

“Many big tech companies have already pivoted towards the metaverse for their next major area of development in the same way that many did at the inception of the internet,” she added. “There appear to be tremendous real-world business opportunities for investment in this space considering that by 2030², the e-commerce market could grow between $2.0–$2.6 trillion.”

“Blockchain technology development is propelling metaverse expansion possibilities in compelling and far-reaching ways. We believe that investment in the metaverse and its rising sophistication bode well for the next iteration of the internet, which could profoundly impact societies and global economic growth.”

The Franklin Metaverse UCITS ETF³ tracks the Solactive Global Metaverse Innovation Net Total Return Index comprised of global equity securities issued by companies that have, or are expected to have, significant exposure to the metaverse and supporting blockchain technologies. Companies that are deemed to not align with UN Global Compact Principles are excluded from the index.

This new ETF will list on the Deutsche Börse Xetra (XETRA) on 7 September, and the Borsa Italiana and London Stock Exchange (LSE) on 9 September. The ETF will be registered in the UK, Austria, Denmark, Finland, France, Germany, Ireland, Italy, Spain and Sweden. It will be managed by Dina Ting, Head of Global Index Portfolio Management, and Lorenzo Crosato, ETF Portfolio Manager at Franklin Templeton

Caroline Baron, Head of ETF Business Development, EMEA, Franklin Templeton commented: “The metaverse is expected to grow to $5 trillion in value by 2030⁴ and, to capture this exciting growth opportunity, we have partnered with German-based index provider Solactive AG to develop a distinct ETF backed by the scale and resources of Franklin Templeton. Headquartered in the heart of innovation, Silicon Valley, our firm is a leader in thematic and technology investing. We are delighted to be an early mover in this space and thus provide European investors with access to a diversified pool of cutting-edge companies across the key metaverse segments at a low cost. The new ETF allows investors to diversify their core holdings and satellite thematic sleeves in their existing portfolios with a unique exposure and participate in the expected secular growth of the underlying megatrend that is digitisation.”

Competitive fees

The ETF will provide European investors with cost-efficient, UCITS-compliant metaverse exposure and the lowest total expense ratios (TER⁵) at 0.30% in Europe (TER is on average 50% lower than other metaverse UCITS ETFs⁶).

The Franklin LibertyShares™ platform enables investors to pursue their desired outcomes through a range of active, smart beta and passive ETFs. Supported by the strength and resources of one of the world’s largest asset managers, the global ETF platform has more than $12 billion in assets under management globally as of 31 August 2022.

For more information on the Franklin LibertyShares™ ETF range, please visit: www.libertyshares.co.uk.

- ENDS –

		Stock Exchanges
		Xetra Ticker	LSE Tickers		Borsa Italiana Ticker
Fund Name	ISIN	EUR	GBP	USD	EUR
Franklin Metaverse UCITS ETF	IE000IM4K4K2	FLRA	METU	METE	METE

Contacts:

Saira Khan Senior Corporate Communications Manager Franklin Templeton Cannon Place, 78 Cannon Street London EC4N 6HL Tel: 0207 073 8644 Email: [email protected]

Dorine Johnson Head of Corporate Communications EMEA Franklin Templeton Cannon Place, 78 Cannon Street London EC4N 6HL Tel: 0207 073 8538 Email: [email protected]

This is a marketing communication. Please refer to the prospectus of the UCITS and to the KIID before making any final investment decisions.

1. Franklin Resources, Inc. [NYSE:BEN] is a global investment management organization with subsidiaries operating as Franklin Templeton and serving clients in over 155 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 boutique specialization on a global scale, bringing extensive capabilities in equity, fixed income, multi-asset solutions and alternatives. With offices in more than 30 countries and approximately 1,300 investment professionals, the California-based company has 75 years of investment experience and approximately $1.4 trillion in assets under management as of 31 July, 2022. For more information, please visit www.franklintempleton.co.uk and follow us on LinkedIn, Twitter and Facebook.
2. Source: Bloomberg Intelligence and McKinsey & Company, June 2022
3. Franklin Metaverse UCITS ETF is a sub-fund of the Franklin LibertyShares ICAV, an Irish Collective Asset-managed Vehicle, incorporated under the laws of Ireland.

The views expressed are those of the investment manager and the comments, opinions and analyses are rendered as of the publication date and may change without notice. The information provided in this material is not intended as complete analysis of every material fact regarding any country, region or market.

An investment in Franklin LibertyShares^TM UCITS ETF range entails risks, which are described in the prospectus, its supplements and in the relevant Key Investor Information Document. The Fund's documents are available in English, German and French from your local website. In addition, a Summary of Investor Rights is available from www.franklintempleton.lu/investor-rights. Franklin LibertyShares ICAV is notified for marketing in multiple EU Member States under the UCITS Directive. Franklin LibertyShares ICAV can terminate such notifications for any share class and/or sub-fund at any time by using the process contained in Article 93a of the UCITS Directive.

The value of shares in the fund and income received from it can go down as well as up and investors may not get back the full amount invested. Past performance is not an indicator or a guarantee of future performance. Performance may also be affected by currency fluctuations. Currency fluctuations may affect the value of overseas investments. There is no guarantee that the fund will meet its objective. For full details of all the risks applicable, please refer to the "Risk Considerations" section of the current prospectus of Franklin LibertyShares^TM ICAV.

Franklin LibertyShares^TM UCITS ETFs (domiciled outside of the U.S. or Canada) may not be directly or indirectly offered or sold to residents of the United States of America or Canada. ETFs trade like stocks, fluctuate in market value and may trade at prices above or below their net asset value. Brokerage commissions and ETF expenses will reduce returns.

4. Source: Statista, 2022
5. The charges are the fees the fund charges to investors to cover the costs of running the Fund. Additional costs, including transaction fees, will also be incurred. These costs are paid out by the Fund, which will impact on the overall return of the Fund. Fund charges will be incurred in multiple currencies, meaning that payments may increase or decrease as a result of currency exchange fluctuations.
6. Source: Franklin Templeton data as of 31 July 2022.

This press release is intended to be of general interest only and does not constitute professional advice. Franklin Templeton and its management groups have exercised professional care and diligence in the collection and processing of the information in this press release. Franklin Templeton makes no representations or warranties with respect to the accuracy of this document. Franklin Templeton shall not be liable to any user of this report or to any other person or entity for the inaccuracy of information contained in this press release or for any errors or omissions in its contents, regardless of the cause of such inaccuracy, error or omission.

Any research and analysis contained in this document has been procured by Franklin Templeton for its own purposes.

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