Franklin Templeton has launched an active equity ETF based on the group’s Core US Enhanced Equity fund.

The Franklin Core US Enhanced Equity UCITS ETF provides long-term capital growth through a diversified portfolio of US equities, managed by Franklin Templeton Investment Solutions, and follows the same investment approach as the FTIF Franklin Core US Enhanced Equity fund, which launched in October 2025, using an ETF wrapper.

The new ETF will list on the Deutsche Börse Xetra today (27 January) and on Borsa Italiana and the London Stock Exchange (LSE) on 28 January. The fund is registered for distribution in Austria, Denmark, Finland, France, Germany, Ireland (country of domicile), Italy, Luxembourg, Netherlands, Spain, Sweden and the United Kingdom.

Matthew Harrison, head of Americas (ex-US), Europe and UK, Franklin Templeton, said: “2025 marked another record year for our ETF range, underpinned by the strong performance of our equity strategies.

“We’re building on that momentum with the expansion of our active equity ETF line‑up, giving clients access to US equities through a strategy designed to serve as a dependable core building block.

“This reflects our approach to delivering innovative investment solutions by leveraging specialist capabilities, so investors have real choice in how they access our active expertise across multiple investment vehicles.”

The Franklin Core US Enhanced Equity UCITS ETF - Franklin Templeton’s seventh US equity UCITS ETF - invests in equity securities using an actively managed, quantitative process while keeping the expected level of tracking error between 1-2% in normal market conditions. The ETF is classified as Article 8 under the Sustainable Finance Disclosure Regulation.

Lisa Wang, head of EMEA investment strategy at Franklin Templeton Investment Solutions, added: “The Franklin Core US Enhanced Equity UCITS ETF is designed to be ‘core, but better’ benchmark-aware, diversified and risk-controlled.

“Our process combines systematic factor signals with a conviction overlay and a proprietary risk model to help keep unintended exposures in check and tracking error tightly managed.”