ETF Research Center

The Franklin FTSE Australia ETF tracks a market-cap-weighted index of Australian large- and midcap stocks.

FUND BASICS
Category	International Equities
Fund Sponsor	Franklin Templeton
Website	www.libertyshares.com
Inception date	Nov 02, 2017
Assets (mns)	$15
Currency	USD
Expense ratio	9 bp
Distributions	Semi-annual

FUND STRUCTURE
Regulation	Open-Ended Fund
Custodian
Weighting	Market Cap
Index replication
Uses derivatives	No
Options available	No

SECTOR BREAKDOWN

CONSTITUENT BREAKDOWN
No. of constituents	103
Wgt avg mkt cap (mns)	$45,826
Large cap (>$10bn)	72.6%
Mid cap ($2-10bn)	26.0%
Small cap (<$2bn)	1.4%
Developed mkts	99.4%
Emerging mkts	0.6%

TOP TEN HOLDINGS
Total	49.4 %
COMMONWEALTH BANK OF AUSTRAL	8.9 %
CSL LIMITED	8.1 %
BHP BILLITON LTD	7.1 %
WESTPAC BANKING CORP	5.3 %
NATIONAL AUSTRALIA BANK LTD	4.4 %
AUST AND NZ BANKING GROUP	4.3 %
WESFARMERS LIMITED	3.0 %
WOOLWORTHS LIMITED	2.9 %
MACQUARIE GROUP LTD	2.8 %
TRANSURBAN GROUP	2.5 %

TOP COUNTRY EXPOSURE
	AUSTRALIA	95.6 %
	BRITAIN	1.5 %
	IRELAND	0.8 %
	NEW ZEALAND	0.5 %

HISTORICAL PERFORMANCE info

	Custom date range	Compare to
	thru

Standardized Annual Returns (thru December 31)
Year-to-date	1 year	5 years	10 years	Since Incep.
23.2%	23.2%	--	--	6.1%

Market Correlations
versus...	Beta	R-squared
S&P500	0.62	64%
MSCI EAFE	0.75	71%
MSCI Emg. Mkts.	0.51	56%

Technical Indicators
Recent close	$26.83
30d moving avg.	$26.14
Annualized volatility	11.2%
Short interest (ETF)	6.2%
Relative strength (RSI)	69

Liquidity measures
Avg. volume (thou.)	2
Turnover	0.4%
Bid/Ask (% of price)	0.35%
ADV underlying (mns)	$2,996

Distributions

FINDING ALTERNATIVE FUNDS

Below is a list of 20 potential alternatives to the Franklin FTSE Australia ETF based on the alternatives' overlap in portfolio holdings with FLAU. Consider funds with lower expense ratios and/or higher ALTAR Score™ ratings as possible alternatives.

Benchmark ticker:

FLAU

Expense:

9 bp

ALTAR Score™:

5.8%

ALTERNATIVE ETFs BASED ON OVERLAP WITH FLAU
Ticker	Fund Name	Overlap¹ vs FLAU (%)	Expense ratio (bp)	Savings vs FLAU (bp)	ALTAR Score™ (%)	ALTAR vs FLAU (%)
EWA	iShares MSCI Australia	89.6	47	-38	5.5	-0.4
EPP	iShares MSCI Pacific ex-Japan	56.3	48	-39	6.1	+0.3
BBAX	JPMorgan BetaBuilders Developed Asia ex-Japan	55.9	19	-10	6.3	+0.4
FAUS	First Trust Australia	32.6	80	-71	5.0	-0.9
SCIX	Global X Scientific Beta Asia ex-Japan	29.6	38	-29	5.9	+0.1
AXJL	WisdomTree Asia Pacific Ex-Japan	22.5	48	-39	8.6	+2.8
FPA	First Trust Asia Pac Ex-Japan AlphaDEX	18.4	80	-71	8.5	+2.6
DVYA	iShares Asia/Pacific Dividend 30	16.9	49	-40	8.2	+2.3
IPAC	iShares Core MSCI Pacific	16.8	9	0	7.2	+1.4
VPL	Vanguard Pacific ETF	15.4	9	0	7.5	+1.6
RFAP	First Trust Riverfront Dynamic Asia Pacific	15.4	83	-74	7.0	+1.2
PICK	iShares MSCI Global Select Metals & Mining	12.8	39	-30	6.7	+0.8
IDV	iShares DJ Int'l Select Dividend	12.6	49	-40	8.3	+2.5
IDHD	Invesco S&P Intl Developed High Div Low Volatility	12.1	30	-21	6.3	+0.5
IDMO	Invesco S&P Int'l Dev. Momentum	11.7	25	-16	4.4	-1.4
DEEF	Xtrackers FTSE Dev ex-US Comprehensive Factor	11.6	24	-15	6.8	+1.0
INTF	iShares FactorSelect MSCI International	11.4	30	-21	7.7	+1.8
DWMF	WisdomTree International Multifactor Fund	11.3	38	-29	6.0	+0.2
IDOG	ALPS International Sector Dividend Dogs	11.2	50	-41	8.0	+2.2
WWJD	Inspire International ESG	11.1	80	-71	6.8	+1.0

¹Overlap is the percentage of holdings by weight that are identical. For example, if Fund A has a 2% position in Apple, Inc. (AAPL) and Fund B has a 5% position, their overlapping position in AAPL is 2%.

Content on this tab for subscribers only**

RESULTS & ESTIMATES

	2014	2015	2016	2017	2018	2019E	2020E
Sales per share	**	**	**	**	**	**	**
Earnings per share	**	**	**	**	**	**	**
Dividends per share	**	**	**	**	**	**	**
Book value per share	**	**	**	**	**	**	**

Sales per share growth		**%	**%	**%	**%	**%	**%
EPS growth		**%	**%	**%	**%	**%	**%

Sales per share growth		**%	**%	**%	**%	**%	**%
EPS growth		**%	**%	**%	**%	**%	**%

OTHER FUNDAMENTAL METRICS

Long term EPS growth est.	**%		Debt-to-equity	**x
Asset turnover	**%		Assets-to-equity	**x

Return on equity

Revision activity*

*Six months ago = 100

Net margins

Compound annual growth rates

Content on this tab for subscribers only

VALUATION METRICS

	2018	2019E	2020E
Price-to-sales	**	**	**
Price-to-earnings	**	**	**
Price-to-cash flow	**	**	**
Price-to-growth	**	**	**
Price-to-book value	**	**	**
Yield	**	**	**

Historical valuation trends

Forward multiple:	Franklin FTSE Australia
Relative to:	S&P500	MSCI EAFE	MSCI Emg. Mkts.	Other ETF:

UNDERWEIGHT

Below average appreciation potential. A rating of UNDERWEIGHT is assigned to ETFs with ALTAR Scores in the 2nd quintile (ranking higher than only 20%-40%) of their category. Typically, funds in this category consist of stocks trading at relatively expensive valuations and/or having below-average fundamentals.

ALTAR Score™

Calculation of ALTAR Score™
Avg. Return on Equity	12.4	%
Divided by: Fwd. P/BV	2.1	x
Less: Expense ratio	9	bp
Equals: ALTAR Score	5.8	%

More information on ALTAR Score™

MODERN PORTFOLIO THEORY info

CONSENSUS RECOMMENDATIONS: FUND CONSTITUENTS

COMPOSITE RATING	1.92	CATEGORY AVERAGE	1.63

The composite rating is a weighted average of analysts' consensus recommendations for individual ETF constituents, based on the following scale: BUY = 1; OVERWEIGHT = 1.5, HOLD = 2; UNDERWEIGHT = 2.5; and SELL = 3. Readers are cautioned that because analyst ratings tend to be inflated, the composite score may be more useful as a relative measure of sentiment between funds rather than as a stand-alone recommendation.