Franklin Managed Trust NPORT-P Franklin Rising Dividends Fund (Jun 2020 report)

Franklin

Managed

Trust

Statement

of

Investments

(unaudited),

June

30,

2020

Franklin

Rising

Dividends

Fund

See

Notes

to

Statement

of

Investments.

Quarterly

Statement

of

Investments

1

a

a

Country

Shares

a

Value

a

Common

Stocks

98.0%

Aerospace

&

Defense

3.5%

General

Dynamics

Corp.

................................

United

States

2,109,990

$

315,359,106

Raytheon

Technologies

Corp.

............................

United

States

6,547,128

403,434,027

718,793,133

Air

Freight

&

Logistics

1.3%

United

Parcel

Service,

Inc.,

B

............................

United

States

2,415,100

268,510,818

Beverages

1.8%

PepsiCo,

Inc.

........................................

United

States

2,805,277

371,025,936

Biotechnology

1.0%

AbbVie,

Inc.

.........................................

United

States

1,993,300

195,702,194

Building

Products

1.2%

Johnson

Controls

International

plc

.........................

United

States

7,463,249

254,795,321

Capital

Markets

0.5%

Nasdaq,

Inc.

.........................................

United

States

534,350

63,838,794

State

Street

Corp.

.....................................

United

States

469,000

29,804,950

93,643,744

Chemicals

11.1%

Air

Products

and

Chemicals,

Inc.

..........................

United

States

3,010,458

726,905,189

Albemarle

Corp.

......................................

United

States

5,202,700

401,700,467

Ecolab,

Inc.

..........................................

United

States

1,911,172

380,227,669

Linde

plc

............................................

United

Kingdom

3,587,535

760,952,049

2,269,785,374

Commercial

Services

&

Supplies

1.8%

Cintas

Corp.

.........................................

United

States

1,272,800

339,023,008

a

Matthews

International

Corp.,

A

...........................

United

States

1,992,011

38,047,410

377,070,418

Electrical

Equipment

0.5%

nVent

Electric

plc

.....................................

United

States

5,225,168

97,867,397

Food

&

Staples

Retailing

1.6%

Walmart,

Inc.

........................................

United

States

2,684,064

321,497,186

Food

Products

1.8%

McCormick

&

Co.,

Inc.

.................................

United

States

2,020,600

362,515,846

Health

Care

Equipment

&

Supplies

14.6%

Abbott

Laboratories

....................................

United

States

4,100,700

374,927,001

Becton

Dickinson

and

Co.

...............................

United

States

2,703,156

646,784,136

DENTSPLY

SIRONA,

Inc.

...............................

United

States

1,755,000

77,325,300

Medtronic

plc

........................................

United

States

5,874,600

538,700,820

Stryker

Corp.

........................................

United

States

3,855,718

694,761,827

West

Pharmaceutical

Services,

Inc.

........................

United

States

2,798,300

635,689,811

2,968,188,895

Health

Care

Providers

&

Services

2.0%

CVS

Health

Corp.

.....................................

United

States

2,323,100

150,931,807

UnitedHealth

Group,

Inc.

................................

United

States

850,200

250,766,490

401,698,297

Hotels,

Restaurants

&

Leisure

1.7%

McDonald's

Corp.

.....................................

United

States

1,886,154

347,938,828

Household

Products

3.1%

Colgate-Palmolive

Co.

.................................

United

States

3,791,910

277,795,327

Franklin

Managed

Trust

Statement

of

Investments

(unaudited)

Franklin

Rising

Dividends

Fund

(continued)

Quarterly

Statement

of

Investments

See

Notes

to

Statement

of

Investments.

2

a

a

Country

Shares

a

Value

a

Common

Stocks

(continued)

Household

Products

(continued)

Procter

&

Gamble

Co.

(The)

.............................

United

States

3,057,688

$

365,607,754

643,403,081

Industrial

Conglomerates

8.8%

Carlisle

Cos.,

Inc.

.....................................

United

States

770,429

92,197,238

Honeywell

International,

Inc.

.............................

United

States

3,721,700

538,120,603

Roper

Technologies,

Inc.

................................

United

States

2,971,302

1,153,637,715

1,783,955,556

Insurance

1.5%

Aflac,

Inc.

...........................................

United

States

3,068,820

110,569,584

Erie

Indemnity

Co.,

A

...................................

United

States

1,019,322

195,607,892

306,177,476

IT

Services

6.0%

Accenture

plc,

A

......................................

United

States

3,779,800

811,598,656

Visa,

Inc.,

A

..........................................

United

States

2,127,900

411,046,443

1,222,645,099

Machinery

3.4%

Donaldson

Co.,

Inc.

...................................

United

States

2,851,704

132,661,270

Dover

Corp.

.........................................

United

States

3,040,000

293,542,400

Otis

Worldwide

Corp.

..................................

United

States

1,555,268

88,432,539

Pentair

plc

..........................................

United

States

4,647,868

176,572,505

691,208,714

Multiline

Retail

2.0%

Target

Corp.

.........................................

United

States

3,346,391

401,332,673

Oil,

Gas

&

Consumable

Fuels

2.0%

Chevron

Corp.

.......................................

United

States

2,351,100

209,788,653

EOG

Resources,

Inc.

..................................

United

States

1,846,000

93,518,360

Exxon

Mobil

Corp.

.....................................

United

States

2,291,300

102,466,936

405,773,949

Pharmaceuticals

3.3%

Johnson

&

Johnson

...................................

United

States

2,970,700

417,769,541

Perrigo

Co.

plc

.......................................

United

States

1,659,200

91,703,984

Pfizer,

Inc.

...........................................

United

States

5,149,500

168,388,650

677,862,175

Road

&

Rail

1.2%

Norfolk

Southern

Corp.

.................................

United

States

1,368,853

240,329,521

Semiconductors

&

Semiconductor

Equipment

6.4%

Analog

Devices,

Inc.

...................................

United

States

5,291,119

648,902,834

Texas

Instruments,

Inc.

.................................

United

States

5,114,100

649,337,277

1,298,240,111

Software

9.2%

Microsoft

Corp.

.......................................

United

States

9,258,600

1,884,217,686

Specialty

Retail

3.6%

Lowe's

Cos.,

Inc.

......................................

United

States

2,815,300

380,403,336

Ross

Stores,

Inc.

.....................................

United

States

4,099,750

349,462,690

729,866,026

Textiles,

Apparel

&

Luxury

Goods

2.2%

NIKE,

Inc.,

B

.........................................

United

States

4,492,000

440,440,600

Franklin

Managed

Trust

Statement

of

Investments

(unaudited)

Franklin

Rising

Dividends

Fund

(continued)

See

Notes

to

Statement

of

Investments.

Quarterly

Statement

of

Investments

3

a

a

Country

Shares

a

Value

a

Common

Stocks

(continued)

Trading

Companies

&

Distributors

0.9%

WW

Grainger,

Inc.

.....................................

United

States

575,400

$

180,767,664

Total

Common

Stocks

(Cost

$9,803,320,847)

....................................

19,955,253,718

Short

Term

Investments

2.0%

a

a

Country

Shares

a

Value

a

Money

Market

Funds

2.0%

b,c

Institutional

Fiduciary

Trust

-

Money

Market

Portfolio,

0%

........

United

States

415,884,964

415,884,964

Total

Money

Market

Funds

(Cost

$415,884,964)

.................................

415,884,964

Total

Short

Term

Investments

(Cost

$415,884,964

)

...............................

415,884,964

a

Total

Investments

(Cost

$10,219,205,811)

100.0%

................................

$20,371,138,682

Other

Assets,

less

Liabilities

(0.0)%

†

...........................................

(7,128,320)

Net

Assets

100.0%

...........................................................

$20,364,010,362

†

Rounds

to

less

than

0.1%

of

net

assets.

a

See

Note

4

regarding

holdings

of

5%

voting

securities.

b

See

Note

5

regarding

investments

in

affiliated

management

investment

companies.

c

The

rate

shown

is

the

annualized

seven-day

effective

yield

at

period

end.

Franklin

Managed

Trust

Notes

to

Statement

of

Investments

(unaudited)

4

1.

Organization

Franklin

Managed

Trust (Trust)

is

registered

under

the

Investment

Company

Act

of

1940

(1940

Act)

as

an

open-end

management

investment

company,

consisting

of

one

fund,

Franklin

Rising

Dividends

Fund

(Fund)

and

applies

the

specialized

accounting

and

reporting

guidance

in

U.S.

Generally

Accepted

Accounting

Principles

(U.S.

GAAP). 

2. Financial

Instrument

Valuation

The

Fund's investments

in

financial

instruments

are

carried

at

fair

value

daily.

Fair

value

is

the

price

that

would

be

received

to

sell

an

asset

or

paid

to

transfer

a

liability

in

an

orderly

transaction

between

market

participants

on

the

measurement

date.

The

Fund

calculates the

net

asset

value

(NAV)

per

share

each

business

day

as

of

4

p.m.

Eastern

time

or

the

regularly

scheduled

close

of

the

New

York

Stock

Exchange

(NYSE),

whichever

is

earlier.

Under

compliance

policies

and

procedures

approved

by

the

Fund’s

Board

of

Trustees

(the

Board),

the

Fund’s

administrator

has

responsibility

for

oversight

of

valuation,

including

leading

the

cross-functional

Valuation

Committee

(VC).

The

Fund

may

utilize

independent

pricing

services,

quotations

from

securities

and

financial

instrument

dealers,

and

other

market

sources

to

determine

fair

value. 

Equity

securities

listed

on

an

exchange

or

on

the

NASDAQ

National

Market

System

are

valued

at

the

last

quoted

sale

price

or

the

official

closing

price

of

the

day,

respectively.

Foreign

equity

securities

are

valued

as

of

the

close

of

trading

on

the

foreign

stock

exchange

on

which

the

security

is

primarily

traded

or

as

of

4

p.m.

Eastern

time.

The

value

is

then

converted

into

its

U.S.

dollar

equivalent

at

the

foreign

exchange

rate

in

effect

at

4

p.m. Eastern

time

on

the

day

that

the

value

of

the

security

is

determined.

Over-the-counter

(OTC)

securities

are

valued

within

the

range

of

the

most

recent

quoted

bid

and

ask

prices.

Securities

that

trade

in

multiple

markets

or

on

multiple

exchanges

are

valued

according

to

the

broadest

and

most

representative

market.

Certain

equity

securities

are

valued

based

upon

fundamental

characteristics

or

relationships

to

similar

securities. 

Investments

in

open-end

mutual

funds

are

valued

at

the

closing

NAV.

The

Fund

has procedures

to

determine

the

fair

value

of

financial

instruments

for

which

market

prices

are

not

reliable

or

readily

available.

Under

these

procedures,

the

Fund

primarily employs

a

market-based

approach

which

may

use

related

or

comparable

assets

or

liabilities,

recent

transactions,

market

multiples,

book

values,

and

other

relevant

information

for

the

investment

to

determine

the

fair

value

of

the

investment.

An

income-based

valuation

approach

may

also

be

used

in

which

the

anticipated

future

cash

flows

of

the

investment

are

discounted

to

calculate

fair

value.

Discounts

may

also

be

applied

due

to

the

nature

or

duration

of

any

restrictions

on

the

disposition

of

the

investments.

Due

to

the

inherent

uncertainty

of

valuations

of

such

investments,

the

fair

values

may

differ

significantly

from

the

values

that

would

have

been

used

had

an

active

market

existed. 

Trading

in

securities

on

foreign

securities

stock

exchanges

and

OTC

markets

may

be

completed

before

4

p.m.

Eastern

time.

In

addition,

trading

in

certain

foreign

markets

may

not

take

place

on

every

Fund’s

business

day.

Events

can

occur

between

the

time

at

which

trading

in

a

foreign

security

is

completed

and

4

p.m.

Eastern

time

that

might

call

into

question

the

reliability

of

the

value

of

a

portfolio

security

held

by

the

Fund.

As

a

result,

differences

may

arise

between

the

value

of

the

Fund’s

portfolio securities

as

determined

at

the

foreign

market

close

and

the

latest

indications

of

value

at

4

p.m.

Eastern

time.

In

order

to

minimize

the

potential

for

these

differences,

an

independent

pricing

service

may

be

used

to

adjust

the

value

of

the

Fund's

portfolio

securities

to

the

latest

indications

of

fair

value

at 4

p.m

Eastern

time. 

When

the

last

day

of

the

reporting

period

is

a

non-business

day,

certain

foreign

markets

may

be

open

on

those

days

that

the

Fund’s

NAV

is

not

calculated,

which

could

result

in

differences

between

the

value

of

the

Fund’s

portfolio

securities

on

the

last

business

day

and

the

last

calendar

day

of

the

reporting

period.

Any

security

valuation

changes

due

to

an

open

foreign

market

are

adjusted

and

reflected

by

the

Fund for

financial

reporting

purposes.

Franklin

Managed

Trust

Notes

to

Statement

of

Investments

(unaudited)

5

3. Novel

Coronavirus

Pandemic 

The

global

outbreak

of

the

novel

coronavirus

disease,

known

as

COVID-19, has

caused

adverse

effects

on

many

companies,

sectors,

nations,

regions

and

the

markets

in

general, and

may

continue for

an unpredictable duration.

The

effects

of

this

pandemic

may

materially

impact

the

value

and

performance

of

the Fund, its ability

to

buy

and

sell

fund

investments

at

appropriate

valuations

and its ability

to

achieve its investment

objectives.

4.

Holding

of

5%

Voting

Securities

of

Portfolio

Companies 

The

1940

Act

defines

"affiliated

companies"

to

include

investments

in

portfolio

companies

in

which

a

fund

owns

5%

or

more

of

the

outstanding

voting

securities.

During

the

period

ended

June

30,

2020,

investments

in

“affiliated

companies”

were

as

follows: 

5.

Investments

in

Affiliated

Management

Investment

Companies 

The

Fund

invests

in

one

or

more

affiliated

management

investment

companies

for

purposes

other

than

exercising

a

controlling

influence

over

the

management

or

policies.

During

the

period

ended

June

30,

2020,

the

Fund

held

investments

in

affiliated

management

investment

companies

as

follows: 

6. Fair

Value

Measurements 

The

Fund

follows

a

fair

value

hierarchy

that

distinguishes

between

market

data

obtained

from

independent

sources

(observable

inputs)

and

the

Fund's

own

market

assumptions

(unobservable

inputs).

These

inputs

are

used

in

determining

the

value

of

the

Fund's

financial

instruments

and

are

summarized

in

the

following

fair

value

hierarchy:

Level

1

–

quoted

prices

in

active

markets

for

identical

financial

instruments

Value

at

Beginning

of

Period

Purchases

Sales

Realized

Gain

(Loss)

Net

Change

in

Unrealized

Appreciation

(Depreciation)

Value

at

End

of

Period

Number

of

Shares

Held

at

End

of

Period

Investment

Income

Franklin

Rising

Dividends

Fund

Non-Controlled

Affiliates

Dividends

Albemarle

Corp.

...........

$509,509,647

$—

$(171,306,163)

$

22,026,435

$

—

a

$

—

a

—

a

$

7,161,573

Matthews

International

Corp.,

A

.

$89,852,060

$—

$(11,857,023)

(10,537,275)

(29,410,352)

38,047,410

1,992,011

1,592,206

Total

Affiliated

Securities

(Value

is

0.2%

of

Net

Assets)

......

$599,361,707

$—

$(183,163,186)

11,489,160

(29,410,352)

$38,047,410

$8,753,779

a

As

of

June

30,

2020,

no

longer

an

affiliate.

a

Value

at

Beginning

of

Period

Purchases

Sales

Realized

Gain

(Loss)

Net

Change

in

Unrealized

Appreciation

(Depreciation)

Value

at

End

of

Period

Number

of

Shares

Held

at

End

of

Period

Investment

Income

a

a

a

a

a

a

a

a

a

Franklin

Rising

Dividends

Fund

Non-Controlled

Affiliates

Dividends

Institutional

Fiduciary

Trust

-

Money

Market

Portfolio,

0%

.........

$250,577,007

$1,440,414,049

$(1,275,106,092)

$

—

$

—

$

415,884,964

415,884,964

$

1,691,061

Total

Affiliated

Securities

....

$250,577,007

$1,440,414,049

$(1,275,106,092)

$—

$—

$415,884,964

$1,691,061

Franklin

Managed

Trust

Notes

to

Statement

of

Investments

(unaudited)

6

Level 2

–

other

significant

observable

inputs

(including

quoted

prices

for

similar

financial

instruments,

interest

rates,

prepayment

speed,

credit

risk,

etc.)

Level 3

–

significant

unobservable

inputs

(including

the

Fund's own

assumptions

in

determining

the

fair

value

of

financial

instruments)

The

input

levels

are

not

necessarily

an

indication

of

the

risk

or

liquidity

associated

with

financial

instruments

at

that

level.

At June

30,

2020,

all

of

the

Fund's investments

in

financial

instruments

carried

at

fair

value

were

valued

using

Level

1

inputs.

For

detailed

categories,

see

the

accompanying

Statement

of

Investments.

7.

Subsequent

Events

The Fund

has

evaluated

subsequent

events

through

the

issuance

of

the

Statement

of

Investments

and

determined

that

no

events

have

occurred

that

require

disclosure.

6. Fair

Value

Measurements 

(continued)

For

additional

information

on

the

Fund's

significant

accounting

policies,

please

refer

to

the Fund's

most

recent

semiannual

or

annual

shareholder

report.