Templeton Dragon Fund : Factsheet - Templeton Dragon Fund Inc

Templeton Dragon Fund Inc (TDF)

Blend Factsheet as of September 30, 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	-6.26	-19.36	-16.44	-8.27	-17.71	-4.71	1.62	7.51	9/20/1994
NAV Returns	-4.61	-17.75	-14.99		-4.52	-17.26	-4.42	0.96	6.86	9/20/1994
Benchmark 1	-2.81	-12.40	-8.02		0.36	-11.48	-1.49	2.39	-	-
Benchmark 2	-1.94	-11.46	-7.29		5.24	-14.28	-4.16	1.67	0.66	-

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

Performance shown represents past performance and is no guarantee of future results. 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 afund's NAV. Premium / Discount reflectsthedifferencebetweentheNAV andtheMarketPrice of 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 includes a prorated special distribution in the month it is paid, if any The Distribution Rate is not guaranteed, subject to change, and is not a quotation of fund performance.

Growth of $10,000

Inception through September 30, 2023

Market Price Returns, assuming dividends reinvested

200K					$81,851
150K
100K
50K
0K			Mar-12
Sep-94	Jul-00	May-06	Jan-18	Sep-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	$10.15
Market Price	$8.54
Premium/Discount	-15.86%
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	$343.16 Million
Number of Issuers	43
Price to Book	2.48x
Price to Earnings (12-Month Trailing)	16.96x
Price to Cash Flow	6.89x
Dividend Yield	1.08%

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

	Fund	Benchmark 1
Beta	1.20	-
R-Squared	0.97	-
Sharpe Ratio	-0.64	-0.55
Standard Deviation (%)	29.90	24.42
Alpha (%)	-2.97	-
Information Ratio	-0.79	-
Tracking Error (%)	7.37	-

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	9.34
ALIBABA GROUP HOLDING LTD	6.67
KWEICHOW MOUTAI CO LTD	4.72
PING AN INSURANCE GROUP CO OF CHINA LTD	4.24
BAIDU INC	3.92
FOCUS MEDIA INFORMATION TECHNOLOGY CO LTD	3.86
ANTA SPORTS PRODUCTS LTD	3.61
CHINA MERCHANTS BANK CO LTD	3.48
NETEASE INC	3.40
MEITUAN	3.20

Geographic Allocation (% of Total)

	Fund
China	95.27
Hong Kong	0.97
Cash & Cash Equivalents	3.76

Sector Allocation (% of Total)

	Fund
Consumer Discretionary	23.25
Communication Services	20.88
Industrials	13.55
Financials	12.06
Consumer Staples	10.49
Health Care	9.62
Information Technology	2.24
Utilities	1.66
Other	2.50
Cash & Cash Equivalents	3.76

Market Cap Breakdown (% of Equity) (USD)

	Fund
<2.0 Billion	1.89
2.0-5.0 Billion	3.26
5.0-10.0 Billion	3.34
10.0-25.0 Billion	20.26
25.0-50.0 Billion	22.72
>50.0 Billion	48.50
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 September 30, 2023
Portfolio Management
	Years with Firm	Years of Experience
Nicholas Chui, CFA	<1	14
Eric Mok, CFA	25	25

What should I know before investing?

All investmentsinvolve risks, including possible loss of principal. Internationalinvestments are subject to special risks, including currency fluctuations and social, economic and political uncertainties, which could increase volatility. These risks are magnifiedin emergingmarkets. There are special risks associated withinvestmentsin China, Hong Kong and Taiwan, including lessliquidity, expropriation, confiscatory taxation, internationaltrade tensions, nationalization, andexchange control regulations and rapid inflation, all of which can negatively impact the fund. Investments in Taiwan could be adversely affected by its political and economic relationship with China. To the extent the fund invests in companies in a specific country or region, the fund mayexperience greater volatility than a fund that ismore broadly diversified geographically. The portfolio is non-diversifiedandmay investin a relatively smallnumber of issuers, which maynegatively impactthe fund's performance andresultin greater fluctuation in the value of the fund's shares. The managers'environmental social and governance (ESG) strategies may limitthe types andnumberof investmentsavailable and, asa result, mayforgo favorable market opportunities or underperform strategies that are not subject to such criteria. There is no guarantee that the strategy's ESG directives will be successful or will result in better performance.

Glossary

Beta A measure of thefund's volatilityrelativeto themarket,as representedbythestatedIndex. A beta greaterthan1.00 indicatesvolatility greater thanthemarket. R-squared measuresthestrengthof 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 afund's returnvariesfromtheaverageof its previousreturns. Thelargerthestandard deviation,thegreaterthelikelihood(andrisk)thata fund's performancewill fluctuate fromtheaveragereturn. Alpha is theannualized percentage difference between a portfolio's actual returns and its expected performance given its level of market risk, as measured by beta. InformationRatio 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 astock dividedbyits bookvalue(i.e., net worth) pershare. For a portfolio, thevaluerepresents aweightedaverageof thestocks it holds. Price to Earnings (12-MonthTrailing) is thesharepriceof a stock, dividedby itsper-shareearningsoverthepast year. Foraportfolio, thevaluerepresentsa weightedaverageof thestocksit holds. Price to Cash Flow: Supplementsprice/earningsratioas ameasure of relativevaluefor astock. For aportfolio, thevaluerepresents aweighted averageof thestocks it holds. Dividend Yield is theannualdividendreceivedon an equitysecurityas apercentage of theprice. Fora 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

Distributions are not guaranteed and are subject to change.

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.

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 representationacrossChinaA‐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 Net Returns (NR) include income net of tax withholding when dividends are paid. 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.

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