Investors should carefully consider a fund’s investment goals, risks, charges and expenses before investing. To obtain a summary prospectus and/or prospectus, which contains this and other information, talk to your financial advisor, call us at (800)DIAL BEN/(800)342-5236 or visit franklintempleton.com. Please carefully read a prospectus before you invest or send money.

Not FDIC Insured • May Lose Value • No Bank Guarantee

2

IS NOW THE RIGHT TIME TO INVEST?

There Have Always Been Reasons Not to Invest

World Events

Black Tuesday Crash of New York Stock Exchange 10/29/29 Korean Conflict 1950 –53 Black Monday Fall of Dow Jones Industrial Average 10/19/87 Vietnam War (U.S. Engagement) 1964 –73 Operation Desert Storm 1991 Attacks on the World Trade Center and Pentagon 9/11/01 Subprime Lending Crisis 2007

3

1939 –45 World War II 10/24/29 Black Thursday Plunge of New York Stock Exchange 1962 Cuban Missile Crisis 1979 –81 Iran Hostage Crisis 1988 Savings & Loan Crisis 10/27/97 Bloody Monday Fall of Dow Jones Industrial Average 2003 –Present Operation Iraqi Freedom 2008 Global Credit Meltdown

IS NOW THE RIGHT TIME TO INVEST?

Step Back and Take a Long-Term View

Growth of $10,000 12/31/1928 –12/31/2010 4

This chart is for illustrative purposes only and does not reflect the performance of any Franklin, Templeton or Mutual Series fund.

Source: © 2011 Morningstar. Indexes are unmanaged, and one cannot invest directly in an index.

Past performance does not guarantee future results.

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“Bull markets are born on pessimism, grow on skepticism, mature on optimism and die on euphoria.”

—

Sir John Templeton Templeton Funds Founder and Former Chairman

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5 Reasons to Be an Equity Investor in the Decade Ahead

5 Reasons to Be an Equity Investor in the Decade Ahead

History Favors a Return to the Mean The World is Getting Smaller (and More Prosperous) Innovation Will Surprise Us...Again

Quality Companies Are Not Short-Sighted Equities Help Protect Purchasing Power

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History Favors a Return to the Mean

HISTORY FAVORS A RETURN TO THE MEAN

Most Years Have Been Positive

Calendar Year Returns for the S&P 500 Index, 1926 –2010 10

This chart is for illustrative purposes only and does not reflect the performance of any Franklin, Templeton or Mutual Series fund.

Source: © 2011 Morningstar. Indexes are unmanaged, and one cannot invest directly in an index.

Past performance does not guarantee future results.

HISTORY FAVORS A RETURN TO THE MEAN

The Same Goes for Decades

10-Year Rolling Returns for the S&P 500 Index 11

This chart is for illustrative purposes only and does not reflect the performance of any Franklin, Templeton or Mutual Series fund.

Source: © 2011 Morningstar. Indexes are unmanaged, and one cannot invest directly in an index.

Past performance does not guarantee future results.

HISTORY FAVORS A RETURN TO THE MEAN

The Five Worst 10-Year Rolling Periods

What Happened Next?

S&P 500 Index – Worst 10-Year Returns and Subsequent 10-Year Returns 12

This chart is for illustrative purposes only and does not reflect the performance of any Franklin, Templeton or Mutual Series fund.

Source: © 2010 Morningstar. Indexes are unmanaged, and one cannot invest directly in an index. Since no subsequent 10 year results are available for years past 2000, only 2008 was included to demonstrate that the next 10 years are still unknown. For the 10-year period ended 2010, the S&P 500 Index returned 1.41%.

Past performance does not guarantee future results.

The World Is Getting Smaller (and More Prosperous)

THE WORLD IS GETTING SMALLER AND MORE PROSPEROUS

This Helps U.S. Companies Too!

Percentage of Revenues Generated Overseas

56% 63% 63% 66%

14

76% 52% 95%

Sources: 3M Co., Apple Inc., Coca Cola Co., Google Inc., Hewlett-Packard Co., McDonalds Corp., Pfizer Inc., Qualcomm Inc. Most recent data available in each companies’ latest financial statements. December 31, 2010 (Apple Inc.), September 30, 2010 (McDonald's Corp., Coca Cola Co., Google Inc., Pfizer Inc., Qualcomm Inc. ), July 31, 2010 (Hewlett-Packard Co.), December 31, 2009 (3M Co.). Foreign Revenue is based on Total Revenue – Domestic Revenue. Logos are trademarks of their respective owners and are used for illustrative purposes and should not be construed as an endorsement or sponsorship of Franklin Templeton Investments.

66%

THE WORLD IS GETTING SMALLER AND MORE PROSPEROUS

Is Global Core to Your Everyday Life?

U.S.

Foreign

Godiva Chocolatier Hershey Nestle CITGO Shell Oil Valero Budweiser Miller Beer Yuengling Bridgestone Tires Dunlop Michelin Callaway Cleveland TaylorMade 15

THE WORLD IS GETTING SMALLER AND MORE PROSPEROUS

Is Global Core to Your Portfolio?

U.S.

Godiva Chocolatier Hershey Nestle CITGO Shell Oil Valero Budweiser Miller Beer Yuengling Bridgestone Tires Dunlop Michelin Callaway Cleveland TaylorMade

Turkey United States Switzerland Venezuela Britain United States Belgium Britain United States Japan United States France United States Japan Germany Foreign

Source: Company websites, as of 3/31/10. 16

THE WORLD IS GETTING SMALLER AND MORE PROSPEROUS

The Global Opportunity

Potential for Increased Consumption Solid bars show current consumption of passenger cars, computers, and cell phones.

Shaded bars show potential based on population.

17 Source: © 2010 World Bank (World Development Indicators), ITU (International Telecommunication Union). As of 2009, most recent data available.

Innovation Will Surprise Us…Again

INNOVATION WILL SURPRISE US…AGAIN

“There is no reason why anyone would want to have a computer in their home.”

— Ken Olsen President, Chairman and Founder Digital Equipment Corp., 1977

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INNOVATION WILL SURPRISE US…AGAIN

A Look Back…What’s Next?

The Beat Goes On 20 Source: Recording Industry Association of America, as of December, 2009. Digital includes Downloaded Singles, Downloaded Albums, Kiosks and Downloaded Music Videos. Total vinyl records, cassettes and CDs includes singles and albums.

INNOVATION WILL SURPRISE US…AGAIN

The World Is Changing

Green Energy Robotics Nanotechnology Gene Therapy & Regenerative Medicine Cloud Computing

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Quality Companies Are Not Short-Sighted

QUALITY COMPANIES ARE NOT SHORT-SIGHTED

Leaders Can Emerge During Tough Times

All of these companies were founded during recessions

Average Recession Length: 12 MONTHS

23 Source: Company websites. Recessions as identified by National Bureau of Economic Research (NBER). Logos are trademarks of their respective owners and are used for illustrative purposes and should not be construed as an endorsement or sponsorship of Franklin Templeton Investments.

QUALITY COMPANIES ARE NOT SHORT-SIGHTED

Dividends Make a Difference!

Dow Jones Industrial Average Growth of a $10,000 Investment 24

This chart is for illustrative purposes only and does not reflect the performance of any Franklin, Templeton or Mutual Series fund.

Dividends can be increased, decreased or totally eliminated without notice.

Source: Dow Jones & Company. Total return figures assume reinvestment of dividends. Indexes are unmanaged and one cannot invest directly in an index.

Past performance does not guarantee future results.

QUALITY COMPANIES ARE NOT SHORT SIGHTED

Dividend Payers Risk/Return

30-Year Period Ended 12/31/10 25

Dividends can be increased, decreased or totally eliminated without notice.

Source: © 2011 Ned Davis Research, Inc. Indexes are unmanaged and one cannot invest directly in an index. Non-Dividend-Paying Stocks represents non-dividend-paying stocks of the S&P 500 Index; Dividend-Paying Stocks represents all dividend-paying stocks of the S&P 500 Index that maintained their existing dividend rate. The S&P 500 Geometric Equal-Weighted Total Return Index is calculated using monthly equal-weighted geometric averages of the total returns of all dividend-paying stocks and non-dividend-paying stocks.

Past performance does not guarantee future results.

Equities Can Help Protect Purchasing Power

EQUITIES CAN HELP PROTECT PURCHASING POWER

Inflation Shrinks Your Buying Power

1

27

1990 2010 2030 U.S. Stamp $0.25

$0.44

$0.72

Gallon of Milk $2.78

$3.32

$5.44

New Car $15,045 $24,294 $39,796 College Tuition $15,615 $27,293 $44,709

1. Sources: U.S. Postal Regulatory Commission, U.S. Bureau of Labor Statistics & U.S. Department of Commerce, The College Board.

EQUITIES CAN HELP PROTECT PURCHASING POWER

After Inflation…

This chart is for illustrative purposes only and does not reflect the performance of any Franklin, Templeton or Mutual Series fund.

Source: © 2011 Morningstar. Stocks are represented by S&P 500 Index; Bonds are represented by Ibbotson Associates SBBI Long Term Corporate Index; Cash Equivalents are represented by the P&R 90-Day U.S. Treasury Index; Gold is represented by the S&P GSCI Gold Spot Index; U.S. Dollar is represented by the growth of the nominal dollar beginning in 1978, taking inflation into account. Inflation is calculated using the CPI. Indexes are unmanaged and one cannot invest directly in an index.

Past performance does not guarantee future results.

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Working with Your Advisor

WORKING WITH YOUR ADVISOR

The Importance of Working with Your Advisor

30 • Keeps emotions out of investing • Builds a long-term investment strategy that is appropriate for your risk tolerance and goals • Ensures you stay on course with regular reviews and adjustments to your investment strategy

What Are the Risks?

Stocks historically have outperformed other asset classes over the long term, but tend to fluctuate more dramatically over the short term.

Investments in fast-growing industries like the technology and telecommunications sectors (which have historically been volatile) could result in increased price fluctuation, specially over the short term.

Special risks are associated with foreign investing, including currency fluctuations, economic instability and political developments. Investments in developing markets involve heightened risks related to the same factors, in addition to those associated with these markets’ smaller size and lesser liquidity. These and other risk considerations are discussed in a fund prospectus.

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Franklin Templeton Distributors, Inc.

One Franklin Parkway San Mateo, California 94403-1906 (800) DIAL BEN/(800) 342-5236 franklintempleton.com

Investors should carefully consider a fund’s investment goals, risks, charges and expenses before investing. To obtain a summary prospectus and/or prospectus, which contains this and other information, talk to your financial advisor, call us at (800)DIAL BEN/(800)342-5236 or visit franklintempleton.com. Please carefully read a prospectus before you invest or send money.

2020CU PPT 02/11 © 2011 Franklin Templeton Investments. All rights reserved.