FRANkLiN TEMPLETON INVESTMENT FUNDS - Citibank

PROSPECTUS OF FRANKLIN TEMPLETON INVESTMENT FUNDS
Templeton Global Bond (Euro) Fund 0.75%
Templeton Global Equity Income Fund 1.00%
Templeton Global High Yield Fund 0.85%
Templeton Global Income Fund 0.85%
Templeton Global Smaller Companies Fund 1.00%
Templeton Global Total Return Fund 0.75%
Templeton Growth (Euro) Fund 1.00%
Templeton Korea Fund 1.60%
Templeton Latin America Fund 1.40%
Templeton Thailand Fund 1.60%
Templeton U.S. Dollar Liquid Reserve Fund 0.30%
Templeton U.S. Value Fund 1.00%
In respect of Class I Shares, the Investment Managers receive from the Company a monthly investment
management fee equivalent to a certain percentage per annum of each Fund’s adjusted daily net assets
during the year, as described in Appendix F.
The Investment Managers may, from time to time, pay a part of their investment management fee to
various sub- distributors, intermediaries, dealers and/or professional investors. Such payments are intended
to compensate such sub- distributors, dealers or other intermediaries for providing distribution or other
services to the Shareholders, including but not limited to the enhancement of the communication of
ongoing information to Shareholders, the transaction processing or other shareholder and/or administrative
services. Any request for additional information regarding any such payments should be addressed by the
Shareholders to their relevant intermediaries.
Consistent with obtaining best execution, brokerage commissions on portfolio transactions for the Company
may be directed by the Investment Managers to broker- dealers in recognition of research services furnished
by them as well as for services rendered in the execution of orders by such broker- dealers. The receipt of
investment research and information and related services permits the Investment Managers to supplement
their own research and analysis and makes available to them the views and information of individuals
and research staffs of other firms. Such services do not include travel, accommodation, entertainment,
general administrative goods or services, general office equipment or premises, membership fees,
employee salaries or direct money payment, which are paid by the Investment Managers.
The Investment Managers may enter with broker- dealers that are entities and not individuals into soft
commission arrangements only where there is a direct and identifiable benefit to the clients of the Investment
Managers, including the Company, and where the Investment Managers are satisfied that the transactions
generating the soft commissions are made in good faith, in strict compliance with applicable regulatory
requirements and in the best interest of the Company. Any such arrangement must be made by the
Investment Manager on terms commensurate with best market practice. The use of soft commissions
shall be disclosed in the periodic reports.
In certain Company related documents and/or electronic media, the relevant aforementioned investment
management fee plus maintenance charges, servicing charges and/or distribution charges where applicable
to a Share Class (as described in the following section) may be combined and expressed as an “annual
management charge” for ease of administration/comparison.
Share Classes - Sales Charge Structure
Class A Shares
- Initial Sales Charge
Class A Shares will be offered at the applicable net asset value, plus an initial sales charge of up to 6.50%
of the total amount invested. This maximum charge, assuming no other charges or expenses are applicable,
amounts to approximately 6.95% of the aggregate Share price of the Shares being acquired and out of
this charge the Principal Distributor may make payments to sub- distributors, intermediaries, dealers
and/or professional investors, who may include affiliates of Franklin Templeton Investments. The initial
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