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Founded in 1947, Franklin Templeton Investments prides itself in offering "exceptional asset management" to clients in more than 165 nations. It has offices in more than 30 countries and approximately 1,300 investment professionals.

With around $1.57 trillion assets under management as of Aug 31, 2021, Franklin Templeton Investments is a well-known global investment management firm. The company offers investment management strategies and integrated risk management solutions to individuals, institutions, pension plans, trusts and partnerships.

Franklin Templeton invests in a variety of sectors that are sensitive, cyclical, and defensive. From the sensitive sectors, most investments were made in the technology sector. Among the cyclical sectors, the fund family invested the maximum in the financial services sector, while among the defensive sectors it invested heavily in healthcare. Technology Select Sector SPDR (XLK) has climbed 38.7% over the past one year and turned up as one of the best-performing sectors among the 11 S&P 500 sectors.

4 Best Funds to Buy Now

We have highlighted four Franklin Templeton mutual funds carrying a Zacks Mutual Fund Rank #1 (Strong Buy) or 2 (Buy) that are sure to shine in the months ahead. Moreover, these funds have encouraging one and three-year returns. Additionally, the minimum initial investment is within $5000.

We expect these funds to outperform their peers in the future. Remember, the goal of the Zacks Mutual Fund Rank is to guide investors to identify potential winners and losers. Unlike most of the fund-rating systems, the Zacks Mutual Fund Rank is not just focused on past performance, but also on the likely future success of the fund.

The question here is: why should investors consider mutual funds? Reduced transaction costs and diversification of portfolio without several commission charges that are associated with stock purchases are primarily why one should be parking their money in mutual funds.

Franklin Corefolio Allocation Fund Advisor Class (FCAZX Quick Quote FCAZX - Free Report)  fund aims for capital appreciation. The fund is a "fund to funds" and seeks to achieve its goal by investing in a combination of the Franklin Growth Fund, Franklin Growth Opportunities Fund, Franklin Mutual Shares Fund, and Templeton Growth Fund (underlying funds) on a fixed percentage basis. It makes roughly 25% allocation to each of the underlying funds which, in turn, invest primarily in the U.S. and foreign equity securities.

This Allocation Balanced product has a history of positive total returns for more than 10 years. FCAZX has a Zacks Mutual Fund Rank #1 and an annual expense ratio of 0.82%. The fund has one and three-year returns of 29.1% and 14.1%, respectively.

Franklin DynaTech Fund Advisor Class (FDYZX Quick Quote FDYZX - Free Report) aims for capital appreciation. The fund invests the majority of its assets in common stocks of companies that the fund manager believes are leaders in innovation, take advantage of new technologies, have superior management, and benefit from new industry conditions in the dynamically changing global economy.

This Sector-Tech product has had a history of positive total returns for over 10 years. Specifically, the fund's returns over the one and three-year benchmarks are 34.4% and 29.1%, respectively. The fund carries a Zacks Mutual Fund Rank #1 and has an annual expense ratio of 0.60%.

Franklin California High Yield Municipal Fund Advisor Class (FVCAX Quick Quote FVCAX - Free Report) aims for high level of income exempt from federal and California personal income taxes. FVCAX invests the majority of its net assets in municipal securities whose interest is free from regular federal income taxes as well as from California personal income taxes. It may invest all of its assets in securities that pay interest subject to the federal alternative minimum tax.

This Muni-Bonds product has a history of positive total returns for more than 10 years. FVCAX sports a Zacks Mutual Fund Rank #1 and has an annual expense ratio of 0.55%. The fund has one and three-year returns of 7.2% and 5.9%, respectively.

Franklin High Income Fund Advisor Class (FVHIX Quick Quote FVHIX - Free Report) aims for high current income. The fund also aims for capital appreciation as much as possible and consistent with the fund's principal goal by investing primarily in high yield, lower-rated debt securities. It may invest all of its assets in debt securities that are rated below investment grade, also known as "junk bonds."

This High Yield-Bonds product has a history of positive total returns for more than 10 years. FVHIX carries a Zacks Mutual Fund Rank #2 and has an annual expense ratio of 0.63%. The fund has one and three-year returns of 9.4% and 6.5%, respectively.