PRIVATE MARKETS

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An integrated private markets platform that brings together leading specialist capabilities across private equity, private credit, and private real assets all within one firm.

This is a marketing communication. Please refer to the prospectus or information document of the UCITS and, where available, to the KID before making any final investment decisions.

US$283 bn

Alternative assets under management

40+ years

Private markets investing experience

490

Private markets investment professionals

Data as of 31/03/2026.

Overview

Private markets has traditionally been confined by high minimum investment levels, operational complexities, and strict asset and income threshold requirements, limiting access to institutions and high net-worth individuals.

Franklin Templeton created this platform to bring down barriers to private markets investments as an important source of returns for more investors.

Our private markets investment capabilities

The broad asset class coverage available with Franklin Templeton means we have both the flexibility and expertise to follow the conversation wherever the client needs lead us.

TBD

Private equity

Private equity involves investing in privately held companies outside of the

stock market covering various company growth stages, from startups to established businesses.

TBD

Private credit

Private credit encompasses various forms of debt investments extended to

companies or individuals, bypassing traditional banking systems.

TBD

Private Infrastructure

Private infrastructure offers exposure to essential services and long-lived assets.

The asset class has experienced rapid growth in recent years, driven by massive capital needs for energy transition, digitlization and modernization of essential assets.

TBD

Real estate

The real estate asset class involves strategic investment in diverse properties

like residential homes, commercial buildings, land, and Real Estate Investment Trusts (REITs), offering investors seeking stability, income, and potential long-term growth in the dynamic property market.

Products corresponding to each capability may not be available for distribution in all jurisdictions and prospective investors should confirm availability with their local Franklin Templeton representative before making any plans to invest.
*Short selling is a trading strategy where investors speculate on a stock’s decline. They are selling borrowed stocks which they anticipate will decrease in value, with the plan to repurchase them once the price has fallen.

Our family of private markets specialist managers

Franklin Templeton continues to expand our private market investment capabilities and build innovative products through the acquisition and utilisation of independent investment managers, each of whom has deep expertise in a specific asset class and long term experience managing assets for some of the largest institutions in the world. 

Clarion Partners logo

Founded

1982

Acquired by FT

2021

Clarion Partners is one of the largest pure-play real estate investment managers offering a broad range of real estate strategies across the risk-return spectrum for global investors. 

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Clarion Partners logo

Founded

1984

Franklin Real Asset Advisors provides global expertise in private real estate funds, including core, non-core and impact investing strategies. 

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Clarion Partners logo

Founded

2008

Acquired by FT

2019

An alternative credit pioneer that seeks to deliver attractive returns through its relationships, specialist expertise and global reach

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Clarion Partners logo

Founded

1994

Acquired by FT

2022

Lexington Partners is one of the world's largest managers of secondary private equity and co-investment funds. 

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Clarion Partners logo

Team formally founded

2015

Franklin Venture Partners is the private investing platform within the Franklin Equity Group focused on mid-and late-stage private companies with access to early-stage ideas sourced through industry, academic and venture capital networks. 

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Understanding potential portfolio impact

Private market investments have attractive features as standalone investments, but the real potential power of private marketts can be best understood in a total portfolio perspective. Below the performance and volatility reducing benefits are demonstrated by starting with a hypothetical 60/40 portfolio, then adding a mix of private markets investments for different desired outcomes.

ALLOCATION

Choose an allocation to alternative investments and compare the results of the hypothetical portfolio.

10%
20%
30%

Hypothetical Traditional Portfolio

Chart

Chart with 2 data points.
End of interactive chart.

Risk and Return

12/31/2005 - 09/30/2025

11.3%

Annualised risk1

6.7%

Annualised return

261.9%

Cumulative
return2

Hypothetical Portfolio with Alternatives

64% Global Stocks

26% Global Bonds

10% Private Markets:

  • 2% Global Private Equity
  • 2% Global Private Debt
  • 2% Global Private Real Estate
  • 2% Global Venture Capital
  • 2% Global Hedge Fund Composite

Chart

Chart with 3 data points.
End of interactive chart.

Risk and Return

12/31/2005 - 09/30/2025

12.1%

Annualised risk1

7.6%

Annualised return

325.1%

Cumulative
return2

NOTE:
Hypothetical 18-year portfolio return with or without private markets investments as of 30/09/2025. For illustrative purposes only. Hypothetical portfolio results shown do not represent the performance of an actual investment. Stocks, bonds, private equity, private credit, private real estate and hedge funds are respectively represented by the MSCI World NR USD Index, Bloomberg Global Aggregate Bond Index, MSCI Global Private Equity Closed-End Fund Index (Unfrozen; USD), MSCI Global Private Credit Closed-End Fund Index (Unfrozen; USD), MSCI Global Private Real Estate Closed-End Fund Index (Unfrozen; USD), MSCI Global Venture Capital Closed-End Fund Index (Unfrozen; USD) and HFRI Fund Weighted Composite Index USD. Please note that an investor cannot invest directly in an index. Unmanaged index returns do not reflect any fees, expenses or sales charges. Diversification does not assure a profit or protect against market loss. All investments involve risk, including loss of principal. Past performance is no guarantee of future results.

Learn about our investment strategies

Innovative strategies from independent investment specialists are available across a number of liquid and semi-liquid vehicles.

FBRED-I

Franklin BSP Real Estate Debt Fund

The Fund's investment objective is to seek long-term capital appreciation and to generate current income by investing primarily in a portfolio of commercial real estate (“CRE”) debt investments, focused on senior secured, CRE loans across various Metropolitan Statistical Areas in the United States, and other real-estate related debt and equity investments, which may include subordinated debt (together with CRE Investments, the “Real Estate Debt Investments”). 

Total net assets
31/03/2026$134m
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FLEX-I

Franklin Lexington PE Secondaries Fund

The Fund's investment objective is to seek long-term capital appreciation by investing in a diversified portfolio of private assets, including private equity, infrastructure, and real assets, through private investment funds, offering flexibility across various asset types.

Total net assets
31/03/2026$2.03b
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CPREX-I

Clarion Partners Real Estate Income International Access Fund

The Fund's investment objective is to seek to provide current income and long-term capital appreciation. A feeder fund of the Clarion Partners Real Estate Income Fund ("CPREX") which seeks to invest at least 80% of its net assets in a portfolio of privately owned commercial real estate. The investments of the Underlying Fund may consist of privately owned commercial real estate and publicly traded real estate debt and equity securities.

Total net assets
30/04/2026$20.3m
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Contact us

Please contact us for any questions on our products or services.

By email

[email protected]

 

Our knowledge hub

Insight

Evergreen principles for liquidity sleeve management

Effective liquidity management is crucial for evergreen funds, and this paper delves into the strategic design and dynamic adjusting of liquidity sleeves to balance accessibility of capital and optimal investment performance.

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Insight

Private Markets Insights: Private Equity Secondaries - A primary allocation

Private equity is at a turning point, with investors and advisors exploring the best ways to allocate across sub-strategies. There is a compelling case for private equity secondaries serving as the cornerstone of a core/satellite evergreen model.

Read now
Insight

Private Markets Insights: Not a simple open and closed case

Evergreen and closed-ended funds offer different paths to private markets - understanding their strengths can help investors optimise allocations.

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Education

Alternatives education by Franklin Templeton Academy

The Franklin Templeton Academy Alternatives program empowers partners to navigate alternative investments confidently. Visit our Franklin Templeton Academy section to find out more information on our alternatives training programs for financial professionals. 

Learn more now
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Glossary

Private credit/debt

Private credit/debt funds typically invest in non-listed debt issues, including bonds, notes and loans issued by private companies. Private debt has the potential to provide greater returns, control and reduced liquidity, than public markets.

Alternative credit

Alternative credit invests in below-investment-grade fixed income sectors that are relatively illiquid. Alternative credit may not be available to investors for direct investment as individuals but can be accessed through professionally managed traditional mutual funds.

Unconstrained investing

Unconstrained strategies trades securities with few restrictions on when and how they buy and sell. Many unconstrained strategies do set a formal or informal a target for volatility that provides a limitation on the level of risks incurred. 

Real assets

Real assets typically invest in tangible assets that derive value from their substance and physical presence. These include real estate, public and private infrastructure, natural resources, precious metals and commodities.

Private Infrastructure

Private infrastructure invests in privately owned or financed essential assets that provide critical public services such as transportation networks, utilities, energy systems, telecommunications and social infrastructure. These investments are typically long-term, capital intensive and designed to generate stable cash flows which are often supported by contractual or regulated revenue structures. 

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  1. Annualised standard deviation: A measure of the degree to which an investment’s or index’s return varies from the average of its previous returns. The larger the standard deviation, the greater likelihood (and risk) that the performance will fluctuate from the average return.
  2. Cumulative return: Cumulative return shows the change in the investment’s or index’s value over the time period indicated.

Infrastructure Investments can be exposed to numerous risks that may not offer recourse to the project sponsor and ultimately investors. For example, delays in obtaining necessary permits or a shift in political or public sentiment could hinder progress or cause a project to terminate. Other risks that can impact an infrastructure investment include, but are not limited to: construction delays, environmental concerns, contract or labor disputes, or financial/default risks from a deterioration in a sponsor’s credit. Additionally, the securities tied to such projects may be private in nature which increases the illiquid nature of such investment and reduce visibility into information about the investment. Private securities would not be listed on a public exchange, and no secondary market would be expected to develop.

Investments entail risks, the value of investments can go down as well as up and investors should be aware they might not get back the full value invested.

Individual securities mentioned are intended as examples only and are not to be taken as advice nor are they intended as a recommendation to buy or sell any investment or interest.