Liquidation: FRANKLIN STRATEGIC MORTGAGE PORTFOLIO

Form Type: 497K

Filing Date: 2025-02-03

Corporate Action: Liquidation

Type: Update

Accession Number: 000174177325000375

Filing Summary: On December 12, 2024, the Board of Trustees approved a proposal to liquidate and dissolve the Franklin Strategic Mortgage Portfolio. The anticipated liquidation date is February 21, 2025, although it may occur sooner if there are no shares outstanding before that date. The Fund closed to new investors at the close of the market on January 15, 2025, and existing investors can continue to invest under specific conditions. Shareholders will have their accounts liquidated and the proceeds delivered to them on the Liquidation Date. The document also outlines tax implications for shareholders and stresses the importance of consulting tax advisers regarding the impact of liquidation. Specific categories of investors may continue to open new accounts beyond the closure date. Investors are advised to consult financial advisors regarding their options during this transition.

Form Type: 485BPOS

Filing Date: 2025-01-27

Corporate Action: Liquidation

Type: Update

Accession Number: 000174177325000254

Filing Summary: On December 12, 2024, the Board of Trustees of Franklin Strategic Mortgage Portfolio approved a proposal to liquidate and dissolve the Fund, with the liquidation expected around February 21, 2025. The Fund ceased accepting new investors after January 15, 2025, retaining limited exceptions for certain categories of investors. Existing shareholders will have their accounts liquidated on the Liquidation Date, and proceeds will be distributed to them. The tax implications of the liquidation were detailed, indicating potential taxable gains or losses for shareholders. To inform shareholders, changes in investment policies, including an emphasis on how the Fund will manage its assets during the winding down process, was highlighted in the prospectus.

Form Type: 497

Filing Date: 2024-12-13

Corporate Action: Liquidation

Type: Update

Accession Number: 000174177324004600

Filing Summary: On December 12, 2024, the Board of Trustees of Franklin Strategic Mortgage Portfolio approved a proposal to liquidate and dissolve the Fund, with an anticipated liquidation date on or about February 21, 2025. The liquidation may be expedited if there are no shares outstanding in the Fund before this date. The Fund will be closed to new investors as of the close of market on January 15, 2025, though existing investors can continue making exchanges and additional purchases. Certain categories of investors can still open new accounts past this date. Accounts will be liquidated on the Liquidation Date, with proceeds distributed to shareholders. For taxable accounts, liquidation proceeds will typically be treated as a sale of shares, potentially incurring a taxable gain or loss. Shareholders are advised to consult tax advisers for personalized guidance and to consider their options prior to the liquidation.

Form Type: 497K

Filing Date: 2024-12-13

Corporate Action: Liquidation

Type: New

Accession Number: 000174177324004601

Filing Summary: On December 12, 2024, the Board of Trustees approved a proposal to liquidate and dissolve Franklin Strategic Mortgage Portfolio. The expected liquidation date is on or about February 21, 2025, but it may occur sooner if there are no shares outstanding. After January 15, 2025, the Fund will close to new investors, although existing investors with open accounts can still make additional investments. Certain categories of investors may be allowed to open new accounts. Shareholders will receive liquidation proceeds on the Liquidation Date, which may lead to taxable gains or losses. Shareholders should consult tax advisers for personal implications and financial advisors for investment options.