15 June 2026: In its latest rating update, Franklin Templeton's Franklin Australian Absolute Return Bond Fund – Class M has received a Morningstar Medalist RatingTM of Gold as of 27 May 2026, the highest rating available from the research house, with 100% Analyst-Driven input and 100% Data Coverage.
Morningstar in its Research Report recognised the fund's "disciplined approach and stable team" as making it an appealing risk-aware option, citing its consistent, defensive investment approach and focus on investment-grade opportunities. A Gold rating reflects Morningstar's high conviction in a strategy's ability to deliver positive risk-adjusted returns over a full market cycle
"Congratulations to Chris Siniakov, Andrew Canobi and the broader team on this achievement," says Felicity Walsh, Managing Director Franklin Templeton Australia. "This recognition underscores the strength of a long-tenured, highly cohesive team and their continued commitment to delivering for clients. Their disciplined approach, combining macro insights with bottom-up research, positions the strategy to navigate changing market conditions with resilience. It is likely to be suited for investors seeking income and capital preservation.”
The Melbourne-based Australian Fixed Income team manages the fund, with Siniakov and Canobi serving as co-lead portfolio managers. Each has more than 34 years of investment experience and they have worked together for 23 years. “We are delighted by this recognition and the long-term success of our Fund,” says Chris Siniakov, managing director fixed income Franklin Templeton Australia. “Clients who allocated to our Absolute Return strategies have enjoyed robust performance over the past few years through returns of 4.8% p.a. net of fees, exceeding traditional Australian fixed income allocations where the AusBond Composite Index has acted as a significant anchor returning just 2.0% p.a. over the last three years to April.”
The team builds portfolios seeking attractive risk-adjusted returns through a combination of top-down macroeconomic insights, bottom-up fundamental research and quantitative methodologies, leveraging extensive knowledge of both local and international markets to construct portfolios accessing a diverse range of fixed income sectors and geographies.
The fund is an actively managed absolute return fixed income portfolio designed to deliver attractive returns through the interest rate and credit cycles while protecting against capital volatility through strong risk management. Its investment objective is to deliver returns in excess of the Bloomberg AusBond Bank Bill Index, after fees and expenses, over the short to medium term.
Established in December 2014, the fund had over $1 billion in assets under management as at December 31, 2025.
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About Franklin Templeton
Franklin Templeton is a trusted investment partner, delivering tailored solutions that align with clients’ strategic goals. With deep portfolio management expertise across public and private markets, we combine investment excellence with cutting-edge technology. Since our founding in 1947, we have empowered clients through strategic partnership, forward-looking insights, and continuous innovation – providing the tools and resources to navigate change and capture opportunity. To learn more, visit franklintempleton.com.au/about-us and follow us on LinkedIn. Franklin Resources, Inc. [NYSE: BEN]
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