Document_and_Entity_Informatio
Document and Entity Information | 9 Months Ended | |
Jun. 30, 2014 | Jul. 23, 2014 | |
Documentation and Entity Information [Abstract] | ' | ' |
Entity Registrant Name | 'Franklin Resources Inc | ' |
Entity Central Index Key | '0000038777 | ' |
Current Fiscal Year End Date | '--09-30 | ' |
Entity Filer Category | 'Large Accelerated Filer | ' |
Document Type | '10-Q | ' |
Document Period End Date | 30-Jun-14 | ' |
Document Fiscal Year Focus | '2014 | ' |
Document Fiscal Period Focus | 'Q3 | ' |
Amendment Flag | 'false | ' |
Entity Common Stock, Shares Outstanding | ' | 625,291,113 |
Condensed_Consolidated_Stateme
Condensed Consolidated Statements of Income (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, except Per Share data, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Operating Revenues | ' | ' | ' | ' |
Investment management fees | $1,393.20 | $1,318.30 | $4,135 | $3,785.70 |
Sales and distribution fees | 643.7 | 664.5 | 1,919 | 1,911.30 |
Shareholder servicing fees | 69 | 77.5 | 212.8 | 228.5 |
Other, net | 24.6 | 24.5 | 69.1 | 74.7 |
Total operating revenues | 2,130.50 | 2,084.80 | 6,335.90 | 6,000.20 |
Operating Expenses | ' | ' | ' | ' |
Sales, distribution and marketing | 789.3 | 812.8 | 2,332.30 | 2,324.50 |
Compensation and benefits | 380.7 | 345.5 | 1,102 | 1,035.70 |
Information systems and technology | 54.3 | 44.4 | 155.5 | 132.8 |
Occupancy | 34.1 | 33.9 | 101 | 99.2 |
General, administrative and other | 85.3 | 76.5 | 259.2 | 221.8 |
Total operating expenses | 1,343.70 | 1,313.10 | 3,950 | 3,814 |
Operating Income | 786.8 | 771.7 | 2,385.90 | 2,186.20 |
Other Income (Expenses) | ' | ' | ' | ' |
Investment and other income, net | 107.6 | 10.3 | 172.8 | 152.3 |
Interest expense | -10.9 | -10 | -34.9 | -35.4 |
Other income, net | 96.7 | 0.3 | 137.9 | 116.9 |
Income before taxes | 883.5 | 772 | 2,523.80 | 2,303.10 |
Taxes on income | 251.4 | 209.9 | 742.9 | 642.9 |
Net income | 632.1 | 562.1 | 1,780.90 | 1,660.20 |
Net Income Attributable to Franklin Resources, Inc. | 578.9 | 552.3 | 1,743.70 | 1,641.20 |
Earnings per Share | ' | ' | ' | ' |
Basic | $0.92 | $0.87 | $2.77 | $2.57 |
Diluted | $0.92 | $0.86 | $2.77 | $2.57 |
Dividends per Share | $0.12 | $0.10 | $0.36 | $1.29 |
Nonredeemable Noncontrolling Interests [Member] | ' | ' | ' | ' |
Other Income (Expenses) | ' | ' | ' | ' |
Net income attributable to noncontrolling interests | 47.4 | 8 | 23 | 13.1 |
Redeemable Noncontrolling Interests [Member] | ' | ' | ' | ' |
Other Income (Expenses) | ' | ' | ' | ' |
Net income attributable to noncontrolling interests | $5.80 | $1.80 | $14.20 | $5.90 |
Condensed_Consolidated_Stateme1
Condensed Consolidated Statements of Comprehensive Income (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Net Income | $632.10 | $562.10 | $1,780.90 | $1,660.20 |
Other Comprehensive Income (Loss) | ' | ' | ' | ' |
Net unrealized gains (losses) on investments, net of tax | 2.5 | -9 | -6 | -28 |
Currency translation adjustments, net of tax | 17.2 | -47.7 | 25.2 | -82.7 |
Net unrealized gains (losses) on defined benefit plans, net of tax | 0.1 | -0.4 | -1.1 | 0.3 |
Total comprehensive income | 651.9 | 505 | 1,799 | 1,549.80 |
Comprehensive Income Attributable to Franklin Resources, Inc. | 598.7 | 495.2 | 1,761.80 | 1,530.80 |
Nonredeemable Noncontrolling Interests [Member] | ' | ' | ' | ' |
Other Comprehensive Income (Loss) | ' | ' | ' | ' |
Comprehensive income attributable to noncontrolling interests | 47.4 | 8 | 23 | 13.1 |
Redeemable Noncontrolling Interests [Member] | ' | ' | ' | ' |
Other Comprehensive Income (Loss) | ' | ' | ' | ' |
Comprehensive income attributable to noncontrolling interests | $5.80 | $1.80 | $14.20 | $5.90 |
Condensed_Consolidated_Balance
Condensed Consolidated Balance Sheets (USD $) | Jun. 30, 2014 | Sep. 30, 2013 |
In Millions, unless otherwise specified | ||
Assets | ' | ' |
Cash and cash equivalents | $7,604.20 | $6,186 |
Receivables | 999.1 | 1,038.90 |
Investments | 2,615.40 | 2,439.20 |
Loans receivable, net | 3.7 | 229.7 |
Investments, at fair value | 1,833.90 | 1,892.70 |
Deferred taxes | 129.2 | 112.4 |
Property and equipment, net | 542.1 | 564.1 |
Goodwill and other intangible assets, net | 2,348.80 | 2,359.20 |
Other | 169.3 | 179.4 |
Total Assets | 16,691.90 | 15,390.30 |
Liabilities | ' | ' |
Compensation and benefits | 435.8 | 444.5 |
Accounts payable and accrued expenses | 302.6 | 273.7 |
Commissions | 458 | 437.7 |
Deposits | 664.2 | 586.8 |
Debt | 1,198.10 | 1,197.70 |
Debt of consolidated variable interest entities | 853.2 | 988.5 |
Debt of consolidated sponsored investment products | 138.9 | 108.9 |
Deferred taxes | 265 | 272.5 |
Other | 271.5 | 272.7 |
Total liabilities | 4,587.30 | 4,583 |
Commitments and Contingencies (Note 9) | ' | ' |
Redeemable Noncontrolling Interests | 183.7 | 121.8 |
Stockholders' Equity | ' | ' |
Preferred stock, $1.00 par value, 1,000,000 shares authorized; none issued | 0 | 0 |
Common stock, $0.10 par value, 1,000,000,000 shares authorized; 625,454,242 and 630,917,532 shares issued and outstanding at June 30, 2014 and September 30, 2013 | 62.5 | 63.1 |
Retained earnings | 11,191.50 | 9,991.20 |
Appropriated retained earnings of consolidated variable interest entities | 17.1 | 12.7 |
Accumulated other comprehensive income | 24.2 | 6.1 |
Total Franklin Resources, Inc. stockholders’ equity | 11,295.30 | 10,073.10 |
Nonredeemable noncontrolling interests | 625.6 | 612.4 |
Total stockholders’ equity | 11,920.90 | 10,685.50 |
Total Liabilities, Redeemable Noncontrolling Interests and Stockholders’ Equity | 16,691.90 | 15,390.30 |
Consolidated sponsored investment products [Member] | ' | ' |
Assets | ' | ' |
Cash and cash equivalents | 35.4 | 93.1 |
Receivables | 19.1 | 19.1 |
Investments, at fair value | 1,367.30 | 1,203.20 |
Other | 0.7 | 0.7 |
Total Assets | 1,422.50 | 1,316.10 |
Liabilities | ' | ' |
Accounts payable and accrued expenses | 25.4 | 25.2 |
Other | 11.3 | 8.5 |
Total liabilities | 175.6 | 142.6 |
Redeemable Noncontrolling Interests | 183.7 | 121.8 |
Stockholders' Equity | ' | ' |
Total Franklin Resources, Inc. stockholders’ equity | 454.1 | 454.8 |
Nonredeemable noncontrolling interests | 609.1 | 596.9 |
Total stockholders’ equity | 1,063.20 | 1,051.70 |
Total Liabilities, Redeemable Noncontrolling Interests and Stockholders’ Equity | 1,422.50 | 1,316.10 |
Consolidated variable interest entities [Member] | ' | ' |
Assets | ' | ' |
Cash and cash equivalents | 58 | 44 |
Receivables | 21.5 | 37.7 |
Investments, at fair value | 819.4 | 941.1 |
Other | 0 | 0 |
Total Assets | 898.9 | 1,022.80 |
Liabilities | ' | ' |
Accounts payable and accrued expenses | 21.2 | 10.9 |
Total liabilities | 874.4 | 999.4 |
Redeemable Noncontrolling Interests | 0 | 0 |
Stockholders' Equity | ' | ' |
Total Franklin Resources, Inc. stockholders’ equity | 24.5 | 23.4 |
Nonredeemable noncontrolling interests | 0 | 0 |
Total stockholders’ equity | 24.5 | 23.4 |
Total Liabilities, Redeemable Noncontrolling Interests and Stockholders’ Equity | $898.90 | $1,022.80 |
Condensed_Consolidated_Balance1
Condensed Consolidated Balance Sheets (Parenthetical) (USD $) | Jun. 30, 2014 | Sep. 30, 2013 |
In Millions, except Share data, unless otherwise specified | ||
Investments, at fair value | $1,833.90 | $1,892.70 |
Preferred stock, par value | $1 | $1 |
Preferred stock, shares authorized | 1,000,000 | 1,000,000 |
Preferred stock, shares issued | 0 | 0 |
Common stock, par value | $0.10 | $0.10 |
Common stock, shares authorized | 1,000,000,000 | 1,000,000,000 |
Common stock, shares issued | 625,454,242 | 630,917,532 |
Common stock, shares outstanding | 625,454,242 | 630,917,532 |
Condensed_Consolidated_Stateme2
Condensed Consolidated Statements of Cash Flows (USD $) | 9 Months Ended | |
In Millions, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 |
Net Income | $1,780.90 | $1,660.20 |
Adjustments to reconcile net income to net cash provided by operating activities: | ' | ' |
Amortization of deferred sales commissions | 97.2 | 102.8 |
Depreciation and other amortization | 72.9 | 70.5 |
Stock-based compensation | 96.9 | 86.2 |
Excess tax benefit from stock-based compensation | -8.1 | -16 |
Gains on sale of assets | -40 | -36.8 |
Income from investments in equity method investees | -68.2 | -54.3 |
Net gains on other investments of consolidated sponsored investment products | -18.2 | -59.7 |
Net (gains) losses of consolidated variable interest entities | -8.1 | 30.3 |
Other | -14.4 | 15.6 |
Changes in operating assets and liabilities: | ' | ' |
Increase in receivables, prepaid expenses and other | -133.7 | -188.2 |
Increase in trading securities, net | -77.6 | -70 |
Increase in trading securities of consolidated sponsored investment products, net | -448.9 | -101.9 |
Originations of loans held for sale | -38.3 | 0 |
Proceeds from sale of loans originated for resale | 38.4 | 0 |
Decrease in accrued compensation and benefits | -11.6 | -8.1 |
Increase in commissions payable | 20.3 | 50.8 |
Increase in income taxes payable | 3.4 | 26.7 |
Increase in other liabilities | 168 | 19.5 |
Net cash provided by operating activities | 1,410.90 | 1,527.60 |
Net cash provided by investing activities | ' | ' |
Purchase of investments | -205.4 | -222.2 |
Liquidation of investments | 410.4 | 444.5 |
Purchase of investments by consolidated sponsored investment products | -261.2 | -177.7 |
Liquidation of investments by consolidated sponsored investment products | 125.1 | 129.1 |
Purchase of investments by consolidated variable interest entities | -162.1 | -488.9 |
Liquidation of investments by consolidated variable interest entities | 340.2 | 519 |
Decrease in loans receivable, net | 36.8 | 7.5 |
Decrease in loans transferred to held for sale | 8.2 | 0 |
Proceeds from sale of loans transferred to held for sale | 181.3 | 0 |
Additions of property and equipment, net | -38.2 | -41.6 |
Acquisitions of subsidiaries, net of cash acquired | 0 | 3.9 |
Increase (decrease) in cash from net consolidation (deconsolidation) of sponsored investment products | -150.8 | 4 |
Net cash provided by investing activities | 284.3 | 177.6 |
Net cash provided by (used in) financing activities | ' | ' |
Increase in deposits | 76.3 | 42.5 |
Issuance of common stock | 20.4 | 28.8 |
Dividends paid on common stock | -215.3 | -821.1 |
Repurchase of common stock | -444.4 | -226.4 |
Excess tax benefit from stock-based compensation | 8.1 | 16 |
Payments on debt | 0 | -490.9 |
Proceeds from issuance of debt by consolidated sponsored investment products | 601.6 | 404.8 |
Payments on debt by consolidated sponsored investment products | -571.9 | -423.1 |
Payments on debt by consolidated variable interest entities | -160.6 | -143.3 |
Payments on contingent consideration liability | -4.8 | 0 |
Noncontrolling interests | 358.3 | 104.9 |
Net cash used in financing activities | -332.3 | -1,507.80 |
Effect of exchange rate changes on cash and cash equivalents | 11.6 | -16.7 |
Increase in cash and cash equivalents | 1,374.50 | 180.7 |
Cash and cash equivalents, beginning of period | 6,323.10 | 6,051.40 |
Cash and Cash Equivalents, End of Period | 7,697.60 | 6,232.10 |
Supplemental Disclosure of Non-Cash Activities | ' | ' |
Contingent consideration liabilities recognized due to acquisitions | 0 | 92 |
Increase in noncontrolling interests due to acquisition | 0 | 38.2 |
Supplemental Disclosure of Cash Flow Information | ' | ' |
Cash paid for income taxes | 767.3 | 622.7 |
Cash paid for interest | 33.1 | 40.1 |
Cash paid for interest by consolidated sponsored investment products and consolidated variable interest entities | $34.30 | $42 |
Basis_of_Presentation
Basis of Presentation | 9 Months Ended |
Jun. 30, 2014 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' |
Basis of Presentation | ' |
Basis of Presentation | |
The unaudited interim financial statements of Franklin Resources, Inc. (“Franklin”) and its consolidated subsidiaries (collectively, the “Company”) included herein have been prepared by the Company in accordance with the instructions to Form 10-Q and the rules and regulations of the U.S. Securities and Exchange Commission (the “SEC”). Under these rules and regulations, some information and footnote disclosures normally included in financial statements prepared under accounting principles generally accepted in the United States of America (“U.S. GAAP”) have been shortened or omitted. Management believes that all adjustments necessary for a fair statement of the financial position and the results of operations for the periods shown have been made. All adjustments are normal and recurring. These financial statements should be read together with the Company’s audited financial statements included in its Form 10-K for the fiscal year ended September 30, 2013 (“fiscal year 2013”). Certain amounts for the comparative prior fiscal year period have been reclassified to conform to the financial statement presentation as of and for the period ended June 30, 2014. |
New_Accounting_Guidance
New Accounting Guidance | 9 Months Ended |
Jun. 30, 2014 | |
New Accounting Pronouncements and Changes in Accounting Principles [Abstract] | ' |
New Accounting Guidance | ' |
New Accounting Guidance | |
Recently Adopted Accounting Guidance | |
On October 1, 2013, the Company adopted new Financial Accounting Standards Board (“FASB”) guidance that requires an entity to report significant reclassifications out of accumulated other comprehensive income by component either on the face of the financial statements or in the notes. See Note 12 – Accumulated Other Comprehensive Income for the expanded disclosures. | |
New Accounting Guidance Not Yet Adopted | |
In May 2014, the FASB issued new guidance that requires use of a single principles-based model for recognition of revenue from contracts with customers. The core principle of the model is that revenue is recognized upon the transfer of promised goods or services to customers in an amount that reflects the expected consideration to be received for the goods or services. The guidance allows for either a full retrospective or modified approach at adoption, and is effective for the Company in the first quarter of the fiscal year ending September 30, 2018. The Company is currently evaluating the impact that the adoption of the guidance will have on its consolidated financial statements. |
Stockholders_Equity_and_Redeem
Stockholders' Equity and Redeemable Noncontrolling Interests | 9 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Stockholders' Equity Note [Abstract] | ' | ||||||||||||||||
Stockholders' Equity and Redeemable Noncontrolling Interests | ' | ||||||||||||||||
Stockholders’ Equity and Redeemable Noncontrolling Interests | |||||||||||||||||
The changes in total stockholders’ equity and redeemable noncontrolling interests were as follows: | |||||||||||||||||
(in millions) | Franklin | Nonredeemable | Total | Redeemable | |||||||||||||
Resources, Inc. | Noncontrolling | Stockholders’ | Noncontrolling | ||||||||||||||
Stockholders’ | Interests | Equity | Interests | ||||||||||||||
for the nine months ended June 30, 2014 | Equity | ||||||||||||||||
Balance at October 1, 2013 | $ | 10,073.10 | $ | 612.4 | $ | 10,685.50 | $ | 121.8 | |||||||||
Net income | 1,743.70 | 23 | 1,766.70 | 14.2 | |||||||||||||
Net income reclassified to appropriated retained earnings | 4.4 | (4.4 | ) | — | |||||||||||||
Other comprehensive income | 18.1 | 18.1 | |||||||||||||||
Cash dividends on common stock | (226.7 | ) | (226.7 | ) | |||||||||||||
Repurchase of common stock | (444.4 | ) | (444.4 | ) | |||||||||||||
Noncontrolling interests | |||||||||||||||||
Net subscriptions (redemptions/distributions) | (5.4 | ) | (5.4 | ) | 363.7 | ||||||||||||
Net deconsolidation of sponsored investment products | — | — | (316.0 | ) | |||||||||||||
Other1 | 127.1 | 127.1 | |||||||||||||||
Balance at June 30, 2014 | $ | 11,295.30 | $ | 625.6 | $ | 11,920.90 | $ | 183.7 | |||||||||
__________________ | |||||||||||||||||
1 | Primarily relates to stock-based compensation plans. | ||||||||||||||||
(in millions) | Franklin | Nonredeemable | Total | Redeemable | |||||||||||||
Resources, Inc. | Noncontrolling | Stockholders’ | Noncontrolling | ||||||||||||||
Stockholders’ | Interests | Equity | Interests | ||||||||||||||
for the nine months ended June 30, 2013 | Equity | ||||||||||||||||
Balance at October 1, 2012 | $ | 9,201.30 | $ | 559.2 | $ | 9,760.50 | $ | 26.7 | |||||||||
Net income | 1,641.20 | 13.1 | 1,654.30 | 5.9 | |||||||||||||
Net loss reclassified to appropriated retained earnings | (32.3 | ) | 32.3 | — | |||||||||||||
Other comprehensive loss | (110.4 | ) | (110.4 | ) | |||||||||||||
Cash dividends on common stock | (825.5 | ) | (825.5 | ) | |||||||||||||
Repurchase of common stock | (226.4 | ) | (226.4 | ) | |||||||||||||
Noncontrolling interests | |||||||||||||||||
Net subscriptions | 65.1 | 65.1 | 39.8 | ||||||||||||||
Net consolidation (deconsolidation) of sponsored investment products | 4.4 | 4.4 | (41.4 | ) | |||||||||||||
Acquisition | 5.4 | 5.4 | 32.8 | ||||||||||||||
Reclassification | (57.0 | ) | (57.0 | ) | 57 | ||||||||||||
Other1 | 131.9 | 131.9 | |||||||||||||||
Balance at June 30, 2013 | $ | 9,779.80 | $ | 622.5 | $ | 10,402.30 | $ | 120.8 | |||||||||
__________________ | |||||||||||||||||
1 | Primarily relates to stock-based compensation plans. | ||||||||||||||||
The reclassification of $57.0 million of noncontrolling interests from nonredeemable to redeemable during the nine months ended June 30, 2013 relates to a consolidated sponsored investment product (“SIP”) which is redeemable on a monthly basis without restriction. | |||||||||||||||||
During the three and nine months ended June 30, 2014, the Company repurchased 2.4 million and 8.3 million shares of its common stock at a cost of $128.5 million and $444.4 million under its stock repurchase program. In December 2013, the Company’s Board of Directors authorized the repurchase of up to 30.0 million additional shares of its common stock under the stock repurchase program. At June 30, 2014, 33.0 million shares remained available for repurchase under the program, which is not subject to an expiration date. During the three and nine months ended June 30, 2013, the Company repurchased 2.2 million and 4.9 million shares of its common stock at a cost of $105.1 million and $226.4 million. |
Earnings_per_Share
Earnings per Share | 9 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Earnings Per Share [Abstract] | ' | ||||||||||||||||
Earnings per Share | ' | ||||||||||||||||
Earnings per Share | |||||||||||||||||
The components of basic and diluted earnings per share were as follows: | |||||||||||||||||
(in millions, except per share data) | Three Months Ended | Nine Months Ended | |||||||||||||||
June 30, | June 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Net Income Attributable to Franklin Resources, Inc. | $ | 578.9 | $ | 552.3 | $ | 1,743.70 | $ | 1,641.20 | |||||||||
Less: Allocation of earnings to participating nonvested stock and stock unit awards | 3.9 | 4 | 11.2 | 11.2 | |||||||||||||
Net Income Available to Common Stockholders | $ | 575 | $ | 548.3 | $ | 1,732.50 | $ | 1,630.00 | |||||||||
Weighted-average shares outstanding – basic | 623.2 | 633.6 | 625.8 | 634 | |||||||||||||
Effect of dilutive common stock options and non-participating nonvested stock unit awards | 0.4 | 0.7 | 0.5 | 0.9 | |||||||||||||
Weighted-Average Shares Outstanding – Diluted | 623.6 | 634.3 | 626.3 | 634.9 | |||||||||||||
Earnings per Share | |||||||||||||||||
Basic | $ | 0.92 | $ | 0.87 | $ | 2.77 | $ | 2.57 | |||||||||
Diluted | 0.92 | 0.86 | 2.77 | 2.57 | |||||||||||||
Non-participating nonvested stock unit awards excluded from the calculation of diluted earnings per share because their effect would have been anti-dilutive were 0.1 million for the three and nine months ended June 30, 2014, and nil for the three and nine months ended June 30, 2013. |
Investments
Investments | 9 Months Ended | ||||||||||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||||||||||
Investments [Abstract] | ' | ||||||||||||||||||||||||
Investments | ' | ||||||||||||||||||||||||
Investments | |||||||||||||||||||||||||
The disclosures below include details of the Company’s investments, excluding those of consolidated variable interest entities (“VIEs”) and consolidated SIPs. See Note 8 – Variable Interest Entities and Consolidated Sponsored Investment Products for information related to the investments held by these entities. | |||||||||||||||||||||||||
Investments consisted of the following: | |||||||||||||||||||||||||
(in millions) | June 30, | September 30, | |||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||
Investment securities, trading | $ | 1,277.40 | $ | 1,196.70 | |||||||||||||||||||||
Investment securities, available-for-sale | |||||||||||||||||||||||||
SIPs | 504.9 | 534.6 | |||||||||||||||||||||||
Securities of U.S. states and political subdivisions | 11.5 | 23.1 | |||||||||||||||||||||||
Securities of the U.S. Treasury and federal agencies | 0.7 | 2.3 | |||||||||||||||||||||||
Mortgage-backed securities – agency residential1 | 18.8 | 110.9 | |||||||||||||||||||||||
Other equity securities | 6.8 | 11.3 | |||||||||||||||||||||||
Total investment securities, available-for-sale | 542.7 | 682.2 | |||||||||||||||||||||||
Investments in equity method investees | 700.5 | 485.4 | |||||||||||||||||||||||
Other investments | 94.8 | 74.9 | |||||||||||||||||||||||
Total | $ | 2,615.40 | $ | 2,439.20 | |||||||||||||||||||||
__________________ | |||||||||||||||||||||||||
1 | Consist of U.S. government-sponsored enterprise obligations. | ||||||||||||||||||||||||
At June 30, 2014 and September 30, 2013, investment securities with aggregate carrying amounts of $14.7 million and $28.4 million were pledged as collateral for amounts available in secured Federal Home Loan Bank (“FHLB”) short-term borrowing capacity, $6.3 million and $7.1 million were pledged as collateral for the ability to borrow from uncommitted short-term bank lines of credit, and nil and $82.5 million were pledged as collateral for the ability to borrow from the Federal Reserve Bank (see Note 7 - Debt). | |||||||||||||||||||||||||
A summary of the gross unrealized gains and losses relating to investment securities, available-for-sale is as follows: | |||||||||||||||||||||||||
(in millions) | Gross Unrealized | ||||||||||||||||||||||||
as of June 30, 2014 | Cost Basis | Gains | Losses | Fair Value | |||||||||||||||||||||
SIPs | $ | 435.5 | $ | 70.7 | $ | (1.3 | ) | $ | 504.9 | ||||||||||||||||
Securities of U.S. states and political subdivisions | 11.1 | 0.4 | — | 11.5 | |||||||||||||||||||||
Securities of the U.S. Treasury and federal agencies | 0.7 | — | — | 0.7 | |||||||||||||||||||||
Mortgage-backed securities – agency residential | 18.9 | — | (0.1 | ) | 18.8 | ||||||||||||||||||||
Other equity securities | 6.6 | 0.2 | — | 6.8 | |||||||||||||||||||||
Total | $ | 472.8 | $ | 71.3 | $ | (1.4 | ) | $ | 542.7 | ||||||||||||||||
(in millions) | Gross Unrealized | ||||||||||||||||||||||||
as of September 30, 2013 | Cost Basis | Gains | Losses | Fair Value | |||||||||||||||||||||
SIPs | $ | 465.4 | $ | 71.7 | $ | (2.5 | ) | $ | 534.6 | ||||||||||||||||
Securities of U.S. states and political subdivisions | 22.3 | 0.8 | — | 23.1 | |||||||||||||||||||||
Securities of the U.S. Treasury and federal agencies | 2.3 | — | — | 2.3 | |||||||||||||||||||||
Mortgage-backed securities – agency residential | 108.9 | 2 | — | 110.9 | |||||||||||||||||||||
Other equity securities | 10.9 | 0.4 | — | 11.3 | |||||||||||||||||||||
Total | $ | 609.8 | $ | 74.9 | $ | (2.5 | ) | $ | 682.2 | ||||||||||||||||
The following tables show the gross unrealized losses and fair values of available-for-sale securities with unrealized losses aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position: | |||||||||||||||||||||||||
Less Than 12 Months | 12 Months or Greater | Total | |||||||||||||||||||||||
(in millions) | Fair Value | Gross | Fair Value | Gross | Fair Value | Gross | |||||||||||||||||||
Unrealized | Unrealized | Unrealized | |||||||||||||||||||||||
as of June 30, 2014 | Losses | Losses | Losses | ||||||||||||||||||||||
SIPs | $ | 6.8 | $ | (0.1 | ) | $ | 7.4 | $ | (1.2 | ) | $ | 14.2 | $ | (1.3 | ) | ||||||||||
Mortgage-backed securities – agency residential | 16.4 | (0.1 | ) | — | — | 16.4 | (0.1 | ) | |||||||||||||||||
Total | $ | 23.2 | $ | (0.2 | ) | $ | 7.4 | $ | (1.2 | ) | $ | 30.6 | $ | (1.4 | ) | ||||||||||
Less Than 12 Months | 12 Months or Greater | Total | |||||||||||||||||||||||
(in millions) | Fair Value | Gross | Fair Value | Gross | Fair Value | Gross | |||||||||||||||||||
Unrealized | Unrealized | Unrealized | |||||||||||||||||||||||
as of September 30, 2013 | Losses | Losses | Losses | ||||||||||||||||||||||
SIPs | $ | 50.3 | $ | (2.4 | ) | $ | 1.4 | $ | (0.1 | ) | $ | 51.7 | $ | (2.5 | ) | ||||||||||
The Company did not recognize any other-than-temporary impairment of investments during the three months ended June 30, 2014. During the nine months ended June 30, 2014, the Company recognized $0.6 million of other-than-temporary impairment, of which $0.4 million related to available-for-sale SIPs. The Company recognized $0.8 million and $1.8 million of other-than-temporary impairment during the three and nine months ended June 30, 2013, all of which related to available-for-sale SIPs except for $0.7 million during the nine-month period related to other investments. | |||||||||||||||||||||||||
At June 30, 2014, contractual maturities of available-for-sale debt securities were as follows: | |||||||||||||||||||||||||
(in millions) | Cost Basis | Fair Value | |||||||||||||||||||||||
Due in one year or less | $ | 4 | $ | 4 | |||||||||||||||||||||
Due after one year through five years | 7.8 | 8.2 | |||||||||||||||||||||||
Total | $ | 11.8 | $ | 12.2 | |||||||||||||||||||||
Mortgage-backed securities are not included in the table above as their actual maturities may differ from contractual maturities because issuers may have the right to call or prepay obligations. |
Fair_Value_Measurements
Fair Value Measurements | 9 Months Ended | ||||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||||
Fair Value Measurements | ' | ||||||||||||||||||
Fair Value Measurements | |||||||||||||||||||
The disclosures below include details of the Company’s fair value measurements, excluding those of consolidated VIEs and consolidated SIPs. See Note 8 – Variable Interest Entities and Consolidated Sponsored Investment Products for information related to fair value measurements of the assets and liabilities of these entities. | |||||||||||||||||||
The Company uses a three-level fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value based on whether the inputs to those valuation techniques are observable or unobservable. The three levels of fair value hierarchy are set forth below. The Company’s assessment of the hierarchy level of the assets and liabilities measured at fair value is determined based on the lowest level input that is significant to the fair value measurement in its entirety. | |||||||||||||||||||
Level 1 | Unadjusted quoted prices in active markets for identical assets or liabilities. | ||||||||||||||||||
Level 2 | Observable inputs other than Level 1 quoted prices, such as non-binding quoted prices for similar assets or liabilities in active markets; quoted prices for identical or similar assets or liabilities in markets that are not active; or inputs other than quoted prices that are observable or corroborated by observable market data. Level 2 quoted prices are generally obtained from two independent third-party brokers or dealers, including prices derived from model-based valuation techniques for which the significant assumptions are observable in the market or corroborated by observable market data. Quoted prices are validated through price variance analysis, subsequent sales testing, stale price review, price comparison across pricing vendors and due diligence reviews of third-party vendors. | ||||||||||||||||||
Level 3 | Unobservable inputs that are supported by little or no market activity. These inputs require significant management judgment and reflect the Company’s estimation of assumptions that market participants would use in pricing the asset or liability. | ||||||||||||||||||
Assets and liabilities measured at fair value on a recurring basis were as follows: | |||||||||||||||||||
(in millions) | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||
as of June 30, 2014 | |||||||||||||||||||
Assets | |||||||||||||||||||
Investment securities, trading | $ | 1,195.40 | $ | 82 | $ | — | $ | 1,277.40 | |||||||||||
Investment securities, available-for-sale | |||||||||||||||||||
SIPs | 504.9 | — | — | 504.9 | |||||||||||||||
Securities of U.S. states and political subdivisions | — | 11.5 | — | 11.5 | |||||||||||||||
Securities of the U.S. Treasury and federal agencies | — | 0.7 | — | 0.7 | |||||||||||||||
Mortgage-backed securities – agency residential | — | 18.8 | — | 18.8 | |||||||||||||||
Other equity securities | 2 | 4.8 | — | 6.8 | |||||||||||||||
Life settlement contracts | — | — | 13.8 | 13.8 | |||||||||||||||
Total Assets Measured at Fair Value | $ | 1,702.30 | $ | 117.8 | $ | 13.8 | $ | 1,833.90 | |||||||||||
Liabilities | |||||||||||||||||||
Contingent consideration liabilities | $ | — | $ | — | $ | 98.8 | $ | 98.8 | |||||||||||
(in millions) | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||
as of September 30, 2013 | |||||||||||||||||||
Assets | |||||||||||||||||||
Investment securities, trading | $ | 1,121.50 | $ | 75.2 | $ | — | $ | 1,196.70 | |||||||||||
Investment securities, available-for-sale | |||||||||||||||||||
SIPs | 534.6 | — | — | 534.6 | |||||||||||||||
Securities of U.S. states and political subdivisions | — | 23.1 | — | 23.1 | |||||||||||||||
Securities of the U.S. Treasury and federal agencies | — | 2.3 | — | 2.3 | |||||||||||||||
Mortgage-backed securities – agency residential | — | 110.9 | — | 110.9 | |||||||||||||||
Other equity securities | 11.3 | — | — | 11.3 | |||||||||||||||
Life settlement contracts | — | — | 13.8 | 13.8 | |||||||||||||||
Total Assets Measured at Fair Value | $ | 1,667.40 | $ | 211.5 | $ | 13.8 | $ | 1,892.70 | |||||||||||
Liabilities | |||||||||||||||||||
Contingent consideration liabilities | $ | — | $ | — | $ | 97.7 | $ | 97.7 | |||||||||||
The fair values of substantially all trading investments, all available-for-sale SIPs and certain other equity securities are determined based on their published net asset values. The fair values of certain trading investments, all available-for-sale debt securities and certain other equity securities are determined using quoted market prices, if available, or independent third-party broker or dealer price quotes, which are evaluated for reasonableness. The fair value of life settlement contracts is determined using a discounted cash flow valuation technique. | |||||||||||||||||||
The fair value of contingent consideration liabilities is determined using an income-based method which considers the net present value of anticipated future cash flows. Substantially all of the balance relates to the Company’s commitment to acquire the remaining interests in K2 Advisors Holdings, LLC. There were no transfers between Level 1 and Level 2, or into or out of Level 3, during the three and nine months ended June 30, 2014 and 2013. | |||||||||||||||||||
The changes in Level 3 assets and liabilities measured at fair value on a recurring basis were as follows: | |||||||||||||||||||
2014 | 2013 | ||||||||||||||||||
(in millions) | Investments | Contingent | Investments | Contingent | |||||||||||||||
Consideration | Consideration | ||||||||||||||||||
for the three months ended June 30, | Liabilities | Liabilities | |||||||||||||||||
Balance at beginning of period | $ | 13.6 | $ | (104.2 | ) | $ | 13.4 | $ | (90.0 | ) | |||||||||
Acquisition | — | — | — | (1.4 | ) | ||||||||||||||
Total realized and unrealized gains (losses) | |||||||||||||||||||
Included in investment and other income, net | 0.7 | — | 0.7 | — | |||||||||||||||
Included in general, administrative and other expense | — | 3.3 | — | (5.1 | ) | ||||||||||||||
Other | — | 0.1 | — | (0.3 | ) | ||||||||||||||
Purchases | — | — | 0.4 | — | |||||||||||||||
Settlements | (0.5 | ) | 2 | (0.8 | ) | — | |||||||||||||
Balance at End of Period | $ | 13.8 | $ | (98.8 | ) | $ | 13.7 | $ | (96.8 | ) | |||||||||
Change in unrealized gains (losses) included in net income relating to assets and liabilities held at end of period | $ | 0.3 | $ | 3.4 | $ | 0.3 | $ | (5.4 | ) | ||||||||||
2014 | 2013 | ||||||||||||||||||
(in millions) | Investments | Contingent | Investments | Contingent | |||||||||||||||
Consideration | Consideration | ||||||||||||||||||
for the nine months ended June 30, | Liabilities | Liabilities | |||||||||||||||||
Balance at beginning of period | $ | 13.8 | $ | (97.7 | ) | $ | 14.8 | $ | — | ||||||||||
Acquisitions | — | — | — | (92.0 | ) | ||||||||||||||
Total realized and unrealized gains (losses) | |||||||||||||||||||
Included in investment and other income, net | 2.4 | — | 1.6 | — | |||||||||||||||
Included in general, administrative and other expense | — | (5.6 | ) | — | (7.3 | ) | |||||||||||||
Other | — | (0.3 | ) | — | (0.5 | ) | |||||||||||||
Purchases | 0.1 | — | 1.1 | — | |||||||||||||||
Sales | (0.7 | ) | — | (1.6 | ) | — | |||||||||||||
Settlements | (1.8 | ) | 4.8 | (2.2 | ) | 3 | |||||||||||||
Balance at End of Period | $ | 13.8 | $ | (98.8 | ) | $ | 13.7 | $ | (96.8 | ) | |||||||||
Change in unrealized gains (losses) included in net income relating to assets and liabilities held at end of period | $ | 0.9 | $ | (5.9 | ) | $ | 1 | $ | (7.8 | ) | |||||||||
The valuation techniques and significant unobservable inputs used in recurring Level 3 fair value measurements were as follows: | |||||||||||||||||||
(in millions) | |||||||||||||||||||
as of June 30, 2014 | Fair Value | Valuation Technique | Significant Unobservable Inputs | Range (Weighted Average) | |||||||||||||||
Life settlement contracts | $ | 13.8 | Discounted cash flow | Life expectancy | 24–153 months (73) | ||||||||||||||
Discount rate | 3.3%–21.7% (11.7%) | ||||||||||||||||||
Contingent consideration liabilities | 98.8 | Discounted cash flow | AUM growth rate | 5.4%–23.0% (12.0%) | |||||||||||||||
EBITDA margin | 23.7% - 34.4% (30.5%) | ||||||||||||||||||
Discount rate | 14.00% | ||||||||||||||||||
(in millions) | |||||||||||||||||||
as of September 30, 2013 | Fair Value | Valuation Technique | Significant Unobservable Inputs | Range (Weighted Average) | |||||||||||||||
Life settlement contracts | $ | 13.8 | Discounted cash flow | Life expectancy | 25–160 months (76) | ||||||||||||||
Discount rate | 3.3%–21.7% (11.7%) | ||||||||||||||||||
Contingent consideration liabilities | 97.7 | Discounted cash flow | AUM growth rate | 6.0%–25.0% (14.6%) | |||||||||||||||
EBITDA margin | 26.4% - 38.9% (34.4%) | ||||||||||||||||||
Discount rate | 14.00% | ||||||||||||||||||
For life settlement contracts, a significant increase (decrease) in the life expectancy or the discount rate in isolation would result in a significantly lower (higher) fair value measurement. | |||||||||||||||||||
For contingent consideration liabilities, a significant increase (decrease) in the AUM growth rate or EBITDA margin, or decrease (increase) in the discount rate, in isolation would result in a significantly higher (lower) fair value measurement. | |||||||||||||||||||
Financial instruments that were not measured at fair value were as follows: | |||||||||||||||||||
(in millions) | June 30, 2014 | September 30, 2013 | |||||||||||||||||
Fair Value | Carrying | Estimated | Carrying | Estimated | |||||||||||||||
Level | Value | Fair Value | Value | Fair Value | |||||||||||||||
Financial Assets | |||||||||||||||||||
Cash and cash equivalents | 1 | $ | 7,604.20 | $ | 7,604.20 | $ | 6,186.00 | $ | 6,186.00 | ||||||||||
Other investments1 | 2 or 3 | 81 | 92.4 | 61.1 | 69.2 | ||||||||||||||
Loans receivable, net | 2 | 3.7 | 3.9 | 229.7 | 230.1 | ||||||||||||||
Financial Liabilities | |||||||||||||||||||
Deposits | 2 | $ | 664.2 | $ | 664.2 | $ | 586.8 | $ | 587.2 | ||||||||||
Debt | 2 | 1,198.10 | 1,244.40 | 1,197.70 | 1,221.50 | ||||||||||||||
_________________ | |||||||||||||||||||
1 Primarily consist of Level 3 assets. |
Debt
Debt | 9 Months Ended | |||||||||||
Jun. 30, 2014 | ||||||||||||
Debt Disclosure [Abstract] | ' | |||||||||||
Debt | ' | |||||||||||
Debt | ||||||||||||
The disclosures below include details of the Company’s debt, excluding that of consolidated VIEs and consolidated SIPs. See Note 8 – Variable Interest Entities and Consolidated Sponsored Investment Products for information related to the debt of these entities. | ||||||||||||
Debt consisted of the following: | ||||||||||||
(in millions) | June 30, | 30-Sep-13 | Effective | |||||||||
2014 | Interest Rate | |||||||||||
$250 million 3.125% notes due May 2015 | $ | 250 | $ | 249.9 | 3.32 | % | ||||||
$300 million 1.375% notes due September 2017 | 298.9 | 298.7 | 1.66 | % | ||||||||
$350 million 4.625% notes due May 2020 | 349.8 | 349.7 | 4.74 | % | ||||||||
$300 million 2.800% notes due September 2022 | 299.4 | 299.4 | 2.93 | % | ||||||||
Total Debt | $ | 1,198.10 | $ | 1,197.70 | ||||||||
At June 30, 2014, the Company’s outstanding senior unsecured and unsubordinated notes had an aggregate face value of $1.2 billion. The notes have fixed interest rates with interest payable semi-annually and contain an optional redemption feature that allows the Company to redeem each series of notes prior to maturity in whole or in part at any time, at a make-whole redemption price. The indentures governing the notes contain limitations on the Company’s ability and the ability of its subsidiaries to pledge voting stock or profit participating equity interests in its subsidiaries to secure other debt without similarly securing the notes equally and ratably. The indentures also include requirements that must be met if the Company consolidates or merges with, or sells all or substantially all of its assets to, another entity. At June 30, 2014, the Company was in compliance with the covenants of the notes. | ||||||||||||
At June 30, 2014, maturities for debt were as follows: | ||||||||||||
(in millions) | Amount | |||||||||||
for the fiscal years ending September 30, | ||||||||||||
2014 | $ | — | ||||||||||
2015 | 250 | |||||||||||
2016 | — | |||||||||||
2017 | 298.9 | |||||||||||
2018 | — | |||||||||||
Thereafter | 649.2 | |||||||||||
Total | $ | 1,198.10 | ||||||||||
At June 30, 2014, the Company had $500.0 million of short-term commercial paper available for issuance under an uncommitted private placement program which has been inactive since April 2012, $260.0 million available in uncommitted short-term bank lines of credit under the Federal Reserve System, $14.1 million available in an uncommitted short-term bank line of credit and $14.0 million available in secured FHLB short-term borrowing capacity. On July 11, 2014, the Company closed its account at the Federal Reserve Bank of New York resulting in the termination of its bank lines of credit under the Federal Reserve System and its ability to borrow through the secured Federal Reserve Bank short-term discount window. |
Variable_Interest_Entities_and
Variable Interest Entities and Consolidated Sponsored Investment Products | 9 Months Ended | ||||||||||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||||||||||
Variable Interest Entities and Consolidated Sponsored Investment Products [Abstract] | ' | ||||||||||||||||||||||||
Variable Interest Entities and Consolidated Sponsored Investment Products | ' | ||||||||||||||||||||||||
Variable Interest Entities and Consolidated Sponsored Investment Products | |||||||||||||||||||||||||
The Company sponsors and manages various types of investment products, which consist of both VIEs and non-VIEs. The Company consolidates the VIE products for which it is the primary beneficiary and the non-VIE products which it controls. The Company has no right to the consolidated products’ assets, other than its direct equity investment in them, and/or investment management fees earned from them. The debt holders of these consolidated entities have no recourse to the Company’s assets beyond the level of its direct investment, therefore the Company bears no other risks associated with the entities’ liabilities. | |||||||||||||||||||||||||
The balances of consolidated VIEs and consolidated SIPs included in the Company’s condensed consolidated balance sheets were as follows: | |||||||||||||||||||||||||
30-Jun-14 | 30-Sep-13 | ||||||||||||||||||||||||
Consolidated | Consolidated | ||||||||||||||||||||||||
(in millions) | VIEs | SIPs | Total | VIEs | SIPs | Total | |||||||||||||||||||
Assets | |||||||||||||||||||||||||
Cash and cash equivalents | $ | 58 | $ | 35.4 | $ | 93.4 | $ | 44 | $ | 93.1 | $ | 137.1 | |||||||||||||
Receivables | 21.5 | 19.1 | 40.6 | 37.7 | 19.1 | 56.8 | |||||||||||||||||||
Investments, at fair value | 819.4 | 1,367.30 | 2,186.70 | 941.1 | 1,203.20 | 2,144.30 | |||||||||||||||||||
Other assets | — | 0.7 | 0.7 | — | 0.7 | 0.7 | |||||||||||||||||||
Total Assets | $ | 898.9 | $ | 1,422.50 | $ | 2,321.40 | $ | 1,022.80 | $ | 1,316.10 | $ | 2,338.90 | |||||||||||||
Liabilities | |||||||||||||||||||||||||
Accounts payable and accrued expenses | $ | 21.2 | $ | 25.4 | $ | 46.6 | $ | 10.9 | $ | 25.2 | $ | 36.1 | |||||||||||||
Debt, at fair value | 853.2 | — | 853.2 | 988.5 | — | 988.5 | |||||||||||||||||||
Debt | — | 138.9 | 138.9 | — | 108.9 | 108.9 | |||||||||||||||||||
Other liabilities | — | 11.3 | 11.3 | — | 8.5 | 8.5 | |||||||||||||||||||
Total liabilities | 874.4 | 175.6 | 1,050.00 | 999.4 | 142.6 | 1,142.00 | |||||||||||||||||||
Redeemable Noncontrolling Interests | — | 183.7 | 183.7 | — | 121.8 | 121.8 | |||||||||||||||||||
Stockholders’ Equity | |||||||||||||||||||||||||
Franklin Resources, Inc.’s interests | 24.5 | 454.1 | 478.6 | 23.4 | 454.8 | 478.2 | |||||||||||||||||||
Nonredeemable noncontrolling interests | — | 609.1 | 609.1 | — | 596.9 | 596.9 | |||||||||||||||||||
Total stockholders’ equity | 24.5 | 1,063.20 | 1,087.70 | 23.4 | 1,051.70 | 1,075.10 | |||||||||||||||||||
Total Liabilities, Redeemable Noncontrolling Interests and Stockholders’ Equity | $ | 898.9 | $ | 1,422.50 | $ | 2,321.40 | $ | 1,022.80 | $ | 1,316.10 | $ | 2,338.90 | |||||||||||||
The consolidated VIEs and consolidated SIPs did not have a significant impact on net income attributable to the Company during the three and nine months ended June 30, 2014 and 2013. | |||||||||||||||||||||||||
Consolidated VIEs | |||||||||||||||||||||||||
Consolidated VIEs consist of sponsored collateralized loan obligations (“CLOs”), which are asset-backed financing entities collateralized by a pool of corporate debt securities. | |||||||||||||||||||||||||
The assets and liabilities of the CLOs are carried at fair value. Changes in the fair values were as follows: | |||||||||||||||||||||||||
Three Months Ended | Nine Months Ended | ||||||||||||||||||||||||
June 30, | June 30, | ||||||||||||||||||||||||
(in millions) | 2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||
Net gains from changes in fair value of assets | $ | 7.1 | $ | 17.2 | $ | 31.5 | $ | 58.3 | |||||||||||||||||
Net losses from changes in fair value of liabilities | (7.6 | ) | (18.1 | ) | (24.1 | ) | (86.0 | ) | |||||||||||||||||
Total Net Gains (Losses) | $ | (0.5 | ) | $ | (0.9 | ) | $ | 7.4 | $ | (27.7 | ) | ||||||||||||||
The following tables present information on the investments and debt of the CLOs: | |||||||||||||||||||||||||
(in millions) | Total Investments | Debt | |||||||||||||||||||||||
as of June 30, 2014 | |||||||||||||||||||||||||
Unpaid principal balance | $ | 816.3 | $ | 887.7 | |||||||||||||||||||||
Difference between unpaid principal balance and fair value | 3.1 | (34.5 | ) | ||||||||||||||||||||||
Fair Value | $ | 819.4 | $ | 853.2 | |||||||||||||||||||||
There were no investments 90 days or more past due at June 30, 2014. | |||||||||||||||||||||||||
(in millions) | Total Investments | Investments | Debt | ||||||||||||||||||||||
90 Days or More | |||||||||||||||||||||||||
as of September 30, 2013 | Past Due | ||||||||||||||||||||||||
Unpaid principal balance | $ | 943.6 | $ | 7.9 | $ | 1,017.80 | |||||||||||||||||||
Difference between unpaid principal balance and fair value | (2.5 | ) | (7.7 | ) | (29.3 | ) | |||||||||||||||||||
Fair Value | $ | 941.1 | $ | 0.2 | $ | 988.5 | |||||||||||||||||||
Consolidated SIPs | |||||||||||||||||||||||||
Consolidated SIPs consist of non-VIE limited partnerships and similar structures that the Company controls and other fund products in which the Company has a controlling financial interest. The Company consolidated 29 SIPs as of June 30, 2014, and 36 SIPs as of September 30, 2013. SIPs are typically consolidated when the Company makes an initial investment in a newly launched fund or limited partnership entity. They are deconsolidated when the Company redeems its investment in the SIP or its voting interests decrease to a minority percentage. The Company’s investments in SIPs subsequent to deconsolidation are accounted for as trading or available-for-sale investment securities, or equity method or cost method investments depending on the nature of the SIP and the Company’s level of ownership. | |||||||||||||||||||||||||
Investments | |||||||||||||||||||||||||
Investments of consolidated VIEs and consolidated SIPs consisted of the following: | |||||||||||||||||||||||||
30-Jun-14 | 30-Sep-13 | ||||||||||||||||||||||||
Consolidated | Consolidated | ||||||||||||||||||||||||
(in millions) | VIEs | SIPs | Total | VIEs | SIPs | Total | |||||||||||||||||||
Investment securities, trading | $ | — | $ | 241 | $ | 241 | $ | — | $ | 244.1 | $ | 244.1 | |||||||||||||
Other debt securities | 819.4 | 219.3 | 1,038.70 | 941.1 | 272.3 | 1,213.40 | |||||||||||||||||||
Other equity securities | — | 907 | 907 | — | 686.8 | 686.8 | |||||||||||||||||||
Total Investments | $ | 819.4 | $ | 1,367.30 | $ | 2,186.70 | $ | 941.1 | $ | 1,203.20 | $ | 2,144.30 | |||||||||||||
Investments of consolidated VIEs consist of corporate debt securities. Investment securities, trading held by consolidated SIPs consist of debt and equity securities that are traded in active markets. Other debt and equity securities held by consolidated SIPs primarily consist of direct investments in secured and unsecured debt securities and equity securities of entities in emerging markets, which are generally not traded in active markets. Other equity securities also include investments in funds that are not traded in active markets. | |||||||||||||||||||||||||
Debt | |||||||||||||||||||||||||
Debt of consolidated VIEs and consolidated SIPs consisted of the following: | |||||||||||||||||||||||||
June 30, | Effective | September 30, | Effective | ||||||||||||||||||||||
2014 | Interest | 2013 | Interest | ||||||||||||||||||||||
(in millions) | Rate | Rate | |||||||||||||||||||||||
Debt of consolidated VIEs, at fair value, due fiscal years 2018-2024 | $ | 853.2 | 1.4 | % | $ | 988.5 | 1.32 | % | |||||||||||||||||
Debt of consolidated SIPs due fiscal years 2014-2019 | 138.9 | 3.7 | % | 108.9 | 4.08 | % | |||||||||||||||||||
Total Debt | $ | 992.1 | $ | 1,097.40 | |||||||||||||||||||||
The debt of consolidated VIEs had floating interest rates ranging from 0.45% to 9.73% at June 30, 2014, and from 0.50% to 9.77% at September 30, 2013. | |||||||||||||||||||||||||
The debt of consolidated SIPs had both fixed and floating interest rates ranging from 2.19% to 5.89% at June 30, 2014, and from 2.45% to 5.83% at September 30, 2013. The repayment of amounts outstanding under the debt agreements is secured by the assets of the consolidated SIPs or a pledge of the right to call capital. | |||||||||||||||||||||||||
At June 30, 2014, contractual maturities for debt of consolidated VIEs and consolidated SIPs were as follows: | |||||||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||
for the fiscal years ending September 30, | |||||||||||||||||||||||||
2014 | $ | 65.6 | |||||||||||||||||||||||
2015 | — | ||||||||||||||||||||||||
2016 | — | ||||||||||||||||||||||||
2017 | 28.1 | ||||||||||||||||||||||||
2018 | 276.4 | ||||||||||||||||||||||||
Thereafter | 622 | ||||||||||||||||||||||||
Total | $ | 992.1 | |||||||||||||||||||||||
Fair Value Measurements | |||||||||||||||||||||||||
The tables below present the balances of assets and liabilities of consolidated VIEs and consolidated SIPs measured at fair value on a recurring basis. See Note 6 – Fair Value Measurements for information related to the three levels of fair value hierarchy. | |||||||||||||||||||||||||
(in millions) | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||||||
as of June 30, 2014 | |||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||
Cash and cash equivalents of consolidated VIEs | $ | 58 | $ | — | $ | — | $ | 58 | |||||||||||||||||
Receivables of consolidated VIEs | — | 21.5 | — | 21.5 | |||||||||||||||||||||
Investments of consolidated VIEs | — | 818.9 | 0.5 | 819.4 | |||||||||||||||||||||
Investments of consolidated SIPs | |||||||||||||||||||||||||
Debt securities | 0.9 | 96.8 | 219.9 | 317.6 | |||||||||||||||||||||
Equity securities | 144.1 | 276.7 | 628.9 | 1,049.70 | |||||||||||||||||||||
Total Assets Measured at Fair Value | $ | 203 | $ | 1,213.90 | $ | 849.3 | $ | 2,266.20 | |||||||||||||||||
Liabilities | |||||||||||||||||||||||||
Accounts payable and accrued expenses of consolidated VIEs | $ | — | $ | 21.2 | $ | — | $ | 21.2 | |||||||||||||||||
Debt of consolidated VIEs | — | 805.2 | 48 | 853.2 | |||||||||||||||||||||
Other liabilities of consolidated SIPs | 3.7 | — | — | 3.7 | |||||||||||||||||||||
Total Liabilities Measured at Fair Value | $ | 3.7 | $ | 826.4 | $ | 48 | $ | 878.1 | |||||||||||||||||
(in millions) | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||||||
as of September 30, 2013 | |||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||
Cash and cash equivalents of consolidated VIEs | $ | 44 | $ | — | $ | — | $ | 44 | |||||||||||||||||
Receivables of consolidated VIEs | — | 37.7 | — | 37.7 | |||||||||||||||||||||
Investments of consolidated VIEs | — | 940.6 | 0.5 | 941.1 | |||||||||||||||||||||
Investments of consolidated SIPs | |||||||||||||||||||||||||
Debt securities | 4.5 | 83.8 | 272.3 | 360.6 | |||||||||||||||||||||
Equity securities | 158.1 | 213.6 | 470.9 | 842.6 | |||||||||||||||||||||
Total Assets Measured at Fair Value | $ | 206.6 | $ | 1,275.70 | $ | 743.7 | $ | 2,226.00 | |||||||||||||||||
Liabilities | |||||||||||||||||||||||||
Accounts payable and accrued expenses of consolidated VIEs | $ | — | $ | 10.9 | $ | — | $ | 10.9 | |||||||||||||||||
Debt of consolidated VIEs | — | 928.8 | 59.7 | 988.5 | |||||||||||||||||||||
Total Liabilities Measured at Fair Value | $ | — | $ | 939.7 | $ | 59.7 | $ | 999.4 | |||||||||||||||||
The fair value of cash and cash equivalents of consolidated VIEs is based on quoted market prices. The fair values of the other assets and liabilities of consolidated VIEs are primarily obtained from independent third-party broker or dealer price quotes. The fair value of a portion of the debt of consolidated VIEs is determined using significant unobservable inputs in a market-based approach. | |||||||||||||||||||||||||
Investments of consolidated SIPs consist of trading securities and other investments that are not generally traded in active markets. The fair value of the trading securities is determined using quoted market prices, or independent third-party broker or dealer price quotes if quoted market prices are not available. The fair value of debt and equity securities not traded in active markets, other than fund products, is determined using significant unobservable inputs in either a market-based or income-based approach. The fair value of fund products not traded in active markets is determined using net asset value (“NAV”) as a practical expedient. | |||||||||||||||||||||||||
Other liabilities of consolidated SIPs consist of short positions in debt and equity securities. The fair value of the liabilities is determined based on the fair value of the underlying securities using quoted market prices, or independent third-party broker or dealer price quotes if quoted market prices securities are not available. | |||||||||||||||||||||||||
The investments in fund products for which fair value was estimated using NAV as a practical expedient consisted of the following: | |||||||||||||||||||||||||
(in millions) | Redemption Frequency | Fair Value Level | June 30, | September 30, | |||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||
Global fixed-income fund | Monthly | 2 | $ | 250.6 | $ | 191.8 | |||||||||||||||||||
Hedge funds | Monthly or quarterly | 2 | 25.8 | 6.6 | |||||||||||||||||||||
Real estate and private equity funds | Nonredeemable | 3 | 383.7 | 242.1 | |||||||||||||||||||||
Hedge funds | Annually or triennially | 3 | 1.7 | 1.5 | |||||||||||||||||||||
Total | $ | 661.8 | $ | 442 | |||||||||||||||||||||
The investments in real estate and private equity funds are expected to be returned through distributions as a result of liquidations of the funds’ underlying assets over a weighted-average period of 4.3 years and 4.7 years at June 30, 2014 and September 30, 2013. The consolidated SIPs’ unfunded commitments to these funds totaled $206.3 million and $135.5 million at June 30, 2014 and September 30, 2013, of which the Company was contractually obligated to fund $4.1 million and $2.8 million based on its ownership percentage in the SIPs. | |||||||||||||||||||||||||
Transfers into Level 2 from Level 1 were nil and $0.1 million during the three and nine months ended June 30, 2014, and transfers into Level 1 from Level 2 were $0.1 million and $0.2 million during the same periods. Transfers into Level 2 from Level 1 were $0.4 million and $47.4 million during the three and nine months ended June 30, 2013, and transfers into Level 1 from Level 2 were $0.1 million and $53.9 million during the same periods. The transfers into Level 2 from Level 1 during the prior year included $47.0 million of securities for which the quoted market prices were adjusted as of December 31, 2012 due to significant price changes in U.S.-traded market proxies resulting from the resolution of U.S. fiscal cliff negotiations. The impacted securities trade in 16 different countries in Europe, Asia and Latin America. The adjustments were made after the close of the foreign markets and were based on third-party factors derived from model-based valuation techniques for which the significant assumptions were observable in the market. The transfers into Level 1 from Level 2 were securities that were valued using unadjusted quoted market prices. | |||||||||||||||||||||||||
The changes in Level 3 assets and liabilities measured at fair value on a recurring basis were as follows: | |||||||||||||||||||||||||
(in millions) | Investments of | Investments of | Total | Debt of | |||||||||||||||||||||
Consolidated | Consolidated SIPs | Level 3 | Consolidated | ||||||||||||||||||||||
for the three months ended June 30, 2014 | VIEs | Debt | Equity | Assets | VIEs | ||||||||||||||||||||
Balance at April 1, 2014 | $ | 0.5 | $ | 268.5 | $ | 552.1 | $ | 821.1 | $ | (51.1 | ) | ||||||||||||||
Realized and unrealized gains (losses) included in investment and other income, net | — | (1.3 | ) | 51.6 | 50.3 | 3.1 | |||||||||||||||||||
Purchases | — | 10.8 | 36.7 | 47.5 | — | ||||||||||||||||||||
Sales | — | (58.3 | ) | (10.6 | ) | (68.9 | ) | — | |||||||||||||||||
Transfers into Level 3 | — | 0.6 | — | 0.6 | — | ||||||||||||||||||||
Transfers out of Level 3 | — | — | (0.6 | ) | (0.6 | ) | — | ||||||||||||||||||
Effect of exchange rate changes | — | (0.4 | ) | (0.3 | ) | (0.7 | ) | — | |||||||||||||||||
Balance at June 30, 2014 | $ | 0.5 | $ | 219.9 | $ | 628.9 | $ | 849.3 | $ | (48.0 | ) | ||||||||||||||
Change in unrealized gains (losses) included in net income relating to assets and liabilities held at June 30, 2014 | $ | — | $ | (1.5 | ) | $ | 51.8 | $ | 50.3 | $ | 3.1 | ||||||||||||||
(in millions) | Investments of | Investments of | Total | Debt of | |||||||||||||||||||||
Consolidated | Consolidated SIPs | Level 3 | Consolidated | ||||||||||||||||||||||
for the nine months ended June 30, 2014 | VIEs | Debt | Equity | Assets | VIEs | ||||||||||||||||||||
Balance at October 1, 2013 | $ | 0.5 | $ | 272.3 | $ | 470.9 | $ | 743.7 | $ | (59.7 | ) | ||||||||||||||
Realized and unrealized gains (losses) included in investment and other income, net | — | (22.7 | ) | 32.1 | 9.4 | 11.7 | |||||||||||||||||||
Purchases | — | 49.5 | 163.2 | 212.7 | — | ||||||||||||||||||||
Sales | — | (80.9 | ) | (37.3 | ) | (118.2 | ) | — | |||||||||||||||||
Transfers into Level 3 | — | 0.6 | — | 0.6 | — | ||||||||||||||||||||
Transfers out of Level 3 | — | — | (0.6 | ) | (0.6 | ) | — | ||||||||||||||||||
Effect of exchange rate changes | — | 1.1 | 0.6 | 1.7 | — | ||||||||||||||||||||
Balance at June 30, 2014 | $ | 0.5 | $ | 219.9 | $ | 628.9 | $ | 849.3 | $ | (48.0 | ) | ||||||||||||||
Change in unrealized gains (losses) included in net income relating to assets and liabilities held at June 30, 2014 | $ | — | $ | (23.8 | ) | $ | 32.3 | $ | 8.5 | $ | 11.7 | ||||||||||||||
(in millions) | Investments of | Total | Debt of | ||||||||||||||||||||||
Consolidated SIPs | Level 3 | Consolidated | |||||||||||||||||||||||
for the three months ended June 30, 2013 | Debt | Equity | Assets | VIEs | |||||||||||||||||||||
Balance at April 1, 2013 | $ | 330.2 | $ | 624.5 | $ | 954.7 | $ | (75.8 | ) | ||||||||||||||||
Realized and unrealized gains included in investment and other income, net | 3.2 | 6.9 | 10.1 | 8.8 | |||||||||||||||||||||
Purchases | 4 | 28.2 | 32.2 | — | |||||||||||||||||||||
Sales | (5.5 | ) | (7.0 | ) | (12.5 | ) | — | ||||||||||||||||||
Reclassification to Level 2 | — | (205.4 | ) | (205.4 | ) | — | |||||||||||||||||||
Effect of exchange rate changes | 2.1 | 0.9 | 3 | — | |||||||||||||||||||||
Balance at June 30, 2013 | $ | 334 | $ | 448.1 | $ | 782.1 | $ | (67.0 | ) | ||||||||||||||||
Change in unrealized gains (losses) included in net income relating to assets and liabilities held at June 30, 2013 | $ | 3.2 | $ | 6.9 | $ | 10.1 | $ | (6.0 | ) | ||||||||||||||||
(in millions) | Investments of | Total | Debt of | ||||||||||||||||||||||
Consolidated SIPs | Level 3 | Consolidated | |||||||||||||||||||||||
for the nine months ended June 30, 2013 | Debt | Equity | Assets | VIEs | |||||||||||||||||||||
Balance at October 1, 2012 | $ | 317.5 | $ | 527 | $ | 844.5 | $ | (67.9 | ) | ||||||||||||||||
Realized and unrealized gains included in investment and other income, net | 9 | 56.9 | 65.9 | 0.9 | |||||||||||||||||||||
Purchases | 57.4 | 114.1 | 171.5 | — | |||||||||||||||||||||
Sales | (51.5 | ) | (46.1 | ) | (97.6 | ) | — | ||||||||||||||||||
Acquisition | — | 0.8 | 0.8 | — | |||||||||||||||||||||
Reclassification to Level 2 | — | (205.4 | ) | (205.4 | ) | — | |||||||||||||||||||
Effect of exchange rate changes | 1.6 | 0.8 | 2.4 | — | |||||||||||||||||||||
Balance at June 30, 2013 | $ | 334 | $ | 448.1 | $ | 782.1 | $ | (67.0 | ) | ||||||||||||||||
Change in unrealized gains included in net income relating to assets and liabilities held at June 30, 2013 | $ | 37 | $ | 22.2 | $ | 59.2 | $ | 1.9 | |||||||||||||||||
There were no transfers into or out of Level 3 during the three and nine months ended June 30, 2013. The reclassification out of Level 3 to Level 2 during the three and nine months ended June 30, 2013 relates to an investment in a global fixed-income fund which is redeemable on a monthly basis without restriction and was originally misclassified as Level 3. | |||||||||||||||||||||||||
The valuation techniques and significant unobservable inputs used in recurring Level 3 fair value measurements were as follows: | |||||||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||
as of June 30, 2014 | Fair Value | Valuation Technique | Significant Unobservable Inputs | Range (Weighted Average) | |||||||||||||||||||||
Debt securities | $ | 219.9 | Discounted cash flow | Discount rate | 3.6%–18.0% (11.3%) | ||||||||||||||||||||
Risk premium | 0.0%–18.0% (3.3%) | ||||||||||||||||||||||||
Equity securities | 182.8 | Market comparable companies | EBITDA multiple | 1.0–14.0 (7.4) | |||||||||||||||||||||
Discount for lack of marketability | 20.0%-50.0% (41.5%) | ||||||||||||||||||||||||
30.9 | Discounted cash flow | Discount rate | 6.0%–18.0% (16.4%) | ||||||||||||||||||||||
29.8 | Market pricing | Price to book value ratio | 1.8–2.8 (2.1) | ||||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||
as of September 30, 2013 | Fair Value | Valuation Technique | Significant Unobservable Inputs | Range (Weighted Average) | |||||||||||||||||||||
Debt securities | $ | 272.3 | Discounted cash flow | Discount rate | 5.7%–25.6% (8.3%) | ||||||||||||||||||||
Risk premium | 0.0%–19.3% (2.2%) | ||||||||||||||||||||||||
Equity securities | 137.4 | Market comparable companies | EBITDA multiple | 5.0–10.2 (8.0) | |||||||||||||||||||||
Discount for lack of marketability | 20.0%–30.0% (23.7%) | ||||||||||||||||||||||||
70.8 | Discounted cash flow | Discount rate | 12.0%–18.0% (16.2%) | ||||||||||||||||||||||
Discount for lack of marketability | 0.0%–50.0% (20.6%) | ||||||||||||||||||||||||
19.1 | Market pricing | Price to book value ratio | 1.7 | ||||||||||||||||||||||
Level 3 debt securities held by consolidated SIPs consisted of corporate loans and notes, mezzanine loans and convertible debentures, and equity securities consisted primarily of common and preferred shares at June 30, 2014 and September 30, 2013. | |||||||||||||||||||||||||
The fair values of Level 3 assets and liabilities that were determined based on third-party pricing information or NAV are excluded from the above two tables. At June 30, 2014 and September 30, 2013, the exclusions consisted of $48.0 million and $59.7 million of debt of consolidated VIEs that was valued using third-party broker or dealer price quotes and $385.4 million and $243.6 million of investments in various funds held by consolidated SIPs for which fair value was estimated using NAV as a practical expedient. | |||||||||||||||||||||||||
Following are descriptions of the sensitivity of the Level 3 recurring fair value measurements to changes in the significant unobservable inputs presented in the above tables. | |||||||||||||||||||||||||
For securities utilizing the discounted cash flow valuation technique, a significant increase (decrease) in the discount rate, risk premium or discount for lack of marketability in isolation would result in a significantly lower (higher) fair value measurement. The discount for lack of marketability used to determine fair value may include other factors such as liquidity or credit risk. Generally, a change in the discount rate is accompanied by a directionally similar change in the risk premium and discount for lack of marketability. | |||||||||||||||||||||||||
For securities utilizing the market comparable companies valuation technique, a significant increase (decrease) in the EBITDA multiple in isolation would result in a significantly higher (lower) fair value measurement. A significant increase (decrease) in the discount for lack of marketability in isolation would result in a significantly lower (higher) fair value measurement. The discount for lack of marketability used to determine fair value may include other factors such as liquidity or credit risk. | |||||||||||||||||||||||||
For securities utilizing a market pricing valuation technique, a significant increase (decrease) in the price to book value ratio would result in a significantly higher (lower) fair value measurement. | |||||||||||||||||||||||||
Financial instruments of consolidated SIPs that were not measured at fair value were as follows: | |||||||||||||||||||||||||
(in millions) | June 30, 2014 | September 30, 2013 | |||||||||||||||||||||||
Fair Value | Carrying | Estimated | Carrying | Estimated | |||||||||||||||||||||
Level | Value | Fair Value | Value | Fair Value | |||||||||||||||||||||
Financial Assets | |||||||||||||||||||||||||
Cash and cash equivalents of consolidated SIPs | 1 | $ | 35.4 | $ | 35.4 | $ | 93.1 | $ | 93.1 | ||||||||||||||||
Financial Liabilities | |||||||||||||||||||||||||
Debt of consolidated SIPs | 3 | 138.9 | 140.9 | 108.9 | 110.4 | ||||||||||||||||||||
Non-consolidated VIEs | |||||||||||||||||||||||||
VIEs for which the Company is not the primary beneficiary consist of sponsored and other investment products from which the Company earns investment management fees and/or in which it has an equity ownership interest. | |||||||||||||||||||||||||
The carrying values of the investment management fees receivable from and the equity ownership interests in these VIEs included in the Company’s condensed consolidated balance sheets are set forth below. These amounts represent the Company’s maximum exposure to loss from these investment products. | |||||||||||||||||||||||||
(in millions) | June 30, | September 30, | |||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||
Receivables | $ | 57.5 | $ | 46.3 | |||||||||||||||||||||
Investments | 239.7 | 198.5 | |||||||||||||||||||||||
Total | $ | 297.2 | $ | 244.8 | |||||||||||||||||||||
The Company’s total AUM of non-consolidated VIEs was $43.0 billion at June 30, 2014 and $37.3 billion at September 30, 2013. | |||||||||||||||||||||||||
While the Company has no contractual obligation to do so, it routinely makes cash investments in the course of launching SIPs. The Company also may voluntarily elect to provide its SIPs with additional direct or indirect financial support based on its business objectives. The Company did not provide financial or other support to its SIPs during fiscal year 2013 or the nine months ended June 30, 2014. |
Commitments_and_Contingencies
Commitments and Contingencies | 9 Months Ended |
Jun. 30, 2014 | |
Commitments and Contingencies Disclosure [Abstract] | ' |
Commitments and Contingencies | ' |
Commitments and Contingencies | |
Legal Proceedings | |
The Company is from time to time involved in litigation relating to claims arising in the normal course of business. Management is of the opinion that the ultimate resolution of such claims will not materially affect the Company’s business, financial position, results of operations or liquidity. In management’s opinion, an adequate accrual has been made as of June 30, 2014 to provide for any probable losses that may arise from such matters for which the Company could reasonably estimate an amount. | |
Other Commitments and Contingencies | |
The Company, in its role as agent or trustee, facilitates the settlement of investor share purchase, redemption and other transactions with affiliated mutual funds. The Company is appointed by the affiliated mutual funds as agent or trustee to manage, on their behalf, bank deposit accounts that contain only (i) cash remitted by investors to the affiliated mutual funds for the direct purchase of fund shares, or (ii) cash remitted by the affiliated mutual funds for direct delivery to the investors for either the proceeds of fund shares liquidated at the investors’ direction, or dividends and capital gains earned on fund shares. At June 30, 2014 and September 30, 2013, the Company held cash of $174.6 million and $236.4 million off-balance sheet in agency or trust for investors and the affiliated mutual funds. | |
At June 30, 2014, there were no changes that would have a material effect on the other commitments and contingencies reported in the Company’s Form 10-K for fiscal year 2013. |
StockBased_Compensation
Stock-Based Compensation | 9 Months Ended | |||||||
Jun. 30, 2014 | ||||||||
Share-based Compensation [Abstract] | ' | |||||||
Stock-Based Compensation | ' | |||||||
Stock-Based Compensation | ||||||||
Stock awards generally entitle holders to the right to sell the underlying shares of the Company’s common stock once the awards vest. Stock unit awards generally entitle holders to receive the underlying shares of common stock once the awards vest. Certain performance-based long-term stock and stock unit awards have been granted that generally vest based on the achievement of predetermined Company financial performance goals. In the event a performance measure is not achieved at or above a specified threshold level, the portion of the award tied to such performance measure is forfeited. | ||||||||
Total unrecognized compensation cost related to nonvested stock and stock unit awards, net of estimated forfeitures, was $157.1 million at June 30, 2014. This cost is expected to be recognized over a remaining weighted-average vesting period of 1.8 years. | ||||||||
Nonvested stock and stock unit award activity was as follows: | ||||||||
(shares in thousands) | Shares | Weighted-Average | ||||||
Grant-Date | ||||||||
Fair Value | ||||||||
Nonvested balance at September 30, 2013 | 3,732 | $ | 40.61 | |||||
Granted | 2,624 | 53.87 | ||||||
Vested | (542 | ) | 40.35 | |||||
Forfeited/canceled | (152 | ) | 45.55 | |||||
Nonvested Balance at June 30, 2014 | 5,662 | $ | 46.65 | |||||
Other_Income_Expenses
Other Income (Expenses) | 9 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Other Income and Expenses [Abstract] | ' | ||||||||||||||||
Other Income (Expenses) | ' | ||||||||||||||||
Other Income (Expenses) | |||||||||||||||||
Other income (expenses) consisted of the following: | |||||||||||||||||
Three Months Ended | Nine Months Ended | ||||||||||||||||
June 30, | June 30, | ||||||||||||||||
(in millions) | 2014 | 2013 | 2014 | 2013 | |||||||||||||
Investment and Other Income, Net | |||||||||||||||||
Dividend income | $ | 2.5 | $ | 2.1 | $ | 7.8 | $ | 7.6 | |||||||||
Interest income | 2.1 | 2.4 | 6.8 | 7.9 | |||||||||||||
Gains (losses) on trading investment securities, net | 2.6 | (11.1 | ) | 9.7 | 2.5 | ||||||||||||
Realized gains on sale of investment securities, available-for-sale | 7.8 | 9 | 38.4 | 36.8 | |||||||||||||
Realized losses on sale of investment securities, available-for-sale | — | (0.3 | ) | (0.8 | ) | (0.3 | ) | ||||||||||
Income from investments in equity method investees | 33.6 | 12.1 | 68.2 | 54.3 | |||||||||||||
Other-than-temporary impairment of investments | — | (0.8 | ) | (0.6 | ) | (1.8 | ) | ||||||||||
Gains on investments of consolidated SIPs, net | 59.4 | 3.8 | 38.7 | 66.2 | |||||||||||||
Gains (losses) on assets and liabilities of consolidated VIEs, net | (0.5 | ) | (0.9 | ) | 7.4 | (27.7 | ) | ||||||||||
Foreign currency exchange gains (losses), net | 0.3 | (8.5 | ) | (12.3 | ) | (1.2 | ) | ||||||||||
Other, net | (0.2 | ) | 2.5 | 9.5 | 8 | ||||||||||||
Total | 107.6 | 10.3 | 172.8 | 152.3 | |||||||||||||
Interest Expense | (10.9 | ) | (10.0 | ) | (34.9 | ) | (35.4 | ) | |||||||||
Other Income, Net | $ | 96.7 | $ | 0.3 | $ | 137.9 | $ | 116.9 | |||||||||
Substantially all of the dividend income and realized gains and losses on sale of available-for-sale securities were generated by investments in non-consolidated SIPs. Interest income was primarily generated by cash equivalents and investments in trading securities. Proceeds from the sale of available-for-sale securities were $95.6 million and $284.2 million for the three and nine months ended June 30, 2014, and $54.0 million and $254.0 million for the three and nine months ended June 30, 2013. | |||||||||||||||||
The Company recognized net gains (losses) on trading investment securities that were held at June 30, 2014 and 2013 of $2.0 million and $7.2 million during the three and nine months ended June 30, 2014, and $(12.1) million and $(2.7) million during the three and nine months ended June 30, 2013. Net gains (losses) on trading investment securities of consolidated SIPs that were held at June 30, 2014 and 2013 were $4.2 million and $10.3 million during the three and nine months ended June 30, 2014, and $(6.9) million and $6.8 million during the three and nine months ended June 30, 2013. |
Accumulated_Other_Comprehensiv
Accumulated Other Comprehensive Income | 9 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | ' | ||||||||||||||||
Accumulated Other Comprehensive Income | ' | ||||||||||||||||
Accumulated Other Comprehensive Income | |||||||||||||||||
Changes in accumulated other comprehensive income by component were as follows: | |||||||||||||||||
(in millions) | Unrealized Gains (Losses) on Investments | Currency Translation Adjustments | Unrealized Gains (Losses) on Defined Benefit Plans | Total | |||||||||||||
for the three months ended June 30, 2014 | |||||||||||||||||
Balance at April 1, 2014 | $ | 63.4 | $ | (55.2 | ) | $ | (3.8 | ) | $ | 4.4 | |||||||
Other comprehensive income before reclassifications, net of tax | 17.9 | 17.2 | 0.1 | 35.2 | |||||||||||||
Reclassifications to net investment and other income, net of tax | (15.4 | ) | — | — | (15.4 | ) | |||||||||||
Total other comprehensive income | 2.5 | 17.2 | 0.1 | 19.8 | |||||||||||||
Balance at June 30, 2014 | $ | 65.9 | $ | (38.0 | ) | $ | (3.7 | ) | $ | 24.2 | |||||||
(in millions) | Unrealized Gains (Losses) on Investments | Currency Translation Adjustments | Unrealized Losses on Defined Benefit Plans | Total | |||||||||||||
for the nine months ended June 30, 2014 | |||||||||||||||||
Balance at October 1, 2013 | $ | 71.9 | $ | (63.2 | ) | $ | (2.6 | ) | $ | 6.1 | |||||||
Other comprehensive income (loss) before reclassifications, net of tax | 22.9 | 25.2 | (1.1 | ) | 47 | ||||||||||||
Reclassifications to net investment and other income, net of tax | (28.9 | ) | — | — | (28.9 | ) | |||||||||||
Total other comprehensive income (loss) | (6.0 | ) | 25.2 | (1.1 | ) | 18.1 | |||||||||||
Balance at June 30, 2014 | $ | 65.9 | $ | (38.0 | ) | $ | (3.7 | ) | $ | 24.2 | |||||||
Banking_Regulatory_Ratios
Banking Regulatory Ratios | 9 Months Ended | |||||||||||
Jun. 30, 2014 | ||||||||||||
Banking and Thrift [Abstract] | ' | |||||||||||
Banking Regulatory Ratios | ' | |||||||||||
Banking Regulatory Ratios | ||||||||||||
As of June 30, 2014, Franklin was a bank holding company and a financial holding company subject to various U.S. regulatory capital requirements. Based on the Company’s calculations, it exceeded the applicable capital adequacy requirements as listed below. | ||||||||||||
(in millions) | June 30, | September 30, | Capital | |||||||||
2014 | 2013 | Adequacy | ||||||||||
Minimum | ||||||||||||
Tier 1 capital | $ | 8,671.20 | $ | 7,449.20 | N/A | |||||||
Total risk-based capital | 8,711.50 | 7,482.60 | N/A | |||||||||
Tier 1 leverage ratio | 63 | % | 58 | % | 4 | % | ||||||
Tier 1 risk-based capital ratio | 61 | % | 58 | % | 4 | % | ||||||
Total risk-based capital ratio | 61 | % | 58 | % | 8 | % |
Subsequent_Event_Subsequent_Ev
Subsequent Event Subsequent Event | 9 Months Ended |
Jun. 30, 2014 | |
Subsequent Events [Abstract] | ' |
Subsequent Event | ' |
Subsequent Events | |
On July 14, 2014, the Company closed all of its outstanding client deposit accounts. The Company has ceased accepting deposits and originating loans, and believes that it is no longer a bank holding company. On July 16, 2014, the Company submitted a letter to the Board of Governors of the Federal Reserve System to withdraw its registration as a bank holding company. |
Fair_Value_Measurements_Polici
Fair Value Measurements (Policies) | 9 Months Ended | |
Jun. 30, 2014 | ||
Fair Value Disclosures [Abstract] | ' | |
Fair Value Measurements | ' | |
The Company uses a three-level fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value based on whether the inputs to those valuation techniques are observable or unobservable. The three levels of fair value hierarchy are set forth below. The Company’s assessment of the hierarchy level of the assets and liabilities measured at fair value is determined based on the lowest level input that is significant to the fair value measurement in its entirety. | ||
Level 1 | Unadjusted quoted prices in active markets for identical assets or liabilities. | |
Level 2 | Observable inputs other than Level 1 quoted prices, such as non-binding quoted prices for similar assets or liabilities in active markets; quoted prices for identical or similar assets or liabilities in markets that are not active; or inputs other than quoted prices that are observable or corroborated by observable market data. Level 2 quoted prices are generally obtained from two independent third-party brokers or dealers, including prices derived from model-based valuation techniques for which the significant assumptions are observable in the market or corroborated by observable market data. Quoted prices are validated through price variance analysis, subsequent sales testing, stale price review, price comparison across pricing vendors and due diligence reviews of third-party vendors. | |
Level 3 | Unobservable inputs that are supported by little or no market activity. These inputs require significant management judgment and reflect the Company’s estimation of assumptions that market participants would use in pricing the asset or liability. | |
The fair values of substantially all trading investments, all available-for-sale SIPs and certain other equity securities are determined based on their published net asset values. The fair values of certain trading investments, all available-for-sale debt securities and certain other equity securities are determined using quoted market prices, if available, or independent third-party broker or dealer price quotes, which are evaluated for reasonableness. The fair value of life settlement contracts is determined using a discounted cash flow valuation technique. | ||
The fair value of contingent consideration liabilities is determined using an income-based method which considers the net present value of anticipated future cash flows. |
Variable_Interest_Entities_and1
Variable Interest Entities and Consolidated Sponsored Investment Products (Policies) | 9 Months Ended |
Jun. 30, 2014 | |
Variable Interest Entities and Consolidated Sponsored Investment Products [Abstract] | ' |
Consolidation | ' |
The Company sponsors and manages various types of investment products, which consist of both VIEs and non-VIEs. The Company consolidates the VIE products for which it is the primary beneficiary and the non-VIE products which it controls. The Company has no right to the consolidated products’ assets, other than its direct equity investment in them, and/or investment management fees earned from them. The debt holders of these consolidated entities have no recourse to the Company’s assets beyond the level of its direct investment, therefore the Company bears no other risks associated with the entities’ liabilities. | |
Other assets and liabilities of consolidated VIEs | ' |
The fair value of cash and cash equivalents of consolidated VIEs is based on quoted market prices. The fair values of the other assets and liabilities of consolidated VIEs are primarily obtained from independent third-party broker or dealer price quotes. The fair value of a portion of the debt of consolidated VIEs is determined using significant unobservable inputs in a market-based approach. | |
Investments of consolidated SIPs | ' |
Investments of consolidated SIPs consist of trading securities and other investments that are not generally traded in active markets. The fair value of the trading securities is determined using quoted market prices, or independent third-party broker or dealer price quotes if quoted market prices are not available. | |
Investments of fund products fair valued using NAV | ' |
The fair value of debt and equity securities not traded in active markets, other than fund products, is determined using significant unobservable inputs in either a market-based or income-based approach. The fair value of fund products not traded in active markets is determined using net asset value (“NAV”) as a practical expedient. | |
Other liabilities of consolidated SIPs | ' |
Other liabilities of consolidated SIPs consist of short positions in debt and equity securities. The fair value of the liabilities is determined based on the fair value of the underlying securities using quoted market prices, or independent third-party broker or dealer price quotes if quoted market prices securities are not available. |
Stockholders_Equity_and_Redeem1
Stockholders' Equity and Redeemable Noncontrolling Interests (Tables) | 9 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Stockholders' Equity Note [Abstract] | ' | ||||||||||||||||
Changes in total stockholders' equity and redeemable noncontrolling interests | ' | ||||||||||||||||
The changes in total stockholders’ equity and redeemable noncontrolling interests were as follows: | |||||||||||||||||
(in millions) | Franklin | Nonredeemable | Total | Redeemable | |||||||||||||
Resources, Inc. | Noncontrolling | Stockholders’ | Noncontrolling | ||||||||||||||
Stockholders’ | Interests | Equity | Interests | ||||||||||||||
for the nine months ended June 30, 2014 | Equity | ||||||||||||||||
Balance at October 1, 2013 | $ | 10,073.10 | $ | 612.4 | $ | 10,685.50 | $ | 121.8 | |||||||||
Net income | 1,743.70 | 23 | 1,766.70 | 14.2 | |||||||||||||
Net income reclassified to appropriated retained earnings | 4.4 | (4.4 | ) | — | |||||||||||||
Other comprehensive income | 18.1 | 18.1 | |||||||||||||||
Cash dividends on common stock | (226.7 | ) | (226.7 | ) | |||||||||||||
Repurchase of common stock | (444.4 | ) | (444.4 | ) | |||||||||||||
Noncontrolling interests | |||||||||||||||||
Net subscriptions (redemptions/distributions) | (5.4 | ) | (5.4 | ) | 363.7 | ||||||||||||
Net deconsolidation of sponsored investment products | — | — | (316.0 | ) | |||||||||||||
Other1 | 127.1 | 127.1 | |||||||||||||||
Balance at June 30, 2014 | $ | 11,295.30 | $ | 625.6 | $ | 11,920.90 | $ | 183.7 | |||||||||
__________________ | |||||||||||||||||
1 | Primarily relates to stock-based compensation plans. | ||||||||||||||||
(in millions) | Franklin | Nonredeemable | Total | Redeemable | |||||||||||||
Resources, Inc. | Noncontrolling | Stockholders’ | Noncontrolling | ||||||||||||||
Stockholders’ | Interests | Equity | Interests | ||||||||||||||
for the nine months ended June 30, 2013 | Equity | ||||||||||||||||
Balance at October 1, 2012 | $ | 9,201.30 | $ | 559.2 | $ | 9,760.50 | $ | 26.7 | |||||||||
Net income | 1,641.20 | 13.1 | 1,654.30 | 5.9 | |||||||||||||
Net loss reclassified to appropriated retained earnings | (32.3 | ) | 32.3 | — | |||||||||||||
Other comprehensive loss | (110.4 | ) | (110.4 | ) | |||||||||||||
Cash dividends on common stock | (825.5 | ) | (825.5 | ) | |||||||||||||
Repurchase of common stock | (226.4 | ) | (226.4 | ) | |||||||||||||
Noncontrolling interests | |||||||||||||||||
Net subscriptions | 65.1 | 65.1 | 39.8 | ||||||||||||||
Net consolidation (deconsolidation) of sponsored investment products | 4.4 | 4.4 | (41.4 | ) | |||||||||||||
Acquisition | 5.4 | 5.4 | 32.8 | ||||||||||||||
Reclassification | (57.0 | ) | (57.0 | ) | 57 | ||||||||||||
Other1 | 131.9 | 131.9 | |||||||||||||||
Balance at June 30, 2013 | $ | 9,779.80 | $ | 622.5 | $ | 10,402.30 | $ | 120.8 | |||||||||
__________________ | |||||||||||||||||
1 | Primarily relates to stock-based compensation plans. |
Earnings_per_Share_Tables
Earnings per Share (Tables) | 9 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Earnings Per Share [Abstract] | ' | ||||||||||||||||
Schedule of earnings per share basic and diluted | ' | ||||||||||||||||
The components of basic and diluted earnings per share were as follows: | |||||||||||||||||
(in millions, except per share data) | Three Months Ended | Nine Months Ended | |||||||||||||||
June 30, | June 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Net Income Attributable to Franklin Resources, Inc. | $ | 578.9 | $ | 552.3 | $ | 1,743.70 | $ | 1,641.20 | |||||||||
Less: Allocation of earnings to participating nonvested stock and stock unit awards | 3.9 | 4 | 11.2 | 11.2 | |||||||||||||
Net Income Available to Common Stockholders | $ | 575 | $ | 548.3 | $ | 1,732.50 | $ | 1,630.00 | |||||||||
Weighted-average shares outstanding – basic | 623.2 | 633.6 | 625.8 | 634 | |||||||||||||
Effect of dilutive common stock options and non-participating nonvested stock unit awards | 0.4 | 0.7 | 0.5 | 0.9 | |||||||||||||
Weighted-Average Shares Outstanding – Diluted | 623.6 | 634.3 | 626.3 | 634.9 | |||||||||||||
Earnings per Share | |||||||||||||||||
Basic | $ | 0.92 | $ | 0.87 | $ | 2.77 | $ | 2.57 | |||||||||
Diluted | 0.92 | 0.86 | 2.77 | 2.57 | |||||||||||||
Investments_Tables
Investments (Tables) | 9 Months Ended | ||||||||||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||||||||||
Investments [Abstract] | ' | ||||||||||||||||||||||||
Summary of Investments | ' | ||||||||||||||||||||||||
Investments consisted of the following: | |||||||||||||||||||||||||
(in millions) | June 30, | September 30, | |||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||
Investment securities, trading | $ | 1,277.40 | $ | 1,196.70 | |||||||||||||||||||||
Investment securities, available-for-sale | |||||||||||||||||||||||||
SIPs | 504.9 | 534.6 | |||||||||||||||||||||||
Securities of U.S. states and political subdivisions | 11.5 | 23.1 | |||||||||||||||||||||||
Securities of the U.S. Treasury and federal agencies | 0.7 | 2.3 | |||||||||||||||||||||||
Mortgage-backed securities – agency residential1 | 18.8 | 110.9 | |||||||||||||||||||||||
Other equity securities | 6.8 | 11.3 | |||||||||||||||||||||||
Total investment securities, available-for-sale | 542.7 | 682.2 | |||||||||||||||||||||||
Investments in equity method investees | 700.5 | 485.4 | |||||||||||||||||||||||
Other investments | 94.8 | 74.9 | |||||||||||||||||||||||
Total | $ | 2,615.40 | $ | 2,439.20 | |||||||||||||||||||||
__________________ | |||||||||||||||||||||||||
1 | Consist of U.S. government-sponsored enterprise obligations. | ||||||||||||||||||||||||
Summary of the gross unrealized gains and losses relating to investment securities, available-for-sale | ' | ||||||||||||||||||||||||
A summary of the gross unrealized gains and losses relating to investment securities, available-for-sale is as follows: | |||||||||||||||||||||||||
(in millions) | Gross Unrealized | ||||||||||||||||||||||||
as of June 30, 2014 | Cost Basis | Gains | Losses | Fair Value | |||||||||||||||||||||
SIPs | $ | 435.5 | $ | 70.7 | $ | (1.3 | ) | $ | 504.9 | ||||||||||||||||
Securities of U.S. states and political subdivisions | 11.1 | 0.4 | — | 11.5 | |||||||||||||||||||||
Securities of the U.S. Treasury and federal agencies | 0.7 | — | — | 0.7 | |||||||||||||||||||||
Mortgage-backed securities – agency residential | 18.9 | — | (0.1 | ) | 18.8 | ||||||||||||||||||||
Other equity securities | 6.6 | 0.2 | — | 6.8 | |||||||||||||||||||||
Total | $ | 472.8 | $ | 71.3 | $ | (1.4 | ) | $ | 542.7 | ||||||||||||||||
(in millions) | Gross Unrealized | ||||||||||||||||||||||||
as of September 30, 2013 | Cost Basis | Gains | Losses | Fair Value | |||||||||||||||||||||
SIPs | $ | 465.4 | $ | 71.7 | $ | (2.5 | ) | $ | 534.6 | ||||||||||||||||
Securities of U.S. states and political subdivisions | 22.3 | 0.8 | — | 23.1 | |||||||||||||||||||||
Securities of the U.S. Treasury and federal agencies | 2.3 | — | — | 2.3 | |||||||||||||||||||||
Mortgage-backed securities – agency residential | 108.9 | 2 | — | 110.9 | |||||||||||||||||||||
Other equity securities | 10.9 | 0.4 | — | 11.3 | |||||||||||||||||||||
Total | $ | 609.8 | $ | 74.9 | $ | (2.5 | ) | $ | 682.2 | ||||||||||||||||
Summary of gross unrealized losses and fair values of investment securities in a continuous unrealized loss position | ' | ||||||||||||||||||||||||
The following tables show the gross unrealized losses and fair values of available-for-sale securities with unrealized losses aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position: | |||||||||||||||||||||||||
Less Than 12 Months | 12 Months or Greater | Total | |||||||||||||||||||||||
(in millions) | Fair Value | Gross | Fair Value | Gross | Fair Value | Gross | |||||||||||||||||||
Unrealized | Unrealized | Unrealized | |||||||||||||||||||||||
as of June 30, 2014 | Losses | Losses | Losses | ||||||||||||||||||||||
SIPs | $ | 6.8 | $ | (0.1 | ) | $ | 7.4 | $ | (1.2 | ) | $ | 14.2 | $ | (1.3 | ) | ||||||||||
Mortgage-backed securities – agency residential | 16.4 | (0.1 | ) | — | — | 16.4 | (0.1 | ) | |||||||||||||||||
Total | $ | 23.2 | $ | (0.2 | ) | $ | 7.4 | $ | (1.2 | ) | $ | 30.6 | $ | (1.4 | ) | ||||||||||
Less Than 12 Months | 12 Months or Greater | Total | |||||||||||||||||||||||
(in millions) | Fair Value | Gross | Fair Value | Gross | Fair Value | Gross | |||||||||||||||||||
Unrealized | Unrealized | Unrealized | |||||||||||||||||||||||
as of September 30, 2013 | Losses | Losses | Losses | ||||||||||||||||||||||
SIPs | $ | 50.3 | $ | (2.4 | ) | $ | 1.4 | $ | (0.1 | ) | $ | 51.7 | $ | (2.5 | ) | ||||||||||
Schedule of contractual maturities of available-for-sale debt securities | ' | ||||||||||||||||||||||||
At June 30, 2014, contractual maturities of available-for-sale debt securities were as follows: | |||||||||||||||||||||||||
(in millions) | Cost Basis | Fair Value | |||||||||||||||||||||||
Due in one year or less | $ | 4 | $ | 4 | |||||||||||||||||||||
Due after one year through five years | 7.8 | 8.2 | |||||||||||||||||||||||
Total | $ | 11.8 | $ | 12.2 | |||||||||||||||||||||
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 9 Months Ended | ||||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||||
Schedule of assets and liabilities measured at fair value on a recurring basis | ' | ||||||||||||||||||
Assets and liabilities measured at fair value on a recurring basis were as follows: | |||||||||||||||||||
(in millions) | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||
as of June 30, 2014 | |||||||||||||||||||
Assets | |||||||||||||||||||
Investment securities, trading | $ | 1,195.40 | $ | 82 | $ | — | $ | 1,277.40 | |||||||||||
Investment securities, available-for-sale | |||||||||||||||||||
SIPs | 504.9 | — | — | 504.9 | |||||||||||||||
Securities of U.S. states and political subdivisions | — | 11.5 | — | 11.5 | |||||||||||||||
Securities of the U.S. Treasury and federal agencies | — | 0.7 | — | 0.7 | |||||||||||||||
Mortgage-backed securities – agency residential | — | 18.8 | — | 18.8 | |||||||||||||||
Other equity securities | 2 | 4.8 | — | 6.8 | |||||||||||||||
Life settlement contracts | — | — | 13.8 | 13.8 | |||||||||||||||
Total Assets Measured at Fair Value | $ | 1,702.30 | $ | 117.8 | $ | 13.8 | $ | 1,833.90 | |||||||||||
Liabilities | |||||||||||||||||||
Contingent consideration liabilities | $ | — | $ | — | $ | 98.8 | $ | 98.8 | |||||||||||
(in millions) | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||
as of September 30, 2013 | |||||||||||||||||||
Assets | |||||||||||||||||||
Investment securities, trading | $ | 1,121.50 | $ | 75.2 | $ | — | $ | 1,196.70 | |||||||||||
Investment securities, available-for-sale | |||||||||||||||||||
SIPs | 534.6 | — | — | 534.6 | |||||||||||||||
Securities of U.S. states and political subdivisions | — | 23.1 | — | 23.1 | |||||||||||||||
Securities of the U.S. Treasury and federal agencies | — | 2.3 | — | 2.3 | |||||||||||||||
Mortgage-backed securities – agency residential | — | 110.9 | — | 110.9 | |||||||||||||||
Other equity securities | 11.3 | — | — | 11.3 | |||||||||||||||
Life settlement contracts | — | — | 13.8 | 13.8 | |||||||||||||||
Total Assets Measured at Fair Value | $ | 1,667.40 | $ | 211.5 | $ | 13.8 | $ | 1,892.70 | |||||||||||
Liabilities | |||||||||||||||||||
Contingent consideration liabilities | $ | — | $ | — | $ | 97.7 | $ | 97.7 | |||||||||||
Schedule of changes in Level 3 assets and liabilities measured at fair value on a recurring basis | ' | ||||||||||||||||||
The changes in Level 3 assets and liabilities measured at fair value on a recurring basis were as follows: | |||||||||||||||||||
2014 | 2013 | ||||||||||||||||||
(in millions) | Investments | Contingent | Investments | Contingent | |||||||||||||||
Consideration | Consideration | ||||||||||||||||||
for the three months ended June 30, | Liabilities | Liabilities | |||||||||||||||||
Balance at beginning of period | $ | 13.6 | $ | (104.2 | ) | $ | 13.4 | $ | (90.0 | ) | |||||||||
Acquisition | — | — | — | (1.4 | ) | ||||||||||||||
Total realized and unrealized gains (losses) | |||||||||||||||||||
Included in investment and other income, net | 0.7 | — | 0.7 | — | |||||||||||||||
Included in general, administrative and other expense | — | 3.3 | — | (5.1 | ) | ||||||||||||||
Other | — | 0.1 | — | (0.3 | ) | ||||||||||||||
Purchases | — | — | 0.4 | — | |||||||||||||||
Settlements | (0.5 | ) | 2 | (0.8 | ) | — | |||||||||||||
Balance at End of Period | $ | 13.8 | $ | (98.8 | ) | $ | 13.7 | $ | (96.8 | ) | |||||||||
Change in unrealized gains (losses) included in net income relating to assets and liabilities held at end of period | $ | 0.3 | $ | 3.4 | $ | 0.3 | $ | (5.4 | ) | ||||||||||
2014 | 2013 | ||||||||||||||||||
(in millions) | Investments | Contingent | Investments | Contingent | |||||||||||||||
Consideration | Consideration | ||||||||||||||||||
for the nine months ended June 30, | Liabilities | Liabilities | |||||||||||||||||
Balance at beginning of period | $ | 13.8 | $ | (97.7 | ) | $ | 14.8 | $ | — | ||||||||||
Acquisitions | — | — | — | (92.0 | ) | ||||||||||||||
Total realized and unrealized gains (losses) | |||||||||||||||||||
Included in investment and other income, net | 2.4 | — | 1.6 | — | |||||||||||||||
Included in general, administrative and other expense | — | (5.6 | ) | — | (7.3 | ) | |||||||||||||
Other | — | (0.3 | ) | — | (0.5 | ) | |||||||||||||
Purchases | 0.1 | — | 1.1 | — | |||||||||||||||
Sales | (0.7 | ) | — | (1.6 | ) | — | |||||||||||||
Settlements | (1.8 | ) | 4.8 | (2.2 | ) | 3 | |||||||||||||
Balance at End of Period | $ | 13.8 | $ | (98.8 | ) | $ | 13.7 | $ | (96.8 | ) | |||||||||
Change in unrealized gains (losses) included in net income relating to assets and liabilities held at end of period | $ | 0.9 | $ | (5.9 | ) | $ | 1 | $ | (7.8 | ) | |||||||||
Schedule of valuation techniques and significant unobservable inputs used in level 3 fair value measurements | ' | ||||||||||||||||||
The valuation techniques and significant unobservable inputs used in recurring Level 3 fair value measurements were as follows: | |||||||||||||||||||
(in millions) | |||||||||||||||||||
as of June 30, 2014 | Fair Value | Valuation Technique | Significant Unobservable Inputs | Range (Weighted Average) | |||||||||||||||
Life settlement contracts | $ | 13.8 | Discounted cash flow | Life expectancy | 24–153 months (73) | ||||||||||||||
Discount rate | 3.3%–21.7% (11.7%) | ||||||||||||||||||
Contingent consideration liabilities | 98.8 | Discounted cash flow | AUM growth rate | 5.4%–23.0% (12.0%) | |||||||||||||||
EBITDA margin | 23.7% - 34.4% (30.5%) | ||||||||||||||||||
Discount rate | 14.00% | ||||||||||||||||||
(in millions) | |||||||||||||||||||
as of September 30, 2013 | Fair Value | Valuation Technique | Significant Unobservable Inputs | Range (Weighted Average) | |||||||||||||||
Life settlement contracts | $ | 13.8 | Discounted cash flow | Life expectancy | 25–160 months (76) | ||||||||||||||
Discount rate | 3.3%–21.7% (11.7%) | ||||||||||||||||||
Contingent consideration liabilities | 97.7 | Discounted cash flow | AUM growth rate | 6.0%–25.0% (14.6%) | |||||||||||||||
EBITDA margin | 26.4% - 38.9% (34.4%) | ||||||||||||||||||
Discount rate | 14.00% | ||||||||||||||||||
Schedule of financial instruments not measured at fair value | ' | ||||||||||||||||||
Financial instruments that were not measured at fair value were as follows: | |||||||||||||||||||
(in millions) | June 30, 2014 | September 30, 2013 | |||||||||||||||||
Fair Value | Carrying | Estimated | Carrying | Estimated | |||||||||||||||
Level | Value | Fair Value | Value | Fair Value | |||||||||||||||
Financial Assets | |||||||||||||||||||
Cash and cash equivalents | 1 | $ | 7,604.20 | $ | 7,604.20 | $ | 6,186.00 | $ | 6,186.00 | ||||||||||
Other investments1 | 2 or 3 | 81 | 92.4 | 61.1 | 69.2 | ||||||||||||||
Loans receivable, net | 2 | 3.7 | 3.9 | 229.7 | 230.1 | ||||||||||||||
Financial Liabilities | |||||||||||||||||||
Deposits | 2 | $ | 664.2 | $ | 664.2 | $ | 586.8 | $ | 587.2 | ||||||||||
Debt | 2 | 1,198.10 | 1,244.40 | 1,197.70 | 1,221.50 | ||||||||||||||
_________________ | |||||||||||||||||||
1 Primarily consist of Level 3 assets. |
Debt_Tables
Debt (Tables) | 9 Months Ended | |||||||||||
Jun. 30, 2014 | ||||||||||||
Debt Disclosure [Abstract] | ' | |||||||||||
Schedule of outstanding debt | ' | |||||||||||
Debt consisted of the following: | ||||||||||||
(in millions) | June 30, | 30-Sep-13 | Effective | |||||||||
2014 | Interest Rate | |||||||||||
$250 million 3.125% notes due May 2015 | $ | 250 | $ | 249.9 | 3.32 | % | ||||||
$300 million 1.375% notes due September 2017 | 298.9 | 298.7 | 1.66 | % | ||||||||
$350 million 4.625% notes due May 2020 | 349.8 | 349.7 | 4.74 | % | ||||||||
$300 million 2.800% notes due September 2022 | 299.4 | 299.4 | 2.93 | % | ||||||||
Total Debt | $ | 1,198.10 | $ | 1,197.70 | ||||||||
Schedule of contractual maturities of debt | ' | |||||||||||
At June 30, 2014, maturities for debt were as follows: | ||||||||||||
(in millions) | Amount | |||||||||||
for the fiscal years ending September 30, | ||||||||||||
2014 | $ | — | ||||||||||
2015 | 250 | |||||||||||
2016 | — | |||||||||||
2017 | 298.9 | |||||||||||
2018 | — | |||||||||||
Thereafter | 649.2 | |||||||||||
Total | $ | 1,198.10 | ||||||||||
Variable_Interest_Entities_and2
Variable Interest Entities and Consolidated Sponsored Investment Products (Tables) | 9 Months Ended | ||||||||||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||||||||||
Variable Interest Entities and Consolidated Sponsored Investment Products [Abstract] | ' | ||||||||||||||||||||||||
Schedule of balances of consolidated VIEs and consolidated SIPs | ' | ||||||||||||||||||||||||
The balances of consolidated VIEs and consolidated SIPs included in the Company’s condensed consolidated balance sheets were as follows: | |||||||||||||||||||||||||
30-Jun-14 | 30-Sep-13 | ||||||||||||||||||||||||
Consolidated | Consolidated | ||||||||||||||||||||||||
(in millions) | VIEs | SIPs | Total | VIEs | SIPs | Total | |||||||||||||||||||
Assets | |||||||||||||||||||||||||
Cash and cash equivalents | $ | 58 | $ | 35.4 | $ | 93.4 | $ | 44 | $ | 93.1 | $ | 137.1 | |||||||||||||
Receivables | 21.5 | 19.1 | 40.6 | 37.7 | 19.1 | 56.8 | |||||||||||||||||||
Investments, at fair value | 819.4 | 1,367.30 | 2,186.70 | 941.1 | 1,203.20 | 2,144.30 | |||||||||||||||||||
Other assets | — | 0.7 | 0.7 | — | 0.7 | 0.7 | |||||||||||||||||||
Total Assets | $ | 898.9 | $ | 1,422.50 | $ | 2,321.40 | $ | 1,022.80 | $ | 1,316.10 | $ | 2,338.90 | |||||||||||||
Liabilities | |||||||||||||||||||||||||
Accounts payable and accrued expenses | $ | 21.2 | $ | 25.4 | $ | 46.6 | $ | 10.9 | $ | 25.2 | $ | 36.1 | |||||||||||||
Debt, at fair value | 853.2 | — | 853.2 | 988.5 | — | 988.5 | |||||||||||||||||||
Debt | — | 138.9 | 138.9 | — | 108.9 | 108.9 | |||||||||||||||||||
Other liabilities | — | 11.3 | 11.3 | — | 8.5 | 8.5 | |||||||||||||||||||
Total liabilities | 874.4 | 175.6 | 1,050.00 | 999.4 | 142.6 | 1,142.00 | |||||||||||||||||||
Redeemable Noncontrolling Interests | — | 183.7 | 183.7 | — | 121.8 | 121.8 | |||||||||||||||||||
Stockholders’ Equity | |||||||||||||||||||||||||
Franklin Resources, Inc.’s interests | 24.5 | 454.1 | 478.6 | 23.4 | 454.8 | 478.2 | |||||||||||||||||||
Nonredeemable noncontrolling interests | — | 609.1 | 609.1 | — | 596.9 | 596.9 | |||||||||||||||||||
Total stockholders’ equity | 24.5 | 1,063.20 | 1,087.70 | 23.4 | 1,051.70 | 1,075.10 | |||||||||||||||||||
Total Liabilities, Redeemable Noncontrolling Interests and Stockholders’ Equity | $ | 898.9 | $ | 1,422.50 | $ | 2,321.40 | $ | 1,022.80 | $ | 1,316.10 | $ | 2,338.90 | |||||||||||||
Schedule of assets and liabilities of the CLOs carried at fair value | ' | ||||||||||||||||||||||||
The assets and liabilities of the CLOs are carried at fair value. Changes in the fair values were as follows: | |||||||||||||||||||||||||
Three Months Ended | Nine Months Ended | ||||||||||||||||||||||||
June 30, | June 30, | ||||||||||||||||||||||||
(in millions) | 2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||
Net gains from changes in fair value of assets | $ | 7.1 | $ | 17.2 | $ | 31.5 | $ | 58.3 | |||||||||||||||||
Net losses from changes in fair value of liabilities | (7.6 | ) | (18.1 | ) | (24.1 | ) | (86.0 | ) | |||||||||||||||||
Total Net Gains (Losses) | $ | (0.5 | ) | $ | (0.9 | ) | $ | 7.4 | $ | (27.7 | ) | ||||||||||||||
Unpaid principal balance and fair value of investments and debt of CLOs | ' | ||||||||||||||||||||||||
The following tables present information on the investments and debt of the CLOs: | |||||||||||||||||||||||||
(in millions) | Total Investments | Debt | |||||||||||||||||||||||
as of June 30, 2014 | |||||||||||||||||||||||||
Unpaid principal balance | $ | 816.3 | $ | 887.7 | |||||||||||||||||||||
Difference between unpaid principal balance and fair value | 3.1 | (34.5 | ) | ||||||||||||||||||||||
Fair Value | $ | 819.4 | $ | 853.2 | |||||||||||||||||||||
There were no investments 90 days or more past due at June 30, 2014. | |||||||||||||||||||||||||
(in millions) | Total Investments | Investments | Debt | ||||||||||||||||||||||
90 Days or More | |||||||||||||||||||||||||
as of September 30, 2013 | Past Due | ||||||||||||||||||||||||
Unpaid principal balance | $ | 943.6 | $ | 7.9 | $ | 1,017.80 | |||||||||||||||||||
Difference between unpaid principal balance and fair value | (2.5 | ) | (7.7 | ) | (29.3 | ) | |||||||||||||||||||
Fair Value | $ | 941.1 | $ | 0.2 | $ | 988.5 | |||||||||||||||||||
Schedule of investments of consolidated VIEs and consolidated SIPs | ' | ||||||||||||||||||||||||
Investments of consolidated VIEs and consolidated SIPs consisted of the following: | |||||||||||||||||||||||||
30-Jun-14 | 30-Sep-13 | ||||||||||||||||||||||||
Consolidated | Consolidated | ||||||||||||||||||||||||
(in millions) | VIEs | SIPs | Total | VIEs | SIPs | Total | |||||||||||||||||||
Investment securities, trading | $ | — | $ | 241 | $ | 241 | $ | — | $ | 244.1 | $ | 244.1 | |||||||||||||
Other debt securities | 819.4 | 219.3 | 1,038.70 | 941.1 | 272.3 | 1,213.40 | |||||||||||||||||||
Other equity securities | — | 907 | 907 | — | 686.8 | 686.8 | |||||||||||||||||||
Total Investments | $ | 819.4 | $ | 1,367.30 | $ | 2,186.70 | $ | 941.1 | $ | 1,203.20 | $ | 2,144.30 | |||||||||||||
Schedule of debt of consolidated VIEs and consolidated SIPs | ' | ||||||||||||||||||||||||
Debt of consolidated VIEs and consolidated SIPs consisted of the following: | |||||||||||||||||||||||||
June 30, | Effective | September 30, | Effective | ||||||||||||||||||||||
2014 | Interest | 2013 | Interest | ||||||||||||||||||||||
(in millions) | Rate | Rate | |||||||||||||||||||||||
Debt of consolidated VIEs, at fair value, due fiscal years 2018-2024 | $ | 853.2 | 1.4 | % | $ | 988.5 | 1.32 | % | |||||||||||||||||
Debt of consolidated SIPs due fiscal years 2014-2019 | 138.9 | 3.7 | % | 108.9 | 4.08 | % | |||||||||||||||||||
Total Debt | $ | 992.1 | $ | 1,097.40 | |||||||||||||||||||||
Schedule of contractual maturities for debt of consolidated VIEs and consolidated SIPs | ' | ||||||||||||||||||||||||
At June 30, 2014, contractual maturities for debt of consolidated VIEs and consolidated SIPs were as follows: | |||||||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||
for the fiscal years ending September 30, | |||||||||||||||||||||||||
2014 | $ | 65.6 | |||||||||||||||||||||||
2015 | — | ||||||||||||||||||||||||
2016 | — | ||||||||||||||||||||||||
2017 | 28.1 | ||||||||||||||||||||||||
2018 | 276.4 | ||||||||||||||||||||||||
Thereafter | 622 | ||||||||||||||||||||||||
Total | $ | 992.1 | |||||||||||||||||||||||
Schedule of balances of assets and liabilities of consolidated VIEs and consolidated SIPs measured at fair value on a recurring basis | ' | ||||||||||||||||||||||||
The tables below present the balances of assets and liabilities of consolidated VIEs and consolidated SIPs measured at fair value on a recurring basis. See Note 6 – Fair Value Measurements for information related to the three levels of fair value hierarchy. | |||||||||||||||||||||||||
(in millions) | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||||||
as of June 30, 2014 | |||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||
Cash and cash equivalents of consolidated VIEs | $ | 58 | $ | — | $ | — | $ | 58 | |||||||||||||||||
Receivables of consolidated VIEs | — | 21.5 | — | 21.5 | |||||||||||||||||||||
Investments of consolidated VIEs | — | 818.9 | 0.5 | 819.4 | |||||||||||||||||||||
Investments of consolidated SIPs | |||||||||||||||||||||||||
Debt securities | 0.9 | 96.8 | 219.9 | 317.6 | |||||||||||||||||||||
Equity securities | 144.1 | 276.7 | 628.9 | 1,049.70 | |||||||||||||||||||||
Total Assets Measured at Fair Value | $ | 203 | $ | 1,213.90 | $ | 849.3 | $ | 2,266.20 | |||||||||||||||||
Liabilities | |||||||||||||||||||||||||
Accounts payable and accrued expenses of consolidated VIEs | $ | — | $ | 21.2 | $ | — | $ | 21.2 | |||||||||||||||||
Debt of consolidated VIEs | — | 805.2 | 48 | 853.2 | |||||||||||||||||||||
Other liabilities of consolidated SIPs | 3.7 | — | — | 3.7 | |||||||||||||||||||||
Total Liabilities Measured at Fair Value | $ | 3.7 | $ | 826.4 | $ | 48 | $ | 878.1 | |||||||||||||||||
(in millions) | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||||||
as of September 30, 2013 | |||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||
Cash and cash equivalents of consolidated VIEs | $ | 44 | $ | — | $ | — | $ | 44 | |||||||||||||||||
Receivables of consolidated VIEs | — | 37.7 | — | 37.7 | |||||||||||||||||||||
Investments of consolidated VIEs | — | 940.6 | 0.5 | 941.1 | |||||||||||||||||||||
Investments of consolidated SIPs | |||||||||||||||||||||||||
Debt securities | 4.5 | 83.8 | 272.3 | 360.6 | |||||||||||||||||||||
Equity securities | 158.1 | 213.6 | 470.9 | 842.6 | |||||||||||||||||||||
Total Assets Measured at Fair Value | $ | 206.6 | $ | 1,275.70 | $ | 743.7 | $ | 2,226.00 | |||||||||||||||||
Liabilities | |||||||||||||||||||||||||
Accounts payable and accrued expenses of consolidated VIEs | $ | — | $ | 10.9 | $ | — | $ | 10.9 | |||||||||||||||||
Debt of consolidated VIEs | — | 928.8 | 59.7 | 988.5 | |||||||||||||||||||||
Total Liabilities Measured at Fair Value | $ | — | $ | 939.7 | $ | 59.7 | $ | 999.4 | |||||||||||||||||
Schedule of investments in fund products for which fair value was estimated using NAV as a practical expedient | ' | ||||||||||||||||||||||||
The investments in fund products for which fair value was estimated using NAV as a practical expedient consisted of the following: | |||||||||||||||||||||||||
(in millions) | Redemption Frequency | Fair Value Level | June 30, | September 30, | |||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||
Global fixed-income fund | Monthly | 2 | $ | 250.6 | $ | 191.8 | |||||||||||||||||||
Hedge funds | Monthly or quarterly | 2 | 25.8 | 6.6 | |||||||||||||||||||||
Real estate and private equity funds | Nonredeemable | 3 | 383.7 | 242.1 | |||||||||||||||||||||
Hedge funds | Annually or triennially | 3 | 1.7 | 1.5 | |||||||||||||||||||||
Total | $ | 661.8 | $ | 442 | |||||||||||||||||||||
Schedule of changes in Level 3 assets and liabilities of consolidated VIEs and consolidated SIPs | ' | ||||||||||||||||||||||||
The changes in Level 3 assets and liabilities measured at fair value on a recurring basis were as follows: | |||||||||||||||||||||||||
(in millions) | Investments of | Investments of | Total | Debt of | |||||||||||||||||||||
Consolidated | Consolidated SIPs | Level 3 | Consolidated | ||||||||||||||||||||||
for the three months ended June 30, 2014 | VIEs | Debt | Equity | Assets | VIEs | ||||||||||||||||||||
Balance at April 1, 2014 | $ | 0.5 | $ | 268.5 | $ | 552.1 | $ | 821.1 | $ | (51.1 | ) | ||||||||||||||
Realized and unrealized gains (losses) included in investment and other income, net | — | (1.3 | ) | 51.6 | 50.3 | 3.1 | |||||||||||||||||||
Purchases | — | 10.8 | 36.7 | 47.5 | — | ||||||||||||||||||||
Sales | — | (58.3 | ) | (10.6 | ) | (68.9 | ) | — | |||||||||||||||||
Transfers into Level 3 | — | 0.6 | — | 0.6 | — | ||||||||||||||||||||
Transfers out of Level 3 | — | — | (0.6 | ) | (0.6 | ) | — | ||||||||||||||||||
Effect of exchange rate changes | — | (0.4 | ) | (0.3 | ) | (0.7 | ) | — | |||||||||||||||||
Balance at June 30, 2014 | $ | 0.5 | $ | 219.9 | $ | 628.9 | $ | 849.3 | $ | (48.0 | ) | ||||||||||||||
Change in unrealized gains (losses) included in net income relating to assets and liabilities held at June 30, 2014 | $ | — | $ | (1.5 | ) | $ | 51.8 | $ | 50.3 | $ | 3.1 | ||||||||||||||
(in millions) | Investments of | Investments of | Total | Debt of | |||||||||||||||||||||
Consolidated | Consolidated SIPs | Level 3 | Consolidated | ||||||||||||||||||||||
for the nine months ended June 30, 2014 | VIEs | Debt | Equity | Assets | VIEs | ||||||||||||||||||||
Balance at October 1, 2013 | $ | 0.5 | $ | 272.3 | $ | 470.9 | $ | 743.7 | $ | (59.7 | ) | ||||||||||||||
Realized and unrealized gains (losses) included in investment and other income, net | — | (22.7 | ) | 32.1 | 9.4 | 11.7 | |||||||||||||||||||
Purchases | — | 49.5 | 163.2 | 212.7 | — | ||||||||||||||||||||
Sales | — | (80.9 | ) | (37.3 | ) | (118.2 | ) | — | |||||||||||||||||
Transfers into Level 3 | — | 0.6 | — | 0.6 | — | ||||||||||||||||||||
Transfers out of Level 3 | — | — | (0.6 | ) | (0.6 | ) | — | ||||||||||||||||||
Effect of exchange rate changes | — | 1.1 | 0.6 | 1.7 | — | ||||||||||||||||||||
Balance at June 30, 2014 | $ | 0.5 | $ | 219.9 | $ | 628.9 | $ | 849.3 | $ | (48.0 | ) | ||||||||||||||
Change in unrealized gains (losses) included in net income relating to assets and liabilities held at June 30, 2014 | $ | — | $ | (23.8 | ) | $ | 32.3 | $ | 8.5 | $ | 11.7 | ||||||||||||||
(in millions) | Investments of | Total | Debt of | ||||||||||||||||||||||
Consolidated SIPs | Level 3 | Consolidated | |||||||||||||||||||||||
for the three months ended June 30, 2013 | Debt | Equity | Assets | VIEs | |||||||||||||||||||||
Balance at April 1, 2013 | $ | 330.2 | $ | 624.5 | $ | 954.7 | $ | (75.8 | ) | ||||||||||||||||
Realized and unrealized gains included in investment and other income, net | 3.2 | 6.9 | 10.1 | 8.8 | |||||||||||||||||||||
Purchases | 4 | 28.2 | 32.2 | — | |||||||||||||||||||||
Sales | (5.5 | ) | (7.0 | ) | (12.5 | ) | — | ||||||||||||||||||
Reclassification to Level 2 | — | (205.4 | ) | (205.4 | ) | — | |||||||||||||||||||
Effect of exchange rate changes | 2.1 | 0.9 | 3 | — | |||||||||||||||||||||
Balance at June 30, 2013 | $ | 334 | $ | 448.1 | $ | 782.1 | $ | (67.0 | ) | ||||||||||||||||
Change in unrealized gains (losses) included in net income relating to assets and liabilities held at June 30, 2013 | $ | 3.2 | $ | 6.9 | $ | 10.1 | $ | (6.0 | ) | ||||||||||||||||
(in millions) | Investments of | Total | Debt of | ||||||||||||||||||||||
Consolidated SIPs | Level 3 | Consolidated | |||||||||||||||||||||||
for the nine months ended June 30, 2013 | Debt | Equity | Assets | VIEs | |||||||||||||||||||||
Balance at October 1, 2012 | $ | 317.5 | $ | 527 | $ | 844.5 | $ | (67.9 | ) | ||||||||||||||||
Realized and unrealized gains included in investment and other income, net | 9 | 56.9 | 65.9 | 0.9 | |||||||||||||||||||||
Purchases | 57.4 | 114.1 | 171.5 | — | |||||||||||||||||||||
Sales | (51.5 | ) | (46.1 | ) | (97.6 | ) | — | ||||||||||||||||||
Acquisition | — | 0.8 | 0.8 | — | |||||||||||||||||||||
Reclassification to Level 2 | — | (205.4 | ) | (205.4 | ) | — | |||||||||||||||||||
Effect of exchange rate changes | 1.6 | 0.8 | 2.4 | — | |||||||||||||||||||||
Balance at June 30, 2013 | $ | 334 | $ | 448.1 | $ | 782.1 | $ | (67.0 | ) | ||||||||||||||||
Change in unrealized gains included in net income relating to assets and liabilities held at June 30, 2013 | $ | 37 | $ | 22.2 | $ | 59.2 | $ | 1.9 | |||||||||||||||||
Schedule of valuation techniques and significant unobservable inputs used in recurring Level 3 fair value measurements | ' | ||||||||||||||||||||||||
The valuation techniques and significant unobservable inputs used in recurring Level 3 fair value measurements were as follows: | |||||||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||
as of June 30, 2014 | Fair Value | Valuation Technique | Significant Unobservable Inputs | Range (Weighted Average) | |||||||||||||||||||||
Debt securities | $ | 219.9 | Discounted cash flow | Discount rate | 3.6%–18.0% (11.3%) | ||||||||||||||||||||
Risk premium | 0.0%–18.0% (3.3%) | ||||||||||||||||||||||||
Equity securities | 182.8 | Market comparable companies | EBITDA multiple | 1.0–14.0 (7.4) | |||||||||||||||||||||
Discount for lack of marketability | 20.0%-50.0% (41.5%) | ||||||||||||||||||||||||
30.9 | Discounted cash flow | Discount rate | 6.0%–18.0% (16.4%) | ||||||||||||||||||||||
29.8 | Market pricing | Price to book value ratio | 1.8–2.8 (2.1) | ||||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||
as of September 30, 2013 | Fair Value | Valuation Technique | Significant Unobservable Inputs | Range (Weighted Average) | |||||||||||||||||||||
Debt securities | $ | 272.3 | Discounted cash flow | Discount rate | 5.7%–25.6% (8.3%) | ||||||||||||||||||||
Risk premium | 0.0%–19.3% (2.2%) | ||||||||||||||||||||||||
Equity securities | 137.4 | Market comparable companies | EBITDA multiple | 5.0–10.2 (8.0) | |||||||||||||||||||||
Discount for lack of marketability | 20.0%–30.0% (23.7%) | ||||||||||||||||||||||||
70.8 | Discounted cash flow | Discount rate | 12.0%–18.0% (16.2%) | ||||||||||||||||||||||
Discount for lack of marketability | 0.0%–50.0% (20.6%) | ||||||||||||||||||||||||
19.1 | Market pricing | Price to book value ratio | 1.7 | ||||||||||||||||||||||
Schedule of financial instruments of consolidated SIPs not measured at fair value | ' | ||||||||||||||||||||||||
Financial instruments of consolidated SIPs that were not measured at fair value were as follows: | |||||||||||||||||||||||||
(in millions) | June 30, 2014 | September 30, 2013 | |||||||||||||||||||||||
Fair Value | Carrying | Estimated | Carrying | Estimated | |||||||||||||||||||||
Level | Value | Fair Value | Value | Fair Value | |||||||||||||||||||||
Financial Assets | |||||||||||||||||||||||||
Cash and cash equivalents of consolidated SIPs | 1 | $ | 35.4 | $ | 35.4 | $ | 93.1 | $ | 93.1 | ||||||||||||||||
Financial Liabilities | |||||||||||||||||||||||||
Debt of consolidated SIPs | 3 | 138.9 | 140.9 | 108.9 | 110.4 | ||||||||||||||||||||
Schedule of maximum exposure to non-consolidated VIEs | ' | ||||||||||||||||||||||||
The carrying values of the investment management fees receivable from and the equity ownership interests in these VIEs included in the Company’s condensed consolidated balance sheets are set forth below. These amounts represent the Company’s maximum exposure to loss from these investment products. | |||||||||||||||||||||||||
(in millions) | June 30, | September 30, | |||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||
Receivables | $ | 57.5 | $ | 46.3 | |||||||||||||||||||||
Investments | 239.7 | 198.5 | |||||||||||||||||||||||
Total | $ | 297.2 | $ | 244.8 | |||||||||||||||||||||
StockBased_Compensation_Tables
Stock-Based Compensation (Tables) | 9 Months Ended | |||||||
Jun. 30, 2014 | ||||||||
Share-based Compensation [Abstract] | ' | |||||||
Summary of nonvested stock and stock unit award activity | ' | |||||||
Nonvested stock and stock unit award activity was as follows: | ||||||||
(shares in thousands) | Shares | Weighted-Average | ||||||
Grant-Date | ||||||||
Fair Value | ||||||||
Nonvested balance at September 30, 2013 | 3,732 | $ | 40.61 | |||||
Granted | 2,624 | 53.87 | ||||||
Vested | (542 | ) | 40.35 | |||||
Forfeited/canceled | (152 | ) | 45.55 | |||||
Nonvested Balance at June 30, 2014 | 5,662 | $ | 46.65 | |||||
Other_Income_Expenses_Tables
Other Income (Expenses) (Tables) | 9 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Other Income and Expenses [Abstract] | ' | ||||||||||||||||
Schedule of other income (expenses) | ' | ||||||||||||||||
Other income (expenses) consisted of the following: | |||||||||||||||||
Three Months Ended | Nine Months Ended | ||||||||||||||||
June 30, | June 30, | ||||||||||||||||
(in millions) | 2014 | 2013 | 2014 | 2013 | |||||||||||||
Investment and Other Income, Net | |||||||||||||||||
Dividend income | $ | 2.5 | $ | 2.1 | $ | 7.8 | $ | 7.6 | |||||||||
Interest income | 2.1 | 2.4 | 6.8 | 7.9 | |||||||||||||
Gains (losses) on trading investment securities, net | 2.6 | (11.1 | ) | 9.7 | 2.5 | ||||||||||||
Realized gains on sale of investment securities, available-for-sale | 7.8 | 9 | 38.4 | 36.8 | |||||||||||||
Realized losses on sale of investment securities, available-for-sale | — | (0.3 | ) | (0.8 | ) | (0.3 | ) | ||||||||||
Income from investments in equity method investees | 33.6 | 12.1 | 68.2 | 54.3 | |||||||||||||
Other-than-temporary impairment of investments | — | (0.8 | ) | (0.6 | ) | (1.8 | ) | ||||||||||
Gains on investments of consolidated SIPs, net | 59.4 | 3.8 | 38.7 | 66.2 | |||||||||||||
Gains (losses) on assets and liabilities of consolidated VIEs, net | (0.5 | ) | (0.9 | ) | 7.4 | (27.7 | ) | ||||||||||
Foreign currency exchange gains (losses), net | 0.3 | (8.5 | ) | (12.3 | ) | (1.2 | ) | ||||||||||
Other, net | (0.2 | ) | 2.5 | 9.5 | 8 | ||||||||||||
Total | 107.6 | 10.3 | 172.8 | 152.3 | |||||||||||||
Interest Expense | (10.9 | ) | (10.0 | ) | (34.9 | ) | (35.4 | ) | |||||||||
Other Income, Net | $ | 96.7 | $ | 0.3 | $ | 137.9 | $ | 116.9 | |||||||||
Accumulated_Other_Comprehensiv1
Accumulated Other Comprehensive Income (Tables) | 9 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | ' | ||||||||||||||||
Schedule of Accumulated Other Comprehensive Income (Loss) | ' | ||||||||||||||||
Changes in accumulated other comprehensive income by component were as follows: | |||||||||||||||||
(in millions) | Unrealized Gains (Losses) on Investments | Currency Translation Adjustments | Unrealized Gains (Losses) on Defined Benefit Plans | Total | |||||||||||||
for the three months ended June 30, 2014 | |||||||||||||||||
Balance at April 1, 2014 | $ | 63.4 | $ | (55.2 | ) | $ | (3.8 | ) | $ | 4.4 | |||||||
Other comprehensive income before reclassifications, net of tax | 17.9 | 17.2 | 0.1 | 35.2 | |||||||||||||
Reclassifications to net investment and other income, net of tax | (15.4 | ) | — | — | (15.4 | ) | |||||||||||
Total other comprehensive income | 2.5 | 17.2 | 0.1 | 19.8 | |||||||||||||
Balance at June 30, 2014 | $ | 65.9 | $ | (38.0 | ) | $ | (3.7 | ) | $ | 24.2 | |||||||
(in millions) | Unrealized Gains (Losses) on Investments | Currency Translation Adjustments | Unrealized Losses on Defined Benefit Plans | Total | |||||||||||||
for the nine months ended June 30, 2014 | |||||||||||||||||
Balance at October 1, 2013 | $ | 71.9 | $ | (63.2 | ) | $ | (2.6 | ) | $ | 6.1 | |||||||
Other comprehensive income (loss) before reclassifications, net of tax | 22.9 | 25.2 | (1.1 | ) | 47 | ||||||||||||
Reclassifications to net investment and other income, net of tax | (28.9 | ) | — | — | (28.9 | ) | |||||||||||
Total other comprehensive income (loss) | (6.0 | ) | 25.2 | (1.1 | ) | 18.1 | |||||||||||
Balance at June 30, 2014 | $ | 65.9 | $ | (38.0 | ) | $ | (3.7 | ) | $ | 24.2 | |||||||
Banking_Regulatory_Ratios_Tabl
Banking Regulatory Ratios (Tables) | 9 Months Ended | |||||||||||
Jun. 30, 2014 | ||||||||||||
Banking and Thrift [Abstract] | ' | |||||||||||
Schedule of capital adequacy requirements | ' | |||||||||||
Based on the Company’s calculations, it exceeded the applicable capital adequacy requirements as listed below. | ||||||||||||
(in millions) | June 30, | September 30, | Capital | |||||||||
2014 | 2013 | Adequacy | ||||||||||
Minimum | ||||||||||||
Tier 1 capital | $ | 8,671.20 | $ | 7,449.20 | N/A | |||||||
Total risk-based capital | 8,711.50 | 7,482.60 | N/A | |||||||||
Tier 1 leverage ratio | 63 | % | 58 | % | 4 | % | ||||||
Tier 1 risk-based capital ratio | 61 | % | 58 | % | 4 | % | ||||||
Total risk-based capital ratio | 61 | % | 58 | % | 8 | % |
Stockholders_Equity_and_Redeem2
Stockholders' Equity and Redeemable Noncontrolling Interests - Narrative (Details) (USD $) | 3 Months Ended | 9 Months Ended | |||
In Millions, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Dec. 31, 2013 |
Cost of shares repurchased during period | $128.50 | $105.10 | $444.40 | $226.40 | ' |
Number of shares repurchased during period | 2.4 | 2.2 | 8.3 | 4.9 | ' |
Additional number of shares authorized to be repurchased | ' | ' | ' | ' | 30 |
Remaining number of shares authorized to be repurchased | 33 | ' | 33 | ' | ' |
Redeemable Noncontrolling Interests [Member] | ' | ' | ' | ' | ' |
Reclassification | ' | ' | ' | $57 | ' |
Stockholders_Equity_and_Redeem3
Stockholders' Equity and Redeemable Noncontrolling Interests - Changes in Stockholders' Equity and Redeemable Noncontrolling Interests (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||||
In Millions, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | ||
Stockholders' Equity Rollforward | ' | ' | ' | ' | ||
Beginning balance | ' | ' | $10,073.10 | ' | ||
Beginning balance | ' | ' | 612.4 | ' | ||
Beginning balance | ' | ' | 10,685.50 | ' | ||
Beginning balance | ' | ' | 121.8 | ' | ||
Net Income Attributable to Franklin Resources, Inc. | 578.9 | 552.3 | 1,743.70 | 1,641.20 | ||
Net Income | 632.1 | 562.1 | 1,780.90 | 1,660.20 | ||
Noncontrolling Interests | ' | ' | ' | ' | ||
Acquisition | ' | ' | 0 | 38.2 | ||
Ending balance | 11,295.30 | ' | 11,295.30 | ' | ||
Ending balance | 625.6 | ' | 625.6 | ' | ||
Ending balance | 11,920.90 | ' | 11,920.90 | ' | ||
Ending balance | 183.7 | ' | 183.7 | ' | ||
Franklin Resources, Inc. Stockholders' Equity [Member] | ' | ' | ' | ' | ||
Stockholders' Equity Rollforward | ' | ' | ' | ' | ||
Beginning balance | ' | ' | 10,073.10 | 9,201.30 | ||
Net Income Attributable to Franklin Resources, Inc. | ' | ' | 1,743.70 | 1,641.20 | ||
Net income (loss) reclassified to appropriated retained earnings | ' | ' | 4.4 | -32.3 | ||
Other comprehensive income (loss) | ' | ' | 18.1 | -110.4 | ||
Cash dividends on common stock | ' | ' | -226.7 | -825.5 | ||
Repurchase of common stock | ' | ' | -444.4 | -226.4 | ||
Noncontrolling Interests | ' | ' | ' | ' | ||
Other | ' | ' | 127.1 | [1] | 131.9 | [1] |
Ending balance | 11,295.30 | 9,779.80 | 11,295.30 | 9,779.80 | ||
Nonredeemable Noncontrolling Interests [Member] | ' | ' | ' | ' | ||
Stockholders' Equity Rollforward | ' | ' | ' | ' | ||
Beginning balance | ' | ' | 612.4 | 559.2 | ||
Net income attributable to noncontrolling interests | 47.4 | 8 | 23 | 13.1 | ||
Net income (loss) reclassified to appropriated retained earnings | ' | ' | -4.4 | 32.3 | ||
Noncontrolling Interests | ' | ' | ' | ' | ||
Net subscriptions (redemptions) | ' | ' | -5.4 | 65.1 | ||
Net consolidation (deconsolidation) of sponsored investment products | ' | ' | 0 | 4.4 | ||
Acquisition | ' | ' | ' | 5.4 | ||
Reclassification | ' | ' | ' | -57 | ||
Ending balance | 625.6 | 622.5 | 625.6 | 622.5 | ||
Total Stockholders' Equity [Member] | ' | ' | ' | ' | ||
Stockholders' Equity Rollforward | ' | ' | ' | ' | ||
Beginning balance | ' | ' | 10,685.50 | 9,760.50 | ||
Net Income | ' | ' | 1,766.70 | 1,654.30 | ||
Net income (loss) reclassified to appropriated retained earnings | ' | ' | 0 | 0 | ||
Other comprehensive income (loss) | ' | ' | 18.1 | -110.4 | ||
Cash dividends on common stock | ' | ' | -226.7 | -825.5 | ||
Repurchase of common stock | ' | ' | -444.4 | -226.4 | ||
Noncontrolling Interests | ' | ' | ' | ' | ||
Net subscriptions (redemptions) | ' | ' | -5.4 | 65.1 | ||
Net consolidation (deconsolidation) of sponsored investment products | ' | ' | 0 | 4.4 | ||
Acquisition | ' | ' | ' | 5.4 | ||
Reclassification | ' | ' | ' | -57 | ||
Other | ' | ' | 127.1 | [1] | 131.9 | [1] |
Ending balance | 11,920.90 | 10,402.30 | 11,920.90 | 10,402.30 | ||
Redeemable Noncontrolling Interests [Member] | ' | ' | ' | ' | ||
Stockholders' Equity Rollforward | ' | ' | ' | ' | ||
Beginning balance | ' | ' | 121.8 | 26.7 | ||
Net income attributable to noncontrolling interests | 5.8 | 1.8 | 14.2 | 5.9 | ||
Noncontrolling Interests | ' | ' | ' | ' | ||
Net subscriptions (redemptions) | ' | ' | 363.7 | 39.8 | ||
Net consolidation (deconsolidation) of sponsored investment products | ' | ' | -316 | -41.4 | ||
Acquisition | ' | ' | ' | 32.8 | ||
Reclassification | ' | ' | ' | 57 | ||
Ending balance | $183.70 | $120.80 | $183.70 | $120.80 | ||
[1] | Primarily relates to stock-based compensation plans. |
Earnings_per_Share_Narrative_D
Earnings per Share - Narrative (Details) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Earnings Per Share [Abstract] | ' | ' | ' | ' |
Shares of non participating nonvested stock unit awards excluded from the calculation of diluted EPS | 0.1 | 0 | 0.1 | 0 |
Earnings_per_Share_Schedule_of
Earnings per Share - Schedule of Earnings per Share Basic and Diluted (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, except Per Share data, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Earnings Per Share Reconciliation [Abstract] | ' | ' | ' | ' |
Net Income Attributable to Franklin Resources, Inc. | $578.90 | $552.30 | $1,743.70 | $1,641.20 |
Less: Allocation of earnings to participating nonvested stock and stock unit awards | 3.9 | 4 | 11.2 | 11.2 |
Net Income Available to Common Stockholders | $575 | $548.30 | $1,732.50 | $1,630 |
Weighted-average shares outstanding – basic | 623.2 | 633.6 | 625.8 | 634 |
Effect of dilutive common stock options and non-participating nonvested stock unit awards | 0.4 | 0.7 | 0.5 | 0.9 |
Weighted-Average Shares Outstanding – Diluted | 623.6 | 634.3 | 626.3 | 634.9 |
Earnings per Share | ' | ' | ' | ' |
Basic | $0.92 | $0.87 | $2.77 | $2.57 |
Diluted | $0.92 | $0.86 | $2.77 | $2.57 |
Investments_Narrative_Details
Investments - Narrative (Details) (USD $) | 3 Months Ended | 9 Months Ended | |||
In Millions, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Sep. 30, 2013 |
Investments [Abstract] | ' | ' | ' | ' | ' |
Aggregate carrying values of investment securities pledged as collateral for the ability to borrow from the Federal Reserve Bank | $0 | ' | $0 | ' | $82.50 |
Aggregate carrying values of investment securities pledged as collateral for amounts available in secured FHLB short-term borrowing capacity | 14.7 | ' | 14.7 | ' | 28.4 |
Aggregate carrying values of investment securities pledged as collateral for ability to borrow from uncommitted short-term bank lines of credit | 6.3 | ' | 6.3 | ' | 7.1 |
Other-than-temporary impairment of investments | 0 | -0.8 | -0.6 | -1.8 | ' |
Other-than-temporary impairment of available-for-sale SIPs | ' | ' | -0.4 | ' | ' |
Cost-method Investments, Other than Temporary Impairment | ' | ' | ' | ($0.70) | ' |
Investments_Summary_of_Investm
Investments - Summary of Investments (Details) (USD $) | Jun. 30, 2014 | Sep. 30, 2013 | ||
In Millions, unless otherwise specified | ||||
Schedule of Trading Securities and Other Trading Assets [Line Items] | ' | ' | ||
Investment securities, trading | $1,277.40 | $1,196.70 | ||
Investment securities, available-for-sale | 542.7 | 682.2 | ||
Investments in equity method investees | 700.5 | 485.4 | ||
Other investments | 94.8 | 74.9 | ||
Total Investments | 2,615.40 | 2,439.20 | ||
Sponsored Investment Products [Member] | ' | ' | ||
Schedule of Trading Securities and Other Trading Assets [Line Items] | ' | ' | ||
Investment securities, available-for-sale | 504.9 | 534.6 | ||
Securities of U.S. states and political subdivisions [Member] | ' | ' | ||
Schedule of Trading Securities and Other Trading Assets [Line Items] | ' | ' | ||
Investment securities, available-for-sale | 11.5 | 23.1 | ||
Securities of the U.S. Treasury and federal agencies [Member] | ' | ' | ||
Schedule of Trading Securities and Other Trading Assets [Line Items] | ' | ' | ||
Investment securities, available-for-sale | 0.7 | 2.3 | ||
Mortgage-backed securities - agency residential [Member] | ' | ' | ||
Schedule of Trading Securities and Other Trading Assets [Line Items] | ' | ' | ||
Investment securities, available-for-sale | 18.8 | [1] | 110.9 | [1] |
Other equity securities [Member] | ' | ' | ||
Schedule of Trading Securities and Other Trading Assets [Line Items] | ' | ' | ||
Investment securities, available-for-sale | $6.80 | $11.30 | ||
[1] | Consist of U.S. government-sponsored enterprise obligations. |
Investments_Summary_of_gross_u
Investments - Summary of gross unrealized gains and losses relating to investment securities, available-for-sale (Details) (USD $) | Jun. 30, 2014 | Sep. 30, 2013 |
In Millions, unless otherwise specified | ||
Investment Holdings [Line Items] | ' | ' |
Cost Basis | $472.80 | $609.80 |
Gross Unrealized Gains | 71.3 | 74.9 |
Gross Unrealized Losses | -1.4 | -2.5 |
Fair Value | 542.7 | 682.2 |
Sponsored Investment Products [Member] | ' | ' |
Investment Holdings [Line Items] | ' | ' |
Cost Basis | 435.5 | 465.4 |
Gross Unrealized Gains | 70.7 | 71.7 |
Gross Unrealized Losses | -1.3 | -2.5 |
Fair Value | 504.9 | 534.6 |
Securities of U.S. states and political subdivisions [Member] | ' | ' |
Investment Holdings [Line Items] | ' | ' |
Cost Basis | 11.1 | 22.3 |
Gross Unrealized Gains | 0.4 | 0.8 |
Gross Unrealized Losses | 0 | 0 |
Fair Value | 11.5 | 23.1 |
Securities of the U.S. Treasury and federal agencies [Member] | ' | ' |
Investment Holdings [Line Items] | ' | ' |
Cost Basis | 0.7 | 2.3 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | 0 | 0 |
Fair Value | 0.7 | 2.3 |
Mortgage-backed securities - agency residential [Member] | ' | ' |
Investment Holdings [Line Items] | ' | ' |
Cost Basis | 18.9 | 108.9 |
Gross Unrealized Gains | 0 | 2 |
Gross Unrealized Losses | -0.1 | 0 |
Fair Value | 18.8 | 110.9 |
Other equity securities [Member] | ' | ' |
Investment Holdings [Line Items] | ' | ' |
Cost Basis | 6.6 | 10.9 |
Gross Unrealized Gains | 0.2 | 0.4 |
Gross Unrealized Losses | 0 | 0 |
Fair Value | $6.80 | $11.30 |
Investments_Continuous_Loss_Po
Investments - Continuous Loss Position (Details) (USD $) | 9 Months Ended | 12 Months Ended |
In Millions, unless otherwise specified | Jun. 30, 2014 | Sep. 30, 2013 |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | $23.20 | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Gross Unrealized Losses | -0.2 | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 7.4 | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Gross Unrealized Losses | -1.2 | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | 30.6 | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Gross Unrealized Losses | -1.4 | ' |
Sponsored Investment Products [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 6.8 | 50.3 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Gross Unrealized Losses | -0.1 | -2.4 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 7.4 | 1.4 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Gross Unrealized Losses | -1.2 | -0.1 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | 14.2 | 51.7 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Gross Unrealized Losses | -1.3 | -2.5 |
Mortgage-backed securities - agency residential [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 16.4 | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Gross Unrealized Losses | -0.1 | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 0 | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Gross Unrealized Losses | 0 | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | 16.4 | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Gross Unrealized Losses | ($0.10) | ' |
Investments_Schedule_of_Maturi
Investments - Schedule of Maturities of available-for-sale debt securities (Details) (USD $) | Jun. 30, 2014 |
In Millions, unless otherwise specified | |
Investments [Abstract] | ' |
Available-for-sale Securities, Debt Maturities - Due in one year or less Cost Basis | $4 |
Available-for-sale Securities, Debt Maturities - Due after one year through five years Cost Basis | 7.8 |
Total Available-for-sale Securities, Debt Maturities - Cost Basis | 11.8 |
Available-for-sale Securities, Debt Maturities - Due in one year or less Fair Value | 4 |
Available-for-sale Securities, Debt Maturities - Due after one year through five years Fair Value | 8.2 |
Total Available-for-sale Securities, Debt Maturities - Fair Value | $12.20 |
Fair_Value_Measurements_Narrat
Fair Value Measurements - Narrative (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Fair Value Disclosures [Abstract] | ' | ' | ' | ' |
Transfers into Level 1 from Level 2 - assets | $0 | $0 | $0 | $0 |
Transfers into Level 2 from Level 1 - assets | 0 | 0 | 0 | 0 |
Transfers into Level 1 from Level 2 - liabilities | 0 | 0 | 0 | 0 |
Transfers into Level 2 from Level 1 - liabilities | 0 | 0 | 0 | 0 |
Transfers into Level 3 - assets | 0 | 0 | 0 | 0 |
Transfers into Level 3 - liabilities | 0 | 0 | 0 | 0 |
Transfers out of Level 3 - assets | 0 | 0 | 0 | 0 |
Transfers out of Level 3 - liabilities | $0 | $0 | $0 | $0 |
Fair_Value_Measurements_Fair_V
Fair Value Measurements - Fair Value, by Balance Sheet Grouping (Details) (USD $) | Jun. 30, 2014 | Sep. 30, 2013 | ||
In Millions, unless otherwise specified | ||||
Investment securities, trading | $1,277.40 | $1,196.70 | ||
Investment securities, available-for-sale | 542.7 | 682.2 | ||
Life settlement contracts | 13.8 | 13.8 | ||
Total Assets Measured at Fair Value | 1,833.90 | 1,892.70 | ||
Contingent consideration liabilities | 98.8 | 97.7 | ||
Level 1 [Member] | ' | ' | ||
Investment securities, trading | 1,195.40 | 1,121.50 | ||
Life settlement contracts | 0 | 0 | ||
Total Assets Measured at Fair Value | 1,702.30 | 1,667.40 | ||
Contingent consideration liabilities | 0 | 0 | ||
Level 2 [Member] | ' | ' | ||
Investment securities, trading | 82 | 75.2 | ||
Life settlement contracts | 0 | 0 | ||
Total Assets Measured at Fair Value | 117.8 | 211.5 | ||
Contingent consideration liabilities | 0 | 0 | ||
Level 3 [Member] | ' | ' | ||
Investment securities, trading | 0 | 0 | ||
Life settlement contracts | 13.8 | 13.8 | ||
Total Assets Measured at Fair Value | 13.8 | 13.8 | ||
Contingent consideration liabilities | 98.8 | 97.7 | ||
Sponsored Investment Products [Member] | ' | ' | ||
Investment securities, available-for-sale | 504.9 | 534.6 | ||
Sponsored Investment Products [Member] | Level 1 [Member] | ' | ' | ||
Investment securities, available-for-sale | 504.9 | 534.6 | ||
Sponsored Investment Products [Member] | Level 2 [Member] | ' | ' | ||
Investment securities, available-for-sale | 0 | 0 | ||
Sponsored Investment Products [Member] | Level 3 [Member] | ' | ' | ||
Investment securities, available-for-sale | 0 | 0 | ||
Securities of U.S. states and political subdivisions [Member] | ' | ' | ||
Investment securities, available-for-sale | 11.5 | 23.1 | ||
Securities of U.S. states and political subdivisions [Member] | Level 1 [Member] | ' | ' | ||
Investment securities, available-for-sale | 0 | 0 | ||
Securities of U.S. states and political subdivisions [Member] | Level 2 [Member] | ' | ' | ||
Investment securities, available-for-sale | 11.5 | 23.1 | ||
Securities of U.S. states and political subdivisions [Member] | Level 3 [Member] | ' | ' | ||
Investment securities, available-for-sale | 0 | 0 | ||
Securities of the U.S. Treasury and federal agencies [Member] | ' | ' | ||
Investment securities, available-for-sale | 0.7 | 2.3 | ||
Securities of the U.S. Treasury and federal agencies [Member] | Level 1 [Member] | ' | ' | ||
Investment securities, available-for-sale | 0 | 0 | ||
Securities of the U.S. Treasury and federal agencies [Member] | Level 2 [Member] | ' | ' | ||
Investment securities, available-for-sale | 0.7 | 2.3 | ||
Securities of the U.S. Treasury and federal agencies [Member] | Level 3 [Member] | ' | ' | ||
Investment securities, available-for-sale | 0 | 0 | ||
Mortgage-backed securities - agency residential [Member] | ' | ' | ||
Investment securities, available-for-sale | 18.8 | [1] | 110.9 | [1] |
Mortgage-backed securities - agency residential [Member] | Level 1 [Member] | ' | ' | ||
Investment securities, available-for-sale | 0 | 0 | ||
Mortgage-backed securities - agency residential [Member] | Level 2 [Member] | ' | ' | ||
Investment securities, available-for-sale | 18.8 | 110.9 | ||
Mortgage-backed securities - agency residential [Member] | Level 3 [Member] | ' | ' | ||
Investment securities, available-for-sale | 0 | 0 | ||
Other Equity Securities [Member] | ' | ' | ||
Investment securities, available-for-sale | 6.8 | 11.3 | ||
Other Equity Securities [Member] | Level 1 [Member] | ' | ' | ||
Investment securities, available-for-sale | 2 | 11.3 | ||
Other Equity Securities [Member] | Level 2 [Member] | ' | ' | ||
Investment securities, available-for-sale | 4.8 | 0 | ||
Other Equity Securities [Member] | Level 3 [Member] | ' | ' | ||
Investment securities, available-for-sale | $0 | $0 | ||
[1] | Consist of U.S. government-sponsored enterprise obligations. |
Fair_Value_Measurements_Schedu
Fair Value Measurements - Schedule of Changes in Level 3 assets and liabilities (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Balance at beginning of period - assets | $13.60 | $13.40 | $13.80 | $14.80 |
Balance at beginning of period - liabilities | -104.2 | -90 | -97.7 | 0 |
Acquisition - assets | 0 | 0 | 0 | 0 |
Acquisition - liabilities | 0 | -1.4 | 0 | -92 |
Purchases - assets | 0 | 0.4 | 0.1 | 1.1 |
Purchases - liabilities | 0 | 0 | 0 | 0 |
Sales - assets | ' | ' | -0.7 | -1.6 |
Sales - liabilities | ' | ' | 0 | 0 |
Settlements - assets | -0.5 | -0.8 | -1.8 | -2.2 |
Settlements - liabilities | 2 | 0 | 4.8 | 3 |
Balance at end of period - assets | 13.8 | 13.7 | 13.8 | 13.7 |
Balance at end of period - liabilities | -98.8 | -96.8 | -98.8 | -96.8 |
Investments [Member] | ' | ' | ' | ' |
Change in unrealized gains (losses) included in net income relating to assets and liabilities held at period end | 0.3 | 0.3 | 0.9 | 1 |
Contingent Consideration Liability [Member] | ' | ' | ' | ' |
Change in unrealized gains (losses) included in net income relating to assets and liabilities held at period end | 3.4 | -5.4 | -5.9 | -7.8 |
Investment and other income [Member] | ' | ' | ' | ' |
Total realized and unrealized gains (losses) - assets | 0.7 | 0.7 | 2.4 | 1.6 |
Total realized and unrealized gains (losses) - liabilities | 0 | 0 | 0 | 0 |
General, administrative and other expense [Member] | ' | ' | ' | ' |
Total realized and unrealized gains (losses) - assets | 0 | 0 | 0 | 0 |
Total realized and unrealized gains (losses) - liabilities | 3.3 | -5.1 | -5.6 | -7.3 |
Other Income [Member] | ' | ' | ' | ' |
Total realized and unrealized gains (losses) - assets | 0 | 0 | 0 | 0 |
Total realized and unrealized gains (losses) - liabilities | $0.10 | ($0.30) | ($0.30) | ($0.50) |
Fair_Value_Measurements_Quanti
Fair Value Measurements - Quantitative Information about Level 3 (Details) (USD $) | 9 Months Ended | 12 Months Ended |
In Millions, unless otherwise specified | Jun. 30, 2014 | Sep. 30, 2013 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis, Valuation Techniques [Line Items] | ' | ' |
Life settlement contracts | 13.8 | 13.8 |
Contingent consideration liabilities | 98.8 | 97.7 |
Contingent Consideration Liability [Member] | Minimum [Member] | Income Approach Valuation Technique [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis, Valuation Techniques [Line Items] | ' | ' |
AUM growth rate | 5.40% | 6.00% |
EBITDA margin | 23.70% | 26.40% |
Contingent Consideration Liability [Member] | Maximum [Member] | Income Approach Valuation Technique [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis, Valuation Techniques [Line Items] | ' | ' |
AUM growth rate | 23.00% | 25.00% |
EBITDA margin | 34.40% | 38.90% |
Contingent Consideration Liability [Member] | Weighted Average [Member] | Income Approach Valuation Technique [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis, Valuation Techniques [Line Items] | ' | ' |
Discount Rate | 14.00% | 14.00% |
AUM growth rate | 12.00% | 14.60% |
EBITDA margin | 30.50% | 34.40% |
Life settlement contracts [Member] | Minimum [Member] | Income Approach Valuation Technique [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis, Valuation Techniques [Line Items] | ' | ' |
Life Expectancy (in months) | 24 | 25 |
Discount Rate | 3.30% | 3.30% |
Life settlement contracts [Member] | Maximum [Member] | Income Approach Valuation Technique [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis, Valuation Techniques [Line Items] | ' | ' |
Life Expectancy (in months) | 153 | 160 |
Discount Rate | 21.70% | 21.70% |
Life settlement contracts [Member] | Weighted Average [Member] | Income Approach Valuation Technique [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis, Valuation Techniques [Line Items] | ' | ' |
Life Expectancy (in months) | 73 | 76 |
Discount Rate | 11.70% | 11.70% |
Fair_Value_Measurements_Schedu1
Fair Value Measurements - Schedule of financial instruments not measured at fair value (Details) (USD $) | Jun. 30, 2014 | Sep. 30, 2013 | ||
In Millions, unless otherwise specified | ||||
Cash and cash equivalents | $7,604.20 | $6,186 | ||
Loans receivable, net | 3.7 | 229.7 | ||
Deposits | 664.2 | 586.8 | ||
Carrying Value [Member] | ' | ' | ||
Cash and cash equivalents | 7,604.20 | 6,186 | ||
Other Investments | 81 | [1] | 61.1 | [1] |
Loans receivable, net | 3.7 | 229.7 | ||
Deposits | 664.2 | 586.8 | ||
Debt | 1,198.10 | 1,197.70 | ||
Estimated Fair Value [Member] | ' | ' | ||
Cash and cash equivalents | 7,604.20 | 6,186 | ||
Other Investments | 92.4 | [1] | 69.2 | [1] |
Loans receivable, net | 3.9 | 230.1 | ||
Deposits | 664.2 | 587.2 | ||
Debt | $1,244.40 | $1,221.50 | ||
Deposits [Member] | ' | ' | ||
Fair Value Level | 2 | ' | ||
Debt [Member] | ' | ' | ||
Fair Value Level | 2 | ' | ||
Cash and Cash Equivalents [Member] | ' | ' | ||
Fair Value Level | 1 | ' | ||
Other Investments [Member] | Time Deposits [Member] | ' | ' | ||
Fair Value Level | 2 | ' | ||
Other Investments [Member] | Cost-method Investments [Member] | ' | ' | ||
Fair Value Level | 3 | ' | ||
Loans Receivable [Member] | ' | ' | ||
Fair Value Level | 2 | ' | ||
[1] | Primarily consist of Level 3 assets. |
Debt_Narrative_Details
Debt - Narrative (Details) (USD $) | Jun. 30, 2014 |
Face value of senior notes | $1,200,000,000 |
Secured FHLB short-term borrowing capacity | 14,000,000 |
Commercial Paper [Member] | ' |
Line Of Credit Facility Maximum Borrowing Capacity | 500,000,000 |
Federal Reserve Bank Uncommitted [Member] | ' |
Line Of Credit Facility Maximum Borrowing Capacity | 260,000,000 |
Short-term Debt [Member] | ' |
Line Of Credit Facility Maximum Borrowing Capacity | $14,100,000 |
Debt_Outstanding_Debt_Details
Debt - Outstanding Debt (Details) (USD $) | Jun. 30, 2014 | Sep. 30, 2013 |
In Millions, unless otherwise specified | ||
Total Debt | $1,198.10 | $1,197.70 |
Notes Due 2015 [Member] | ' | ' |
Effective Interest Rate | 3.32% | 3.32% |
Debt | 250 | 249.9 |
Face value of senior notes | 250 | ' |
Stated interest rate | 3.13% | ' |
Notes Due 2017 [Member] | ' | ' |
Effective Interest Rate | 1.66% | 1.66% |
Debt | 298.9 | 298.7 |
Face value of senior notes | 300 | ' |
Stated interest rate | 1.38% | ' |
Notes Due 2020 [Member] | ' | ' |
Effective Interest Rate | 4.74% | 4.74% |
Debt | 349.8 | 349.7 |
Face value of senior notes | 350 | ' |
Stated interest rate | 4.63% | ' |
Notes Due 2022 [Member] | ' | ' |
Effective Interest Rate | 2.93% | 2.93% |
Debt | 299.4 | 299.4 |
Face value of senior notes | $300 | ' |
Stated interest rate | 2.80% | ' |
Debt_Debt_Maturity_Details
Debt - Debt Maturity (Details) (USD $) | Jun. 30, 2014 | Sep. 30, 2013 |
In Millions, unless otherwise specified | ||
Long-term Debt, Fiscal Year Maturity [Abstract] | ' | ' |
2014 | $0 | ' |
2015 | 250 | ' |
2016 | 0 | ' |
2017 | 298.9 | ' |
2018 | 0 | ' |
Thereafter | 649.2 | ' |
Total Debt | $1,198.10 | $1,197.70 |
Variable_Interest_Entities_and3
Variable Interest Entities and Consolidated Sponsored Investment Products - Narrative (Details) (USD $) | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Sep. 30, 2013 | |
Number of sponsored investment products consolidated | 29 | ' | 29 | ' | 36 |
Liquidation weighted average period | ' | ' | '4 years 3 months 0 days | ' | '4 years 8 months 0 days |
Consolidated SIPs' unfunded commitments | $206,300,000 | ' | $206,300,000 | ' | $135,500,000 |
Unfunded commitments company contractually obligated to fund | 4,100,000 | ' | 4,100,000 | ' | 2,800,000 |
Transfers into Level 2 from Level 1 - assets | 0 | 0 | 0 | 0 | ' |
Transfers into Level 2 from Level 1 - liabilities | 0 | 0 | 0 | 0 | ' |
Transfers into Level 1 from Level 2 - assets | 0 | 0 | 0 | 0 | ' |
Transfers into Level 1 from Level 2 - liabilities | 0 | 0 | 0 | 0 | ' |
Securities adjusted for quoted market prices | ' | 47,000,000 | ' | 47,000,000 | ' |
Number of countries impacted by price changes | ' | 16 | ' | 16 | ' |
Debt of consolidated variable interest entities | 853,200,000 | ' | 853,200,000 | ' | 988,500,000 |
Investments in various funds held by consolidated SIPs for which fair value was estimated using NAV | 661,800,000 | ' | 661,800,000 | ' | 442,000,000 |
AUM of non-consolidated VIEs | 43,000,000,000 | ' | 43,000,000,000 | ' | 37,300,000,000 |
Collateralized Loan Obligations [Member] | ' | ' | ' | ' | ' |
Floating interest rate, minimum | ' | ' | 0.45% | ' | 0.50% |
Floating interest rate, maximum | ' | ' | 9.73% | ' | 9.77% |
Consolidated sponsored investment products [Member] | ' | ' | ' | ' | ' |
Interest Rate, Minimum | ' | ' | 2.19% | ' | 2.45% |
Interest Rate, Maximum | ' | ' | 5.89% | ' | 5.83% |
Transfers into Level 2 from Level 1 - assets quarter to date | 0 | 400,000 | ' | ' | ' |
Transfers into Level 2 from Level 1 - assets | 100,000 | 47,400,000 | 100,000 | 47,400,000 | ' |
Transfers into Level 2 from Level 1 - liabilities | 0 | 0 | 0 | 0 | ' |
Transfers into Level 1 from Level 2 - assets quarter to date | 100,000 | 100,000 | ' | ' | ' |
Transfers into Level 1 from Level 2 - assets | 200,000 | 53,900,000 | 200,000 | 53,900,000 | ' |
Transfers into Level 1 from Level 2 - liabilities | 0 | 0 | 0 | 0 | ' |
Transfers into or out of Level 3 - assets | 0 | 0 | 0 | 0 | ' |
Transfers into or out of Level 3 - liabilities | 0 | 0 | 0 | 0 | ' |
Investments in various funds held by consolidated SIPs for which fair value was estimated using NAV | 385,400,000 | ' | 385,400,000 | ' | 243,600,000 |
Level 3 [Member] | Consolidated variable interest entities [Member] | ' | ' | ' | ' | ' |
Debt of consolidated variable interest entities | $48,000,000 | ' | $48,000,000 | ' | $59,700,000 |
Variable_Interest_Entities_and4
Variable Interest Entities and Consolidated Sponsored Investment Products - Schedule of balances of consolidated VIEs and consolidated SIPs (Details) (USD $) | Jun. 30, 2014 | Sep. 30, 2013 |
In Millions, unless otherwise specified | ||
Variable Interest Entity [Line Items] | ' | ' |
Cash and cash equivalents | $7,604.20 | $6,186 |
Receivables | 999.1 | 1,038.90 |
Investments, at fair value | 1,833.90 | 1,892.70 |
Other assets | 169.3 | 179.4 |
Total Assets | 16,691.90 | 15,390.30 |
Accounts payable and accrued expenses | 302.6 | 273.7 |
Debt of consolidated variable interest entities | 853.2 | 988.5 |
Debt | 1,198.10 | 1,197.70 |
Debt of consolidated sponsored investment products | 138.9 | 108.9 |
Other liabilities | 271.5 | 272.7 |
Total liabilities | 4,587.30 | 4,583 |
Redeemable Noncontrolling Interests | 183.7 | 121.8 |
Franklin Resources, Inc.’s interests | 11,295.30 | 10,073.10 |
Nonredeemable noncontrolling interests | 625.6 | 612.4 |
Total stockholders’ equity | 11,920.90 | 10,685.50 |
Total Liabilities, Redeemable Noncontrolling Interests and Stockholders' Equity | 16,691.90 | 15,390.30 |
Consolidated variable interest entities [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Cash and cash equivalents | 58 | 44 |
Receivables | 21.5 | 37.7 |
Investments, at fair value | 819.4 | 941.1 |
Other assets | 0 | 0 |
Total Assets | 898.9 | 1,022.80 |
Accounts payable and accrued expenses | 21.2 | 10.9 |
Other liabilities, at fair value | 0 | 0 |
Total liabilities | 874.4 | 999.4 |
Redeemable Noncontrolling Interests | 0 | 0 |
Franklin Resources, Inc.’s interests | 24.5 | 23.4 |
Nonredeemable noncontrolling interests | 0 | 0 |
Total stockholders’ equity | 24.5 | 23.4 |
Total Liabilities, Redeemable Noncontrolling Interests and Stockholders' Equity | 898.9 | 1,022.80 |
Consolidated sponsored investment products [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Cash and cash equivalents | 35.4 | 93.1 |
Receivables | 19.1 | 19.1 |
Investments, at fair value | 1,367.30 | 1,203.20 |
Other assets | 0.7 | 0.7 |
Total Assets | 1,422.50 | 1,316.10 |
Accounts payable and accrued expenses | 25.4 | 25.2 |
Other liabilities | 11.3 | 8.5 |
Total liabilities | 175.6 | 142.6 |
Redeemable Noncontrolling Interests | 183.7 | 121.8 |
Franklin Resources, Inc.’s interests | 454.1 | 454.8 |
Nonredeemable noncontrolling interests | 609.1 | 596.9 |
Total stockholders’ equity | 1,063.20 | 1,051.70 |
Total Liabilities, Redeemable Noncontrolling Interests and Stockholders' Equity | 1,422.50 | 1,316.10 |
Total VIEs and SIPs [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Cash and cash equivalents | 93.4 | 137.1 |
Receivables | 40.6 | 56.8 |
Investments, at fair value | 2,186.70 | 2,144.30 |
Other assets | 0.7 | 0.7 |
Total Assets | 2,321.40 | 2,338.90 |
Accounts payable and accrued expenses | 46.6 | 36.1 |
Debt of consolidated variable interest entities | 853.2 | 988.5 |
Debt of consolidated sponsored investment products | 138.9 | 108.9 |
Other liabilities | 11.3 | 8.5 |
Total liabilities | 1,050 | 1,142 |
Redeemable Noncontrolling Interests | 183.7 | 121.8 |
Franklin Resources, Inc.’s interests | 478.6 | 478.2 |
Nonredeemable noncontrolling interests | 609.1 | 596.9 |
Total stockholders’ equity | 1,087.70 | 1,075.10 |
Total Liabilities, Redeemable Noncontrolling Interests and Stockholders' Equity | 2,321.40 | 2,338.90 |
Debt of Consolidated Variable Interest Entities [Member] | Consolidated variable interest entities [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Debt | $0 | $0 |
Variable_Interest_Entities_and5
Variable Interest Entities and Consolidated Sponsored Investment Products - Schedule of changes in fair values of underlying assets and liabilities of the Collateralized Loan Obligations (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Variable Interest Entities and Consolidated Sponsored Investment Products [Abstract] | ' | ' | ' | ' |
Net gains from changes in fair value of assets | $7.10 | $17.20 | $31.50 | $58.30 |
Net losses from changes in fair value of liabilities | -7.6 | -18.1 | -24.1 | -86 |
Total Net Gains (Losses) | ($0.50) | ($0.90) | $7.40 | ($27.70) |
Variable_Interest_Entities_and6
Variable Interest Entities and Consolidated Sponsored Investment Products - Unpaid Principal Balance and Fair Value of Investments and Long-Term Debt of Consolidated CLOs (Details) (USD $) | Jun. 30, 2014 | Sep. 30, 2013 |
In Millions, unless otherwise specified | ||
Total investments, unpaid principal balance | $2,615.40 | $2,439.20 |
Total investments, fair value | 1,833.90 | 1,892.70 |
Debt, unpaid principal balance | 1,198.10 | 1,197.70 |
Collateralized Loan Obligations [Member] | ' | ' |
Total investments, unpaid principal balance | 816.3 | 943.6 |
Total investments, difference between unpaid principal and fair value | 3.1 | -2.5 |
Total investments, fair value | 819.4 | 941.1 |
Investments - 90 days or more past due, unpaid principal balance | ' | 7.9 |
Investments - 90 days or more past due, difference between unpaid principal and fair value | ' | -7.7 |
Investments - 90 days or more past due, fair value | ' | 0.2 |
Debt, unpaid principal balance | 887.7 | 1,017.80 |
Debt, difference between unpaid principal and fair value | -34.5 | -29.3 |
Debt, fair value | $853.20 | $988.50 |
Variable_Interest_Entities_and7
Variable Interest Entities and Consolidated Sponsored Investment Products - Schedule of investments of consolidated VIEs and consolidated SIPs (Details) (USD $) | Jun. 30, 2014 | Sep. 30, 2013 |
In Millions, unless otherwise specified | ||
Variable Interest Entity [Line Items] | ' | ' |
Investment securities, trading | $1,277.40 | $1,196.70 |
Total investments, fair value | 1,833.90 | 1,892.70 |
Consolidated variable interest entities [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Investment securities, trading | 0 | 0 |
Other debt securities | 819.4 | 941.1 |
Other equity securities | 0 | 0 |
Total investments, fair value | 819.4 | 941.1 |
Consolidated sponsored investment products [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Investment securities, trading | 241 | 244.1 |
Other debt securities | 219.3 | 272.3 |
Other equity securities | 907 | 686.8 |
Total investments, fair value | 1,367.30 | 1,203.20 |
Total VIEs and SIPs [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Investment securities, trading | 241 | 244.1 |
Other debt securities | 1,038.70 | 1,213.40 |
Other equity securities | 907 | 686.8 |
Total investments, fair value | $2,186.70 | $2,144.30 |
Variable_Interest_Entities_and8
Variable Interest Entities and Consolidated Sponsored Investment Products - Schedule of debt of consolidated VIEs and consolidated SIPs (Details) (USD $) | Jun. 30, 2014 | Sep. 30, 2013 |
In Millions, unless otherwise specified | ||
Variable Interest Entity [Line Items] | ' | ' |
Debt of consolidated variable interest entities | $853.20 | $988.50 |
Debt of consolidated sponsored investment products | 138.9 | 108.9 |
Consolidated sponsored investment products [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Effective Interest Rate | 3.70% | 4.08% |
Total VIEs and SIPs [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Debt of consolidated variable interest entities | 853.2 | 988.5 |
Debt of consolidated sponsored investment products | 138.9 | 108.9 |
Total Debt | $992.10 | $1,097.40 |
Debt of Consolidated Variable Interest Entities At Fair Value [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Effective Interest Rate | 1.40% | 1.32% |
Variable_Interest_Entities_and9
Variable Interest Entities and Consolidated Sponsored Investment Products - Schedule of contractual maturities for debt of consolidated VIEs and consolidated SIPs (Details) (USD $) | Jun. 30, 2014 | Sep. 30, 2013 |
In Millions, unless otherwise specified | ||
Variable Interest Entity [Line Items] | ' | ' |
2014 | $0 | ' |
2015 | 250 | ' |
2016 | 0 | ' |
2017 | 298.9 | ' |
2018 | 0 | ' |
Thereafter | 649.2 | ' |
Total VIEs and SIPs [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
2014 | 65.6 | ' |
2015 | 0 | ' |
2016 | 0 | ' |
2017 | 28.1 | ' |
2018 | 276.4 | ' |
Thereafter | 622 | ' |
Total Debt | $992.10 | $1,097.40 |
Recovered_Sheet1
Variable Interest Entities and Consolidated Sponsored Investment Products - Schedule of balances of assets and liabilities of consolidated VIEs and consolidated SIPs measured at fair value (Details) (USD $) | Jun. 30, 2014 | Sep. 30, 2013 |
In Millions, unless otherwise specified | ||
Variable Interest Entity [Line Items] | ' | ' |
Cash and cash equivalents | $7,604.20 | $6,186 |
Investments, at fair value | 1,833.90 | 1,892.70 |
Total Assets Measured at Fair Value | 1,833.90 | 1,892.70 |
Debt of consolidated variable interest entities | 853.2 | 988.5 |
Consolidated variable interest entities [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Cash and cash equivalents | 58 | 44 |
Investments, at fair value | 819.4 | 941.1 |
Debt Securities | 819.4 | 941.1 |
Equity Securities | 0 | 0 |
Other liabilities, at fair value | 0 | 0 |
Consolidated sponsored investment products [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Cash and cash equivalents | 35.4 | 93.1 |
Investments, at fair value | 1,367.30 | 1,203.20 |
Debt Securities | 219.3 | 272.3 |
Equity Securities | 907 | 686.8 |
Total [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Cash and cash equivalents | 58 | 44 |
Receivables of consolidated VIEs | 21.5 | 37.7 |
Investments, at fair value | 819.4 | 941.1 |
Debt Securities | 317.6 | 360.6 |
Equity Securities | 1,049.70 | 842.6 |
Accounts payable and accrued expenses of consolidated VIEs | 21.2 | 10.9 |
Debt of consolidated variable interest entities | 853.2 | 988.5 |
Other liabilities, at fair value | 3.7 | ' |
Total VIEs and SIPs [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Cash and cash equivalents | 93.4 | 137.1 |
Investments, at fair value | 2,186.70 | 2,144.30 |
Debt Securities | 1,038.70 | 1,213.40 |
Equity Securities | 907 | 686.8 |
Total Assets Measured at Fair Value | 2,266.20 | 2,226 |
Debt of consolidated variable interest entities | 853.2 | 988.5 |
Total Liabilities Measured at Fair Value | 878.1 | 999.4 |
Level 1 [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Total Assets Measured at Fair Value | 1,702.30 | 1,667.40 |
Level 1 [Member] | Consolidated variable interest entities [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Cash and cash equivalents | 58 | 44 |
Receivables of consolidated VIEs | 0 | 0 |
Investments, at fair value | 0 | 0 |
Accounts payable and accrued expenses of consolidated VIEs | 0 | 0 |
Debt of consolidated variable interest entities | 0 | 0 |
Level 1 [Member] | Consolidated sponsored investment products [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Debt Securities | 0.9 | 4.5 |
Equity Securities | 144.1 | 158.1 |
Other liabilities, at fair value | 3.7 | ' |
Level 1 [Member] | Total VIEs and SIPs [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Total Assets Measured at Fair Value | 203 | 206.6 |
Total Liabilities Measured at Fair Value | 3.7 | 0 |
Level 2 [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Total Assets Measured at Fair Value | 117.8 | 211.5 |
Level 2 [Member] | Consolidated variable interest entities [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Cash and cash equivalents | 0 | 0 |
Receivables of consolidated VIEs | 21.5 | 37.7 |
Investments, at fair value | 818.9 | 940.6 |
Accounts payable and accrued expenses of consolidated VIEs | 21.2 | 10.9 |
Debt of consolidated variable interest entities | 805.2 | 928.8 |
Level 2 [Member] | Consolidated sponsored investment products [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Debt Securities | 96.8 | 83.8 |
Equity Securities | 276.7 | 213.6 |
Other liabilities, at fair value | 0 | ' |
Level 2 [Member] | Total VIEs and SIPs [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Total Assets Measured at Fair Value | 1,213.90 | 1,275.70 |
Total Liabilities Measured at Fair Value | 826.4 | 939.7 |
Level 3 [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Total Assets Measured at Fair Value | 13.8 | 13.8 |
Level 3 [Member] | Consolidated variable interest entities [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Cash and cash equivalents | 0 | 0 |
Receivables of consolidated VIEs | 0 | 0 |
Investments, at fair value | 0.5 | 0.5 |
Accounts payable and accrued expenses of consolidated VIEs | 0 | 0 |
Debt of consolidated variable interest entities | 48 | 59.7 |
Level 3 [Member] | Consolidated sponsored investment products [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Debt Securities | ' | 272.3 |
Equity Securities | 628.9 | 470.9 |
Other liabilities, at fair value | 0 | ' |
Level 3 [Member] | Total VIEs and SIPs [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Total Assets Measured at Fair Value | 849.3 | 743.7 |
Total Liabilities Measured at Fair Value | $48 | $59.70 |
Recovered_Sheet2
Variable Interest Entities and Consolidated Sponsored Investment Products - Schedule of investments in fund products for which fair value was estimated using NAV as a practical expedient (Details) (USD $) | Jun. 30, 2014 | Sep. 30, 2013 |
In Millions, unless otherwise specified | ||
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ' | ' |
Investments in funds products for which fair value was estimated using NAV | $661.80 | $442 |
Hedge Funds [Member] | Level 2 [Member] | ' | ' |
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ' | ' |
Investments in funds products for which fair value was estimated using NAV | 25.8 | 6.6 |
Hedge Funds [Member] | Level 3 [Member] | ' | ' |
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ' | ' |
Investments in funds products for which fair value was estimated using NAV | 1.7 | 1.5 |
Global Fixed-Income Funds [Member] | Level 2 [Member] | ' | ' |
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ' | ' |
Investments in funds products for which fair value was estimated using NAV | 250.6 | 191.8 |
Real Estate and Private Equity Funds [Member] | Level 3 [Member] | ' | ' |
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ' | ' |
Investments in funds products for which fair value was estimated using NAV | $383.70 | $242.10 |
Recovered_Sheet3
Variable Interest Entities and Consolidated Sponsored Investment Products - Schedule of changes in Level 3 assets and liabilities of consolidated VIEs and consolidated SIPs (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Variable Interest Entity [Line Items] | ' | ' | ' | ' |
Balance at beginning of period - assets | $13.60 | $13.40 | $13.80 | $14.80 |
Balance at beginning of period - liabilities | -104.2 | -90 | -97.7 | 0 |
Purchases - assets | 0 | 0.4 | 0.1 | 1.1 |
Purchases - liabilities | 0 | 0 | 0 | 0 |
Sales - assets | ' | ' | -0.7 | -1.6 |
Sales - liabilities | ' | ' | 0 | 0 |
Transfers into Level 3 - assets | 0 | 0 | 0 | 0 |
Transfers into Level 3 - liabilities | 0 | 0 | 0 | 0 |
Transfers out of Level 3 - assets | 0 | 0 | 0 | 0 |
Transfers out of Level 3 - liabilities | 0 | 0 | 0 | 0 |
Balance at end of period - assets | 13.8 | 13.7 | 13.8 | 13.7 |
Balance at end of period - liabilities | -98.8 | -96.8 | -98.8 | -96.8 |
Investments of Consolidated VIEs [Member] | ' | ' | ' | ' |
Variable Interest Entity [Line Items] | ' | ' | ' | ' |
Balance at beginning of period - assets | 0.5 | ' | 0.5 | ' |
Realized and unrealized gains (losses) included in investment and other income, net - assets | 0 | ' | 0 | ' |
Purchases - assets | 0 | ' | 0 | ' |
Sales - assets | 0 | ' | 0 | ' |
Transfers into Level 3 - assets | 0 | ' | 0 | ' |
Transfers out of Level 3 - assets | 0 | ' | 0 | ' |
Effect of exchange rate changes | 0 | ' | 0 | ' |
Balance at end of period - assets | 0.5 | ' | 0.5 | ' |
Change in unrealized gains (losses) included in net income relating to assets and liabilities held at period end | 0 | ' | 0 | ' |
Debt Securities [Member] | ' | ' | ' | ' |
Variable Interest Entity [Line Items] | ' | ' | ' | ' |
Balance at beginning of period - assets | 268.5 | 330.2 | 272.3 | 317.5 |
Realized and unrealized gains (losses) included in investment and other income, net - assets | -1.3 | 3.2 | -22.7 | 9 |
Purchases - assets | 10.8 | 4 | 49.5 | 57.4 |
Sales - assets | -58.3 | -5.5 | -80.9 | -51.5 |
Transfers into Level 3 - assets | 0.6 | ' | 0.6 | ' |
Transfers out of Level 3 - assets | 0 | ' | 0 | ' |
Acquisition - assets | ' | ' | ' | 0 |
Reclassification to Level 2 | ' | 0 | ' | 0 |
Effect of exchange rate changes | -0.4 | 2.1 | 1.1 | 1.6 |
Balance at end of period - assets | 219.9 | 334 | 219.9 | 334 |
Change in unrealized gains (losses) included in net income relating to assets and liabilities held at period end | -1.5 | 3.2 | -23.8 | 37 |
Other Equity Securities [Member] | ' | ' | ' | ' |
Variable Interest Entity [Line Items] | ' | ' | ' | ' |
Balance at beginning of period - assets | 552.1 | 624.5 | 470.9 | 527 |
Realized and unrealized gains (losses) included in investment and other income, net - assets | 51.6 | 6.9 | 32.1 | 56.9 |
Purchases - assets | 36.7 | 28.2 | 163.2 | 114.1 |
Sales - assets | -10.6 | -7 | -37.3 | -46.1 |
Transfers into Level 3 - assets | 0 | ' | 0 | ' |
Transfers out of Level 3 - assets | -0.6 | ' | -0.6 | ' |
Acquisition - assets | ' | ' | ' | 0.8 |
Reclassification to Level 2 | ' | -205.4 | ' | -205.4 |
Effect of exchange rate changes | -0.3 | 0.9 | 0.6 | 0.8 |
Balance at end of period - assets | 628.9 | 448.1 | 628.9 | 448.1 |
Change in unrealized gains (losses) included in net income relating to assets and liabilities held at period end | 51.8 | 6.9 | 32.3 | 22.2 |
Debt of Consolidated VIEs [Member] | ' | ' | ' | ' |
Variable Interest Entity [Line Items] | ' | ' | ' | ' |
Balance at beginning of period - liabilities | -51.1 | -75.8 | -59.7 | -67.9 |
Realized and unrealized gains (losses) included in investment and other income, net - liabilities | 3.1 | 8.8 | 11.7 | 0.9 |
Purchases - liabilities | 0 | 0 | 0 | 0 |
Sales - liabilities | 0 | 0 | 0 | 0 |
Transfers into Level 3 - liabilities | 0 | ' | 0 | ' |
Transfers out of Level 3 - liabilities | 0 | ' | 0 | ' |
Acquisition - liabilities | ' | ' | ' | 0 |
Reclassification to Level 2 | ' | 0 | ' | 0 |
Effect of exchange rate changes | 0 | 0 | 0 | 0 |
Balance at end of period - liabilities | -48 | -67 | -48 | -67 |
Change in unrealized gains (losses) included in net income relating to assets and liabilities held at period end | 3.1 | -6 | 11.7 | 1.9 |
Level 3 [Member] | ' | ' | ' | ' |
Variable Interest Entity [Line Items] | ' | ' | ' | ' |
Balance at beginning of period - assets | 821.1 | 954.7 | 743.7 | 844.5 |
Realized and unrealized gains (losses) included in investment and other income, net - assets | 50.3 | 10.1 | 9.4 | 65.9 |
Purchases - assets | 47.5 | 32.2 | 212.7 | 171.5 |
Sales - assets | -68.9 | -12.5 | -118.2 | -97.6 |
Transfers into Level 3 - assets | 0.6 | ' | 0.6 | ' |
Transfers out of Level 3 - assets | -0.6 | ' | -0.6 | ' |
Acquisition - assets | ' | ' | ' | 0.8 |
Reclassification to Level 2 | ' | -205.4 | ' | -205.4 |
Effect of exchange rate changes | -0.7 | 3 | 1.7 | 2.4 |
Balance at end of period - assets | 849.3 | 782.1 | 849.3 | 782.1 |
Change in unrealized gains (losses) included in net income relating to assets and liabilities held at period end | $50.30 | $10.10 | $8.50 | $59.20 |
Recovered_Sheet4
Variable Interest Entities and Consolidated Sponsored Investment Products - Schedule of valuation techniques and significant unobservable inputs used in recurring Level 3 fair value measurements (Details) (USD $) | 9 Months Ended | 12 Months Ended |
In Millions, except Per Share data, unless otherwise specified | Jun. 30, 2014 | Sep. 30, 2013 |
Debt Securities [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis, Valuation Techniques [Line Items] | ' | ' |
Debt Securities | $219.90 | 272.3 |
Market Approach Valuation Technique [Member] | Other Equity Securities [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis, Valuation Techniques [Line Items] | ' | ' |
Price to book value ratio | ' | 1.7 |
Income Approach Valuation Technique [Member] | Other Equity Securities [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis, Valuation Techniques [Line Items] | ' | ' |
Equity Securities | 30.9 | 70.8 |
Market pricing approach valuation technique [Member] | Other Equity Securities [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis, Valuation Techniques [Line Items] | ' | ' |
Equity Securities | 29.8 | 19.1 |
Market comparable companies approach valuation technique [Member] | Other Equity Securities [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis, Valuation Techniques [Line Items] | ' | ' |
Equity Securities | $182.80 | 137.4 |
Minimum [Member] | Market Approach Valuation Technique [Member] | Other Equity Securities [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis, Valuation Techniques [Line Items] | ' | ' |
Discount for lack of marketability | 20.00% | 20.00% |
EBITDA multiple | 1 | 5 |
Price to book value ratio | $1.80 | ' |
Minimum [Member] | Income Approach Valuation Technique [Member] | Debt Securities [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis, Valuation Techniques [Line Items] | ' | ' |
Discount Rate | 3.60% | 5.70% |
Risk premium | 0.00% | 0.00% |
Minimum [Member] | Income Approach Valuation Technique [Member] | Other Equity Securities [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis, Valuation Techniques [Line Items] | ' | ' |
Discount Rate | 6.00% | 12.00% |
Discount for lack of marketability | ' | 0.00% |
Maximum [Member] | Market Approach Valuation Technique [Member] | Other Equity Securities [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis, Valuation Techniques [Line Items] | ' | ' |
Discount for lack of marketability | 50.00% | 30.00% |
EBITDA multiple | 14 | 10.2 |
Price to book value ratio | $2.80 | ' |
Maximum [Member] | Income Approach Valuation Technique [Member] | Debt Securities [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis, Valuation Techniques [Line Items] | ' | ' |
Discount Rate | 18.00% | 25.60% |
Risk premium | 18.00% | 19.30% |
Maximum [Member] | Income Approach Valuation Technique [Member] | Other Equity Securities [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis, Valuation Techniques [Line Items] | ' | ' |
Discount Rate | 18.00% | 18.00% |
Discount for lack of marketability | ' | 50.00% |
Weighted Average [Member] | Market Approach Valuation Technique [Member] | Other Equity Securities [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis, Valuation Techniques [Line Items] | ' | ' |
Discount for lack of marketability | 41.50% | 23.70% |
EBITDA multiple | 7.4 | 8 |
Price to book value ratio | $2.10 | ' |
Weighted Average [Member] | Income Approach Valuation Technique [Member] | Debt Securities [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis, Valuation Techniques [Line Items] | ' | ' |
Discount Rate | 11.30% | 8.30% |
Risk premium | 3.30% | 2.20% |
Weighted Average [Member] | Income Approach Valuation Technique [Member] | Other Equity Securities [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis, Valuation Techniques [Line Items] | ' | ' |
Discount Rate | 16.40% | 16.20% |
Discount for lack of marketability | ' | 20.60% |
Recovered_Sheet5
Variable Interest Entities and Consolidated Sponsored Investment Products - Schedule of financial instruments of consolidated VIEs and consolidated SIPs not measured at fair value (Details) (USD $) | Jun. 30, 2014 | Sep. 30, 2013 |
In Millions, unless otherwise specified | ||
Variable Interest Entity [Line Items] | ' | ' |
Cash and cash equivalents | $7,604.20 | $6,186 |
Debt of consolidated SIPs | 138.9 | 108.9 |
Consolidated sponsored investment products [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Cash and cash equivalents | 35.4 | 93.1 |
Cash and Cash Equivalents [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Fair Value Level | 1 | ' |
Cash and Cash Equivalents [Member] | Consolidated sponsored investment products [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Fair Value Level | 1 | ' |
Debt of consolidated SIPs [Member] | Consolidated sponsored investment products [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Fair Value Level | 3 | ' |
Estimated Fair Value [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Cash and cash equivalents | 7,604.20 | 6,186 |
Estimated Fair Value [Member] | Consolidated sponsored investment products [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Cash and cash equivalents | 35.4 | 93.1 |
Debt of consolidated SIPs | $140.90 | $110.40 |
Recovered_Sheet6
Variable Interest Entities and Consolidated Sponsored Investment Products - Schedule of Maximum Exposure to Loss on non-consolidated VIEs (Details) (USD $) | Jun. 30, 2014 | Sep. 30, 2013 |
In Millions, unless otherwise specified | ||
Non-consolidated VIEs carrying value | $297.20 | $244.80 |
Receivables [Member] | ' | ' |
Non-consolidated VIEs carrying value | 57.5 | 46.3 |
Investments [Member] | ' | ' |
Non-consolidated VIEs carrying value | $239.70 | $198.50 |
Commitments_and_Contingencies_
Commitments and Contingencies Narrative (Details) (USD $) | Jun. 30, 2014 | Sep. 30, 2013 |
In Millions, unless otherwise specified | ||
Commitments and Contingencies Disclosure [Abstract] | ' | ' |
Off-balance sheet cash held in agency or trust | $174.60 | $236.40 |
StockBased_Compensation_Narrat
Stock-Based Compensation - Narrative (Details) (USD $) | 9 Months Ended |
In Millions, unless otherwise specified | Jun. 30, 2014 |
Share-based Compensation [Abstract] | ' |
Unrecognized compensation cost related to nonvested awards net of estimated forfeitures | $157.10 |
Unrecognized compensation cost remaining weighted-average vesting period | '1 year 10 months 0 days |
StockBased_Compensation_Detail
Stock-Based Compensation (Details) (USD $) | 9 Months Ended |
In Thousands, except Per Share data, unless otherwise specified | Jun. 30, 2014 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | ' |
Nonvested beginning balance shares | 3,732 |
Nonvested beginning balance, Weighted Average Grant Date Fair Value | $40.61 |
Shares granted | 2,624 |
Weighted Average Grant Date Fair Value of shares granted | $53.87 |
Shares vested | -542 |
Weighted Average Grant Date Fair Value of shares vested | $40.35 |
Shares forfeited/canceled | -152 |
Weighted Average Grant Date Fair Value of shares forfeited/canceled | $45.55 |
Nonvested ending balance shares | 5,662 |
Nonvested ending balance, Weighted Average Grant Date Fair Value | $46.65 |
Other_Income_Expenses_Narrativ
Other Income (Expenses) - Narrative (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Other Income and Expenses [Abstract] | ' | ' | ' | ' |
Proceeds from the sale of available-for-sale securities | $95.60 | $54 | $284.20 | $254 |
Recognized net gains (losses) on trading investment securities | 2 | -12.1 | 7.2 | -2.7 |
Net gains (losses) on trading investment securities of consolidated SIPs | $4.20 | ($6.90) | $10.30 | $6.80 |
Other_Income_Expenses_Schedule
Other Income (Expenses) - Schedule of Other Nonoperating Income and Expense by Component (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Other Income and Expenses [Abstract] | ' | ' | ' | ' |
Dividend income | $2.50 | $2.10 | $7.80 | $7.60 |
Interest income | 2.1 | 2.4 | 6.8 | 7.9 |
Gains (losses) on trading investment securities, net | 2.6 | -11.1 | 9.7 | 2.5 |
Realized gains on sale of investment securities, available-for-sale | 7.8 | 9 | 38.4 | 36.8 |
Realized losses on sale of investment securities, available-for-sale | 0 | -0.3 | -0.8 | -0.3 |
Income from investments in equity method investees | 33.6 | 12.1 | 68.2 | 54.3 |
Other-than-temporary impairment of investments | 0 | -0.8 | -0.6 | -1.8 |
Gains on investments of consolidated SIPs, net | 59.4 | 3.8 | 38.7 | 66.2 |
Gains (losses) on assets and liabilities of consolidated VIEs, net | -0.5 | -0.9 | 7.4 | -27.7 |
Foreign currency exchange gains (losses), net | 0.3 | -8.5 | -12.3 | -1.2 |
Other, net | -0.2 | 2.5 | 9.5 | 8 |
Total | 107.6 | 10.3 | 172.8 | 152.3 |
Interest expense | -10.9 | -10 | -34.9 | -35.4 |
Other Income, Net | $96.70 | $0.30 | $137.90 | $116.90 |
Accumulated_Other_Comprehensiv2
Accumulated Other Comprehensive Income - Changes in accumulated other comprehensive income by component (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Balance at beginning of period | ' | ' | $6.10 | ' |
Net unrealized gains (losses) on investments, net of tax | 2.5 | -9 | -6 | -28 |
Currency translation adjustments, net of tax | 17.2 | -47.7 | 25.2 | -82.7 |
Net unrealized gains (losses) on defined benefit plans, net of tax | 0.1 | -0.4 | -1.1 | 0.3 |
Balance at end of period | 24.2 | ' | 24.2 | ' |
Unrealized Gains (Losses) on Investments [Member] | ' | ' | ' | ' |
Balance at beginning of period | 63.4 | ' | 71.9 | ' |
Other comprehensive income (loss) before reclassifications, net of tax | 17.9 | ' | 22.9 | ' |
Reclassifications to net investment and other income, net of tax | -15.4 | ' | -28.9 | ' |
Net unrealized gains (losses) on investments, net of tax | 2.5 | ' | -6 | ' |
Balance at end of period | 65.9 | ' | 65.9 | ' |
Currency Translation Adjustments [Member] | ' | ' | ' | ' |
Balance at beginning of period | -55.2 | ' | -63.2 | ' |
Other comprehensive income (loss) before reclassifications, net of tax | 17.2 | ' | 25.2 | ' |
Reclassifications to net investment and other income, net of tax | 0 | ' | 0 | ' |
Currency translation adjustments, net of tax | 17.2 | ' | 25.2 | ' |
Balance at end of period | -38 | ' | -38 | ' |
Unrealized Gains (Losses) on Defined Benefit Plans [Member] | ' | ' | ' | ' |
Balance at beginning of period | -3.8 | ' | -2.6 | ' |
Other comprehensive income (loss) before reclassifications, net of tax | 0.1 | ' | -1.1 | ' |
Reclassifications to net investment and other income, net of tax | 0 | ' | 0 | ' |
Net unrealized gains (losses) on defined benefit plans, net of tax | 0.1 | ' | -1.1 | ' |
Balance at end of period | -3.7 | ' | -3.7 | ' |
Total [Member] | ' | ' | ' | ' |
Balance at beginning of period | 4.4 | ' | 6.1 | ' |
Other comprehensive income (loss) before reclassifications, net of tax | 35.2 | ' | 47 | ' |
Reclassifications to net investment and other income, net of tax | -15.4 | ' | -28.9 | ' |
Total other comprehensive income (loss) | 19.8 | ' | 18.1 | ' |
Balance at end of period | $24.20 | ' | $24.20 | ' |
Banking_Regulatory_Ratios_Deta
Banking Regulatory Ratios (Details) (USD $) | Jun. 30, 2014 | Sep. 30, 2013 |
In Millions, unless otherwise specified | ||
Tier 1 capital | $8,671.20 | $7,449.20 |
Total risk-based capital | $8,711.50 | $7,482.60 |
Tier 1 leverage ratio | 63.00% | 58.00% |
Tier 1 risk-based capital ratio | 61.00% | 58.00% |
Total risk-based capital ratio | 61.00% | 58.00% |
Capital Adequacy Minimum [Member] | ' | ' |
Tier 1 leverage ratio | 4.00% | ' |
Tier 1 risk-based capital ratio | 4.00% | ' |
Total risk-based capital ratio | 8.00% | ' |