Franklin Managed Income Fund

Franklin Investors Securities Trust · 5 share classes

Moderate allocation fund
One fund, 5 share classes:FBLAXFBMCXFBFQXFBFZXFBFRX
$3.47B NAV
173 positions · as of 2026-04-30 · filed 2026-06-24

Fund classification

Classified from what the fund holds · as of 2026 Q2

Franklin Managed Income Fund is a moderate allocation fund. 0% of FBLAX’s stock holdings are in companies whose revenue grew in the top quartile of U.S. companies over the last five fiscal years (covering 90% of the fund’s equity).

Asset class
Allocation (multi-asset)
Region
United States
Management
Actively managed
Fund type
Open-end fund
Equity exposure
Moderate

Fund profile

As filed in the prospectus · 2026 Q1

To maximize income to support monthly distributions, while maintaining the prospects for capital appreciation.

Strategy · summarised

The fund invests in a diversified mix of dividend-paying stocks and investment-grade debt securities, with at least 25% in each asset class, using a bottom-up approach that evaluates individual securities on earnings potential, asset value, cash flow and valuation metrics. The fund employs derivatives including equity options, interest rate swaps, currency forwards and credit default swaps to enhance returns, increase liquidity or hedge risks. Because performance depends on the manager's security selection and the effectiveness of derivative strategies, results may diverge from broad market returns. The fund distributes twelve level monthly payments annually, with a targeted payout rate between 2.75% and 6.25% of prior year-end net asset value.

Expenses
0.59% 1.65%across 5 share classes
Share classGrossNetAs of
FBLAX0.91%0.90%2025 Q1
FBMCX1.66%1.65%2025 Q1
FBFQX1.16%1.15%2025 Q1
FBFZX0.66%0.65%2025 Q1
FBFRX0.59%0.59%2025 Q1

Net is what a holder pays after the adviser's contractual waiver; gross is before it. A waiver can expire.

Portfolio turnover 42.27% · as of 2026 Q1

Allocation

Asset groups · long / short shown separately, never netted · 2026 Q2

100.05%
of net assets
Stocks43.35%
Bonds42.06%
Securitized12.56%
Cash & short-term2.08%

Sector allocation

The same holdings as Allocation above, grouped by market sector instead of asset type · as of 2026 Q2

100%
of net assets
Financials14.0%
Securitized12.6%
Other10.9%
International10.4%
12 smaller52.1%

Government, Securitized and Cash are non-corporate buckets; International is foreign holdings we don’t sector-classify, and Other is the residual (held funds, unresolved names).

Portfolio growth profile

How much of the fund’s stock holdings are in fast-growing companies · as of 2026 Q2

Revenue growth
0%of stock holdings in top-quartile growers
covering 90% of the fund’s equity
Earnings growth
3%of stock holdings in top-quartile growers
covering 86% of the fund’s equity

Share of the fund’s equity (by value) in companies whose trailing five-year revenue — or net-income — growth ranks in the top 25% of U.S. public companies. Foreign and newly-listed holdings are excluded, so the figure covers only part of the book. From SEC filings — not investment advice. How we measure this.

Latest quarter

What changed since the fund's previous filing

2026Q2 vs 2026Q1: 16 new7 exited

Largest new: AMZN, Beignet Investor LLC, RD Michigan Property Owner I LLC, Ares Management Corp., AstraZeneca plc, MSFT, SCHW, COF

Exited: Centene Corp., Barclays Bank plc into Amazon.com, Inc., Merrill Lynch BV into Microsoft Corp., AstraZeneca plc, Mizuho Markets Cayman LP into Exxon Mobil Corp., Goldman Sachs International Bank into NIKE, Inc., Micron Technology, Inc.

Return profile

Chart:

Total return as filed — price change plus distributions reinvested · trailing figures to Apr 2026

Share class1-year3-year5-yearVolWorst fall
+16.49%+27.73%+30.65%5.89%-7.60%
+15.60%+24.88%+25.82%5.87%-7.79%
+16.25%+26.83%+28.99%5.87%-7.71%
+16.73%+28.63%+32.26%5.94%-7.52%
+16.80%+28.90%+32.65%5.94%-7.57%

These classes hold the same portfolio, so the 6.83pp spread over 5 years is the cost difference between them — roughly 1.37pp a year — not a difference in what they own.

Cumulative return· May 2023 – Apr 2026

Debt profile

What this fund holds — value-weighted across its bond and securitized long positions · as of 2026-04-30

Avg coupon
5.84%
Avg maturity
12.25 yr
Coupon type

Share of the fund's debt by how its coupon behaves — the fact that decides whether a rate move reaches this portfolio at all.

0%
floating
Fixed rate96.6%
Zero-coupon or unclassified3.4%
Maturity ladder

Share of the fund's debt value in each maturity band, shortest first.

<1y10y+
<1y16.1%
1-3y3.7%
3-5y13.1%
5-10y34.1%
10y+33.0%
Flagged holdings
Defaulted: none reported
In arrears: none reported
Paid in kind: none reported

Based on what filers reported; a filer that never reported a flag also reads as none.

Risk profile

Interest-rate and credit-spread sensitivity, both in years · as of 2026Q2

More of this fund’s sensitivity sits in credit spreads than in interest rates — a rate rally that comes with a credit selloff works against it.

Interest-rate duration
2.64 yr
approx. move per 100bp
Credit-spread duration
2.64 yr
approx. move per 100bp
If rates and spreads both rise 100bp

Where the loss would come from. The two shocks are the same size, so this is the balance of the fund's two sensitivities rather than a bet on one moving more.

≈ -5.5%
of value
Credit spreads50%
Interest rates50%

Filers report the impact of a 0.01% move only, so the total is our own scaling of that one number and overstates the loss on most bonds — read it as approximate, never as precise. The two sensitivities overlap rather than add up: they measure the same positions against different shocks, which is why the durations above are shown side by side and never summed.

Credit risk by quality

Share of the fund's spread duration carried by each credit tier.

+2.64
yrs total
Investment grade+2.64 yr
Where the risk sits on the curve

Share of duration at each point, shortest first. A positive figure loses value when spreads widen; a negative one offsets — a credit hedge.

Interest rate2.64 yr total
1 yr30 yr
1 yr0.08 yr3%
5 yr0.79 yr30%
10 yr0.62 yr24%
30 yr1.14 yr43%
Credit spread2.64 yr total
1 yr30 yr
1 yr0.08 yr3%
5 yr0.80 yr30%
10 yr0.63 yr24%
30 yr1.14 yr43%

The two bands measure the same positions against different shocks and do not add — a Treasury carries rate duration and no spread duration, a floating-rate credit the reverse. Rate tenors are also summed across every currency the fund discloses.

Show the numbers
TenorRate yrsIG yrsHY yrsIG $/bpHY $/bp
3 mo+0.00+0.00+0.00$0$0
1 yr+0.08+0.08+0.00$26.0k$0
5 yr+0.79+0.80+0.00$276.0k$0
10 yr+0.62+0.63+0.00$217.7k$0
30 yr+1.14+1.14+0.00$396.3k$0

Dollar change per 1bp of spread movement, as filed and sign-anchored. A blank cell was not filed; a zero was.

Holdings

By % of NAV · equity positions carry filed share counts · every resolvable issuer links to its company page

Issuer%NAVValue
GNMA5.50% · due 2055-10-202.86%$99.00M
GNMA5.50% · due 2055-02-202.17%$75.34M
Franklin Institutional U.S. Government Money Market FundINFXX2.08%$72.20M
Procter & Gamble Co. (The)PG1.91%$66.19M
United States of America0.00% · due 2054-08-151.83%$63.57M
Chevron Corp.CVX1.81%$62.83M
Exxon Mobil Corp.XOM1.78%$61.73M
United States of America4.75% · due 2055-05-151.66%$57.70M
Texas Instruments, Inc.TXN1.62%$56.22M
PepsiCo, Inc.PEP1.60%$55.47M
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Reported price is the fund's own reported value divided by its own reported shares at 2026-04-30 — not a live quote, and not what the fund paid.

Top 10 positions are 19.33% of net assets, top 25 35.99%, across 125 issuers.

See more of this fund's book

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