Franklin Templeton adopts Euroclear’s international ETF structure for European ETFs

Sep 8th, 2017 | By | Category: ETF and Index News

Franklin Templeton has adopted Euroclear‘s international security structure for its European line-up of ETFs.

Franklin Templeton partners with Euroclear to debut ETFs in Europe

Euroclear provides a single point of settlement for Europe-listed ETFs.

Launched in 2013, Euroclear’s international structure for ETFs aims to bring increased efficiency to a process that had previously only been supported by fragmented domestic market practices across Europe.

Euroclear provides one place of settlement – an international central securities depository (ICSD), reducing the complexity, cost and risk involved in ETF issuance. ETFs to the value of €230 billion ($271 billion) are currently issued in the international structure, which represents over one third of the European ETF market.

The ETFs have been initially listed on London Stock Exchange and settle directly in the ICSD.

“We are very excited to bring our Franklin LibertyShares ETF platform to Europe following our successful launches in the US and Canada and to partner with Euroclear to make the trading and settlement of our ETFs as simple as possible for our clients,” said Patrick O’Connor, head of global ETFs, Franklin Templeton.

Stephan Pouyat, global head of capital markets and funds services, Euroclear, added: “We welcome this collaboration with Franklin Templeton and are pleased to be part of their first ETF issuance in Europe. Euroclear are proud to connect Franklin Templeton with our European and global client base, using an international ETF structure that provides an effective and efficient settlement solution.”

Branded as Franklin LibertyShares and linked to custom proprietary indices, the launch includes a pair of multifactor ETFs – the Franklin LibertyQ Global Equity SRI UCITS ETF (FLXG) and the Franklin LibertyQ US Equity UCITS ETF (FLXU) – and a pair of quality dividend ETFs – the Franklin LibertyQ Global Dividend UCITS ETF (FLXX) and Franklin LibertyQ European Dividend UCTIS ETF (FLXD).

Tags: , , , , , , , , , ,

Leave a Comment

More in ETF and Index News
Heather Fischer, vice president, ETF and mutual fund platforms, Charles Schwab
ETF allocations up 70% over five years, finds Charles Schwab

The importance of ETFs within an average investor's portfolio has increased substantially over the past five years, according to the 7th annual survey...

Twelve new ETFs listed on London Stock Exchange in August 2017
Twelve new ETFs listed on London Stock Exchange in August 2017

Twelve new ETFs were listed on London Stock Exchange in August 2017, bringing the number of new listings year-to-date to 89. ETF issuers...