Templeton Dragon Fund : Fact Sheet

Templeton Dragon Fund Inc (TDF)

Blend Factsheet as of March 31, 2023

Investment Overview

The fund seeks long-term capital appreciation by investing at least 45% of its total assets in the equity securities of Chinese companies.

Total Returns (%)

			Cumulative				Average Annual				Inception
		3-Mth	6-Mth	YTD	1-Yr	3-Yr	5-Yr	10-Yr	Inception	Date
Market Price Return	3.62	13.75	3.62	-11.84	-0.25	-1.11	3.34	8.46		9/20/1994
NAV Returns	3.35	16.09	3.35		-8.56	-1.06	-1.95	2.61	7.72	9/20/1994
Benchmark 1	5.01	14.57	5.01		-6.44	1.13	-1.95	4.04	-	-
Benchmark 2	4.71	18.86	4.71		-4.73	-2.64	-4.01	3.38	1.10		-

Calendar Year Total Returns (%)

	2022	2021	2020	2019	2018	2017	2016	2015	2014	2013
Market Price Return	-32.99	-17.83	52.46	27.70	-11.87	42.06	1.03	-8.79	9.74	-3.07
NAV Returns	-29.46	-15.52	42.18	26.59	-14.64	38.22	0.76	-6.39	7.86	-3.37
Benchmark 1	-23.61	-12.91	33.41	27.63	-23.27	41.18	-7.87	-3.05	23.29	1.11
Benchmark 2	-21.93	-21.72	29.49	23.46	-18.88	54.07	0.90	-7.82	7.96	3.64

Performanceshown represents past performance and is no guaranteeof futureresults. Current performancemaybe higheror lower than the performanceshown. Investment return andprincipal value will fluctuateso shares, when sold, maybe worth more orless than the original cost.Returns based onMarket Price orNAV, and assumethe reinvestment of all distributions atthe Dividend ReinvestmentPlan Price or NAV,respectively. All returnsinclude the deduction of management fees, operatingexpenses and allother fund expenses, anddo not reflect thededuction of brokerage commissionsor taxesthat investorsmay pay ondistributions orthe saleof shares.When applicable, performancewould havebeen lowerif fees hadnot beenwaivedin variousperiods. Theindex isunmanagedand includesreinvestment of any income or distributions. It does notreflect any fees, expenses or sales charges. One cannot invest directly inan index, and an index is not representative of the fund'sportfolio. Indexdata is providedfor comparisonpurposes only.The fund isnot managedagainst anindex. Returns for periodsof lessthan oneyear arenot annualized.Please visitfranklintempleton.com forthe mostrecent month-endperformance.

Gross expenses are the fund's total annual operating expenses as of the fund's annual report available at the time of publication. Actual expenses may be higher and may impact portfolio returns. Net expenses reflect voluntary fee waivers, expense caps and/or reimbursements. Voluntarywaiversmaybe modifiedor discontinuedatany timewithoutnotice. NAV istotal assets less totalliabilitiesdividedby thenumberof sharesoutstanding. Market Price, determinedbysupply anddemand,is thepricean investorpurchasesor sells thefund. TheMarketPrice maydifferfrom a fund's NAV. Premium / Discount reflectsthedifferencebetweentheNAVand theMarketPriceof thefund, andrepresents the amount that the fund is trading above or below its NAV, expressed as a percentage of the NAV. Distribution Rate is calculated by annualizing the most recent distribution amount paid, divided by the closing market price or NAV as of the date indicated. Distribution Rate includes income and return of capital, if any, and excludes special distributions. The Distribution Rate is not guaranteed, subject to change, and is not a quotation of fund performance. A return of capital is not taxable and results in a reduction in the tax basis of a shareholder's investment. At year-end the Fund will issue a Form 1099 with the final composition of the distribution for tax purposes. A current estimate of the distribution's composition can be found on each fund's individual page or in the most recent distribution press release and/or Section 19 notice located in the press release section of each fund's individual page.

Growth of $10,000

Inception through March 31, 2023

Market Price Returns, assuming dividends reinvested

200K					$101,499
150K
100K
50K
0K
Sep-94	Jun-00	Mar-06	Dec-11	Sep-17	Mar-23

The Growth of $10,000 chart reflects a hypothetical $10,000 investment on Market Price and assumes reinvestment of dividends and capital gains. Fund expense, including management fees and other expenses were deducted.

Fund Overview

NYSE Ticker	TDF
Listed Exchange	NYSE
Fund Inception Date	09/20/1994
NAV	$12.34
Market Price	$10.59
Premium/Discount	-14.18%
Distribution Rate at Market
Price (%)	-
Distribution Rate at NAV (%)	-
Dividend Frequency, if any	Semi-Annually

Benchmark(s)

1-MSCI China All Shares Index-NR2-MSCI China Index-NR

Fund Characteristics	Fund
Total Net Assets	$417.07 Million
Number of Issuers	67
Price to Book	3.08x
Price to Earnings (12-Month Trailing)	24.98x
Price to Cash Flow	18.14x
Dividend Yield	0.48%

Risk Statistics (3-Year vs. MSCI China All Shares Index-NR)

	Fund	Benchmark 1
Beta	1.19	-
R-Squared	0.96	-
Sharpe Ratio	-0.07	0.01
Standard Deviation (%)	30.22	24.90
Alpha (%)	-1.38	-
Information Ratio	-0.29	-
Tracking Error	7.59	-

tel: (800) DIAL BEN/342-5236| franklintempleton.com

Not FDIC Insured | May Lose Value | No Bank Guarantee

Templeton Dragon Fund Inc (TDF)

Top Equity Issuers (Equity as a % of Total)

	Fund
TENCENT HOLDINGS LTD	9.69
ALIBABA GROUP HOLDING LTD	6.72
CHINA MERCHANTS BANK CO LTD	4.31
ANTA SPORTS PRODUCTS LTD	3.86
MEITUAN	2.94
JD.COM INC	2.68
WUXI APPTEC CO LTD	2.64
GUANGZHOU TINCI MATERIALS TECHNOLOGY CO LTD	2.52
NETEASE INC	2.46
SHENZHEN INOVANCE TECHNOLOGY CO LTD	2.42

Geographic Allocation (% of Total)

	Fund
China	97.77
Hong Kong	0.96
Cash & Cash Equivalents	1.27

Sector Allocation (% of Total)

	Fund
Consumer Discretionary	26.65
Communication Services	14.39
Industrials	11.60
Health Care	11.46
Information Technology	8.88
Consumer Staples	8.42
Financials	8.37
Materials	8.11
Real Estate	0.86
Cash & Cash Equivalents	1.27

Market Cap Breakdown (% of Equity) (USD)

	Fund
<2.0 Billion	3.23
2.0-5.0 Billion	9.48
5.0-10.0 Billion	4.47
10.0-25.0 Billion	10.15
25.0-50.0 Billion	26.02
>50.0 Billion	46.62
N/A	0.03

Portfolio Data Information

The fund invests in certain China A shares through its investment in the Templeton China Opportunities Fund Ltd. (China Fund). The China Fund is a Cayman Islands exempt company, is a wholly-owned subsidiary of the fund, and is able to invest directly in China A shares consistent with the investment objective of the fund.

		as of March 31, 2023
Portfolio Management
	Years with Firm	Years of Experience
Michael Lai, CFA	3	33
Eric Mok, CFA	24	24

What should I know before investing?

All investmentsinvolve risks, including possible loss of principal. Special risks are associated with foreign investing, including currencyvolatility, economic instability andpolitical developments of countries where the fundinvests. Emerging markets involve heightened risks relatedto the samefactors, in addition to those associated with their relatively smallsize and lesser liquidity. There are special risks associated with investments in China, Hong Kong and Taiwan, includingexposure to currency fluctuations, less liquidity, expropriation, confiscatory taxation, international trade tensions (including tariffs, embargoes and trade wars), nationalization and exchange control regulations (including currency blockage), inflation and rapid fluctuations in inflation and interest rates, all of which can negatively impact the fund. Investments in Taiwan could be adverselyaffected by its political andeconomic relationship with China. Because the fund invests its assets primarily in companies in a specific region, the fund is subject to greater risks of adverse developments in that region and/or the surrounding regions than a fund that is more broadly diversified geographically. Political, social or economic disruptions in the region, even in countries in which the fund is not invested, may adversely affect the value of securities held by the fund. Also, as a non-diversifiedinvestmentcompanyinvesting in "China companies,"the fund mayinvest in a relatively smallnumber of issuers and, as a result, be subject to a greater riskof loss with respect to its portfolio securities. The manager's portfolio selection strategy is not solely based on ESG considerations, andtherefore the issuers in which the fundinvests maynot be considered ESG-focusedcompanies. Integrating ESG considerationsinto the investment process is not a guarantee that better performance will be achieved. The manager's portfolio selectionstrategy is not solely based on ESG considerations, and therefore the issuers in which the fund invests may not be considered ESG-focusedcompanies.

Integrating ESG considerations into the investment process is not a guarantee that better performance will be achieved. For a more complete discussion of the fund's primary risks, including those relatedto investmentin specific countries such as China, Hong Kong and Taiwan, please see the fund's latest annual report posted on franklintempleton.com.

Glossary

Beta A measure of thefund's volatilityrelativeto themarket,as representedbythestatedIndex. A beta greaterthan1.00 indicatesvolatility greater thanthemarket. R-squared measuresthestrength of thelinear relationshipbetween thefund andits benchmark. R-squaredat1 impliesperfectlinearrelationshipandzeroimpliesno relationshipexists. Sharpe Ratio refersto a risk-adjustedmeasurecalculated using standard deviation and excess returns to determine reward per unit of risk. The higher the ratio, the greater the risk-adjusted performance. Standard Deviation measureof thedegreeto which a fund's returnvariesfrom theaverageof its previousreturns. Thelarger thestandard deviation,thegreaterthelikelihood(andrisk)thata fund's performance will fluctuate from theaveragereturn. Alpha istheannualized percentage difference between a portfolio's actual returns and its expected performance given its level of market risk, as measured by beta. Information Ratio In investingterminology,theratioof expectedreturnto risk. Usually, thisstatisticaltechnique is usedto measurea manager's performance against a benchmark. This measure explicitly relates the degree by which an investment has beaten the benchmark to theconsistencybywhich theinvestmenthasbeatenthebenchmark. Tracking Error measure of thedeviationof thereturnof a fund compared to the return of a benchmark over a fixed period of time. Expressed as a percentage. The more passively the investment fund is managed,thesmaller thetrackingerror. Price to Book Thepricepershareof a stock divided byits book value(i.e., net worth)per share. Fora portfolio, thevaluerepresents a weightedaverageof thestocks it holds. Price to Earnings (12-MonthTrailing) is thesharepriceof a stock, dividedby itsper-shareearningsoverthepast year. Fora portfolio, thevaluerepresentsa weightedaverageof thestocksit holds. Price to Cash Flow Supplementsprice/earningsratioasa measureof relativevalue for a stock. Fora portfolio, thevaluerepresentsa weightedaverage of thestocks it holds. Dividend Yield is theannualdividendreceivedon an equitysecurityas a percentage of theprice. For a portfolio, the value represents a weighted average of the stocks it holds. It should not be used as an indication of the income received from this portfolio.

Important Information

The Closed-End Funds are not sold or distributed by Franklin Distributors, LLC, or any affiliate of Franklin Resources, Inc. Unlike open-endfunds, shares are not continually offered. Like other public companies, closed-endfunds have a one-timeinitial public offering, and once their shares are first issued, are generally bought and sold through non-affiliatedbroker/dealers and trade on nationally recognized stock exchanges. Share prices will fluctuate with market conditions and, at the time of sale, may be worth more or less than your original investment. Shares of exchange-traded closed-endfunds may trade at a discount or premium to their original offering price, and often trade at a discount to their net asset value. Investment return, market price and net asset value will fluctuate with changes in market conditions. The Funds are subject to investment risks, including the possible loss of principal invested.

Distributions are not guaranteed and are subject to change.

CFA® andCharteredFinancialAnalyst® aretrademarksownedby CFAInstitute.

The MSCI China Index is a freefloat-adjusted,marketcapitalization-weightedindex designedto measuretheequitymarketperformance of mid- and large-capitalization companies in China. Source: MSCI makes no warranties and shall have no liability with respect to any MSCI data reproduced herein. No further redistributionoruse is permitted. Thisreportis not preparedor endorsedbyMSCI. The MSCI China All Shares Index-NR captureslargeandmid-cap representationacrossChina A‐shares, B‐shares, H‐shares, Red‐chips, P‐chips and foreignlistings(e.g. ADRs). The index aims to reflect the opportunity set of China share classes listed in Hong Kong, Shanghai, Shenzhen and outside of China. Net Returns(NR) includeincomenet of taxwithholdings whendividendsare paid. MSCI China Index-NR reflectstheperformance of theMSCI China Index (gross returns) from fund inception through 12/31/2000 and the MSCI China Index-NR thereafter Information is historical and may not reflect current or future portfolio characteristics. All portfolio holdings are subject to change. Important data provider notices and terms available at www.franklintempletondatasources.com.

© 2023 Franklin Templeton. Franklin Distributors, LLC. Member FINRA/SIPC.

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2023-04-20 UTC 14:22:48:34