FORT LAUDERDALE, Fla .– (BUSINESS WIRE) –Templeton International Revenue Fund [NYSE: GIM] introduced at this time that, in an ongoing effort to enhance the low cost between the Fund’s share value and its internet asset worth, as additional described beneath, the Fund’s Board of Trustees has taken steps to handle on the Fund’s low cost, together with: (i) establishing a valuation interval to evaluate the low cost of the market worth of the Fund’s shares to their internet asset worth for the needs of initiating a public providing of ‘buy; (ii) the implementation of a managed distribution plan whereby the Fund will distribute to shareholders a minimal annual mounted fee of seven.5%; and (iii) bearing in mind using leverage.

The Board usually critiques the Fund, together with its efficiency and its low cost to internet asset worth, and will determine to take additional motion sooner or later.

Measurement interval of the general public tender supply

With a view to treatment the Fund’s low cost, the Fund Board has established a three-month measurement interval to evaluate the low cost of the market worth of the Fund’s shares relative to their internet asset worth. The valuation interval will start on August 1, 2021 and finish on October 31, 2021. If the shares of the Fund have traded at a median low cost to the web asset worth of 8% or extra throughout the valuation interval ( relying on the closing value on every buying and selling day throughout the valuation interval), the board of administrators will launch, as quickly as moderately attainable, however no later than the top of 2021, a takeover bid for as much as ‘20% of the Fund’s excellent shares.

Any take-over bid approved by the Board of Administrators for a portion of the shares of the Fund ought to be 98% of the web asset worth and can be made and shareholders notified in accordance with federal securities legal guidelines and different relevant legal guidelines.

Managed distribution plan

The Fund’s managed distribution plan can pay month-to-month distributions to shareholders at a minimal annual mounted fee of seven.5%, based mostly on the typical month-to-month internet asset worth of the frequent shares of the Fund. The Fund will calculate the typical internet asset worth for the earlier month based mostly on the variety of enterprise days in that month on which the web asset worth is calculated. The distribution can be calculated at 7.5% of the typical internet asset worth of the earlier month, divided by 12. Administration will usually distribute the quantities essential to fulfill the plan of the Fund and the necessities prescribed by the excise tax guidelines and the sub – Chapter M of the Inner Income Code. The plan goals to offer shareholders with a hard and fast, however not assured, minimal distribution fee every month and goals to scale back the low cost between the market value and the web asset worth of the frequent shares of the Fund, however there could be no assurance that the plan can be profitable. do it.

As a part of the managed distribution plan, to the extent that ample funding revenue isn’t accessible on a month-to-month foundation, the Fund will distribute long-term capital good points and / or return of capital to be able to keep its fee. distribution managed. No conclusions ought to be drawn concerning the efficiency of the Fund’s investments from the quantity of the Fund’s distributions or the phrases of the Fund’s managed distribution plan.

The board can change or terminate the phrases of the plan at any time. The modification or termination of the plan might have an opposed impact on the value of the frequent shares of the Fund. The plan can be topic to periodic overview by the Board, together with an annual overview of the annual minimal mounted fee to find out whether or not an adjustment ought to be made.

In accordance with rule 19a-1 of the Funding Firms Act 1940, shareholders will obtain a discover that particulars the supply of revenue from every dividend, comparable to internet funding revenue, acquire from the sale of securities and the reimbursement of capital. Nevertheless, the willpower of the particular supply of the Fund’s dividend can solely be made on the finish of the 12 months. The precise supply quantities of all Fund dividends can be included within the Fund’s annual or semi-annual experiences.

As well as, the tax remedy could differ from the accounting remedy used to calculate the supply of dividends for the Fund as disclosed in shareholder returns. Shareholders ought to confer with their Type 1099-DIV for the character and quantity of distributions for tax reporting functions. Since every shareholder’s tax state of affairs is exclusive, it could be fascinating to seek the advice of a tax advisor on the suitable remedy of distributions from the Fund.

Use of leverage

The Board directed the administration of the Fund to contemplate using a number of types of leverage as a method of serving to to extend the distributable revenue of the Fund, in accordance with the first funding goal of the Fund. Though leverage can doubtlessly enhance the distributable revenue of the Fund, it could possibly additionally enhance the volatility of the Fund’s internet asset worth, which can be mirrored in its market value. There could be no assurance that using leverage will enhance the distributable revenue of the Fund.

different data

You may request a replica of the present Fund report from Shareholders by contacting the Franklin Templeton Fund Data Division at 1-800 / DIALBEN® (1-800-342-5236) or by visiting franklintempleton.com. All investments contain threat, together with attainable lack of capital. Adjustments in rates of interest will have an effect on the worth of the Fund’s portfolio and the value and efficiency of its shares. Bond costs usually transfer in the wrong way of rates of interest. As the costs of the Fund’s bonds alter to a rise in rates of interest, the share value of the Fund could decline. There are particular dangers related to overseas investments, together with forex fluctuations, financial instability and political developments within the nations during which the Fund invests. Investments in growing markets contain elevated dangers related to the identical elements, along with these related to their comparatively small measurement and decrease liquidity. Sovereign debt securities are topic to numerous dangers along with these related to debt securities and overseas securities generally, together with, however not restricted to, the chance {that a} authorities entity could also be unwilling or unable to. pay the curiosity and repay the principal of its sovereign debt, or in any other case meet its obligations when due. The markets for sure securities or varieties of securities are or could turn into comparatively illiquid. Diminished liquidity will adversely have an effect on the worth of the safety and the flexibility of the Fund to promote such securities when obligatory to fulfill the liquidity wants of the Fund or in response to a particular market occasion. Derivatives, together with forex administration methods, contain prices and might create financial leverage within the portfolio which might trigger important volatility and trigger the Fund to take part in losses for an quantity larger than the preliminary funding. of the Fund. The Fund could not obtain the anticipated advantages and will incur losses when a counterparty fails to carry out as promised. Unexpected occasions and their penalties, such because the unfold of deadly ailments; pure, environmental or man-made disasters; monetary, political or social disruption; terrorism and battle; and different tragedies or disasters, may cause investor worry and panic, which might hurt the economies of many corporations, sectors, nations, areas and the market generally, in ways in which can’t essentially be predicted. . For a extra full evaluation of the Fund’s fundamental dangers, please see the Fund’s newest annual report back to shareholders, accessible at franklintempleton.com or sec.gov.

Franklin Sources, Inc. [NYSE:BEN] is a worldwide funding administration group with subsidiaries working underneath the Franklin Templeton identify and serving shoppers in over 165 nations. Franklin Templeton’s mission is to assist shoppers obtain higher outcomes by means of funding administration experience, wealth administration and know-how options. By its specialised funding managers, the corporate brings in depth capabilities within the areas of equities, mounted revenue, multi-asset options and options. With places of work in additional than 30 nations and roughly 1,300 funding professionals, the California-based firm has greater than 70 years of funding expertise and roughly $ 1.5 trillion in property underneath administration as of February 28, 2021. For extra data, please go to franklintempleton.com.


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