UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM N-CSR

CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT INVESTMENT
COMPANIES

Investment Company Act file number 811-10157

FRANKLIN GLOBAL TRUST
---------------------------------------------------
(Exact name of registrant as specified in charter)

ONE FRANKLIN PARKWAY, SAN MATEO, CA 94403-1906
----------------------------------------------------
(Address of principal executive offices) (Zip code)

CRAIG S. TYLE, ONE FRANKLIN PARKWAY, SAN MATEO, CA 94403-1906
----------------------------------------------------------------
(Name and address of agent for service)

Registrant's telephone number, including area code: 650 312-2000
------------

Date of fiscal year end: 7/31
----

Date of reporting period: 7/31/08
-------

ITEM 1. REPORTS TO STOCKHOLDERS.

FRANKLIN TEMPLETON HIGH INCOME FUND

(GRAPHIC)

JULY 31, 2008

A series of Franklin Global Trust

ANNUAL REPORT

FRANKLIN TEMPLETON HIGH INCOME FUND

(FRANKLIN TEMPLETON INSTITUTIONAL(R) LOGO)

Contents

ANNUAL REPORT

Franklin Templeton High Income Fund ....................................... 1
Performance Summary ....................................................... 6
Your Fund's Expenses ...................................................... 8
Financial Highlights and Statement of Investments ......................... 10
Financial Statements ...................................................... 15
Notes to Financial Statements ............................................. 18
Report of Independent Registered Public Accounting Firm ................... 24
Board Members and Officers ................................................ 25
Shareholder Information ................................................... 30

Annual Report

Franklin Templeton High Income Fund

YOUR FUND'S GOAL AND MAIN INVESTMENTS: Franklin Templeton High Income Fund seeks
total return by investing primarily in debt securities offering high yield and
expected total return. The Fund may invest up to 100% of its assets in high
yield, lower-quality debt securities.

PERFORMANCE DATA REPRESENT PAST PERFORMANCE, WHICH DOES NOT GUARANTEE FUTURE
RESULTS. INVESTMENT RETURN AND PRINCIPAL VALUE WILL FLUCTUATE, AND YOU MAY HAVE
A GAIN OR LOSS WHEN YOU SELL YOUR SHARES. CURRENT PERFORMANCE MAY DIFFER FROM
FIGURES SHOWN. PLEASE CALL A FRANKLIN TEMPLETON INSTITUTIONAL SERVICES
REPRESENTATIVE AT 1-800/321-8563 FOR MOST RECENT MONTH-END PERFORMANCE.

We are pleased to bring you Franklin Templeton High Income Fund's annual report
for the fiscal year ended July 31, 2008.

PERFORMANCE OVERVIEW

Franklin Templeton High Income Fund posted a +2.87% cumulative total return for
the 12 months ended July 31, 2008. The Fund outperformed its benchmark, the
Credit Suisse (CS) High Yield Index - Developed Countries Only, which had a
- -0.35% return during the same period.(1) You can find more of the Fund's
performance data in the Performance Summary beginning on page 6.

(1.) Source: Credit Suisse. The CS High Yield Index - Developed Countries Only
is designed to mirror the investible universe of the U.S. dollar denominated
high yield debt market. The index is unmanaged and includes reinvested
distributions. One cannot invest directly in an index, nor is an index
representative of the Fund's portfolio.

THE DOLLAR VALUE, NUMBER OF SHARES OR PRINCIPAL AMOUNT, AND NAMES OF ALL
PORTFOLIO HOLDINGS ARE LISTED IN THE FUND'S STATEMENT OF INVESTMENTS (SOI). THE
SOI BEGINS ON PAGE 11.

NOT FDIC INSURED | MAY LOSE VALUE | NO BANK GUARANTEE

Annual Report | 1

ECONOMIC AND MARKET OVERVIEW

During the 12 months ended July 31, 2008, the U.S. economy continued to expand,
albeit at a sluggish pace. Gross domestic product growth decelerated sharply and
registered a -0.2% annualized growth rate in the fourth quarter of 2007 from a
fairly robust growth rate of 4.8% in the preceding quarter. Ongoing weakness in
the financial, labor and housing markets and waning investor and consumer
confidence led to a pullback in consumer spending. These factors as well as
upward inflationary pressures from a weakening U.S. dollar and increasing food,
energy and commodity prices weighed on the overall economy. The retrenchment
continued in the first quarter of 2008 as the economy grew at a 0.9% annualized
rate. Economic growth, however, improved in the second quarter and expanded at
an upwardly revised 3.3% annualized rate, reflecting strong exports, some
improvements in the housing market and a slight uptick in consumer spending.

Volatile oil prices reached a historical high in July, topping $146 per barrel,
before retreating to $124 by period-end. July's overall inflation rate was an
annual 5.6%, largely due to higher food and energy costs.(2) Core inflation,
which excludes such costs, rose at a more moderate 2.5% annual rate; however,
this level was above the Federal Reserve Board's (Fed's) informal target range
of 1.5%-2.0%.(2) The core personal consumption expenditures price index reported
a 12-month increase of 2.4%.(3)

The Fed acted aggressively to restore liquidity and confidence to unsettled
financial markets and cut interest rates seven times over the 12-month period,
bringing the federal funds target rate to 2.00%. The Fed also implemented a
series of unconventional measures aimed at easing strained credit conditions.
However, since April 30, the Fed has held rates steady and indicated growing
concerns about inflation as it must balance the risks of a slowing economy and
mounting inflationary pressures.

Despite the Fed's actions, U.S. Treasuries rallied and financial stocks
continued to sell off for most of the reporting period. Fixed income spreads
generally widened relative to Treasury yields over the period due to heightened
market turbulence. Investors continued to seek the relative safety of short- and
intermediate-term U.S. Treasury securities as Treasury yields declined and the
yield curve steepened. Short-term, two- and five-year yields declined
significantly, with the two-year bill yielding 2.52% at the end of July, down
from 4.56% a year earlier. Over the same period, the 10-year U.S. Treasury note
yield declined from 4.78% to 3.99%.

(2.) Source: Bureau of Labor Statistics.

(3.) Source: Bureau of Economic Analysis.

2 | Annual Report

During the Fund's fiscal year, financial markets faced significant strain from
the substantial housing market decline, which precipitated write-offs of various
securitized instruments by commercial and investment banks, as well as from a
significant U.S. economic slowdown. However, despite a lower corporate earnings
outlook for the first half of 2008, non-financial corporate earnings still
registered positive growth during this period. In this environment of increased
investor risk aversion and weaker economic growth, the equity market came under
pressure, and the Standard & Poor's 500 Index (S&P 500) had a -11.09% return for
the year ended July 31, 2008.(4)

As a result of the equity market decline, broad financial market risk aversion,
economic concerns and pending potential supply from past leveraged buyout
transactions, high yield spreads relative to U.S. Treasury securities jumped
from 4.3 percentage points in July 2007 to 7.7 percentage points at
period-end.(1) Consequently, high yield valuations were cheap compared with
their 10-year average spread of 6.0 percentage points.(1) In terms of
fundamentals, default rates have edged higher thus far in 2008 but remained low
relative to their historical averages. Valuation levels, however, priced in a
meaningful increase in future defaults, driven by a combination of weaker
corporate earnings and the lower quality of new high yield issuance that came to
market over the past few years.

Although intermediate-term Treasury yields ended the period lower than at the
beginning of the period, the high yield market posted a negative total return as
yield spreads widened more than three percentage points during the Fund's fiscal
year.(1) As may be expected in a period of declining prices, the higher-quality
portions of the high yield market performed better than the lower-quality tiers.

INVESTMENT STRATEGY

We are research-driven, fundamental investors who rely on a team of analysts to
provide in-depth industry expertise, using both qualitative and quantitative
analysis to evaluate companies. As "bottom-up" investors, we focus primarily on
individual securities. In selecting securities for the Fund's investment
portfolio, we do not rely principally on the ratings assigned by rating
agencies; we perform our own independent investment analysis to evaluate the
credit-worthiness of the issuer.

(4.) Source: (C) 2008 Morningstar. All Rights Reserved. The information
contained herein: (1) is proprietary to Morningstar and/or its content
providers; (2) may not be copied or distributed; and (3) is not warranted to be
accurate, complete or timely. Neither Morningstar nor its content providers are
responsible for any damages or losses arising from any use of this information.
The S&P 500 consists of 500 stocks chosen for market size, liquidity and
industry group representation. Each stock's weight in the index is proportionate
to its market value. The S&P 500 is one of the most widely used benchmarks of
U.S. equity performance.

Annual Report | 3

PORTFOLIO BREAKDOWN
Based on Total Net Assets as of 7/31/08

(BAR CHART)

Energy 12.9%
Media 12.4%
Materials 9.4%
Health Care Equipment & Services 7.8%
Utilities 7.7%
Telecommunication Services 7.3%
Capital Goods 7.0%
Consumer Services 6.1%
Automobiles & Components 3.9%
Food, Beverage & Tobacco 3.7%
Consumer Durables & Apparel 3.1%
Software & Services 2.5%
Technology Hardware & Equipment 2.5%
Commercial Services & Supplies 2.2%
Other 4.6%
Short-Term Investments & Other Net Assets 6.9%

In addition to our fundamental analysis, yield and expected return are also
considered in selecting securities. We focus primarily on individual securities
but also consider industry sectors. Because issuers of high yield bonds tend to
be heavily represented in particular sectors, the Fund may, from time to time,
have significant investments in one or more sectors.

MANAGER'S DISCUSSION

During the fiscal year, the Fund's performance benefited from lower exposure to
the more distressed and defaulted portions of the high yield market given the
underperformance of those areas relative to the CS High Yield Index - Developed
Countries Only. In addition, certain of the Fund's industry positioning, as well
as individual security selection, contributed to the Fund's relative
performance.

Underweighted exposure to the financials sector helped relative performance as
the sector significantly underperformed the overall high yield market largely
due to asset write-downs and broadly tighter financial market credit
conditions.5 The Fund's overweighting in the wireless communications industry
also benefited performance as it outperformed the market due to relatively
supportive fundamentals for many wireless carriers.6 In addition, the generally
stable acute care and hospital industry contributed to relative performance due
to the Fund's overweighted position.(7)

On the other hand, the Fund's relative performance was negatively impacted by a
lack of exposure to the medical products industry, as certain issuers in the
industry performed relatively well during the fiscal year. The Fund's
overweighting in the energy sector's refining industry also hurt performance as
the industry's operating margins were hurt by a combination of rising oil prices
and weakening demand. In addition, moderately underweighted exposure to other
areas of the energy sector, such as the exploration and production industry and
services and equipment industry, detracted from relative performance as many
issuers benefited from a significant increase in energy-related commodities'
prices.

At period-end, based on our analysis we believed weaker domestic economic
conditions, tighter financing availability, and the amount of lower-quality
supply issued over the past few years might weigh on credit fundamentals through
the remainder of 2008 and into 2009. However, in our view, valuations at
period-end appeared to take many of these considerations into account. We

(5.) The financials sector comprises diversified financials and real estate in
the SOI.

(6.) The Fund's wireless communications holdings are in telecommunication
services in the SOI.

(7.) The Fund's acute care and hospitals holdings are part of health care
equipment and services in the SOI.

4 | Annual Report

continue to believe that individual security selection will be the key driver of
Fund performance, and we will look to our in-house credit analysts for
individual credit issuer recommendations.

We thank you for your continued participation in Franklin Templeton High Income
Fund, and we look forward to serving your future investment needs.

(PHOTO OF CHRISTOPHER J. MOLUMPHY)

/s/ Christopher J. Molumphy
Christopher J. Molumphy, CFA
Executive Vice President
Portfolio Manager
Franklin Advisers, Inc.

(PHOTO OF ERIC G. TAKAHA)

/s/ Eric G. Takaha
Eric G. Takaha, CFA
Senior Vice President
Portfolio Manager
Franklin Advisers, Inc.

THE FOREGOING INFORMATION REFLECTS OUR ANALYSIS, OPINIONS AND PORTFOLIO HOLDINGS
AS OF JULY 31, 2008, THE END OF THE REPORTING PERIOD. THE WAY WE IMPLEMENT OUR
MAIN INVESTMENT STRATEGIES AND THE RESULTING PORTFOLIO HOLDINGS MAY CHANGE
DEPENDING ON FACTORS SUCH AS MARKET AND ECONOMIC CONDITIONS. THESE OPINIONS MAY
NOT BE RELIED UPON AS INVESTMENT ADVICE OR AN OFFER FOR A PARTICULAR SECURITY.
THE INFORMATION IS NOT A COMPLETE ANALYSIS OF EVERY ASPECT OF ANY MARKET,
COUNTRY, INDUSTRY, SECURITY OR THE FUND. STATEMENTS OF FACT ARE FROM SOURCES
CONSIDERED RELIABLE, BUT THE INVESTMENT MANAGER MAKES NO REPRESENTATION OR
WARRANTY AS TO THEIR COMPLETENESS OR ACCURACY. ALTHOUGH HISTORICAL PERFORMANCE
IS NO GUARANTEE OF FUTURE RESULTS, THESE INSIGHTS MAY HELP YOU UNDERSTAND OUR
INVESTMENT MANAGEMENT PHILOSOPHY.

Annual Report | 5

Performance Summary as of 7/31/08

Your dividend income will vary depending on dividends or interest paid by
securities in the Fund's portfolio, adjusted for operating expenses. Capital
gain distributions are net profits realized from the sale of portfolio
securities. The performance table and graph do not reflect any taxes that a
shareholder would pay on Fund dividends, capital gain distributions, if any, or
any realized gains on the sale of Fund shares. Total return reflects
reinvestment of the Fund's dividends and capital gain distributions, if any, and
any unrealized gains or losses.

PRICE AND DISTRIBUTION INFORMATION

SYMBOL: N/A CHANGE 7/31/08 7/31/07
- --------------------------------- ------ ------- -------

Net Asset Value (NAV) -$0.62 $9.13 $9.75
DISTRIBUTIONS (8/1/07-7/31/08)
Dividend Income $0.7582
Short-Term Capital Gain $0.0775
Long-Term Capital Gain $0.0745
TOTAL $0.9102

PERFORMANCE(1)

INCEPTION
1-YEAR 3-YEAR (8/25/03)
------- ------- ---------

Cumulative Total Return(2) +2.87% +13.26% +43.82%
Average Annual Total Return(3) +2.87% +4.24% +7.64%
Value of $10,000 Investment(4) $10,287 $11,326 $14,382
Avg. Ann. Total Return (6/30/08)(5) +0.07% +5.02% +7.92%
Total Annual Operating Expenses(6)
Without Waiver 1.50%
With Waiver 0.50%

PERFORMANCE DATA REPRESENT PAST PERFORMANCE, WHICH DOES NOT GUARANTEE FUTURE
RESULTS. INVESTMENT RETURN AND PRINCIPAL VALUE WILL FLUCTUATE, AND YOU MAY HAVE
A GAIN OR LOSS WHEN YOU SELL YOUR SHARES. CURRENT PERFORMANCE MAY DIFFER FROM
FIGURES SHOWN. FOR MOST RECENT MONTH-END PERFORMANCE, PLEASE CALL A FRANKLIN
TEMPLETON INSTITUTIONAL SERVICES REPRESENTATIVE AT 1-800/321-8563.

THE INVESTMENT MANAGER AND ADMINISTRATOR HAVE CONTRACTUALLY AGREED TO WAIVE OR
LIMIT THEIR RESPECTIVE FEES AND TO ASSUME AS THEIR OWN EXPENSE CERTAIN EXPENSES
OTHERWISE PAYABLE BY THE FUND SO THAT TOTAL ANNUAL FUND EXPENSES, EXCLUDING
ACQUIRED FUND FEES AND EXPENSES, DO NOT EXCEED 0.50% (OTHER THAN CERTAIN
NON-ROUTINE EXPENSES OR COSTS, INCLUDING THOSE RELATING TO LITIGATION,
INDEMNIFICATION, REORGANIZATIONS AND LIQUIDATIONS) UNTIL 11/30/08.

6 | Annual Report

Performance Summary (CONTINUED)

TOTAL RETURN INDEX COMPARISON FOR HYPOTHETICAL $10,000 INVESTMENT(1)

The graph below illustrates the hypothetical investment of $10,000 in Franklin
Templeton High Income Fund from inception on 8/25/03 through 7/31/08, compared
with the CS High Yield Index - Developed Countries Only. Total return represents
the change in value of an investment over the periods shown. It includes Fund
expenses, account fees and reinvested distributions. The index is unmanaged and
includes reinvestment of any income or distributions. It differs from the Fund
in composition and does not pay management fees or expenses. One cannot invest
directly in an index.

8/25/03-7/31/08

(PERFORMANCE GRAPH)

USD USD
Franklin Templeton CSFB High Yield
High Income Fund (Developed Countries)
Inception Date 25-Aug-03 Net Index 25-Aug-03
Calendar Month 4469 Gross BM0823
- -------------- ------------------ ---------------------

Aug-03 10,080.00 10,075.40
Sep-03 10,343.65 10,353.59
Oct-03 10,559.16 10,568.12
Nov-03 10,732.66 10,709.62
Dec-03 10,986.48 10,960.23
Jan-04 11,216.84 11,173.29
Feb-04 11,197.94 11,171.58
Mar-04 11,261.61 11,237.92
Apr-04 11,200.14 11,226.91
May-04 10,998.93 11,054.23
Jun-04 11,161.94 11,222.66
Jul-04 11,352.55 11,362.37
Aug-04 11,598.62 11,543.94
Sep-04 11,781.89 11,717.67
Oct-04 12,071.13 11,919.64
Nov-04 12,156.63 12,067.67
Dec-04 12,319.16 12,248.58
Jan-05 12,323.42 12,241.40
Feb-05 12,560.17 12,403.14
Mar-05 12,168.70 12,104.63
Apr-05 12,033.31 11,978.96
May-05 12,297.67 12,123.81
Jun-05 12,491.91 12,326.59
Jul-05 12,698.44 12,496.16
Aug-05 12,697.84 12,560.06
Sep-05 12,563.01 12,429.66
Oct-05 12,493.88 12,311.66
Nov-05 12,669.55 12,394.41
Dec-05 12,807.07 12,497.14
Jan-06 12,959.59 12,656.11
Feb-06 13,088.29 12,780.72
Mar-06 13,128.41 12,875.70
Apr-06 13,175.36 12,962.36
May-06 13,111.76 12,996.64
Jun-06 13,048.82 12,926.70
Jul-06 13,156.57 13,036.30
Aug-06 13,346.18 13,215.74
Sep-06 13,536.59 13,380.66
Oct-06 13,740.64 13,564.35
Nov-06 13,960.76 13,813.32
Dec-06 14,088.07 13,976.45
Jan-07 14,200.69 14,137.86
Feb-07 14,417.22 14,356.97
Mar-07 14,465.33 14,397.44
Apr-07 14,683.29 14,601.78
May-07 14,783.66 14,714.31
Jun-07 14,460.52 14,487.12
Jul-07 13,979.84 14,026.31
Aug-07 14,266.01 14,175.72
Sep-07 14,659.81 14,493.16
Oct-07 14,751.72 14,601.29
Nov-07 14,495.53 14,324.16
Dec-07 14,581.97 14,331.83
Jan-08 14,405.33 14,104.00
Feb-08 14,244.00 13,940.54
Mar-08 14,308.60 13,911.66
Apr-08 14,926.96 14,465.25
May-08 14,916.94 14,518.79
Jun-08 14,470.81 14,168.54
Jul-08 14,381.63 13,977.35

AVERAGE ANNUAL TOTAL RETURN

7/31/08
-------

1-Year +2.87%
3-Year +4.24%
Since Inception (8/25/03) +7.64%

ENDNOTES

INTEREST RATE MOVEMENTS WILL AFFECT THE FUND'S SHARE PRICE AND YIELD. BOND
PRICES GENERALLY MOVE IN THE OPPOSITE DIRECTION OF INTEREST RATES. THUS, AS
PRICES OF BONDS IN THE FUND ADJUST TO A RISE IN INTEREST RATES, THE FUND'S SHARE
PRICE MAY DECLINE. THE RISKS ASSOCIATED WITH HIGHER-YIELDING, LOWER-RATED
SECURITIES INCLUDE HIGHER RISK OF DEFAULT AND LOSS OF PRINCIPAL. THE FUND'S
INVESTMENTS IN FOREIGN COUNTRIES, INCLUDING EMERGING MARKETS, CAN INVOLVE
SPECIAL RISKS INCLUDING CURRENCY VOLATILITY AND POLITICAL, ECONOMIC AND
REGULATORY UNCERTAINTY. THE FUND'S PROSPECTUS ALSO INCLUDES A DESCRIPTION OF THE
MAIN INVESTMENT RISKS.

(1.) If the manager and administrator had not waived fees, the Fund's total
returns would have been lower.

(2.) Cumulative total return represents the change in value of an investment
over the periods indicated.

(3.) Average annual total return represents the average annual change in value
of an investment over the periods indicated.

(4.) These figures represent the value of a hypothetical $10,000 investment in
the Fund over the periods indicated.

(5.) In accordance with SEC rules, we provide standardized average annual total
return information through the latest calendar quarter.

(6.) Figures are as stated in the Fund's prospectus current as of the date of
this report.

(7.) Source: Credit Suisse. The CS High Yield Index - Developed Countries Only
is designed to mirror the investible universe of the U.S. dollar
denominated high yield debt market.

Annual Report | 7

Your Fund's Expenses

As a Fund shareholder, you can incur two types of costs:

- - Transaction costs, including sales charges (loads) on Fund purchases and
redemption fees; and

- - Ongoing Fund costs, including management fees, distribution and service
(12b-1) fees, and other Fund expenses. All mutual funds have ongoing costs,
sometimes referred to as operating expenses.

The following table shows ongoing costs of investing in the Fund and can help
you understand these costs and compare them with those of other mutual funds.
The table assumes a $1,000 investment held for the six months indicated.

ACTUAL FUND EXPENSES

The first line (Actual) of the table provides actual account values and
expenses. The "Ending Account Value" is derived from the Fund's actual return,
which includes the effect of Fund expenses.

You can estimate the expenses you paid during the period by following these
steps. OF COURSE, YOUR ACCOUNT VALUE AND EXPENSES WILL DIFFER FROM THOSE IN THIS
ILLUSTRATION:

1. Divide your account value by $1,000.

IF AN ACCOUNT HAD AN $8,600 VALUE, THEN $8,600 / $1,000 = 8.6.

2. Multiply the result by the number under the heading "Expenses Paid During
Period."

IF EXPENSES PAID DURING PERIOD WERE $7.50, THEN 8.6 X $7.50 = $64.50.

In this illustration, the estimated expenses paid this period are $64.50.

HYPOTHETICAL EXAMPLE FOR COMPARISON WITH OTHER FUNDS

Information in the second line (Hypothetical) of the table can help you compare
ongoing costs of investing in the Fund with those of other mutual funds. This
information may not be used to estimate the actual ending account balance or
expenses you paid during the period. The hypothetical "Ending Account Value" is
based on the Fund's actual expense ratio and an assumed 5% annual rate of return
before expenses, which does not represent the Fund's actual return. The figure
under the heading "Expenses Paid During Period" shows the hypothetical expenses
your account would have incurred under this scenario. You can compare this
figure with the 5% hypothetical examples that appear in shareholder reports of
other funds.

8 | Annual Report

Your Fund's Expenses (CONTINUED)

PLEASE NOTE THAT EXPENSES SHOWN IN THE TABLE ARE MEANT TO HIGHLIGHT ONGOING
COSTS AND DO NOT REFLECT ANY TRANSACTION COSTS, SUCH AS SALES CHARGES OR
REDEMPTION FEES. Therefore, the second line of the table is useful in comparing
ongoing costs only, and will not help you compare total costs of owning
different funds. In addition, if transaction costs were included, your total
costs would have been higher. Please refer to the Fund prospectus for additional
information on operating expenses.

BEGINNING ACCOUNT ENDING ACCOUNT EXPENSES PAID DURING
VALUE 2/1/08 VALUE 7/31/08 PERIOD* 2/1/08-7/31/08
----------------- -------------- ----------------------

Actual $1,000 $ 998.40 $2.48
Hypothetical (5% return before expenses) $1,000 $1,022.38 $2.51

* Expenses are calculated using the most recent six-month annualized expense
ratio, net of expense waiver, of 0.50%, multiplied by the average account
value over the period, multiplied by 182/366 to reflect the one-half year
period.

Annual Report | 9

Franklin Global Trust

FINANCIAL HIGHLIGHTS

FRANKLIN TEMPLETON HIGH INCOME FUND

YEAR ENDED JULY 31,
-------------------------------------------------------
2008 2007 2006 2005 2004(a)
------ ------ ------ ------ -------

PER SHARE OPERATING PERFORMANCE
(for a share outstanding throughout the year)
Net asset value, beginning of year .................. $ 9.75 $ 9.95 $10.58 $10.51 $10.00
------ ------ ------ ------ ------
Income from investment operations(b):
Net investment income(c).......................... 0.75 0.75 0.73 0.75 0.72
Net realized and unrealized gains (losses) ....... (0.46) (0.12) (0.37) 0.45 0.61
------ ------ ------ ------ ------
Total from investment operations .................... 0.29 0.63 0.36 1.20 1.33
------ ------ ------ ------ ------
Less distributions from:
Net investment income ............................ (0.76) (0.77) (0.75) (0.78) (0.77)
Net realized gains ............................... (0.15) (0.06) (0.24) (0.35) (0.05)
------ ------ ------ ------ ------
Total distributions ................................. (0.91) (0.83) (0.99) (1.13) (0.82)
------ ------ ------ ------ ------
Net asset value, end of year ........................ $ 9.13 $ 9.75 $ 9.95 $10.58 $10.51
====== ====== ====== ====== ======
Total return(d)...................................... 2.87% 6.26% 3.61% 11.86% 13.53%
RATIOS TO AVERAGE NET ASSETS(e)
Expenses before waiver and payments by affiliates ... 1.73% 1.48% 1.33% 1.31% 1.36%
Expenses net of waiver and payments by affiliates ... 0.50%(f) 0.50%(f) 0.50%(f) 0.50%(f) 0.50%
Net investment income ............................... 7.73% 7.29% 7.13% 7.07% 7.33%
SUPPLEMENTAL DATA
Net assets, end of year (000's) ..................... $5,769 $6,062 $7,069 $8,161 $7,337
Portfolio turnover rate ............................. 27.98% 48.08% 54.31% 53.77% 82.00%

(a) For the period August 25, 2003 (commencement of operations) to July 31,
2004.

(b) The amount shown for a share outstanding throughout the period may not
correlate with the Statement of Operations for the period due to the timing
of sales and repurchases of the Fund shares in relation to income earned
and/or fluctuating market value of the investments of the Fund.

(d) Total return is not annualized for periods less than one year.

(e) Ratios are annualized for periods less than one year.

(f) Benefit of waiver and payment by affiliate rounds to less than 0.01%.

The accompanying notes are an integral part of these financial statements.

10 | Annual Report

Franklin Global Trust

STATEMENT OF INVESTMENTS, JULY 31, 2008

FRANKLIN TEMPLETON HIGH INCOME FUND COUNTRY PRINCIPAL AMOUNT(a) VALUE
------------------------------------------------------------------------- -------------- ------------------- ----------

CORPORATE BONDS 93.1%
AUTOMOBILES & COMPONENTS 3.9%
Ford Motor Credit Co. LLC, senior note,
5.80%, 1/12/09 ....................................................... United States $100,000 $ 97,014
9.875%, 8/10/11 ...................................................... United States 75,000 61,268
(b) TRW Automotive Inc., senior note, 144A, 7.25%, 3/15/17 .................. United States 75,000 64,875
----------
223,157
----------
CAPITAL GOODS 7.0%
(b) Allison Transmission Inc., senior note, 144A, 11.00%, 11/01/15 .......... United States 50,000 45,501
DRS Technologies Inc., senior sub. note, 7.625%, 2/01/18 ................ United States 50,000 52,250
L-3 Communications Corp., senior sub. note, 5.875%, 1/15/15 ............. United States 50,000 46,625
(b) Nortek Inc., senior note, 144A, 10.00%, 12/01/13 ........................ United States 50,000 45,000
RBS Global & Rexnord Corp., senior note, 9.50%, 8/01/14 ................. United States 75,000 72,000
RSC Equipment Rental Inc., senior note, 9.50%, 12/01/14 ................. United States 50,000 41,250
Terex Corp., senior sub. note, 8.00%, 11/15/17 .......................... United States 50,000 49,125
TransDigm Inc., senior sub. note, 7.75%, 7/15/14 ........................ United States 50,000 49,000
----------
400,751
----------
COMMERCIAL SERVICES & SUPPLIES 2.2%
ARAMARK Corp., senior note, 8.50%, 2/01/15 .............................. United States 75,000 75,094
(b) Ceva Group PLC, senior note, 144A, 10.00%, 9/01/14 ...................... United Kingdom 50,000 50,750
----------
125,844
----------
CONSUMER DURABLES & APPAREL 3.1%
Jarden Corp., senior sub. note, 7.50%, 5/01/17 .......................... United States 75,000 65,625
Jostens IH Corp., senior sub. note, 7.625%, 10/01/12 .................... United States 50,000 48,750
KB Home, senior note, 6.25%, 6/15/15 .................................... United States 75,000 62,812
----------
177,187
----------
CONSUMER SERVICES 6.1%
(b) Fontainebleau Las Vegas, 144A, 10.25%, 6/15/15 .......................... United States 50,000 26,750
Host Hotels & Resorts LP, senior note, K, 7.125%, 11/01/13 .............. United States 75,000 69,375
MGM MIRAGE, senior note, 6.625%, 7/15/15 ................................ United States 100,000 79,250
OSI Restaurant Partners Inc., senior note, 10.00%, 6/15/15 .............. United States 50,000 31,000
Pinnacle Entertainment Inc., senior sub. note, 8.75%, 10/01/13 .......... United States 50,000 48,000
Royal Caribbean Cruises Ltd., senior deb., 7.25%, 3/15/18 ............... United States 75,000 62,625
Station Casinos Inc., senior sub. note, 6.875%, 3/01/16 ................. United States 75,000 34,500
----------
351,500
----------
DIVERSIFIED FINANCIALS 1.9%
GMAC LLC, 6.875%,
9/15/11 .............................................................. United States 25,000 16,537
8/28/12 .............................................................. United States 150,000 94,303
----------
110,840
----------
ENERGY 12.9%
Chesapeake Energy Corp., senior note, 6.25%, 1/15/18 .................... United States 100,000 92,250
Compagnie Generale de Geophysique-Veritas, senior note, 7.75%,
5/15/17 .............................................................. France 50,000 49,875

Annual Report | 11

Franklin Global Trust

STATEMENT OF INVESTMENTS, JULY 31, 2008 (CONTINUED)

FRANKLIN TEMPLETON HIGH INCOME FUND COUNTRY PRINCIPAL AMOUNT(a) VALUE
------------------------------------------------------------------------- -------------- ------------------- ----------

CORPORATE BONDS (CONTINUED)
ENERGY (CONTINUED)
Copano Energy LLC, senior note, 8.125%, 3/01/16 ......................... United States $ 50,000 $ 49,000
El Paso Corp., senior note, 6.875%, 6/15/14 ............................. United States 50,000 50,211
Mariner Energy Inc., senior note, 7.50%, 4/15/13 ........................ United States 50,000 47,625
MarkWest Energy Partners LP, senior note, 6.875%, 11/01/14 .............. United States 50,000 46,875
Peabody Energy Corp., senior note, 7.375%, 11/01/16 ..................... United States 50,000 51,250
(b) Petroplus Finance Ltd., senior note, 144A, 6.75%, 5/01/14 ............... Switzerland 75,000 66,000
Plains Exploration & Production Co., senior note, 7.625%, 6/01/18 ....... United States 50,000 48,750
Quicksilver Resources Inc., senior note, 8.25%, 8/01/15 ................. United States 50,000 48,875
(b) SandRidge Energy Inc., senior note, 144A, 8.00%, 6/01/18 ................ United States 50,000 49,750
Tesoro Corp., senior note, 6.50%, 6/01/17 ............................... United States 75,000 64,125
The Williams Cos. Inc., senior note, 7.625%, 7/15/19 .................... United States 75,000 79,125
----------
743,711
----------
FOOD, BEVERAGE & TOBACCO 3.7%
Dean Foods Inc., senior note, 7.00%, 6/01/16 ............................ United States 50,000 45,500
Dole Food Co. Inc., senior note, 8.625%, 5/01/09 ........................ United States 50,000 49,188
Reynolds American Inc., senior secured note, 7.625%, 6/01/16 ............ United States 50,000 51,872
Smithfield Foods Inc., senior note, 7.75%, 7/01/17 ...................... United States 75,000 64,500
----------
211,060
----------
HEALTH CARE EQUIPMENT & SERVICES 7.8%
DaVita Inc., senior sub. note, 7.25%, 3/15/15 ........................... United States 75,000 74,156
FMC Finance III SA, senior note, 6.875%, 7/15/17 ........................ Germany 75,000 72,375
HCA Inc.,
senior note, 6.50%, 2/15/16 .......................................... United States 50,000 41,875
senior secured note, 9.125%, 11/15/14 ................................ United States 75,000 77,438
Tenet Healthcare Corp., senior note, 6.375%, 12/01/11 ................... United States 50,000 49,500
(c,d) U.S. Oncology Holdings Inc., senior note, FRN, PIK, 7.949%, 3/15/12 ..... United States 52,000 41,860
(d) United Surgical Partners International Inc., senior sub. note, PIK,
9.25%, 5/01/17 ....................................................... United States 50,000 44,000
Vanguard Health Holding Co. II LLC, senior sub. note, 9.00%, 10/01/14 ... United States 50,000 49,000
----------
450,204
----------
MATERIALS 9.4%
Crown Americas Inc., senior note, 7.75%, 11/15/15 ....................... United States 50,000 51,875
Freeport-McMoRan Copper & Gold Inc., senior note, 8.375%, 4/01/17 ....... United States 75,000 78,684
Huntsman International LLC, senior sub. note, 7.875%, 11/15/14 .......... United States 50,000 47,125
(b) Ineos Group Holdings PLC, senior secured note, 144A, 8.50%, 2/15/16 ..... United Kingdom 75,000 50,625
(b) MacDermid Inc., senior sub. note, 144A, 9.50%, 4/15/17 .................. United States 50,000 46,000
Nalco Co., senior sub. note, 8.875%, 11/15/13 ........................... United States 75,000 77,812
NewPage Corp., senior secured note, 10.00%, 5/01/12 ..................... United States 75,000 72,188
Novelis Inc., senior note, 7.25%, 2/15/15 ............................... Canada 75,000 69,750
Owens-Brockway Glass Container Inc., senior note, 6.75%, 12/01/14 ....... United States 50,000 49,375
----------
543,434
----------
MEDIA 12.4%
CanWest Media Inc., senior sub. note, 8.00%, 9/15/12 .................... Canada 50,000 43,750
CCH I LLC, senior secured note, 11.00%, 10/01/15 ........................ United States 25,000 19,063
CCH II LLC, senior note, 10.25%, 9/15/10 ................................ United States 100,000 95,750

12 | Annual Report

Franklin Global Trust

STATEMENT OF INVESTMENTS, JULY 31, 2008 (CONTINUED)

FRANKLIN TEMPLETON HIGH INCOME FUND COUNTRY PRINCIPAL AMOUNT(a) VALUE
------------------------------------------------------------------------- -------------- ------------------- ----------

CORPORATE BONDS (CONTINUED)
MEDIA (CONTINUED)
CSC Holdings Inc.,
senior deb., 7.625%, 7/15/18 ......................................... United States $ 25,000 $ 23,125
senior note, B, 7.625%, 4/01/11 ...................................... United States 25,000 24,844
Dex Media Finance/West, senior sub. note, 9.875%, 8/15/13 ............... United States 100,000 78,750
(b) DIRECTV Holdings LLC, senior note, 144A, 7.625%, 5/15/16 ................ United States 75,000 74,812
EchoStar DBS Corp., senior note, 6.375%, 10/01/11 ....................... United States 50,000 48,562
Idearc Inc., senior note, 8.00%, 11/15/16 ............................... United States 75,000 34,500
Lamar Media Corp., senior sub. note, 7.25%, 1/01/13 ..................... United States 50,000 48,000
Liberty Media Corp., senior note, 5.70%, 5/15/13 ........................ United States 75,000 67,967
Quebecor Media Inc., senior note, 7.75%, 3/15/16 ........................ Canada 75,000 69,562
R.H. Donnelley Corp., senior note, A-3, 8.875%, 1/15/16 ................. United States 25,000 12,188
Radio One Inc., senior sub. note, 6.375%, 2/15/13 ....................... United States 50,000 36,750
(b,d) Univision Communications Inc., senior note, 144A, PIK, 9.75%, 3/15/15 ... United States 50,000 38,375
----------
715,998
----------
REAL ESTATE 0.8%
Forest City Enterprises Inc., senior note, 7.625%, 6/01/15 .............. United States 50,000 44,750
----------
RETAILING 1.9%
Dollar General Corp., senior note, 10.625%, 7/15/15 ..................... United States 50,000 50,625
Michaels Stores Inc., senior note, 10.00%, 11/01/14 ..................... United States 75,000 60,562
----------
111,187
----------
SOFTWARE & SERVICES 2.5%
(b) First Data Corp., senior note, 144A, 9.875%, 9/24/15 .................... United States 50,000 44,313
SunGard Data Systems Inc.,
senior note, 9.125%, 8/15/13 ......................................... United States 75,000 77,062
senior sub. note, 10.25%, 8/15/15 .................................... United States 25,000 25,500
----------
146,875
----------
TECHNOLOGY HARDWARE & EQUIPMENT 2.5%
Celestica Inc., senior sub. note, 7.625%, 7/01/13 ....................... Canada 50,000 48,000
(b) Nortel Networks Ltd., senior note, 144A, 10.75%, 7/15/16 ................ Canada 50,000 49,250
(b,c) Sanmina-SCI Corp., senior note, 144A, FRN, 5.526%, 6/15/14 .............. United States 50,000 46,750
----------
144,000
----------
TELECOMMUNICATION SERVICES 7.3%
(b) American Tower Corp., senior note, 144A, 7.00%, 10/15/17 ................ United States 50,000 50,125
Inmarsat Finance II PLC, senior note, zero cpn. to 11/15/08,
10.375% thereafter, 11/15/12 ......................................... United Kingdom 50,000 50,500
Intelsat Bermuda Ltd., senior note, 11.25%, 6/15/16 ..................... Bermuda 25,000 26,063
(b) Intelsat Subsidiary Holding Co. Ltd., senior note, 144A, 8.50%,
1/15/13 .............................................................. Bermuda 50,000 49,750
MetroPCS Wireless Inc., senior note, 9.25%, 11/01/14 .................... United States 75,000 73,125
Millicom International Cellular SA, senior note, 10.00%, 12/01/13 ....... Luxembourg 50,000 52,875
Qwest Communications International Inc., senior note, 7.50%, 2/15/14 .... United States 75,000 69,562
(b) Wind Acquisition Finance SA, senior note, 144A, 10.75%, 12/01/15 ........ Italy 50,000 52,000
----------
424,000
----------

Annual Report | 13

Franklin Global Trust

STATEMENT OF INVESTMENTS, JULY 31, 2008 (CONTINUED)

FRANKLIN TEMPLETON HIGH INCOME FUND COUNTRY PRINCIPAL AMOUNT(a) VALUE
------------------------------------------------------------------------- -------------- ------------------- ----------

CORPORATE BONDS (CONTINUED)
UTILITIES 7.7%
The AES Corp., senior note, 8.00%, 10/15/17 ............................. United States $ 75,000 $ 74,250
Dynegy Holdings Inc., senior note, 8.375%, 5/01/16 ...................... United States 75,000 74,812
Edison Mission Energy, senior note, 7.00%, 5/15/17 ...................... United States 50,000 47,500
Mirant North America LLC, senior note, 7.375%, 12/31/13 ................. United States 50,000 50,250
NRG Energy Inc., senior note, 7.375%, 2/01/16 ........................... United States 100,000 97,250
(b) Texas Competitive Electric Holdings Co. LLC, senior note, 144A, 10.25%,
11/01/15 ............................................................. United States 100,000 100,500
----------
444,562
----------
TOTAL CORPORATE BONDS BEFORE SHORT TERM INVESTMENT
(COST $5,839,038) .................................................... 5,369,060
----------

SHARES
-------------------

SHORT TERM INVESTMENT (COST $283,623) 4.9%
MONEY MARKET FUND 4.9%
(e) Franklin Institutional Fiduciary Trust Money Market Portfolio, 2.20% .... United States 283,623 283,623
----------
TOTAL INVESTMENTS (COST $6,122,661) 98.0% ............................... 5,652,683
OTHER ASSETS, LESS LIABILITIES 2.0% ..................................... 115,824
----------
NET ASSETS 100.0% ....................................................... $5,768,507
==========

SELECTED PORTFOLIO ABBREVIATIONS

FRN - Floating Rate Note

PIK - Payment-In-Kind

(a) The principal amount is stated in U.S. dollars unless otherwise indicated.

(b) Security was purchased pursuant to Rule 144A under the Securities Act of
1933 and may be sold in transactions exempt from registration only to
qualified institutional buyers or in a public offering registered under the
Securities Act of 1933. These securities have been deemed liquid under
guidelines approved by the Trust's Board of Trustees. At July 31, 2008, the
aggregate value of these securities was $951,126, representing 16.49% of
net assets.

(d) Income may be received in additional securities and/or cash.

(e) See Note 7 regarding investments in the Franklin Institutional Fiduciary
Trust Money Market Portfolio. The rate shown is the annualized seven-day
yield at period end.

The accompanying notes are an integral part of these financial statements.

14 | Annual Report

Franklin Global Trust

FINANCIAL STATEMENTS

STATEMENT OF ASSETS AND LIABILITIES
July 31, 2008

FRANKLIN
TEMPLETON
HIGH INCOME
FUND
-----------

Assets:
Investments in securities:
Cost - Unaffiliated issuers............................ $5,839,038
Cost - Sweep Money Fund (Note 7)....................... 283,623
----------
Total cost of investments.............................. $6,122,661
=========
Value - Unaffiliated issuers........................... $5,369,060
Value - Sweep Money Fund (Note 7)...................... 283,623
----------
Total value of investments............................. 5,652,683
Receivables:
Interest............................................... 120,896
Affiliates............................................. 44,810
----------
Total assets........................................ 5,818,389
----------
Liabilities:
Payables:
Distributions to shareholders.......................... 39,795
Reports to shareholders................................ 7,084
Accrued expenses and other liabilities.................... 3,003
----------
Total liabilities................................... 49,882
----------
Net assets, at value............................. $5,768,507
==========
Net assets consist of:
Paid-in capital........................................... $6,289,623
Distributions in excess of net investment income.......... (11,702)
Net unrealized appreciation (depreciation)................ (469,978)
Accumulated net realized gain (loss)...................... (39,436)
----------
Net assets, at value............................. $5,768,507
==========
Shares outstanding........................................ 631,661
==========
Net asset value and maximum offering price per share(a)... $ 9.13
==========

(a) Redemption price is equal to net asset value less any applicable redemption
fees retained by the Fund.

The accompanying notes are an integral part of these financial statements.

Annual Report | 15

Franklin Global Trust

FINANCIAL STATEMENTS (CONTINUED)

STATEMENT OF OPERATIONS
for the year ended July 31, 2008

FRANKLIN
TEMPLETON
HIGH INCOME
FUND
-----------

Investment income:
Dividends from Sweep Money Fund (Note 7).................. $ 5,340
Interest.................................................. 494,219
---------
Total investment income............................. 499,559
---------
Expenses:
Management fees (Note 3a)................................. 17,740
Administrative fees (Note 3b)............................. 12,140
Transfer agent fees (Note 3d)............................. 252
Custodian fees (Note 4)................................... 209
Reports to shareholders................................... 15,563
Registration and filing fees.............................. 15,568
Professional fees......................................... 36,738
Trustees' fees and expenses............................... 512
Other..................................................... 6,212
---------
Total expenses...................................... 104,934
Expense reductions (Note 4)......................... (61)
Expenses waived/paid by affiliates (Note 3e)........ (74,696)
---------
Net expenses..................................... 30,177
---------
Net investment income............................ 469,382
---------
Realized and unrealized gains (losses):
Net realized gain (loss) from investments................. (31,619)
Net change in unrealized appreciation (depreciation)
on investments.......................................... (255,463)
---------
Net realized and unrealized gain (loss)...................... (287,082)
---------
Net increase (decrease) in net assets resulting from
operations.............................................. $ 182,300
=========

The accompanying notes are an integral part of these financial statements.

16 | Annual Report

Franklin Global Trust

FINANCIAL STATEMENTS (CONTINUED)

STATEMENTS OF CHANGES IN NET ASSETS

FRANKLIN TEMPLETON
HIGH INCOME FUND
-----------------------
YEAR ENDED JULY 31,
2008 2007
---------- ----------

Increase (decrease) in net assets:
Operations:
Net investment income................................................. $ 469,382 $ 500,593
Net realized gain (loss) from investments............................. (31,619) 103,523
Net change in unrealized appreciation (depreciation) on investments... (255,463) (126,710)
---------- ----------
Net increase (decrease) in net assets resulting from operations.... 182,300 477,406
---------- ----------
Distributions to shareholders from:
Net investment income................................................. (475,833) (507,847)
Net realized gains.................................................... (94,531) (44,509)
---------- ----------
Total distributions to shareholders...................................... (570,364) (552,356)
---------- ----------
Capital share transactions (Note 2)...................................... 94,531 (932,051)
---------- ----------
Net increase (decrease) in net assets.............................. (293,533) (1,007,001)
Net assets:
Beginning of year........................................................ 6,062,040 7,069,041
---------- ----------
End of year.............................................................. $5,768,507 $6,062,040
========== ==========
Distribution in excess of net investment income included in net assets:
End of year.............................................................. $ (11,702) $ (10,322)
========== ==========

The accompanying notes are an integral part of these financial statements.

Annual Report | 17

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS

FRANKLIN TEMPLETON HIGH INCOME FUND

1. ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES

The following summarizes the Fund's significant accounting policies.

A. SECURITY VALUATION

Securities listed on a securities 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. Over-the-counter securities and listed securities for
which there is no reported sale 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. Investments in open-end mutual funds are valued at the closing net asset
value.

Corporate debt securities generally trade in the over-the-counter market rather
than on a securities exchange. The Trust may utilize independent pricing
services, quotations from bond dealers, and information with respect to bond and
note transactions, to assist in determining a current market value for each
security. The Trust's pricing services may use valuation models or matrix
pricing which considers information with respect to comparable bond and note
transactions, quotations from bond dealers, or by reference to other securities
that are considered comparable in such characteristics as rating, interest rate
and maturity date, option adjusted spread models, prepayment projections,
interest rate spreads and yield curves, to determine current value.

Foreign securities are valued as of the close of trading on the foreign stock
exchange on which the security is primarily traded, or the NYSE, whichever is
earlier. If no sale is reported at that time, the foreign security will be
valued within the range of the most recent quoted bid and ask prices. The value
is then converted into its U.S. dollar equivalent at the foreign exchange rate
in effect at the close of the NYSE on the day that the value of the foreign
security is determined.

18| Annual Report

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

FRANKLIN TEMPLETON HIGH INCOME FUND

1. ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

A. SECURITY VALUATION (CONTINUED)

question the availability (including the reliability) of the value of a
portfolio security held by the Fund. If such an event occurs, the securities may
be valued using fair value procedures, which may include the use of independent
pricing services. All security valuation procedures are approved by the Trust's
Board of Trustees.

B. INCOME TAXES

No provision has been made for U.S. income taxes because it is the Fund's policy
to qualify as a regulated investment company under the Internal Revenue Code and
to distribute to shareholders substantially all of its taxable income and net
realized gains.

The Fund has reviewed the tax positions, taken on federal income tax returns,
for each of the three open tax years and as of July 31, 2008, and has determined
that no provision for income tax is required in the Fund's financial statements.

C. SECURITY TRANSACTIONS, INVESTMENT INCOME, EXPENSES AND DISTRIBUTIONS

Security transactions are accounted for on trade date. Realized gains and losses
on security transactions are determined on a specific identification basis.
Interest income and estimated expenses are accrued daily. Amortization of
premium and accretion of discount on debt securities are included in interest
income. Dividend income is recorded on the ex-dividend date. Distributions to
shareholders are recorded on the ex-dividend date and are determined according
to income tax regulations (tax basis). Distributable earnings determined on a
tax basis may differ from earnings recorded in accordance with accounting
principles generally accepted in the United States of America. These differences
may be permanent or temporary. Permanent differences are reclassified among
capital accounts to reflect their tax character. These reclassifications have no
impact on net assets or the results of operations. Temporary differences are not
reclassified, as they may reverse in subsequent periods.

Common expenses incurred by the Trust are allocated among the funds based on the
ratio of net assets of each fund to the combined net assets of the Trust. Fund
specific expenses are charged directly to the fund that incurred the expense.

D. ACCOUNTING ESTIMATES

The preparation of financial statements in accordance with accounting principles
generally accepted in the United States of America requires management to make
estimates and assumptions that affect the reported amounts of assets and
liabilities at the date of the financial statements and the amounts of income
and expenses during the reporting period. Actual results could differ from those
estimates.

Annual Report | 19

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

FRANKLIN TEMPLETON HIGH INCOME FUND

1. ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

E. REDEMPTION FEES

A short term trading redemption fee will be imposed, with some exceptions, on
any fund shares that are redeemed or exchanged within seven calendar days
following their purchase date. The redemption fee is 2% of the amount redeemed.
Such fees are retained by the Fund and accounted for as an addition to paid-in
capital. There were no redemption fees for the year. Effective September 1,
2008, the redemption fee will be eliminated.

F. GUARANTEES AND INDEMNIFICATIONS

Under the Trust's organizational documents, its officers and trustees are
indemnified by the Trust against certain liabilities arising out of the
performance of their duties to the Trust. Additionally, in the normal course of
business, the Trust, on behalf of the Fund, enters into contracts with service
providers that contain general indemnification clauses. The Trust's maximum
exposure under these arrangements is unknown as this would involve future claims
that may be made against the Trust that have not yet occurred. Currently, the
Trust expects the risk of loss to be remote.

2. SHARES OF BENEFICIAL INTEREST

At July 31, 2008, there were an unlimited number of shares authorized (without
par value). Transactions in the Fund's shares were as follows:

YEAR ENDED JULY 31,
-----------------------------------------
2008 2007
---------------- ----------------------
SHARES AMOUNT SHARES AMOUNT
------ ------- -------- -----------

Shares sold ................. -- $ -- 28,854 $ 302,000
Shares issued reinvestment of
distributions ............ 9,746 94,531 4,338 44,509
Shares redeemed ............. -- -- (122,000) (1,278,560)
----- ------- -------- -----------
Net increase (decrease) ..... 9,746 $94,531 (88,808) $ (932,051)
===== ======= ======== ===========

3. TRANSACTIONS WITH AFFILIATES

Franklin Resources, Inc. is the holding company for various subsidiaries that
together are referred to as Franklin Templeton Investments. Certain officers and
trustees of the Trust are also officers and/or directors of the following
subsidiaries:

SUBSIDIARY AFFILIATION
- ---------- ----------------------

Fiduciary International, Inc. (Fiduciary) Investment manager
Franklin Advisers, Inc. (Advisers) Investment manager
Franklin Templeton Services, LLC (FT Services) Administrative manager
Franklin Templeton Distributors, Inc. (Distributors) Principal underwriter
Franklin Templeton Investor Services, LLC (Investor Services) Transfer agent

20 | Annual Report

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

FRANKLIN TEMPLETON HIGH INCOME FUND

3. TRANSACTIONS WITH AFFILIATES (CONTINUED)

A. MANAGEMENT FEES

The Fund pays an investment management fee to Fiduciary of 0.30% per year of the
average daily net assets of the Fund.

Under a subadvisory agreement, Advisers, an affiliate of Fiduciary, provides
subadvisory services to the Fund and receives from Fiduciary fees based on the
average daily net assets of the Fund.

B. ADMINISTRATIVE FEES

The Fund pays an administrative fee to FT Services of 0.20% per year of the
average daily net assets of the Fund.

C. DISTRIBUTION FEES

The Trust's Board of Trustees has adopted a distribution plan pursuant to Rule
12b-1 under the 1940 Act. The Fund has not activated the plan.

D. TRANSFER AGENT FEES

For the period ended July 31, 2008, the Fund paid transfer agent fees of $252,
of which $63 was retained by Investor Services.

E. WAIVER AND EXPENSE REIMBURSEMENTS

FT Services, Fiduciary and Investor Services have agreed in advance to waive all
or a portion of their respective fees and to assume payment of other expenses
through November 30, 2008. Total expenses waived or paid are not subject to
reimbursement by the Fund subsequent to the Fund's fiscal year end. After
November 30, 2008, FT Services, Fiduciary and Investor Services may discontinue
this waiver at any time upon notice to the Fund's Board of Trustees.

4. EXPENSE OFFSET ARRANGEMENT

The Fund has entered into an arrangement with its custodian whereby credits
realized as a result of uninvested cash balances are used to reduce a portion of
the Fund's custodian expenses. During the year ended July 31, 2008, the
custodian fees were reduced as noted in the Statement of Operations.

5. INCOME TAXES

For tax purposes, capital losses may be carried over to offset future capital
gains, if any. At July 31, 2008, the Fund had tax basis capital losses of $355
expiring in 2016.

Annual Report | 21

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

FRANKLIN TEMPLETON HIGH INCOME FUND

5. INCOME TAXES (CONTINUED)

For tax purposes, realized capital losses occurring subsequent to October 31,
may be deferred and treated as occurring on the first day of the following
fiscal year. At July 31, 2008, the Fund deferred realized capital losses of
$38,455.

The tax character of distributions paid during the years ended July 31, 2008 and
2007, was as follows:

2008 2007
-------- --------

Distributions paid from:
Ordinary income .............. $524,091 $518,438
Long term capital gain ....... 46,273 33,918
-------- --------
$570,364 $552,356
======== ========

At July 31, 2008, the cost of investments, net unrealized appreciation
(depreciation) and undistributed ordinary income for income tax purposes were as
follows:

Cost of investments ............................. $6,135,095
==========
Unrealized appreciation ......................... $ 37,456
Unrealized depreciation ......................... (519,868)
----------
Net unrealized appreciation (depreciation) ...... $ (482,412)
==========
Undistributed ordinary income ................... $ 39,898
==========

Net investment income differs for financial statement and tax purposes primarily
due to differing treatments of payments-in-kind and bond discounts and premiums.

Net realized gains (losses) differ for financial statement and tax purposes
primarily due to differing treatments of wash sales and bond discounts and
premiums.

6. INVESTMENT TRANSACTIONS

Purchases and sales of investments (excluding short term securities) for the
year ended July 31, 2008, aggregated $1,624,161 and $1,841,056, respectively.

7. INVESTMENTS IN FRANKLIN INSTITUTIONAL FIDUCIARY TRUST MONEY MARKET PORTFOLIO

The Fund may invest in the Franklin Institutional Fiduciary Trust Money Market
Portfolio (Sweep Money Fund), an open-end investment company managed by
Advisers. Management fees paid by the Fund are reduced on assets invested in the
Sweep Money Fund, in an amount not to exceed the management and administrative
fees paid by the Sweep Money Fund.

22 | Annual Report

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

FRANKLIN TEMPLETON HIGH INCOME FUND

8. SHAREHOLDER CONCENTRATIONS

The Fund has a concentration of shareholders holding a significant percentage of
shares outstanding. Investment activities of these shareholders could have a
material impact on the Fund. At July 31, 2008, there were three unaffiliated
shareholders, holding 39%, 39% and 16% of the Fund's outstanding shares.

9. CREDIT RISK

The Fund has 94.1% of its portfolio invested in high yield, or other securities
rated below investment grade. These securities may be more sensitive to economic
conditions causing greater price volatility and are potentially subject to a
greater risk of loss due to default than higher rated securities.

10. NEW ACCOUNTING PRONOUNCEMENTS

In September 2006, the Financial Accounting Standards Board (FASB) issued FASB
Statement No. 157, "Fair Value Measurement" (SFAS 157), which defines fair
value, establishes a framework for measuring fair value, and expands disclosures
about fair value measurements. SFAS 157 is effective for fiscal years beginning
after November 15, 2007, and interim periods within those fiscal years. The
Trust believes the adoption of SFAS 157 will have no material impact on its
financial statements.

In March 2008, FASB issued FASB Statement No. 161, "Disclosures about Derivative
Instruments and Hedging Activities, an amendment of FASB Statement No. 133"
(SFAS 161), which expands disclosures about derivative investments and hedging
activities. SFAS 161 is effective for fiscal years beginning after November 15,
2008, and interim periods within those fiscal years. The Fund is currently
evaluating the impact, if any, of applying the various provisions of SFAS 161.

Annual Report | 23

Franklin Global Trust

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

FRANKLIN TEMPLETON HIGH INCOME FUND

TO THE BOARD OF TRUSTEES AND SHAREHOLDERS OF FRANKLIN GLOBAL TRUST

In our opinion, the accompanying statement of assets and liabilities, including
the statement of investments, and the related statements of operations and of
changes in net assets and the financial highlights present fairly, in all
material respects, the financial position of Franklin Templeton High Income Fund
(one of the funds constituting Franklin Global Trust, hereafter referred to as
the "Fund") at July 31, 2008, the results of its operations for the year then
ended, the changes in its net assets for each of the two years in the period
then ended and the financial highlights for the periods presented, in conformity
with accounting principles generally accepted in the United States of America.
These financial statements and financial highlights (hereafter referred to as
"financial statements") are the responsibility of the Fund's management. Our
responsibility is to express an opinion on these financial statements based on
our audits. We conducted our audits of these financial statements in accordance
with the standards of the Public Company Accounting Oversight Board (United
States). Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements, assessing the
accounting principles used and significant estimates made by management, and
evaluating the overall financial statement presentation. We believe that our
audits, which included confirmation of securities at July 31, 2008 by
correspondence with the custodian, provide a reasonable basis for our opinion.

PricewaterhouseCoopers LLP

San Francisco, California
September 17, 2008

24 | Annual Report

Franklin Global Trust

BOARD MEMBERS AND OFFICERS

The name, year of birth and address of the officers and board members, as well
as their affiliations, positions held with the Trust, principal occupations
during the past five years and number of portfolios overseen in the Franklin
Templeton Investments fund complex are shown below. Generally, each board member
serves until that person's successor is elected and qualified.

INDEPENDENT BOARD MEMBERS

NUMBER OF PORTFOLIOS IN
NAME, YEAR OF BIRTH LENGTH OF FUND COMPLEX OVERSEEN
AND ADDRESS POSITION TIME SERVED BY BOARD MEMBER* OTHER DIRECTORSHIPS HELD
- ------------------------------ --------------- ------------------ ----------------------- -------------------------------

HARRIS J. ASHTON (1932) Trustee Since 2000 143 Bar-S Foods (meat packing
One Franklin Parkway company).
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Director of various companies; and FORMERLY, Director, RBC Holdings, Inc. (bank
holding company) (until 2002); and President, Chief Executive Officer and
Chairman of the Board, General Host Corporation (nursery and craft centers)
(until 1998).

ROBERT F. CARLSON (1928) Trustee Since 2000 122 None
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Retired; and FORMERLY, Vice President, senior member and past President, Board
of Administration, California Public Employees Retirement Systems (CALPERS)
(1971 - January 2008); member and Chairman of the Board, Sutter Community
Hospitals; member, Corporate Board, Blue Shield of California; and Chief
Counsel, California Department of Transportation.

SAM GINN (1937) Trustee Since 2007 122 Chevron Corporation (global
One Franklin Parkway energy company) and ICO Global
San Mateo, CA 94403-1906 Communications (Holdings)
Limited (satellite company).

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Private investor; and FORMERLY, Chairman of the Board, Vodafone AirTouch, PLC
(wireless company); Chairman of the Board and Chief Executive Officer, AirTouch
Communications (cellular communications) (1993-1998) and Pacific Telesis Groups
(telephone holding company) (1988-1994).

EDITH E. HOLIDAY (1952) Trustee Since 2000 143 Hess Corporation (exploration
One Franklin Parkway and refining of oil and gas),
San Mateo, CA 94403-1906 H.J. Heinz Company (processed
foods and allied products), RTI
International Metals, Inc.
(manufacture and distribution of
titanium), Canadian National
Railway (railroad) and White
Mountains Insurance Group, Ltd.
(holding company).

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Director or Trustee of various companies and trusts; and FORMERLY, Assistant to
the President of the United States and Secretary of the Cabinet (1990-1993);
General Counsel to the United States Treasury Department (1989-1990); and
Counselor to the Secretary and Assistant Secretary for Public Affairs and Public
Liaison-United States Treasury Department (1988-1989).

Annual Report | 25

FRANK W.T. LAHAYE (1929) Trustee Since 2000 122 Center for Creative Land
One Franklin Parkway Recycling (brownfield
San Mateo, CA 94403-1906 redevelopment).

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

General Partner, Las Olas L.P. (Asset Management); and FORMERLY, Chairman,
Peregrine Venture Management Company (venture capital).

FRANK A. OLSON (1932) Trustee Since 2005 143 Hess Corporation (exploration
One Franklin Parkway and refining of oil and gas) and
San Mateo, CA 94403-1906 Sentient Jet (private jet
service).

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Chairman Emeritus, The Hertz Corporation (car rental) (since 2000) (Chairman of
the Board (1980-2000) and Chief Executive Officer (1977-1999)); and FORMERLY,
Chairman of the Board, President and Chief Executive Officer, UAL Corporation
(airlines).

LARRY D. THOMPSON (1945) Trustee Since 2007 143 None
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Senior Vice President - Government Affairs, General Counsel and Secretary,
PepsiCo, Inc. (consumer products); and FORMERLY, Director, Delta Airlines
(aviation) (2003-2005) and Providian Financial Corp. (credit card provider)
(1997-2001); Senior Fellow of The Brookings Institution (2003-2004); Visiting
Professor, University of Georgia School of Law (2004); and Deputy Attorney
General, U.S. Department of Justice (2001-2003).

JOHN B. WILSON (1959) Lead Trustee since 122 None
One Franklin Parkway Independent 2006 and Lead
San Mateo, CA 94403-1906 Trustee Independent
Trustee since
January 2008

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

President and Founder, Hyannis Port Capital, Inc. (real estate and private
equity investing); serves on private and non-profit boards; and FORMERLY, Chief
Operating Officer and Executive Vice President, Gap, Inc. (retail) (1996-2000);
Chief Financial Officer and Executive Vice President - Finance Strategy,
Staples, Inc. (office supplies) (1992-1996); Executive Vice President -
Corporate Planning, Northwest Airlines, Inc. (airlines) (1990-1992); Vice
President and Partner, Bain & Company (consulting firm) (1986-1990).

INTERESTED BOARD MEMBERS AND OFFICERS

**CHARLES B. JOHNSON (1933) Trustee and Since 2000 143 None
One Franklin Parkway Chairman of
San Mateo, CA 94403-1906 the Board

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Chairman of the Board, Member - Office of the Chairman and Director, Franklin
Resources, Inc.; Director, Templeton Worldwide, Inc.; and officer and/or
director or trustee, as the case may be, of some of the other subsidiaries of
Franklin Resources, Inc. and of 42 of the investment companies in Franklin
Templeton Investments.

26 | Annual Report

**GREGORY E. JOHNSON (1961) Trustee Since 2007 94 None
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Director, President and Chief Executive Officer, Franklin Resources, Inc.;
President, Templeton Worldwide, Inc.; Director, Templeton Asset Management Ltd.;
and officer and/or director or trustee, as the case may be, of some of the other
subsidiaries of Franklin Resources, Inc. and of 33 of the investment companies
in Franklin Templeton Investments.

JAMES M. DAVIS (1952) Chief Chief Compliance Not Applicable Not Applicable
One Franklin Parkway Compliance Officer since 2004
San Mateo, CA 94403-1906 Officer and and Vice
Vice President President - AML
- AML Compliance since
Compliance 2006

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Director, Global Compliance, Franklin Resources, Inc.; officer of some of the
other subsidiaries of Franklin Resources, Inc. and of 46 of the investment
companies in Franklin Templeton Investments; and FORMERLY, Director of
Compliance, Franklin Resources, Inc. (1994-2001).

LAURA F. FERGERSON (1962) Treasurer, Treasurer since Not Applicable Not Applicable
One Franklin Parkway Chief Financial 2004, Chief
San Mateo, CA 94403-1906 Officer and Financial Officer
Chief and Chief
Accounting Accounting Officer
Officer since February
2008

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Vice President, Franklin Templeton Services, LLC; officer of 46 of the
investment companies in Franklin Templeton Investments; and FORMERLY, Director
and member of Audit and Valuation Committees, Runkel Funds, Inc. (2003-2004);
Assistant Treasurer of most of the investment companies in Franklin Templeton
Investments (1997-2003); and Vice President, Franklin Templeton Services, LLC
(1997-2003).

JIMMY D. GAMBILL (1947) Vice President Since February Not Applicable Not Applicable
500 East Broward Blvd. 2008
Suite 2100
Fort Lauderdale, FL 33394-3091

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

President, Franklin Templeton Services, LLC; Senior Vice President, Templeton
Worldwide, Inc.; and officer of some of the other subsidiaries of Franklin
Resources, Inc. and of 46 of the investment companies in Franklin Templeton
Investments.

Annual Report | 27

DAVID P. GOSS (1947) Vice President Since 2000 Not Applicable Not Applicable
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Senior Associate General Counsel, Franklin Templeton Investments; officer and
director of one of the subsidiaries of Franklin Resources, Inc.; and officer of
46 of the investment companies in Franklin Templeton Investments.

EDWARD B. JAMIESON (1948) Vice President Since 2000 Not Applicable Not Applicable
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

President, Chief Investment Officer and Director, Franklin Advisers, Inc.;
Executive Vice President, Franklin Templeton Institutional, LLC; officer and/or
trustee, as the case may be, of some of the other subsidiaries of Franklin
Resources, Inc. and of four of the investment companies in Franklin Templeton
Investments.

RUPERT H. JOHNSON, JR. (1940) President and President since Not Applicable Not Applicable
One Franklin Parkway Chief 2000 and Chief
San Mateo, CA 94403-1906 Executive Executive Officer
Officer - - Investment
Investment Management
Management since 2002

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Vice Chairman, Member - Office of the Chairman and Director, Franklin Resources,
Inc.; Director, Franklin Advisers, Inc. and Templeton Worldwide, Inc.; Senior
Vice President, Franklin Advisory Services, LLC; and officer and/or director or
trustee, as the case may be, of some of the other subsidiaries of Franklin
Resources, Inc. and of 44 of the investment companies in Franklin Templeton
Investments.

CHRISTOPHER J. MOLUMPHY (1962) Vice President Since 2000 Not Applicable Not Applicable
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Director and Executive Vice President, Franklin Adviser, Inc.; and officer of
some of the other subsidiaries of Franklin Resources, Inc. and of six of the
investment companies in Franklin Templeton Investments.

KAREN L. SKIDMORE (1952) Vice President Since 2006 Not Applicable Not Applicable
One Franklin Parkway and Secretary
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Senior Associate General Counsel, Franklin Templeton Investments; and officer of
30 of the investment companies in Franklin Templeton Investments.

28 | Annual Report

CRAIG S. TYLE (1960) Vice President Since 2005 Not Applicable Not Applicable
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

General Counsel and Executive Vice President, Franklin Resources, Inc.; officer
of some of the other subsidiaries of Franklin Resources, Inc. and of 46 of the
investment companies in Franklin Templeton Investments; and FORMERLY, Partner,
Shearman & Sterling, LLP (2004-2005); and General Counsel, Investment Company
Institute (ICI) (1997-2004).

GALEN G. VETTER (1951) Senior Vice Since February Not Applicable Not Applicable
500 East Broward Blvd. President and 2008
Suite 2100 Chief
Fort Lauderdale, FL 33394-3091 Executive
Officer -
Finance and
Administration

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Senior Vice President, Franklin Templeton Services, LLC; officer of some of the
other subsidiaries of Franklin Resources, Inc. and of 46 of the investment
companies in Franklin Templeton Investments; and FORMERLY, Managing Director,
RSM McGladrey, Inc. (1999-2004); and Partner, McGladrey & Pullen, LLP (1979-1987
and 1991-2004).

* We base the number of portfolios on each separate series of the U.S.
registered investment companies within the Franklin Templeton Investments
fund complex. These portfolios have a common investment manager or
affiliated investment managers.

** Charles B. Johnson is considered to be an interested person of the Trust
under the federal securities laws due to his position as officer and
director and major shareholder of Franklin Resources, Inc. (Resources),
which is the parent company of the Fund's investment manager and
distributor. Gregory E. Johnson is considered to be an interested person of
the Trust under the federal securities laws due to his position as an
officer and director of Resources.

Note 1: Charles B. Johnson and Rupert H. Johnson, Jr. are brothers and the
father and uncle, respectively, of Gregory E. Johnson.

Note 2: Officer information is current as of the date of this report. It is
possible that after this date, information about officers may change.

THE SARBANES-OXLEY ACT OF 2002 AND RULES ADOPTED BY THE SECURITIES AND EXCHANGE
COMMISSION REQUIRE THE FUND TO DISCLOSE WHETHER THE FUND'S AUDIT COMMITTEE
INCLUDES AT LEAST ONE MEMBER WHO IS AN AUDIT COMMITTEE FINANCIAL EXPERT WITHIN
THE MEANING OF SUCH ACT AND RULES. THE FUND'S BOARD HAS DETERMINED THAT THERE IS
AT LEAST ONE SUCH FINANCIAL EXPERT ON THE AUDIT COMMITTEE AND HAS DESIGNATED
JOHN B. WILSON AS ITS AUDIT COMMITTEE FINANCIAL EXPERT. THE BOARD BELIEVES THAT
MR. WILSON QUALIFIES AS SUCH AN EXPERT IN VIEW OF HIS EXTENSIVE BUSINESS
BACKGROUND AND EXPERIENCE, INCLUDING SERVICE AS CHIEF FINANCIAL OFFICER OF
STAPLES, INC. FROM 1992 TO 1996. MR. WILSON HAS BEEN A MEMBER AND CHAIRMAN OF
THE FUND'S AUDIT COMMITTEE SINCE 2006. AS A RESULT OF SUCH BACKGROUND AND
EXPERIENCE, THE BOARD BELIEVES THAT MR. WILSON HAS ACQUIRED AN UNDERSTANDING OF
GENERALLY ACCEPTED ACCOUNTING PRINCIPLES AND FINANCIAL STATEMENTS, THE GENERAL
APPLICATION OF SUCH PRINCIPLES IN CONNECTION WITH THE ACCOUNTING ESTIMATES,
ACCRUALS AND RESERVES, AND ANALYZING AND EVALUATING FINANCIAL STATEMENTS THAT
PRESENT A BREADTH AND LEVEL OF COMPLEXITY OF ACCOUNTING ISSUES GENERALLY
COMPARABLE TO THOSE OF THE FUND, AS WELL AS AN UNDERSTANDING OF INTERNAL
CONTROLS AND PROCEDURES FOR FINANCIAL REPORTING AND AN UNDERSTANDING OF AUDIT
COMMITTEE FUNCTIONS. MR. WILSON IS AN INDEPENDENT BOARD MEMBER AS THAT TERM IS
DEFINED UNDER THE RELEVANT SECURITIES AND EXCHANGE COMMISSION RULES AND
RELEASES.

THE STATEMENT OF ADDITIONAL INFORMATION (SAI) INCLUDES ADDITIONAL INFORMATION
ABOUT THE BOARD MEMBERS AND IS AVAILABLE, WITHOUT CHARGE, UPON REQUEST.
SHAREHOLDERS MAY CALL 1-800/845-4514 TO REQUEST THE SAI.

Annual Report | 29

Franklin Global Trust

SHAREHOLDER INFORMATION

FRANKLIN TEMPLETON HIGH INCOME FUND

BOARD REVIEW OF INVESTMENT MANAGEMENT AGREEMENT

At a meeting held February 25, 2008, the Board of Trustees (Board), including a
majority of non-interested or independent Trustees, approved renewal of the
investment management agreements for each of the separate funds within Franklin
Global Trust, including Franklin Templeton High Income Fund (Fund(s)). In
reaching this decision, the Board took into account information furnished
throughout the year at regular Board meetings, as well as information prepared
specifically in connection with the annual renewal review process. Information
furnished and discussed throughout the year included investment performance
reports and related financial information for each Fund, as well as periodic
reports on shareholder services, legal, compliance, pricing, brokerage
commissions and execution and other services provided by the Investment Manager
(Manager) and its affiliates. Information furnished specifically in connection
with the renewal process included a report for each Fund prepared by Lipper,
Inc. (Lipper), an independent organization, as well as a Fund profitability
analysis report prepared by management. The Lipper report compared a Fund's
investment performance and expenses with those of other mutual funds deemed
comparable to the Fund as selected by Lipper. The Fund profitability analysis
report discussed the profitability to Franklin Templeton Investments from its
overall U.S. fund operations, as well as on an individual fund-by-fund basis.
Included with such profitability analysis report was information on a
fund-by-fund basis listing portfolio managers and other accounts they manage, as
well as information on management fees charged by the Manager and its affiliates
including management's explanation of differences where relevant and a
three-year expense analysis with an explanation for any increase in expense
ratios. Additional material accompanying such report was a memorandum prepared
by management describing project initiatives and capital investments relating to
the services provided to the Fund by the Franklin Templeton Investments
organization, as well as a memorandum relating to economies of scale and a
comparative analysis concerning transfer agent fees charged each Fund.

In considering such materials, the independent Trustees received assistance and
advice from and met separately with independent counsel. While the investment
management agreements for all Funds were considered at the same Board meeting,
the Board dealt with each Fund separately. In approving continuance of the
investment management agreement for each Fund, the Board, including a majority
of independent Trustees, determined that the existing management fee structure
was fair and reasonable and that continuance of the investment management
agreement was in the best interests of the Fund and its shareholders. While
attention was given to all information furnished, the following discusses some
primary factors relevant to the Board's decision.

30 | Annual Report

Franklin Global Trust

SHAREHOLDER INFORMATION (CONTINUED)

FRANKLIN TEMPLETON HIGH INCOME FUND

BOARD REVIEW OF INVESTMENT MANAGEMENT AGREEMENT (CONTINUED)

and restrictions for the Fund were consistently complied with as well as other
reports periodically furnished the Board covering matters such as the compliance
of portfolio managers and other management personnel with the code of ethics
adopted throughout the Franklin Templeton fund complex, the adherence to fair
value pricing procedures established by the Board, and the accuracy of net asset
value calculations. The Board also noted the extent of benefits provided Fund
shareholders from being part of the Franklin Templeton family of funds,
including the right to exchange investments between the same class of funds
without a sales charge, the ability to reinvest Fund dividends into other funds
and the right to combine holdings in other funds to obtain a reduced sales
charge. Favorable consideration was given to management's continuous efforts and
expenditures in establishing back-up systems and recovery procedures to function
in the event of a natural disaster, it being noted that such systems and
procedures had functioned smoothly during the Florida hurricanes and blackouts
experienced in recent years. Among other factors taken into account by the Board
were the Manager's best execution trading policies, including a favorable report
by an independent portfolio trading analytical firm. Consideration was also
given to the experience of the Fund's portfolio management team, the number of
accounts managed and general method of compensation. In this latter respect, the
Board noted that a primary factor in management's determination of a portfolio
manager's bonus compensation was the relative investment performance of the
funds he or she managed and that a portion of such bonus was required to be
invested in a predesignated list of funds within such person's fund management
area so as to be aligned with the interests of Fund shareholders. The Board also
took into account the quality of transfer agent and shareholder services
provided Fund shareholders by an affiliate of the Manager, noting continuing
expenditures by management to increase and improve the scope of such services,
periodic favorable reports on such service conducted by third parties, the high
industry ranking given to the Franklin Templeton website, and the firsthand
experience of individual Board members who deal with the shareholder services
department in their capacities as shareholders in one or more of the various
Franklin Templeton funds.

INVESTMENT PERFORMANCE. The Board placed significant emphasis on the investment
performance of each Fund in view of its importance to shareholders. While
consideration was given to performance reports and discussions with portfolio
managers at Board meetings throughout the year, particular attention in
assessing performance was given to the Lipper report furnished for the agreement
renewal. The Lipper report prepared for the Fund showed the investment
performance of the Fund in comparison to a performance universe selected by
Lipper. Comparative performance for the Fund was shown for the one-year period
ended December 31, 2007, and for additional periods ended that date depending on
when the Fund commenced operations. Investment performance was shown on a total
return basis for the Fund and on an income return basis as well. The following
summarizes the performance results for the Fund and the Board's view of such
performance.

Annual Report | 31

Franklin Global Trust

SHAREHOLDER INFORMATION (CONTINUED)

FRANKLIN TEMPLETON HIGH INCOME FUND

BOARD REVIEW OF INVESTMENT MANAGEMENT AGREEMENT (CONTINUED)

The performance universe for the Fund consisted of the Fund and all retail and
institutional high current yield funds as selected by Lipper. This Fund has been
in operation for only four full years. The Lipper report showed the Fund's
income return to be in the highest quintile of such performance universe for the
one-year period and the second-highest quintile of such universe during the
four-year period of its existence on an annualized basis. The Lipper report
showed the Fund's total return to be in the highest quintile of such universe
for the one-year period as well as on an annualized basis for the four-year
period of its existence. The Board was satisfied with such performance.

COMPARATIVE EXPENSES. Consideration was given to the management fee and total
expense ratios of the Fund compared with those of a group of funds selected by
Lipper as its appropriate Lipper expense group. Prior to making such
comparisons, the Board relied upon a survey showing that the scope of management
advisory services covered under a Fund's investment management agreement was
similar to those provided by fund managers to other mutual fund groups. In
reviewing comparative costs, emphasis was given to the Fund's management fee in
comparison with the contractual investment management fee that would have been
charged by other funds within its Lipper expense group assuming they were
similar in size to the Fund, as well as the actual total expenses of the Fund in
comparison with those of its Lipper expense group. The Lipper contractual
investment management fee analysis includes the advisory and administrative fees
directly charged to the Fund as being part of the management fee. The
contractual investment management fee rate was below the Lipper expense group
median and actual total expenses were in the least expensive quintile of the
Fund's Lipper expense group. The Board was satisfied with these comparative
expenses noting that the Fund benefited from fee waivers or reimbursements.

32 | Annual Report

Franklin Global Trust

SHAREHOLDER INFORMATION (CONTINUED)

FRANKLIN TEMPLETON HIGH INCOME FUND

BOARD REVIEW OF INVESTMENT MANAGEMENT AGREEMENT (CONTINUED)

necessary for the type of mutual fund operations conducted by the Manager and
its affiliates may not be fully reflected in the expenses allocated to the Fund
in determining its profitability, as well as the fact that the level of profits,
to a certain extent, reflected operational cost savings and efficiencies
initiated by management. The Board also took into account management's
expenditures in improving shareholder services provided the Fund, as well as the
need to meet additional regulatory and compliance requirements resulting from
the Sarbanes-Oxley Act and recent SEC and other regulatory requirements. In
addition, the Board considered a third-party study comparing the profitability
of the Manager's parent on an overall basis as compared to other publicly held
managers broken down to show profitability from management operations exclusive
of distribution expenses, as well as profitability including distribution
expenses. The Board also considered the extent to which the Manager and its
affiliates might derive ancillary benefits from fund operations, including
potential benefits resulting from allocation of fund brokerage and the use of
"soft" commission dollars to pay for research. Based upon its consideration of
all these factors, the Board determined that the level of profits realized by
the Manager and its affiliates from providing services to the Fund was not
excessive in view of the nature, quality and extent of services provided.

PROXY VOTING POLICIES AND PROCEDURES

The Trust's investment manager has established Proxy Voting Policies and
Procedures (Policies) that the Trust uses to determine how to vote proxies
relating to portfolio securities. Shareholders may view the Trust's complete
Policies online at franklintempleton.com. Alternatively, shareholders may
request copies of the Policies free of charge by calling the Proxy Group collect
at 1-954/527-7678 or by sending a written request to: Franklin Templeton
Companies, LLC, 500 East Broward Boulevard, Suite 1500, Fort Lauderdale, FL
33394, Attention: Proxy Group. Copies of the Trust's proxy voting records are
also made available online at franklintempleton.com and posted on the U.S.
Securities and Exchange Commission's website at sec.gov and reflect the most
recent 12-month period ended June 30.

Annual Report | 33

Franklin Global Trust

SHAREHOLDER INFORMATION (CONTINUED)

FRANKLIN TEMPLETON HIGH INCOME FUND

QUARTERLY STATEMENT OF INVESTMENTS

The Trust files a complete statement of investments with the U.S. Securities and
Exchange Commission for the first and third quarters for each fiscal year on
Form N-Q. Shareholders may view the filed Form N-Q by visiting the Commission's
website at sec.gov. The filed form may also be viewed and copied at the
Commission's Public Reference Room in Washington, DC. Information regarding the
operations of the Public Reference Room may be obtained by calling
1-800/SEC-0330.

34 | Annual Report

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(FRANKLIN TEMPLETON INSTITUTIONAL(R) LOGO) 600 Fifth Avenue
New York, NY 10020

ANNUAL REPORT

FRANKLIN TEMPLETON HIGH INCOME FUND

INVESTMENT MANAGER
Fiduciary International, Inc.

DISTRIBUTOR
Franklin Templeton Distributors, Inc.
One Franklin Parkway
San Mateo, CA 94403-1906

FRANKLIN TEMPLETON INSTITUTIONAL SERVICES
1-800/321-8563

Authorized for distribution only when accompanied or preceded by a prospectus.
Investors should carefully consider a fund's investment goals, risks, charges
and expenses before investing. The prospectus contains this and other
information; please read it carefully before investing.

To ensure the highest quality of service, telephone calls to or from our service
departments may be monitored, recorded and accessed. These calls can be
identified by the presence of a regular beeping tone.

FRANKLIN INTERNATIONAL SMALL CAP GROWTH FUND

(GRAPHIC)

JULY 31, 2008

A series of Franklin Global Trust

ANNUAL REPORT AND SHAREHOLDER LETTER

INTERNATIONAL

FRANKLIN INTERNATIONAL SMALL CAP GROWTH FUND
(formerly, Franklin International Smaller Companies Growth Fund)

WANT TO RECEIVE THIS DOCUMENT FASTER VIA EMAIL?

Eligible shareholders can sign up for eDelivery at franklintempleton.com. See
inside for details.

(FRANKLIN TEMPLETON INVESTMENTS(R) LOGO)
FRANKLIN TEMPLETON INVESTMENTS

FRANKLIN - Templeton - Mutual Series

Annual Report

Franklin International Small Cap Growth Fund
(formerly, Franklin International Smaller Companies Growth Fund)

YOUR FUND'S GOAL AND MAIN INVESTMENTS: The Fund seeks long-term capital
appreciation by investing at least 80% of its net assets in a diversified
portfolio of marketable equity and equity-related securities of smaller
international companies with market capitalizations not exceeding $2 billion (or
the equivalent in local currencies), or the highest market capitalization of the
Morgan Stanley Capital International (MSCI) Europe, Australasia, Far East (EAFE)
Small Cap Index, whichever is greater, at the time of purchase.(1) The Fund
considers international companies to be those organized under the laws of a
country outside North America or having a principal office in a country outside
of North America, or whose securities are listed or traded principally on a
recognized stock exchange or over the counter outside of North America.

GEOGRAPHIC BREAKDOWN
Based on Total Net Assets as of 7/31/08

(PIE CHART)

Europe ................................................................. 69.2%
Asia ................................................................... 22.7%
Middle East & Africa ................................................... 2.0%
Short-Term Investments & Other Net Assets .............................. 6.1%

This annual report for Franklin International Small Cap Growth Fund covers the
fiscal year ended July 31, 2008.

(1.) The MSCI EAFE Small Cap Index is a float-adjusted, market
capitalization-weighted index designed to measure equity market small cap
sector performance in global developed markets, excluding the U.S. and
Canada.

THE DOLLAR VALUE, NUMBER OF SHARES OR PRINCIPAL AMOUNT, AND NAMES OF ALL
PORTFOLIO HOLDINGS ARE LISTED IN THE FUND'S STATEMENT OF INVESTMENTS (SOI). THE
SOI BEGINS ON PAGE 18.

Annual Report | 3

PERFORMANCE DATA REPRESENT PAST PERFORMANCE, WHICH DOES NOT GUARANTEE FUTURE
RESULTS. INVESTMENT RETURN AND PRINCIPAL VALUE WILL FLUCTUATE, AND YOU MAY HAVE
A GAIN OR LOSS WHEN YOU SELL YOUR SHARES. CURRENT PERFORMANCE MAY DIFFER FROM
FIGURES SHOWN. PLEASE VISIT FRANKLINTEMPLETON.COM OR CALL 1-800/342-5236 FOR
MOST RECENT MONTH-END PERFORMANCE.

PERFORMANCE OVERVIEW

For the 12-month reporting period, Franklin International Small Cap Growth Fund
- - Advisor Class had a -17.16% return. The Fund's Advisor Class shares performed
better than the benchmark MSCI EAFE Small Cap Index, which had a -21.72% return
for the year under review.(2) For the period since the Fund's Class A shares'
inception on May 15, 2008, through July 31, 2008, the Fund's Class A shares had
a -11.37% cumulative total return and performed comparably to the benchmark's
- -11.56% total return for the same period.(2) You can find the Fund's long-term
performance data in the Performance Summary beginning on page 9.

The MSCI EAFE Small Cap Index replaced the Standard & Poor's (S&P)/Citigroup
less than $2 Billion Cap Range EPAC (Europe Pacific Asia Composite) Index as the
Fund's benchmark because the manager believes it is more representative of the
Fund's investment style. For the period since the Fund's Class A shares'
inception and for the 12 months under review, the S&P/Citigroup less than $2
Billion Cap Range EPAC Index returned -10.55% and -20.96%.(3)

ECONOMIC AND MARKET OVERVIEW

The U.S. economy experienced slower growth as energy prices rose, housing prices
declined, consumer demand softened, and a credit crisis originally related to
U.S. subprime loan losses spread globally. A shift in investor sentiment toward
extreme caution led to broad reassessment of risk in the stock, bond and credit
markets. Some economists speculated whether the U.S. would enter a recession
while others believed one was already under way. Many agreed, however, that the
slowing U.S. economy -- which is the world's largest and accounts for roughly
25% of global gross domestic product -- could have a meaningfully negative
impact on growth prospects around the world.(4) Nevertheless, growth remained
robust in certain areas, particularly in Asia ex-Japan, where China's demand for
commodities continued to have a significant impact on commodity prices and
related equities.

(3.) Source: (C) 2008 Morningstar. The S&P/Citigroup less than $2 Billion Cap
Range EPAC Index is a float-adjusted, market capitalization-weighted index
designed to measure performance of European and Asian equity securities
with market capitalizations of less than $2 billion. The index is
rebalanced monthly by market capitalization.

The indexes are unmanaged and include reinvested distributions. One cannot
invest directly in an index, nor is an index representative of the Fund's
portfolio.

(4.) Source: Global Insight.

4 | Annual Report

During the year under review, prices increased significantly for oil, natural
gas, and most agricultural and industrial commodities, as well as precious
metals, adding to global inflationary pressures. Many of the world's monetary
authorities faced the choice between lowering short-term interest rates to
stimulate growth and raising them to fight inflation. The U.S. focused on
reigniting its economy through fiscal and monetary policies, but the eurozone
made controlling inflation its main goal. Accordingly, while the U.S. Federal
Reserve Board (Fed) eased rates aggressively down to 2.00% from 5.25%, the
European Central Bank raised rates from 4.00% to 4.25%. Overall, rising
inflation led more than three-quarters of the world's central banks to raise
rates as of the end of July as estimated by Merrill Lynch. Interest rate
differentials pressured the U.S. dollar but the greenback regained ground toward
period-end as the Fed paused and implied that its next move could be a rate
hike. Indicators also signaled growth was slowing outside the U.S. For the
period, however, the U.S. dollar declined versus many of the world's currencies,
and the dollar's weakness contributed to higher commodity prices, as most of
these prices are set in U.S. dollars.

Against this challenging economic backdrop, many global equity markets were
volatile and generally declined over the 12-month period. Despite negative
economic data and an outlook for decelerating corporate earnings and profit
margins globally, many companies' balance sheets remained relatively strong.
Although many financial institutions were hurt by their subprime loan exposure,
abundant global liquidity sources such as sovereign wealth funds offered some
relief with quick recapitalizations during the period.

INVESTMENT STRATEGY

In choosing individual equity investments, we utilize a fundamental, "bottom-up"
approach involving in-depth analysis of individual equity securities. In
narrowing down the universe of eligible investments, we employ a quantitative
and qualitative approach to identify smaller international companies that may
benefit from longer-term dynamic growth. Such companies tend to have proprietary
products and services, which can sustain a longer-term competitive advantage.
Additionally, the companies we invest in tend to also have a strong balance
sheet and/or have the ability to generate cash flow over the next five years.
After we identify a company, we conduct thorough analysis to establish the
earning prospects and determine the value of the company. Overall, we seek to
invest in growth companies with attractive valuations.

We do not select investments for the Fund that are merely representative of the
small cap asset class, but instead aim to produce a portfolio of securities of
exceptional companies operating in sectors that offer attractive growth
potential.

PORTFOLIO BREAKDOWN
Based on Total Net Assets as of 7/31/08

Media 14.3%
Food Products 13.5%
Diversified Financial Services 11.1%
Specialty Retail 7.6%
Leisure Equipment & Products 6.7%
Hotels, Restaurants & Leisure 5.9%
Commercial Services & Supplies 5.4%
Office Electronics 5.3%
Insurance 3.3%
Diversified Consumer Services 3.1%
Health Care Equipment & Supplies 3.0%
Biotechnology 2.9%
Textiles, Apparel & Luxury Goods 2.8%
Household Durables 2.4%
Other 6.5%
Short-Term Investments & Other Net Assets 6.2%

Annual Report | 5

TOP 10 COUNTRIES
7/31/08

% OF TOTAL
NET ASSETS
----------

U.K. 36.7%
Japan 15.1%
Belgium 7.7%
Hong Kong 7.6%
France 7.6%
Germany 5.9%
Greece 5.5%
Netherlands 2.8%
Ireland 2.6%
Israel 2.0%

While we seek to outperform the MSCI EAFE Small Cap Index, the Fund may take
positions that are not represented in the index.

MANAGER'S DISCUSSION

During the year under review, the Fund's performance relative to the benchmark
MSCI EAFE Small Cap Index benefited from stock selection in the consumer
discretionary, consumer staples and financials sectors.(5) In the consumer
discretionary sector, non-index component Megastudy (sold by period-end), a
leading South Korean online educational services company experiencing strong
demand for its middle and high school products, boosted returns. Additionally,
non-index component D&M Holdings, a Japan-based leader in branded audiovisual
equipment, also contributed to performance largely due to U.S.-based private
equity firm Bain Capital's bid for the company. In the consumer staples sector,
Unicharm Petcare, a Japanese producer of healthy, low-calorie food and toiletry
goods for dogs and cats, added to returns. Vitasoy International Holdings, a
Hong Kong manufacturer of soymilk, tofu, water and tea, also helped the Fund.
About a year and a half ago, we began to purchase Vitasoy shares because the
company's market capitalization was equal to its high-returning Hong Kong
assets. During the period, investors began to recognize Vitasoy's fast-growing
Chinese and Australian operations. In the financials sector, non-index component
Man Group, a U.K.-based hedge fund, was a key contributor during the year as it
benefited from a growing asset base.

Conversely, stock selection within the materials, industrials and health care
sectors detracted from the Fund's relative performance.(6) In the materials
sector, Century Sunshine, a Hong Kong-based organic fertilizer producer,
declined during the year after the company announced that the bacteria it uses
in converting organic waste into organic fertilizer was less effective than
previously believed. In the industrials sector, Seche Environment, France's
third-largest waste manager, hampered performance, as did Park24, a Japan-based
parking lot operator. In health care, Italy's Amplifon, the world's largest
hearing aid distributor, was a significant detractor. We eliminated our position
in the company during the period after Amplifon failed to complete an
acquisition in the U.K., which we believed would negatively impact the company's
long-term fundamentals.

(5.) The consumer discretionary sector comprises diversified consumer services;
hotels, restaurants and leisure; household durables; leisure equipment and
products; media; specialty retail; and textiles, apparel and luxury goods
in the SOI. The consumer staples sector comprises food products in the SOI.
The financials sector comprises capital markets, diversified financial
services and insurance in the SOI.

(6.) The materials sector comprises chemicals in the SOI. The industrials sector
comprises aerospace and defense, commercial services and supplies, and road
and rail in the SOI. The health care sector comprises biotechnology and
health care equipment and supplies in the SOI.

6 | Annual Report

Geographically, our U.K. allocation delivered the strongest relative
performance, helped by Genus, which crossbreeds cows and pigs. We believed Genus
had a significant lead over other breeders, and it offered some of the most
advanced products to farmers globally to boost milk production. We purchased the
company's shares about two years ago when we believed it was overlooked and
underpriced by the market. Also in the U.K., Gyrus Group, an advanced surgical
systems manufacturer and marketer, also contributed to Fund performance. During
the year, Japanese company Olympus acquired Gyrus. On the other hand, our
European (non-U.K.) exposure hindered relative performance during the period due
to stock selection. Detractors from performance included Belgian companies Omega
Pharma, a branded medical supplier, and RHJ International, a holding company
with Japanese investments. We continued to hold RHJ because our analysis
indicated that it traded at a large discount to its intrinsic value.
Furthermore, we believe RHJ is run by a strong management team that has
demonstrated exceptional returns on its investments in the past.

It is important to recognize the effect of currency movements on the Fund's
performance. In general, if the value of the U.S. dollar goes up compared with a
foreign currency, an investment traded in that foreign currency will go down in
value because it will be worth fewer U.S. dollars. This can have a negative
effect on Fund performance. Conversely, when the U.S. dollar weakens in relation
to a foreign currency, an investment traded in that foreign currency will
increase in value, which can contribute to Fund performance. For the 12 months
ended July 31, 2008, the U.S. dollar declined in value relative to most
currencies. As a result, the Fund's performance was positively affected by the
portfolio's investment predominantly in securities with non-U.S. currency
exposure. However, one cannot expect the same result in future periods.

Although we are bottom-up investors, we would like to discuss how we operate and
can benefit from the current credit crisis that started in the U.S. mortgage
securities markets. Although it is hard to predict the outcome of the credit
crunch, as in past crises, we believe our disciplined investment process should
help us navigate successfully through turbulent periods.

The companies we hold have historically tended to do better than the market in a
credit environment like the existing one because of their strong balance sheets
and/or their ability to generate cash. Therefore, such companies generally have
not needed to borrow money in a distressed situation. Moreover, our valuation
focus led us to reduce exposure to banks and cyclical stocks before their shares
declined. Our analysis of the downside risks in an economic slowdown indicated
that many of these companies were overvalued in late 2006 and early 2007.
Lastly, our dedication to finding companies with strong

TOP 10 EQUITY HOLDINGS
7/31/08

COMPANY % OF TOTAL
SECTOR/INDUSTRY, COUNTRY NET ASSETS
- ------------------------------------------- ----------

Vitasoy International Holdings Ltd. 7.6%
FOOD PRODUCTS, HONG KONG
NETeller PLC 6.4%
DIVERSIFIED FINANCIAL SERVICES, U.K.
Neopost SA 5.3%
OFFICE ELECTRONICS, FRANCE
ASATSU-DK Inc. 4.8%
MEDIA, JAPAN
RHJ International 4.7%
DIVERSIFIED FINANCIAL SERVICES, BELGIUM
Homeserve PLC 4.4%
COMMERCIAL SERVICES & SUPPLIES, U.K.
Carpetright PLC 3.8%
SPECIALTY RETAIL, U.K.
Signet Group PLC 3.8%
SPECIALTY RETAIL, U.K.
Vitec Group PLC 3.7%
LEISURE EQUIPMENT & PRODUCTS, U.K.
CTS Eventim AG 3.6%
MEDIA, GERMANY

Annual Report | 7

competitive positions also benefited the Fund because the market has tended to
focus on these higher quality companies during downturns.

Thank you for your continued participation in Franklin International Small Cap
Growth Fund. We look forward to serving your future investment needs.

(PHOTO OF EDWIN LUGO)

/s/ Edwin Lugo
Edwin Lugo, CFA
Portfolio Manager
Franklin International Small Cap Growth Fund

8 | Annual Report

Performance Summary as of 7/31/08

Your dividend income will vary depending on dividends or interest paid by
securities in the Fund's portfolio, adjusted for operating expenses of each
class. Capital gain distributions are net profits realized from the sale of
portfolio securities. The performance table and graph do not reflect any taxes
that a shareholder would pay on Fund dividends, capital gain distributions, if
any, or any realized gains on the sale of Fund shares. Total return reflects
reinvestment of the Fund's dividends and capital gain distributions, if any, and
any unrealized gains or losses.

PRICE AND DISTRIBUTION INFORMATION

CLASS A (SYMBOL: N/A) CHANGE 7/31/08 5/15/08
- ------------------------------ ------- ------- -------

Net Asset Value (NAV) -$2.55 $19.88 $22.43

CLASS C (SYMBOL: N/A) CHANGE 7/31/08 5/15/08
- ------------------------------ ------- ------- -------

Net Asset Value (NAV) -$2.57 $19.86 $22.43

CLASS R (SYMBOL: N/A) CHANGE 7/31/08 5/15/08
- ------------------------------ ------- ------- -------

Net Asset Value (NAV) -$2.56 $19.87 $22.43

ADVISOR CLASS (SYMBOL: FKSCX) CHANGE 7/31/08 7/31/07
- ------------------------------ ------- ------- -------

Net Asset Value (NAV) -$11.80 $19.90 $31.70
DISTRIBUTIONS (8/1/07-7/31/08)
Dividend Income $0.2023
Short-Term Capital Gain $0.5876
Long-Term Capital Gain $6.2963
TOTAL $7.0862

Annual Report | 9

Performance Summary (CONTINUED)

PERFORMANCE(1)

CUMULATIVE TOTAL RETURN EXCLUDES SALES CHARGES. AGGREGATE TOTAL RETURNS AND
VALUE OF $10,000 INVESTMENT INCLUDE MAXIMUM SALES CHARGES. CLASS A: 5.75%
MAXIMUM INITIAL SALES CHARGE; CLASS C: 1% CONTINGENT DEFERRED SALES CHARGE IN
FIRST YEAR ONLY; CLASS R/ADVISOR: NO SALES CHARGES.

CLASS A INCEPTION (5/15/08)
- ------------------------------------- -------------------

Cumulative Total Return(2) -11.37%
Aggregate Total Return(3) -16.47%
Value of $10,000 Investment(4) $ 8,353
Aggregate Total Return (6/30/08)(5) -12.77%
Total Annual Operating Expenses(6)
Without Waiver 1.55%
With Waiver 1.25%

CLASS C INCEPTION (5/15/08)
- ------------------------------------- -------------------

Cumulative Total Return(2) -11.46%
Aggregate Total Return(3) -12.34%
Value of $10,000 Investment(4) $ 8,766
Aggregate Total Return (6/30/08)(5) -8.46%
Total Annual Operating Expenses(6)
Without Waiver 2.25%
With Waiver 1.95%

CLASS R INCEPTION (5/15/08)
- ------------------------------------- -------------------

Cumulative Total Return(2) -11.37%
Aggregate Total Return(3) -11.37%
Value of $10,000 Investment(4) $ 8,863
Aggregate Total Return (6/30/08)(5) -7.45%
Total Annual Operating Expenses(6)
Without Waiver 1.75%
With Waiver 1.45%

ADVISOR CLASS 1-YEAR 5-YEAR INCEPTION (10/15/02)
- ------------------------------------- ------- -------- --------------------

Cumulative Total Return(2) -17.16% +176.10% +233.86%
Average Annual Total Return(7) -17.16% +22.52% +23.14%
Value of $10,000 Investment(4) $8,284 $27,610 $ 33,386
Avg. Ann. Total Return (6/30/08)(5) -11.54% +24.59% +24.44%
Total Annual Operating Expenses(6)
Without Waiver 1.25%
With Waiver 0.95%

PERFORMANCE DATA REPRESENT PAST PERFORMANCE, WHICH DOES NOT GUARANTEE FUTURE
RESULTS. INVESTMENT RETURN AND PRINCIPAL VALUE WILL FLUCTUATE, AND YOU MAY HAVE
A GAIN OR LOSS WHEN YOU SELL YOUR SHARES. CURRENT PERFORMANCE MAY DIFFER FROM
FIGURES SHOWN. FOR MOST RECENT MONTH-END PERFORMANCE, SEE "FUNDS AND
PERFORMANCE" AT FRANKLINTEMPLETON.COM OR CALL 1-800/342-5236.

THE INVESTMENT MANAGER AND ADMINISTRATOR HAVE CONTRACTUALLY AGREED TO WAIVE OR
LIMIT THEIR RESPECTIVE FEES AND TO ASSUME AS THEIR OWN EXPENSE CERTAIN EXPENSES
OTHERWISE PAYABLE BY THE FUND SO THAT COMMON EXPENSES (i.e., A COMBINATION OF
INVESTMENT MANAGEMENT FEES, FUND ADMINISTRATION FEES AND OTHER EXPENSES, BUT
EXCLUDING RULE 12B-1 FEES) FOR EACH CLASS OF THE FUND DO NOT EXCEED 0.95% (OTHER
THAN CERTAIN NON-ROUTINE EXPENSES OR COSTS, INCLUDING THOSE RELATING TO
LITIGATION, INDEMNIFICATION, REORGANIZATIONS AND LIQUIDATIONS) UNTIL 11/30/08.

10 | Annual Report

Performance Summary (CONTINUED)

TOTAL RETURN INDEX COMPARISON FOR HYPOTHETICAL $10,000 INVESTMENT(1)

Total return represents the change in value of an investment over the periods
shown. It includes Fund expenses, account fees and reinvested distributions. The
indexes are unmanaged and include reinvestment of any income or distributions.
They differ from the Fund in composition and do not pay management fees or
expenses.

ADVISOR CLASS (10/15/02-7/31/08)

(PERFORMANCE GRAPH)

FRANKLIN INTERNATIONAL
SMALL CAP GROWTH FUND - S&P/CITIGROUP EPAC MSCI EAFE
DATE ADVISOR CLASS <$2 BILLION INDEX SMALL CAP INDEX
- ---------- ----------------------- ------------------ ---------------

10/15/2002 $10,000 $10,000 $10,000
10/31/2002 $ 9,970 $ 9,956 $ 9,936
11/30/2002 $10,180 $10,313 $10,223
12/31/2002 $10,206 $10,235 $10,033
1/31/2003 $10,025 $10,087 $ 9,891
2/28/2003 $ 9,844 $10,067 $ 9,813
3/31/2003 $ 9,714 $10,004 $ 9,762
4/30/2003 $10,597 $10,834 $10,689
5/31/2003 $11,460 $11,743 $11,610
6/30/2003 $11,601 $12,301 $12,233
7/31/2003 $12,092 $12,702 $12,614
8/31/2003 $12,664 $13,508 $13,448
9/30/2003 $13,266 $14,276 $14,256
10/31/2003 $14,992 $15,259 $15,394
11/30/2003 $15,013 $15,246 $15,332
12/31/2003 $15,655 $16,180 $16,267
1/31/2004 $16,689 $16,856 $17,094
2/29/2004 $16,947 $17,342 $17,581
3/31/2004 $17,340 $18,250 $18,310
4/30/2004 $17,113 $17,661 $17,761
5/31/2004 $16,637 $17,420 $17,484
6/30/2004 $17,392 $18,228 $18,431
7/31/2004 $16,234 $17,469 $17,600
8/31/2004 $16,089 $17,644 $17,729
9/30/2004 $16,492 $18,083 $18,153
10/31/2004 $17,071 $18,690 $18,836
11/30/2004 $18,509 $20,121 $20,338
12/31/2004 $19,459 $21,103 $21,354
1/31/2005 $19,920 $21,576 $21,777
2/28/2005 $20,855 $22,485 $22,654
3/31/2005 $20,324 $22,095 $22,296
4/30/2005 $20,070 $21,600 $21,784
5/31/2005 $20,243 $21,581 $21,795
6/30/2005 $21,040 $22,125 $22,387
7/31/2005 $22,055 $22,994 $23,400
8/31/2005 $23,463 $23,690 $24,080
9/30/2005 $24,998 $24,802 $25,075
10/31/2005 $24,837 $24,317 $24,257
11/30/2005 $26,256 $25,167 $25,041
12/31/2005 $28,000 $27,018 $27,045
1/31/2006 $30,345 $28,706 $28,892
2/28/2006 $30,796 $28,387 $28,542
3/31/2006 $32,286 $29,554 $29,930
4/30/2006 $34,484 $30,924 $31,244
5/31/2006 $32,872 $29,252 $29,467
6/30/2006 $32,274 $28,619 $28,830
7/31/2006 $30,523 $28,042 $28,053
8/31/2006 $31,009 $28,868 $28,842
9/30/2006 $30,947 $29,075 $28,963
10/31/2006 $31,871 $30,057 $30,027
11/30/2006 $33,169 $31,319 $31,318
12/31/2006 $35,000 $32,374 $32,365
1/31/2007 $35,623 $32,857 $33,042
2/28/2007 $35,636 $33,589 $33,598
3/31/2007 $37,212 $34,671 $34,692
4/30/2007 $38,547 $36,089 $36,000
5/31/2007 $39,653 $36,705 $36,276
6/30/2007 $39,373 $36,806 $36,209
7/31/2007 $40,301 $37,234 $36,071
8/31/2007 $38,547 $35,514 $34,216
9/30/2007 $39,768 $36,544 $34,604
10/31/2007 $41,102 $38,253 $36,765
11/30/2007 $38,763 $35,609 $34,123
12/31/2007 $37,966 $34,365 $32,943
1/31/2008 $35,148 $31,045 $29,729
2/29/2008 $35,634 $32,324 $30,996
3/31/2008 $35,500 $31,840 $30,914
4/30/2008 $36,758 $32,575 $31,661
5/31/2008 $37,144 $33,258 $32,219
6/30/2008 $34,829 $30,745 $29,586
7/31/2008 $33,386 $29,429 $28,237

AVERAGE ANNUAL TOTAL RETURN

ADVISOR CLASS 7/31/08
- -------------------------- -------

1-Year -17.16%
5-Year +22.52%
Since Inception (10/15/02) +23.14%

ENDNOTES

SMALLER, RELATIVELY NEW AND/OR UNSEASONED COMPANIES CAN BE PARTICULARLY
SENSITIVE TO CHANGING ECONOMIC CONDITIONS, AND THEIR PROSPECTS FOR GROWTH ARE
LESS CERTAIN THAN THOSE OF LARGER, MORE ESTABLISHED COMPANIES. FOREIGN INVESTING
INVOLVES ADDITIONAL RISKS SUCH AS CURRENCY AND MARKET VOLATILITY, AS WELL AS
POLITICAL AND SOCIAL INSTABILITY. EMERGING MARKETS INVOLVE HEIGHTENED RISKS
RELATED TO THE SAME FACTORS. THE FUND ALSO INVESTS IN TECHNOLOGY STOCKS, WHICH
CAN BE HIGHLY VOLATILE. THE FUND'S PROSPECTUS ALSO INCLUDES A DESCRIPTION OF THE
MAIN INVESTMENT RISKS.

CLASS C: These shares have higher annual fees and expenses than Class A
shares.

ADVISOR CLASS: Shares are available to certain eligible investors as described
in the prospectus.

(1.) If the manager and administrator had not waived fees, the Fund's total
returns would have been lower.

(2.) Cumulative total return represents the change in value of an investment
over the periods indicated.

(3.) Aggregate total return represents the change in value of an investment over
the period indicated. Since Classes A, C and R have existed for less than
one year, average annual total returns are not available.

(4.) These figures represent the value of a hypothetical $10,000 investment in
the Fund over the periods indicated.

(5.) In accordance with SEC rules, we provide standardized total return
information through the latest calendar quarter.

(6.) Figures are as stated in the Fund's prospectus current as of the date of
this report.

(7.) Average annual total return represents the average annual change in value
of an investment over the periods indicated.

(8.) Source: (C) 2008 Morningstar. The S&P/Citigroup less than $2 Billion Cap
Range EPAC Index is a float-adjusted, market capitalization-weighted index
designed to measure performance of European and Asian equity securities
with market capitalizations of less than $2 billion. The index is
rebalanced monthly by market capitalization. The MSCI EAFE Small Cap Index
is a float-adjusted, market capitalization-weighted index designed to
measure equity market small cap sector performance in global developed
markets, excluding the U.S. and Canada.

Annual Report | 11

Your Fund's Expenses

As a Fund shareholder, you can incur two types of costs:

- - Transaction costs, including sales charges (loads) on Fund purchases and
redemption fees; and

- - Ongoing Fund costs, including management fees, distribution and service
(12b-1) fees, and other Fund expenses. All mutual funds have ongoing costs,
sometimes referred to as operating expenses.

ACTUAL FUND EXPENSES

The first line (Actual) for each share class listed in the table provides actual
account values and expenses. The "Ending Account Value" is derived from the
Fund's actual return, which includes the effect of Fund expenses.

You can estimate the expenses you paid during the period by following these
steps. OF COURSE, YOUR ACCOUNT VALUE AND EXPENSES WILL DIFFER FROM THOSE IN THIS
ILLUSTRATION:

1. Divide your account value by $1,000.

IF AN ACCOUNT HAD AN $8,600 VALUE, THEN $8,600 / $1,000 = 8.6.

2. Multiply the result by the number under the heading "Expenses Paid During
Period."

IF EXPENSES PAID DURING PERIOD WERE $7.50, THEN 8.6 X $7.50 = $64.50.

In this illustration, the estimated expenses paid this period are $64.50.

HYPOTHETICAL EXAMPLE FOR COMPARISON WITH OTHER FUNDS

Information in the second line (Hypothetical) for each class in the table can
help you compare ongoing costs of investing in the Fund with those of other
mutual funds. This information may not be used to estimate the actual ending
account balance or expenses you paid during the period. The hypothetical "Ending
Account Value" is based on the actual expense ratio for each class and an
assumed 5% annual rate of return before expenses, which does not represent the
Fund's actual return. The figure under the heading "Expenses Paid During Period"
shows the hypothetical expenses your account would have incurred under this
scenario. You can compare this figure with the 5% hypothetical examples that
appear in shareholder reports of other funds.

12 | Annual Report

Your Fund's Expenses (CONTINUED)

PLEASE NOTE THAT EXPENSES SHOWN IN THE TABLE ARE MEANT TO HIGHLIGHT ONGOING
COSTS AND DO NOT REFLECT ANY TRANSACTION COSTS, SUCH AS SALES CHARGES OR
REDEMPTION FEES. Therefore, the second line for each class is useful in
comparing ongoing costs only, and will not help you compare total costs of
owning different funds. In addition, if transaction costs were included, your
total costs would have been higher. Please refer to the Fund prospectus for
additional information on operating expenses.

BEGINNING ACCOUNT ENDING ACCOUNT EXPENSES PAID DURING
VALUE 2/1/08 VALUE 7/31/08 PERIOD* 2/1/08-7/31/08
----------------- -------------- ----------------------

CLASS A
Actual (5/15/08-7/31/08) $1,000 $ 866.30 $2.51
Hypothetical (5% return before expenses) $1,000 $1,018.65 $6.27

CLASS C
Actual (5/15/08-7/31/08) $1,000 $ 885.40 $3.92
Hypothetical (5% return before expenses) $1,000 $1,015.17 $9.77

CLASS R
Actual (5/15/08-7/31/08) $1,000 $ 886.30 $2.91
Hypothetical (5% return before expenses) $1,000 $1,017.65 $7.27

ADVISOR CLASS
Actual $1,000 $ 949.90 $4.61
Hypothetical (5% return before expenses) $1,000 $1,020.14 $4.77

* Expenses are calculated using the most recent six-month expense ratio, net
of expense waivers, annualized for each class (A: 1.25%; C: 1.95%; R: 1.45%
and Advisor: 0.95%), multiplied by the average account value over the
period, multiplied by 182/366 (Hypothetical for all share classes; Actual
for Advisor Class) to reflect the one-half year period. For Classes A, C
and R actual expenses, the multiplier is 78/366 to reflect the number of
days since each class's inception.

Annual Report | 13

Franklin Global Trust

FINANCIAL HIGHLIGHTS

FRANKLIN INTERNATIONAL SMALL CAP GROWTH FUND

PERIOD ENDED
JULY 31,
2008(a)
------------

CLASS A
PER SHARE OPERATING PERFORMANCE
(for a share outstanding throughout the period)
Net asset value, beginning of period ..................................... $ 22.43
-------
Income from investment operations(b):
Net investment income(c) .............................................. 0.08
Net realized and unrealized gains (losses) ............................ (2.63)
-------
Total from investment operations ......................................... (2.55)
-------
Redemption fees .......................................................... --(d)
-------
Net asset value, end of period ........................................... $ 19.88
=======
Total return(e) .......................................................... (11.37)%
RATIOS TO AVERAGE NET ASSETS(f)
Expenses before waiver and payments by affiliates and expense reduction .. 1.74%
Expenses net of waiver and payments by affiliates ........................ 1.26%
Expenses net of waiver and payments by affiliates and expense reduction .. 1.25%
Net investment income .................................................... 1.33%
SUPPLEMENTAL DATA
Net assets, end of period (000's) ........................................ $ 145
Portfolio turnover rate .................................................. 70.52%

(a) For the period May 15, 2008 (effective date) to July 31, 2008.

(d) Amount rounds to less than $0.01 per share.

(e) Total return does not reflect sales commissions or contingent deferred
sales charges, if applicable, and is not annualized for periods less than
one year.

(f) Ratios are annualized for periods less than one year.

The accompanying notes are an integral part of these financial statements.

14 | Annual Report

Franklin Global Trust

FINANCIAL HIGHLIGHTS (CONTINUED)

FRANKLIN INTERNATIONAL SMALL CAP GROWTH FUND

PERIOD ENDED
JULY 31,
2008(a)
------------

CLASS C
PER SHARE OPERATING PERFORMANCE
(for a share outstanding throughout the period)
Net asset value, beginning of period ..................................... $ 22.43
-------
Income from investment operations(b):
Net investment income(c) .............................................. 0.04
Net realized and unrealized gains (losses) ............................ (2.61)
-------
Total from investment operations ......................................... (2.57)
-------
Redemption fees .......................................................... --(d)
-------
Net asset value, end of period ........................................... $ 19.86
=======
Total return(e) .......................................................... (11.46)%
RATIOS TO AVERAGE NET ASSETS(f)
Expenses before waiver and payments by affiliates and expense reduction .. 2.44%
Expenses net of waiver and payments by affiliates ........................ 1.96%
Expenses net of waiver and payments by affiliates and expense reduction .. 1.95%
Net investment income .................................................... 0.63%
SUPPLEMENTAL DATA
Net assets, end of period (000's) ........................................ $ 79
Portfolio turnover rate .................................................. 70.52%

(a) For the period May 15, 2008 (effective date) to July 31, 2008.

(d) Amount rounds to less than $0.01 per share.

(e) Total return does not reflect sales commissions or contingent deferred
sales charges, if applicable, and is not annualized for periods less than
one year.

(f) Ratios are annualized for periods less than one year.

The accompanying notes are an integral part of these financial statements.

Annual Report | 15

Franklin Global Trust

FINANCIAL HIGHLIGHTS (CONTINUED)

FRANKLIN INTERNATIONAL SMALL CAP GROWTH FUND

PERIOD ENDED
JULY 31,
2008(a)
------------

CLASS R
PER SHARE OPERATING PERFORMANCE
(for a share outstanding throughout the period)
Net asset value, beginning of period ..................................... $ 22.43
-------
Income from investment operations(b):
Net investment income(c) .............................................. 0.07
Net realized and unrealized gains (losses) ............................ (2.63)
-------
Total from investment operations ......................................... (2.56)
-------
Redemption fees .......................................................... --(d)
-------
Net asset value, end of period ........................................... $ 19.87
=======
Total return(e) .......................................................... (11.37)%
RATIOS TO AVERAGE NET ASSETS(f)
Expenses before waiver and payments by affiliates and expense reduction .. 1.94%
Expenses net of waiver and payments by affiliates ........................ 1.46%
Expenses net of waiver and payments by affiliates and expense reduction .. 1.45%
Net investment income .................................................... 1.13%
SUPPLEMENTAL DATA
Net assets, end of period (000's) ........................................ $ 4
Portfolio turnover rate .................................................. 70.52%

(a) For the period May 15, 2008 (effective date) to July 31, 2008.

(d) Amount rounds to less than $0.01 per share.

(e) Total return does not reflect sales commissions or contingent deferred
sales charges, if applicable, and is not annualized for periods less than
one year.

(f) Ratios are annualized for periods less than one year.

The accompanying notes are an integral part of these financial statements.

16 | Annual Report

Franklin Global Trust

FINANCIAL HIGHLIGHTS (CONTINUED)

FRANKLIN INTERNATIONAL SMALL CAP GROWTH FUND

YEAR ENDED JULY 31,
--------------------------------------------------
2008 2007 2006 2005 2004
------- ------- ------- ------- -------

ADVISOR CLASS
PER SHARE OPERATING PERFORMANCE
(for a share outstanding throughout the year)
Net asset value, beginning of year ........................................ $ 31.70 $ 24.45 $ 19.11 $ 15.70 $ 12.06
------- ------- ------- ------- -------
Income from investment operations(a):
Net investment income(b) ............................................... 0.41 0.17 0.23 0.16 0.02
Net realized and unrealized gains (losses) ............................. (5.13) 7.58 6.94 5.12 4.07
------- ------- ------- ------- -------
Total from investment operations .......................................... (4.72) 7.75 7.17 5.28 4.09
------- ------- ------- ------- -------
Less distributions from:
Net investment income .................................................. (0.20) (0.09) (0.22) (0.03) (0.08)
Net realized gains ..................................................... (6.88) (0.41) (1.61) (1.84) (0.37)
------- ------- ------- ------- -------
Total distributions ....................................................... (7.08) (0.50) (1.83) (1.87) (0.45)
------- ------- ------- ------- -------
Redemption fees ........................................................... --(c) -- -- -- --
------- ------- ------- ------- -------
Net asset value, end of year .............................................. $ 19.90 $ 31.70 $ 24.45 $ 19.11 $ 15.70
======= ======= ======= ======= =======
Total return .............................................................. (17.16)% 32.04% 38.39% 35.86% 34.25%
RATIOS TO AVERAGE NET ASSETS
Expenses before waiver and payments by affiliates and expense reduction ... 1.44% 1.26% 1.21% 1.48% 1.53%
Expenses net of waiver and payments by affiliates ......................... 0.96% 0.96% 0.96% 0.95% 0.95%
Expenses net of waiver and payments by affiliates and expense reduction ... 0.95% 0.95% 0.95% 0.95%(d) 0.95%(d)
Net investment income ..................................................... 1.63% 0.63% 0.93% 0.95% 0.13%
SUPPLEMENTAL DATA
Net assets, end of year (000's) ........................................... $23,271 $43,518 $55,646 $16,382 $ 8,653
Portfolio turnover rate ................................................... 70.52% 51.78% 78.53% 113.27% 108.64%

(a) The amount shown for a share outstanding throughout the period may not
correlate with the Statement of Operations for the period due to the timing
of sales and repurchases of the Fund shares in relation to income earned
and/or fluctuating market value of the investments of the Fund.

(b) Based on average daily shares outstanding.

(d) Benefit of expense reduction rounds to less than 0.01%.

The accompanying notes are an integral part of these financial statements.

Annual Report | 17

Franklin Global Trust

STATEMENT OF INVESTMENTS, JULY 31, 2008

FRANKLIN INTERNATIONAL SMALL CAP GROWTH FUND COUNTRY SHARES VALUE
--------------------------------------------- -------------- ---------- -----------

COMMON STOCKS 93.8%
AEROSPACE & DEFENSE 0.5%
MTU Aero Engines Holding AG ................. Germany 3,400 $ 105,559
-----------
BIOTECHNOLOGY 2.9%
Genus PLC ................................... United Kingdom 42,079 670,659
-----------
CAPITAL MARKETS 1.8%
Man Group PLC ............................... United Kingdom 34,937 425,586
-----------
CHEMICALS 1.8%
Symrise AG .................................. Germany 24,400 418,910
-----------
COMMERCIAL SERVICES & SUPPLIES 5.4%
Homeserve PLC ............................... United Kingdom 35,500 1,038,008
Park24 Co. Ltd. ............................. Japan 39,400 220,542
-----------
1,258,550
-----------
DIVERSIFIED CONSUMER SERVICES 3.1%
Dignity PLC ................................. United Kingdom 49,520 724,465
-----------
DIVERSIFIED FINANCIAL SERVICES 11.1%
(a) NETeller PLC ................................ United Kingdom 1,207,600 1,514,133
(a) RHJ International ........................... Belgium 97,520 1,094,888
-----------
2,609,021
-----------
ELECTRONIC EQUIPMENT & INSTRUMENTS 1.9%
(a) Orbotech Ltd. ............................... Israel 38,900 457,464
-----------
FOOD PRODUCTS 13.5%
IAWS Group PLC .............................. Ireland 26,200 607,105
L.D.C. SA ................................... France 5,700 542,186
Unicharm Petcare Corp. ...................... Japan 8,300 250,757
Vitasoy International Holdings Ltd. ......... Hong Kong 3,498,600 1,780,367
-----------
3,180,415
-----------
HEALTH CARE EQUIPMENT & SUPPLIES 3.0%
Omega Pharma SA ............................. Belgium 16,330 710,705
-----------
HOTELS, RESTAURANTS & LEISURE 5.9%
Intralot SA ................................. Greece 37,900 590,994
Unibet Group PLC ............................ United Kingdom 40,700 806,300
-----------
1,397,294
-----------
HOUSEHOLD DURABLES 2.4%
D & M Holdings Inc. ......................... Japan 121,000 568,528
-----------
INSURANCE 3.3%
Lancashire Holdings Ltd. .................... United Kingdom 129,360 785,979
-----------
LEISURE EQUIPMENT & PRODUCTS 6.7%
Jumbo SA .................................... Greece 27,570 711,076
Vitec Group PLC ............................. United Kingdom 117,800 868,113
-----------
1,579,189
-----------

18 | Annual Report

Franklin Global Trust

STATEMENT OF INVESTMENTS, JULY 31, 2008 (CONTINUED)

FRANKLIN INTERNATIONAL SMALL CAP GROWTH FUND COUNTRY SHARES VALUE
--------------------------------------------- -------------- ---------- -----------

COMMON STOCKS (CONTINUED)
MEDIA 14.3%
ASATSU-DK Inc. .............................. Japan 40,900 $ 1,118,160
CTS Eventim AG .............................. Germany 24,230 855,786
HAKUHODO DY HOLDINGS Inc. ................... Japan 13,970 758,669
Sky Perfect JSAT Holdings Inc. .............. Japan 1,600 634,632
-----------
3,367,247
-----------
OFFICE ELECTRONICS 5.3%
Neopost SA .................................. France 12,334 1,233,029
-----------
ROAD & RAIL 0.5%
DSV AS, B ................................... Denmark 5,300 114,104
-----------
SPECIALTY RETAIL 7.6%
Carpetright PLC ............................. United Kingdom 79,860 898,412
Signet Group PLC ............................ United Kingdom 882,100 883,059
-----------
1,781,471
-----------
TEXTILES, APPAREL & LUXURY GOODS 2.8%
Koninklijke Ten Cate NV ..................... Netherlands 16,850 657,139
-----------
TOTAL COMMON STOCKS (COST $24,110,566) ...... 22,045,314
-----------
PRINCIPAL
AMOUNT
----------
SHORT TERM INVESTMENT (COST $575,000) 2.5%
TIME DEPOSIT 2.5%
Dresdner Bank AG, 2.18%, 8/01/08 ............ United States $ 575,000 575,000
-----------
TOTAL INVESTMENTS (COST $24,685,566) 96.3% .. 22,620,314
OTHER ASSETS, LESS LIABILITIES 3.7% ......... 878,366
-----------
NET ASSETS 100.0% ........................... $23,498,680
===========

(a) Non-income producing for the twelve months ended July 31, 2008.

The accompanying notes are an integral part of these financial statements.

Annual Report | 19

Franklin Global Trust

FINANCIAL STATEMENTS

STATEMENT OF ASSETS AND LIABILITIES
July 31, 2008

FRANKLIN
INTERNATIONAL
SMALL CAP
GROWTH FUND
-------------

Assets:
Investments in securities:
Cost ..................................................... $24,685,566
===========
Value .................................................... $22,620,314
Cash ........................................................ 1,778
Foreign currency, at value (cost $ 860,829) ................. 863,725
Receivables:
Dividends ................................................ 36,648
Affiliates ............................................... 60,985
-----------
Total assets .......................................... 23,583,450
-----------
Liabilities:
Payables:
Investment securities purchased .......................... 66,854
Custodian fees ........................................... 4,250
Reports to shareholders .................................. 7,064
Accrued expenses and other liabilities ...................... 6,602
-----------
Total liabilities ..................................... 84,770
-----------
Net assets, at value ............................... $23,498,680
===========
Net assets consist of:
Paid-in capital ............................................. $20,370,021
Undistributed net investment in come ........................ 381,091
Net unrealized appreciation (depreciation) .................. (2,061,175)
Accumulated net realized gain (loss) ........................ 4,808,743
-----------
Net assets, at value ............................... $23,498,680
===========

The accompanying notes are an integral part of these financial statements.

20 | Annual Report

Franklin Global Trust

FINANCIAL STATEMENTS (CONTINUED)

STATEMENT OF ASSETS AND LIABILITIES (CONTINUED)
July 31, 2008

FRANKLIN
INTERNATIONAL
SMALL CAP
GROWTH FUND
-------------

CLASS A:
Net assets, at value ........................................ $ 144,760
===========
Shares outstanding .......................................... 7,280
===========
Net asset value per share(a) ................................ $ 19.88
===========
Maximum offering price per share (net asset
value per share / 94.25%) ................................ $ 21.09
===========
CLASS C:
Net assets, at value ........................................ $ 78,623
===========
Shares outstanding .......................................... 3,959
===========
Net asset value and maximum offering price per
share(a) ................................................. $ 19.86
===========
CLASS R:
Net assets, at value ........................................ $ 4,432
===========
Shares outstanding .......................................... 223
===========
Net asset value and maximum offering price per
share(a) ................................................. $ 19.87
===========
ADVISOR CLASS:
Net assets, at value ........................................ $23,270,865
===========
Shares outstanding .......................................... 1,169,459
===========
Net asset value and maximum offering price per
share(a) ................................................. $ 19.90
===========

(a) Redemption price is equal to net asset value less contingent deferred sales
charges, if applicable, and redemption fees retained by the Fund.

The accompanying notes are an integral part of these financial statements.

Annual Report | 21

Franklin Global Trust

FINANCIAL STATEMENTS (CONTINUED)

STATEMENT OF OPERATIONS
for the year ended July 31, 2008

FRANKLIN
INTERNATIONAL
SMALL CAP
GROWTH FUND
-------------

Investment income:
Dividends (net of foreign taxes of $29,242) ................. $ 794,997
Interest .................................................... 65,206
------------
Total investment income ............................... 860,203
------------
Expenses:
Management fees (Note 3a) ................................... 250,232
Administrative fees (Note 3b) ............................... 66,729
Distribution fees: (Note 3c)
Class A .................................................. 35
Class C .................................................. 83
Class R .................................................. 5
Transfer agent fees (Note 3e) ............................... 2,038
Custodian fees (Note 4) ..................................... 19,004
Reports to shareholders ..................................... 14,497
Registration and filing fees ................................ 88,053
Professional fees ........................................... 29,195
Trustees' fees and expenses ................................. 3,147
Other ....................................................... 8,272
------------
Total expenses ........................................ 481,290
Expense reductions (Note 4) ........................... (2,996)
Expenses waived/paid by affiliates (Note 3f) .......... (160,955)
------------
Net expenses ....................................... 317,339
------------
Net investment income ........................... 542,864
------------
Realized and unrealized gains (losses):
Net realized gain (loss) from:
Investments .............................................. 7,140,891
Foreign currency transactions ............................ (22,086)
------------
Net realized gain (loss) ........................ 7,118,805
------------
Net change in unrealized appreciation (depreciation) on:
Investments .............................................. (14,506,017)
Translation of assets and liabilities denominated in
foreign currencies .................................... 1,250
------------
Net change in unrealized appreciation
(depreciation) ............................... (14,504,767)
------------
Net realized and unrealized gain (loss) ........................ (7,385,962)
------------
Net increase (decrease) in net assets resulting from
operations .................................................. $ (6,843,098)
============

The accompanying notes are an integral part of these financial statements.

22 | Annual Report

Franklin Global Trust

FINANCIAL STATEMENTS (CONTINUED)

STATEMENTS OF CHANGES IN NET ASSETS

FRANKLIN INTERNATIONAL
SMALL CAP GROWTH FUND
YEAR ENDED JULY 31,
---------------------------
2008 2007
------------ ------------

Increase (decrease) in net assets:
Operations:
Net investment income .................................... $ 542,864 $ 250,357
Net realized gain (loss) from investments and foreign
currency transactions ................................. 7,118,805 7,504,583
Net change in unrealized appreciation (depreciation) on
investments and translation of assets and liabilities
denominated in foreign currencies ..................... (14,504,767) 3,036,449
------------ ------------
Net increase (decrease) in net assets resulting from
operations ...................................... (6,843,098) 10,791,389
------------ ------------
Distributions to shareholders from:
Net investment income:
Advisor Class ......................................... (275,061) (128,792)
Net realized gains:
Advisor Class ......................................... (9,359,816) (554,205)
------------ ------------
Total distributions to shareholders ......................... (9,634,877) (682,997)
------------ ------------
Capital share transactions: (Note 2)
Class A ............................................... 148,693 --
Class C ............................................... 82,499 --
Class R ............................................... 5,000 --
Advisor Class ......................................... (3,777,789) (22,235,847)
------------ ------------
Total capital share transactions ............................ (3,541,597) (22,235,847)
------------ ------------
Redemption fees ............................................. 185 --
------------ ------------
Net increase (decrease) in net assets .............. (20,019,387) (12,127,455)
Net assets:
Beginning of year ........................................... 43,518,067 55,645,522
------------ ------------
End of year ................................................. $ 23,498,680 $ 43,518,067
============ ============
Undistributed net investment income included in
net assets:
End of year ................................................. $ 381,091 $ 125,253
============ ============

The accompanying notes are an integral part of these financial statements.

Annual Report | 23

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS

FRANKLIN INTERNATIONAL SMALL CAP GROWTH FUND

1. ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES

Franklin Global Trust (Trust) is registered under the Investment Company Act of
1940, as amended, (1940 Act) as an open-end investment company, consisting of
nine separate funds. The Franklin International Small Cap Growth Fund (Fund)
included in this report is diversified. The financial statements of the
remaining funds in the Trust are presented separately. The Fund offers four
classes of shares: Class A, Class C, Class R, and Advisor Class. Effective
May 15, 2008, the Franklin International Smaller Companies Growth Fund was
renamed the Franklin International Small Cap Growth Fund and began offering
three new classes of shares, Class A, Class C, and Class R. Each class of shares
differs by its initial sales load, contingent deferred sales charges,
distribution fees, voting rights on matters affecting a single class and its
exchange privilege.

The following summarizes the Fund's significant accounting policies.

A. SECURITY VALUATION

The Trust has procedures to determine the fair value of individual securities
and other assets for which market prices are not readily available or which may
not be reliably priced. Methods for valuing these securities may include:
fundamental analysis, matrix pricing, discounts from market prices of similar
securities, or discounts applied due to the nature and duration of restrictions
on the disposition of the securities. Due to the inherent uncertainty of
valuations of such securities, the fair values may differ significantly from the
values that would have been used had a ready market for such investments
existed. Occasionally, events occur between the time at which trading in a
security is completed and the close of the NYSE that might call into question
the availability (including the reliability) of the value of a portfolio
security held by the Fund. The investment manager monitors price movements
following the close of trading in foreign stock markets through a series of
country specific market proxies (such as baskets of American Depository
Receipts, futures contracts and exchange traded funds). These price movements
are measured against established trigger thresholds for each specific market
proxy

24 | Annual Report

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

FRANKLIN INTERNATIONAL SMALL CAP GROWTH FUND

1. ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

A. SECURITY VALUATION (CONTINUED)

to assist in determining if an event has occurred. If such an event occurs, the
securities may be valued using fair value procedures, which may include the use
of independent pricing services. All security valuation procedures are approved
by the Trust's Board of Trustees.

B. FOREIGN CURRENCY TRANSLATION

Portfolio securities and other assets and liabilities denominated in foreign
currencies are translated into U.S. dollars based on the exchange rate of such
currencies against U.S. dollars on the date of valuation. Purchases and sales of
securities, income and expense items denominated in foreign currencies are
translated into U.S. dollars at the exchange rate in effect on the transaction
date. Occasionally, events may impact the availability or reliability of foreign
exchange rates used to convert the U.S. dollar equivalent value. If such an
event occurs, the foreign exchange rate will be valued at fair value using
procedures established and approved by the Trust's Board of Trustees.

The Fund does not separately report the effect of changes in foreign exchange
rates from changes in market prices on securities held. Such changes are
included in net realized and unrealized gain or loss from investments on the
Statement of Operations.

Realized foreign exchange gains or losses arise from sales of foreign
currencies, currency gains or losses realized between the trade and settlement
dates on securities transactions and the difference between the recorded amounts
of dividends, interest, and foreign withholding taxes and the U.S. dollar
equivalent of the amounts actually received or paid. Net unrealized foreign
exchange gains and losses arise from changes in foreign exchange rates on
foreign denominated assets and liabilities other than investments in securities
held at the end of the reporting period.

C. FOREIGN CURRENCY CONTRACTS

When the Fund purchases or sells foreign securities it may enter into foreign
exchange contracts to minimize foreign exchange risk from the trade date to the
settlement date of the transactions. A foreign exchange contract is an agreement
between two parties to exchange different currencies at an agreed upon exchange
rate at a future date. Realized and unrealized gains and losses on these
contracts are included in the Statement of Operations.

The risks of these contracts include movement in the values of the foreign
currencies relative to the U.S. dollar and the possible inability of the
counterparties to fulfill their obligations under the contracts, which may be in
excess of the amount reflected in the Statement of Assets and Liabilities.

Annual Report | 25

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

FRANKLIN INTERNATIONAL SMALL CAP GROWTH FUND

1. ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

D. INCOME TAXES

E. SECURITY TRANSACTIONS, INVESTMENT INCOME, EXPENSES AND DISTRIBUTIONS

Security transactions are accounted for on trade date. Realized gains and losses
on security transactions are determined on a specific identification basis.
Interest income and estimated expenses are accrued daily. Dividend income is
recorded on the ex-dividend date except that certain dividends from foreign
securities are recognized as soon as the Fund is notified of the ex-dividend
date. Distributions to shareholders are recorded on the ex-dividend date and are
determined according to income tax regulations (tax basis). Distributable
earnings determined on a tax basis may differ from earnings recorded in
accordance with accounting principles generally accepted in the United States of
America. These differences may be permanent or temporary. Permanent differences
are reclassified among capital accounts to reflect their tax character. These
reclassifications have no impact on net assets or the results of operations.
Temporary differences are not reclassified, as they may reverse in subsequent
periods.

Realized and unrealized gains and losses and net investment income, other than
class specific expenses, are allocated daily to each class of shares based upon
the relative proportion of net assets of each class. Differences in per share
distributions, by class, are generally due to differences in class specific
expenses.

F. ACCOUNTING ESTIMATES

26 | Annual Report

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

FRANKLIN INTERNATIONAL SMALL CAP GROWTH FUND

1. ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

G. REDEMPTION FEES

A short term trading redemption fee will be imposed, with some exceptions, on
any fund shares that are redeemed or exchanged within seven calendar days
following their purchase date. The redemption fee is 2% of the amount redeemed.
Such fees are retained by the fund and accounted for as an addition to paid-in
capital. Effective September 1, 2008, the redemption fee will be eliminated.

H. GUARANTEES AND INDEMNIFICATIONS

2. SHARES OF BENEFICIAL INTEREST

At July 31, 2008, there were an unlimited number of shares authorized (without
par value). Transactions in the Fund's shares were as follows:

YEAR ENDED JULY 31,
---------------------------------------------------
2008(a) 2007
----------------------- -------------------------
SHARES AMOUNT SHARES AMOUNT
-------- ------------ ---------- ------------

CLASS A SHARES:
Shares sold ....................... 7,492 $ 152,806
Shares redeemed ................... (212) (4,113)
-------- ------------
Net increase (decrease) ........... 7,280 $ 148,693
======== ============
CLASS C SHARES:
Shares sold ....................... 4,406 $ 91,771
Shares redeemed ................... (447) (9,272)
-------- ------------
Net increase (decrease) ........... 3,959 $ 82,499
======== ============
CLASS R SHARES:
Shares sold ....................... 223 $ 5,000
======== ============
ADVISOR CLASS SHARES:
Shares sold ....................... 249,780 $ 5,846,937 259,373 $ 7,509,459
Shares issued in reinvestment
of distributions ............... 311,055 6,896,048 15,896 429,179
Shares redeemed ................... (764,278) (16,520,774) (1,178,446) (30,174,485)
-------- ------------ ---------- ------------
Net increase (decrease) ........... (203,443) $ (3,777,789) (903,177) $(22,235,847)
======== ============ ========== ============

(a) For the period May 15, 2008 (effective date) to July 31, 2008 for Classes
A, C, and R.

Annual Report | 27

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

FRANKLIN INTERNATIONAL SMALL CAP GROWTH FUND

3. TRANSACTIONS WITH AFFILIATES

Franklin Resources, Inc. is the holding company for various subsidiaries that
together are referred to as Franklin Templeton Investments. Certain officers and
trustees of the Fund are also officers and/or directors of the following
subsidiaries:

SUBSIDIARY AFFILIATION
- ------------------------------------------------------------- ----------------------

Franklin Advisers, Inc. (Advisers) Investment manager
Franklin Templeton Institutional, LLC (FT Institutional) Investment manager
Franklin Templeton Services, LLC (FT Services) Administrative manager
Franklin Templeton Distributors, Inc. (Distributors) Principal underwriter
Franklin Templeton Investor Services, LLC (Investor Services) Transfer agent

A. MANAGEMENT FEES

The Fund pays an investment management fee to Advisers of 0.75% per year of the
average daily net assets of the Fund.

Under a subadvisory agreement, FT Institutional, an affiliate of Advisers,
provides subadvisory services to the Fund and receives from Advisers fees based
on the average daily net assets of the Fund.

B. ADMINISTRATIVE FEES

The Fund pays an administrative fee to FT Services of 0.20% per year of the
average daily net assets of the Fund.

C. DISTRIBUTION FEES

The Fund's Board of Trustees has adopted distribution plans for each share
class, with the exception of Advisor Class shares, pursuant to Rule 12b-1 under
the 1940 Act. Under the Fund's compensation distribution plans, the Fund pays
Distributors for costs incurred in connection with the servicing, sale and
distribution of the Fund's shares up to a certain percentage per year of its
average daily net assets of each class as follows:

Class A ................................................................. 0.35%
Class C ................................................................. 1.00%
Class R ................................................................. 0.50%

Distributors has agreed to limit the current rate to 0.30% per year for Class A
shares for the period of May 15, 2008 through January 31, 2009.

28 | Annual Report

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

FRANKLIN INTERNATIONAL SMALL CAP GROWTH FUND

3. TRANSACTIONS WITH AFFILIATES (CONTINUED)

D. SALES CHARGES/UNDERWRITING AGREEMENTS

Distributors has advised the Fund of the following commission transactions
related to the sales and redemptions of the Fund's shares for the year:

Sales charges retained net of commissions paid to unaffiliated
broker/dealers ....................................................... $373

E. TRANSFER AGENT FEES

For the year ended July 31, 2008, the Fund paid transfer agent fees of $2,038,
of which $778 was retained by Investor Services.

F. WAIVER AND EXPENSE REIMBURSEMENTS

FT Services and Advisers have agreed in advance to waive all or a portion of
their respective fees and to assume payment of other expenses through November
30, 2008. Total expenses waived or paid are not subject to reimbursement by the
Fund subsequent to the Fund's fiscal year end. After November 30, 2008, FT
Services and Advisers may discontinue this waiver at any time upon notice to the
Fund's Board of Trustees.

G. OTHER AFFILIATED TRANSACTIONS

At July 31, 2008, Advisers or an affiliate owned 26.42% of the Fund's
outstanding shares.

4. EXPENSE OFFSET ARRANGEMENT

5. INCOME TAXES

For tax purposes, realized currency losses occurring subsequent to October 31,
may be deferred and treated as occurring on the first day of the following
fiscal year. At July 31, 2008, the Fund deferred realized currency losses of
$19,970.

Annual Report | 29

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

FRANKLIN INTERNATIONAL SMALL CAP GROWTH FUND

5. INCOME TAXES (CONTINUED)

The tax character of distributions paid during the years ended July 31, 2008 and
2007, was as follows:

2008 2007
---------- --------

Distributions paid from:
Ordinary income ..................................... $1,074,002 $281,638
Long term capital gain .............................. 8,560,875 401,359
---------- --------
$9,634,877 $682,997
========== ========

At July 31, 2008, the cost of investments, net unrealized appreciation
(depreciation), undistributed ordinary income and undistributed long term
capital gains for income tax purposes were as follows:

Cost of investments .............................................. $24,823,649
-----------
Unrealized appreciation .......................................... $ 1,608,386
Unrealized depreciation .......................................... (3,811,721)
-----------
Net unrealized appreciation (depreciation) ....................... $(2,203,335)
===========
Undistributed ordinary income .................................... $ 381,091
Undistributed long term capital gains ............................ 4,966,797
-----------
Distributable earnings ........................................... $ 5,347,888
===========

Net investment income differs for financial statement and tax purposes primarily
due to differing treatment of foreign currency transactions.

Net realized gains (losses) differ for financial statement and tax purposes
primarily due to differing treatments of wash sales and foreign currency
transactions.

6. INVESTMENT TRANSACTIONS

Purchases and sales of investments (excluding short term securities) for the
year ended July 31, 2008, aggregated $22,557,555 and $33,838,011, respectively.

7. CONCENTRATION OF RISK

Investing in foreign securities may include certain risks and considerations not
typically associated with investing in U.S. securities, such as fluctuating
currency values and changing local and regional economic, political and social
conditions, which may result in greater market volatility. In addition, certain
foreign securities may not be as liquid as U.S. securities.

30 | Annual Report

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

FRANKLIN INTERNATIONAL SMALL CAP GROWTH FUND

8. NEW ACCOUNTING PRONOUNCEMENTS

Annual Report | 31

Franklin Global Trust

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

FRANKLIN INTERNATIONAL SMALL CAP GROWTH FUND

TO THE BOARD OF TRUSTEES AND SHAREHOLDERS OF FRANKLIN GLOBAL TRUST

In our opinion, the accompanying statement of assets and liabilities, including
the statement of investments, and the related statements of operations and of
changes in net assets and the financial highlights present fairly, in all
material respects, the financial position of Franklin International Small Cap
Growth Fund (formerly Franklin International Smaller Companies Growth Fund, one
of the funds constituting Franklin Global Trust, hereafter referred to as the
"Fund") at July 31, 2008, the results of its operations for the year then ended,
the changes in its net assets for each of the two years in the period then ended
and the financial highlights for each of the periods presented, in conformity
with accounting principles generally accepted in the United States of America.
These financial statements and financial highlights (hereafter referred to as
"financial statements") are the responsibility of the Fund's management. Our
responsibility is to express an opinion on these financial statements based on
our audits. We conducted our audits of these financial statements in accordance
with the standards of the Public Company Accounting Oversight Board (United
States). Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements, assessing the
accounting principles used and significant estimates made by management, and
evaluating the overall financial statement presentation. We believe that our
audits, which included confirmation of securities at July 31, 2008 by
correspondence with the custodian and brokers, provide a reasonable basis for
our opinion.

PricewaterhouseCoopers LLP

San Francisco, California
September 17, 2008

32 | Annual Report

Franklin Global Trust

TAX DESIGNATION (UNAUDITED)

FRANKLIN INTERNATIONAL SMALL CAP GROWTH FUND

Under Section 852(b)(3)(C) of the Internal Revenue Code (Code), the Fund
designates the maximum amount allowable but no less than $7,259,663 as a long
term capital gain dividend for the fiscal year ended July 31, 2008.

Under Section 854(b)(2) of the Code, the Fund designates the maximum amount
allowable but no less than $496,351 as qualified dividends for purposes of the
maximum rate under Section 1(h)(11) of the Code for the fiscal year ended July
31, 2008. Distributions, including qualified dividend income, paid during
calendar year 2008 will be reported to shareholders on Form 1099-DIV in January
2009. Shareholders are advised to check with their tax advisors for information
on the treatment of these amounts on their individual income tax returns.

At July 31, 2008, more than 50% of the Fund's total assets were invested in
securities of foreign issuers. In most instances, foreign taxes were withheld
from income paid to the Fund on these investments. The Fund elects to treat
foreign taxes paid as allowed under Section 853 of the Code. This election will
allow shareholders of record as of the 2008 distribution date, to treat their
proportionate share of foreign taxes paid by the Fund as having been paid
directly by them. The shareholder shall consider these amounts as foreign taxes
paid in the tax year in which they receive the Fund distribution.

In January 2009, shareholders will receive Form 1099-DIV which will include
their share of taxes withheld and foreign source income distributed during the
calendar year 2008.

Annual Report | 33

Franklin Global Trust

BOARD MEMBERS AND OFFICERS

INDEPENDENT BOARD MEMBERS

HARRIS J. ASHTON (1932) Trustee Since 2000 143 Bar-S Foods (meat packing company).
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Director of various companies; and FORMERLY, Director, RBC Holdings, Inc. (bank holding company) (until 2002); and President, Chief
Executive Officer and Chairman of the Board, General Host Corporation (nursery and craft centers) (until 1998).

ROBERT F. CARLSON (1928) Trustee Since 2000 122 None
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Retired; and FORMERLY, Vice President, senior member and past President, Board of Administration, California Public Employees
Retirement Systems (CALPERS) (1971 - January 2008); member and Chairman of the Board, Sutter Community Hospitals; member, Corporate
Board, Blue Shield of California; and Chief Counsel, California Department of Transportation.

SAM GINN (1937) Trustee Since 2007 122 Chevron Corporation (global energy
One Franklin Parkway company) and ICO Global
San Mateo, CA 94403-1906 Communications (Holdings) Limited
(satellite company).

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Private investor; and FORMERLY, Chairman of the Board, Vodafone AirTouch, PLC (wireless company); Chairman of the Board and Chief
Executive Officer, AirTouch Communications (cellular communications) (1993-1998) and Pacific Telesis Groups (telephone holding
company) (1988-1994).

EDITH E. HOLIDAY (1952) Trustee Since 2000 143 Hess Corporation (exploration and
One Franklin Parkway refining of oil and gas), H.J. Heinz
San Mateo, CA 94403-1906 Company (processed foods and allied
products), RTI International Metals,
Inc. (manufacture and distribution
of titanium), Canadian National
Railway (railroad) and White
Mountains Insurance Group, Ltd.
(holding company).
PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Director or Trustee of various companies and trusts; and FORMERLY, Assistant to the President of the United States and Secretary of
the Cabinet (1990-1993); General Counsel to the United States Treasury Department (1989-1990); and Counselor to the Secretary and
Assistant Secretary for Public Affairs and Public Liaison-United States Treasury Department (1988-1989).

34 | Annual Report

FRANK W.T. LAHAYE (1929) Trustee Since 2000 122 Center for Creative Land Recycling
One Franklin Parkway (brownfield redevelopment).
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

General Partner, Las Olas L.P. (Asset Management); and FORMERLY, Chairman, Peregrine Venture Management Company (venture capital).

FRANK A. OLSON (1932) Trustee Since 2005 143 Hess Corporation (exploration and
One Franklin Parkway refining of oil and gas) and Sentient
San Mateo, CA 94403-1906 Jet (private jet service).

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Chairman Emeritus, The Hertz Corporation (car rental) (since 2000) (Chairman of the Board (1980-2000) and Chief Executive Officer
(1977-1999)); and FORMERLY, Chairman of the Board, President and Chief Executive Officer, UAL Corporation (airlines).

LARRY D. THOMPSON (1945) Trustee Since 2007 143 None
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Senior Vice President - Government Affairs, General Counsel and Secretary, PepsiCo, Inc. (consumer products); and FORMERLY,
Director, Delta Airlines (aviation) (2003-2005) and Providian Financial Corp. (credit card provider) (1997-2001); Senior Fellow of
The Brookings Institution (2003-2004); Visiting Professor, University of Georgia School of Law (2004); and Deputy Attorney General,
U.S. Department of Justice (2001-2003).

JOHN B. WILSON (1959) Lead Trustee since 122 None
One Franklin Parkway Independent 2006 and Lead
San Mateo, CA 94403-1906 Trustee Independent
Trustee since
January 2008

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

President and Founder, Hyannis Port Capital, Inc. (real estate and private equity investing); serves on private and non-profit
boards; and FORMERLY, Chief Operating Officer and Executive Vice President, Gap, Inc. (retail) (1996-2000); Chief Financial Officer
and Executive Vice President - Finance Strategy, Staples, Inc. (office supplies) (1992-1996); Executive Vice President - Corporate
Planning, Northwest Airlines, Inc. (airlines) (1990-1992); Vice President and Partner, Bain & Company (consulting firm) (1986-1990).

INTERESTED BOARD MEMBERS AND OFFICERS

**CHARLES B. JOHNSON (1933) Trustee and Since 2000 143 None
One Franklin Parkway Chairman of
San Mateo, CA 94403-1906 the Board

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Chairman of the Board, Member - Office of the Chairman and Director, Franklin Resources, Inc.; Director, Templeton Worldwide, Inc.;
and officer and/or director or trustee, as the case may be, of some of the other subsidiaries of Franklin Resources, Inc. and of 42
of the investment companies in Franklin Templeton Investments.

Annual Report | 35

**GREGORY E. JOHNSON (1961) Trustee Since 2007 94 None
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Director, President and Chief Executive Officer, Franklin Resources, Inc.; President, Templeton Worldwide, Inc.; Director, Templeton
Asset Management Ltd.; and officer and/or director or trustee, as the case may be, of some of the other subsidiaries of Franklin
Resources, Inc. and of 33 of the investment companies in Franklin Templeton Investments.

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Director, Global Compliance, Franklin Resources, Inc.; officer of some of the other subsidiaries of Franklin Resources, Inc. and of
46 of the investment companies in Franklin Templeton Investments; and FORMERLY, Director of Compliance, Franklin Resources, Inc.
(1994-2001).

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Vice President, Franklin Templeton Services, LLC; officer of 46 of the investment companies in Franklin Templeton Investments; and
FORMERLY, Director and member of Audit and Valuation Committees, Runkel Funds, Inc. (2003-2004); Assistant Treasurer of most of the
investment companies in Franklin Templeton Investments (1997-2003); and Vice President, Franklin Templeton Services, LLC
(1997-2003).

JIMMY D. GAMBILL (1947) Vice President Since February Not Applicable Not Applicable
500 East Broward Blvd. 2008
Suite 2100
Fort Lauderdale, FL 33394-3091

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

President, Franklin Templeton Services, LLC; Senior Vice President, Templeton Worldwide, Inc.; and officer of some of the other
subsidiaries of Franklin Resources, Inc. and of 46 of the investment companies in Franklin Templeton Investments.

36 | Annual Report

DAVID P. GOSS (1947) Vice President Since 2000 Not Applicable Not Applicable
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Senior Associate General Counsel, Franklin Templeton Investments; officer and director of one of the subsidiaries of Franklin
Resources, Inc.; and officer of 46 of the investment companies in Franklin Templeton Investments.

EDWARD B. JAMIESON (1948) Vice President Since 2000 Not Applicable Not Applicable
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

President, Chief Investment Officer and Director, Franklin Advisers, Inc.; Executive Vice President, Franklin Templeton
Institutional, LLC; officer and/or trustee, as the case may be, of some of the other subsidiaries of Franklin Resources, Inc. and of
four of the investment companies in Franklin Templeton Investments.

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Vice Chairman, Member - Office of the Chairman and Director, Franklin Resources, Inc.; Director, Franklin Advisers, Inc. and
Templeton Worldwide, Inc.; Senior Vice President, Franklin Advisory Services, LLC; and officer and/or director or trustee, as the
case may be, of some of the other subsidiaries of Franklin Resources, Inc. and of 44 of the investment companies in Franklin
Templeton Investments.

CHRISTOPHER J. MOLUMPHY (1962) Vice President Since 2000 Not Applicable Not Applicable
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Director and Executive Vice President, Franklin Adviser, Inc.; and officer of some of the other subsidiaries of Franklin Resources,
Inc. and of six of the investment companies in Franklin Templeton Investments.

KAREN L. SKIDMORE (1952) Vice President Since 2006 Not Applicable Not Applicable
One Franklin Parkway and Secretary
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Senior Associate General Counsel, Franklin Templeton Investments; and officer of 30 of the investment companies in Franklin
Templeton Investments.

Annual Report | 37

CRAIG S. TYLE (1960) Vice President Since 2005 Not Applicable Not Applicable
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

General Counsel and Executive Vice President, Franklin Resources, Inc.; officer of some of the other subsidiaries of Franklin
Resources, Inc. and of 46 of the investment companies in Franklin Templeton Investments; and FORMERLY, Partner, Shearman & Sterling,
LLP (2004-2005); and General Counsel, Investment Company Institute (ICI) (1997-2004).

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Senior Vice President, Franklin Templeton Services, LLC; officer of some of the other subsidiaries of Franklin Resources, Inc. and
of 46 of the investment companies in Franklin Templeton Investments; and FORMERLY, Managing Director, RSM McGladrey, Inc.
(1999-2004); and Partner, McGladrey & Pullen, LLP (1979-1987 and 1991-2004).

Note 1: Charles B. Johnson and Rupert H. Johnson, Jr. are brothers and the
father and uncle, respectively, of Gregory E. Johnson.

Note 2: Officer information is current as of the date of this report. It is
possible that after this date, information about officers may change.

38 | Annual Report

Franklin Global Trust

SHAREHOLDER INFORMATION

FRANKLIN INTERNATIONAL SMALL CAP GROWTH FUND

BOARD REVIEW OF INVESTMENT MANAGEMENT AGREEMENT

At a meeting held February 25, 2008, the Board of Trustees (Board), including a
majority of non-interested or independent Trustees, approved renewal of the
investment management agreements for each of the separate funds within Franklin
Global Trust, including Franklin International Small Cap Fund (formerly,
Franklin International Smaller Companies Growth Fund) (Fund(s)). In reaching
this decision, the Board took into account information furnished throughout the
year at regular Board meetings, as well as information prepared specifically in
connection with the annual renewal review process. Information furnished and
discussed throughout the year included investment performance reports and
related financial information for each Fund, as well as periodic reports on
shareholder services, legal, compliance, pricing, brokerage commissions and
execution and other services provided by the Investment Manager (Manager) and
its affiliates. Information furnished specifically in connection with the
renewal process included a report for each Fund prepared by Lipper, Inc.
(Lipper), an independent organization, as well as a Fund profitability analysis
report prepared by management. The Lipper report compared a Fund's investment
performance and expenses with those of other mutual funds deemed comparable to
the Fund as selected by Lipper. The Fund profitability analysis report discussed
the profitability to Franklin Templeton Investments from its overall U.S. fund
operations, as well as on an individual fund-by-fund basis. Included with such
profitability analysis report was information on a fund-by-fund basis listing
portfolio managers and other accounts they manage, as well as information on
management fees charged by the Manager and its affiliates including management's
explanation of differences where relevant and a three-year expense analysis with
an explanation for any increase in expense ratios. Additional material
accompanying such report was a memorandum prepared by management describing
project initiatives and capital investments relating to the services provided to
the Funds by the Franklin Templeton Investments organization, as well as a
memorandum relating to economies of scale and a comparative analysis concerning
transfer agent fees charged each Fund.

NATURE, EXTENT AND QUALITY OF SERVICES. The Board was satisfied with the nature
and quality of the overall services provided by the Manager and its affiliates
to the Fund and its shareholders. In addition to investment performance and
expenses discussed later, the Board's opinion was based, in part, upon periodic
reports furnished them showing that the investment policies and restrictions for
the Fund were consistently complied with as well as other reports periodically

Annual Report | 39

Franklin Global Trust

SHAREHOLDER INFORMATION (CONTINUED)

FRANKLIN INTERNATIONAL SMALL CAP GROWTH FUND

BOARD REVIEW OF INVESTMENT MANAGEMENT AGREEMENT (CONTINUED)

furnished the Board covering matters such as the compliance of portfolio
managers and other management personnel with the code of ethics adopted
throughout the Franklin Templeton fund complex, the adherence to fair value
pricing procedures established by the Board, and the accuracy of net asset value
calculations. The Board also noted the extent of benefits provided Fund
shareholders from being part of the Franklin Templeton family of funds,
including the right to exchange investments between the same class of funds
without a sales charge, the ability to reinvest Fund dividends into other funds
and the right to combine holdings in other funds to obtain a reduced sales
charge. Favorable consideration was given to management's continuous efforts and
expenditures in establishing back-up systems and recovery procedures to function
in the event of a natural disaster, it being noted that such systems and
procedures had functioned smoothly during the Florida hurricanes and blackouts
experienced in recent years. Among other factors taken into account by the Board
were the Manager's best execution trading policies, including a favorable report
by an independent portfolio trading analytical firm. Consideration was also
given to the experience of the Fund's portfolio management team, the number of
accounts managed and general method of compensation. In this latter respect, the
Board noted that a primary factor in management's determination of a portfolio
manager's bonus compensation was the relative investment performance of the
funds he or she managed and that a portion of such bonus was required to be
invested in a predesignated list of funds within such person's fund management
area so as to be aligned with the interests of Fund shareholders. The Board also
took into account the quality of transfer agent and shareholder services
provided Fund shareholders by an affiliate of the Manager, noting continuing
expenditures by management to increase and improve the scope of such services,
periodic favorable reports on such service conducted by third parties, the high
industry ranking given to the Franklin Templeton website, and the firsthand
experience of individual Board members who deal with the shareholder services
department in their capacities as shareholders in one or more of the various
Franklin Templeton funds.

INVESTMENT PERFORMANCE. The Board placed significant emphasis on the investment
performance of the Fund in view of its importance to shareholders. While
consideration was given to performance reports and discussions with portfolio
managers at Board meetings throughout the year, particular attention in
assessing performance was given to the Lipper report furnished for the agreement
renewal. The Lipper report prepared for the Fund showed the investment
performance of the Fund in comparison to a performance universe selected by
Lipper. Comparative performance for the Fund was shown for the one-year period
ended December 31, 2007, and for additional periods ended that date depending on
when the Fund commenced operations. Investment performance was shown on a total
return basis for the Fund. The following summarizes the performance results for
the Fund and the Board's view of such performance.

40 | Annual Report

Franklin Global Trust

SHAREHOLDER INFORMATION (CONTINUED)

FRANKLIN INTERNATIONAL SMALL CAP GROWTH FUND

BOARD REVIEW OF INVESTMENT MANAGEMENT AGREEMENT (CONTINUED)

The performance universe for the Fund consisted of the Fund and all retail and
institutional international small/mid-cap growth funds as selected by Lipper.
The Lipper report showed its total return for the one-year period to be in the
second-lowest quintile of such performance universe, but on an annualized basis
to be in the second-highest quintile of such universe for the previous three-
and five-year periods. The Board was satisfied with such performance, noting the
Fund's one-year return as set forth in the Lipper report exceeded 8%.

Annual Report | 41

Franklin Global Trust

SHAREHOLDER INFORMATION (CONTINUED)

FRANKLIN INTERNATIONAL SMALL CAP GROWTH FUND

BOARD REVIEW OF INVESTMENT MANAGEMENT AGREEMENT (CONTINUED)

PROXY VOTING POLICIES AND PROCEDURES

42 | Annual Report

Franklin Global Trust

SHAREHOLDER INFORMATION (CONTINUED)

FRANKLIN INTERNATIONAL SMALL CAP GROWTH FUND

QUARTERLY STATEMENT OF INVESTMENTS

Annual Report | 43

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(FRANKLIN TEMPLETON INVESTMENTS(R) LOGO)
FRANKLIN TEMPLETON INVESTMENTS

One Franklin Parkway
San Mateo, CA 94403-1906

- - WANT TO RECEIVE THIS DOCUMENT FASTER VIA EMAIL?

Eligible shareholders can sign up for eDelivery at franklintempleton.com.
See inside for details.

ANNUAL REPORT AND SHAREHOLDER LETTER

FRANKLIN INTERNATIONAL SMALL CAP GROWTH FUND

INVESTMENT MANAGER

Franklin Advisers, Inc.

SUBADVISOR

Franklin Templeton Institutional, LLC

DISTRIBUTOR

Franklin Templeton Distributors, Inc.
1-800/DIAL BEN(R)
franklintempleton.com

SHAREHOLDER SERVICES

1-800/632-2301

195 A2008 09/08

FRANKLIN INTERNATIONAL GROWTH FUND

(GRAPHIC)

JULY 31, 2008

A series of Franklin Global Trust

ANNUAL REPORT AND SHAREHOLDER LETTER

INTERNATIONAL

FRANKLIN
INTERNATIONAL GROWTH FUND

WANT TO RECEIVE THIS DOCUMENT FASTER VIA EMAIL?

Eligible shareholders can sign up for eDelivery at franklintempleton.com. See
inside for details.

(FRANKLIN TEMPLETON INVESTMENTS(R) LOGO)

FRANKLIN - Templeton - Mutual Series

Annual Report

Franklin International Growth Fund

YOUR FUND'S GOAL AND MAIN INVESTMENTS: The Fund seeks long-term capital
appreciation by investing predominantly in equity securities of mid- and
large-capitalization companies, generally those with market capitalizations
greater than $2 billion, located outside the U.S., including developing or
emerging market countries. The Fund considers international companies to be
those organized under the laws of a country outside of the U.S. or having a
principal office in a country outside of the U.S., or whose securities are
listed or traded principally on a recognized stock exchange or over-the-counter
market outside of the U.S.

GEOGRAPHIC BREAKDOWN

Based on Total Net Assets as of 7/31/08

Europe ....................................... 54.5%
Asia ......................................... 18.8%
Australia & New Zealand ...................... 15.6%
Latin America ................................ 5.3%
Short-Term Investments & Other Net Assets .... 5.8%

PERFORMANCE DATA REPRESENT PAST PERFORMANCE, WHICH DOES NOT GUARANTEE FUTURE
RESULTS. INVESTMENT RETURN AND PRINCIPAL VALUE WILL FLUCTUATE, AND YOU MAY HAVE
A GAIN OR LOSS WHEN YOU SELL YOUR SHARES. CURRENT PERFORMANCE MAY DIFFER FROM
FIGURES SHOWN. PLEASE VISIT FRANKLINTEMPLETON.COM OR CALL 1-800/342-5236 FOR
MOST RECENT MONTH-END PERFORMANCE.

This annual report for Franklin International Growth Fund covers the period
since inception on June 3, 2008, through July 31, 2008.

PERFORMANCE OVERVIEW

For the period since the Fund's inception on June 3, 2008, through July 31,
2008, Franklin International Growth Fund - Class A had a -13.00% cumulative
total return. The Fund underperformed its benchmark, the Morgan Stanley Capital
International (MSCI) Europe, Australasia, Far East (EAFE) Index,

THE DOLLAR VALUE, NUMBER OF SHARES OR PRINCIPAL AMOUNT, AND NAMES OF ALL
PORTFOLIO HOLDINGS ARE LISTED IN THE FUND'S STATEMENT OF INVESTMENTS (SOI). THE
SOI BEGINS ON PAGE 17.

Annual Report | 3

PORTFOLIO BREAKDOWN
Based on Total Net Assets as of 7/31/08

Health Care Equipment & Supplies 10.1%
Capital Markets 8.8%
Energy Equipment & Services 7.7%
Commercial Banks 4.9%
Real Estate Management & Development 4.4%
Chemicals 3.3%
Wireless Telecommunication Services 3.2%
Biotechnology 3.2%
Household Products 3.2%
Electrical Equipment 2.8%
Media 2.6%
Construction & Engineering 2.6%
Distributors 2.6%
Trading Companies & Distributors 2.6%
Diversified Financial Services 2.5%
Personal Products 2.5%
Food & Staples Retailing 2.5%
Other 24.7%
Short-Term Investments & Other Net Assets 5.8%

which had a -10.31% total return for the same period.(1) You can find more of
the Fund's performance data in the Performance Summary beginning on page 8.

ECONOMIC AND MARKET OVERVIEW

The U.S. economy continued to grow even though housing prices declined and
consumer demand softened. A shift in investor sentiment toward extreme caution
led to broad reassessment of risk in the stock, bond and credit markets. Many
economists agreed that the U.S. economy -- which is the world's largest and
accounts for roughly 25% of global gross domestic product -- could have a
meaningfully negative impact on growth prospects around the world.(2)
Nevertheless, growth remained robust in certain areas, particularly in Asia
ex-Japan, where China's demand for commodities continued to have a significant
impact on commodity prices and related equities.

During the period under review, many of the world's monetary authorities faced
the choice between lowering short-term interest rates to stimulate growth and
raising them to fight inflation. The U.S. Federal Reserve Board (Fed) maintained
its rate at 2.00% while the European Central bank raised its rate from 4.00% to
4.25%. Interest rate differentials pressured the U.S. dollar but the greenback
regained ground as the Fed implied that its next move could be a rate hike.
Indicators also signaled growth was slowing outside the U.S. For the period, the
U.S. dollar appreciated versus many of the world's currencies.

Against this challenging economic backdrop, many global equity markets were
volatile, and generally declined during the period. Despite negative economic
data and an outlook for decelerating corporate earnings and profit margins
globally, many companies' balance sheets remained relatively strong.

(2.) Source: Global Insight.

4 | Annual Report

INVESTMENT STRATEGY

In choosing individual equity investments, we employ a disciplined, bottom-up
approach to identify attractive investment opportunities that have higher
expected revenue and earnings growth than their peers. We use a growth
investment style and in-depth, fundamental research to identify high-quality
companies, across all industry groups, with sustainable business models that
offer the most attractive combination of growth and quality.

TOP 10 COUNTRIES
7/31/08

% OF TOTAL
NET ASSETS
----------

U.K. 16.2%
Australia 15.6%
Hong Kong 11.6%
Switzerland 8.3%
Mexico 5.3%
France 4.8%
Italy 4.6%
Germany 4.5%
China 4.1%
Netherlands 3.9%

MANAGER'S DISCUSSION

During the period under review, stock selection in the health care and energy
sectors detracted from Fund performance relative to the MSCI EAFE Index.(3)
Within health care, Essilor International, a France-based company engaged in the
design, manufacture and customization of corrective lenses for glasses, declined
during the period after the company announced disappointing sales in the first
half of the year and showed limited growth in the U.S. and Europe. In the energy
sector, SBM Offshore, a Netherlands-based multinational group of companies
selling systems and services to the oil and gas industry, negatively impacted
the Fund following the company's downgrade of 2008 expected earnings based on
cost overruns in its turnkey business.

Conversely, Fund performance relative to the MSCI EAFE Index benefited from
stock selection in the financials and consumer staples sectors.(4) Specifically
within financials, Man Group, a U.K.-based holding company, added to relative
returns as the company performed better than other financial stocks in the
period because its business largely avoided areas heavily affected by the credit
crunch. Credit Suisse Group, a Switzerland-based global financial services
company catering to corporate, institutional and government clients, also
contributed to relative performance. The company's lighter exposure to subprime
mortgages and lower losses relative to competitors was favorably received by
investors. In consumer staples, Reckitt Benckiser Group, a U.K.-based
manufacturer and marketer of household cleaning, health and personal care
branded products, boosted relative Fund returns.

TOP 10 EQUITY HOLDINGS
7/31/08

COMPANY % OF TOTAL
SECTOR/INDUSTRY, COUNTRY NET ASSETS
- ------------------------ ----------

Man Group PLC 4.2%
CAPITAL MARKETS, U.K.
Syngenta AG 3.3%
CHEMICALS, SWITZERLAND
America Movil SAB de CV, L, ADR 3.2%
WIRELESS TELECOMMUNICATION SERVICES, MEXICO
CSL Ltd. 3.2%
BIOTECHNOLOGY, AUSTRALIA
National Bank of Greece SA 3.2%
COMMERCIAL BANKS, GREECE
Reckitt Benckiser Group PLC 3.2%
HOUSEHOLD PRODUCTS, U.K.
Terumo Corp. 3.1%
HEALTH CARE EQUIPMENT & SUPPLIES, JAPAN
Getinge AB, B 2.9%
HEALTH CARE EQUIPMENT & SUPPLIES, SWEDEN
ABB Ltd. 2.8%
ELECTRICAL EQUIPMENT, SWITZERLAND
Eutelsat Communications 2.6%
MEDIA, FRANCE

(3.) The health care sector comprises biotechnology, health care equipment and
supplies, and life sciences tools and services in the SOI. The energy
sector comprises energy equipment and services in the SOI.

(4.) The financials sector comprises capital markets, commercial banks,
diversified financial services, insurance, and real estate management and
development in the SOI. The consumer staples sector comprises beverages,
food and staples retailing, household products, and personal products in
the SOI.

Annual Report | 5

Geographically, our underweighted exposure to and stock selection in Europe
(excluding the U.K.) hampered relative performance during the period. Holdings
that detracted from relative Fund returns included Anglo Irish Bancorp, an
Ireland-based company engaged in commercial banking services, and Telenor, a
Norway-based fixed-line and mobile telephone company. On the other hand, our
underweighted allocation and stock selection in the U.K. benefited the Fund's
performance relative to its benchmark.

During the period under review, we executed our consistent, disciplined
methodology of seeking high-quality, sustainable-growth companies outside the
U.S.

Thank you for your participation in Franklin International Growth Fund. We look
forward to serving your future investment needs.

(PHOTO OF Coleen F. Barbeau)

/s/ Coleen F. Barbeau
Coleen F. Barbeau

(PHOTO OF M. Par Rostom)

/s/ M. Par Rostom
M. Par Rostom, CFA

Portfolio Management Team
Franklin International Growth Fund

6 | Annual Report

COLEEN F. BARBEAU, director of Non-U.S. Equity Portfolio Management, is
responsible for leading non-U.S. and global equity strategies and for managing
global large-cap mandates. Prior to joining Franklin Templeton in 1983, Ms.
Barbeau was with Shearson/American Express for two years. Ms. Barbeau earned a
B.A. from Montclair State University.

M. PAR ROSTOM, analyst and portfolio manager, is responsible for managing
institutional international large-cap equity portfolios and conducting research
on the financials sector. Mr. Rostom has nine years of experience as an analyst
and portfolio manager. Prior to joining Franklin Templeton in 2005, he was with
Brown Brothers Harriman, where he was an analyst and portfolio manager on the
global and international portfolios. Prior to this position, he worked for
Kulicke & Soffa Industries. Mr. Rostom holds a B.S. in electrical engineering
from the Rochester Institute of Technology and an M.A. in economics and finance
from Temple University. He is a Chartered Financial Analyst (CFA) charterholder.

Annual Report | 7

Performance Summary as of 7/31/08

Your dividend income will vary depending on dividends or interest paid by
securities in the Fund's portfolio, adjusted for operating expenses of each
class. Capital gain distributions are net profits realized from the sale of
portfolio securities. The performance table does not reflect any taxes that a
shareholder would pay on Fund dividends, capital gain distributions, if any, or
any realized gains on the sale of Fund shares. Total return reflects
reinvestment of the Fund's dividends and capital gain distributions, if any, and
any unrealized gains or losses.

PRICE INFORMATION

CLASS A (SYMBOL: N/A) CHANGE 7/31/08 6/3/08
- --------------------- ------ ------- ------

Net Asset Value (NAV) -$1.30 $8.70 $10.00

CLASS C (SYMBOL: N/A) CHANGE 7/31/08 6/3/08
- --------------------- ------ ------- ------

Net Asset Value (NAV) -$1.31 $8.69 $10.00

CLASS R (SYMBOL: N/A) CHANGE 7/31/08 6/3/08
- --------------------- ------ ------- ------

Net Asset Value (NAV) -$1.30 $8.70 $10.00

ADVISOR CLASS (SYMBOL: N/A) CHANGE 7/31/08 6/3/08
- --------------------------- ------ ------- ------

Net Asset Value (NAV) -$1.29 $8.71 $10.00

8 | Annual Report

Performance Summary (CONTINUED)

PERFORMANCE(1)

CUMULATIVE TOTAL RETURN EXCLUDES SALES CHARGES. AGGREGATE TOTAL RETURN AND VALUE
OF $10,000 INVESTMENT INCLUDE MAXIMUM SALES CHARGES. CLASS A: 5.75% MAXIMUM
INITIAL SALES CHARGE; CLASS C: 1% CONTINGENT DEFERRED SALES CHARGE IN FIRST YEAR
ONLY; CLASS R/ADVISOR CLASS: NO SALES CHARGES.

CLASS A INCEPTION (6/3/08)
- ------- ------------------

Cumulative Total Return(2) -13.00%
Aggregate Total Return(3) -18.00%
Value of $10,000 Investment(4) $ 8,200
Aggregate Total Return (6/30/08)(5) -14.42%
Total Annual Operating Expenses(6)
Without Waiver 1.81%
With Waiver 1.45%

CLASS C INCEPTION (6/3/08)
- ------- ------------------

Cumulative Total Return(2) -13.10%
Aggregate Total Return(3) -13.97%
Value of $10,000 Investment(4) $ 8,603
Aggregate Total Return (6/30/08)(5) -10.21%
Total Annual Operating Expenses(6)
Without Waiver 2.51%
With Waiver 2.15%

CLASS R INCEPTION (6/3/08)
- ------- ------------------

Cumulative Total Return(2) -13.00%
Aggregate Total Return(3) -13.00%
Value of $10,000 Investment(4) $ 8,700
Aggregate Total Return (6/30/08)(5) -9.20%
Total Annual Operating Expenses(6)
Without Waiver 2.01%
With Waiver 1.65%

ADVISOR CLASS INCEPTION (6/3/08)
- ------------- ------------------

Cumulative Total Return(2) -12.90%
Aggregate Total Return(3) -12.90%
Value of $10,000 Investment(4) $ 8,710
Aggregate Total Return (6/30/08)(5) -9.20%
Total Annual Operating Expenses(6)
Without Waiver 1.51%
With Waiver 1.15%

PERFORMANCE DATA REPRESENT PAST PERFORMANCE, WHICH DOES NOT GUARANTEE FUTURE
RESULTS. INVESTMENT RETURN AND PRINCIPAL VALUE WILL FLUCTUATE, AND YOU MAY HAVE
A GAIN OR LOSS WHEN YOU SELL YOUR SHARES. CURRENT PERFORMANCE MAY DIFFER FROM
FIGURES SHOWN. FOR MOST RECENT MONTH-END PERFORMANCE, SEE "FUNDS AND
PERFORMANCE" AT FRANKLINTEMPLETON.COM OR CALL 1-800/342-5236.

THE INVESTMENT MANAGER AND ADMINISTRATOR HAVE CONTRACTUALLY AGREED TO WAIVE OR
LIMIT THEIR RESPECTIVE FEES AND TO ASSUME AS THEIR OWN EXPENSE CERTAIN EXPENSES
OTHERWISE PAYABLE BY THE FUND SO THAT COMMON EXPENSES (I.E., A COMBINATION OF
INVESTMENT MANAGEMENT FEES, FUND ADMINISTRATION FEES AND OTHER EXPENSES, BUT
EXCLUDING RULE 12B-1 FEES) FOR EACH CLASS OF THE FUND DO NOT EXCEED 1.15% (OTHER
THAN CERTAIN NON-ROUTINE EXPENSES OR COSTS, INCLUDING THOSE RELATING TO
LITIGATION, INDEMNIFICATION, REORGANIZATIONS AND LIQUIDATIONS) UNTIL 6/2/09.

Annual Report | 9

Performance Summary (CONTINUED)

ENDNOTES

SPECIAL RISKS ARE ASSOCIATED WITH FOREIGN INVESTING, INCLUDING CURRENCY
FLUCTUATIONS, ECONOMIC INSTABILITY AND POLITICAL DEVELOPMENTS. INVESTMENTS IN
DEVELOPING MARKETS INVOLVE HEIGHTENED RISKS RELATED TO THE SAME FACTORS, IN
ADDITION TO THOSE ASSOCIATED WITH THESE MARKETS' SMALLER SIZE AND LESSER
LIQUIDITY.

CLASS C: These shares have higher annual fees and expenses than Class A
shares.

ADVISOR CLASS: Shares are available to certain eligible investors as described
in the prospectus.

(1.) If the manager and administrator had not waived fees, the Fund's total
return would have been lower.

(2.) Cumulative total return represents the change in value of an investment
over the period indicated.

(3.) Aggregate total return represents the change in value of an investment over
the period indicated. Because the Fund has existed for less than one year,
average annual total returns are not available.

(4.) This figure represents the value of a hypothetical $10,000 investment in
the Fund over the period indicated.

(5.) In accordance with SEC rules, we provide standardized total return
information through the latest calendar quarter.

(6.) Figures are as stated in the Fund's prospectus current as of the date of
this report.

10 | Annual Report

Your Fund's Expenses

As a Fund shareholder, you can incur two types of costs:

- - Transaction costs, including sales charges (loads) on Fund purchases and
redemption fees; and

- - Ongoing Fund costs, including management fees, distribution and service
(12b-1) fees, and other Fund expenses. All mutual funds have ongoing costs,
sometimes referred to as operating expenses.

ACTUAL FUND EXPENSES

You can estimate the expenses you paid during the period by following these
steps. OF COURSE, YOUR ACCOUNT VALUE AND EXPENSES WILL DIFFER FROM THOSE IN THIS
ILLUSTRATION:

1. Divide your account value by $1,000.

IF AN ACCOUNT HAD AN $8,600 VALUE, THEN $8,600 / $1,000 = 8.6.

2. Multiply the result by the number under the heading "Expenses Paid During
Period."

IF EXPENSES PAID DURING PERIOD WERE $7.50, THEN 8.6 X $7.50 = $64.50.

In this illustration, the estimated expenses paid this period are $64.50.

HYPOTHETICAL EXAMPLE FOR COMPARISON WITH OTHER FUNDS

Annual Report | 11

Your Fund's Expenses (CONTINUED)

PLEASE NOTE THAT EXPENSES SHOWN IN THE TABLE ARE MEANT TO HIGHLIGHT ONGOING
COSTS AND DO NOT REFLECT ANY TRANSACTION COSTS, SUCH AS SALES CHARGES OR
REDEMPTION FEES. Therefore, the second line for each class is useful in
comparing ongoing costs only, and will not help you compare total costs of
owning different funds. In addition, if transaction costs were included, your
total costs would have been higher. Please refer to the Fund prospectus for
additional information on operating expenses.

BEGINNING ACCOUNT VALUE EXPENSES PAID DURING PERIOD*
ACTUAL 6/3/08 ENDING ACCOUNT ACTUAL 6/3/08-7/30/08
HYPOTHETICAL 2/1/08 VALUE 7/30/08 HYPOTHETICAL 2/1/08-7/30/08
----------------------- -------------- ----------------------------

CLASS A
Actual $1,000 $ 870.00 $ 2.15
Hypothetical (5% return before expenses) $1,000 $1,017.65 $ 7.27
CLASS C
Actual $1,000 $ 869.00 $ 3.18
Hypothetical (5% return before expenses) $1,000 $1,014.17 $10.77
CLASS R
Actual $1,000 $ 870.00 $ 2.44
Hypothetical (5% return before expenses) $1,000 $1,016.66 $ 8.27
CLASS ADVISOR
Actual $1,000 $ 871.00 $ 1.70
Hypothetical (5% return before expenses) $1,000 $1,019.14 $ 5.77

* Expenses are calculated using the most recent six-month expense ratio, net
of expense waivers, annualized for each class (A: 1.45%, C: 2.15%, R: 1.65%
and Advisor: 1.15%), multiplied by the average account value over the
period, multiplied by 182/366 (Hypothetical) to reflect the one-half year
period. For actual expenses, the multiplier is 58/366 to reflect the number
of days since inception.

12 | Annual Report

Franklin Global Trust

FINANCIAL HIGHLIGHTS

FRANKLIN INTERNATIONAL GROWTH FUND

PERIOD ENDED
JULY 31,
CLASS A 2008(a)
- ------- ------------

PER SHARE OPERATING PERFORMANCE
(for a share outstanding throughout the period)
Net asset value, beginning of period ................ $ 10.00
-------
Income from investment operations(b):
Net investment income (loss)(c) .................. --(d)
Net realized and unrealized gains (losses) ....... (1.30)
-------
Total from investment operations .................... (1.30)
-------
Net asset value, end of period ...................... $ 8.70
=======
Total return(e) ..................................... (13.00)%
RATIOS TO AVERAGE NET ASSETS(f)
Expenses before waiver and payments by affiliates ... 7.43%
Expenses net of waiver and payments by affiliates ... 1.45%
Net investment income (loss) ........................ (0.16)%
SUPPLEMENTAL DATA
Net assets, end of period (000's) ................... $ 4,431
Portfolio turnover rate ............................. 5.71%

(a) For the period June 3, 2008 (commencement of operations) to July 31, 2008.

(d) Amount rounds to less than $(0.01) per share.

(e) Total return does not reflect sales commissions or contingent deferred
sales charges, if applicable, and is not annualized for periods less than
one year.

(f) Ratios are annualized for periods less than one year.

The accompanying notes are an integral part of these financial statements.
Annual Report | 13

Franklin Global Trust

FINANCIAL HIGHLIGHTS (CONTINUED)

FRANKLIN INTERNATIONAL GROWTH FUND

PERIOD ENDED
JULY 31,
CLASS C 2008(a)
- ------- ------------

PER SHARE OPERATING PERFORMANCE
(for a share outstanding throughout the period)
Net asset value, beginning of period ................ $ 10.00
-------
Income from investment operations(b):
Net investment income (loss)(c) .................. (0.01)
Net realized and unrealized gains (losses) ....... (1.30)
-------
Total from investment operations .................... (1.31)
-------
Net asset value, end of period ...................... $ 8.69
=======
Total return(d) ..................................... (13.10)%
RATIOS TO AVERAGE NET ASSETS(e)
Expenses before waiver and payments by affiliates ... 8.13%
Expenses net of waiver and payments by affiliates ... 2.15%
Net investment income (loss) ........................ (0.86)%
SUPPLEMENTAL DATA
Net assets, end of period (000's) ................... $ 51
Portfolio turnover rate ............................. 5.71%

(a) For the period June 3, 2008 (commencement of operations) to July 31, 2008.

(d) Total return does not reflect sales commissions or contingent deferred
sales charges, if applicable, and is not annualized for periods less than
one year.

(e) Ratios are annualized for periods less than one year.

The accompanying notes are an integral part of these financial statements.
14 | Annual Report

Franklin Global Trust

FINANCIAL HIGHLIGHTS (CONTINUED)

FRANKLIN INTERNATIONAL GROWTH FUND

PERIOD ENDED
JULY 31,
CLASS R 2008(a)
- ------- ------------

PER SHARE OPERATING PERFORMANCE
(for a share outstanding throughout the period)
Net asset value, beginning of period ................ $ 10.00
-------
Income from investment operations(b):
Net investment income (loss)(c) .................. (0.01)
Net realized and unrealized gains (losses) ....... (1.29)
-------
Total from investment operations .................... (1.30)
-------
Net asset value, end of period ...................... $ 8.70
=======
Total return(d) ..................................... (13.00)%
RATIOS TO AVERAGE NET ASSETS(e)
Expenses before waiver and payments by affiliates ... 7.63%
Expenses net of waiver and payments by affiliates ... 1.65%
Net investment income (loss) ........................ (0.36)%
SUPPLEMENTAL DATA
Net assets, end of period (000's) ................... $ 9
Portfolio turnover rate ............................. 5.71%

(a) For the period June 3, 2008 (commencement of operations) to July 31, 2008.

(d) Total return does not reflect sales commissions or contingent deferred
sales charges, if applicable, and is not annualized for periods less than
one year.

(e) Ratios are annualized for periods less than one year.

The accompanying notes are an integral part of these financial statements.
Annual Report | 15

Franklin Global Trust

FINANCIAL HIGHLIGHTS (CONTINUED)

FRANKLIN INTERNATIONAL GROWTH FUND

PERIOD ENDED
JULY 31,
ADVISOR CLASS 2008(a)
- ------------- ------------

PER SHARE OPERATING PERFORMANCE
(for a share outstanding throughout the period)
Net asset value, beginning of period ................ $ 10.00
-------
Income from investment operations(b):
Net investment income (loss)(c) .................. --(d)
Net realized and unrealized gains (losses) ....... (1.29)
-------
Total from investment operations .................... (1.29)
-------
Net asset value, end of period ...................... $ 8.71
=======
Total return(e) ..................................... (12.90)%
RATIOS TO AVERAGE NET ASSETS(f)
Expenses before waiver and payments by affiliates ... 7.13%
Expenses net of waiver and payments by affiliates ... 1.15%
Net investment income ............................... 0.14%
SUPPLEMENTAL DATA
Net assets, end of period (000's) ................... $ 10
Portfolio turnover rate ............................. 5.71%

(a) For the period June 3, 2008 (commencement of operations) to July 31, 2008.

(d) Amount rounds to less than $0.01 per share.

(e) Total return is not annualized for periods less than one year.

(f) Ratios are annualized for periods less than one year.

The accompanying notes are an integral part of these financial statements.
16 | Annual Report

Franklin Global Trust

STATEMENT OF INVESTMENTS, JULY 31, 2008

FRANKLIN INTERNATIONAL GROWTH FUND COUNTRY SHARES VALUE
---------------------------------- -------------- ------- ----------

COMMON STOCKS 94.2%
AEROSPACE & DEFENSE 1.9%
MTU Aero Engines Holding AG ........................................... Germany 2,800 $ 86,931
----------
BEVERAGES 2.3%
InBev NV .............................................................. Belgium 1,550 104,535
----------
BIOTECHNOLOGY 3.2%
CSL Ltd. .............................................................. Australia 4,450 144,932
----------
CAPITAL MARKETS 8.8%
Credit Suisse Group AG ................................................ Switzerland 2,000 100,706
Macquarie Group Ltd. .................................................. Australia 2,200 106,504
Man Group PLC ......................................................... United Kingdom 15,400 187,596
----------
394,806
----------
CHEMICALS 3.3%
Syngenta AG ........................................................... Switzerland 510 149,578
----------
COMMERCIAL BANKS 4.9%
Anglo Irish Bancorp PLC ............................................... Ireland 10,000 79,059
National Bank of Greece SA ............................................ Greece 3,000 142,587
----------
221,646
----------
CONSTRUCTION & ENGINEERING 2.6%
Boart Longyear Group .................................................. Australia 60,500 116,175
----------
DISTRIBUTORS 2.6%
Li & Fung Ltd. ........................................................ Hong Kong 34,000 116,145
----------
DIVERSIFIED FINANCIAL SERVICES 2.5%
Deutsche Boerse AG .................................................... Germany 990 113,482
----------
DIVERSIFIED TELECOMMUNICATION SERVICES 2.1%
Telenor ASA ........................................................... Norway 6,080 92,508
----------
ELECTRICAL EQUIPMENT 2.8%
ABB Ltd. .............................................................. Switzerland 4,700 124,903
----------
ENERGY EQUIPMENT & SERVICES 7.7%
Saipem SpA ............................................................ Italy 2,750 106,862
SBM Offshore NV ....................................................... Netherlands 3,100 69,754
(a) Wellstream Holdings PLC ............................................... United Kingdom 3,800 90,245
Worley Group Ltd. ..................................................... Australia 2,700 81,303
----------
348,164
----------
FOOD & STAPLES RETAILING 2.5%
Tesco PLC ............................................................. United Kingdom 15,600 111,452
----------
HEALTH CARE EQUIPMENT & SUPPLIES 10.1%
Cochlear Ltd. ......................................................... Australia 2,100 87,371
Essilor International SA .............................................. France 2,000 99,050
Getinge AB, B ......................................................... Sweden 5,600 130,355
Terumo Corp. .......................................................... Japan 2,700 139,623
----------
456,399
----------

Annual Report | 17

Franklin Global Trust

STATEMENT OF INVESTMENTS, JULY 31, 2008 (CONTINUED)

FRANKLIN INTERNATIONAL GROWTH FUND COUNTRY SHARES VALUE
---------------------------------- -------------- ------- ----------

COMMON STOCKS (CONTINUED)
HOTELS, RESTAURANTS & LEISURE 1.5%
Aristocrat Leisure Ltd. ............................................... Australia 15,000 $ 68,480
----------
HOUSEHOLD DURABLES 2.1%
(a) Urbi, Desarrollos Urbanos, SA de CV ................................... Mexico 28,000 92,754
----------
HOUSEHOLD PRODUCTS 3.2%
Reckitt Benckiser Group PLC ........................................... United Kingdom 2,600 142,356
----------
INSURANCE 2.2%
QBE Insurance Group Ltd. .............................................. Australia 4,600 97,814
----------
LEISURE EQUIPMENT & PRODUCTS 1.6%
Li Ning Co. Ltd. ...................................................... China 30,000 73,371
----------
LIFE SCIENCES TOOLS & SERVICES 2.4%
(a) QIAGEN NV ............................................................. Netherlands 5,600 107,059
----------
MEDIA 2.6%
(a) Eutelsat Communications ............................................... France 4,200 117,428
----------
PERSONAL PRODUCTS 2.5%
Hengan International Group Co. Ltd. ................................... China 37,000 112,639
----------
REAL ESTATE MANAGEMENT & DEVELOPMENT 4.4%
Hang Lung Properties Ltd. ............................................. Hong Kong 30,000 95,559
Hongkong Land Holdings Ltd. ........................................... Hong Kong 25,000 103,250
----------
198,809
----------
SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT 2.2%
ARM Holdings PLC ...................................................... United Kingdom 52,000 98,959
----------
SOFTWARE 2.2%
The Sage Group PLC .................................................... United Kingdom 25,000 97,086
----------
SPECIALTY RETAIL 2.0%
Esprit Holdings Ltd. .................................................. Hong Kong 8,500 91,358
----------
TEXTILES, APPAREL & LUXURY GOODS 2.2%
Luxottica Group SpA, ADR .............................................. Italy 4,000 98,320
----------
TRADING COMPANIES & DISTRIBUTORS 2.6%
Noble Group Ltd. ...................................................... Hong Kong 73,000 115,280
----------
WIRELESS TELECOMMUNICATION SERVICES 3.2%
America Movil SAB de CV, L, ADR ....................................... Mexico 2,900 146,421
----------
TOTAL COMMON STOCKS (COST $4,827,713) ................................. 4,239,790
----------

18 | Annual Report

Franklin Global Trust

STATEMENT OF INVESTMENTS, JULY 31, 2008 (CONTINUED)

FRANKLIN INTERNATIONAL GROWTH FUND COUNTRY SHARES VALUE
---------------------------------- -------------- ------- ----------

SHORT TERM INVESTMENT (COST $234,084) 5.2%
MONEY MARKET FUND 5.2%
(b) Franklin Institutional Fiduciary Trust Money Market Portfolio, 2.20% .. United States 234,084 $ 234,084
----------
TOTAL INVESTMENTS (COST $5,061,797) 99.4% ............................. 4,473,874
OTHER ASSETS, LESS LIABILITIES 0.6% ................................... 27,028
----------
NET ASSETS 100.0% ..................................................... $4,500,902
==========

SELECTED PORTFOLIO ABBREVIATION

ADR - American Depository Receipt

(a) Non-income producing for the twelve months ended July 31, 2008.

(b) See Note 7 regarding investments in the Franklin Institutional Fiduciary
Trust Money Market Portfolio. The rate shown is the annualized seven-day
yield at period end.

The accompanying notes are an integral part of these financial statements.
Annual Report | 19

Franklin Global Trust

FINANCIAL STATEMENTS

STATEMENT OF ASSETS AND LIABILITIES
July 31, 2008

FRANKLIN
INTERNATIONAL
GROWTH FUND
-------------

Assets:
Investments in securities:
Cost - Unaffiliated issuers ......................................... $4,827,713
Cost - Sweep Money Fund (Note 7) .................................... 234,084
----------
Total cost of investments ........................................... $5,061,797
==========
Value - Unaffiliated issuers ........................................ $4,239,790
Value - Sweep Money Fund (Note 7) ................................... 234,084
----------
Total value of investments ....................................... 4,473,874
Foreign currency, at value (cost $3,195) ............................... 3,325
Receivables:
Capital shares sold ................................................. 50
Dividends ........................................................... 5,232
Affiliates .......................................................... 36,118
Offering costs ......................................................... 70,406
----------
Total assets ..................................................... 4,589,005
----------
Liabilities:
Payables:
Registration fees ................................................... 77,021
Accrued expenses an d other liabilities ................................ 11,082
----------
Total liabilities ................................................ 88,103
----------
Net assets, at value .......................................... $4,500,902
----------
Net assets consist of:
Paid-in capital ........................................................ $5,144,647
Net unrealized appreciation (depreciation) ............................. (587,835)
Accumulated net realized gain (loss) ................................... (55,910)
----------
Net assets, at value .......................................... $4,500,902
==========

The accompanying notes are an integral part of these financial statements.
20 | Annual Report

Franklin Global Trust

FINANCIAL STATEMENTS (CONTINUED)

STATEMENT OF ASSETS AND LIABILITIES (CONTINUED)
July 31, 2008

FRANKLIN
INTERNATIONAL
GROWTH FUND
-------------

CLASS A:
Net assets, at value ................................................... $4,431,183
==========
Shares outstanding ..................................................... 509,070
==========
Net asset value per share(a)............................................ $ 8.70
==========
Maximum offering price per share (net asset value per share / 94.25) ... $ 9.23
==========
CLASS C:
Net assets, at value ................................................... $ 50,695
==========
Shares outstanding ..................................................... 5,832
==========
Net asset value and maximum offering price per share(a)................. $ 8.69
==========
CLASS R:
Net assets, at value ................................................... $ 8,702
==========
Shares outstanding ..................................................... 1,000
==========
Net asset value and maximum offering price per share(a) ................ $ 8.70
==========
ADVISOR CLASS:
Net assets, at value ................................................... $ 10,322
==========
Shares outstanding ..................................................... 1,185
==========
Net asset value and maximum offering price per share(a) ................ $ 8.71
==========

(a) Redemption price is equal to net asset value less contingent deferred sales
charges, if applicable, and redemption fee retained by the Fund.

The accompanying notes are an integral part of these financial statements.
Annual Report | 21

Franklin Global Trust

FINANCIAL STATEMENTS (CONTINUED)

STATEMENT OF OPERATIONS
for the period ended July 31, 2008(a)

FRANKLIN
INTERNATIONAL
GROWTH FUND
-------------

Investment income:
Dividends:
Unaffiliated issuers ................................................ $ 7,449
Sweep Money Fund (Note 7) ........................................... 1,080
Interest ............................................................... 984
---------
Total investment income .......................................... 9,513
---------
Expenses:
Management fees (Note 3a) .............................................. 5,365
Administrative fees (Note 3b) .......................................... 1,476
Distribution fees: (Note 3c)
Class A ............................................................. 2,182
Class C ............................................................. 79
Class R ............................................................. 7
Transfer agent fees .................................................... 114
Custodian fees (Note 4) ................................................ 67
Reports to shareholders ................................................ 4,241
Professional fees ...................................................... 27,137
Amortization of offering costs ......................................... 13,302
Other .................................................................. 846
---------
Total expenses ................................................... 54,816
Expenses waived/paid by affiliates (Note 3f) ..................... (44,086)
---------
Net expenses ..................................................... 10,730
---------
Net investment income (loss) .................................. (1,217)
---------
Realized and unrealized gains (losses):
Net realized gain (loss) from:
Investments ......................................................... (55,910)
Foreign currency transactions ....................................... (15,232)
---------
Net realized gain (loss) ...................................... (71,142)
---------
Net change in unrealized appreciation (depreciation) on:
Investments ......................................................... (587,923)
Translation of assets and liabilities denominated in foreign
currencies ....................................................... 88
---------
Net change in unrealized appreciation (depreciation) .......... (587,835)
---------
Net realized and unrealized gain (loss) ................................... (658,977)
---------
Net increase (decrease) in net assets resulting from operations ........... $(660,194)
=========

(a) For the period June 3, 2008 (commencement of operations) to July 31, 2008.

The accompanying notes are an integral part of these financial statements.
22 | Annual Report

Franklin Global Trust

FINANCIAL STATEMENTS (CONTINUED)

STATEMENT OF CHANGES IN NET ASSETS

FRANKLIN
INTERNATIONAL
GROWTH FUND
PERIOD ENDED
JULY 31, 2008(a)
----------------

Increase (decrease) in net assets:
Operations:
Net investment income (loss) ........................................ $ (1,217)
Net realized gain (loss) from investments and foreign currency
transactions ..................................................... (71,142)
Net change in unrealized appreciation (depreciation) on investments
and translation of assets and liabilities denominated in foreign
currencies ....................................................... (587,835)
-----------
Net increase (decrease) in net assets resulting from
operations .................................................... (660,194)
-----------
Capital share transactions: (Note 2)
Class A ............................................................. 5,081,470
Class C ............................................................. 57,826
Class R ............................................................. 10,000
Advisor Class ....................................................... 11,800
-----------
Total capital share transactions ....................................... 5,161,096
-----------
Net increase (decrease) in net assets ............................ 4,500,902
Net assets (there is no undistributed net investment income at end of
period):
Beginning of period .................................................... --
End of period .......................................................... $ 4,500,902
===========

(a) For the period June 3, 2008 (commencement of operations) to July 31, 2008.

The accompanying notes are an integral part of these financial statements.
Annual Report | 23

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS

FRANKLIN INTERNATIONAL GROWTH FUND

1. ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES

Franklin Global Trust (Trust) is registered under the Investment Company Act of
1940, as amended, (1940 Act) as an open-end investment company, consisting of
nine separate funds. The Franklin International Growth Fund (Fund) included in
this report is diversified. The financial statements of the remaining funds in
the Trust are presented separately. Effective June 3, 2008, the Fund commenced
operations offering four classes of shares: Class A, Class C, Class R, and
Advisor Class. Each class of shares differs by its initial sales load,
contingent deferred sales charges, distribution fees, voting rights on matters
affecting a single class and its exchange privilege.

The following summarizes the Fund's significant accounting policies.

A. SECURITY VALUATION

24 | Annual Report

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

FRANKLIN INTERNATIONAL GROWTH FUND

1. ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

B. FOREIGN CURRENCY TRANSLATION

C. FOREIGN CURRENCY CONTRACTS

D. INCOME TAXES

The Fund has reviewed the tax position as of July 31, 2008, and has determined
that no provision for income tax is required in the Fund's financial statements.

Annual Report | 25

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

FRANKLIN INTERNATIONAL GROWTH FUND

1. ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

E. SECURITY TRANSACTIONS, INVESTMENT INCOME, EXPENSES AND DISTRIBUTIONS

Security transactions are accounted for on trade date. Realized gains and losses
on security transactions are determined on a specific identification basis.
Interest income and estimated expenses are accrued daily. Dividend income is
recorded on the ex-dividend date except that certain dividends from foreign
securities are recognized as soon as the Fund is notified of the ex-dividend
date. Distributions to shareholders are recorded on the ex-dividend date and are
determined according to income tax regulations (tax basis). Distributable
earnings determined on a tax basis may differ from earnings recorded in
accordance with accounting principles generally accepted in the United States of
America. These differences may be permanent or temporary. Permanent differences
are reclassified among capital accounts to reflect their tax character. These
reclassifications have no impact on net assets or the results of operations.
Temporary differences are not reclassified, as they may reverse in subsequent
periods.

F. OFFERING COSTS

Offering costs are amortized on a straight line basis over twelve months.

G. ACCOUNTING ESTIMATES

H. GUARANTEES AND INDEMNIFICATIONS

26 | Annual Report

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

FRANKLIN INTERNATIONAL GROWTH FUND

2. SHARES OF BENEFICIAL INTEREST

At July 31, 2008, there were an unlimited number of shares authorized (without
par value). Transactions in the Fund's shares were as follows:

PERIOD ENDED
JULY 31, 2008(a)
--------------------
SHARES AMOUNT
------- ----------

CLASS A SHARES:
Shares sold .............. 511,562 $5,103,279
Shares redeemed .......... (2,492) (21,809)
------- ----------
Net increase (decrease) .. 509,070 $5,081,470
======= ==========
CLASS C SHARES:
Shares sold .............. 5,832 $ 57,826
------- ----------
Net increase (decrease) .. 5,832 $ 57,826
======= ==========
CLASS R SHARES:
Shares sold .............. 1,000 $ 10,000
------- ----------
Net increase (decrease) .. 1,000 $ 10,000
======= ==========
ADVISOR CLASS SHARES:
Shares sold .............. 1,185 $ 11,800
------- ----------
Net increase (decrease) .. 1,185 $ 11,800
======= ==========

(a) For the period June 3, 2008 (commencement of operations) to July 31, 2008.

3. TRANSACTIONS WITH AFFILIATES

SUBSIDIARY AFFILIATION
- ---------- ----------------------

Franklin Templeton Institutional, LLC (FT Institutional) Investment manager
Franklin Templeton Services, LLC (FT Services) Administrative manager
Franklin Templeton Distributors, Inc. (Distributors) Principal underwriter
Franklin Templeton Investor Services, LLC (Investor Services) Transfer agent

Annual Report | 27

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

FRANKLIN INTERNATIONAL GROWTH FUND

3. TRANSACTIONS WITH AFFILIATES (CONTINUED)

A. MANAGEMENT FEES

The Fund pays an investment management fee to FT Institutional based on the
average daily net assets of the Fund as follows:

ANNUALIZED FEE RATE NET ASSETS
- ------------------- -----------------------------------------------------

0.750% Up to and including $500 million
0.650% Over $500 million, up to and including $1 billion
0.600% Over $1 billion, up to and including $1.5 billion
0.550% Over $1.5 billion, up to and including $6.5 billion
0.525% Over $6.5 billion, up to and including $11.5 billion
0.500% Over $11.5 billion, up to and including $16.5 billion
0.490% Over $16.5 billion, up to and including $19 billion
0.480% Over $19 billion, up to and including $21.5 billion
0.470% In excess of $21.5 billion

B. ADMINISTRATIVE FEES

The Fund pays an administrative fee to FT Services of 0.20% per year of the
average daily net assets of the Fund.

C. DISTRIBUTION FEES

Class A ........... 0.35%
Class C ........... 1.00%
Class R ........... 0.50%

Distributors has agreed to limit the current rate to 0.30% per year for Class A
shares for the period of June 3, 2008 through January 31, 2009.

D. SALES CHARGES/UNDERWRITING AGREEMENTS

Distributors has advised the Fund of the following commission transactions
related to the sales and redemptions of the Fund's shares for the period:

Sales charges retained net of commissions paid to unaffiliated
broker/dealers ............................................ $301

28 | Annual Report

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

FRANKLIN INTERNATIONAL GROWTH FUND

3. TRANSACTIONS WITH AFFILIATES (CONTINUED)

E. TRANSFER AGENT FEES

For the period ended July 31, 2008, the Fund paid transfer agent fees of $114,
of which $84 was retained by Investor Services.

F. WAIVER AND EXPENSE REIMBURSEMENTS

FT Services and FT Institutional have agreed in advance to waive all or a
portion of their respective fees and to assume payment of other expenses through
June 2, 2009. Total expenses waived or paid are not subject to reimbursement by
the Fund subsequent to the Fund's fiscal year end. After June 2, 2009, FT
Services and FT Institutional may discontinue this waiver at any time upon
notice to the Fund's Board of Trustees.

G. OTHER AFFILIATED TRANSACTIONS

At July 31, 2008, Franklin Advisers, Inc. (an affiliate of the investment
manager) owned 96.70% of the Fund's outstanding shares.

4. EXPENSE OFFSET ARRANGEMENT

The Fund has entered into an arrangement with its custodian whereby credits
realized as a result of uninvested cash balances are used to reduce a portion of
the Fund's custodian expenses. During the period ended July 31, 2008, there were
no credits earned.

5. INCOME TAXES

For tax purposes, capital losses may be carried over to offset future capital
gains, if any. At July 31, 2008, the Fund had tax basis capital losses of
$53,986 expiring in 2016.

At July 31, 2008, the cost of investments and net unrealized appreciation
(depreciation) for income tax purposes were as follows:

Cost of investments ........................... $5,063,721
==========
Unrealized appreciation ....................... $ 6,580
Unrealized depreciation ....................... (596,427)
----------
Net unrealized appreciation (depreciation) .... $ (589,847)
==========

Net investment income (loss) differs for financial statement and tax purposes
primarily due to differing treatments of foreign currency transactions and
offering costs.

Net realized gains (losses) differ for financial statement and tax purposes
primarily due to differing treatments of wash sales and foreign currency
transactions.

Annual Report | 29

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

FRANKLIN INTERNATIONAL GROWTH FUND

6. INVESTMENT TRANSACTIONS

Purchases and sales of investments (excluding short term securities) for the
period ended July 31, 2008, aggregated $5,129,781 and $246,158, respectively.

7. INVESTMENTS IN FRANKLIN INSTITUTIONAL FIDUCIARY TRUST MONEY MARKET PORTFOLIO

The Fund may invest in the Franklin Institutional Fiduciary Trust Money Market
Portfolio (Sweep Money Fund), an open-end investment company managed by Franklin
Advisers, Inc. Management fees paid by the Fund are reduced on assets invested
in the Sweep Money Fund, in an amount not to exceed the management and
administrative fees paid by the Sweep Money Fund.

8. CONCENTRATION OF RISK

9. NEW ACCOUNTING PRONOUNCEMENTS

30 | Annual Report

Franklin Global Trust

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

FRANKLIN INTERNATIONAL GROWTH FUND

TO THE BOARD OF TRUSTEES AND SHAREHOLDERS OF FRANKLIN INTERNATIONAL GROWTH FUND

In our opinion, the accompanying statement of assets and liabilities, including
the statement of investments, and the related statements of operations and of
changes in net assets and the financial highlights present fairly, in all
material respects, the financial position of Franklin International Growth Fund
(a separate portfolio of Franklin Global Trust, hereafter referred to as the
"Fund") at July 31, 2008, and the results of its operations, the changes in its
net assets and the financial highlights for the period from June 3, 2008
(commencement of operations) through July 31, 2008, in conformity with
accounting principles generally accepted in the United States of America. These
financial statements and financial highlights (hereafter referred to as
"financial statements") are the responsibility of the Fund's management. Our
responsibility is to express an opinion on these financial statements based on
our audit. We conducted our audit of these financial statements in accordance
with the standards of the Public Company Accounting Oversight Board (United
States). Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements, assessing the
accounting principles used and significant estimates made by management, and
evaluating the overall financial statement presentation. We believe that our
audit, which included confirmation of securities at July 31, 2008 by
correspondence with the custodian, provides a reasonable basis for our opinion.

PricewaterhouseCoopers LLP

San Francisco, California
September 17, 2008

Annual Report | 31

Franklin Global Trust

BOARD MEMBERS AND OFFICERS

INDEPENDENT BOARD MEMBERS

NUMBER OF PORTFOLIOS IN
NAME, YEAR OF BIRTH LENGTH OF FUND COMPLEX OVERSEEN
AND ADDRESS POSITION TIME SERVED BY BOARD MEMBER* OTHER DIRECTORSHIPS HELD
- ------------------- -------------- ------------- ----------------------- ---------------------------------------

HARRIS J. ASHTON (1932) Trustee Since 2000 143 Bar-S Foods (meat packing company).
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

ROBERT F. CARLSON (1928) Trustee Since 2000 122 None
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

SAM GINN (1937) Trustee Since 2007 122 Chevron Corporation (global energy
One Franklin Parkway company) and ICO Global Communications
San Mateo, CA 94403-1906 (Holdings) Limited (satellite company).

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

EDITH E. HOLIDAY (1952) Trustee Since 2000 143 Hess Corporation (exploration and
One Franklin Parkway refining of oil and gas), H.J. Heinz
San Mateo, CA 94403-1906 Company (processed foods and allied
products), RTI International Metals,
Inc. (manufacture and distribution of
titanium), Canadian National Railway
(railroad) and White Mountains
Insurance Group, Ltd. (holding
company).

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

32 | Annual Report

NUMBER OF PORTFOLIOS IN
NAME, YEAR OF BIRTH LENGTH OF FUND COMPLEX OVERSEEN
AND ADDRESS POSITION TIME SERVED BY BOARD MEMBER* OTHER DIRECTORSHIPS HELD
- ------------------- -------------- ------------- ----------------------- ---------------------------------------

FRANK W.T. LAHAYE (1929) Trustee Since 2000 122 Center for Creative Land Recycling
One Franklin Parkway (brownfield redevelopment).
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

General Partner, Las Olas L.P. (Asset Management); and FORMERLY, Chairman,
Peregrine Venture Management Company (venture capital).

FRANK A. OLSON (1932) Trustee Since 2005 143 Hess Corporation (exploration and
One Franklin Parkway refining of oil and gas) and Sentient
San Mateo, CA 94403-1906 Jet (private jet service).

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

LARRY D. THOMPSON (1945) Trustee Since 2007 143 None
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

JOHN B. WILSON (1959) Lead Trustee since 122 None
One Franklin Parkway Independent 2006 and Lead
San Mateo, CA 94403-1906 Trustee Independent
Trustee since
January 2008

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

INTERESTED BOARD MEMBERS AND OFFICERS

NUMBER OF PORTFOLIOS IN
NAME, YEAR OF BIRTH LENGTH OF FUND COMPLEX OVERSEEN
AND ADDRESS POSITION TIME SERVED BY BOARD MEMBER* OTHER DIRECTORSHIPS HELD
- ------------------- -------------- ------------- ----------------------- ---------------------------------------

**CHARLES B. JOHNSON (1933) Trustee and Since 2000 143 None
One Franklin Parkway Chairman of
San Mateo, CA 94403-1906 the Board

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Annual Report | 33

NUMBER OF PORTFOLIOS IN
NAME, YEAR OF BIRTH LENGTH OF FUND COMPLEX OVERSEEN
AND ADDRESS POSITION TIME SERVED BY BOARD MEMBER* OTHER DIRECTORSHIPS HELD
- ------------------- -------------- ------------- ----------------------- ---------------------------------------

**GREGORY E. JOHNSON (1961) Trustee Since 2007 94 None
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

JAMES M. DAVIS (1952) Chief Chief Not Applicable Not Applicable
One Franklin Parkway Compliance Compliance
San Mateo, CA 94403-1906 Officer and Officer since
Vice President 2004 and Vice
- AML President
Compliance - AML
Compliance
since 2006

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

LAURA F. FERGERSON (1962) Treasurer, Treasurer Not Applicable Not Applicable
One Franklin Parkway Chief since
San Mateo, CA 94403-1906 Financial 2004, Chief
Officer and Financial
Chief Officer
Accounting and Chief
Officer Accounting
Officer since
February 2008

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

JIMMY D. GAMBILL (1947) Vice President Since Not Applicable Not Applicable
February 2008
500 East Broward Blvd.
Suite 2100
Fort Lauderdale, FL 33394-3091

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

34 | Annual Report

NUMBER OF PORTFOLIOS IN
NAME, YEAR OF BIRTH LENGTH OF FUND COMPLEX OVERSEEN
AND ADDRESS POSITION TIME SERVED BY BOARD MEMBER* OTHER DIRECTORSHIPS HELD
- ------------------- -------------- ------------- ----------------------- ---------------------------------------

DAVID P. GOSS (1947) Vice President Since 2000 Not Applicable Not Applicable
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

EDWARD B. JAMIESON (1948) Vice President Since 2000 Not Applicable Not Applicable
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

RUPERT H. JOHNSON, JR. (1940) President and President Not Applicable Not Applicable
One Franklin Parkway Chief since 2000
San Mateo, CA 94403-1906 Executive and Chief
Officer - Executive
Investment Officer
Management - Investment
Management
since 2002

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

CHRISTOPHER J. MOLUMPHY (1962) Vice President Since 2000 Not Applicable Not Applicable
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

KAREN L. SKIDMORE (1952) Vice President Since 2006 Not Applicable Not Applicable
One Franklin Parkway and Secretary
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Senior Associate General Counsel, Franklin Templeton Investments; and officer of
30 of the investment companies in Franklin Templeton Investments.

Annual Report | 35

NUMBER OF PORTFOLIOS IN
NAME, YEAR OF BIRTH LENGTH OF FUND COMPLEX OVERSEEN
AND ADDRESS POSITION TIME SERVED BY BOARD MEMBER* OTHER DIRECTORSHIPS HELD
- ------------------- -------------- ------------- ----------------------- ---------------------------------------

CRAIG S. TYLE (1960) Vice President Since 2005 Not Applicable Not Applicable
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

GALEN G. VETTER (1951) Senior Vice Since Not Applicable Not Applicable
500 East Broward Blvd. President and February 2008
Suite 2100 Chief
Fort Lauderdale, FL 33394-3091 Executive
Officer -
Finance and
Administration

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Note 1: Charles B. Johnson and Rupert H. Johnson, Jr. are brothers and the
father and uncle, respectively, of Gregory E. Johnson.

Note 2: Officer information is current as of the date of this report. It is
possible that after this date, information about officers may change.

36 | Annual Report

Franklin Global Trust

SHAREHOLDER INFORMATION

FRANKLIN INTERNATIONAL GROWTH FUND

PROXY VOTING POLICIES AND PROCEDURES

QUARTERLY STATEMENT OF INVESTMENTS

Annual Report | 37

This page intentionally left blank.

(FRANKLIN TEMPLETON INVESTMENTS(R) LOGO) One Franklin Parkway
San Mateo, CA 94403-1906

WANT TO RECEIVE THIS DOCUMENT FASTER VIA EMAIL?

Eligible shareholders can sign up for eDelivery at franklintempleton.com. See
inside for details.

ANNUAL REPORT AND SHAREHOLDER LETTER

FRANKLIN INTERNATIONAL GROWTH FUND

INVESTMENT MANAGER

Franklin Templeton Institutional, LLC

DISTRIBUTOR

Franklin Templeton Distributors, Inc.
1-800/DIAL BEN(R)
franklintempleton.com

SHAREHOLDER SERVICES

1-800/632-2301

429 A2008 09/08

FRANKLIN GLOBAL REAL ESTATE FUND

(GRAPHIC)

JULY 31, 2008

A series of Franklin Global Trust

ANNUAL REPORT AND SHAREHOLDER LETTER

FRANKLIN GLOBAL
REAL ESTATE FUND

SECTOR

WANT TO RECEIVE THIS DOCUMENT FASTER VIA EMAIL?

Eligible shareholders can sign up for eDelivery at franklintempleton.com. See
inside for details.

(FRANKLIN TEMPLETON INVESTMENTS(R) LOGO)

FRANKLIN - Templeton - Mutual Series

Annual Report

Franklin Global Real Estate Fund

YOUR FUND'S GOAL AND MAIN INVESTMENTS: Franklin Global Real Estate Fund seeks
high total return. Under normal market conditions, the Fund will invest at least
80% of its net assets in securities of companies located anywhere in the world
that operate in the real estate sector, including mainly real estate investment
trusts (REITs) and REIT-like entities.(1)

PERFORMANCE DATA REPRESENT PAST PERFORMANCE, WHICH DOES NOT GUARANTEE FUTURE
RESULTS. INVESTMENT RETURN AND PRINCIPAL VALUE WILL FLUCTUATE, AND YOU MAY HAVE
A GAIN OR LOSS WHEN YOU SELL YOUR SHARES. CURRENT PERFORMANCE MAY DIFFER FROM
FIGURES SHOWN. PLEASE VISIT FRANKLINTEMPLETON.COM OR CALL 1-800/342-5236 FOR
MOST RECENT MONTH-END PERFORMANCE.

PORTFOLIO BREAKDOWN

Based on Total Net Assets as of 7/31/08

(PIE CHART)

- - Real Estate Investment Trusts ............... 95.4%
- - Real Estate Management & Development ........ 1.2%
- - Short-Term Investments & Other Net Assets ... 3.4%

This annual report for Franklin Global Real Estate Fund covers the fiscal year
ended July 31, 2008.

PERFORMANCE OVERVIEW

Franklin Global Real Estate Fund - Class A had a -18.77% cumulative total return
for the 12 months under review. The Fund underperformed its benchmark, the
Standard & Poor's (S&P)/Citigroup BMI Global REIT Index

(1.) REITs are real estate investment trust companies, usually with publicly
traded stock, that manage a portfolio of income-producing real estate
properties such as apartments, hotels, industrial properties, office
buildings or shopping centers. The Fund predominantly invests in "equity"
REITs, which also take ownership positions in real estate. Shareholders of
equity REITs generally receive income from rents received and receive
capital gains when properties are sold at a profit. REITs are generally
operated by experienced property management teams and typically concentrate
on a specific geographic region or property type.

THE DOLLAR VALUE, NUMBER OF SHARES OR PRINCIPAL AMOUNT, AND NAMES OF ALL
PORTFOLIO HOLDINGS ARE LISTED IN THE FUND'S STATEMENT OF INVESTMENTS (SOI). THE
SOI BEGINS ON PAGE 16.

Annual Report | 3

GEOGRAPHIC BREAKDOWN

Based on Total Net Assets as of 7/31/08

(FLOW CHART)

U.S. 52.7%
Australia 14.8%
U.K. 9.1%
Japan 6.2%
France 5.5%
Netherlands 2.0%
Canada 1.9%
Singapore 1.6%
Hong Kong 1.3%
Belgium 0.9%
South Africa 0.6%
Short-Term Investments & Other Net Assets 3.4%

(hedged into U.S. dollars), which had a -17.07% return for the same period.
(2) You can find more of the Fund's performance data in the Performance Summary
beginning on page 7.

ECONOMIC AND MARKET OVERVIEW

During the period under review, commercial real estate markets continued to
suffer from deteriorating credit markets and fundamentals. In local currency
terms, as measured by the S&P/Citigroup BMI Global REIT Index (hedged into U.S.
dollars), the worst performing real estate market was Turkey's, with a -47.31%
total return, followed closely by Greece with a -45.28% total return.(2)
Australia's REIT market declined 37.43%, and Japan's fell 32.34%.(2) The market
sell-off hurt most other REIT markets as well: -27.77% in the U.K., -21.57% in
Singapore, -20.38% in France, and -16.65% in New Zealand.(2) Meanwhile, only a
few REIT markets remained relatively stable: Hong Kong rose 5.61% and Taiwan's
market was up 2.03%.(2) Italy and the U.S., although in negative territory,
declined just 1.79% and 4.16%.(2)

INVESTMENT STRATEGY

We are research-driven, fundamental investors. We seek to limit price volatility
by investing across markets and property types. We also seek to provide a high
level of income. We center our active investment strategy on the belief that
unsynchronized regional economic activity within the global economy can provide
consistent, attractive return opportunities in the global real estate markets.
We use a bottom-up, value-oriented stock selection process that incorporates
macro level views in the evaluation process. We use top-down macro overlays to
provide country/regional, property type, and company size perspectives in
identifying international/local cyclical and thematic trends that highlight
investment opportunities. We will seek to manage the Fund's exposure to various
currencies, and we will generally seek to hedge (protect) against currency risk,
largely by using forward currency exchange contracts.

(2.) Source: (C) 2008 Morningstar. All Rights Reserved. The information
contained herein: (1) is proprietary to Morningstar and/or its content
providers; (2) may not be copied or distributed; and (3) is not warranted
to be accurate, complete or timely. Neither Morningstar nor its content
providers are responsible for any damages or losses arising from any use of
this information. The S&P/Citigroup BMI Global REIT Index is designed to
measure performance of the investible universe of publicly traded REITs.
Index constituents generally derive more than 60% of revenue from real
estate development, management, rental, and/or direct investment in
physical property and with local REIT or property trust tax status. Local
property returns are from country subindexes of the S&P/Citigroup BMI
Global REIT Index. The index is unmanaged and includes reinvested
dividends. One cannot invest directly in an index, nor is an index
representative of the Fund's portfolio.

4 | Annual Report

MANAGER'S DISCUSSION

During the 12 months under review, the Fund's major detractors from performance
relative to the S&P/Citigroup BMI Global REIT Index (hedged into U.S. dollars)
included Valad Properties, Charter Hall and Eurosic (not part of the index; sold
by period-end). Valad Properties and Charter Hall are Australian REITs whose
fund management model suffered amid the credit crisis and the collapse of the
country's Centro Properties Group. Both companies were expanding rapidly during
the first half of the period by raising retail and institutional funds to invest
in properties. Valad acquired U.K. property company Scarborough in June 2007,
just before a downturn in the U.K. commercial real estate market. In December
2007, a competitor with a similar business model, Centro Properties, suspended
its dividend as it failed to renew a bridge loan, which negatively affected the
overall market. REITs with large fund management platforms, such as Valad and
Charter Hall, suffered as retail and institutional investors shied away from
investing in new real estate funds, therefore hampering the companies' earnings
growth. The Fund's exposure to Eurosic, a French office property company, also
hurt performance. The company owns several properties in Paris, as well as
business parks in nearby areas. Declining office values in Paris during the
period had a negative impact on Eurosic's existing property valuations.

Investors should note that we maintained our currency hedging position of being
hedged to the U.S. dollar versus most of our non-U.S. holdings. Since the dollar
was generally weaker against foreign currencies during the Fund's fiscal year,
the portfolio returns would have been higher had we not hedged the foreign
currency exposure.

In contrast, several Fund holdings performed well relative to the index. The
Fund benefited from overweighted positions in U.S. health care REITs Nationwide
Health Properties and Ventas, as well as U.S. apartment REIT Equity Residential.
Nationwide Health Properties owns more than 500 skilled nursing and medical
office building facilities. The company benefited from operating leverage and
recently acquired a large portfolio of medical office buildings, which generally
are not economically sensitive. Ventas also owns more than 500 health
care-related properties, mainly assisted- or independent-living facilities.
Ventas benefited from its exposure to these properties through its relationship
with Kindred Healthcare, as well as its recent purchase of Sunrise Assisted
Living REIT. In addition, the company has generated above-average returns on
capital. Equity Residential, the largest U.S. apartment REIT owner, operator and
developer, rebounded strongly midway through the period. The company benefited
from the fact that many prospective home buyers, deterred by sharply falling
home prices, remained in the rental market. We sold some shares in Nationwide
Health Properties and Equity Residential near their share-price highs during the
period.

TOP 10 HOLDINGS

7/31/08

COMPANY % OF TOTAL
SECTOR/INDUSTRY, COUNTRY NET ASSETS
- ------------------------ ----------

Westfield Group 6.3%
EQUITY REIT - RETAIL, AUSTRALIA
Simon Property Group Inc. 5.0%
EQUITY REIT - RETAIL, U.S.
Unibail-Rodamco 4.0%
EQUITY REIT - RETAIL, FRANCE
Vornado Realty Trust 3.4%
EQUITY REIT - DIVERSIFIED PROPERTY, U.S.
ProLogis 3.3%
EQUITY REIT - INDUSTRIAL, U.S.
Equity Residential 3.2%
EQUITY REIT - APARTMENTS, U.S.
Land Securities Group PLC 3.1%
EQUITY REIT - RETAIL, U.K.
Boston Properties Inc. 3.1%
EQUITY REIT - OFFICE, U.S.
Public Storage 2.8%
EQUITY REIT - STORAGE, U.S.
Kimco Realty Corp. 2.5%
EQUITY REIT - RETAIL, U.S.

Annual Report | 5

Thank you for your continued participation in Franklin Global Real Estate Fund.
We look forward to serving your future investment needs.

(PHOTO OF JOHN W. FOSTER)

/s/ John W. Foster
John W. Foster

(PHOTO OF BORIS E. PIALLOUX)

/s/ Boris E. Pialloux)
Boris E. Pialloux, CFA

(PHOTO OF DAVID LEVY)

/s/ David Levy
David Levy

Portfolio Management Team
Franklin Global Real Estate Fund

6 | Annual Report

Performance Summary as of 7/31/08

Your dividend income will vary depending on dividends or interest paid by
securities in the Fund's portfolio, adjusted for operating expenses of each
class. Capital gain distributions are net profits realized from the sale of
portfolio securities. The performance table and graphs do not reflect any taxes
that a shareholder would pay on Fund dividends, capital gain distributions, if
any, or any realized gains on the sale of Fund shares. Total return reflects
reinvestment of the Fund's dividends and capital gain distributions, if any, and
any unrealized gains or losses.

PRICE AND DISTRIBUTION INFORMATION

CLASS A (SYMBOL: FAGRX) CHANGE 7/31/08 7/31/07
- ----------------------- ------ ------- -------

Net Asset Value (NAV) -$2.35 $8.52 $ 10.87
DISTRIBUTIONS (8/1/07-7/31/08)
Dividend Income $0.3433
Short-Term Capital Gain $0.0003
Long-Term Capital Gain $0.0008
TOTAL $0.3444

CLASS C (SYMBOL: N/A) CHANGE 7/31/08 7/31/07
- --------------------- ------ ------- -------

Net Asset Value (NAV) -$2.34 $8.48 $10.82
DISTRIBUTIONS (8/1/07-7/31/08)
Dividend Income $0.2794
Short-Term Capital Gain $0.0003
Long-Term Capital Gain $0.0008
TOTAL $0.2805

ADVISOR CLASS (SYMBOL: FVGRX) CHANGE 7/31/08 7/31/07
- ----------------------------- ------ ------- -------

Net Asset Value (NAV) -$2.36 $8.53 $10.89
DISTRIBUTIONS (8/1/07-7/31/08)
Dividend Income $0.3776
Short-Term Capital Gain $0.0003
Long-Term Capital Gain $0.0008
TOTAL $0.3787

Annual Report | 7

Performance Summary (CONTINUED)

PERFORMANCE(1)

CUMULATIVE TOTAL RETURN EXCLUDES SALES CHARGES. AVERAGE ANNUAL TOTAL RETURNS AND
VALUE OF $10,000 INVESTMENT INCLUDE MAXIMUM SALES CHARGES. CLASS A: 5.75%
MAXIMUM INITIAL SALES CHARGE; CLASS C: 1% CONTINGENT DEFERRED SALES CHARGE IN
FIRST YEAR ONLY; ADVISOR CLASS: NO SALES CHARGES.

COMMENCEMENT
OF OPERATIONS
CLASS A 1-YEAR (6/16/06)
- ------- ------- -------------

Cumulative Total Return(2) -18.77% -8.70%
Average Annual Total Return(3) -23.43% -6.83%
Value of $10,000 Investment(4) $ 7,657 $8,605
Avg. Ann. Total Return (6/30/08)(5) -29.08% -7.32%
Total Annual Operating Expenses(6)
Without Waiver 1.85%
With Waiver 1.40%

COMMENCEMENT
OF OPERATIONS
CLASS C 1-YEAR (6/16/06)
- ------- ------- -------------

Cumulative Total Return(2) -19.31% -9.95%
Average Annual Total Return(3) -20.09% -4.82%
Value of $10,000 Investment(4) $ 7,991 $9,005
Avg. Ann. Total Return (6/30/08)(5) -25.99% -5.18%
Total Annual Operating Expenses(6)
Without Waiver 2.50%
With Waiver 2.05%

COMMENCEMENT
OF OPERATIONS
ADVISOR CLASS 1-YEAR (6/16/06)
- ------------- ------- -------------

Cumulative Total Return(2) -18.55% -8.09%
Average Annual Total Return(3) -18.55% -3.90%
Value of $10,000 Investment(4) $ 8,145 $9,191
Avg. Ann. Total Return (6/30/08)(5) -24.46% -4.22%
Total Annual Operating Expenses(6)
Without Waiver 1.50%
With Waiver 1.05%

PERFORMANCE DATA REPRESENT PAST PERFORMANCE, WHICH DOES NOT GUARANTEE FUTURE
RESULTS. INVESTMENT RETURN AND PRINCIPAL VALUE WILL FLUCTUATE, AND YOU MAY HAVE
A GAIN OR LOSS WHEN YOU SELL YOUR SHARES. CURRENT PERFORMANCE MAY DIFFER FROM
FIGURES SHOWN. FOR MOST RECENT MONTH-END PERFORMANCE, SEE "FUNDS AND
PERFORMANCE" AT FRANKLINTEMPLETON.COM OR CALL 1-800/342-5236.

THE INVESTMENT MANAGER AND ADMINISTRATOR HAVE CONTRACTUALLY AGREED TO WAIVE OR
LIMIT THEIR RESPECTIVE FEES AND TO ASSUME AS THEIR OWN EXPENSE CERTAIN EXPENSES
OTHERWISE PAYABLE BY THE FUND SO THAT TOTAL ANNUAL FUND OPERATING EXPENSES DO
NOT EXCEED THE AMOUNT SHOWN WITH WAIVER FOR EACH SHARE CLASS (OTHER THAN CERTAIN
NON-ROUTINE EXPENSES OR COSTS, INCLUDING THOSE RELATED TO LITIGATION,
INDEMNIFICATION, REORGANIZATIONS AND LIQUIDATIONS) UNTIL 11/30/08.

8 | Annual Report

Performance Summary (CONTINUED)

TOTAL RETURN INDEX COMPARISON FOR HYPOTHETICAL $10,000 INVESTMENT(1)

Total return represents the change in value of an investment over the periods
shown. It includes any applicable maximum sales charge, Fund expenses, account
fees and reinvested distributions. The unmanaged index includes reinvestment of
any income or distributions. It differs from the Fund in composition and does
not pay management fees or expenses. One cannot invest directly in an index.

CLASS A (6/16/06-7/31/08)

(PERFORMANCE GRAPH)

FRANKLIN GLOBAL REAL S&P/CITIGROUP BMI
DATE ESTATE FUND - CLASS A GLOBAL REIT INDEX
- -------------- --------------------- -----------------

6/16/2006 $ 9,425 $10,000
6/30/2006 $ 9,566 $10,217
7/31/2006 $ 9,736 $10,568
8/31/2006 $ 9,981 $10,950
9/30/2006 $10,160 $11,253
10/31/2006 $10,631 $11,796
11/30/2006 $10,980 $12,344
12/31/2006 $11,349 $12,514
1/31/2007 $11,920 $13,403
2/28/2007 $11,939 $13,298
3/31/2007 $11,933 $13,187
4/30/2007 $11,991 $13,162
5/31/2007 $12,283 $13,303
6/30/2007 $11,385 $12,198
7/31/2007 $10,595 $11,338
8/31/2007 $10,848 $11,907
9/30/2007 $11,145 $12,196
10/31/2007 $11,135 $12,172
11/30/2007 $10,298 $11,197
12/31/2007 $ 9,975 $10,738
1/31/2008 $ 9,433 $10,318
2/29/2008 $ 9,161 $10,043
3/31/2008 $ 9,402 $10,284
4/30/2008 $ 9,713 $10,679
5/31/2008 $ 9,502 $10,461
6/30/2008 $ 8,564 $ 9,323
7/31/2008 $ 8,605 $ 9,402
Total Returns -13.95% -5.98%

AVERAGE ANNUAL TOTAL RETURN

CLASS A 7/31/08
- ------- -------

1-Year -23.43%
Commencement Of Operations
(6/16/06) -6.83%

CLASS C (6/16/06-7/31/08)

(PERFORMANCE GRAPH)

FRANKLIN GLOBAL REAL S&P/CITIGROUP BMI
DATE ESTATE FUND - CLASS C GLOBAL REIT INDEX
- --------------- --------------------- -----------------

6/16/2006 $10,000 $10,000
6/30/2006 $10,150 $10,217
7/31/2006 $10,320 $10,568
8/31/2006 $10,580 $10,950
9/30/2006 $10,770 $11,253
10/31/2006 $11,260 $11,796
11/30/2006 $11,620 $12,344
12/31/2006 $12,004 $12,514
1/31/2007 $12,598 $13,403
2/28/2007 $12,618 $13,298
3/31/2007 $12,599 $13,187
4/30/2007 $12,651 $13,162
5/31/2007 $12,949 $13,303
6/30/2007 $12,005 $12,198
7/31/2007 $11,159 $11,338
8/31/2007 $11,428 $11,907
9/30/2007 $11,729 $12,196
10/31/2007 $11,707 $12,172
11/30/2007 $10,833 $11,197
12/31/2007 $10,481 $10,738
1/31/2008 $ 9,898 $10,318
2/29/2008 $ 9,612 $10,043
3/31/2008 $ 9,855 $10,284
4/30/2008 $10,183 $10,679
5/31/2008 $ 9,950 $10,461
6/30/2008 $ 8,971 $ 9,323
7/31/2008 $ 9,005 $ 9,402
Total Returns -9.95% -5.98%

AVERAGE ANNUAL TOTAL RETURN

CLASS C 7/31/08
- ------- -------

1-Year -20.09%
Commencement Of Operations
(6/16/06) -4.82%

Annual Report | 9

Performance Summary (CONTINUED)

AVERAGE ANNUAL TOTAL RETURN

ADVISOR CLASS 7/31/08
- ------------- -------

1-Year -18.55%
Commencement Of Operations
(6/16/06) -3.90%

ADVISOR CLASS (6/16/06-7/31/08)

(PERFORMANCE GRAPH)

FRANKLIN GLOBAL REAL
ESTATE FUND S&P/CITIGROUP BMI
DATE - ADVISOR CLASS GLOBAL REIT INDEX
- -------------- --------------------- -----------------

6/16/2006 $10,000 $10,000
6/30/2006 $10,160 $10,217
7/31/2006 $10,340 $10,568
8/31/2006 $10,599 $10,950
9/30/2006 $10,789 $11,253
10/31/2006 $11,289 $11,796
11/30/2006 $11,669 $12,344
12/31/2006 $12,060 $12,514
1/31/2007 $12,676 $13,403
2/28/2007 $12,707 $13,298
3/31/2007 $12,696 $13,187
4/30/2007 $12,759 $13,162
5/31/2007 $13,079 $13,303
6/30/2007 $12,123 $12,198
7/31/2007 $11,283 $11,338
8/31/2007 $11,563 $11,907
9/30/2007 $11,875 $12,196
10/31/2007 $11,864 $12,172
11/30/2007 $10,985 $11,197
12/31/2007 $10,638 $10,738
1/31/2008 $10,060 $10,318
2/29/2008 $9,782 $10,043
3/31/2008 $10,028 $10,284
4/30/2008 $10,371 $10,679
5/31/2008 $10,146 $10,461
6/30/2008 $ 9,158 $ 9,323
7/31/2008 $ 9,191 $ 9,402
Total Returns -8.09% -5.98%

ENDNOTES

INVESTING IN A NONDIVERSIFIED GLOBAL FUND CONCENTRATING IN REAL ESTATE
SECURITIES INVOLVES SPECIAL RISKS, SUCH AS DECLINES IN THE VALUE OF REAL ESTATE
AS WELL AS INCREASED SUSCEPTIBILITY TO ADVERSE ECONOMIC, POLITICAL OR REGULATORY
DEVELOPMENTS AFFECTING THE INDUSTRY. FOREIGN INVESTING, ESPECIALLY IN EMERGING
MARKETS, INVOLVES ADDITIONAL RISKS SUCH AS CURRENCY AND MARKET VOLATILITY, AS
WELL AS POLITICAL AND SOCIAL INSTABILITY. THE FUND'S PROSPECTUS ALSO INCLUDES A
DESCRIPTION OF THE MAIN INVESTMENT RISKS.

CLASS C: These shares have higher annual fees and expenses than Class A shares.

ADVISOR CLASS: Shares are available to certain eligible investors as described
in the prospectus.

(1.) If the manager and administrator had not waived fees, the Fund's total
returns would have been lower.

(2.) Cumulative total return represents the change in value of an investment
over the periods indicated.

(3.) Average annual total return represents the average annual change in value
of an investment over the periods indicated.

(4.) These figures represent the value of a hypothetical $10,000 investment in
the Fund over the periods indicated.

(5.) In accordance with SEC rules, we provide standardized average annual total
return information through the latest calendar quarter.

(6.) Figures are as stated in the Fund's prospectus current as of the date of
this report.

(7.) Source: (C) 2008 Morningstar. The S&P/Citigroup BMI Global REIT Index
(hedged into U.S. dollars) is designed to measure performance of the
investible universe of publicly traded REITs. Index constituents generally
derive more than 60% of revenue from real estate development, management,
rental, and/or direct investment in physical property and with local REIT
or property trust tax status.

10 | Annual Report

Your Fund's Expenses

As a Fund shareholder, you can incur two types of costs:

- - Transaction costs, including sales charges (loads) on Fund purchases and
redemption fees; and

- - Ongoing Fund costs, including management fees, distribution and service
(12b-1) fees, and other Fund expenses. All mutual funds have ongoing costs,
sometimes referred to as operating expenses.

ACTUAL FUND EXPENSES

You can estimate the expenses you paid during the period by following these
steps. OF COURSE, YOUR ACCOUNT VALUE AND EXPENSES WILL DIFFER FROM THOSE IN THIS
ILLUSTRATION:

1. Divide your account value by $1,000.

IF AN ACCOUNT HAD AN $8,600 VALUE, THEN $8,600 / $1,000 = 8.6.

2. Multiply the result by the number under the heading "Expenses Paid During
Period."

IF EXPENSES PAID DURING PERIOD WERE $7.50, THEN 8.6 X $7.50 = $64.50.

In this illustration, the estimated expenses paid this period are $64.50.

HYPOTHETICAL EXAMPLE FOR COMPARISON WITH OTHER FUNDS

Annual Report | 11

Your Fund's Expenses (CONTINUED)

PLEASE NOTE THAT EXPENSES SHOWN IN THE TABLE ARE MEANT TO HIGHLIGHT ONGOING
COSTS AND DO NOT REFLECT ANY TRANSACTION COSTS, SUCH AS SALES CHARGES OR
REDEMPTION FEES. Therefore, the second line for each class is useful in
comparing ongoing costs only, and will not help you compare total costs of
owning different funds. In addition, if transaction costs were included, your
total costs would have been higher. Please refer to the Fund prospectus for
additional information on operating expenses.

BEGINNING ACCOUNT ENDING ACCOUNT EXPENSES PAID DURING
VALUE 2/1/08 VALUE 7/31/08 PERIOD* 2/1/08-7/31/08
----------------- -------------- ----------------------

CLASS A
Actual $1,000 $ 912.20 $ 6.47
Hypothetical (5% return before expenses) $1,000 $1,018.10 $ 6.82
CLASS C
Actual $1,000 $ 909.60 $ 9.64
Hypothetical (5% return before expenses) $1,000 $1,014.77 $10.17
ADVISOR CLASS
Actual $1,000 $ 913.50 $ 5.00
Hypothetical (5% return before expenses) $1,000 $1,019.64 $ 5.27

* Expenses are calculated using the most recent six-month expense ratio, net
of expense waivers, annualized for each class (A: 1.36%; C: 2.03%; and
Advisor: 1.05%), multiplied by the average account value over the period,
multiplied by 182/366 to reflect the one-half year period.

12 | Annual Report

Franklin Global Trust

FINANCIAL HIGHLIGHTS

FRANKLIN GLOBAL REAL ESTATE FUND

YEAR ENDED JULY 31,
-------------------------------
CLASS A 2008 2007 2006(a)
- ------- ------- ------- -------

PER SHARE OPERATING PERFORMANCE
(for a share outstanding throughout the year)
Net asset value, beginning of year ................. $ 10.87 $ 10.33 $10.00
------- ------- ------
Income from investment operations(b):
Net investment income(c) ........................ 0.26 0.35 0.03
Net realized and unrealized gains (losses) ...... (2.27) 0.59 0.30
------- ------- ------
Total from investment operations ................... (2.01) 0.94 0.33
------- ------- ------
Less distributions from:
Net investment income ........................... (0.34) (0.37) --
Net realized gains .............................. --(d) (0.03) --
------- ------- ------
Total distributions ................................ (0.34) (0.40) --
------- ------- ------
Redemption fees .................................... --(d) --(d) --
------- ------- ------
Net asset value, end of year ....................... $ 8.52 $ 10.87 $10.33
======= ======= ======
Total return(e) .................................... (18.77)% 8.81% 3.30%
RATIOS TO AVERAGE NET ASSETS(f)
Expenses before waiver and payments by affiliates
and expense reduction ........................... 1.61% 1.86% 6.25%
Expenses net of waiver and payments by
affiliates ...................................... 1.39% 1.41% 2.09%
Expenses net of waiver and payments by affiliates
and expense reduction ........................... 1.38% 1.40% 1.40%
Net investment income .............................. 2.69% 2.94% 2.21%
SUPPLEMENTAL DATA
Net assets, end of year (000's) .................... $29,038 $33,409 $5,488
Portfolio turnover rate ............................ 92.64% 81.30% 13.57%

(a) For the period June 16, 2006 (commencement of operations) to July 31, 2006.

(d) Amount rounds to less than $0.01 per share.

(e) Total return does not reflect sales commissions or contingent deferred
sales charges, if applicable, and is not annualized for periods less than
one year.

(f) Ratios are annualized for periods less than one year.

The accompanying notes are an integral part of these financial statements.

Annual Report | 13

Franklin Global Trust

FINANCIAL HIGHLIGHTS (CONTINUED)

FRANKLIN GLOBAL REAL ESTATE FUND

YEAR ENDED JULY 31,
-------------------------------
CLASS C 2008 2007 2006(a)
- ------- ------- ------- -------

PER SHARE OPERATING PERFORMANCE
(for a share outstanding throughout the year)
Net asset value, beginning of year ................. $ 10.82 $ 10.32 $10.00
------- ------- ------
Income from investment operations(b):
Net investment income(c) ........................ 0.20 0.29 0.01
Net realized and unrealized gains (losses) ...... (2.26) 0.58 0.31
------- ------- ------
Total from investment operations ................... (2.06) 0.87 0.32
------- ------- ------
Less distributions from:
Net investment income ........................... (0.28) (0.34) --
Net realized gains .............................. --(d) (0.03) --
------- ------- ------
Total distributions ................................ (0.28) (0.37) --
------- ------- ------
Redemption fees .................................... --(d) --(d) --
------- ------- ------
Net asset value, end of year ....................... $ 8.48 $ 10.82 $10.32
======= ======= ======
Total return(e) .................................... (19.31)% 8.13% 3.20%
RATIOS TO AVERAGE NET ASSETS(f)
Expenses before waiver and payments by affiliates
and expense reduction ........................... 2.27% 2.51% 6.90%
Expenses net of waiver and payments by
affiliates ...................................... 2.05% 2.06% 2.74%
Expenses net of waiver and payments by affiliates
and expense reduction ........................... 2.04% 2.05% 2.05%
Net investment income .............................. 2.03% 2.29% 1.56%
SUPPLEMENTAL DATA
Net assets, end of year (000's) .................... $ 8,008 $ 9,192 $ 140
Portfolio turnover rate ............................ 92.64% 81.30% 13.57%

(a) For the period June 16, 2006 (commencement of operations) to July 31, 2006.

(d) Amount rounds to less than $0.01 per share.

(e) Total return does not reflect sales commissions or contingent deferred
sales charges, if applicable, and is not annualized for periods less than
one year.

(f) Ratios are annualized for periods less than one year.

The accompanying notes are an integral part of these financial statements.

14 | Annual Report

Franklin Global Trust

FINANCIAL HIGHLIGHTS (CONTINUED)

FRANKLIN GLOBAL REAL ESTATE FUND

YEAR ENDED JULY 31,
-------------------------------
ADVISOR CLASS 2008 2007 2006(a)
- ------------- ------- ------- -------

PER SHARE OPERATING PERFORMANCE
(for a share outstanding throughout the year)
Net asset value, beginning of year ................. $ 10.89 $ 10.34 $10.00
------- ------- ------
Income from investment operations(b):
Net investment income(c) ........................ 0.29 0.39 0.02
Net realized and unrealized gains (losses) ...... (2.27) 0.59 0.32
------- ------- ------
Total from investment operations ................... (1.98) 0.98 0.34
------- ------- ------
Less distributions from:
Net investment income ........................... (0.38) (0.40) --
Net realized gains .............................. --(d) (0.03) --
------- ------- ------
Total distributions ................................ (0.38) (0.43) --
------- ------- ------
Redemption fees .................................... --(d) --(d) --
------- ------- ------
Net asset value, end of year ....................... $ 8.53 $ 10.89 $10.34
======= ======= ======
Total return(e) .................................... (18.55)% 9.12% 3.40%
RATIOS TO AVERAGE NET ASSETS(f)
Expenses before waiver and payments by affiliates
and expense reduction ........................... 1.28% 1.51% 5.90%
Expenses net of waiver and payments by
affiliates ...................................... 1.06% 1.06% 1.74%
Expenses net of waiver and payments by affiliates
and expense reduction ........................... 1.05% 1.05% 1.05%
Net investment income .............................. 3.02% 3.29% 2.56%
SUPPLEMENTAL DATA
Net assets, end of year (000's) .................... $59,675 $34,631 $1,221
Portfolio turnover rate ............................ 92.64% 81.30% 13.57%

(a) For the period June 16, 2006 (commencement of operations) to July 31, 2006.

(d) Amount rounds to less than $0.01 per share.

(e) Total return is not annualized for periods less than one year.

(f) Ratios are annualized for periods less than one year.

The accompanying notes are an integral part of these financial statements.

Annual Report | 15

Franklin Global Trust

STATEMENT OF INVESTMENTS, JULY 31, 2008

FRANKLIN GLOBAL REAL ESTATE FUND COUNTRY SHARES VALUE
- -------------------------------- -------------- ---------- -----------

COMMON STOCKS 96.1%
EQUITY REIT - APARTMENTS 8.5%
AvalonBay Communities Inc. United States 16,300 $ 1,625,273
Camden Property Trust .................................. United States 20,200 993,436
Equity Residential ..................................... United States 70,900 3,060,753
Essex Property Trust Inc. .............................. United States 7,200 873,720
Nippon Accommodations Fund Inc. ........................ Japan 46 225,086
UDR Inc. ............................................... United States 58,300 1,488,982
-----------
8,267,250
-----------
EQUITY REIT - DIVERSIFIED PROPERTY 13.9%
British Land Co. PLC ................................... United Kingdom 159,120 2,217,484
Canadian REIT .......................................... Canada 14,600 413,557
Charter Hall Group ..................................... Australia 270,968 239,758
Dexus Property Group ................................... Australia 366,526 483,015
Fonciere des Regions ................................... France 4,800 604,853
General Property Trust ................................. Australia 620,662 888,028
Japan Prime Realty Investment Co. ...................... Japan 113 274,371
Kenedix Realty Investment Corp. ........................ Japan 61 303,573
Liberty Property Trust ................................. United States 27,300 993,720
Mirvac Group ........................................... Australia 312,805 750,831
Stockland .............................................. Australia 321,343 1,400,483
Valad Property Group ................................... Australia 2,233,431 1,156,281
Vornado Realty Trust ................................... United States 34,300 3,260,901
Wereldhave NV .......................................... Netherlands 4,430 477,614
-----------
13,464,469
-----------
EQUITY REIT - HEALTH CARE 4.1%
HCP Inc. ............................................... United States 47,600 1,716,932
Nationwide Health Properties Inc. ...................... United States 33,000 1,224,630
Ventas Inc. ............................................ United States 22,900 1,027,294
-----------
3,968,856
-----------
EQUITY REIT - HOTELS 3.4%
FelCor Lodging Trust Inc. .............................. United States 55,800 445,842
Hospitality Properties Trust ........................... United States 9,400 200,220
Host Hotels & Resorts Inc. ............................. United States 160,900 2,109,399
Sunstone Hotel Investors Inc. .......................... United States 43,200 559,008
-----------
3,314,469
-----------
EQUITY REIT - INDUSTRIAL 6.6%
AMB Property Corp. ..................................... United States 20,600 1,008,576
Brixton PLC ............................................ United Kingdom 61,600 276,280
Goodman Group .......................................... Australia 465,775 1,118,007
ProLogis ............................................... United States 65,300 3,191,864
Segro PLC .............................................. United Kingdom 97,100 789,193
-----------
6,383,920
-----------

16 | Annual Report

Franklin Global Trust

STATEMENT OF INVESTMENTS, JULY 31, 2008 (CONTINUED)

FRANKLIN GLOBAL REAL ESTATE FUND COUNTRY SHARES VALUE
- -------------------------------- -------------- ---------- -----------

COMMON STOCKS (CONTINUED)
EQUITY REIT - MANUFACTURED HOMES 0.9%
Equity Lifestyle Properties Inc. ....................... United States 12,700 $ 609,727
Sun Communities Inc. ................................... United States 13,500 229,230
-----------
838,957
-----------
EQUITY REIT - OFFICE 17.1%
Befimmo SCA ............................................ Belgium 2,400 258,228
Boston Properties Inc. ................................. United States 31,500 3,029,985
CapitaCommercial Trust ................................. Singapore 235,000 329,873
Champion REIT .......................................... Hong Kong 402,886 192,110
Cofinimmo .............................................. Belgium 3,400 643,001
Commonwealth Property Office Fund ...................... Australia 427,709 545,526
Corporate Office Properties Trust ...................... United States 27,400 1,065,312
Cousins Properties Inc. ................................ United States 18,600 408,642
Douglas Emmett Inc. .................................... United States 76,200 1,792,986
Highwoods Properties Inc. .............................. United States 23,800 868,700
ING Office Fund ........................................ Australia 234,604 317,999
Japan Real Estate Investment Co. ....................... Japan 106 1,095,315
Kilroy Realty Corp. .................................... United States 18,200 833,742
Mori Hills REIT Investment Corp. ....................... Japan 52 224,086
Nippon Building Fund Inc. .............................. Japan 114 1,352,301
Nippon Commercial Investment Corp. ..................... Japan 74 207,108
Nomura Real Estate Office Fund Inc. .................... Japan 57 427,876
ORIX JREIT Inc. ........................................ Japan 80 446,319
Parkway Properties Inc. ................................ United States 3,000 105,870
Silic .................................................. France 2,320 308,951
SL Green Realty Corp. .................................. United States 16,300 1,358,442
Tishman Speyer Office Fund ............................. Australia 563,050 718,149
-----------
16,530,521
-----------
EQUITY REIT - RETAIL 37.6%
CapitaMall Trust ....................................... Singapore 253,589 556,197
CFS Retail Property Trust .............................. Australia 299,434 574,989
Corio NV ............................................... Netherlands 14,600 1,128,991
Developers Diversified Realty Corp. .................... United States 28,700 917,252
Eurocommercial Properties NV ........................... Netherlands 6,200 292,843
Federal Realty Investment Trust ........................ United States 13,900 1,009,279
Frontier Real Estate Investment Corp. .................. Japan 30 175,432
Fukuoka REIT Corp. ..................................... Japan 44 223,456
General Growth Properties Inc. ......................... United States 39,000 1,068,990
Hammerson PLC .......................................... United Kingdom 75,410 1,436,589
Japan Retail Fund Investment Corp. ..................... Japan 207 1,060,850
Kimco Realty Corp. ..................................... United States 64,200 2,265,618
Klepierre .............................................. France 14,450 589,228
Land Securities Group PLC .............................. United Kingdom 118,880 3,044,750
Liberty International PLC .............................. United Kingdom 52,600 978,589
Link REIT .............................................. Hong Kong 458,500 1,028,495
The Macerich Co. ....................................... United States 11,800 652,894
Regency Centers Corp. .................................. United States 19,300 1,148,350

Annual Report | 17

Franklin Global Trust

STATEMENT OF INVESTMENTS, JULY 31, 2008 (CONTINUED)

FRANKLIN GLOBAL REAL ESTATE FUND COUNTRY SHARES VALUE
- -------------------------------- -------------- ---------- -----------

COMMON STOCKS (CONTINUED)
EQUITY REIT - RETAIL (CONTINUED)
RioCan REIT ............................................ Canada 57,600 $ 1,119,594
Simon Property Group Inc. .............................. United States 52,600 4,872,338
Suntec REIT ............................................ Singapore 479,000 542,806
Tanger Factory Outlet Centers Inc. ..................... United States 11,900 444,346
Taubman Centers Inc. ................................... United States 26,100 1,252,800
Unibail-Rodamco ........................................ France 17,069 3,839,969
Westfield Group ........................................ Australia 401,289 6,111,725
-----------
36,336,370
-----------
EQUITY REIT - STORAGE 2.8%
Public Storage ......................................... United States 33,100 2,710,559
-----------
REAL ESTATE MANAGEMENT & DEVELOPMENT 1.2%
Ascendas India Trust ................................... Singapore 234,200 136,123
Capital & Regional PLC ................................. United Kingdom 42,900 106,091
Growthpoint Properties Ltd. ............................ South Africa 328,427 590,994
Homburg Invest Inc. .................................... Canada 85,100 300,900
-----------
1,134,108
-----------
TOTAL COMMON STOCKS (COST $105,402,460) ................ 92,949,479
-----------
PREFERRED STOCKS 0.5%
EQUITY REIT - OFFICE 0.3%
Highwoods Properties Inc., 8.00%, pfd., B .............. United States 14,116 314,646
-----------
EQUITY REIT - RETAIL 0.2%
Kimco Realty Corp., 7.75%, pfd., G ..................... United States 6,000 139,140
-----------
TOTAL PREFERRED STOCKS (COST $502,374) ................. 453,786
-----------
TOTAL INVESTMENTS BEFORE SHORT TERM INVESTMENT
(COST $105,904,834) ................................. 93,403,265
-----------

PRINCIPAL
AMOUNT
----------

SHORT TERM INVESTMENT (COST $475,000) 0.5%
TIME DEPOSIT 0.5%
Dresdner Bank AG, 2.18%, 8/01/08 ....................... United States $ 475,000 475,000
-----------
TOTAL INVESTMENTS (COST $106,379,834) 97.1% ............ 93,878,265
NET UNREALIZED LOSS ON FORWARD EXCHANGE
CONTRACTS (0.5)% .................................... (526,947)
OTHER ASSETS, LESS LIABILITIES 3.4% .................... 3,369,633
-----------
NET ASSETS 100.0% ...................................... $96,720,951
===========

SELECTED PORTFOLIO ABBREVIATION
REIT - Real Estate Investment Trust

The accompanying notes are an integral part of these financial statements.

18 | Annual Report

Franklin Global Trust

FINANCIAL STATEMENTS

STATEMENT OF ASSETS AND LIABILITIES
July 31, 2008

FRANKLIN
GLOBAL
REAL ESTATE
FUND
------------

Assets:
Investments in securities:
Cost - Unaffiliated issuers ................................................. $106,379,834
------------
Value - Unaffiliated issuers ................................................ $ 93,878,265
Cash ........................................................................... 1,026
Foreign currency, at value (cost $28,602) ...................................... 28,376
Receivables:
Investment securities sold .................................................. 3,056,411
Capital shares sold ......................................................... 57,208
Dividends ................................................................... 421,318
Unrealized gain on forward exchange contracts (Note 7) ......................... 155,198
------------
Total assets ............................................................. 97,597,802
------------
Liabilities:
Payables:
Capital shares redeemed ..................................................... 118,704
Affiliates .................................................................. 48,415
Unrealized loss on forward exchange contracts (Note 7) ......................... 682,145
Accrued expenses and other liabilities ......................................... 27,587
------------
Total liabilities ........................................................ 876,851
------------
Net assets, at value .................................................. $ 96,720,951
============
Net assets consist of:
Paid-in capital ................................................................ $131,243,477
Distributions in excess of net investment income ............................... (674,490)
Net unrealized appreciation (depreciation) ..................................... (13,033,473)
Accumulated net realized gain (loss) ........................................... (20,814,563)
------------
Net assets, at value .................................................. $ 96,720,951
============

The accompanying notes are an integral part of these financial statements.

Annual Report | 19

Franklin Global Trust

FINANCIAL STATEMENTS (CONTINUED)

STATEMENT OF ASSETS AND LIABILITIES (CONTINUED)
July 31, 2008

FRANKLIN
GLOBAL
REAL ESTATE
FUND
------------

CLASS A:
Net assets, at value ........................................................... $ 29,037,797
------------
Shares outstanding ............................................................. 3,409,640
------------
Net asset value per share(a) ................................................... $ 8.52
------------
Maximum offering price per share (net asset value per share / 94.25%) .......... $ 9.04
------------
CLASS C:
Net assets, at value ........................................................... $ 8,008,475
------------
Shares outstanding ............................................................. 944,752
------------
Net asset value and maximum offering price per share(a) ........................ $ 8.48
------------
ADVISOR CLASS:
Net assets, at value ........................................................... $ 59,674,679
------------
Shares outstanding ............................................................. 6,995,258
------------
Net asset value and maximum offering price per share(a) ........................ $ 8.53
------------

(a) Redemption price is equal to net asset value less contingent deferred sales
charges, if applicable, and redemption fees retained by the Fund.

The accompanying notes are an integral part of these financial statements.

20 | Annual Report

Franklin Global Trust

FINANCIAL STATEMENTS (CONTINUED)

STATEMENT OF OPERATIONS
for the year ended July 31, 2008

FRANKLIN
GLOBAL
REAL ESTATE
FUND
------------

Investment income:
Dividends (net of foreign taxes of $332,781) ................................... $ 3,998,252
Interest ....................................................................... 270,782
------------
Total investment income .................................................. 4,269,034
------------
Expenses:
Management fees (Note 3a) ...................................................... 838,881
Administrative fees (Note 3b) .................................................. 209,720
Distribution fees: (Note 3c)
Class A ..................................................................... 101,913
Class C ..................................................................... 83,244
Transfer agent fees (Note 3e) .................................................. 109,600
Custodian fees (Note 4) ........................................................ 16,925
Reports to shareholders ........................................................ 45,567
Registration and filing fees ................................................... 81,090
Professional fees .............................................................. 30,905
Trustees' fees and expenses .................................................... 8,122
Other .......................................................................... 5,728
------------
Total expenses ........................................................... 1,531,695
Expense reductions (Note 4) .............................................. (6,364)
Expenses waived/paid by affiliates (Note 3f) ............................. (239,145)
------------
Net expenses .......................................................... 1,286,186
------------
Net investment income .............................................. 2,982,848
------------
Realized and unrealized gains (losses):
Net realized gain (loss) from:
Investments ................................................................. (15,072,546)
Foreign currency transactions ............................................... (4,199,968)
------------
Net realized gain (loss) ........................................... (19,272,514)
------------
Net change in unrealized appreciation (depreciation) on:
Investments .................................................................... (9,245,293)
Translation of assets and liabilities denominated in foreign currencies ........ 222,678
------------
Net change in unrealized appreciation (depreciation) ............... (9,022,615)
------------
Net realized and unrealized gain (loss) ........................................... (28,295,129)
------------
Net increase (decrease) in net assets resulting from operations ................... $(25,312,281)
============

The accompanying notes are an integral part of these financial statements.

Annual Report | 21

Franklin Global Trust

FINANCIAL STATEMENTS (CONTINUED)

STATEMENTS OF CHANGES IN NET ASSETS

FRANKLIN GLOBAL
REAL ESTATE FUND
---------------------------
YEAR ENDED JULY 31,
---------------------------
2008 2007
------------ ------------

Increase (decrease) in net assets:
Operations:
Net investment income ............................................... $ 2,982,848 $ 1,435,885
Net realized gain (loss) from investments and foreign
currency transactions ............................................ (19,272,514) (1,454,797)
Net change in unrealized appreciation (depreciation) on
investments and translation of assets and liabilities
denominated in foreign currencies ................................ (9,022,615) (4,184,228)
------------ ------------
Net increase (decrease) in net assets resulting from
operations ................................................. (25,312,281) (4,203,140)
------------ ------------
Distributions to shareholders from:
Net investment income:
Class A .......................................................... (1,061,149) (552,979)
Class C .......................................................... (237,011) (103,871)
Advisor Class .................................................... (2,468,263) (742,547)
Net realized gains:
Class A .......................................................... (3,379) (28,561)
Class C .......................................................... (924) (5,471)
Advisor Class .................................................... (8,301) (39,461)
------------ ------------
Total distributions to shareholders .................................... (3,779,027) (1,472,890)
------------ ------------
Capital share transactions: (Note 2)
Class A .......................................................... 3,211,419 30,514,540
Class C .......................................................... 981,285 9,933,533
Advisor Class .................................................... 44,386,866 35,611,602
------------ ------------
Total capital share transactions ....................................... 48,579,570 76,059,675
------------ ------------
Redemption fees ........................................................ 131 46
------------ ------------
Net increase (decrease) in net assets ......................... 19,488,393 70,383,691
Net assets:
Beginning of year ...................................................... 77,232,558 6,848,867
------------ ------------
End of year ............................................................ $ 96,720,951 $ 77,232,558
============ ============
Undistributed net investment income (distributions in excess
of net investment income) included in net assets:
End of year ............................................................ $ (674,490) $ 1,080,539
============ ============

The accompanying notes are an integral part of these financial statements.

22 | Annual Report

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS

FRANKLIN GLOBAL REAL ESTATE FUND

1. ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES

Franklin Global Trust (Trust) is registered under the Investment Company Act of
1940, as amended, (1940 Act) as an open-end investment company, consisting of
nine separate funds. The Franklin Global Real Estate Fund (Fund) included in
this report is non-diversified. The financial statements of the remaining funds
in the Trust are presented separately. The Fund offers three classes of shares:
Class A, Class C, and Advisor Class. Each class of shares differs by its initial
sales load, contingent deferred sales charges, distribution fees, voting rights
on matters affecting a single class and its exchange privilege.

The following summarizes the Fund's significant accounting policies.

A. SECURITY VALUATION

Annual Report | 23

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

FRANKLIN GLOBAL REAL ESTATE FUND

1. ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

B. FOREIGN CURRENCY TRANSLATION

C. FOREIGN CURRENCY CONTRACTS

The Fund may also enter into forward exchange contracts to hedge against
fluctuations in foreign exchange rates. These contracts are valued daily by the
Fund and the unrealized gains or losses on the contracts, as measured by the
difference between the contractual forward foreign exchange rates and the
forward rates at the reporting date, are included in the Statement of Assets and
Liabilities. Realized and unrealized gains and losses on these contracts are
included in the Statement of Operations.

24 | Annual Report

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

FRANKLIN GLOBAL REAL ESTATE FUND

1. ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

D. INCOME TAXES

The Fund has reviewed the tax positions, taken on federal income tax returns,
for each of the two open tax years and as of July 31, 2008, and has determined
that no provision for income tax is required in the Fund's financial statements.

Foreign securities held by the Fund may be subject to foreign taxation on
dividend income received. Foreign taxes, if any, are recorded based on the tax
regulations and rates that exist in the foreign markets in which the Fund
invests.

E. SECURITY TRANSACTIONS, INVESTMENT INCOME, EXPENSES AND DISTRIBUTIONS

Security transactions are accounted for on trade date. Realized gains and losses
on security transactions are determined on a specific identification basis.
Interest income and estimated expenses are accrued daily. Dividend income is
recorded on the ex-dividend date except that certain dividends from foreign
securities are recognized as soon as the Fund is notified of the ex-dividend
date. Distributions to shareholders are recorded on the ex-dividend date and are
determined according to income tax regulations (tax basis). Distributable
earnings determined on a tax basis may differ from earnings recorded in
accordance with accounting principles generally accepted in the United States of
America. These differences may be permanent or temporary. Permanent differences
are reclassified among capital accounts to reflect their tax character. These
reclassifications have no impact on net assets or the results of operations.
Temporary differences are not reclassified, as they may reverse in subsequent
periods.

Distributions received by the Trust from certain securities may be a return of
capital (ROC). Such distributions reduce the cost basis of the securities, and
any distributions in excess of the cost basis are recognized as capital gains.

Annual Report | 25

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

FRANKLIN GLOBAL REAL ESTATE FUND

1. ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

F. ACCOUNTING ESTIMATES

G. REDEMPTION FEES

A short term trading redemption fee will be imposed, with some exceptions, on
any fund shares that are redeemed or exchanged within seven calendar days
following their purchase date. The redemption fee is 2% of the amount redeemed.
Such fees are retained by the fund and accounted for as an addition to paid-in
capital. Effective September 1, 2008, the redemption fee will be eliminated.

H. GUARANTEES AND INDEMNIFICATIONS

2. SHARES OF BENEFICIAL INTEREST

At July 31, 2008, there were an unlimited number of shares authorized (without
par value). Transactions in the Fund's shares were as follows:

YEAR ENDED JULY 31,
---------------------------------------------------
2008 2007
------------------------- -----------------------
SHARES AMOUNT SHARES AMOUNT
---------- ------------ --------- -----------

CLASS A SHARES:
Shares sold .................. 1,690,403 $ 16,736,881 3,078,557 $36,862,501
Shares issued in reinvestment
of distributions .......... 84,109 826,755 30,384 358,403
Shares redeemed .............. (1,438,423) (14,352,217) (566,717) (6,706,364)
---------- ------------ --------- -----------
Net increase (decrease) ...... 336,089 $ 3,211,419 2,542,224 $30,514,540
========== ============ ========= ===========
CLASS C SHARES:
Shares sold .................. 491,196 $ 4,822,799 951,834 $11,306,579
Shares issued in reinvestment
of distributions .......... 21,748 214,097 8,109 94,890
Shares redeemed .............. (417,660) (4,055,611) (124,044) (1,467,936)
---------- ------------ --------- -----------
Net increase (decrease) ...... 95,284 $ 981,285 835,899 $ 9,933,533
========== ============ ========= ===========

26 | Annual Report

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

FRANKLIN GLOBAL REAL ESTATE FUND

2. SHARES OF BENEFICIAL INTEREST (CONTINUED)

ADVISOR CLASS SHARES:
Shares sold .................. 5,282,074 $ 58,719,079 3,195,707 $37,169,648
Shares issued in reinvestment
of distributions .......... 125,710 1,196,375 6,292 72,808
Shares redeemed .............. (1,592,553) (15,528,588) (140,040) (1,630,854)
---------- ------------ --------- -----------
Net increase (decrease) ...... 3,815,231 $ 44,386,866 3,061,959 $35,611,602
========== ============ ========= ===========

3. TRANSACTIONS WITH AFFILIATES

SUBSIDIARY AFFILIATION
- ---------- ----------------------

A. MANAGEMENT FEES

The Fund pays an investment management fee to FT Institutional based on the
average daily net assets of the Fund as follows:

ANNUALIZED FEE RATE NET ASSETS
- ------------------- ------------------------------------------------------

0.800% Up to and including $500 million
0.700% Over $500 million, up to and including $1 billion
0.650% Over $1 billion, up to and including $1.5 billion
0.600% Over $1.5 billion, up to and including $6.5 billion
0.580% Over $6.5 billion, up to and including $11.5 billion
0.560% Over $11.5 billion, up to and including $16.5 billion
0.540% Over $16.5 billion, up to and including $19 billion
0.530% Over $19 billion, up to and including $21.5 billion
0.520% In excess of $21.5 billion

B. ADMINISTRATIVE FEES

The Fund pays an administrative fee to FT Services of 0.20% per year of the
average daily net assets of the Fund.

Annual Report | 27

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

FRANKLIN GLOBAL REAL ESTATE FUND

3. TRANSACTIONS WITH AFFILIATES (CONTINUED)

C. DISTRIBUTION FEES

The Trust's Board of Trustees has adopted distribution plans for each share
class, with the exception of Advisor Class shares, pursuant to Rule 12b-1 under
the 1940 Act. Under the Fund's compensation distribution plans, the Fund pays
Distributors for costs incurred in connection with the servicing, sale and
distribution of the Fund's shares up to a certain percentage per year of its
average daily net assets of each class as follows:

Class A..... 0.35%
Class C..... 1.00%

Distributors has agreed to limit the current rate to 0.30% per year for Class A
shares for the period of February 1, 2008 through January 31, 2009.

D. SALES CHARGES/UNDERWRITING AGREEMENTS

Distributors has advised the Fund of the following commission transactions
related to the sales and redemptions of the Fund's shares for the year:

Sales charges retained net of commissions paid to unaffiliated
broker/dealers ............................................ $34,969
Contingent deferred sales charges retained ................... $ 4,135

E. TRANSFER AGENT FEES

For the year ended July 31, 2008, the Fund paid transfer agent fees of $109,600,
of which $72,183 was retained by Investor Services.

F. WAIVER AND EXPENSE REIMBURSEMENTS

FT Services and FT Institutional have agreed in advance to waive all or a
portion of their respective fees and to assume payment of other expenses through
November 30, 2008. Total expenses waived or paid are not subject to
reimbursement by the Fund subsequent to the Fund's fiscal year end. After
November 30, 2008, FT Services and FT Institutional may discontinue this waiver
at any time upon notice to the Fund's Board of Trustees.

4. EXPENSE OFFSET ARRANGEMENT

28 | Annual Report

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

FRANKLIN GLOBAL REAL ESTATE FUND

5. INCOME TAXES

For tax purposes, capital losses may be carried over to offset future capital
gains, if any. At July 31, 2008, the Fund had tax basis capital losses of
$2,794,727 expiring in 2016.

For tax purposes, realized capital losses, realized currency losses, and
ordinary income losses occurring subsequent to October 31, may be deferred and
treated as occurring on the first day of the following fiscal year. At July 31,
2008, the Fund deferred realized capital losses, realized currency losses, and
ordinary income losses of $10,832,852, $584,666 and $3,862,865, respectively.

The tax character of distributions paid during the years ended July 31, 2008 and
2007, was as follows:

2008 2007
---------- ----------

Distributions paid from:
Ordinary income ....................... $3,770,590 $1,472,890
Long term capital gain ................ 8,437 --
---------- ----------
$3,779,027 $1,472,890
========== ==========

At July 31, 2008, the cost of investments, net unrealized appreciation
(depreciation) and undistributed ordinary income for income tax purposes were as
follows:

Cost of investments ......................................... $110,965,752
============
Unrealized appreciation ..................................... $ 1,878,241
Unrealized depreciation ..................................... (18,965,728)
------------
Net unrealized appreciation (depreciation) .................. $(17,087,487)
============
Distributable earnings -undistributed ordinary income ....... $ 659,474
============

Net investment income differs for financial statement and tax purposes primarily
due to differing treatments of foreign currency transactions, passive foreign
investment company shares, and partnership distributions.

Net realized gains (losses) differ for financial statement and tax purposes
primarily due to differing treatments of wash sales, foreign currency
transactions, passive foreign investment company shares, and partnership
distributions.

6. INVESTMENT TRANSACTIONS

Purchases and sales of investments (excluding short term securities) for the
year ended July 31, 2008, aggregated $139,251,228 and $90,626,439, respectively.

Annual Report | 29

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

FRANKLIN GLOBAL REAL ESTATE FUND

7. FORWARD EXCHANGE CONTRACTS

At July 31, 2008, the Fund had the following forward exchange contracts
outstanding:

CONTRACT SETTLEMENT UNREALIZED UNREALIZED
AMOUNT(a) DATE GAIN LOSS
---------- ---------- ---------- ----------

CONTRACTS TO BUY
5,091,851 Australian Dollar .................... 4,838,000 9/16/08 $ -- $ (75,785)
671,762 Australian Dollar .................... 624,000 9/16/08 4,274 --
1,007,470 British Pound Sterling ............... 1,977,000 9/16/08 12,906 --
342,550 Euro ................................. 529,000 9/16/08 3,781 --
367,009 Euro ................................. 577,000 9/16/08 -- (6,178)
60,867,450 Japanese Yen ......................... 567,000 9/16/08 -- (1,333)

CONTRACTS TO SELL
17,537,101 Australian Dollar .................... 16,179,460 9/16/08 -- (222,330)
4,663,178 Australian Dollar .................... 4,456,000 9/16/08 102,506 --
4,802,597 British Pound Sterling ............... 9,277,552 9/16/08 -- (208,300)
816,757 British Pound Sterling ............... 1,618,000 9/16/08 4,781 --
2,020,421 Canadian Dollar ...................... 1,973,067 9/16/08 818 --
5,440,076 Euro ................................. 8,347,410 9/16/08 -- (113,738)
532,769 Euro ................................. 843,000 9/16/08 14,365 --
10,638,528 Hong Kong Dollar ..................... 1,363,477 9/16/08 -- (1,329)
741,855,449 Japanese Yen ......................... 6,906,144 9/16/08 11,767 --
2,413,076 Singapore Dollar ..................... 1,755,469 9/16/08 -- (13,116)
2,827,530 South African Rand ................... 340,453 9/17/08 -- (40,036)
-------- ---------
Unrealized gain (loss) on forward exchange
contracts ..................................... 155,198 (682,145)
-------- ---------
Net unrealized gain (loss) on forward exchange
contracts .................................. $(526,947)
=========

(a) In U.S. dollars unless otherwise indicated.

8. NEW ACCOUNTING PRONOUNCEMENTS

30 | Annual Report

Franklin Global Trust

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

FRANKLIN GLOBAL REAL ESTATE FUND

TO THE BOARD OF TRUSTEES AND SHAREHOLDERS OF FRANKLIN GLOBAL TRUST

In our opinion, the accompanying statement of assets and liabilities, including
the statement of investments, and the related statements of operations and of
changes in net assets and the financial highlights present fairly, in all
material respects, the financial position of Franklin Global Real Estate Fund
(one of the funds constituting Franklin Global Trust, hereafter referred to as
the "Fund") at July 31, 2008, the results of its operations for the year then
ended, the changes in its net assets for each of the two years in the period
then ended and the financial highlights for each of the periods presented, in
conformity with accounting principles generally accepted in the United States of
America. These financial statements and financial highlights (hereafter referred
to as "financial statements") are the responsibility of the Fund's management.
Our responsibility is to express an opinion on these financial statements based
on our audits. We conducted our audits of these financial statements in
accordance with the standards of the Public Company Accounting Oversight Board
(United States). Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements are free of
material misstatement. An audit includes examining, on a test basis, evidence
supporting the amounts and disclosures in the financial statements, assessing
the accounting principles used and significant estimates made by management, and
evaluating the overall financial statement presentation. We believe that our
audits, which included confirmation of securities at July 31, 2008 by
correspondence with the custodian, provide a reasonable basis for our opinion.

PricewaterhouseCoopers LLP

San Francisco, California
September 17, 2008

Annual Report | 31

Franklin Global Trust

TAX DESIGNATION (UNAUDITED)

FRANKLIN GLOBAL REAL ESTATE FUND

Under Section 854(b)(2) of the Internal Revenue Code (Code), the Fund designates
the maximum amount allowable but no less than $874,446 as qualified dividends
for purposes of the maximum rate under Section 1(h)(11) of the Code for the
fiscal year ended July 31, 2008. Distributions, including qualified dividend
income, paid during calendar year 2008 will be reported to shareholders on Form
1099-DIV in January 2009. Shareholders are advised to check with their tax
advisors for information on the treatment of these amounts on their individual
income tax returns.

32 | Annual Report

Franklin Global Trust

BOARD MEMBERS AND OFFICERS

The name, year of birth and address of the officers and board members, as well
as their affiliations, positions held with the Trust, principal occupation
during the past five years and number of portfolios overseen in the Franklin
Templeton Investments fund complex are shown below. Generally, each board member
serves until that person's successor is elected and qualified.

INDEPENDENT BOARD MEMBERS

NUMBER OF PORTFOLIOS IN
NAME, YEAR OF BIRTH LENGTH OF FUND COMPLEX OVERSEEN
AND ADDRESS POSITION TIME SERVED BY BOARD MEMBER* OTHER DIRECTORSHIPS HELD
- ------------------- -------------- ------------------ ----------------------- -----------------------------------

HARRIS J. ASHTON (1932) Trustee Since 2000 143 Bar-S Foods (meat packing company).
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Director of various companies; and FORMERLY, Director, RBC Holdings, Inc. (bank holding company) (until 2002); and President,
Chief Executive Officer and Chairman of the Board, General Host Corporation (nursery and craft centers) (until 1998).

ROBERT F. CARLSON (1928) Trustee Since 2000 122 None
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Retired; and FORMERLY, Vice President, senior member and past President, Board of Administration, California Public Employees
Retirement Systems (CALPERS) (1971 - January 2008); member and Chairman of the Board, Sutter Community Hospitals; member,
Corporate Board, Blue Shield of California; and Chief Counsel, California Department of Transportation.

SAM GINN (1937) Trustee Since 2007 122 Chevron Corporation (global energy
One Franklin Parkway company) and ICO Global
San Mateo, CA 94403-1906 Communications (Holdings) Limited
(satellite company).

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Private investor; and FORMERLY, Chairman of the Board, Vodafone AirTouch, PLC (wireless company); Chairman of the
Board and Chief Executive Officer, AirTouch Communications (cellular communications) (1993-1998) and Pacific
Telesis Groups (telephone holding company) (1988-1994).

EDITH E. HOLIDAY (1952) Trustee Since 2000 143 Hess Corporation (exploration and
One Franklin Parkway refining of oil and gas), H.J.
San Mateo, CA 94403-1906 Heinz Company (processed foods and
allied products), RTI International
Metals, Inc. (manufacture and
distribution of titanium), Canadian
National Railway (railroad) and
White Mountains Insurance Group,
Ltd. (holding company).

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Director or Trustee of various companies and trusts; and FORMERLY, Assistant to the President of the United States and Secretary
of the Cabinet (1990-1993); General Counsel to the United States Treasury Department (1989-1990); and Counselor to the Secretary
and Assistant Secretary for Public Affairs and Public Liaison-United States Treasury Department (1988-1989).

Annual Report | 33

NUMBER OF PORTFOLIOS IN
NAME, YEAR OF BIRTH LENGTH OF FUND COMPLEX OVERSEEN
AND ADDRESS POSITION TIME SERVED BY BOARD MEMBER* OTHER DIRECTORSHIPS HELD
- ------------------- -------------- ------------------ ----------------------- -----------------------------------

FRANK W.T. LAHAYE (1929) Trustee Since 2000 122 Center for Creative Land Recycling
One Franklin Parkway (brownfield redevelopment).
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

General Partner, Las Olas L.P. (Asset Management); and FORMERLY, Chairman, Peregrine Venture Management Company (venture
capital).

FRANK A. OLSON (1932) Trustee Since 2005 143 Hess Corporation (exploration and
One Franklin Parkway refining of oil and gas) and
San Mateo, CA 94403-1906 Sentient Jet (private jet service).

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Chairman Emeritus, The Hertz Corporation (car rental) (since 2000) (Chairman of the Board (1980-2000) and Chief Executive Officer
(1977-1999)); and FORMERLY, Chairman of the Board, President and Chief Executive Officer, UAL Corporation (airlines).

LARRY D. THOMPSON (1945) Trustee Since 2007 143 None
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Senior Vice President - Government Affairs, General Counsel and Secretary, PepsiCo, Inc. (consumer products); and FORMERLY,
Director, Delta Airlines (aviation) (2003-2005) and Providian Financial Corp. (credit card provider) (1997-2001); Senior Fellow
of The Brookings Institution (2003-2004); Visiting Professor, University of Georgia School of Law (2004); and Deputy Attorney
General, U.S. Department of Justice (2001-2003).

JOHN B. WILSON (1959) Lead Trustee since 122 None
One Franklin Parkway Independent 2006 and Lead
San Mateo, CA 94403-1906 Trustee Independent
Trustee since
January 2008

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

President and Founder, Hyannis Port Capital, Inc. (real estate and private equity investing); serves on private and non-profit
boards; and FORMERLY, Chief Operating Officer and Executive Vice President, Gap, Inc. (retail) (1996-2000); Chief Financial
Officer and Executive Vice President - Finance Strategy, Staples, Inc. (office supplies) (1992-1996); Executive Vice President -
Corporate Planning, Northwest Airlines, Inc. (airlines) (1990-1992); Vice President and Partner, Bain & Company (consulting firm)
(1986-1990).

INTERESTED BOARD MEMBERS AND OFFICERS

NUMBER OF PORTFOLIOS IN
NAME, YEAR OF BIRTH LENGTH OF FUND COMPLEX OVERSEEN
AND ADDRESS POSITION TIME SERVED BY BOARD MEMBER* OTHER DIRECTORSHIPS HELD
- ------------------- -------------- ------------------ ----------------------- -----------------------------------

**CHARLES B. JOHNSON (1933) Trustee and Since 2000 143 None
One Franklin Parkway Chairman of
San Mateo, CA 94403-1906 the Board

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Chairman of the Board, Member - Office of the Chairman and Director, Franklin Resources, Inc.; Director, Templeton Worldwide,
Inc.; and officer and/or director or trustee, as the case may be, of some of the other subsidiaries of Franklin Resources, Inc.
and of 42 of the investment companies in Franklin Templeton Investments.

34 | Annual Report

NUMBER OF PORTFOLIOS IN
NAME, YEAR OF BIRTH LENGTH OF FUND COMPLEX OVERSEEN
AND ADDRESS POSITION TIME SERVED BY BOARD MEMBER* OTHER DIRECTORSHIPS HELD
- ------------------- -------------- ------------------ ----------------------- -----------------------------------

**GREGORY E. JOHNSON (1961) Trustee Since 2007 94 None
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Director, President and Chief Executive Officer, Franklin Resources, Inc.; President, Templeton Worldwide, Inc.; Director,
Templeton Asset Management Ltd.; and officer and/or director or trustee, as the case may be, of some of the other subsidiaries of
Franklin Resources, Inc. and of 33 of the investment companies in Franklin Templeton Investments.

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Director, Global Compliance, Franklin Resources, Inc.; officer of some of the other subsidiaries of Franklin Resources, Inc. and
of 46 of the investment companies in Franklin Templeton Investments; and FORMERLY, Director of Compliance, Franklin Resources,
Inc. (1994-2001).

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Vice President, Franklin Templeton Services, LLC; officer of 46 of the investment companies in Franklin Templeton Investments;
and FORMERLY, Director and member of Audit and Valuation Committees, Runkel Funds, Inc. (2003-2004); Assistant Treasurer of most
of the investment companies in Franklin Templeton Investments (1997-2003); and Vice President, Franklin Templeton Services, LLC
(1997-2003).

JIMMY D. GAMBILL (1947) Vice President Since February Not Applicable Not Applicable
500 East Broward Blvd. 2008
Suite 2100
Fort Lauderdale, FL 33394-3091

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

President, Franklin Templeton Services, LLC; Senior Vice President, Templeton Worldwide, Inc.; and officer of some of the other
subsidiaries of Franklin Resources, Inc. and of 46 of the investment companies in Franklin Templeton Investments.

Annual Report | 35

NUMBER OF PORTFOLIOS IN
NAME, YEAR OF BIRTH LENGTH OF FUND COMPLEX OVERSEEN
AND ADDRESS POSITION TIME SERVED BY BOARD MEMBER* OTHER DIRECTORSHIPS HELD
- ------------------- -------------- ------------------ ----------------------- -----------------------------------

DAVID P. GOSS (1947) Vice President Since 2000 Not Applicable Not Applicable
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Senior Associate General Counsel, Franklin Templeton Investments; officer and director of one of the subsidiaries of Franklin
Resources, Inc.; and officer of 46 of the investment companies in Franklin Templeton Investments.

EDWARD B. JAMIESON (1948) Vice President Since 2000 Not Applicable Not Applicable
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

President, Chief Investment Officer and Director, Franklin Advisers, Inc.; Executive Vice President, Franklin Templeton
Institutional, LLC; officer and/or trustee, as the case may be, of some of the other subsidiaries of Franklin Resources, Inc. and
of four of the investment companies in Franklin Templeton Investments.

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Vice Chairman, Member - Office of the Chairman and Director, Franklin Resources, Inc.; Director, Franklin Advisers, Inc. and
Templeton Worldwide, Inc.; Senior Vice President, Franklin Advisory Services, LLC; and officer and/or director or trustee, as the
case may be, of some of the other subsidiaries of Franklin Resources, Inc. and of 44 of the investment companies in Franklin
Templeton Investments.

CHRISTOPHER J. MOLUMPHY (1962) Vice President Since 2000 Not Applicable Not Applicable
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Director and Executive Vice President, Franklin Adviser, Inc.; and officer of some of the other subsidiaries of Franklin
Resources, Inc. and of six of the investment companies in Franklin Templeton Investments.

KAREN L. SKIDMORE (1952) Vice President Since 2006 Not Applicable Not Applicable
One Franklin Parkway and Secretary
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Senior Associate General Counsel, Franklin Templeton Investments; and officer of 30 of the investment companies in Franklin
Templeton Investments.

36 | Annual Report

NUMBER OF PORTFOLIOS IN
NAME, YEAR OF BIRTH LENGTH OF FUND COMPLEX OVERSEEN
AND ADDRESS POSITION TIME SERVED BY BOARD MEMBER* OTHER DIRECTORSHIPS HELD
- ------------------- -------------- ------------------ ----------------------- -----------------------------------

CRAIG S. TYLE (1960) Vice President Since 2005 Not Applicable Not Applicable
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

General Counsel and Executive Vice President, Franklin Resources, Inc.; officer of some of the other subsidiaries of Franklin
Resources, Inc. and of 46 of the investment companies in Franklin Templeton Investments; and FORMERLY, Partner, Shearman &
Sterling, LLP (2004-2005); and General Counsel, Investment Company Institute (ICI) (1997-2004).

GALEN G. VETTER (1951) Senior Vice Since February Not Applicable Not Applicable
500 East Broward Blvd. President and 2008
Suite 2100 Chief
Fort Lauderdale, Executive
FL 33394-3091 Officer -
Finance and
Administration

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Senior Vice President, Franklin Templeton Services, LLC; officer of some of the other subsidiaries of Franklin Resources, Inc.
and of 46 of the investment companies in Franklin Templeton Investments; and FORMERLY, Managing Director, RSM McGladrey, Inc.
(1999-2004); and Partner, McGladrey & Pullen, LLP (1979-1987 and 1991-2004).

Note 1: Charles B. Johnson and Rupert H. Johnson, Jr. are brothers and the
father and uncle, respectively, of Gregory E. Johnson.

Note 2: Officer information is current as of the date of this report. It is
possible that after this date, information about officers may change.

Annual Report | 37

Franklin Global Trust

SHAREHOLDER INFORMATION

FRANKLIN GLOBAL REAL ESTATE FUND

BOARD REVIEW OF INVESTMENT MANAGEMENT AGREEMENT

At a meeting held February 25, 2008, the Board of Trustees (Board), including a
majority of non-interested or independent Trustees, approved renewal of the
investment management agreements for each of the separate funds within Franklin
Global Trust, including Franklin Global Real Estate Fund (Fund(s)). In reaching
this decision, the Board took into account information furnished throughout the
year at regular Board meetings, as well as information prepared specifically in
connection with the annual renewal review process. Information furnished and
discussed throughout the year included investment performance reports and
related financial information for each Fund, as well as periodic reports on
shareholder services, legal, compliance, pricing, brokerage commissions and
execution and other services provided by the Investment Manager (Manager) and
its affiliates. Information furnished specifically in connection with the
renewal process included a report for each Fund prepared by Lipper, Inc.
(Lipper), an independent organization, as well as a Fund profitability analysis
report prepared by management. The Lipper report compared a Fund's investment
performance and expenses with those of other mutual funds deemed comparable to
the Fund as selected by Lipper. The Fund profitability analysis report discussed
the profitability to Franklin Templeton Investments from its overall U.S. fund
operations, as well as on an individual fund-by-fund basis. Included with such
profitability analysis report was information on a fund-by-fund basis listing
portfolio managers and other accounts they manage, as well as information on
management fees charged by the Manager and its affiliates including management's
explanation of differences where relevant and a three-year expense analysis with
an explanation for any increase in expense ratios. Additional material
accompanying such report was a memorandum prepared by management describing
project initiatives and capital investments relating to the services provided to
the Funds by the Franklin Templeton Investments organization, as well as a
memorandum relating to economies of scale and a comparative analysis concerning
transfer agent fees charged each Fund.

38 | Annual Report

Franklin Global Trust

SHAREHOLDER INFORMATION (CONTINUED)

FRANKLIN GLOBAL REAL ESTATE FUND

BOARD REVIEW OF INVESTMENT MANAGEMENT AGREEMENT (CONTINUED)

management personnel with the code of ethics adopted throughout the Franklin
Templeton fund complex, the adherence to fair value pricing procedures
established by the Board, and the accuracy of net asset value calculations. The
Board also noted the extent of benefits provided Fund shareholders from being
part of the Franklin Templeton family of funds, including the right to exchange
investments between the same class of funds without a sales charge, the ability
to reinvest Fund dividends into other funds and the right to combine holdings in
other funds to obtain a reduced sales charge. Favorable consideration was given
to management's continuous efforts and expenditures in establishing back-up
systems and recovery procedures to function in the event of a natural disaster,
it being noted that such systems and procedures had functioned smoothly during
the Florida hurricanes and blackouts experienced in recent years. Among other
factors taken into account by the Board were the Manager's best execution
trading policies, including a favorable report by an independent portfolio
trading analytical firm. Consideration was also given to the experience of the
Fund's portfolio management team, the number of accounts managed and general
method of compensation. In this latter respect, the Board noted that a primary
factor in management's determination of a portfolio manager's bonus compensation
was the relative investment performance of the funds he or she managed and that
a portion of such bonus was required to be invested in a pre-designated list of
funds within such person's fund management area so as to be aligned with the
interests of Fund shareholders. The Board also took into account the quality of
transfer agent and shareholder services provided Fund shareholders by an
affiliate of the Manager, noting continuing expenditures by management to
increase and improve the scope of such services, periodic favorable reports on
such service conducted by third parties, the high industry ranking given to the
Franklin Templeton website, and the firsthand experience of individual Board
members who deal with the shareholder services department in their capacities as
shareholders in one or more of the various Franklin Templeton funds.

Annual Report | 39

Franklin Global Trust

SHAREHOLDER INFORMATION (CONTINUED)

FRANKLIN GLOBAL REAL ESTATE FUND

BOARD REVIEW OF INVESTMENT MANAGEMENT AGREEMENT (CONTINUED)

The performance universe for the Fund consisted of the Fund and all retail and
institutional real estate funds as selected by Lipper. The Lipper report showed
the Fund's total return during its first full year of operation to be in the
second-highest quintile of such universe, and the Board was satisfied with such
performance.

COMPARATIVE EXPENSES. Consideration was given to the management fee and total
expense ratios of the Fund compared with those of a group of funds selected by
Lipper as its appropriate Lipper expense group. Prior to making such
comparisons, the Board relied upon a survey showing that the scope of management
advisory services covered under a Fund's investment management agreement was
similar to those provided by fund managers to other mutual fund groups. In
reviewing comparative costs, emphasis was given to the Fund's management fee in
comparison with the contractual investment management fee that would have been
charged by other funds within its Lipper expense group assuming they were
similar in size to the Fund, as well as the actual total expenses of the Fund in
comparison with those of its Lipper expense group. The Lipper contractual
investment management fee analysis includes the advisory and administrative fees
directly charged to the Fund as being part of the management fee. The
contractual investment management fee ratio for the Fund was above the median of
its Lipper expense group, but total expenses were below the median of such
expense group. The Board found the expenses of the Fund to be acceptable.

MANAGEMENT PROFITABILITY. The Board also considered the level of profits
realized by the Manager and its affiliates in connection with the operation of
the Fund. In this respect, the Board reviewed the Fund profitability analysis
that addresses the overall profitability of Franklin Templeton's U.S. fund
business, as well as its profits in providing management and other services to
the Fund. Specific attention was given to the methodology followed in allocating
costs to the Fund, it being recognized that allocation methodologies are
inherently subjective and various allocation methodologies may each be
reasonable while producing different results. In this respect, the Board noted
that, while being continuously refined and reflecting changes in the Manager's
own cost accounting, the allocation methodology was consistent with that
followed in profitability report presentations for the Fund made in prior years
and that the Fund's independent registered public accounting firm had been
engaged by the Manager to perform certain procedures on a biennial basis,
specified and approved by the Manager and the Fund's Board solely for their
purposes and use in reference to the profitability analysis. In reviewing and
discussing such analysis, management discussed with the Board its belief that
costs incurred in establishing the infrastructure necessary for the type of
mutual fund operations conducted by the Manager and its affiliates may

40 | Annual Report

Franklin Global Trust

SHAREHOLDER INFORMATION (CONTINUED)

FRANKLIN GLOBAL REAL ESTATE FUND

BOARD REVIEW OF INVESTMENT MANAGEMENT AGREEMENT (CONTINUED)

not be fully reflected in the expenses allocated to the Fund in determining its
profitability, as well as the fact that the level of profits, to a certain
extent, reflected operational cost savings and efficiencies initiated by
management. The Board also took into account management's expenditures in
improving shareholder services provided the Fund, as well as the need to meet
additional regulatory and compliance requirements resulting from the
Sarbanes-Oxley Act and recent SEC and other regulatory requirements. In
addition, the Board considered a third-party study comparing the profitability
of the Manager's parent on an overall basis as compared to other publicly held
managers broken down to show profitability from management operations exclusive
of distribution expenses, as well as profitability including distribution
expenses. The Board also considered the extent to which the Manager and its
affiliates might derive ancillary benefits from fund operations, including
potential benefits resulting from allocation of fund brokerage and the use of
"soft" commission dollars to pay for research. Based upon its consideration of
all these factors, the Board determined that the level of profits realized by
the Manager and its affiliates from providing services to the Fund was not
excessive in view of the nature, quality and extent of services provided.

ECONOMIES OF SCALE. The Board also considered whether economies of scale are
realized by the Manager as the Fund grows larger and the extent to which this is
reflected in the level of management fees charged. While recognizing that any
precise determination is inherently subjective, the Board noted that based upon
the Fund profitability analysis, it appears that as some funds get larger, at
some point economies of scale do result in the Manager realizing a larger profit
margin on management services provided such a fund. Franklin Global Real Estate
Fund had assets at December 31, 2007, of approximately $114 million. The Fund
also received fee waivers or expense reimbursements from management and while
intending to monitor future growth, the Board believed it unlikely that
economies of scale for the management of the Fund presently exists.

PROXY VOTING POLICIES AND PROCEDURES

Annual Report | 41

Franklin Global Trust

SHAREHOLDER INFORMATION (CONTINUED)

FRANKLIN GLOBAL REAL ESTATE FUND

QUARTERLY STATEMENT OF INVESTMENTS

42 | Annual Report

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(FRANKLIN TEMPLETON INVESTMENTS(R) LOGO) One Franklin Parkway
San Mateo, CA 94403-1906

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ANNUAL REPORT AND SHAREHOLDER LETTER

FRANKLIN GLOBAL REAL ESTATE FUND

INVESTMENT MANAGER

Franklin Templeton Institutional, LLC

DISTRIBUTOR

Franklin Templeton Distributors, Inc.
1-800/DIAL BEN(R)
franklintempleton.com

SHAREHOLDERS SERVICES

1-800/632-2301

To ensure the highest quality of service, telephone calls to and from our
service departments may be monitored, recorded and accessed. These calls can be
identified by the presence of a regular beeping tone.

FRANKLIN TEMPLETON EMERGING MARKET DEBT OPPORTUNITIES FUND

JULY 31, 2008

A series of Franklin Global Trust

ANNUAL REPORT

FRANKLIN TEMPLETON EMERGING MARKET DEBT OPPORTUNITIES FUND

(FRANKLIN TEMPLETON INSTITUTIONAL(R) LOGO)

Contents

ANNUAL REPORT

Franklin Templeton Emerging Market Debt Opportunities Fund ................ 1
Performance Summary ....................................................... 7
Your Fund's Expenses ...................................................... 9
Financial Highlights and Statement of Investments ......................... 11
Financial Statements ...................................................... 16
Notes to Financial Statements ............................................. 19
Report of Independent Registered Public Accounting Firm ................... 28
Tax Designation ........................................................... 29
Board Members and Officers ................................................ 30
Shareholder Information ................................................... 35

Annual Report

Franklin Templeton Emerging Market Debt Opportunities Fund

YOUR FUND'S GOAL AND MAIN INVESTMENTS: Franklin Templeton Emerging Market Debt
Opportunities Fund seeks high total return through investing in debt securities
of emerging market countries, mainly securities issued by sovereign and
sub-sovereign government entities, but also including securities issued by
corporate entities.

PORTFOLIO BREAKDOWN
Based on Total Net Assets as of 7/31/08

(PIE CHART)

Foreign Government & Agency Securities.......... 40.0%
Corporate Bonds................................. 22.3%
Warrants........................................ 4.7%
Short-Term Investments & Other Net Assets....... 33.0%

This annual report for Franklin Templeton Emerging Market Debt Opportunities
Fund covers the fiscal year ended July 31, 2008.

THE DOLLAR VALUE, NUMBER OF SHARES OR PRINCIPAL AMOUNT, AND NAMES OF ALL
PORTFOLIO HOLDINGS ARE LISTED IN THE FUND'S STATEMENT OF INVESTMENTS (SOI). THE
SOI BEGINS ON PAGE 12.

NOT FDIC INSURED | MAY LOSE VALUE | NO BANK GUARANTEE

Annual Report | 1

PERFORMANCE OVERVIEW

Franklin Templeton Emerging Market Debt Opportunities Fund posted a +7.33
cumulative total return for the 12 months ended July 31, 2008. The Fund
performed comparably to its benchmark, the J.P. Morgan (JPM) Emerging Markets
Bond Index (EMBI) Global Diversified Index, which returned +7.14%.(1) The Fund
underperformed its other benchmark, the JPM Global Bond Index (GBI) Emerging
Markets (EM) Broad Diversified Index, which returned +14.63% during the same
period.(2) You can find more performance data in the Performance Summary
beginning on page 7.

ECONOMIC AND MARKET OVERVIEW

The fiscal year under review encompassed much of the financial turmoil that
resulted from the unraveling of the U.S. housing market and related subprime
assets. Credit deterioration quickly spread throughout the global banking sector
and a massive flight to quality occurred as investors sought the relative safety
of U.S. Treasuries and sovereign debt securities. The run-up in U.S. Treasuries,
however, was accompanied by a weakening dollar relative to most major currencies
as a result of global fears of a U.S. recession. The G7 central banks were
concerned about evaporating liquidity in the global interbank markets and
slowing global growth rates.(3) This prompted many central banks to dramatically
ease their monetary policies to boost liquidity. Thus, the U.S. Federal Reserve
Board administered several interest rate cuts during the reporting period,
lowering the federal funds target rate 325 basis points (bps) from 5.25% to
2.00% by period-end. At the beginning of the review period, federal funds
futures contracts indicated that the federal funds target rate was expected to
be 4.75% in July 2008. At period-end, the July 2009 federal funds futures

(1.) Source: J.P. Morgan. The JPM EMBI Global Diversified Index is a uniquely
weighted version of the JPM EMBI Global Index, which tracks total returns
for U.S. dollar-denominated debt instruments issued by emerging market
sovereign and quasi-sovereign entities: Brady bonds, loans and Eurobonds.
The index includes all countries except those that have been classified by
the World Bank as high income for the past two consecutive years. The
diversified index limits the weights of those index countries with larger
debt stocks by only including specified portions of these countries'
eligible current face amounts of debt outstanding. Both indexes cover the
same countries.

(2.) Source: J.P. Morgan. The JPM GBI EM Broad Diversified Index tracks local
currency government bonds issued by emerging markets. The index limits the
weights of those index countries with larger debt stocks and redistributes
those weights to the countries with smaller weights, with a maximum 10%
country weight allowed. The indexes are unmanaged and include reinvested
interest. One cannot invest directly in an index, nor is an index
representative of the Fund's portfolio.

(3.) The G7, or Group of Seven, is an informal but exclusive body that seeks to
boost cooperation over trade and finance, strengthen the global economy,
promote peace and democracy, and prevent and resolve conflicts. The G7
includes Canada, France, Germany, Italy, Japan, the U.K. and the U.S. It is
now known as the G8, or Group of Eight, after the addition of Russia in
1997.

2 | Annual Report

contract was at 2.76%, which, despite mounting U.S. inflation concerns, was
close to the spot federal funds rate.

In contrast, emerging markets proved extremely resilient during the review
period with little change in the spreads of U.S. dollar-denominated sovereign
debt over U.S. Treasuries. Spreads widened just 77 bps from 237 bps at the
beginning of the fiscal year to 314 bps by period-end.(4) As a result, U.S.
dollar-denominated emerging market debt as represented by the JPM EMBI Global
Diversified Index, returned +7.14 over the past year, a slight improvement from
the previous year.(4) Local currency-denominated emerging market debt as
represented by the JPM GBI EM Broad Diversified Index continued to perform
significantly better than its U.S. dollar-denominated counterpart, returning
+14.63% for the same period.(5) Most of the outperformance was due to the
weakening U.S. dollar compared with most emerging market currencies, including
those managed within a floating range relative to the U.S. dollar. In
particular, euro-linked economies experienced sharp appreciation of their
respective currencies versus the U.S. dollar. The Polish zloty gained +34.56%,
the Czech koruna +33.41%, the Slovakian koruna +25.18% and the Hungarian forint
+23.18%.(6) The Brazilian real was also very strong versus the U.S. dollar,
gaining +19.35%, while the Thai baht declined 10.42%.(6)

Emerging markets generally faced rising domestic consumer and producer prices.
Price volatility was heightened for those economies that stifled currency
appreciation and with negative trade balances. However, many emerging market
nations tightened monetary policies and exercised fiscal discipline. Notably,
several countries reduced subsidies aimed at supporting domestic energy
consumption. Although emerging markets are not immune to the impact of further
global capital market deterioration and softening developed economies, exporting
economies have expanded trade to new partners within the emerging markets. Also,
the global banking sector pass-through effects have been relatively contained,
as emerging market corporations and banks tend not to be highly leveraged.
Nevertheless, the emerging markets private sector's external vulnerability
increased due to cheap U.S. dollar-denominated financing. Thus, to the extent
that consumption, credit and securitization have developed rapidly in certain
emerging markets, we must carefully monitor and screen emerging market debt for
those opportunities we believe could offer the best value for our investors
consistent with our investment strategy.

GEOGRAPHIC BREAKDOWN
7/31/08

% OF TOTAL
COUNTRY NET ASSETS
- ------- ----------

South Africa 7.5%
Iraq 6.8%
Kazakhstan 6.0%
Ghana 5.5%
Russia 5.1%
Brazil 4.0%
Ukraine 3.5%
Venezuela 3.1%
Ivory Coast 3.1%
Czech Republic 2.5%
Nigeria 2.4%
Republic of Angola 2.2%
Hungary 2.1%
Turkey 1.9%
Zambia 1.8%
Ecuador 1.7%
Mexico 1.7%
Argentina 1.7%
Jordan 1.6%
Trinidad & Tobago 1.5%
El Salvador 1.4%
Serbia 1.4%
Georgia 1.1%
Indonesia 0.9%
Dominican Republic 0.8%
Vietnam 0.7%
Peru 0.7%
North Korea 0.6%
Grenada 0.6%
Fiji 0.5%
Moldova 0.5%
Short-Term Investments & Other Net Assets 25.1%

(4.) Source: J.P. Morgan. See footnote 1 for a description of the JPM EMBI
Global Diversified Index.

(5.) Source: J.P. Morgan. See footnote 2 for a description of the JPM GBI EM
Broad Diversified Index.

(6.) Source: Exshare (via Compustat via Factset).

Annual Report | 3

CURRENCY BREAKDOWN*
7/31/08

% OF TOTAL
CURRENCY NET ASSETS
- -------- ----------

U.S. Dollar 77.8%
South African Rand 5.0%
Brazilian Real 4.0%
Zambian Kwacha 2.2%
Hungarian Forint 2.1%
Colombian Peso 2.1%
Turkish Lira 1.9%
Mexican Peso 1.7%
Ghanian Cedi 1.6%
Ukrainian Hryvna 1.5%
Indonesian Rupiah 0.9%
West African Franc 0.9%
Vietnamese Dong 0.8%

* May differ from the SOI due to the underlying currency exposure on
credit-linked notes, pass-through securities and forward currency exchange
contracts. Japanese yen = 0.0% and euro = -2.5% due to forward currency
exchange contracts.

INVESTMENT STRATEGY

Our portfolio construction process can be summarized in three integral steps --
country allocation, currency allocation and issue selection. The first stage of
our emerging market debt investment process is identifying the countries for
which we have a favorable outlook, which we manage with a bottom-up
research-driven perspective. Since the portfolio is constructed through
bottom-up, fundamental research and not relative to a benchmark index, there is
no requirement to hold issues in any one country. The next decision is whether
to take exposure in the form of "hard currency" or local currency instruments.
Hard currencies are currencies in which investors have confidence and are
typically currencies of economically and politically stable industrialized
nations. The last decision concerns security selection. This depends on the
shape of the sovereign spread curve and the type of the issue's coupon (fixed or
floating). We may seek to manage the Fund's exposure to various currencies, and
may from time to time seek to hedge (protect) against currency risk, largely by
using forward currency exchange contracts.

MANAGER'S DISCUSSION

At period-end, the Fund held 64 securities representing 31 emerging market
countries. Twenty-four of the 31 countries issued securities denominated in G7
currencies. Of these, 30 securities, comprising 31.9% of the Fund's total net
assets, had an underlying currency risk in U.S. dollars; nine in euro (12.8%);
and two in Japanese yen (6.7%). Twenty-three holdings had an underlying currency
risk in the local currencies of Brazil, Colombia, Ghana, Hungary, Indonesia,
Ivory Coast, Mexico, South Africa, Turkey, Ukraine, Vietnam and Zambia. The
Fund's overall exposure to local currencies was 24.7% of total net assets at
period-end.

During the reporting period, the Fund benefited from a locally denominated,
inflation-protected Brazilian bond, which was among the most significant
contributors to performance. Although Brazil has the slowest growth rate of the
four BRIC (Brazil, Russia, India and China) nations, its local bond market
performed well as yields were generally above the inflation rate. The central
bank successfully controlled inflation while limiting the real's appreciation
versus the U.S. dollar.

4 | Annual Report

A Polish state-owned utility company's euro-denominated bond was another key
contributor to performance. By period-end, however, the Fund no longer held the
bond as it was called in December 2007.

The Fund also benefited from its Ivory Coast defaulted Brady bonds and locally
denominated domestic debt. The Ivory Coast's West African franc is pegged to the
euro, which soared to record highs compared to the U.S. dollar. Ecuadorean Brady
bonds denominated in U.S. dollars also contributed to performance due to the
rise in oil prices combined with expectations of debt buybacks.

Despite the Fund's positive returns, the Fund had some poor performers this
fiscal year. Among these investments were euro-denominated corporate bonds of
two South African issuers that suffered from global credit deterioration,
regional power shortages and political uncertainty. However, our analysis
indicated that both investments remained attractively valued at period-end. The
Fund's Vietnam bonds also proved to be disappointing as rampant inflation pushed
the government yield curve higher during the review period.

During the reporting period, we added exposure to five countries: Czech
Republic, Georgia, Hungary, Angola and Indonesia. Conversely, we eliminated our
short-term exposure to the locally-denominated sovereign debt of Egypt,
Mauritius and Malawi. We also eliminated our exposure to Poland due to the
aforementioned Polish utility bond call.

We initiated new positions in two European-listed companies based in the Czech
Republic in the media and mining sectors. Other new holdings included a private
savings bank in Kazakhstan; a provincial bank, a quasi-sovereign and a private
energy company in the Russian Federation; a privately-owned food producer in
South Africa; and a municipal and private bank in Ukraine.

TOP 10 HOLDINGS
7/31/08

ISSUE % OF TOTAL
SECTOR, COUNTRY NET ASSETS
- --------------- ----------

Government of Iraq 6.8%
FOREIGN GOVERNMENT & AGENCY SECURITIES, IRAQ
Nota Do Tesouro Nacional, Index Linked 4.0%
FOREIGN GOVERNMENT & AGENCY SECURITIES, BRAZIL
Sphynx Ghana Telecom 2.5%
TELECOMMUNICATIONS, GHANA
Central Bank of Nigeria 2.4%
WARRANTS, NIGERIA
Alfa MTN Markets for ABH Financial, 144A 2.4%
COMMERCIAL BANKS, RUSSIA
Astana-Finance 2.3%
THRIFTS & MORTGAGE FINANCE, KAZAKHSTAN
HSBK Europe BV Reg S 2.3%
CONSUMER FINANCE, KAZAKHSTAN
Government of Venezuela, Oil Value Recovery 2.3%
WARRANTS, VENEZUELA
Government of Ivory Coast 2.2%
FOREIGN GOVERNMENT & AGENCY SECURITIES, IVORY COAST
Deutsche Bank AG 2.2%
FOREIGN GOVERNMENT & AGENCY SECURITIES, REPUBLIC OF ANGOLA

Annual Report | 5

We thank you for your confidence in Franklin Templeton Emerging Market Debt
Opportunities Fund and hope to serve your investment needs at the highest level
of expectations.

(PHOTO OF WILLIAM LEDWARD)

/s/ William Ledward
- ---------------------------------------------
William Ledward
Portfolio Manager and Research Analyst of
Franklin Templeton Investment Management Ltd.
Fixed Income Group

(PHOTO OF CLAIRE HUSSON)

/s/ Claire Husson
- ---------------------------------------------
Claire Husson
Portfolio Manager and Research Analyst of
Franklin Templeton Investment Management Ltd.
Fixed Income Group

Portfolio Management Team
Franklin Templeton Emerging Market Debt Opportunities Fund

6 | Annual Report

Performance Summary as of 7/31/08

PRICE AND DISTRIBUTION INFORMATION

SYMBOL: FEMDX CHANGE 7/31/08 7/31/07
- ------------- ------ ------- -------

Net Asset Value (NAV) +$0.07 $11.32 $11.25
DISTRIBUTIONS (8/1/07-7/31/08)
Dividend Income $0.6530
Short-Term Capital Gain $0.0595
TOTAL $0.7125

PERFORMANCE(1)

1-YEAR INCEPTION (5/24/06)
------- -------------------

Cumulative Total Return(2) +7.33% +24.41%
Average Annual Total Return(3) +7.33% +10.51%
Value of $50,000 Investment(4) $53,666 $62,206
Avg. Ann. Total Return (6/30/08)(5) +6.48% +10.53%
Total Annual Operating Expenses(6)
Without Waiver 1.34%
With Waiver 1.10%

PERFORMANCE DATA REPRESENT PAST PERFORMANCE, WHICH DOES NOT GUARANTEE FUTURE
RESULTS. INVESTMENT RETURN AND PRINCIPAL VALUE WILL FLUCTUATE, AND YOU MAY HAVE
A GAIN OR LOSS WHEN YOU SELL YOUR SHARES. CURRENT PERFORMANCE MAY DIFFER FROM
FIGURES SHOWN. FOR MOST RECENT MONTH-END PERFORMANCE, PLEASE CALL A FRANKLIN
TEMPLETON INSTITUTIONAL SERVICES REPRESENTATIVE AT 1-800/321-8563.

THE INVESTMENT MANAGER AND ADMINISTRATOR HAVE CONTRACTUALLY AGREED TO WAIVE OR
LIMIT THEIR RESPECTIVE FEES AND TO ASSUME AS THEIR OWN EXPENSE CERTAIN EXPENSES
OTHERWISE PAYABLE BY THE FUND SO THAT TOTAL ANNUAL FUND OPERATING EXPENSES,
EXCLUDING ACQUIRED FUND FEES AND EXPENSES, DO NOT EXCEED 1.10% (OTHER THAN
CERTAIN NON-ROUTINE EXPENSES OR COSTS, INCLUDING THOSE RELATING TO LITIGATION,
INDEMNIFICATION, REORGANIZATIONS AND LIQUIDATIONS) UNTIL 11/30/08.

Annual Report | 7

Performance Summary (CONTINUED)

TOTAL RETURN INDEX COMPARISON FOR HYPOTHETICAL $50,000 INVESTMENT(1)

AVERAGE ANNUAL TOTAL RETURN

7/31/08
-------

1-Year +7.33%
Since Inception (5/24/06) +10.51%

5/24/06-7/31/08

(LINE CHART)

USD
OPPSUS-FGT FRANKLIN USD USD
TEMPLETON JP MORGAN EMBI JPMORGAN GBI-EM
EMERGING MARKET DEBT GLOBAL DIVERSIFIED BROAD DIVERSIFIED
OPPORTUNITIES FUND (USD BASED) INDEX USD UNHEDGED INDEX
24-MAY-06 24-MAY-06 24-MAY-06
INCEPTION DATE NET GROSS GROSS
CALENDAR MONTH 4493 BM4292 BM2667
- -------------- -------------------- ------------------ -------------------

May-06 49,900.00 49,791.49 50,114.31
Jun-06 49,750.01 49,608.95 49,120.64
Jul-06 50,949.96 51,155.63 50,676.90
Aug-06 51,800.05 52,470.53 51,248.45
Sep-06 51,750.14 52,781.30 51,113.83
Oct-06 53,000.24 53,813.90 53,212.37
Nov-06 53,350.33 54,452.26 54,682.21
Dec-06 53,985.86 54,791.85 55,759.54
Jan-07 54,192.22 54,705.61 55,359.45
Feb-07 55,172.10 55,612.03 55,918.61
Mar-07 55,739.31 56,125.92 57,431.14
Apr-07 57,234.54 56,554.11 59,143.37
May-07 57,956.45 56,335.73 60,109.14
Jun-07 57,956.62 55,264.63 59,942.85
Jul-07 57,956.70 54,678.13 60,698.94
Aug-07 57,389.58 55,265.05 59,769.32
Sep-07 58,884.96 56,578.35 62,684.89
Oct-07 60,070.92 57,967.24 65,022.04
Nov-07 59,555.31 57,814.09 64,304.85
Dec-07 60,007.83 58,164.37 64,723.18
Jan-08 59,513.32 58,621.23 66,013.29
Feb-08 60,007.78 58,556.38 67,058.95
Mar-08 60,227.52 58,526.46 66,682.96
Apr-08 61,436.44 59,079.94 67,501.38
May-08 62,150.93 59,149.93 67,651.15
Jun-08 61,711.39 57,990.38 66,435.41
Jul-08 62,206.03 58,590.52 69,579.60

ENDNOTES

SPECIAL RISKS ARE ASSOCIATED WITH FOREIGN INVESTING, INCLUDING CURRENCY
VOLATILITY, ECONOMIC INSTABILITY, AND SOCIAL AND POLITICAL DEVELOPMENTS OF
COUNTRIES WHERE THE FUND INVESTS. EMERGING MARKETS INVOLVE HEIGHTENED RISKS
RELATED TO THE SAME FACTORS, IN ADDITION TO THOSE ASSOCIATED WITH THEIR
RELATIVELY SMALL SIZE AND LESSER LIQUIDITY. ALSO, AS A NONDIVERSIFIED INVESTMENT
COMPANY, THE FUND MAY INVEST IN A RELATIVELY SMALL NUMBER OF ISSUERS AND, AS A
RESULT, BE SUBJECT TO A GREATER RISK OF LOSS WITH RESPECT TO ITS PORTFOLIO
SECURITIES. THE FUND'S PROSPECTUS ALSO INCLUDES A DESCRIPTION OF THE MAIN
INVESTMENT RISKS.

(1.) If the manager and administrator had not waived fees, the Fund's total
returns would have been lower.

(2.) Cumulative total return represents the change in value of an investment
over the periods indicated.

(3.) Average annual total return represents the average annual change in value
of an investment over the periods indicated.

(4.) These figures represent the value of a hypothetical $50,000 investment in
the Fund over the periods indicated.

(5.) In accordance with SEC rules, we provide standardized average annual total
return information through the latest calendar quarter.

(6.) Figures are as stated in the Fund's prospectus current as of the date of
this report.

(7.) Source: J.P. Morgan. The JPM EMBI Global Diversified Index is a uniquely
weighted version of the JPM EMBI Global Index, which tracks total returns
for U.S. dollar-denominated debt instruments issued by emerging market
sovereign and quasi-sovereign entities: Brady bonds, loans and Eurobonds.
The index includes all countries except those that have been classified by
the World Bank as high income for the past two consecutive years. The
diversified index limits the weights of those index countries with larger
debt stocks by only including specified portions of these countries'
eligible current face amounts of debt outstanding. Both indexes cover the
same countries. The JPM GBI EM Broad Diversified Index tracks local
currency government bonds issued by emerging markets. The index limits the
weights of those index countries with larger debt stocks and redistributes
those weights to the countries with smaller weights, with a maximum 10%
country weight allowed.

8 | Annual Report

Your Fund's Expenses

As a Fund shareholder, you can incur two types of costs:

- - Transaction costs, including sales charges (loads) on Fund purchases and
redemption fees; and

- - Ongoing Fund costs, including management fees, distribution and service
(12b-1) fees, and other Fund expenses. All mutual funds have ongoing costs,
sometimes referred to as operating expenses.

ACTUAL FUND EXPENSES

The first line (Actual) of the table provides actual account values and
expenses. The "Ending Account Value" is derived from the Fund's actual return,
which includes the effect of Fund expenses.

You can estimate the expenses you paid during the period by following these
steps. OF COURSE, YOUR ACCOUNT VALUE AND EXPENSES WILL DIFFER FROM THOSE IN THIS
ILLUSTRATION:

1. Divide your account value by $1,000.
IF AN ACCOUNT HAD AN $8,600 VALUE, THEN $8,600 / $1,000 = 8.6.

2. Multiply the result by the number under the heading "Expenses Paid During
Period."
IF EXPENSES PAID DURING PERIOD WERE $7.50, THEN 8.6 X $7.50 = $64.50.

In this illustration, the estimated expenses paid this period are $64.50.

HYPOTHETICAL EXAMPLE FOR COMPARISON WITH OTHER FUNDS

Annual Report | 9

Your Fund's Expenses (CONTINUED)

PLEASE NOTE THAT EXPENSES SHOWN IN THE TABLE ARE MEANT TO HIGHLIGHT ONGOING
COSTS AND DO NOT REFLECT ANY TRANSACTION COSTS, SUCH AS SALES CHARGES OR
REDEMPTION FEES, IF APPLICABLE. Therefore, the second line of the table is
useful in comparing ongoing costs only, and will not help you compare total
costs of owning different funds. In addition, if transaction costs were
included, your total costs would have been higher. Please refer to the Fund
prospectus for additional information on operating expenses.

BEGINNING ACCOUNT ENDING ACCOUNT EXPENSES PAID DURING
VALUE 2/1/08 VALUE 7/31/08 PERIOD* 2/1/08-7/31/08
----------------- -------------- ----------------------

Actual $1,000 $1,045.20 $5.59
Hypothetical (5% return before expenses) $1,000 $1,019.39 $5.52

* Expenses are calculated using the most recent six-month annualized expense
ratio, net of expense waiver, of 1.10%, multiplied by the average account
value over the period, multiplied by 182/366 to reflect the one-half year
period.

10 | Annual Report

Franklin Global Trust

FINANCIAL HIGHLIGHTS

FRANKLIN TEMPLETON EMERGING MARKET DEBT OPPORTUNITIES FUND

YEAR ENDED JULY 31,
----------------------------
2008 2007 2006(a)
-------- ------- -------

PER SHARE OPERATING PERFORMANCE
(for a share outstanding throughout the year)
Net asset value, beginning of year ............................................. $ 11.25 $ 10.19 $10.00
-------- ------- ------
Income from investment operations(b):
Net investment income(c) .................................................... 0.80 0.76 0.08
Net realized and unrealized gains (losses) .................................. (0.02) 0.63 0.11
-------- ------- ------
Total from investment operations ............................................... 0.78 1.39 0.19
-------- ------- ------
Less distributions from:
Net investment income ....................................................... (0.65) (0.32) --
Net realized gains .......................................................... (0.06) (0.01) --
-------- ------- ------
Total distributions ............................................................ (0.71) (0.33) --
-------- ------- ------
Net asset value, end of year ................................................... $ 11.32 $ 11.25 $10.19
======== ======= ======
Total return(d) ................................................................ 7.33% 13.75% 1.90%
RATIOS TO AVERAGE NET ASSETS(e)
Expenses before waiver and payments by affiliates and expense reduction ........ 1.23% 1.35% 4.34%
Expenses net of waiver and payments by affiliates .............................. 1.10% 1.11% 1.10%
Expenses net of waiver and payments by affiliates and expense reduction ........ 1.10% 1.10% 1.10%
Net investment income .......................................................... 7.11% 7.03% 4.07%
SUPPLEMENTAL DATA
Net assets, end of year (000's) ................................................ $102,294 $56,822 $9,377
Portfolio turnover rate ........................................................ 47.56% 65.54% 38.29%

(a) For the period May 24, 2006 (commencement of operations) to July 31, 2006.

(d) Total return is not annualized for periods less than one year.

(e) Ratios are annualized for periods less than one year.

The accompanying notes are an integral part of these financial statements.

Annual Report | 11

Franklin Global Trust

STATEMENT OF INVESTMENTS, JULY 31, 2008

FRANKLIN TEMPLETON EMERGING MARKET DEBT OPPORTUNITIES FUND COUNTRY WARRANTS VALUE
- ---------------------------------------------------------- ------------------- -------------------- -----------

WARRANTS 4.7%
(a) Central Bank of Nigeria, wts., 11/15/20 .............................. Nigeria 11,250 $ 2,463,750
(a) Government of Venezuela, Oil Value Recovery wts., 4/15/20 ............ Venezuela 66,400 2,348,900
-----------
TOTAL WARRANTS (COST $4,875,450) ..................................... 4,812,650
-----------
PRINCIPAL AMOUNT(b)
--------------------
CORPORATE BONDS 22.3%
COMMERCIAL BANKS 4.3%
AK Bars Bank, senior note, 8.25% 6/28/10 ............................. Russia 1,000,000 996,000
(c) Alfa MTN Markets for ABH Financial, 144A, 8.20%, 6/25/12 ............. Russia 2,500,000 2,418,750
(c) Ukrainian MTN Finance, 144A, 9.25%, 8/04/11 .......................... Ukraine 1,000,000 1,008,250
-----------
4,423,000
-----------
CONSUMER FINANCE 2.3%
(d) HSBK Europe BV, Reg S, 9.25%, 10/16/13 ............................... Kazakhstan 2,400,000 2,349,120
-----------
ELECTRICAL EQUIPMENT 0.8%
(c) Ege Haina Finance Co., senior note, 144A, 9.50%, 4/26/17 ............. Dominican Republic 900,000 864,000
-----------
FOOD PRODUCTS 1.2%
(d) Foodcorp Ltd., Reg S, 8.875%, 6/15/12 ................................ South Africa 1,130,000 EUR 1,233,446
-----------
MEDIA 0.7%
(d,e) Central European Media Enterprises Ltd., senior note, Reg S, FRN,
6.504%, 5/15/14 ................................................... Czech Republic 500,000 EUR 715,069
-----------
METALS & MINING 1.8%
(d) New World Resources BV, senior bond, Reg S, 7.375%, 5/15/15 .......... Czech Republic 1,300,000 EUR 1,814,304
-----------
OIL, GAS & CONSUMABLE FUELS 4.6%
(d) Gaz Capital SA, senior bond, Reg S, 8.146%, 4/11/18 .................. Russia 1,000,000 1,016,832
Intergas Finance BV, 6.375%, 5/14/17 ................................. Kazakhstan 1,700,000 1,460,980
Petro Co. of Trinidad and Tobago Ltd., senior note,
(c) 144A, 6.00%, 5/08/22 .............................................. Trinidad and Tobago 1,200,000 1,138,560
(d) Reg S, 6.00%, 5/08/22 ............................................. Trinidad and Tobago 400,000 381,320
(d) TNK-BP Finance SA, senior note, Reg S, 7.875%, 3/13/18 ............... Russia 810,000 754,313
-----------
4,752,005
-----------
SPECIALTY RETAIL 1.3%
(d,e) Edcon Holdings, senior secured bond, Reg S, FRN, 10.458%, 6/15/15 .... South Africa 1,600,000 EUR 1,297,379
-----------
TELECOMMUNICATIONS 3.0%
(e,f) Ghana Telecommunications Co. Ltd., FRN, 18.50%, 12/20/10 ............. Ghana 565,000 GHS 464,719
Sphynx Ghana Telecom, 8.50% 10/29/12 ................................. Ghana 2,500,000 2,550,000
-----------
3,014,719
-----------
THRIFTS & MORTGAGE FINANCE 2.3%
Astana-Finance, 7.875%, 6/08/10 ...................................... Kazakhstan 1,600,000 EUR 2,350,502
-----------
TOTAL CORPORATE BONDS (COST $22,940,662) ............................. 22,813,544
-----------

12 | Annual Report

Franklin Global Trust

STATEMENT OF INVESTMENTS, JULY 31, 2008 (CONTINUED)

FRANKLIN TEMPLETON EMERGING MARKET DEBT OPPORTUNITIES FUND COUNTRY PRINCIPAL AMOUNT(b) VALUE
- ---------------------------------------------------------- ------------------- -------------------- -----------

FOREIGN GOVERNMENT AND AGENCY SECURITIES 40.0%
(c,g) Barclays Bank PLC, 144A,
10.00%, 10/19/11 .................................................. Indonesia 2,000,000,000 IDR $ 220,323
(e) cvt., FRN, 10.00%, 10/17/11 ....................................... Indonesia 7,000,000,000 IDR 740,022
(d) Bolivarian Republic Of Venezuela, Reg S, 9.25%, 5/07/28 .............. Venezuela 1,000,000 850,000
(c) City of KYIV, 144A, 8.25%, 11/26/12 .................................. Ukraine 1,100,000 1,062,380
(e,g) Deutsche Bank AG, senior note, FRN, 10.127%, 6/19/16 ................. Republic of Angola 1,400,000 EUR 2,215,827
Development & Investment Projects Jordan Armed Forces,
senior note, 6.14%, 12/16/19 ...................................... Jordan 1,700,000 1,598,000
(h) Government of Argentina, 11.75%, 5/20/11 ............................. Argentina 3,000,000 DEM 605,736
Government of Ecuador,
(e) FRN, 3.875%, 2/27/15 .............................................. Ecuador 574,413 430,075
(d) Reg S, 9.375%, 12/15/15 ........................................... Ecuador 1,300,000 1,286,838
Government of Georgia, 7.50%, 4/15/13 ................................ Georgia 1,200,000 1,156,100
Government of Ghana,
13.67%, 6/15/12 ................................................... Ghana 850,000 GHS 641,180
(d) Reg S, 8.50%, 10/04/17 ............................................ Ghana 1,500,000 1,510,980
(d) Government of Grenada, Reg S, 1.00% to 9/15/08, 2.50% to
9/15/11, 4.50% to 9/15/13, 6.00% to 9/15/15, 8.00% to
9/15/17, 8.50% to 9/15/18, 9.00% thereafter, 9/15/25 .............. Grenada 1,100,000 594,000
(i) Government of Hungary, 6.75%, 4/12/10 ................................ Hungary 330,000,000 HUF 2,131,819
(e,f) Government of Iraq,
FRN, 1.563%, 1/01/28 .............................................. Iraq 1,440,828,677 JPY 4,399,358
Tranche A3, Sumitomo Corp. Loan, FRN, 1.536%, 1/01/28 ............. Iraq 823,330,672 JPY 2,513,919
(e,h) Government of Ivory Coast, FRN, 2.90%, 3/30/18 ....................... Ivory Coast 25,650,000 FRF 2,286,583
(e) Government of Moldova, FRN, 7.705%, 10/29/09 ......................... Moldova 548,400 539,064
(d) Government of Serbia, Reg S, 3.75% to 11/01/09,
6.75% thereafter, 11/01/24 ........................................ Serbia 1,500,000 1,402,965
Government of Turkey,
(e) FRN, 17.82%, 2/26/14 .............................................. Turkey 1,265,000 TRY 1,095,523
(j) Index Linked, 10.00%, 2/15/12 ..................................... Turkey 1,049,444 TRY 886,064
(e,g) HSBC Bank PLC, cvt., FRN,
8.345%, 11/15/11 .................................................. Vietnam 287,356 208,256
7.669%, 2/07/12 ................................................... Vietnam 329,326 228,616
7.855%, 10/23/12 .................................................. Vietnam 485,226 326,955
ING Bank NV, 11.89%, 12/30/09 ........................................ Ukraine 7,000,000 UAH 1,471,912
(h) NK Debt Corp., zero cpn., 3/12/10 .................................... North Korea 3,000,000 DEM 597,962
(i,j) Nota Do Tesouro Nacional, Index Linked, 6.00%, 5/15/15 ............... Brazil 4,000(k) BRL 4,072,828
Peru Enhanced Pass-Through Finance Ltd., senior secured bond, A-1,
(c) 144A, zero cpn., 5/31/18 .......................................... Peru 797,364 528,254
(d) Reg S, zero cpn., 5/31/18 ......................................... Peru 246,100 163,041
Province Del Neuquen, senior secured note,
8.656%, 10/18/14 .................................................. Argentina 92,600 91,674
(c) 144A, 8.656%, 10/18/14 ............................................ Argentina 555,600 548,655
(d) Reg S, 8.656%, 10/18/14 ........................................... Argentina 463,000 458,370
(d) Republic of El Salvador, Reg S, 7.65%, 6/15/35 ....................... El Salvador 1,450,000 1,425,350
Republic of Fiji, 6.875%, 9/13/11 .................................... Fiji 600,000 565,847

Annual Report | 13

Franklin Global Trust

STATEMENT OF INVESTMENTS, JULY 31, 2008 (CONTINUED)

FOREIGN GOVERNMENT AND AGENCY SECURITIES (CONTINUED)
Sphynx Capital Markets,
10.25%, 1/30/10 ................................................... Ivory Coast 305,017 EUR $ 438,768
(e) cvt., FRN, 13.00%, 8/11/10 ........................................... Ghana 600,000 GHS 501,948
(e,g) Standard Chartered Bank, cvt., FRN, 14.336%, 3/02/12 ................. Zambia 1,000,000 1,066,941
-----------
TOTAL FOREIGN GOVERNMENT AND AGENCY SECURITIES
(COST $38,671,304) ................................................ 40,862,133
-----------
TOTAL INVESTMENTS BEFORE SHORT TERM INVESTMENTS
(COST $66,487,416) ................................................ 68,488,327
-----------
SHORT TERM INVESTMENTS 31.8%
FOREIGN GOVERNMENT AND AGENCY SECURITIES 7.9%
(l) Mexico Treasury Bills, 8/28/08 - 12/18/08 ............................ Mexico 1,750,000(m) MXN 1,712,115
(l) South Africa Treasury Bill,
8/27/08 ........................................................... South Africa 12,000,000 ZAR 1,623,858
11/19/08 .......................................................... South Africa 7,000,000 ZAR 922,137
12/17/08 .......................................................... South Africa 20,000,000 ZAR 2,606,283
(g) Standard Bank PLC, zero cpn ., 9/11/08 ............................... Ivory Coast 200,000,000 XOF 473,513
(l) Zambia Treasury Bills, 11/10/08 - 2/16/09 ............................ Zambia 3,000,000,000 ZMK 806,909
-----------
TOTAL FOREIGN GOVERNMENT AND AGENCY SECURITIES
(COST $7,569,004) ................................................. 8,144,815
-----------
TOTAL INVESTMENTS BEFORE REPURCHASE AGREEMENT
(COST $74,056,420) ................................................ 76,633,142
-----------
REPURCHASE AGREEMENT (COST $24,413,686) 23.9%
(n) Joint Repurchase Agreement, 2.090%, 8/01/08
(Maturity Value $24,415,103) ...................................... United States 24,413,686 24,413,686
ABN AMRO Bank NV, New York Branch
(Maturity Value $2,061,123)
Banc of America Securities LLC (Maturity Value $2,061,123)
Barclays Capital Inc. (Maturity Value $2,061,123)
BNP Paribas Securities Corp. (Maturity Value $2,061,123)
Credit Suisse Securities (USA) LLC (Maturity Value $2,061,123)
Deutsche Bank Securities Inc. (Maturity Value $2,061,123)
Dresdner Kleinwort Securities LLC (Maturity Value $2,061,123)
Goldman, Sachs & Co. (Maturity Value $2,061,123)
Lehman Brothers Inc. (Maturity Value $1,742,750)
Merrill Lynch Government Securities Inc.
(Maturity Value $2,061,123)
Morgan Stanley & Co. Inc. (Maturity Value $2,061,123)
UBS Securities LLC (Maturity Value $2,061,123)
Collateralized by U.S. Government Agency Securities,
2.375% - 6.25%, 8/04/08 - 5/06/13; (l) U.S. Government Agency
Discount Notes, 12/08/08 - 5/29/09; (l) U.S. Treasury Bill,
12/11/08 and U.S. Treasury Notes, 3.375% - 4.625%,
5/15/09 - 6/30/13

14 | Annual Report

Franklin Global Trust

STATEMENT OF INVESTMENTS, JULY 31, 2008 (CONTINUED)

FRANKLIN TEMPLETON EMERGING MARKET DEBT OPPORTUNITIES FUND VALUE
- ---------------------------------------------------------- ------------

TOTAL INVESTMENTS (COST $98,470,106) 98.8% ............... $101,046,828
NET UNREALIZED GAIN ON FORWARD EXCHANGE CONTRACTS 0.5% ... 489,067
OTHER ASSETS, LESS LIABILITIES 0.7% ...................... 757,963
------------
NET ASSETS 100.0% ........................................ $102,293,858
============

CURRENCY ABBREVIATIONS
BRL - Brazilian Real
DEM - Deutsche Mark
EUR - Euro
FRF - French Franc
GHS - New Ghana Cedi
HUF - Hungarian Forint
IDR - Indonesian Rupiah
JPY - Japanese Yen
MXN - Mexican Peso
TRY - Turkish Lira
UAH - Ukraine Hryvna
XOF - West African Franc
ZAR - South African Rand
ZMK - Zambia Kwacha

SELECTED PORTFOLIO ABBREVIATIONS
FRN - Floating Rate Note
MTN - Medium Term Note

(a) Security is held in Alternative Strategies (FT) Ltd., a wholly owned
subsidiary of the Fund. See Note 1(g).

(b) The principal amount is stated in U.S. dollars unless otherwise indicated.

(c) Security was purchased pursuant to Rule 144A under the Securities Act of
1933 and may be sold in transactions exempt from registration only to
qualified institutional buyers or in a public offering registered under the
Securities Act of 1933. These securities have been deemed liquid under
guidelines approved by the Trust's Board of Trustees. At July 31, 2008, the
aggregate value of these securities was $8,529,194, representing 8.34% of
net assets.

(d) Security was purchased pursuant to Regulation S under the Securities Act of
1933, which exempts from registration securities offered and sold outside
of the United States. Such a security cannot be sold in the United States
without either an effective registration statement filed pursuant to the
Securities Act of 1933, or pursuant to an exemption from registration.
These securities have been deemed liquid under guidelines approved by the
Trust's Board of Trustees. At July 31, 2008, the aggregate value of these
securities was $17,253,327, representing 16.87% of net assets.

(e) The coupon rate shown represents the rate at period end.

(f) Security has been deemed illiquid because it may not be able to be sold
within seven days. At July 31, 2008, the aggregate value of these
securities was $7,377,996, representing 7.21% of net assets.

(g) See Note 1(f) regarding credit linked notes.

(h) See Note 10 regarding defaulted securities.

(i) A portion or all of the securities purchased on a delayed delivery basis.
See Note 1(d).

(j) Redemption price at maturity is adjusted for inflation. See Note 1(h).

(k) Principal amount is stated in 1,000 Brazilian Real Units.

(l) The security is traded on a discount basis with no stated coupon rate.

(m) Principal amount is stated in 10 Mexican Peso Units.

(n) See Note 1(c) regarding repurchase agreements.

The accompanying notes are an integral part of these financial statements.

Annual Report | 15

Franklin Global Trust

FINANCIAL STATEMENTS

STATEMENT OF ASSETS AND LIABILITIES
July 31, 2008

FRANKLIN
TEMPLETON
EMERGING MARKET
DEBT
OPPORTUNITIES
FUND
----------------

Assets:
Investments in securities:
Cost - Unaffiliated issuers ........................... $ 74,056,420
Cost - Repurchase agreements .......................... 24,413,686
-------------
Total cost of investments ............................. $ 98,470,106
=============
Value - Un affiliated issuers ......................... $ 76,633,142
Value - Repurchase agreements ......................... 24,413,686
-------------
Total value of investments ............................ 101,046,828
Cash ..................................................... 13,684
Foreign currency, at value (cost $485,641) ............... 475,099
Receivables:
Investment securities sold ............................ 1,161,598
Capital shares sold ................................... 1,724,827
Interest .............................................. 1,123,205
Unrealized gain on forward exchange contracts (Note 8) ... 497,851
-------------
Total assets ....................................... 106,043,092
-------------
Liabilities:
Payables:
Investment securities purchased ....................... 3,662,756
Affiliates ............................................ 31,099
Unrealized loss on forward exchange contracts (Note 8) ... 8,784
Accrued expenses and other liabilities ................... 46,595
-------------
Total liabilities ..................................... 3,749,234
-------------
Net assets, at value .............................. $ 102,293,858
=============
Net assets consist of:
Paid-in capital .......................................... $ 97,681,663
Undistributed net investment income ...................... 2,711,936
Net unrealized appreciation (depreciation) ............... 3,035,567
Accumulated net realized gain (loss) ..................... (1,135,308)
-------------
Net assets, at value .............................. $ 102,293,858
=============
Shares outstanding ....................................... 9,034,313
=============
Net asset value and maximum offering price per share(a) .. $ 11.32
=============

(a) Redemption price is equal to net asset value less any applicable redemption
fee retained by the Fund.

The accompanying notes are an integral part of these financial statements.

16 | Annual Report

Franklin Global Trust

FINANCIAL STATEMENTS (CONTINUED)

STATEMENT OF OPERATIONS
for the year ended July 31, 2008

FRANKLIN
TEMPLETON
EMERGING MARKET
DEBT
OPPORTUNITIES
FUND
----------------

Investment income:
Dividends:
Unaffiliated issuers .................................. $ 450,000
Sweep Money Fund (Note 7) ............................. 25,030
Interest ................................................. 5,337,033
-------------
Total investment income ............................ 5,812,063
-------------
Expenses:
Management fees (Note 3a) ................................ 562,126
Administrative fees (Note 3b) ............................ 141,245
Transfer agent fees (Note 3c) ............................ 1,342
Custodian fees (Note 4) .................................. 34,472
Reports to shareholders .................................. 20,637
Registration and filing fees ............................. 29,549
Professional fees ........................................ 71,040
Trustees' fees and expenses .............................. 5,156
Other .................................................... 5,002
-------------
Total expenses ........................................ 870,569
Expense reductions (Note 4) ........................... (1,314)
Expenses waived/paid by affiliates (Note 3d) .......... (92,481)
-------------
Net expenses ....................................... 776,774
-------------
Net investment income ........................... 5,035,289
-------------
Realized and unrealized gains (losses):
Net realized gain (loss) from:
Investments ........................................... (126,601)
Foreign currency transactions ......................... (1,299,791)
-------------
Net realized gain (loss) ........................ (1,426,392)
-------------
Net change in unrealized appreciation (depreciation) on:
Investments .............................................. 832,260
Translation of assets and liabilities denominated in
foreign currencies .................................... 582,869
-------------
Net change in unrealized appreciation
(depreciation) ............................... 1,415,129
-------------
Net realized and unrealized gain (loss) ..................... (11,263)
-------------
Net increase (decrease) in net assets resulting from
operations ............................................... $ 5,024,026
=============

The accompanying notes are an integral part of these financial statements.

Annual Report | 17

Franklin Global Trust

FINANCIAL STATEMENTS (CONTINUED)

STATEMENTS OF CHANGES IN NET ASSETS

FRANKLIN TEMPLETON
EMERGING MARKET
DEBT OPPORTUNITIES FUND
YEAR ENDED JULY 31,
------------------------------
2008 2007
-------------- -------------

Increase (decrease) in net assets:
Operations:
Net investment income .............................................................. $ 5,035,289 $ 2,949,163
Net realized gain (loss) from investments and foreign currency transactions ........ (1,426,392) 509,398
Net change in unrealized appreciation (depreciation) on investments and
translation of assets and liabilities denominated in foreign currencies ......... 1,415,129 1,554,805
------------- ------------
Net increase (decrease) in net assets resulting from operations ................. 5,024,026 5,013,366
------------- ------------
Distributions to shareholders from:
Net investment income .............................................................. (3,950,011) (1,247,540)
Net realized gains ................................................................. (359,917) (26,883)
------------- ------------
Total distributions to shareholders ................................................... (4,309,928) (1,274,423)
------------- ------------
Capital share transactions (Note 2) ................................................... 44,757,841 43,705,881
------------- ------------
Net increase (decrease) in net assets ........................................... 45,471,939 47,444,824
Net assets:
Beginning of year ..................................................................... 56,821,919 9,377,095
------------- ------------
End of year ........................................................................... $ 102,293,858 $ 56,821,919
============= ============
Undistributed net investment income included in net assets:
End of year ........................................................................... $ 2,711,936 $ 1,909,707
============= ============

The accompanying notes are an integral part of these financial statements.

18 | Annual Report

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS

FRANKLIN TEMPLETON EMERGING MARKET DEBT OPPORTUNITIES FUND

1. ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES

The following summarizes the Fund's significant accounting policies.

A. SECURITY VALUATION

Corporate debt securities and government securities generally trade in the
over-the-counter market rather than on a securities exchange. The Trust may
utilize independent pricing services, quotations from bond dealers, and
information with respect to bond and note transactions, to assist in determining
a current market value for each security. The Trust's pricing services may use
valuation models or matrix pricing which considers information with respect to
comparable bond and note transactions, quotations from bond dealers, or by
reference to other securities that are considered comparable in such
characteristics as rating, interest rate and maturity date, option adjusted
spread models, prepayment projections, interest rate spreads and yield curves,
to determine current value.

Annual Report | 19

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

FRANKLIN TEMPLETON EMERGING MARKET DEBT OPPORTUNITIES FUND

1. ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

A. SECURITY VALUATION (CONTINUED)

time at which trading in a security is completed and the close of the NYSE that
might call into question the availability (including the reliability) of the
value of a portfolio security held by the Fund. If such an event occurs, the
securities may be valued using fair value procedures, which may include the use
of independent pricing services. All security valuation procedures are approved
by the Trust's Board of Trustees.

B. FOREIGN CURRENCY TRANSLATION

C. JOINT REPURCHASE AGREEMENT

The Fund may enter into a joint repurchase agreement whereby its uninvested cash
balance is deposited into a joint cash account with other funds managed by the
investment manager or an affiliate of the investment manager and is used to
invest in one or more repurchase agreements. The value and face amount of the
joint repurchase agreement are allocated to the funds based on their pro-rata
interest. A repurchase agreement is accounted for as a loan by the Fund to the
seller, collateralized by securities which are delivered to the Fund's
custodian. The market value, including accrued interest, of the initial
collateralization is required to be at least 102% of the dollar amount invested
by the funds, with the value of the underlying securities marked to market daily
to maintain coverage of at least 100%. The joint repurchase agreement held by
the

20 | Annual Report

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

FRANKLIN TEMPLETON EMERGING MARKET DEBT OPPORTUNITIES FUND

1. ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

C. JOINT REPURCHASE AGREEMENT (CONTINUED)

Fund at year end had been entered into on July 31, 2008. The joint repurchase
agreement is valued at cost.

D. SECURITIES PURCHASED ON A WHEN-ISSUED OR DELAYED DELIVERY BASIS

The Fund may purchase securities on a when-issued or delayed delivery basis,
with payment and delivery scheduled for a future date. These transactions are
subject to market fluctuations and are subject to the risk that the value at
delivery may be more or less than the trade date purchase price. Although the
Fund will generally purchase these securities with the intention of holding the
securities, it may sell the securities before the settlement date. Sufficient
assets have been segregated for these securities.

E. FOREIGN CURRENCY CONTRACTS

The Fund may also enter into forward exchange contracts to hedge against
fluctuations in foreign exchange rates or to gain exposure to certain foreign
currencies. These contracts are valued daily by the Fund and the unrealized
gains or losses on the contracts, as measured by the difference between the
contractual forward foreign exchange rates and the forward rates at the
reporting date, are included in the Statement of Assets and Liabilities.
Realized and unrealized gains and losses on these contracts are included in the
Statement of Operations.

F. CREDIT LINKED NOTES

The Fund may purchase credit linked notes. Credit linked notes are intended to
replicate the economic effects that would apply had the Fund directly purchased
the underlying reference asset. The risks of credit linked notes include the
potential default of the underlying reference asset, the movement in the value
of the currency of the underlying reference assets relative to the credit linked
note, the potential inability of the Fund to dispose of the credit linked note
in the normal course of business, and the possible inability of the
counterparties to fulfill their obligations under the contracts.

Annual Report | 21

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

FRANKLIN TEMPLETON EMERGING MARKET DEBT OPPORTUNITIES FUND

1. ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

G. INCOME TAXES

The Fund may invest in certain securities, warrants or commodities through its
investment in Alternative Strategies (FT) Ltd., a Cayman Islands exempted
limited liability company and a wholly owned subsidiary (Subsidiary) of the
Fund. The Subsidiary has the ability to invest in commodities and securities,
consistent with the investment objective of the Fund. At July 31, 2008, all
Subsidiary investments as well as any payables and receivables are reflected in
the Fund's Statement of Investments and Statement of Assets and Liabilities. All
income and expenses of the Subsidiary during the period ended July 31, 2008 have
been included in the Fund's Statement of Operations.

H. SECURITY TRANSACTIONS, INVESTMENT INCOME, EXPENSES AND DISTRIBUTIONS

Security transactions are accounted for on trade date. Realized gains and losses
on security transactions are determined on a specific identification basis.
Interest income and estimated expenses are accrued daily. Amortization of
premium and accretion of discount on debt securities are included in interest
income. Dividend income is recorded on the ex-dividend date except that certain
dividends from foreign securities are recognized as soon as the Fund is notified
of the ex-dividend date. Distributions to shareholders are recorded on the
ex-dividend date and are determined according to income tax regulations (tax
basis). Distributable earnings determined on a tax basis may differ from
earnings recorded in accordance with accounting principles generally accepted in
the United States of America. These differences may be permanent or temporary.
Permanent differences are reclassified among capital accounts to reflect their
tax character. These reclassifications have no impact on net assets or the
results of operations. Temporary differences are not reclassified, as they may
reverse in subsequent periods.

Inflation-indexed bonds provide an inflation hedge through periodic increases or
decreases in the security's interest accruals and principal redemption value, by
amounts corresponding to the current rate of inflation. Any such adjustments,
including adjustments to principal redemption value, are recorded as interest
income.

22 | Annual Report

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

FRANKLIN TEMPLETON EMERGING MARKET DEBT OPPORTUNITIES FUND

1. ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

I. ACCOUNTING ESTIMATES

J. REDEMPTION FEES

K. GUARANTEES AND INDEMNIFICATIONS

2. SHARES OF BENEFICIAL INTEREST

At July 31, 2008, there were an unlimited number of shares authorized (without
par value). Transactions in the Fund's shares were as follows:

YEAR ENDED JULY 31,
-------------------------------------------------
2008 2007
----------------------- -----------------------
SHARES AMOUNT SHARES AMOUNT
--------- ----------- --------- -----------

Shares sold ..................... 3,672,785 $41,408,376 4,039,595 $42,746,596
Shares issued in reinvestment
of distributions ............. 345,785 3,748,276 91,622 959,285
Shares redeemed ................. (35,824) (398,811) -- --
--------- ----------- --------- -----------
Net increase (decrease) ......... 3,982,746 $44,757,841 4,131,217 $43,705,881
========= =========== ========= ===========

Annual Report | 23

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

FRANKLIN TEMPLETON EMERGING MARKET DEBT OPPORTUNITIES FUND

3. TRANSACTIONS WITH AFFILIATES

SUBSIDIARY AFFILIATION
- ---------- ----------------------

Franklin Templeton Investment Management Limited
(Investment Management) Investment manager
Franklin Templeton Services, LLC
(FT Services) Administrative manager
Franklin Templeton Investor Services, LLC
(Investor Services) Transfer agent

A. MANAGEMENT FEES

The Fund pays an investment management fee to Investment Management based on the
average daily net assets of the Fund as follows:

ANNUALIZED FEE RATE NET ASSETS
- ------------------- --------------------------------------------------

0.800% Upto and including $500 million
0.700% Over $500 million, up to and including $1 billion
0.650% In excess of $1 billion

B. ADMINISTRATIVE FEES

The Fund pays an administrative fee to FT Services of 0.20% per year of the
average daily net assets of the Fund.

C. TRANSFER AGENT FEES

For the year ended July 31, 2008, the Fund paid transfer agent fees of $1,342,
of which $766 was retained by Investor Services.

D. WAIVER AND EXPENSE REIMBURSEMENTS

FT Services has agreed in advance to waive all or a portion of its fees through
November 30, 2008. Total expenses waived or paid are not subject to
reimbursement by the Fund subsequent to the Fund's fiscal year end. After
November 30, 2008, FT Services may discontinue this waiver at any time upon
notice to the Fund's Board of Trustees.

E. OTHER AFFILIATED TRANSACTIONS

At July 31, 2008, Franklin Advisers, Inc. (Advisers), an affiliate of Investment
Management, owned 5.53% of the Fund's outstanding shares.

24 | Annual Report

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

FRANKLIN TEMPLETON EMERGING MARKET DEBT OPPORTUNITIES FUND

4. EXPENSE OFFSET ARRANGEMENT

5. INCOME TAXES

The tax character of distributions paid during the years ended July 31, 2008 and
2007, was as follows:

2008 2007
---------- ----------

Distributions paid from ordinary income ... $4,309,928 $1,274,423

At July 31, 2008, the cost of investments, net unrealized appreciation
(depreciation), undistributed ordinary income and undistributed long term
capital gains for income tax purposes were as follows:

Cost of investments ............................................. $98,637,766
-----------
Unrealized appreciation ......................................... $ 4,645,966
Unrealized depreciation ......................................... (2,236,904)
-----------
Net unrealized appreciation (depreciation) ...................... $ 2,409,062
===========
Undistributed ordinary income ................................... $ 2,280,333
Undistributed long term capital gains ........................... 363,345
-----------
Distributable earnings .......................................... $ 2,643,678
===========

Net investment income differs for financial statement and tax purposes primarily
due to differing treatments of foreign currency transactions, payments-in-kind,
bond discounts and premiums, and inflation related adjustments on foreign
securities.

Net realized gains (losses) differ for financial statement and tax purposes
primarily due to differing treatments of wash sales, foreign currency
transactions, bond discounts and premiums, and inflation related adjustments on
foreign securities.

Annual Report | 25

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

FRANKLIN TEMPLETON EMERGING MARKET DEBT OPPORTUNITIES FUND

6. INVESTMENT TRANSACTIONS

Purchases and sales of investments (excluding short term securities) for the
year ended July 31, 2008, aggregated $50,905,008 and $27,473,157, respectively.

7. INVESTMENTS IN FRANKLIN INSTITUTIONAL FIDUCIARY TRUST MONEY MARKET PORTFOLIO

8. FORWARD EXCHANGE CONTRACTS

At July 31, 2008, the Fund had the following forward exchange contracts
outstanding:

CONTRACT SETTLEMENT UNREALIZED UNREALIZED
AMOUNT(a) DATE GAIN LOSS
----------------- ---------- ---------- ----------

CONTRACTS TO BUY
7,000,000 U.S. Dollar .............................. 738,535,000 JPY 10/06/08 $128,189 $ --
15,900,000 U.S. Dollar .............................. 10,061,444 EUR 10/06/08 268,225 --
CONTRACTS TO SELL
1,400,000 U.S. Dollar .............................. 2,716,350,000 COP 9/10/08 101,437 --
600,000 U.S. Dollar .............................. 1,089,000,000 COP 12/10/08 -- (8,784)
-------- -------
Unrealized gain (loss) on forward exchange
contracts ........................................... 497,851 (8,784)
======== =======
Net unrealized gain (loss) on forward exchange
contracts ....................................... $489,067
========

(a) In U.S. dollars unless otherwise indicated.

CURRENCY ABBREVIATIONS
COP - Colombian Peso
EUR - Euro
JPY - Japanese Yen

9. SHAREHOLDER CONCENTRATIONS

The Fund has a concentration of shareholders holding a significant percentage of
shares outstanding. Investment activities of these shareholders could have a
material impact on the Fund. At July 31, 2008, there were five unaffiliated
shareholders holding 29%, 20%, 10%, 8% and 5% of the Fund's outstanding shares.

26 | Annual Report

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

FRANKLIN TEMPLETON EMERGING MARKET DEBT OPPORTUNITIES FUND

10. CREDIT RISK AND DEFAULTED SECURITIES

The Fund has 76.57% of its portfolio invested in high yield, or other securities
rated below investment grade. These securities may be more sensitive to economic
conditions causing greater price volatility and are potentially subject to a
greater risk of loss due to default than higher rated securities.

The Fund held defaulted securities and/or other securities for which the income
has been deemed uncollectible. At July 31, 2008, the aggregate value of these
securities was $3,490,281, representing 3.41% of the Fund's net assets. The Fund
discontinues accruing income on securities for which income has been deemed
uncollectible and provides an estimate for losses on interest receivable. The
securities have been identified on the accompanying Statement of Investments.

11. CONCENTRATION OF RISK

12. NEW ACCOUNTING PRONOUNCEMENTS

Annual Report | 27

Franklin Global Trust

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

FRANKLIN TEMPLETON EMERGING MARKET DEBT OPPORTUNITIES FUND

TO THE BOARD OF TRUSTEES AND SHAREHOLDERS OF FRANKLIN GLOBAL TRUST

In our opinion, the accompanying statement of assets and liabilities, including
the statement of investments, and the related statements of operations and of
changes in net assets and the financial highlights present fairly, in all
material respects, the financial position of Franklin Templeton Emerging Market
Debt Opportunities Fund (one of the funds constituting Franklin Global Trust,
hereafter referred to as the "Fund") at July 31, 2008, the results of its
operations for the year then ended, the changes in its net assets for each of
the two years in the period then ended and the financial highlights for the
periods presented, in conformity with accounting principles generally accepted
in the United States of America. These financial statements and financial
highlights (hereafter referred to as "financial statements") are the
responsibility of the Fund's management. Our responsibility is to express an
opinion on these financial statements based on our audits. We conducted our
audits of these financial statements in accordance with the standards of the
Public Company Accounting Oversight Board (United States). Those standards
require that we plan and perform the audit to obtain reasonable assurance about
whether the financial statements are free of material misstatement. An audit
includes examining, on a test basis, evidence supporting the amounts and
disclosures in the financial statements, assessing the accounting principles
used and significant estimates made by management, and evaluating the overall
financial statement presentation. We believe that our audits, which included
confirmation of securities at July 31, 2008 by correspondence with the custodian
and brokers, provide a reasonable basis for our opinion.

PricewaterhouseCoopers LLP

San Francisco, California
September 17, 2008

28 | Annual Report

Franklin Global Trust

TAX DESIGNATION (UNAUDITED)

FRANKLIN TEMPLETON EMERGING MARKET DEBT OPPORTUNITIES FUND

Under Section 852(b)(3)(C) of the Internal Revenue Code (Code), the Fund
designates the maximum amount allowable but no less than $363,345 as a long term
capital gain dividend for the fiscal year ended July 31, 2008.

In January 2009, shareholders will receive Form 1099-DIV which will include
their share of taxes withheld and foreign source income distributed during the
calendar year 2008.

Annual Report | 29

Franklin Global Trust

BOARD MEMBERS AND OFFICERS

INDEPENDENT BOARD MEMBERS

NUMBER OF PORTFOLIOS IN
NAME, YEAR OF BIRTH LENGTH OF FUND COMPLEX OVERSEEN
AND ADDRESS POSITION TIME SERVED BY BOARD MEMBER* OTHER DIRECTORSHIPS HELD
- ------------------- -------------- ------------- ----------------------- ---------------------------------------

HARRIS J. ASHTON (1932) Trustee Since 2000 143 Bar-S Foods (meat packing company).
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

ROBERT F. CARLSON (1928) Trustee Since 2000 122 None
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

SAM GINN (1937) Trustee Since 2007 122 Chevron Corporation (global energy
One Franklin Parkway company) and ICO Global
San Mateo, CA 94403-1906 Communications (Holdings) Limited
(satellite company).

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

30 | Annual Report

NUMBER OF PORTFOLIOS IN
NAME, YEAR OF BIRTH LENGTH OF FUND COMPLEX OVERSEEN
AND ADDRESS POSITION TIME SERVED BY BOARD MEMBER* OTHER DIRECTORSHIPS HELD
- ------------------- -------------- ------------- ----------------------- ---------------------------------------

FRANK W.T. LAHAYE (1929) Trustee Since 2000 122 Center for Creative Land Recycling
One Franklin Parkway (brownfield redevelopment).
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

General Partner, Las Olas L.P. (Asset Management); and FORMERLY, Chairman,
Peregrine Venture Management Company (venture capital).

FRANK A. OLSON (1932) Trustee Since 2005 143 Hess Corporation (exploration and
One Franklin Parkway refining of oil and gas) and Sentient
San Mateo, CA 94403-1906 Jet (private jet service).

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

LARRY D. THOMPSON (1945) Trustee Since 2007 143 None
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

JOHN B. WILSON (1959) Lead Trustee since 122 None
One Franklin Parkway Independent 2006 and Lead
San Mateo, CA 94403-1906 Trustee Independent
Trustee since
January 2008

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

INTERESTED BOARD MEMBERS AND OFFICERS

NUMBER OF PORTFOLIOS IN
NAME, YEAR OF BIRTH LENGTH OF FUND COMPLEX OVERSEEN
AND ADDRESS POSITION TIME SERVED BY BOARD MEMBER* OTHER DIRECTORSHIPS HELD
- ------------------- -------------- ------------- ----------------------- ---------------------------------------

**CHARLES B. JOHNSON (1933) Trustee and Since 2000 143 None
One Franklin Parkway Chairman of
San Mateo, CA 94403-1906 the Board

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Annual Report | 31

NUMBER OF PORTFOLIOS IN
NAME, YEAR OF BIRTH LENGTH OF FUND COMPLEX OVERSEEN
AND ADDRESS POSITION TIME SERVED BY BOARD MEMBER* OTHER DIRECTORSHIPS HELD
- ------------------- -------------- ------------- ----------------------- ---------------------------------------

**GREGORY E. JOHNSON (1961) Trustee Since 2007 94 None
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

LAURA F. FERGERSON (1962) Treasurer, Treasurer Not Applicable Not Applicable
One Franklin Parkway Chief since 2004,
San Mateo, CA 94403-1906 Financial Chief
Officer and Financial
Chief Officer and
Accounting Chief
Officer Accounting
Officer since
February 2008

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

JIMMY D. GAMBILL (1947) Vice President Since
500 East Broward Blvd. February Not Applicable Not Applicable
Suite 2100 2008
Fort Lauderdale, FL 33394-3091

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

32 | Annual Report

NUMBER OF PORTFOLIOS IN
NAME, YEAR OF BIRTH LENGTH OF FUND COMPLEX OVERSEEN
AND ADDRESS POSITION TIME SERVED BY BOARD MEMBER* OTHER DIRECTORSHIPS HELD
- ------------------- -------------- ------------- ----------------------- ---------------------------------------

DAVID P. GOSS (1947) Vice President Since 2000 Not Applicable Not Applicable
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

EDWARD B. JAMIESON (1948) Vice President Since 2000 Not Applicable Not Applicable
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

CHRISTOPHER J. MOLUMPHY (1962) Vice President Since 2000 Not Applicable Not Applicable
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

KAREN L. SKIDMORE (1952) Vice President Since 2006 Not Applicable Not Applicable
One Franklin Parkway and Secretary
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Senior Associate General Counsel, Franklin Templeton Investments; and officer of
30 of the investment companies in Franklin Templeton Investments.

Annual Report | 33

NUMBER OF PORTFOLIOS IN
NAME, YEAR OF BIRTH LENGTH OF FUND COMPLEX OVERSEEN
AND ADDRESS POSITION TIME SERVED BY BOARD MEMBER* OTHER DIRECTORSHIPS HELD
- ------------------- -------------- ------------- ----------------------- ---------------------------------------

CRAIG S. TYLE (1960) Vice President Since 2005 Not Applicable Not Applicable
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Note 1: Charles B. Johnson and Rupert H. Johnson, Jr. are brothers and the
father and uncle, respectively, of Gregory E. Johnson.

Note 2: Officer information is current as of the date of this report. It is
possible that after this date, information about officers may change.

THE SARBANES-OXLEY ACT OF 2002 AND RULES ADOPTED BY THE SECURITIES AND EXCHANGE
COMMISSION REQUIRE THE FUND TO DISCLOSE WHETHER THE FUND'S AUDIT COMMITTEE
INCLUDES AT LEAST ONE MEMBER WHO IS AN AUDIT COMMITTEE FINANCIAL EXPERT WITHIN
THE MEANING OF SUCH ACT AND RULES. THE FUND'S BOARD OF DIRECTORS HAS DETERMINED
THAT THERE IS AT LEAST ONE SUCH FINANCIAL EXPERT ON THE AUDIT COMMITTEE AND HAS
DESIGNATED JOHN B. WILSON AS ITS AUDIT COMMITTEE FINANCIAL EXPERT. THE BOARD
BELIEVES THAT MR. WILSON QUALIFIES AS SUCH AN EXPERT IN VIEW OF HIS EXTENSIVE
BUSINESS BACKGROUND AND EXPERIENCE, INCLUDING SERVICE AS CHIEF FINANCIAL OFFICER
OF STAPLES, INC. FROM 1992 TO 1996. MR. WILSON HAS BEEN A MEMBER AND CHAIRMAN OF
THE FUND'S AUDIT COMMITTEE SINCE 2006. AS A RESULT OF SUCH BACKGROUND AND
EXPERIENCE, THE BOARD OF DIRECTORS BELIEVES THAT MR. WILSON HAS ACQUIRED AN
UNDERSTANDING OF GENERALLY ACCEPTED ACCOUNTING PRINCIPLES AND FINANCIAL
STATEMENTS, THE GENERAL APPLICATION OF SUCH PRINCIPLES IN CONNECTION WITH THE
ACCOUNTING ESTIMATES, ACCRUALS AND RESERVES, AND ANALYZING AND EVALUATING
FINANCIAL STATEMENTS THAT PRESENT A BREADTH AND LEVEL OF COMPLEXITY OF
ACCOUNTING ISSUES GENERALLY COMPARABLE TO THOSE OF THE FUND, AS WELL AS AN
UNDERSTANDING OF INTERNAL CONTROLS AND PROCEDURES FOR FINANCIAL REPORTING AND AN
UNDERSTANDING OF AUDIT COMMITTEE FUNCTIONS. MR. WILSON IS AN INDEPENDENT
DIRECTOR AS THAT TERM IS DEFINED UNDER THE RELEVANT SECURITIES AND EXCHANGE
COMMISSION RULES AND RELEASES.

34 | Annual Report

Franklin Global Trust

SHAREHOLDER INFORMATION

FRANKLIN TEMPLETON EMERGING MARKET DEBT OPPORTUNITIES FUND

BOARD REVIEW OF INVESTMENT MANAGEMENT AGREEMENT

At a meeting held February 25, 2008, the Board of Trustees (Board), including a
majority of non-interested or independent Trustees, approved renewal of the
investment management agreements for each of the separate funds within Franklin
Global Trust, including Franklin Templeton Emerging Market Debt Opportunities
Fund (Fund(s)). In reaching this decision, the Board took into account
information furnished throughout the year at regular Board meetings, as well as
information prepared specifically in connection with the annual renewal review
process. Information furnished and discussed throughout the year included
investment performance reports and related financial information for each Fund,
as well as periodic reports on shareholder services, legal, compliance, pricing,
brokerage commissions and execution and other services provided by the
Investment Manager (Manager) and its affiliates. Information furnished
specifically in connection with the renewal process included a report for each
Fund prepared by Lipper, Inc. (Lipper), an independent organization, as well as
a Fund profitability analysis report prepared by management. The Lipper report
compared a Fund's investment performance and expenses with those of other mutual
funds deemed comparable to the Fund as selected by Lipper. The Fund
profitability analysis report discussed the profitability to Franklin Templeton
Investments from its overall U.S. fund operations, as well as on an individual
fund-by-fund basis. Included with such profitability analysis report was
information on a fund-by-fund basis listing portfolio managers and other
accounts they manage, as well as information on management fees charged by the
Manager and its affiliates including management's explanation of differences
where relevant and a three-year expense analysis with an explanation for any
increase in expense ratios. Additional material accompanying such report was a
memorandum prepared by management describing project initiatives and capital
investments relating to the services provided to the Funds by the Franklin
Templeton Investments organization, as well as a memorandum relating to
economies of scale and a comparative analysis concerning transfer agent fees
charged each Fund.

Annual Report | 35

Franklin Global Trust

SHAREHOLDER INFORMATION (CONTINUED)

FRANKLIN TEMPLETON EMERGING MARKET DEBT OPPORTUNITIES FUND

BOARD REVIEW OF INVESTMENT MANAGEMENT AGREEMENT (CONTINUED)

policies and restrictions for the Fund were consistently complied with as well
as other reports periodically furnished the Board covering matters such as the
compliance of portfolio managers and other management personnel with the code of
ethics adopted throughout the Franklin Templeton fund complex, the adherence to
fair value pricing procedures established by the Board, and the accuracy of net
asset value calculations. The Board also noted the extent of benefits provided
Fund shareholders from being part of the Franklin Templeton family of funds,
including the right to exchange investments between the same class of funds
without a sales charge, the ability to reinvest Fund dividends into other funds
and the right to combine holdings in other funds to obtain a reduced sales
charge. Favorable consideration was given to management's continuous efforts and
expenditures in establishing back-up systems and recovery procedures to function
in the event of a natural disaster, it being noted that such systems and
procedures had functioned smoothly during the Florida hurricanes and blackouts
experienced in recent years. Among other factors taken into account by the Board
were the Manager's best execution trading policies, including a favorable report
by an independent portfolio trading analytical firm. Consideration was also
given to the experience of the Fund's portfolio management team, the number of
accounts managed and general method of compensation. In this latter respect, the
Board noted that a primary factor in management's determination of a portfolio
manager's bonus compensation was the relative investment performance of the
funds he or she managed and that a portion of such bonus was required to be
invested in a predesignated list of funds within such person's fund management
area so as to be aligned with the interests of Fund shareholders. The Board also
took into account the quality of transfer agent and shareholder services
provided Fund shareholders by an affiliate of the Manager, noting continuing
expenditures by management to increase and improve the scope of such services,
periodic favorable reports on such service conducted by third parties, the high
industry ranking given to the Franklin Templeton website, and the firsthand
experience of individual Board members who deal with the shareholder services
department in their capacities as shareholders in one or more of the various
Franklin Templeton funds.

36 | Annual Report

Franklin Global Trust

SHAREHOLDER INFORMATION (CONTINUED)

FRANKLIN TEMPLETON EMERGING MARKET DEBT OPPORTUNITIES FUND

BOARD REVIEW OF INVESTMENT MANAGEMENT AGREEMENT (CONTINUED)

The performance universe for the Fund consisted of the Fund and all retail and
institutional emerging markets debt funds as selected by Lipper. The Lipper
report showed the Fund's total return during the first full year of operation to
be in the highest quintile of such universe, and the Board was satisfied with
such performance.

COMPARATIVE EXPENSES. Consideration was given to the management fee and total
expense ratios of the Fund compared with those of a group of funds selected by
Lipper as its appropriate Lipper expense group. Prior to making such
comparisons, the Board relied upon a survey showing that the scope of management
advisory services covered under a Fund's investment management agreement was
similar to those provided by fund managers to other mutual fund groups. In
reviewing comparative costs, emphasis was given to the Fund's management fee in
comparison with the contractual investment management fee that would have been
charged by other funds within its Lipper expense group assuming they were
similar in size to the Fund, as well as the actual total expenses of the Fund in
comparison with those of its Lipper expense group. The contractual management
fee rate for the Fund was 20 basis points above the median of its Lipper expense
group and its actual total expenses were less than 9 basis points above the
median for such expense group. The Board found the expenses of such Fund to be
acceptable, noting that they were subsidized through management fee waivers or
expense reimbursements.

Annual Report | 37

Franklin Global Trust

SHAREHOLDER INFORMATION (CONTINUED)

FRANKLIN TEMPLETON EMERGING MARKET DEBT OPPORTUNITIES FUND

BOARD REVIEW OF INVESTMENT MANAGEMENT AGREEMENT (CONTINUED)

other regulatory requirements. In addition, the Board considered a third-party
study comparing the profitability of the Manager's parent on an overall basis as
compared to other publicly held managers broken down to show profitability from
management operations exclusive of distribution expenses, as well as
profitability including distribution expenses. The Board also considered the
extent to which the Manager and its affiliates might derive ancillary benefits
from fund operations, including potential benefits resulting from allocation of
fund brokerage and the use of "soft" commission dollars to pay for research.
Based upon its consideration of all these factors, the Board determined that the
level of profits realized by the Manager and its affiliates from providing
services to the Fund was not excessive in view of the nature, quality and extent
of services provided.

PROXY VOTING POLICIES AND PROCEDURES

QUARTERLY STATEMENT OF INVESTMENTS

38 | Annual Report

This page intentionally left blank.

(FRANKLIN TEMPLETON INSTITUTIONAL(R) LOGO) 600 Fifth Avenue
New York, NY 10020

ANNUAL REPORT

FRANKLIN TEMPLETON EMERGING MARKET
DEBT OPPORTUNITIES FUND

INVESTMENT MANAGER

Franklin Templeton Investment Management Limited

DISTRIBUTOR

Franklin Templeton Distributors, Inc.
One Franklin Parkway
San Mateo, CA 94403-1906

FRANKLIN TEMPLETON INSTITUTIONAL SERVICES

1-800/321-8563
ftinstitutional.com

699 A2008 09/08

FIDUCIARY LARGE CAPITALIZATION GROWTH AND INCOME FUND
FIDUCIARY SMALL CAPITALIZATION EQUITY FUND

(FGT FUNDS LOGO)

ANNUAL REPORT

----------

JULY 31, 2008

Fiduciary
Trust
International

Contents

ANNUAL REPORT
President's Message ...................................................... 1
Economic and Market Overview ............................................. 2
Fiduciary Large Capitalization Growth and Income Fund .................... 4
Fiduciary Small Capitalization Equity Fund ............................... 11
Financial Highlights and Statements of Investments ....................... 18
Financial Statements ..................................................... 28
Notes to Financial Statements ............................................ 31
Report of Independent Registered Public Accounting Firm .................. 38
Tax Designation .......................................................... 39
Board Members and Officers ............................................... 40
Shareholder Information .................................................. 45

Annual Report

President's Message

Dear Shareholder:

I am pleased to present the enclosed Franklin Global Trust Funds' annual report
covering the fiscal year ended July 31, 2008. In each Fund report, the Fund's
portfolio managers discuss market conditions and Fund performance. A complete
list of each Fund's holdings, as well as the financial statements, is included
in the annual report.

/s/ Rupert H. Johnson

Rupert H. Johnson, Jr.
President and Chief Executive Officer -
Investment Management
Franklin Global Trust

NOT FDIC INSURED | MAY LOSE VALUE | NO BANK GUARANTEE

Annual Report | 1

Economic and Market Overview

For the year ended July 31, 2008, the U.S. economy contended with record-high
oil prices, the worst housing market contraction in decades, lingering effects
of the ongoing credit crisis and dollar devaluation. Rising joblessness, the
waning pace of consumer spending and multi-year lows for consumer and business
confidence also weighed on the economy. Economic growth, as measured by gross
domestic product (GDP), began the reporting period at a 4.8% annualized rate in
the third quarter of 2007. In the fourth quarter, GDP declined sharply to -0.2%
annualized before rebounding at annualized rates of 0.9% and an upwardly revised
3.3% in the first and second quarters of 2008. A weaker U.S. dollar compared
with most foreign currencies over the past 12 months contributed to increased
export demand, which helped the manufacturing sector. Also supporting the
economy were a buildup in inventories, expanding government spending and a boost
to household finances from a $168 billion government stimulus package. Although
tax rebate checks lifted spending temporarily, retail sales remained weak and
new vehicle sales hit a 15-year low.

The U.S. labor market contracted, and the unemployment rate rose from 4.7% at
the beginning of the period to 5.7% in July 2008, the highest level since
2004.(1) Volatile oil prices soared to an all-time trading high of $146 per
barrel in early July 2008 but eased to $124 by period-end. Many other commodity
prices -- including coal, natural gas, precious metals, raw materials and
agricultural commodities -- also neared or surpassed all-time highs due to
increased worldwide demand and institutional investors seeking alternatives to
stocks and corporate bonds. For the 12 months ended July 31, 2008, the core
Consumer Price Index (CPI), which excludes food and energy costs, rose 2.5%,
which was higher than its 10-year average rate.(1)

Seeking to stimulate the sagging economy without stoking inflation, the Federal
Reserve Board (Fed) made seven cuts to its key federal funds target rate during
the period, lowering it 325 basis points, from 5.25% to a four-year low of
2.00%. This marked the end, at least temporarily, of an eight-month period
during which the Fed made its most aggressive series of rate cuts in two
decades. In this uncertain environment, U.S. Treasury prices fluctuated, and the
10-year Treasury note yield fell from 4.78% at the beginning of the period to
3.99% on July 31, 2008.

(1.) Source: Bureau of Labor Statistics.

2 | Annual Report

U.S. stock markets endured heightened volatility and lost ground during this
challenging period. For the 12 months under review, the blue chip stocks of the
Dow Jones Industrial Average had a total return of -11.71%, the broader Standard
& Poor's 500 Index (S&P 500) a -11.09% total return, and the technology-heavy
NASDAQ Composite Index a -8.00% return.(2) The energy, consumer staples and
materials sectors performed relatively well. Small-capitalization stocks
generally performed better than large caps, and growth stocks fared better than
their value counterparts.

(2.) Source: (C) 2008 Morningstar. All Rights Reserved. The information
contained herein: (1) is proprietary to Morningstar and/or its content
providers; (2) may not be copied or distributed; and (3) is not warranted
to be accurate, complete or timely. Neither Morningstar nor its content
providers are responsible for any damages or losses arising from any use of
this information. Past performance is no guarantee of future results. The
Dow Jones Industrial Average is price weighted based on the average market
price of 30 blue chip stocks of companies that are generally industry
leaders. The S&P 500 consists of 500 stocks chosen for market size,
liquidity and industry group representation. Each stock's weight in the
index is proportionate to its market value. The S&P 500 is one of the most
widely used benchmarks of U.S. equity performance. The NASDAQ Composite
Index measures all NASDAQ domestic and international based common type
stocks listed on The NASDAQ Stock Market. The index is market value
weighted and includes more than 3,000 companies.

THE FOREGOING INFORMATION REFLECTS OUR ANALYSIS AND OPINIONS AS OF JULY 31,
2008. THE INFORMATION IS NOT A COMPLETE ANALYSIS OF EVERY ASPECT OF ANY MARKET,
COUNTRY, INDUSTRY, SECURITY OR FUND. STATEMENTS OF FACT ARE FROM SOURCES
CONSIDERED RELIABLE.

Annual Report | 3

Fiduciary Large Capitalization
Growth and Income Fund

YOUR FUND'S GOAL AND MAIN INVESTMENTS: Fiduciary Large Capitalization Growth and
Income Fund seeks long-term growth of principal and income through investing at
least 80% of its net assets in large capitalization companies with market
capitalizations of more than $5 billion, or that are within the top 50% of the
Russell 1000(R) Index, at the time of purchase.(1) The Fund attempts to keep
taxable capital gains distributions relatively low.

This annual report for Fiduciary Large Capitalization Growth and Income Fund
covers the fiscal year ended July 31, 2008.

PERFORMANCE OVERVIEW

Fiduciary Large Capitalization Growth and Income Fund had a -6.66% cumulative
total return for the 12 months ended July 31, 2008. The Fund performed better
than its benchmark, the Standard & Poor's 500 Index (S&P 500), which had a
- -11.09% return during the same period.(2) You can find the Fund's long-term
performance data in the Performance Summary beginning on page 7.

INVESTMENT STRATEGY

We are research-driven, fundamental investors, pursuing a blend of growth and
value strategies. We use a top-down analysis of macroeconomic trends, market
sectors (with some attention to the sector weightings in the Fund's comparative
index) and industries combined with a bottom-up analysis of individual
securities. In selecting investments for the Fund, we look for companies we
believe are positioned for growth in revenues, earnings or assets, and are
selling at reasonable prices. We employ a thematic approach to identify sectors
that may benefit from longer dynamic growth. Within these sectors, we consider
the

(1.) The Russell 1000 Index is market capitalization weighted and measures
performance of the 1,000 largest companies in the Russell 3000(R) Index,
which represent approximately 92% of total market capitalization of the
Russell 3000 Index.

(2.) Source:(C) 2008 Morningstar. All Rights Reserved. The information contained
herein: (1) is proprietary to Morningstar and/or its content providers; (2)
may not be copied or distributed; and (3) is not warranted to be accurate,
complete or timely. Neither Morningstar nor its content providers are
responsible for any damages or losses arising from any use of this
information. The S&P 500 consists of 500 stocks chosen for market size,
liquidity and industry group representation. Each stock's weight in the
index is proportionate to its market value. The S&P 500 is one of the most
widely used benchmarks of U.S. equity performance. The index is unmanaged
and includes reinvested dividends. One cannot invest directly in an index,
nor is an index representative of the Fund's portfolio.

THE DOLLAR VALUE, NUMBER OF SHARES OR PRINCIPAL AMOUNT, AND NAMES OF ALL
PORTFOLIO HOLDINGS ARE LISTED IN THE FUND'S STATEMENT OF INVESTMENTS (SOI). THE
SOI BEGINS ON PAGE 19.

4 | Annual Report

basic financial and operating strength and quality of a company and company
management. The Fund, from time to time, may have significant positions in
particular sectors such as technology or industrials. We also seek to identify
companies that we believe are temporarily out of favor with investors, but have
a good intermediate- or long-term outlook.

MANAGER'S DISCUSSION

During the 12 months under review, stock selection in the industrials,
financials and energy sectors drove Fund performance relative to the S&P 500.(3)
Industrials holdings that had a significant positive effect on Fund returns
included aerospace and defense companies Teledyne Technologies(4) and L-3
Communications Holdings,(5) and hand tools manufacturer Danaher. Our
underweighted allocation to the poor-performing financials sector helped the
Fund's relative performance. In addition, positive returns for our holdings in
financial services conglomerates Citigroup(5) and JPMorgan Chase and insurance
provider AFLAC boosted our relative results. In the energy sector, major
contributors included oil and gas services companies Transocean, National
Oilwell Varco and Schlumberger. Our overweighted exposure to this sector aided
Fund performance; however, we sold some shares of these companies during the
reporting period as oil prices and oil-related stock prices rose. In addition,
the Fund's cash position contributed to relative performance.

In contrast, stock selection in the consumer staples and consumer discretionary
sectors hurt relative Fund performance.(6) Notable detractors included tobacco
company Altria Group(5) in the consumer staples sector, and media conglomerate
News Corp.(4,5) and office supplies chain Office Depot(5) in the consumer
discretionary sector. Our underweighted allocation to the materials sector and
lack of exposure to the utilities sector also weighed on relative Fund
performance.(7)

PORTFOLIO BREAKDOWN
Fiduciary Large Capitalization Growth and Income Fund 7/31/08

% OF TOTAL
SECTOR/INDUSTRY NET ASSETS
- --------------- ----------

Pharmaceuticals 11.5%
Communications Equipment 10.1%
Energy Equipment & Services 8.7%
Insurance 6.1%
Machinery 6.1%
Oil, Gas & Consumable Fuels 5.4%
Aerospace & Defense 5.3%
Electrical Equipment 4.4%
Electronic Equipment & Instruments 4.3%
Diversified Telecommunication Services 3.7%
Food Products 3.5%
Food & Staples Retailing 2.9%
Beverages 2.7%
Diversified Financial Services 2.4%
Wireless Telecommunication Services 2.3%
Other 17.0%
Short-Term Investments & Other Net Assets 3.6%

(3.) The industrials sector comprises aerospace and defense, electrical
equipment, and machinery in the SOI. The financials sector comprises
capital markets, diversified financial services and insurance in the SOI.
The energy sector comprises energy equipment and services; and oil, gas and
consumable fuels in the SOI.

(4.) This holding is not an index component.

(5.) Sold by period-end.

(6.) The consumer staples sector comprises beverages, food and staples
retailing, and food products in the SOI. The consumer discretionary sector
comprises automobiles, media and multiline retail in the SOI.

(7.) The materials sector comprises paper and forest products in the SOI.

Annual Report | 5

effect on Fund performance. Conversely, when the U.S. dollar weakens in relation
to a foreign currency, an investment traded in that foreign currency will
increase in value, which can contribute to Fund performance. For the 12 months
ended July 31, 2008, the U.S. dollar declined in value relative to most
currencies. As a result, the Fund's performance was positively affected by the
portfolio's significant investments in securities with non-U.S. currency
exposure. However, one cannot expect the same result in future periods.

Thank you for your continued participation in Fiduciary Large Capitalization
Growth and Income Fund. We look forward to serving your future investment needs.

/s/ S. Mackintosh Pulsifer

S. Mackintosh Pulsifer
Vice President of Franklin Templeton
Institutional, LLC (FT Institutional)

/s/ Kenneth J. Siegel

Kenneth J. Siegel
Vice President of FT Institutional

Portfolio Management Team
Fiduciary Large Capitalization Growth
and Income Fund

6 | Annual Report

Performance Summary as of 7/31/08

FIDUCIARY LARGE CAPITALIZATION GROWTH AND INCOME FUND

The performance table and graph do not reflect any taxes that a shareholder
would pay on Fund dividends, capital gain distributions, if any, or any realized
gains on the sale of Fund shares. Total return reflects reinvestment of the
Fund's dividends and capital gain distributions, if any, and any unrealized
gains or losses.

PERFORMANCE(1)

INCEPTION
1-YEAR 5-YEAR (12/11/98)
------ ------ ----------

Average Annual Total Return(2) -6.66% +7.98% +2.80%

TOTAL RETURN INDEX COMPARISON FOR HYPOTHETICAL $10,000 INVESTMENT(1)

The graph below illustrates the hypothetical investment of $10,000 in Fiduciary
Large Capitalization Growth and Income Fund from inception on 12/11/98 through
7/31/08, compared with the S&P 500.(3) Total return represents the change in
value of an investment over the periods shown. It includes Fund expenses,
account fees and reinvested dividends. The index is unmanaged and includes
reinvestment of any income or distributions. It differs from the Fund in
composition and does not pay management fees or expenses. One cannot invest
directly in an index.

(LINE CHART)

USD
FIDUCIARY LARGE
CAPITALIZATION GROWTH USD
AND INCOME FUND S&P 500 INDEX
11-DEC-98 11-DEC-98
INCEPTION DATE NET GROSS
CALENDAR MONTH 5567 BM0129
- -------------- --------------------- -------------

Dec-98 10,691.01 10,545.70
Jan-99 10,751.01 10,989.25
Feb-99 10,220.96 10,641.80
Mar-99 10,590.97 11,067.11
Apr-99 11,041.44 11,498.32
May-99 10,711.09 11,221.70
Jun-99 11,400.03 11,844.86
Jul-99 11,149.58 11,476.11
Aug-99 11,149.58 11,418.70
Sep-99 10,848.65 11,104.12
Oct-99 11,349.97 11,814.41
Nov-99 11,420.16 12,052.23
Dec-99 11,591.63 12,763.01
Jan-00 11,150.70 12,120.36
Feb-00 10,895.43 11,887.44
Mar-00 11,770.41 13,050.30
Apr-00 11,758.80 12,658.78
May-00 11,747.19 12,393.95
Jun-00 12,130.15 12,702.73
Jul-00 11,735.10 12,506.31
Aug-00 12,664.62 13,278.50
Sep-00 11,833.74 12,579.29
Oct-00 11,984.86 12,529.71
Nov-00 11,194.39 11,537.48
Dec-00 11,394.42 11,595.28
Jan-01 11,408.45 12,007.61
Feb-01 10,454.24 10,909.30
Mar-01 9,780.76 10,220.76
Apr-01 10,385.03 11,017.45
May-01 10,581.77 11,082.46
Jun-01 10,174.14 10,816.23
Jul-01 10,117.86 10,710.75
Aug-01 9,850.49 10,036.55
Sep-01 9,288.53 9,224.31
Oct-01 9,598.62 9,403.35
Nov-01 10,162.41 10,126.12
Dec-01 10,153.39 10,214.50
Jan-02 9,915.54 10,067.47
Feb-02 9,870.94 9,867.57
Mar-02 10,197.99 10,241.18
Apr-02 9,528.38 9,624.08
May-02 9,424.16 9,548.84
Jun-02 8,500.31 8,864.65
Jul-02 7,948.53 8,176.17
Aug-02 8,023.10 8,227.84
Sep-02 7,321.12 7,338.22
Oct-02 7,993.47 7,986.72
Nov-02 8,441.70 8,450.58
Dec-02 7,988.11 7,952.16
Jan-03 7,793.28 7,745.31
Feb-03 7,658.39 7,629.18
Mar-03 7,673.12 7,705.77
Apr-03 8,138.61 8,343.40
May-03 8,589.09 8,781.23
Jun-03 8,663.72 8,893.31
Jul-03 8,889.33 9,043.21
Aug-03 9,099.91 9,216.84
Sep-03 8,903.98 9,121.51
Oct-03 9,446.35 9,636.64
Nov-03 9,627.14 9,716.73
Dec-03 10,101.67 10,227.73
Jan-04 10,359.91 10,417.02
Feb-04 10,527.00 10,568.02
Mar-04 10,413.28 10,412.11
Apr-04 10,246.06 10,252.48
May-04 10,398.08 10,391.44
Jun-04 10,565.30 10,594.06
Jul-04 10,291.67 10,235.78
Aug-04 10,094.05 10,274.14
Sep-04 10,299.24 10,386.40
Oct-04 10,482.07 10,546.55
Nov-04 10,969.60 10,968.17
Dec-04 11,242.99 11,344.09
Jan-05 10,921.30 11,071.74
Feb-05 11,114.32 11,294.87
Mar-05 11,011.91 11,102.86
Apr-05 10,673.83 10,896.15
May-05 10,947.51 11,239.42
Jun-05 11,048.62 11,255.29
Jul-05 11,566.27 11,676.22
Aug-05 11,469.21 11,563.58
Sep-05 11,590.67 11,660.79
Oct-05 11,169.19 11,471.42
Nov-05 11,671.72 11,892.13
Dec-05 11,741.08 11,897.59
Jan-06 12,168.03 12,219.91
Feb-06 12,150.24 12,241.37
Mar-06 12,312.69 12,407.20
Apr-06 12,561.79 12,576.01
May-06 12,134.76 12,207.31
Jun-06 11,930.25 12,225.74
Jul-06 11,823.25 12,306.20
Aug-06 12,037.25 12,588.94
Sep-06 12,196.56 12,916.49
Oct-06 12,410.85 13,346.38
Nov-06 12,821.57 13,585.72
Dec-06 13,070.12 13,777.09
Jan-07 13,165.80 13,989.72
Feb-07 12,974.44 13,701.52
Mar-07 13,184.45 13,874.10
Apr-07 13,855.17 14,496.25
May-07 14,410.91 14,991.81
Jun-07 14,232.63 14,739.88
Jul-07 13,982.94 14,288.86
Aug-07 14,155.80 14,496.34
Sep-07 14,867.59 15,038.20
Oct-07 15,059.92 15,285.27
Nov-07 14,598.32 14,634.33
Dec-07 14,581.52 14,532.72
Jan-08 13,617.79 13,666.53
Feb-08 13,617.81 13,212.79
Mar-08 13,344.61 13,155.90
Apr-08 14,120.95 13,805.56
May-08 14,519.60 13,975.77
Jun-08 13,367.55 12,796.24
Jul-08 13,051.77 12,694.36

Annual Report | 7

Performance Summary (CONTINUED)

ENDNOTES

WHILE STOCKS HAVE HISTORICALLY OUTPERFORMED OTHER ASSET CLASSES OVER THE LONG
TERM, THEY TEND TO FLUCTUATE MORE DRAMATICALLY OVER THE SHORT TERM. THESE PRICE
MOVEMENTS MAY RESULT FROM FACTORS AFFECTING INDIVIDUAL COMPANIES, INDUSTRIES OR
THE SECURITIES MARKET AS A WHOLE. THE FUND MAY INVEST IN STOCKS OF FOREIGN
COMPANIES, WHICH INVOLVE SPECIAL RISKS, INCLUDING CURRENCY FLUCTUATIONS AND
ECONOMIC AS WELL AS POLITICAL UNCERTAINTY. THE FUND'S PORTFOLIO INCLUDES
TECHNOLOGY STOCKS, A SECTOR THAT HAS BEEN ONE OF THE MOST VOLATILE AND INVOLVES
SPECIAL RISKS. THE FUND'S PROSPECTUS ALSO INCLUDES A DESCRIPTION OF THE MAIN
INVESTMENT RISKS.

(1.) Performance prior to the 7/24/03 reorganization reflects historical
performance of FTI Large Capitalization Growth and Income Fund. Past
expense reductions by the Fund's manager and administrator increased the
Fund's total returns. If the manager and administrator had not taken this
action, the Fund's total returns would have been lower.

(2.) Average annual total return represents the average annual change in value
of an investment over the periods indicated. Average annual total returns
smooth out variations in returns, which can be significant; they are not
the same as year-by-year results.

(3.) Source: (C) 2008 Morningstar. The S&P 500 consists of 500 stocks chosen for
market size, liquidity and industry group representation. Each stock's
weight in the index is proportionate to its market value. The S&P 500 is
one of the most widely used benchmarks of U.S. equity performance.

8 | Annual Report

Your Fund's Expenses

FIDUCIARY LARGE CAPITALIZATION GROWTH AND INCOME FUND

As a Fund shareholder, you can incur two types of costs:

- - Transaction costs, including sales charges (loads) on Fund purchases and
redemption fees; and

- - Ongoing Fund costs, including management fees, distribution and service
(12b-1) fees, and other Fund expenses. All mutual funds have ongoing costs,
sometimes referred to as operating expenses.

ACTUAL FUND EXPENSES

The first line (Actual) of the table provides actual account values and
expenses. The "Ending Account Value" is derived from the Fund's actual return,
which includes the effect of Fund expenses.

You can estimate the expenses you paid during the period by following these
steps. OF COURSE, YOUR ACCOUNT VALUE AND EXPENSES WILL DIFFER FROM THOSE IN THIS
ILLUSTRATION:

1. Divide your account value by $1,000.

IF AN ACCOUNT HAD AN $8,600 VALUE, THEN $8,600/$1,000 = 8.6.

2. Multiply the result by the number under the heading "Expenses Paid During
Period."

IF EXPENSES PAID DURING PERIOD WERE $7.50, THEN 8.6 X $7.50 = $64.50.

In this illustration, the estimated expenses paid this period are $64.50.

HYPOTHETICAL EXAMPLE FOR COMPARISON WITH OTHER FUNDS

Annual Report | 9

Your Fund's Expenses (CONTINUED)

BEGINNING ACCOUNT ENDING ACCOUNT EXPENSES PAID DURING
VALUE 2/1/08 VALUE 7/31/08 PERIOD* 2/1/08-7/31/08
----------------- -------------- ----------------------

Actual $1,000 $ 958.40 $5.16
Hypothetical (5% return before expenses) $1,000 $1,019.59 $5.32

* Expenses are calculated using the most recent six-month annualized expense
ratio of 1.06%, multiplied by the average account value over the period,
multiplied by 182/366 to reflect the one-half year period.

10 | Annual Report

Fiduciary Small Capitalization Equity Fund

YOUR FUND'S GOAL AND MAIN INVESTMENTS: Fiduciary Small Capitalization Equity
Fund seeks growth of principal through investing at least 80% of its net assets
in marketable equity and equity-related securities of small capitalization
companies with market capitalizations not exceeding $2 billion or the highest
market capitalization in the Russell 2000(R) Index, whichever is greater, at the
time of purchase.(1)

This annual report for Fiduciary Small Capitalization Equity Fund covers the
fiscal year ended July 31, 2008.

PERFORMANCE OVERVIEW

Fiduciary Small Capitalization Equity Fund had a -15.12% cumulative total return
for the 12 months ended July 31, 2008. The Fund underperformed its benchmark,
the Russell 2000 Growth Index, which had a -3.76% total return during the same
period.(2) You can find the Fund's long-term performance data in the Performance
Summary beginning on page 14.

INVESTMENT STRATEGY

Our U.S. small cap growth equity process is based on the application of a
disciplined bottom-up methodology. We believe that a diversified small cap
equity portfolio focused on companies we regard as having significant earnings
growth potential, managed within a disciplined framework of active sector
selection and valuation analysis, can provide long-term capital appreciation. We
seek companies that possess a relatively high rate of return on invested capital
and may offer the potential for accelerating earnings growth as they can offer
an opportunity to participate in new products, services and technologies.

(1.) The Russell 2000 Index is market capitalization weighted and measures
performance of the 2,000 smallest companies in the Russell 3000(R) Index,
which represent approximately 8% of total market capitalization of the
Russell 3000 Index.

THE DOLLAR VALUE, NUMBER OF SHARES OR PRINCIPAL AMOUNT, AND NAMES OF ALL
PORTFOLIO HOLDINGS ARE LISTED IN THE FUND'S STATEMENT OF INVESTMENTS (SOI). THE
SOI BEGINS ON PAGE 23.

Annual Report | 11

MANAGER'S DISCUSSION

During the year under review, growth stocks performed significantly better than
value stocks within the U.S. small capitalization universe, as shown by the
Russell 2000 Growth Index's -3.76% total return versus a -9.95% return for the
Russell 2000 Value Index.(3) With respect to asset class, small cap growth
stocks fared slightly better than their large cap growth counterparts as the
Russell 1000(R) Growth Index returned -6.29% for the 12 months ended July 31,
2008.(4)

The Fund had several disappointments during this reporting period. Stock
selection in the information technology, health care and financials sectors had
a considerably negative impact on the Fund's results relative to the benchmark
Russell 2000 Growth Index.(5) Within information technology, the semiconductors
and semiconductor equipment industry was the largest drag on our results. In
particular, shares of Advanced Analogic Technologies, a supplier of power
management semiconductors, fell after the company reduced its revenue and
earnings guidance due to the challenging macroeconomic environment and slow
roll-out of high-end cell phones from its two largest customers, Samsung and LG.
Nonetheless, we like Advanced Analogic's long-term outlook and continued to hold
the stock at period-end. Additionally, shares of Tessera Technologies, a
provider of packaging miniaturization technologies for the semiconductor
industry, sold off largely because of an unfavorable court ruling regarding
patent infringement on the company's chip packaging technology. Concerned this
issue would not be resolved for at least another six to 12 months, we sold the
Fund's position during the period. Within health care, our position in
biotechnology company Indevus Pharmaceuticals hurt performance when the stock
declined on news that the Food and Drug Administration would require an
additional study for the company's testosterone drug, named Nebido, pushing out
the drug's approval for at least a few years. By period-end, we had begun
selling all of the Fund's Indevus holdings. In the financials sector, our
position in National Financial Partners, an independent distributor of financial
services products to high net worth individuals, fell in value after the company

(3.) Source: (C) 2008 Morningstar. See footnote 2 for a description of the
Russell 2000 Growth Index. The Russell 2000 Value Index is market
capitalization weighted and measures performance of those Russell 2000
Index companies with lower price-to-book ratios and lower forecasted growth
values.

(4.) Source: (C) 2008 Morningstar. The Russell 1000 Growth Index is market
capitalization weighted and measures performance of those Russell 1000
Index companies with higher price-to-book ratios and higher forecasted
growth values. The Russell 1000 Index is market capitalization weighted and
measures performance of the 1,000 largest companies in the Russell 3000
Index, which represent approximately 92% of total market capitalization of
the Russell 3000 Index.

(5.) The information technology sector comprises communications equipment,
electronic equipment and instruments, internet software and services, IT
services, semiconductors and semiconductor equipment and software in the
SOI. The health care sector comprises biotechnology, health care equipment
and supplies, health care providers and services, life sciences tools and
services, and health care technology in the SOI. The financials sector
comprises capital markets, commercial banks and insurance in the SOI.

12 | Annual Report

reported lower-than-expected revenues and earnings in first quarter 2008 and
reduced full-year guidance. We believed management had not executed well on its
previously stated growth strategy and we therefore planned to sell the Fund's
position.

On the other hand, Fund performance relative to the benchmark index benefited
from stock selection in the industrials and materials sectors.(6) Within the
industrials sector, two of the largest contributors to the Fund's relative
results were Clean Harbors, an environmental services and waste treatment
facilities provider, and Teledyne Technologies, a provider of electronics and
communications equipment to the wireless, satellite and communications
industries. Both companies benefited from strong quarterly revenue and earnings
growth, and raised guidance throughout the Fund's fiscal year. Our investments
in the materials sector also fared well, led by Fund holding Metal Management, a
full service metals recycler that was acquired by one of its larger competitors,
Sims Group, in March 2008. Certain investments in the energy sector also
contributed to performance, notably oil and gas exploration and production
companies Petrohawk Energy and EXCO Resources.(7) Both companies benefited from
sharply rising energy prices and several positive drilling announcements in the
Haynesville Shale, a rock formation containing oil and gas lying approximately
10,500 to 13,000 feet beneath northwest Louisiana and eastern Texas, where both
companies have significant acreage.

Thank you for your continued participation in Fiduciary Small Capitalization
Equity Fund. We look forward to serving your future investment needs.

/s/ Alison J. Schatz

Alison J. Schatz, CFA
Portfolio Manager of Franklin
Templeton Institutional, LLC
Fiduciary Small Capitalization
Equity Fund

PORTFOLIO BREAKDOWN
Fiduciary Small Capitalization Equity Fund 7/31/08

% OF TOTAL
SECTOR/INDUSTRY NET ASSETS
- --------------- ----------

Semiconductors & Semiconductor Equipment 11.6%
Internet Software & Services 8.2%
Communications Equipment 7.4%
Software 6.7%
Aerospace & Defense 5.8%
Commercial Services & Supplies 5.1%
Oil, Gas & Consumable Fuels 3.8%
Health Care Technology 3.5%
Biotechnology 3.4%
Electronic Equipment & Instruments 3.3%
Capital Markets 3.2%
Machinery 2.9%
Energy Equipment & Services 2.7%
Hotels, Restaurants & Leisure 2.5%
Textiles, Apparel & Luxury Goods 2.4%
Insurance 2.4%
Health Care Providers & Services 2.2%
Specialty Retail 2.1%
Media 2.1%
Other 14.8%
Short-Term Investments & Other Net Assets 3.9%

(6.) The industrials sector comprises aerospace and defense, air freight and
logistics, airlines, commercial services and supplies and machinery in the
SOI. The materials sector comprises metals and mining in the SOI.

(7.) The energy sector comprises energy equipment and services; and oil, gas and
consumable fuels in the SOI.

Annual Report | 13

Performance Summary as of 7/31/08

FIDUCIARY SMALL CAPITALIZATION EQUITY FUND

PERFORMANCE(1)

1- YEAR 5-YEAR 10-YEAR
------- ------ -------

Average Annual Total Return(2) -15.12% +5.54% +4.75%

TOTAL RETURN INDEX COMPARISON FOR HYPOTHETICAL $10,000 INVESTMENT(1)

The graph below illustrates the hypothetical investment of $10,000 in Fiduciary
Small Capitalization Equity Fund from 8/1/98 through 7/31/08, compared with the
Russell 2000 Growth Index.(3) Total return represents the change in value of an
investment over the periods shown. It includes Fund expenses, account fees and
reinvested dividends. The index is unmanaged and includes reinvestment of any
income or distributions. It differs from the Fund in composition and does not
pay management fees or expenses. One cannot invest directly in an index.

(LINE CHART)

USD USD
FIDUCIARY SMALL CAPITALIZATION EQUITY FUND RUSSELL 2000 GROWTH INDEX
21-DEC-95 21-DEC-95
INCEPTION DATE NET GROSS
CALENDAR MONTH 5566 BM0619
- -------------- ------------------------------------------ -------------------------

Jul-98 10,000.00 10,000.00
Aug-98 7,673.76 7,691.57
Sep-98 8,347.52 8,471.42
Oct-98 8,702.13 8,913.26
Nov-98 9,404.25 9,604.70
Dec-98 10,354.61 10,473.87
Jan-99 11,248.23 10,944.99
Feb-99 10,134.76 9,943.78
Mar-99 10,609.93 10,297.94
Apr-99 11,000.00 11,207.36
May-99 10,666.67 11,225.12
Jun-99 11,744.68 11,816.41
Jul-99 11,801.42 11,451.02
Aug-99 12,120.56 11,022.76
Sep-99 12,439.71 11,235.38
Oct-99 13,276.59 11,523.16
Nov-99 14,758.86 12,741.57
Dec-99 17,530.39 14,987.30
Jan-00 17,491.66 14,847.82
Feb-00 21,256.47 18,302.39
Mar-00 20,079.00 16,378.51
Apr-00 17,615.61 14,724.85
May-00 16,988.14 13,435.47
Jun-00 19,033.22 15,171.08
Jul-00 18,320.54 13,870.91
Aug-00 20,009.28 15,329.95
Sep-00 19,885.33 14,568.37
Oct-00 18,924.76 13,385.79
Nov-00 16,267.70 10,955.38
Dec-00 18,064.90 11,625.75
Jan-01 17,375.46 12,566.75
Feb-01 16,136.01 10,844.14
Mar-01 14,571.21 9,858.22
Apr-01 15,802.90 11,065.12
May-01 15,864.88 11,321.42
Jun-01 16,329.67 11,630.16
Jul-01 15,415.58 10,637.99
Aug-01 14,400.78 9,973.63
Sep-01 12,526.13 8,364.34
Oct-01 13,525.43 9,169.02
Nov-01 14,493.75 9,934.40
Dec-01 15,250.92 10,552.90
Jan-02 14,679.76 10,177.47
Feb-02 13,776.13 9,518.75
Mar-02 14,594.51 10,346.11
Apr-02 13,938.10 10,122.26
May-02 12,855.45 9,530.42
Jun-02 11,900.67 8,722.25
Jul-02 10,442.92 7,381.71
Aug-02 10,528.17 7,378.28
Sep-02 9,718.31 6,845.33
Oct-02 10,178.65 7,191.57
Nov-02 10,630.47 7,904.52
Dec-02 9,846.18 7,359.39
Jan-03 9,377.32 7,159.47
Feb-03 9,130.10 6,968.55
Mar-03 9,275.02 7,074.04
Apr-03 10,059.30 7,743.52
May-03 11,355.08 8,616.15
Jun-03 11,482.95 8,782.20
Jul-03 12,147.89 9,446.10
Aug-03 13,094.15 9,953.47
Sep-03 12,574.13 9,701.51
Oct-03 13,656.79 10,539.62
Nov-03 14,134.18 10,883.24
Dec-03 14,262.05 10,931.90
Jan-04 14,816.17 11,506.19
Feb-04 14,909.94 11,488.38
Mar-04 14,671.24 11,542.08
Apr-04 13,793.18 10,962.70
May-04 13,997.78 11,180.76
Jun-04 14,415.49 11,552.80
Jul-04 12,667.90 10,515.81
Aug-04 12,267.23 10,289.42
Sep-04 12,906.59 10,858.37
Oct-04 13,307.27 11,122.21
Nov-04 14,372.87 12,062.33
Dec-04 14,773.53 12,495.86
Jan-05 13,938.10 11,932.93
Feb-05 14,244.99 12,096.70
Mar-05 13,716.46 11,642.96
Apr-05 13,273.16 10,901.97
May-05 14,014.82 11,670.63
Jun-05 14,483.69 12,047.97
Jul-05 15,481.09 12,890.11
Aug-05 15,259.45 12,708.47
Sep-05 15,276.50 12,809.18
Oct-05 14,389.91 12,335.81
Nov-05 15,165.68 13,034.20
Dec-05 15,387.32 13,014.79
Jan-06 17,015.57 14,270.20
Feb-06 17,203.12 14,194.15
Mar-06 18,106.75 14,884.02
Apr-06 17,987.40 14,841.05
May-06 16,529.65 13,796.61
Jun-06 16,026.68 13,804.94
Jul-06 14,901.41 13,087.81
Aug-06 15,378.80 13,471.16
Sep-06 15,728.32 13,562.33
Oct-06 16,776.87 14,441.13
Nov-06 17,458.86 14,786.88
Dec-06 17,296.25 14,751.68
Jan-07 17,742.43 15,026.14
Feb-07 17,742.43 14,978.61
Mar-07 17,961.14 15,116.95
Apr-07 18,311.10 15,513.28
May-07 19,238.46 16,221.34
Jun-07 19,229.72 16,127.92
Jul-07 18,739.79 15,290.55
Aug-07 19,360.95 15,675.12
Sep-07 19,929.62 16,130.50
Oct-07 20,655.77 16,856.71
Nov-07 19,046.00 15,692.57
Dec-07 19,368.52 15,791.13
Jan-08 17,091.71 14,342.50
Feb-08 15,795.06 13,846.11
Mar-08 15,672.61 13,765.50
Apr-08 16,673.24 14,472.80
May-08 17,581.91 15,292.65
Jun-08 16,275.02 14,380.98
Jul-08 15,907.52 14,715.38

14 | Annual Report

Performance Summary (CONTINUED)

ENDNOTES

WHILE STOCKS HAVE HISTORICALLY OUTPERFORMED OTHER ASSET CLASSES OVER THE LONG
TERM, THEY TEND TO FLUCTUATE MORE DRAMATICALLY OVER THE SHORT TERM. SMALLER
COMPANY SECURITIES HAVE BEEN MORE VOLATILE IN PRICE THAN LARGER COMPANY
SECURITIES, ESPECIALLY OVER THE SHORT TERM. THESE PRICE MOVEMENTS MAY RESULT
FROM FACTORS AFFECTING INDIVIDUAL COMPANIES, INDUSTRIES OR THE SECURITIES MARKET
AS A WHOLE. THE FUND'S PORTFOLIO INCLUDES TECHNOLOGY STOCKS, A SECTOR THAT HAS
BEEN ONE OF THE MOST VOLATILE AND INVOLVES SPECIAL RISKS. THE FUND MAY INVEST IN
STOCKS OF FOREIGN COMPANIES, WHICH ALSO INVOLVE SPECIAL RISKS, INCLUDING
CURRENCY FLUCTUATIONS AND ECONOMIC AS WELL AS POLITICAL UNCERTAINTY. THE FUND'S
PROSPECTUS ALSO INCLUDES A DESCRIPTION OF THE MAIN INVESTMENT RISKS.

(1.) Performance prior to the 7/24/03 reorganization reflects historical
performance of FTI Small Capitalization Equity Fund. Past expense
reductions by the Fund's manager and administrator increased the Fund's
total returns. If the manager and administrator had not taken this action,
the Fund's total returns would have been lower.

(3.) Source: (C) 2008 Morningstar. The Russell 2000 Growth Index is market
capitalization weighted and measures performance of those Russell 2000
Index companies with higher price-to-book ratios and higher forecasted
growth values.

Annual Report | 15

Your Fund's Expenses

FIDUCIARY SMALL CAPITALIZATION EQUITY FUND

As a Fund shareholder, you can incur two types of costs:

- - Transaction costs, including sales charges (loads) on Fund purchases and
redemption fees; and

- - Ongoing Fund costs, including management fees, distribution and service
(12b-1) fees, and other Fund expenses. All mutual funds have ongoing costs,
sometimes referred to as operating expenses.

ACTUAL FUND EXPENSES

The first line (Actual) of the table provides actual account values and
expenses. The "Ending Account Value" is derived from the Fund's actual return,
which includes the effect of Fund expenses.

You can estimate the expenses you paid during the period by following these
steps. OF COURSE, YOUR ACCOUNT VALUE AND EXPENSES WILL DIFFER FROM THOSE IN THIS
ILLUSTRATION:

1. Divide your account value by $1,000.

IF AN ACCOUNT HAD AN $8,600 VALUE, THEN $8,600 / $1,000 = 8.6.

2. Multiply the result by the number under the heading "Expenses Paid During
Period."

IF EXPENSES PAID DURING PERIOD WERE $7.50, THEN 8.6 X $7.50 = $64.50.

In this illustration, the estimated expenses paid this period are $64.50.

HYPOTHETICAL EXAMPLE FOR COMPARISON WITH OTHER FUNDS

16 | Annual Report

Your Fund's Expenses (CONTINUED)

BEGINNING ACCOUNT ENDING ACCOUNT EXPENSES PAID DURING
VALUE 2/1/08 VALUE 7/31/08 PERIOD* 2/1/08-7/31/08
----------------- -------------- ----------------------

Actual $1,000 $ 930.70 $7.15
Hypothetical (5% return before expenses) $1,000 $1,017.45 $7.47

* Expenses are calculated using the most recent six-month annualized expense
ratio of 1.49%, multiplied by the average account value over the period,
multiplied by 182/366 to reflect the one-half year period.

Annual Report | 17

Franklin Global Trust

FINANCIAL HIGHLIGHTS

FIDUCIARY LARGE CAPITALIZATION GROWTH AND INCOME FUND

YEAR ENDED JULY 31,
-------------------------------------------------------
2008 2007 2006 2005 2004
------- ------- ------- ------- -------

PER SHARE OPERATING PERFORMANCE
(for a share outstanding throughout the year)
Net asset value, beginning of year ................. $ 7.28 $ 6.63 $ 7.15 $ 6.77 $ 5.91
------- ------- ------- ------- -------
Income from investment operations(a):
Net investment income(b) ........................ 0.05 0.04 0.04 0.08 0.03
Net realized and unrealized gains (losses) ...... (0.48) 1.14 0.13 0.74 0.90
------- ------- ------- ------- -------
Total from investment operations ................... (0.43) 1.18 0.17 0.82 0.93
------- ------- ------- ------- -------
Less distributions from:
Net investment income ........................... (0.06) (0.04) (0.04) (0.08) (0.03)
Net realized gains .............................. (0.59) (0.49) (0.65) (0.36) (0.04)
------- ------- ------- ------- -------
Total distributions ................................ (0.65) (0.53) (0.69) (0.44) (0.07)
------- ------- ------- ------- -------
Redemption fees .................................... -- --(c) -- -- --
------- ------- ------- ------- -------
Net asset value, end of year ....................... $ 6.20 $ 7.28 $ 6.63 $ 7.15 $ 6.77
======= ======= ======= ======= =======
Total return ....................................... (6.66)% 18.27% 2.22% 12.38% 15.78%
RATIOS TO AVERAGE NET ASSETS
Expenses before waiver and payments by affiliates .. 1.03% 1.03% 1.02% 1.01% 1.02%
Expenses net of waiver and payments by affiliates .. 1.03%(d) 1.03%(d) 1.02%(d) 1.01%(d) 0.98%
Net investment income .............................. 0.67% 0.63% 0.57% 1.13% 0.43%
SUPPLEMENTAL DATA
Net assets, end of year (000's) .................... $75,891 $89,971 $91,915 $94,536 $82,921
Portfolio turnover rate ............................ 51.54% 41.86% 54.63% 47.08% 48.04%

(b) Based on average daily shares outstanding.

(d) Benefit of expense reduction rounds to less than 0.01%.

The accompanying notes are an integral part of these financial statements.
18 | Annual Report

Franklin Global Trust

STATEMENT OF INVESTMENTS, JULY 31, 2008

FIDUCIARY LARGE CAPITALIZATION GROWTH AND INCOME FUND COUNTRY SHARES VALUE
----------------------------------------------------- ------------- --------- -----------

COMMON STOCKS 96.4%
AEROSPACE & DEFENSE 5.3%
(a) Teledyne Technologies Inc. .......................... United States 37,000 $ 2,327,300
United Technologies Corp. ........................... United States 26,000 1,663,480
-----------
3,990,780
-----------
AUTOMOBILES 2.1%
Honda Motor Co. Ltd. ................................ Japan 50,000 1,617,163
-----------
BEVERAGES 2.7%
InBev NV ............................................ Belgium 30,000 2,023,257
-----------
BIOTECHNOLOGY 1.8%
(a) Celgene Corp. ....................................... United States 18,000 1,358,820
-----------
CAPITAL MARKETS 2.0%
Invesco Ltd. ........................................ Bermuda 65,000 1,513,850
-----------
COMMUNICATIONS EQUIPMENT 10.1%
(a) Cisco Systems Inc. .................................. United States 70,000 1,539,300
Corning Inc. ........................................ United States 69,000 1,380,690
Harris Corp. ........................................ United States 40,000 1,926,000
QUALCOMM Inc. ....................................... United States 51,000 2,822,340
-----------
7,668,330
-----------
COMPUTERS & PERIPHERALS 2.0%
(a) EMC Corp. ........................................... United States 101,000 1,516,010
-----------
DIVERSIFIED FINANCIAL SERVICES 2.4%
JPMorgan Chase & Co. ................................ United States 44,000 1,787,720
-----------
DIVERSIFIED TELECOMMUNICATION SERVICES 3.7%
Singapore Telecommunications Ltd. ................... Singapore 590,000 1,544,232
Telenor ASA ......................................... Norway 85,000 1,293,280
-----------
2,837,512
-----------
ELECTRICAL EQUIPMENT 4.4%
ABB Ltd. ............................................ Switzerland 66,000 1,753,952
(a) Vestas Wind Systems AS .............................. Denmark 12,000 1,585,201
-----------
3,339,153
-----------
ELECTRONIC EQUIPMENT & INSTRUMENTS 4.3%
(a) Agilent Technologies Inc. ........................... United States 48,000 1,730,880
(a) Trimble Navigation Ltd. ............................. United States 46,000 1,527,200
-----------
3,258,080
-----------
ENERGY EQUIPMENT & SERVICES 8.7%
(a) National Oilwell Varco Inc. ......................... United States 28,000 2,201,640
Schlumberger Ltd. ................................... United States 23,000 2,336,800
(a) Transocean Inc. ..................................... United States 15,000 2,040,450
-----------
6,578,890
-----------
FOOD & STAPLES RETAILING 2.9%
CVS Caremark Corp. .................................. United States 60,000 2,190,000
-----------

Annual Report | 19

Franklin Global Trust

STATEMENT OF INVESTMENTS, JULY 31, 2008 (CONTINUED)

FIDUCIARY LARGE CAPITALIZATION GROWTH AND INCOME FUND COUNTRY SHARES VALUE
----------------------------------------------------- ------------- --------- ----------

COMMON STOCKS (CONTINUED)
FOOD PRODUCTS 3.5%
Nestle SA ........................................... Switzerland 60,000 $ 2,639,175
-----------
INSURANCE 6.1%
AFLAC Inc. .......................................... United States 32,000 1,779,520
American International Group Inc. ................... United States 55,000 1,432,750
Hartford Financial Services Group Inc. ............. United States 23,000 1,457,970
-----------
4,670,240
-----------
MACHINERY 6.1%
Danaher Corp. ....................................... United States 15,000 1,194,750
Komatsu Ltd. ........................................ Japan 80,000 2,001,761
(a) Terex Corp. ......................................... United States 30,300 1,434,099
-----------
4,630,610
-----------
MEDIA 1.8%
Time Warner Inc. .................................... United States 95,000 1,360,400
-----------
MULTILINE RETAIL 1.8%
Nordstrom Inc. ...................................... United States 48,000 1,379,520
-----------
OIL, GAS & CONSUMABLE FUELS 5.4%
ConocoPhillips ...................................... United States 28,000 2,285,360
Exxon Mobil Corp. ................................... United States 23,000 1,849,890
-----------
4,135,250
-----------
PAPER & FOREST PRODUCTS 1.2%
International Paper Co. ............................. United States 34,000 942,480
-----------
PHARMACEUTICALS 11.5%
Johnson & Johnson ................................... United States 34,000 2,327,980
Roche Holding AG .................................... Switzerland 11,000 2,040,187
Schering-Plough Corp. ............................... United States 60,400 1,273,232
Teva Pharmaceutical Industries Ltd., ADR ............ Israel 38,000 1,703,920
Wyeth ............................................... United States 33,600 1,361,472
-----------
8,706,791
-----------
SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT 2.2%
Intel Corp. ......................................... United States 76,000 1,686,440
-----------
SOFTWARE 2.1%
Nintendo Co. Ltd. ................................... Japan 3,200 1,559,891
-----------
WIRELESS TELECOMMUNICATION SERVICES 2.3%
(a) American Tower Corp., A ............................. United States 42,000 1,759,800
-----------
TOTAL COMMON STOCKS (COST $58,612,147) .............. 73,150,162
-----------

20 | Annual Report

Franklin Global Trust

STATEMENT OF INVESTMENTS, JULY 31, 2008 (CONTINUED)

FIDUCIARY LARGE CAPITALIZATION GROWTH AND INCOME FUND COUNTRY SHARES VALUE
----------------------------------------------------- ------------- --------- -----------

SHORT TERM INVESTMENT (COST $1,548,306) 2.0%
MONEY MARKET FUND 2.0%
(b) Franklin Institutional Fiduciary Trust Money
Market Portfolio, 2.20% .......................... United States 1,548,306 $ 1,548,306
-----------
TOTAL INVESTMENTS (COST $60,160,453) 98.4% .......... 74,698,468
OTHER ASSETS, LESS LIABILITIES 1.6% ................. 1,192,296
-----------
NET ASSETS 100.0% ................................... $75,890,764
===========

See Selected Portfolio Abbreviation on page 27.

(a) Non-income producing for the twelve months ended July 31, 2008.

(b) See Note 7 regarding investments in the Franklin Institutional Fiduciary
Trust Money Market Portfolio. The rate shown is the annualized seven-day
yield at period end.

The accompanying notes are an integral part of these financial statements.

Annual Report | 21

Franklin Global Trust

FINANCIAL HIGHLIGHTS

FIDUCIARY SMALL CAPITALIZATION EQUITY FUND

YEAR ENDED JULY 31,
---------------------------------------------------------
2008 2007 2006 2005 2004
---------- ---------- ---------- -------- -------

PER SHARE OPERATING PERFORMANCE
(for a share outstanding throughout the year)
Net asset value, beginning of year .................. $ 21.41 $ 17.48 $ 18.16 $ 14.86 $ 14.25
------- ------- ------- ------- -------
Income from investment operations(a):
Net investment income (loss)(b) .................. (0.21) (0.22) (0.20) (0.10) (0.16)
Net realized and unrealized gains (losses) ....... (2.62) 4.67 (0.48) 3.40 0.77
------- ------- ------- ------- -------
Total from investment operations .................... (2.83) 4.45 (0.68) 3.30 0.61
------- ------- ------- ------- -------
Less distributions from net realized gains .......... (3.01) (0.52) -- -- --
------- ------- ------- ------- -------
Net asset value, end of year ........................ $ 15.57 $ 21.41 $ 17.48 $ 18.16 $ 14.86
======= ======= ======= ======= =======
Total return ........................................ (15.12)% 25.76% (3.74)% 22.21% 4.28%
RATIOS TO AVERAGE NET ASSETS
Expenses before waiver and payments by affiliates ... 1.43% 1.38% 1.35% 1.30% 1.27%
Expenses net of waiver and payments by affiliates ... 1.43%(c) 1.38%(c) 1.35%(c) 1.30% 1.26%
Net investment income (loss) ........................ (1.16)% (1.12)% (1.07)% (0.66)% (1.01)%
SUPPLEMENTAL DATA
Net assets, end of year (000's) ..................... $23,526 $28,347 $37,233 $44,821 $62,786
Portfolio turnover rate ............................. 40.83% 39.30% 97.79% 111.92% 130.22%

(b) Based on average daily shares outstanding.

The accompanying notes are an integral part of these financial statements.

22 | Annual Report

Franklin Global Trust

STATEMENT OF INVESTMENTS, JULY 31, 2008

FIDUCIARY SMALL CAPITALIZATION EQUITY FUND SHARES VALUE
------------------------------------------ ------- -----------

COMMON STOCKS 96.1%
AEROSPACE & DEFENSE 5.8%
(a) BE Aerospace Inc. .......................................................... 7,500 $ 192,600
(a) Orbital Sciences Corp. ..................................................... 19,500 487,695
(a) Teledyne Technologies Inc. ................................................. 11,000 691,900
-----------
1,372,195
-----------
AIR FREIGHT & LOGISTICS 1.7%
(a) Hub Group Inc., A .......................................................... 10,400 404,144
-----------
AIRLINES 0.8%
(a) Allegiant Travel Co. ....................................................... 7,600 187,568
-----------
BIOTECHNOLOGY 3.4%
(a) Alexion Pharmaceuticals Inc. ............................................... 3,700 346,875
(a) BioMarin Pharmaceutical Inc. ............................................... 5,800 188,790
(a) Indevus Pharmaceuticals Inc. ............................................... 23,700 43,371
(a) Orexigen Therapeutics Inc. ................................................. 24,800 217,000
-----------
796,036
-----------
CAPITAL MARKETS 3.2%
(a) Investment Technology Group Inc. ........................................... 12,100 359,854
optionsXpress Holdings Inc. ................................................. 15,900 394,479
-----------
754,333
-----------
COMMERCIAL BANKS 1.5%
(a) Signature Bank ............................................................. 12,200 359,046
-----------
COMMERCIAL SERVICES & SUPPLIES 5.1%
(a) Clean Harbors Inc. ......................................................... 6,900 538,476
(a) Fuel Tech Inc. ............................................................. 14,700 272,391
(a) Huron Consulting Group Inc. ................................................ 7,500 391,200
-----------
1,202,067
-----------
COMMUNICATIONS EQUIPMENT 7.4%
(a) ADC Telecommunications Inc. ................................................ 19,740 186,740
(a) Arris Group Inc. ........................................................... 35,000 334,950
(a) Emulex Corp. ............................................................... 16,600 187,082
(a) Ixia ....................................................................... 48,700 426,612
(a) Sonus Networks Inc. ........................................................ 56,100 203,643
(a) ViaSat Inc. ................................................................ 17,200 396,116
-----------
1,735,143
-----------
DIVERSIFIED CONSUMER SERVICES 1.2%
(a) Capella Education Co. ...................................................... 2,900 151,380
(a) thinkorswim Group Inc. ..................................................... 15,600 125,268
-----------
276,648
-----------
ELECTRONIC EQUIPMENT & INSTRUMENTS 3.3%
(a) Digital Theater Systems Inc. ............................................... 9,600 274,464
(a) Itron Inc. ................................................................. 5,400 498,582
-----------
773,046
-----------

Annual Report | 23

Franklin Global Trust

STATEMENT OF INVESTMENTS, JULY 31, 2008 (CONTINUED)

FIDUCIARY SMALL CAPITALIZATION EQUITY FUND SHARES VALUE
------------------------------------------ ------- -----------

COMMON STOCKS (CONTINUED)
ENERGY EQUIPMENT & SERVICES 2.7%
(a) Hercules Offshore Inc. ..................................................... 10,800 $ 269,676
(a) Hornbeck Offshore Services Inc. ............................................ 8,300 370,014
-----------
639,690
-----------
FOOD & STAPLES RETAILING 1.1%
(a) United Natural Foods Inc. .................................................. 13,000 249,860
-----------
FOOD PRODUCTS 1.9%
(a) Hain Celestial Group Inc. .................................................. 17,000 444,380
-----------
HEALTH CARE EQUIPMENT & SUPPLIES 2.0%
(a) American Medical Systems Holdings Inc. ..................................... 28,000 461,160
-----------
HEALTH CARE PROVIDERS & SERVICES 2.2%
(a) Healthways Inc. ............................................................ 4,900 124,509
(a) Psychiatric Solutions Inc. ................................................. 11,000 385,220
-----------
509,729
-----------
HEALTH CARE TECHNOLOGY 3.5%
(a) Omnicell Inc. .............................................................. 19,100 310,375
(a) Phase Forward Inc. ......................................................... 27,500 506,000
-----------
816,375
-----------
HOTELS, RESTAURANTS & LEISURE 2.5%
(a) Chipotle Mexican Grill Inc., A ............................................. 1,900 130,150
(a) Life Time Fitness Inc. ..................................................... 8,600 256,194
(a) Vail Resorts Inc. .......................................................... 5,200 209,976
-----------
596,320
-----------
INSURANCE 2.4%
Max Capital Group Ltd. ..................................................... 14,000 328,580
National Financial Partners Corp. .......................................... 11,300 235,605
-----------
564,185
-----------
INTERNET & CATALOG RETAIL 1.6%
(a) Gaiam Inc., A .............................................................. 25,000 366,500
-----------
INTERNET SOFTWARE & SERVICES 8.2%
(a) Art Technology Group Inc. .................................................. 142,900 524,443
(a) Divx Inc. .................................................................. 32,000 263,040
(a) Equinix Inc. ............................................................... 5,400 439,344
(a) The Knot Inc. .............................................................. 27,000 236,520
(a) Omniture Inc. .............................................................. 12,600 218,610
(a) Tumbleweed Communications Corp. ............................................ 98,622 248,528
-----------
1,930,485
-----------
IT SERVICES 0.9%
(a) TeleTech Holdings Inc. ..................................................... 16,100 218,960
-----------

24 | Annual Report

Franklin Global Trust

STATEMENT OF INVESTMENTS, JULY 31, 2008 (CONTINUED)

FIDUCIARY SMALL CAPITALIZATION EQUITY FUND SHARES VALUE
------------------------------------------ ------- -----------

COMMON STOCKS (CONTINUED)
LIFE SCIENCES TOOLS & SERVICES 0.3%
(a) AMAG Pharmaceuticals Inc. .................................................. 1,700 $ 69,700
-----------
MACHINERY 2.9%
Kaydon Corp. ............................................................... 8,300 393,586
(a) Titan Machinery, Inc. ...................................................... 10,300 282,426
-----------
676,012
-----------
MEDIA 2.1%
(a) Lions Gate Entertainment Corp. ............................................. 50,000 492,500
-----------
METALS & MINING 1.6%
Sims Group Ltd., ADR (Australia) ........................................... 12,300 382,407
-----------
OIL, GAS & CONSUMABLE FUELS 3.8%
(a) Bill Barrett Corp. ......................................................... 7,800 320,892
(a) EXCO Resources Inc. ........................................................ 11,700 304,785
(a) Petrohawk Energy Corp. ..................................................... 8,055 268,393
-----------
894,070
-----------
PERSONAL PRODUCTS 0.2%
(a) Bare Escentuals Inc. ....................................................... 4,500 51,930
-----------
SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT 11.6%
(a) Advanced Analogic Technologies Inc. ........................................ 53,800 222,194
(a) ANADIGICS Inc. ............................................................. 38,400 229,248
(a) Atheros Communications ..................................................... 11,500 356,500
(a) Diodes Inc. ................................................................ 8,300 215,551
(a) Microsemi Corp. ............................................................ 21,000 545,160
(a) Microtune Inc. ............................................................. 81,600 265,200
(a) Netlogic Microsystems Inc. ................................................. 10,600 339,306
(a) Power Integrations Inc. .................................................... 10,469 286,013
(a) Rubicon Technology Inc. .................................................... 7,300 94,900
(a) Silicon Laboratories Inc. .................................................. 5,700 186,447
-----------
2,740,519
-----------
SOFTWARE 6.7%
(a) Ansoft Corp. ............................................................... 15,600 557,076
(a) Bottomline Technologies Inc. ............................................... 28,400 339,948
(a) Concur Technologies Inc. ................................................... 1,900 78,318
(a) Monotype Imaging Holdings Inc. ............................................. 17,000 220,320
(a) Nuance Communications Inc. ................................................. 24,000 372,480
-----------
1,568,142
-----------
SPECIALTY RETAIL 2.1%
(a) Tractor Supply Co. ......................................................... 7,400 281,274
(a) Zumiez Inc. ................................................................ 14,600 215,496
-----------
496,770
-----------

Annual Report | 25

Franklin Global Trust

STATEMENT OF INVESTMENTS, JULY 31, 2008 (CONTINUED)

FIDUCIARY SMALL CAPITALIZATION EQUITY FUND SHARES VALUE
------------------------------------------ ------- -----------

COMMON STOCKS (CONTINUED)
TEXTILES, APPAREL & LUXURY GOODS 2.4%
(a) Volcom Inc. ................................................................ 10,400 $ 186,576
(a) The Warnaco Group Inc. ..................................................... 9,300 390,135
-----------
576,711
-----------
TOTAL COMMON STOCKS (COST $21,818,020) ..................................... 22,606,631
-----------
SHORT TERM INVESTMENT (COST $665,739) 2.8%
MONEY MARKET FUND 2.8%
(b) Franklin Institutional Fiduciary Trust Money Market Portfolio, 2.20% ....... 665,739 665,739
-----------
TOTAL INVESTMENTS (COST $22,483,759) 98.9% ................................. 23,272,370
OTHER ASSETS, LESS LIABILITIES 1.1% ........................................ 253,326
-----------
NET ASSETS 100.0% .......................................................... $23,525,696
===========

See Selected Portfolio Abbreviation on page 27.

(a) Non-income producing for the twelve months ended July 31, 2008.

(b) See Note 7 regarding investments in the Franklin Institutional Fiduciary
Trust Money Market Portfolio. The rate shown is the annualized seven-day
yield at period end.

The accompanying notes are an integral part of these financial statements.

26 | Annual Report

Franklin Global Trust

STATEMENT OF INVESTMENTS, JULY 31, 2008

SELECTED PORTFOLIO ABBREVIATION

ADR - American Depository Receipt

The accompanying notes are an integral part of these financial statements.

Annual Report | 27

Franklin Global Trust

FINANCIAL STATEMENTS

STATEMENTS OF ASSETS AND LIABILITIES
July 31, 2008

FIDUCIARY
LARGE FIDUCIARY
CAPITALIZATION SMALL
GROWTH AND CAPITALIZATION
INCOME FUND EQUITY FUND
-------------- --------------

Assets:
Investments in securities:
Cost - Unaffiliated issuers .................................. $58,612,147 $21,818,020
Cost - Sweep Money Fund (Note 7) ............................. 1,548,306 665,739
----------- -----------
Total cost of investments .................................... $60,160,453 $22,483,759
=========== ===========
Value - Unaffiliated issuers ................................. $73,150,162 $22,606,631
Value - Sweep Money Fund (Note 7) ............................ 1,548,306 665,739
----------- -----------
Total value of investments ................................... 74,698,468 23,272,370
Foreign currency, at value (cost $30,626) ....................... 30,240 --
Receivables:
Investment securities sold ................................... 1,129,338 480,331
Capital shares sold .......................................... -- 250
Dividends .................................................... 105,735 --
----------- -----------
Total assets .............................................. 75,963,781 23,752,951
----------- -----------
Liabilities:
Payables:
Investment securities purchased .............................. -- 196,574
Affiliates ................................................... 60,367 23,730
Reports to shareholders ...................................... 5,952 3,060
Accrued expenses and other liabilities .......................... 6,698 3,891
----------- -----------
Total liabilities ......................................... 73,017 227,255
----------- -----------
Net assets, at value ................................... $75,890,764 $23,525,696
=========== ===========
Net assets consist of:
Paid-in capital ................................................. $59,675,982 $22,801,133
Net unrealized appreciation (depreciation) ...................... 14,540,964 788,611
Accumulated net realized gain (loss) ............................ 1,673,818 (64,048)
----------- -----------
Net assets, at value ................................... $75,890,764 $23,525,696
=========== ===========
Shares outstanding .............................................. 12,247,003 1,510,896
=========== ===========
Net asset value and maximum offering price per share(a) ......... $ 6.20 $ 15.57
=========== ===========

(a) Redemption price is equal to net asset value less any applicable redemption
fees retained by the Fund.

The accompanying notes are an integral part of these financial statements.

28 | Annual Report

Franklin Global Trust

FINANCIAL STATEMENTS (CONTINUED)

STATEMENTS OF OPERATIONS
for the year ended July 31, 2008

FIDUCIARY
LARGE FIDUCIARY
CAPITALIZATION SMALL
GROWTH AND CAPITALIZATION
INCOME FUND EQUITY FUND
-------------- --------------

Investment income:
Dividends:
Unaffiliated issuers ......................................... $ 1,195,923 $ 42,201
Sweep Money Fund (Note 7) .................................... 271,323 30,413
----------- -----------
Total investment income ................................... 1,467,246 72,614
----------- -----------
Expenses:
Management fees (Note 3a) ....................................... 622,686 265,222
Administrative fees (Note 3b) ................................... 172,738 53,633
Transfer agent fees (Note 3d) ................................... 808 1,840
Custodian fees (Note 4) ......................................... 8,405 493
Reports to shareholders ......................................... 14,077 7,486
Registration and filing fees .................................... 30,867 21,665
Professional fees ............................................... 25,362 24,337
Trustees' fees and expenses ..................................... 7,473 2,308
Other ........................................................... 9,129 6,471
----------- -----------
Total expenses ............................................ 891,545 383,455
Expense reductions (Note 4) ............................... (1,655) (71)
Net expenses ........................................... 889,890 383,384
----------- -----------
Net investment income (loss) ........................ 577,356 (310,770)
----------- -----------
Realized and unrealized gains (losses):
Net realized gain (loss) from:
Investments .................................................. 2,255,517 945,957
Realized gain distributions from REITs ....................... 40,929 --
Foreign currency transactions ................................ (32,454) 55
----------- -----------
Net realized gain (loss) ............................ 2,263,992 946,012
----------- -----------
Net change in unrealized appreciation (depreciation) on:
Investments .................................................. (8,295,881) (5,106,801)
Translation of assets and liabilities denominated in
foreign currencies ........................................ 2,749 --
----------- -----------
Net change in unrealized appreciation
(depreciation) ................................... (8,293,132) (5,106,801)
----------- -----------
Net realized and unrealized gain (loss) ............................ (6,029,140) (4,160,789)
----------- -----------
Net increase (decrease) in net assets resulting from operations .... $(5,451,784) $(4,471,559)
=========== ===========

The accompanying notes are an integral part of these financial statements.

Annual Report | 29

Franklin Global Trust

FINANCIAL STATEMENTS (CONTINUED)

STATEMENTS OF CHANGES IN NET ASSETS

FIDUCIARY FIDUCIARY
LARGE CAPITALIZATION SMALL CAPITALIZATION
GROWTH AND INCOME FUND EQUITY FUND
--------------------------- --------------------------
YEAR ENDED JULY 31, YEAR ENDED JULY 31,
--------------------------- --------------------------
2008 2007 2008 2007
------------ ------------ ----------- ------------

Increase (decrease) in net assets:
Operations:
Net investment income (loss) ......................... $ 577,356 $ 590,930 $ (310,770) $ (357,949)
Net realized gain (loss) from investments,
realized gain distributions from REITs, and foreign
currency transactions ............................. 2,263,992 7,904,263 946,012 3,392,364
Net change in unrealized appreciation (depreciation)
on investments and translation of assets and
liabilities denominated in foreign currencies ..... (8,293,132) 7,271,182 (5,106,801) 5,166,733
------------ ------------ ----------- ------------
Net increase (decrease) in net assets resulting
from operations ................................ (5,451,784) 15,766,375 (4,471,559) 8,201,148
------------ ------------ ----------- ------------
Distributions to shareholders from:
Net investment income ................................ (709,461) (494,689) -- --
Net realized gains ................................... (7,176,573) (6,451,080) (3,859,059) (762,125)
------------ ------------ ----------- ------------
Total distributions to shareholders ..................... (7,886,034) (6,945,769) (3,859,059) (762,125)
------------ ------------ ----------- ------------
Capital share transactions (Note 2) ..................... (742,870) (10,763,776) 3,509,441 (16,324,813)
------------ ------------ ----------- ------------
Redemption fees ......................................... -- 4 -- --
------------ ------------ ----------- ------------
Net increase (decrease) in net assets ............. (14,080,688) (1,943,166) (4,821,177) (8,885,790)
Net assets:
Beginning of year ....................................... 89,971,452 91,914,618 28,346,873 37,232,663
------------ ------------ ----------- ------------
End of year ............................................. $ 75,890,764 $ 89,971,452 $23,525,696 $ 28,346,873
============ ============ =========== ============
Undistributed net investment income included in net assets:
End of year ............................................. $ -- $ 52,212 $ -- $ --
============ ============ =========== ============

The accompanying notes are an integral part of these financial statements.

30 | Annual Report

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS

1. ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES

The following summarizes the Funds' significant accounting policies.

A. SECURITY VALUATION

Annual Report | 31

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

1. ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

B. FOREIGN CURRENCY TRANSLATION

The Funds do not separately report the effect of changes in foreign exchange
rates from changes in market prices on securities held. Such changes are
included in net realized and unrealized gain or loss from investments on the
Statement of Operations.

C. FOREIGN CURRENCY CONTRACTS

When the Funds purchase or sell foreign securities they may enter into foreign
exchange contracts to minimize foreign exchange risk from the trade date to the
settlement date of the transactions. A foreign exchange contract is an agreement
between two parties to exchange different currencies at an agreed upon exchange
rate at a future date. Realized and unrealized gains and losses on these
contracts are included in the Statement of Operations.

D. INCOME TAXES

No provision has been made for U.S. income taxes because it is each fund's
policy to qualify as a regulated investment company under the Internal Revenue
Code and to distribute to shareholders substantially all of its taxable income
and net realized gains.

The Funds have reviewed the tax positions, taken on federal income tax returns,
for each of the three open tax years and as of July 31, 2008, and have
determined that no provision for income tax is required in the Funds' financial
statements.

32 | Annual Report

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

1. ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

E. SECURITY TRANSACTIONS, INVESTMENT INCOME, EXPENSES AND DISTRIBUTIONS

Security transactions are accounted for on trade date. Realized gains and losses
on security transactions are determined on a specific identification basis.
Estimated expenses are accrued daily. Dividend income is recorded on the
ex-dividend date except that certain dividends from foreign securities are
recognized as soon as the Funds are notified of the ex-dividend date.
Distributions to shareholders are recorded on the ex-dividend date and are
determined according to income tax regulations (tax basis). Distributable
earnings determined on a tax basis may differ from earnings recorded in
accordance with accounting principles generally accepted in the United States of
America. These differences may be permanent or temporary. Permanent differences
are reclassified among capital accounts to reflect their tax character. These
reclassifications have no impact on net assets or the results of operations.
Temporary differences are not reclassified, as they may reverse in subsequent
periods.

F. ACCOUNTING ESTIMATES

G. REDEMPTION FEES

A short term trading redemption fee will be imposed, with some exceptions, on
any fund shares that are redeemed or exchanged within seven calendar days
following their purchase date. The redemption fee is 2 % of the amount redeemed.
Such fees are retained by the funds and accounted for as an addition to paid-in
capital. Effective September 1, 2008, the redemption fee will be eliminated.

H. GUARANTEES AND INDEMNIFICATIONS

Under the Trust's organizational documents, its officers and trustees are
indemnified by the Trust against certain liabilities arising out of the
performance of their duties to the Trust. Additionally, in the normal course of
business, the Trust, on behalf of the Funds, enters into contracts with service
providers that contain general indemnification clauses. The Trust's maximum
exposure under these arrangements is unknown as this would involve future claims
that may be made against the Trust that have not yet occurred. Currently, the
Trust expects the risk of loss to be remote.

Annual Report | 33

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

2. SHARES OF BENEFICIAL INTEREST

At July 31, 2008, there were an unlimited number of shares authorized (without
par value). Transactions in the Funds' shares were as follows:

FIDUCIARY FIDUCIARY
LARGE CAPITALIZATION SMALL CAPITALIZATION
GROWTH AND INCOME FUND EQUITY FUND
------------------------- ---------------------------
SHARES AMOUNT SHARES AMOUNT
---------- ------------ ------------ ------------

Year ended July 31, 2008
Shares sold .................... 347,053 $ 2,339,800 113,701 $ 2,204,377
Shares issued in reinvestment
of distributions ............ 1,031,069 6,994,922 211,560 3,816,901
Shares redeemed ................ (1,483,340) (10,077,592) (138,069) (2,511,837)
---------- ------------ ------------ ------------
Net increase (decrease) ........ (105,218) $ (742,870) 187,192 $ 3,509,441
========== ============ ============ ============
Year ended July 31, 2007
Shares sold .................... 232,000 $ 1,611,176 27,666 $ 570,692
Shares issued in reinvestment
of distributions ............ 926,118 6,334,752 38,157 761,994
Shares redeemed ................ (2,668,541) (18,709,704) (872,468) (17,657,499)
---------- ------------ ------------ ------------
Net increase (decrease) ........ (1,510,423) $(10,763,776) (806,645) $(16,324,813)
========== ============ ============ ============

3. TRANSACTIONS WITH AFFILIATES

SUBSIDIARY AFFILIATION
- ---------- ----------------------

Fiduciary International, Inc. (Fiduciary) Investment manager
Franklin Templeton Institutional, LLC (FT Institutional) Investment manager
Franklin Templeton Services, LLC (FT Services) Administrative manager
Franklin Templeton Distributors, Inc. (Distributors) Principal underwriter
Franklin Templeton Investor Services, LLC (Investor Services) Transfer agent

A. MANAGEMENT FEES

The Funds pay an investment management fee to Fiduciary based on the average
daily net assets of each of the Funds as follows:

ANNUALIZED FEE RATE
-------------------

Fiduciary Large Capitalization Growth and Income Fund 0.75%
Fiduciary Small Capitalization Equity Fund 1.00%

Under a subadvisory agreement, FT Institutional, an affiliate of Fiduciary,
provides subadvisory services to the Fiduciary Small Capitalization Equity Fund
and receives from Fiduciary fees based on the average daily net assets of the
Fund.

34 | Annual Report

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

3. TRANSACTIONS WITH AFFILIATES (CONTINUED)

B. ADMINISTRATIVE FEES

The Funds pays an administrative fee to FT Services of 0.20% per year of the
average daily net assets of each of the Funds.

C. DISTRIBUTION FEES

The Trust's Board of Trustees has adopted a distribution plan pursuant to Rule
12b-1 under the 1940 Act. The Funds have not activated the plan.

D. TRANSFER AGENT FEES

For the year ended July 31, 2008, the Funds paid transfer agent fees as noted in
the Statements of Operations of which the following amounts were retained by
Investor Services:

FIDUCIARY LARGE FIDUCIARY SMALL
CAPITALIZATION GROWTH CAPITALIZATION
AND INCOME FUND EQUITY FUND
--------------------- ---------------

Transfer agent fees .. $319 $704

4. EXPENSE OFFSET ARRANGEMENT

The Funds have entered into an arrangement with their custodian whereby credits
realized as a result of uninvested cash balances are used to reduce a portion of
the Funds' custodian expenses. During the year ended July 31, 2008, the
custodian fees were reduced as noted in the Statements of Operations.

5. INCOME TAXES

For tax purposes, realized capital losses and realized currency losses occurring
subsequent to October 31, may be deferred and treated as occurring on the first
day of the following fiscal year. At July 31, 2008, the Fiduciary Large
Capitalization Growth and Income Fund deferred realized currency losses of
$32,520. The Fiduciary Small Capitalization Equity Fund deferred realized
capital losses of $1,577.

The tax character of distributions paid during the years ended July 31, 2008 and
2007 was as follows:

FIDUCIARY FIDUCIARY
LARGE CAPITALIZATION SMALL CAPITALIZATION
GROWTH AND INCOME FUND EQUITY FUND
----------------------- ---------------------
2008 2007 2008 2007
---------- ---------- ---------- --------

Distributions paid from:
Ordinary income ......... $ 739,530 $ 908,627 $ -- $ --
Long term capital gain .. 7,146,504 6,037,142 3,859,059 762,125
---------- ---------- ---------- --------
$7,886,034 $6,945,769 $3,859,059 $762,125
========== ========== ========== ========

Annual Report | 35

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

5. INCOME TAXES (CONTINUED)

At July 31, 2008, the cost of investments, net unrealized appreciation
(depreciation) and undistributed long term capital gains for income tax purposes
were as follows:

FIDUCIARY FIDUCIARY
LARGE SMALL
CAPITALIZATION CAPITALIZATION
GROWTH AND EQUITY
INCOME FUND FUND
-------------- --------------

Cost of investments ............................................. $60,160,453 $22,546,230
=========== ===========
Unrealized appreciation ......................................... $16,783,800 $ 4,066,539
Unrealized depreciation ......................................... (2,245,785) (3,340,399)
----------- -----------
Net unrealized appreciation (depreciation) ...................... $14,538,015 $ 726,140
=========== ===========
Distributable earnings - undistributed long term capital gains .. $ 1,706,336 $ --
=========== ===========

Net investment income (loss) differs for financial statement and tax purposes
primarily due to differing treatment of foreign currency transactions.

Net realized gains (losses) differ for financial statement and tax purposes
primarily due to differing treatments of wash sales and foreign currency
transactions.

6. INVESTMENT TRANSACTIONS

Purchases and sales (excluding short term securities) for the year ended July
31, 2008, were as follows:

FIDUCIARY LARGE FIDUCIARY SMALL
CAPITALIZATION CAPITALIZATION
GROWTH AND EQUITY
INCOME FUND FUND
--------------- ---------------

Purchases .. $41,315,153 $10,712,190
Sales ...... $51,527,891 $11,984,386

7. INVESTMENTS IN FRANKLIN INSTITUTIONAL FIDUCIARY TRUST MONEY MARKET PORTFOLIO

The Funds may invest in the Franklin Institutional Fiduciary Trust Money Market
Portfolio (Sweep Money Fund), an open-end investment company managed by Franklin
Advisers, Inc. (an affiliate of the investment manager). Management fees paid by
the Funds are reduced on assets invested in the Sweep Money Fund, in an amount
not to exceed the management and administrative fees paid by the Sweep Money
Fund.

36 | Annual Report

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

8. NEW ACCOUNTING PRONOUNCEMENTS

In March 2008, FASB issued FASB Statement No. 161, "Disclosures about Derivative
Instruments and Hedging Activities, an amendment of FASB Statement No. 133"
(SFAS 161), which expands disclosures about derivative investments and hedging
activities. SFAS 161 is effective for fiscal years beginning after November 15,
2008, and interim periods within those fiscal years. The Funds are currently
evaluating the impact, if any, of applying the various provisions of SFAS 161.

Annual Report | 37

Franklin Global Trust

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

TO THE BOARD OF TRUSTEES AND SHAREHOLDERS OF FRANKLIN GLOBAL TRUST

In our opinion, the accompanying statements of assets and liabilities, including
the statements of investments, and the related statements of operations and of
changes in net assets and the financial highlights present fairly, in all
material respects, the financial position of Fiduciary Large Capitalization
Growth and Income Fund and Fiduciary Small Capitalization Equity Fund (separate
portfolios of Franklin Global Trust, hereafter referred to as the "Funds") at
July 31, 2008, the results of each of their operations for the year then ended,
the changes in each of their net assets for each of the two years in the period
then ended and the financial highlights for each of the five years in the period
then ended, in conformity with accounting principles generally accepted in the
United States of America. These financial statements and financial highlights
(hereafter referred to as "financial statements") are the responsibility of the
Funds' management. Our responsibility is to express an opinion on these
financial statements based on our audits. We conducted our audits of these
financial statements in accordance with the standards of the Public Company
Accounting Oversight Board (United States). Those standards require that we plan
and perform the audit to obtain reasonable assurance about whether the financial
statements are free of material misstatement. An audit includes examining, on a
test basis, evidence supporting the amounts and disclosures in the financial
statements, assessing the accounting principles used and significant estimates
made by management, and evaluating the overall financial statement presentation.
We believe that our audits, which included confirmation of securities at July
31, 2008 by correspondence with the custodian and brokers, provide a reasonable
basis for our opinion.

PricewaterhouseCoopers LLP

San Francisco, California
September 17, 2008

38 | Annual Report

Franklin Global Trust

TAX DESIGNATION (UNAUDITED)

Under Section 852(b)(3)(C) of the Internal Revenue Code (Code), the Funds
designate the maximum amount allowable but no less than the following amounts as
long term capital gain dividends for the fiscal year ended July 31, 2008:

FIDUCIARY LARGE FIDUCIARY SMALL
CAPITALIZATION GROWTH CAPITALIZATION
AND INCOME FUND EQUITY FUND
- --------------------- ---------------

$2,295,959 $719,928

Under Section 854(b)(2) of the Code, the Fiduciary Large Capitalization Growth
and Income Fund designates 100% of the ordinary income dividends as income
qualifying for the dividends received deduction for the fiscal year ended July
31, 2008.

Under Section 854(b)(2) of the Code, the Fiduciary Large Capitalization Growth
and Income Fund designates the maximum amount allowable but no less than
$1,156,904 as qualified dividends for purposes of the maximum rate under Section
1(h)(11) of the Code for the fiscal year ended July 31, 2008. Distributions,
including qualified dividend income, paid during calendar year 2008 will be
reported to shareholders on Form 1099-DIV in January 2009. Shareholders are
advised to check with their tax advisors for information on the treatment of
these amounts on their individual income tax returns.

Annual Report | 39

Franklin Global Trust

BOARD MEMBERS AND OFFICERS

The name, year of birth and address of the officers and board members, as well
as their affiliations, positions held with the Fund, principal occupations
during the past five years and number of portfolios overseen in the Franklin
Templeton Investments fund complex are shown below. Generally, each board member
serves until that person's successor is elected and qualified.

INDEPENDENT BOARD MEMBERS

NUMBER OF PORTFOLIOS IN
NAME, YEAR OF BIRTH LENGTH OF FUND COMPLEX OVERSEEN
AND ADDRESS POSITION TIME SERVED BY BOARD MEMBER* OTHER DIRECTORSHIPS HELD
- --------------------------- ----------- ------------- ----------------------- -----------------------------------

HARRIS J. ASHTON (1932) Trustee Since 2000 143 Bar-S Foods (meat packing company).
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

ROBERT F. CARLSON (1928) Trustee Since 2000 122 None
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

SAM GINN (1937) Trustee Since 2007 122 Chevron Corporation (global
One Franklin Parkway energy company) and ICO Global
San Mateo, CA 94403-1906 Communications (Holdings) Limited
(satellite company).

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

EDITH E. HOLIDAY (1952) Trustee Since 2000 143 Hess Corporation (exploration and
One Franklin Parkway refining of oil and gas), H.J.
San Mateo, CA 94403-1906 Heinz Company (processed foods and
allied products), RTI International
Metals, Inc. (manufacture and
distribution of titanium),
Canadian National Railway
(railroad) and White Mountains
Insurance Group, Ltd. (holding
company).

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

40 | Annual Report

NUMBER OF PORTFOLIOS IN
NAME, YEAR OF BIRTH LENGTH OF FUND COMPLEX OVERSEEN
AND ADDRESS POSITION TIME SERVED BY BOARD MEMBER* OTHER DIRECTORSHIPS HELD
- --------------------------- ----------- ------------- ----------------------- -----------------------------------

FRANK W.T. LAHAYE (1929) Trustee Since 2000 122 Center for Creative Land Recycling
One Franklin Parkway (brownfield redevelopment).
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

General Partner, Las Olas L.P. (Asset Management); and FORMERLY, Chairman,
Peregrine Venture Management Company (venture capital).

FRANK A. OLSON (1932) Trustee Since 2005 143 Hess Corporation (exploration and
One Franklin Parkway refining of oil and gas) and
San Mateo, CA 94403-1906 Sentient Jet (private jet service).

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

LARRY D. THOMPSON (1945) Trustee Since 2007 143 None
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

JOHN B. WILSON (1959) Lead Trustee since 122 None
One Franklin Parkway Independent 2006 and Lead
San Mateo, CA 94403-1906 Trustee Independent
Trustee since
January 2008

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

INTERESTED BOARD MEMBERS AND OFFICERS

NUMBER OF PORTFOLIOS IN
NAME, YEAR OF BIRTH LENGTH OF FUND COMPLEX OVERSEEN
AND ADDRESS POSITION TIME SERVED BY BOARD MEMBER* OTHER DIRECTORSHIPS HELD
- --------------------------- ----------- ------------- ----------------------- -----------------------------------

**CHARLES B. JOHNSON (1933) Trustee and Since 2000 143 None
One Franklin Parkway Chairman of
San Mateo, CA 94403-1906 the Board

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Annual Report | 41

**GREGORY E. JOHNSON (1961) Trustee Since 2007 94 None
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

JIMMY D. GAMBILL (1947) Vice President Since February Not Applicable Not Applicable
500 East Broward Blvd. 2008
Suite 2100
Fort Lauderdale, FL 33394-3091

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

42 | Annual Report

DAVID P. GOSS (1947) Vice President Since 2000 Not Applicable Not Applicable
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

EDWARD B. JAMIESON (1948) Vice President Since 2000 Not Applicable Not Applicable
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

CHRISTOPHER J. MOLUMPHY (1962) Vice President Since 2000 Not Applicable Not Applicable
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

KAREN L. SKIDMORE (1952) Vice President Since 2006 Not Applicable Not Applicable
One Franklin Parkway and Secretary
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Senior Associate General Counsel, Franklin Templeton Investments; and officer of
30 of the investment companies in Franklin Templeton Investments.

Annual Report | 43

CRAIG S. TYLE (1960) Vice President Since 2005 Not Applicable Not Applicable
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Note 1: Charles B. Johnson and Rupert H. Johnson, Jr. are brothers and the
father and uncle, respectively, of Gregory E. Johnson.

Note 2: Officer information is current as of the date of this report. It is
possible that after this date, information about officers may change.

44 | Annual Report

Franklin Global Trust

SHAREHOLDER INFORMATION

BOARD REVIEW OF INVESTMENT MANAGEMENT AGREEMENT

At a meeting held February 25, 2008, the Board of Trustees (Board), including a
majority of non-interested or independent Trustees, approved renewal of the
investment management agreements for each of the separate funds within Franklin
Global Trust (Funds). In reaching this decision, the Board took into account
information furnished throughout the year at regular Board meetings, as well as
information prepared specifically in connection with the annual renewal review
process. Information furnished and discussed throughout the year included
investment performance reports and related financial information for each Fund,
as well as periodic reports on shareholder services, legal, compliance, pricing,
brokerage commissions and execution and other services provided by the
Investment Manager (Manager) and its affiliates. Information furnished
specifically in connection with the renewal process included a report for each
Fund prepared by Lipper, Inc. (Lipper), an independent organization, as well as
a Fund profitability analysis report prepared by management. The Lipper report
compared a Fund's investment performance and expenses with those of other mutual
funds deemed comparable to the Fund as selected by Lipper. The Fund
profitability analysis report discussed the profitability to Franklin Templeton
Investments from its overall U.S. fund operations, as well as on an individual
fund-by-fund basis. Included with such profitability analysis report was
information on a fund-by-fund basis listing portfolio managers and other
accounts they manage, as well as information on management fees charged by the
Manager and its affiliates including management's explanation of differences
where relevant and a three-year expense analysis with an explanation for any
increase in expense ratios. Additional material accompanying such report was a
memorandum prepared by management describing project initiatives and capital
investments relating to the services provided to the Funds by the Franklin
Templeton Investments organization, as well as a memorandum relating to
economies of scale and a comparative analysis concerning transfer agent fees
charged each Fund.

NATURE, EXTENT AND QUALITY OF SERVICES. The Board was satisfied with the nature
and quality of the overall services provided by the Manager and its affiliates
to the Funds and their shareholders. In addition to investment performance and
expenses discussed later, the Board's opinion was based, in part, upon periodic
reports furnished them showing that the investment policies and restrictions for
each Fund were consistently complied with as well as other reports periodically
furnished the Board covering matters such as the compliance of portfolio
managers and other management personnel with the code of ethics adopted
throughout the Franklin Templeton fund complex, the adherence to fair value
pricing procedures established by the Board, and the accuracy

Annual Report | 45

Franklin Global Trust

SHAREHOLDER INFORMATION (CONTINUED)

BOARD REVIEW OF INVESTMENT MANAGEMENT AGREEMENT (CONTINUED)

of net asset value calculations. The Board also noted the extent of benefits
provided Fund shareholders from being part of the Franklin Templeton family of
funds, including the right to exchange investments between the same class of
funds without a sales charge, the ability to reinvest Fund dividends into other
funds and the right to combine holdings in other funds to obtain a reduced sales
charge. Favorable consideration was given to management's continuous efforts and
expenditures in establishing back-up systems and recovery procedures to function
in the event of a natural disaster, it being noted that such systems and
procedures had functioned smoothly during the Florida hurricanes and blackouts
experienced in recent years. Among other factors taken into account by the Board
were the Manager's best execution trading policies, including a favorable report
by an independent portfolio trading analytical firm. Consideration was also
given to the experience of the Fund's portfolio management team, the number of
accounts managed and general method of compensation. In this latter respect, the
Board noted that a primary factor in management's determination of a portfolio
manager's bonus compensation was the relative investment performance of the
funds he or she managed and that a portion of such bonus was required to be
invested in a predesignated list of funds within such person's fund management
area so as to be aligned with the interests of Fund shareholders. The Board also
took into account the quality of transfer agent and shareholder services
provided Fund shareholders by an affiliate of the Manager, noting continuing
expenditures by management to increase and improve the scope of such services,
periodic favorable reports on such service conducted by third parties, the high
industry ranking given to the Franklin Templeton website, and the firsthand
experience of individual Board members who deal with the shareholder services
department in their capacities as shareholders in one or more of the various
Franklin Templeton funds.

INVESTMENT PERFORMANCE. The Board placed significant emphasis on the investment
performance of each Fund in view of its importance to shareholders. While
consideration was given to performance reports and discussions with portfolio
managers at Board meetings throughout the year, particular attention in
assessing performance was given to the Lipper reports furnished for the
agreement renewals. The Lipper reports prepared for each Fund showed the
investment performance of the Fund in comparison to a performance universe
selected by Lipper. Comparative performance for each Fund was shown for the
one-year period ended December 31, 2007, and for additional periods ended that
date depending on when a particular Fund commenced operations. Investment
performance was shown on a total return basis for each Fund. The following
summarizes the performance results for each of the Funds and the Board's view of
such performance.

FIDUCIARY LARGE CAPITALIZATION GROWTH AND INCOME FUND - The performance universe
for this Fund consisted of the Fund and all retail and institutional large-cap
core funds as selected by Lipper. The Lipper report showed the Fund's total
return for the one-year period to be in the highest quintile of such performance
universe, and on an annualized basis to be in the second-highest quintile of
such universe for each of the previous three- and five-year periods. The Board
was satisfied with such performance.

46 | Annual Report

Franklin Global Trust

SHAREHOLDER INFORMATION (CONTINUED)

BOARD REVIEW OF INVESTMENT MANAGEMENT AGREEMENT (CONTINUED)

FIDUCIARY SMALL CAPITALIZATION EQUITY FUND - The performance universe for this
Fund consisted of the Fund and all retail and institutional small-cap growth
funds as selected by Lipper. The Lipper report showed this Fund's total return
for the one-year period to be in the second-highest quintile of such performance
universe, and on an annualized basis to be in the second-highest quintile for
the previous three-year period, and the second-lowest quintile for the previous
five- and 10-year periods of such performance universe. The Board noted changes
in the structure of the Fund's portfolio team made in recent years and other
actions taken to improve such performance, which it found to be acceptable.

COMPARATIVE EXPENSES. Consideration was given to the management fee and total
expense ratios of each Fund compared with those of a group of funds selected by
Lipper as its appropriate Lipper expense group. Prior to making such
comparisons, the Board relied upon a survey showing that the scope of management
advisory services covered under a Fund's investment management agreement was
similar to those provided by fund managers to other mutual fund groups. In
reviewing comparative costs, emphasis was given to each Fund's management fee in
comparison with the contractual investment management fee that would have been
charged by other funds within its Lipper expense group assuming they were
similar in size to the Fund, as well as the actual total expenses of the Fund in
comparison with those of its Lipper expense group. The Lipper contractual
investment management fee analysis includes the advisory and administrative fees
directly charged to the Fund as being part of the management fee. The
contractual investment management fee ratios for each of Fiduciary Large
Capitalization Growth and Income Fund and Fiduciary Small Capitalization Equity
Fund were above the medians of their Lipper expense groups, but their total
expenses were in each case below the medians of such respective expense groups.
The Board found the expenses of these Funds to be acceptable.

MANAGEMENT PROFITABILITY. The Board also considered the level of profits
realized by the Manager and its affiliates in connection with the operation of
the Funds. In this respect, the Board reviewed the Fund profitability analysis
that addresses the overall profitability of Franklin Templeton's U.S. fund
business, as well as its profits in providing management and other services to
the Funds. Specific attention was given to the methodology followed in
allocating costs to each Fund, it being recognized that allocation methodologies
are inherently subjective and various allocation methodologies may each be
reasonable while producing different results. In this respect, the Board noted
that, while being continuously refined and reflecting changes in the Manager's
own cost accounting, the allocation methodology was consistent with that
followed in profitability report presentations for the Funds made in prior years
and that the Funds' independent registered public accounting firm had been
engaged by the Manager to perform certain procedures on a biennial basis,
specified and approved by the Manager and the Funds' Board solely for their
purposes and use in reference to the profitability analysis. In reviewing and
discussing such analysis, management discussed with the Board its belief that
costs incurred in establishing the infrastructure

Annual Report | 47

Franklin Global Trust

SHAREHOLDER INFORMATION (CONTINUED)

BOARD REVIEW OF INVESTMENT MANAGEMENT AGREEMENT (CONTINUED)

necessary for the type of mutual fund operations conducted by the Manager and
its affiliates may not be fully reflected in the expenses allocated to each Fund
in determining its profitability, as well as the fact that the level of profits,
to a certain extent, reflected operational cost savings and efficiencies
initiated by management. The Board also took into account management's
expenditures in improving shareholder services provided each Fund, as well as
the need to meet additional regulatory and compliance requirements resulting
from the Sarbanes-Oxley Act and recent SEC and other regulatory requirements. In
addition, the Board considered a third-party study comparing the profitability
of the Manager's parent on an overall basis as compared to other publicly held
managers broken down to show profitability from management operations exclusive
of distribution expenses, as well as profitability including distribution
expenses. The Board also considered the extent to which the Manager and its
affiliates might derive ancillary benefits from fund operations, including
potential benefits resulting from allocation of fund brokerage and the use of
"soft" commission dollars to pay for research. Based upon its consideration of
all these factors, the Board determined that the level of profits realized by
the Manager and its affiliates from providing services to each Fund was not
excessive in view of the nature, quality and extent of services provided.

ECONOMIES OF SCALE. The Board also considered whether economies of scale are
realized by the Manager as the Funds grow larger and the extent to which this is
reflected in the level of management fees charged. While recognizing that any
precise determination is inherently subjective, the Board noted that based upon
the Fund profitability analysis, it appears that as some funds get larger, at
some point economies of scale do result in the Manager realizing a larger profit
margin on management services provided such a fund. The Board believed that no
economies of scale existed in the management of these Funds, which had less than
$100 million in net assets at December 31, 2007.

PROXY VOTING POLICIES AND PROCEDURES

48 | Annual Report

Franklin Global Trust

SHAREHOLDER INFORMATION (CONTINUED)

QUARTERLY STATEMENT OF INVESTMENTS

Annual Report | 49

This page intentionally left blank.

(FGT FUNDS LOGO)

FGT FUNDS

----------

Fiduciary Large Capitalization Growth and Income Fund
Cusip 353533870

Fiduciary Small Capitalization Equity Fund
Cusip 353533862

Authorized for distribution only when accompanied or preceded by a current FGT
Funds prospectus. Investors should carefully consider a fund's investment goals,
risks, charges and expenses before investing. The prospectus contains this and
other information. Please carefully read the prospectus before you invest or
send money.

To ensure the highest quality of service, telephone calls to or from our service
departments may be monitored, recorded and accessed.These calls can be
identified by the presence of a regular beeping tone.

INVESTMENT MANAGER
Fiduciary International, Inc.
600 5th Avenue
New York, NY 10020-2302

DISTRIBUTOR
Franklin Templeton Distributors, Inc.
One Franklin Parkway
San Mateo, CA 94403-1906

INVESTOR/SHAREHOLDER SERVICES
1-800/845-4514

FGT1 A2008 09/08

FRANKLIN TEMPLETON CORE FIXED INCOME FUND
FRANKLIN TEMPLETON CORE PLUS FIXED INCOME FUND

JULY 31, 2008

Franklin Templeton
Core Fixed Income Fund

Franklin Templeton
Core Plus Fixed Income Fund

ANNUAL REPORT

FRANKLIN GLOBAL TRUST

(FRANKLIN TEMPLETON INSTITUTIONAL(R) LOGO)

Contents

ANNUAL REPORT

Economic and Market Overview .............................................. 1
Franklin Templeton Core Fixed Income Fund ................................. 3
Franklin Templeton Core Plus Fixed Income Fund ............................ 10
Financial Highlights and Statements of Investments ........................ 17
Financial Statements ...................................................... 29
Notes to Financial Statements ............................................. 32
Report of Independent Registered Public Accounting Firm ................... 43
Tax Designation ........................................................... 44
Board Members and Officers ................................................ 45
Shareholder Information ................................................... 50

Annual Report

Economic and Market Overview

Volatile oil prices reached a historical high in July, topping $146 per barrel,
before retreating to $124 by period-end. July's overall inflation rate was an
annual 5.6%, largely due to higher food and energy costs. Core inflation, which
excludes such costs, rose at a more moderate 2.5% annual rate; however, this
level was above the Federal Reserve Board's (Fed's) informal target range of
1.5%-2.0%.(1) The core personal consumption expenditures price index reported a
12-month increase of 2.4%.(2)

The Fed acted aggressively to restore liquidity and confidence to unsettled
financial markets and cut interest rates seven times over the 12-month period,

(1.) Source: Bureau of Labor Statistics.

(2.) Source: Bureau of Economic Analysis.

NOT FDIC INSURED | MAY LOSE VALUE | NO BANK GUARANTEE

Annual Report | 1

bringing the federal funds target rate to 2.00%. The Fed also implemented a
series of unconventional measures aimed at easing strained credit conditions.
However, since April 30, the Fed has held rates steady and indicated growing
concerns about inflation as it must balance the risks of a slowing economy and
mounting inflationary pressures.

2 | Annual Report

Franklin Templeton Core Fixed Income Fund

YOUR FUND'S GOAL AND MAIN INVESTMENTS: Franklin Templeton Core Fixed Income Fund
seeks total return by investing predominantly in debt securities of varying
maturities. The Fund invests mainly in investment-grade U.S. dollar-denominated
debt securities of U.S. issuers, with a focus on U.S. government securities,
mortgage- and asset-backed securities, and corporate debt securities.

This annual report for Franklin Templeton Core Fixed Income Fund covers the
fiscal year ended July 31, 2008.

PERFORMANCE OVERVIEW

Franklin Templeton Core Fixed Income Fund had a -0.54% cumulative total return
for the 12-month period ended July 31, 2008. The Fund underperformed its
benchmark, the Lehman Brothers (LB) U.S. Aggregate Index, which returned +6.15%
during the same period.(1) You can find more of the Fund's performance data in
the Performance Summary beginning on page 6.

INVESTMENT STRATEGY

We allocate our investments among the various types of debt securities available
in the Fund's core investments, based on our assessment of the U.S. market,
industry and issuer conditions, and the opportunities presented within the
various sectors. We use a top-down/bottom-up selection process and rely on both
internal and external research to identify individual securities. Our credit
research process focuses on bottom-up credit selection that relies on our
independent investment analysis to evaluate the issuer's creditworthiness. We
consider a variety of factors, including the issuer's historical balance sheets,
income and cash flow statements, as well as projected earnings and the need for
future borrowings.

(1.) Source: (C) 2008 Morningstar. All Rights Reserved. The information
contained herein: (1) is proprietary to Morningstar and/or its content
providers; (2) may not be copied or distributed; and (3) is not warranted
to be accurate, complete or timely. Neither Morningstar nor its content
providers are responsible for any damages or losses arising from any use of
this information. The LB U.S. Aggregate Index represents securities that
are SEC-registered, taxable and dollar denominated. The index covers the
U.S. investment-grade fixed-rate bond market, with index components for
government and corporate securities, mortgage pass-through securities and
asset-backed securities. All issues included must have at least one year to
final maturity and must be rated investment grade (Baa3 or better) by
Moody's Investors Service. They must also be dollar denominated and
nonconvertible. Total return includes price appreciation/depreciation and
income as a percentage of the original investment. The index is rebalanced
monthly by market capitalization. One cannot invest directly in an index,
nor is an index representative of the Fund's portfolio.

THE DOLLAR VALUE, NUMBER OF SHARES OR PRINCIPAL AMOUNT, AND NAMES OF ALL
PORTFOLIO HOLDINGS ARE LISTED IN THE FUND'S STATEMENT OF INVESTMENTS (SOI). THE
SOI BEGINS ON PAGE 18.

Annual Report | 3

PORTFOLIO BREAKDOWN

Franklin Templeton Core Fixed Income Fund Based on Total Investments as of
7/31/08

Mortgage-Backed Securities 35.7%
Thrifts & Mortgage Finance 11.9%
U.S. Government & Agency Securities 6.9%
Diversified Telecommunication Services 3.9%
Oil, Gas & Consumable Fuels 3.4%
Consumer Finance 3.3%
Insurance 2.6%
Diversified Financial Services 2.5%
Capital Markets 2.3%
Commercial Banks 1.6%
Other 4.7%
Short-Term Investments 21.2%

MANAGER'S DISCUSSION

The 12-month period under review was an extremely difficult time for global
financial markets and, in particular, the U.S. debt market. The credit crunch
that arose from the meltdown in the U.S. subprime mortgage sector led to
illiquidity and significant volatility across the fixed income markets.

The Fund's mortgage-related holdings, including an overweighting of high-grade
commercial mortgage-backed securities and other mortgage-backed debt, hindered
performance relative to the LB U.S. Aggregate Index. The Fund's preferred stock
holdings, which included those of mortgage-backed securities issuers Fannie Mae
and Freddie Mac, were additional detractors. The Fund's investment-grade issue
selection also weighed on performance, particularly among financial and
auto-related holdings. In response to turbulent market conditions, risk-averse
investors sought the safety of U.S. Treasury securities, thus the Fund's
underweighting in U.S. Treasuries hurt relative performance.

Relative to the LB U.S. Aggregate Index, our underweighting in U.S. agency debt
helped results. Other factors that contributed to the Fund's relative
performance included the Fund's slightly long duration along the yield curve.

4 | Annual Report

We thank you for your continued participation and look forward to serving your
investment needs.

(PHOTO OF MICHAEL MATERASSO)

/s/ Michael Materasso
Michael Materasso
Executive Vice President of Franklin
Templeton Institutional, LLC
(FT Institutional)

(PHOTO OF WARREN KEYSER)

/s/ Warren Keyser
Warren Keyser
Portfolio Manager of FT Institutional

(PHOTO OF ROBERT WALDNER)

/s/ Robert Waldner
Robert Waldner, CFA
Portfolio Manager of FT Institutional

Portfolio Management Team
Franklin Templeton Core Fixed Income Fund

TOP 10 HOLDINGS

Franklin Templeton Core Fixed Income Fund 7/31/08

% OF TOTAL
ISSUE/ISSUER SECTOR INVESTMENTS
- ------------------- -----------

FHLMC 22.7%
MORTGAGE-BACKED SECURITIES
FNMA 13.0%
MORTGAGE-BACKED SECURITIES
Citigroup/Deutsche Bank Commercial
Mortgage Trust 3.9%
THRIFTS & MORTGAGE FINANCE
Household Credit Card Master Note
Trust I 3.1%
CONSUMER FINANCE
U.S. Treasury Bond 3.0%
U.S. GOVERNMENT & AGENCY SECURITIES
U.S. Treasury Note 3.0%
U.S. GOVERNMENT & AGENCY SECURITIES
LB-UBS Commercial Mortgage Trust 2.6%
THRIFTS & MORTGAGE FINANCE
GE Capital Commercial Mortgage Corp. 2.6%
THRIFTS & MORTGAGE FINANCE
Permanent Financing PLC 1.4%
THRIFTS & MORTGAGE FINANCE
Petroleum Export Cayman 1.3%
OIL, GAS & CONSUMABLE FUELS

Annual Report | 5

Performance Summary as of 7/31/08

FRANKLIN TEMPLETON CORE FIXED INCOME FUND

PRICE AND DISTRIBUTION INFORMATION

SYMBOL: FCFIX CHANGE 7/31/08 7/31/07
- ------------- ------ ------- -------

Net Asset Value (NAV) -$0.47 $9.10 $9.57
DISTRIBUTIONS (8/1/07-7/31/08)
Dividend Income $0.4287

PERFORMANCE(1)

1-YEAR 3-YEAR INCEPTION (8/29/03)
------ ------- -------------------

Cumulative Total Return(2) -0.54% +5.06% +14.82%
Average Annual Total Return(3) -0.54% +1.66% +2.85%
Value of $10,000 Investment(4) $9,946 $10,506 $11,482
Avg. Ann. Total Return (6/30/08)(5) +1.40% +2.11% +3.30%
Total Annual Operating Expenses(6)
Without Waiver 0.79%
With Waiver 0.45%

PERFORMANCE DATA REPRESENT PAST PERFORMANCE, WHICH DOES NOT GUARANTEE FUTURE
RESULTS. INVESTMENT RETURN AND PRINCIPAL VALUE WILL FLUCTUATE, AND YOU MAY HAVE
A GAIN OR LOSS WHEN YOU SELL YOUR SHARES. CURRENT PERFORMANCE MAY DIFFER FROM
FIGURES SHOWN. FOR MOST RECENT MONTH-END PERFORMANCE, PLEASE CALL A FRANKLIN
TEMPLETON INSTITUTIONAL SERVICES REPRESENTATIVE AT 1-800/321-8563.

THE INVESTMENT MANAGER AND ADMINISTRATOR HAVE CONTRACTUALLY AGREED TO WAIVE OR
LIMIT THEIR RESPECTIVE FEES AND TO ASSUME AS THEIR OWN EXPENSE CERTAIN EXPENSES
OTHERWISE PAYABLE BY THE FUND SO THAT TOTAL ANNUAL FUND OPERATING EXPENSES,
EXCLUDING ACQUIRED FUND FEES AND EXPENSES, DO NOT EXCEED 0.45% (OTHER THAN
CERTAIN NON-ROUTINE EXPENSES OR COSTS, INCLUDING THOSE RELATING TO LITIGATION,
INDEMNIFICATION, REORGANIZATIONS AND LIQUIDATIONS) UNTIL 11/30/08.

6 | Annual Report

Performance Summary (CONTINUED)

TOTAL RETURN INDEX COMPARISON FOR HYPOTHETICAL $10,000 INVESTMENT(1)

Total return represents the change in value of an investment over the periods
shown. It includes Fund expenses, account fees and reinvested distributions. The
index is unmanaged and includes reinvestment of any income or distributions. It
differs from the Fund in composition and does not pay management fees or
expenses. One cannot invest directly in an index.

(PERFORMANCE GRAPH)

USD USD
FRANKLIN TEMPLETON CORE FIXED LEHMAN BROTHERS U.S.
INCOME FUND AGGREGATE INDEX
INCEPTION DATE 29-AUG-03 29-AUG-03
CALENDAR NET GROSS
MONTH 4471 BM0838
- -------------- ----------------------------- --------------------

Aug-03 10,000.00 10,004.23
Sep-03 10,260.00 10,269.34
Oct-03 10,200.00 10,173.84
Nov-03 10,250.00 10,198.17
Dec-03 10,345.19 10,302.19
Jan-04 10,426.17 10,384.61
Feb-04 10,517.28 10,496.76
Mar-04 10,608.38 10,575.49
Apr-04 10,304.59 10,300.52
May-04 10,252.97 10,259.32
Jun-04 10,314.92 10,317.80
Jul-04 10,396.17 10,419.94
Aug-04 10,563.01 10,618.97
Sep-04 10,604.72 10,647.64
Oct-04 10,678.02 10,737.08
Nov-04 10,625.37 10,651.18
Dec-04 10,722.87 10,749.17
Jan-05 10,787.27 10,816.62
Feb-05 10,744.34 10,752.80
Mar-05 10,690.67 10,697.96
Apr-05 10,840.94 10,841.88
May-05 10,938.51 10,958.97
Jun-05 10,992.71 11,019.24
Jul-05 10,929.23 10,919.02
Aug-05 11,060.38 11,058.77
Sep-05 10,951.09 10,944.77
Oct-05 10,870.17 10,858.19
Nov-05 10,914.41 10,906.23
Dec-05 11,028.51 11,009.86
Jan-06 11,039.70 11,010.54
Feb-06 11,084.44 11,047.04
Mar-06 10,961.40 10,938.66
Apr-06 10,915.64 10,918.86
May-06 10,892.95 10,907.16
Jun-06 10,915.64 10,930.31
Jul-06 11,053.84 11,078.08
Aug-06 11,226.19 11,247.66
Sep-06 11,329.61 11,346.46
Oct-06 11,402.18 11,421.54
Nov-06 11,530.16 11,554.05
Dec-06 11,454.47 11,486.97
Jan-07 11,454.47 11,482.23
Feb-07 11,607.51 11,659.30
Mar-07 11,607.51 11,659.67
Apr-07 11,684.91 11,722.55
May-07 11,601.62 11,633.66
Jun-07 11,542.12 11,599.27
Jul-07 11,544.74 11,696.04
Aug-07 11,617.12 11,839.40
Sep-07 11,737.74 11,929.20
Oct-07 11,773.86 12,036.36
Nov-07 11,883.68 12,252.80
Dec-07 11,911.67 12,287.22
Jan-08 11,961.01 12,493.67
Feb-08 11,837.71 12,510.96
Mar-08 11,776.05 12,553.63
Apr-08 11,879.02 12,527.42
May-08 11,803.82 12,435.54
Jun-08 11,703.55 12,425.57
Jul-08 11,481.90 12,415.42

AVERAGE ANNUAL TOTAL RETURN

7/31/08
-------

1-Year -0.54%
3-Year +1.66%
Since Inception (8/29/03) +2.85%

ENDNOTES

INTEREST RATE MOVEMENTS AND MORTGAGE PREPAYMENT RATES MAY AFFECT THE FUND'S
SHARE PRICE AND YIELD. BOND PRICES, AND THUS THE FUND'S SHARE PRICE, GENERALLY
MOVE IN THE OPPOSITE DIRECTION OF INTEREST RATES. THE FUND'S INVESTMENTS IN
FOREIGN COMPANIES, INCLUDING EMERGING MARKETS, CAN INVOLVE SPECIAL RISKS
INCLUDING CURRENCY VOLATILITY AND POLITICAL, ECONOMIC AND REGULATORY
UNCERTAINTY. THE FUND'S PROSPECTUS ALSO INCLUDES A DESCRIPTION OF THE MAIN
INVESTMENT RISKS.

(1.) If the manager and administrator had not waived fees, the Fund's total
returns would have been lower.

(2.) Cumulative total return represents the change in value of an investment
over the periods indicated.

(3.) Average annual total return represents the average annual change in value
of an investment over the periods indicated.

(4.) These figures represent the value of a hypothetical $10,000 investment in
the Fund over the periods indicated.

(5.) In accordance with SEC rules, we provide standardized average annual total
return information through the latest calendar quarter.

(6.) Figures are as stated in the Fund's prospectus current as of the date of
this report.

(7.) Source: (C) 2008 Morningstar. The LB U.S. Aggregate Index represents
securities that are SEC-registered, taxable and dollar denominated. The
index covers the U.S. investment-grade fixed-rate bond market, with index
components for government and corporate securities, mortgage pass-through
securities and asset-backed securities. All issues included must have at
least one year to final maturity and must be rated investment grade (Baa3
or better) by Moody's Investors Service. They must also be dollar
denominated and nonconvertible. Total return includes price
appreciation/depreciation and income as a percentage of the original
investment. The index is rebalanced monthly by market capitalization.

Annual Report | 7

Your Fund's Expenses

FRANKLIN TEMPLETON CORE FIXED INCOME FUND

As a Fund shareholder, you can incur two types of costs:

- - Transaction costs, including sales charges (loads) on Fund purchases and
redemption fees; and

- - Ongoing Fund costs, including management fees, distribution and service
(12b-1) fees, and other Fund expenses. All mutual funds have ongoing costs,
sometimes referred to as operating expenses.

ACTUAL FUND EXPENSES

The first line (Actual) of the table provides actual account values and
expenses. The "Ending Account Value" is derived from the Fund's actual return,
which includes the effect of Fund expenses.

You can estimate the expenses you paid during the period by following these
steps. OF COURSE, YOUR ACCOUNT VALUE AND EXPENSES WILL DIFFER FROM THOSE IN THIS
ILLUSTRATION:

1. Divide your account value by $1,000.

IF AN ACCOUNT HAD AN $8,600 VALUE, THEN $8,600 / $1,000 = 8.6.

2. Multiply the result by the number under the heading "Expenses Paid During
Period."

IF EXPENSES PAID DURING PERIOD WERE $7.50, THEN 8.6 X $7.50 = $64.50.

In this illustration, the estimated expenses paid this period are $64.50.

HYPOTHETICAL EXAMPLE FOR COMPARISON WITH OTHER FUNDS

8 | Annual Report

Your Fund's Expenses (CONTINUED)

BEGINNING ACCOUNT ENDING ACCOUNT EXPENSES PAID DURING
VALUE 2/1/08 VALUE 7/31/08 PERIOD* 2/1/08-7/31/08
----------------- -------------- ----------------------

Actual $1,000 $ 959.90 $2.19
Hypothetical (5% return before expenses) $1,000 $1,022.63 $2.26

* Expenses are calculated using the most recent six-month annualized expense
ratio, net of expense waivers, of 0.45%, multiplied by the average account
value over the period, multiplied by 182/366 to reflect the one-half year
period.

Annual Report | 9

Franklin Templeton Core Plus Fixed Income Fund

YOUR FUND'S GOAL AND MAIN INVESTMENTS: Franklin Templeton Core Plus Fixed Income
Fund seeks total return by investing predominantly in debt securities of varying
maturities. The Fund will normally invest about 70% of its net assets in core
sectors of investment-grade U.S. dollar-denominated debt securities, with a
focus on U.S. government securities, mortgage- and asset-backed securities, and
corporate debt securities.

This annual report for Franklin Templeton Core Plus Fixed Income Fund covers the
fiscal year ended July 31, 2008.

PERFORMANCE OVERVIEW

Franklin Templeton Core Plus Fixed Income Fund posted a +1.67% cumulative total
return for the 12-month period ended July 31, 2008. The Fund underperformed its
benchmark, the Lehman Brothers (LB) U.S. Aggregate Index, which returned +6.15%
during the same period.(1) You can find more of the Fund's performance data in
the Performance Summary beginning on page 13.

INVESTMENT STRATEGY

THE DOLLAR VALUE, NUMBER OF SHARES OR PRINCIPAL AMOUNT, AND NAMES OF ALL
PORTFOLIO HOLDINGS ARE LISTED IN THE FUND'S STATEMENT OF INVESTMENTS (SOI). THE
SOI BEGINS ON PAGE 23.

10 | Annual Report

research process focuses on bottom-up credit selection that relies on our
independent investment analysis to evaluate the issuer's creditworthiness. We
consider a variety of factors, including the issuer's historical balance sheets,
income and cash flow statements, as well as projected earnings and the need for
future borrowings.

MANAGER'S DISCUSSION

The 12-month review period was an extremely difficult time for global financial
markets and, in particular, the U.S. debt market. The credit crunch that arose
from the meltdown in the U.S. subprime mortgage sector led to illiquidity and
significant volatility across the fixed income markets.

Detractors from Fund performance relative to the LB U.S. Aggregate Index
included an overweighting in high-grade commercial mortgage-backed securities
and other mortgage-backed debt. The Fund's weighting to high yield and select
investment-grade issues hindered performance. In response to turbulent market
conditions, risk-averse investors sought the safety of U.S. Treasuries, thus the
Fund's relative underweighting to the sector negatively impacted performance.
Due to the Treasury rally, we did not extend the Fund's duration until the
middle to end of the review period.

During this period of U.S. debt market volatility, the Fund's non-U.S. dollar
positioning contributed to the Fund's performance relative to the index. The
Fund's underweighting of U.S. agency debt also helped performance. Lastly, the
Fund benefited from its underweighting in investment-grade corporate securities,
as this sector was negatively impacted by the credit crunch.

PORTFOLIO BREAKDOWN
Franklin Templeton
Core Plus Fixed Income Fund
Based on Total Investments as of 7/31/08

Mortgage-Backed Securities 38.8%
Thrifts & Mortgage Finance 12.3%
Foreign Government and Agency Securities 6.6%
U.S. Government & Agency Securities 5.9%
Diversified Telecommunication Services 3.9%
Media 3.5%
Capital Markets 3.1%
Consumer Finance 2.4%
Commercial Banks 2.0%
Diversified Financial Services 1.8%
Oil, Gas & Consumable Fuels 1.8%
Municipal Bonds 1.4%
Insurance 1.2%
Other 3.7%
Short-Term Investments 11.6%

Annual Report | 11

TOP 10 HOLDINGS

Franklin Templeton
Core Plus Fixed Income Fund
7/31/08

% OF TOTAL
ISSUE/ISSUER SECTOR INVESTMENTS
- ------------------- -----------

FHLMC 24.9%
MORTGAGE-BACKED SECURITIES
FNMA 13.9%
MORTGAGE-BACKED SECURITIES
U.S. Treasury Note 4.6%
U.S. GOVERNMENT & AGENCY SECURITIES
GE Capital Commercial Mortgage Corp. 4.4%
THRIFTS & MORTGAGE FINANCE
U.S. Treasury Bond 2.2%
U.S. GOVERNMENT & AGENCY SECURITIES
Government of Norway 1.9%
FOREIGN GOVERNMENT & AGENCY SECURITIES
Household Credit Card Master Note
Trust I 1.9%
CONSUMER FINANCE
Government of Sweden 1.7%
FOREIGN GOVERNMENT & AGENCY SECURITIES
LB-UBS Commercial Mortgage Trust 1.6%
THRIFTS & MORTGAGE FINANCE
Citigroup/Deutsche Bank Commercial
Mortgage Trust 1.6%
THRIFTS & MORTGAGE FINANCE

We thank you for your continued participation and look forward to serving your
investment needs.

(PHOTO MICHAEL MATERASSO)

/s/ Michael Materasso
Michael Materasso
Executive Vice President of Franklin Templeton
Institutional, LLC (FT Institutional)

(PHOTO OF WARREN KEYSER)

/s/ Warren Keyser
Warren Keyser
Portfolio Manager of FT Institutional

(PHOTO OF ROBERT WALDNER)

/s/ Robert Waldner, CFA
Robert Waldner, CFA
Portfolio Manager of FT Institutional

Portfolio Management Team
Franklin Templeton Core Plus Fixed Income Fund

12 | Annual Report

Performance Summary as of 7/31/08

FRANKLIN TEMPLETON CORE PLUS FIXED INCOME FUND

PRICE AND DISTRIBUTION INFORMATION

SYMBOL: FCPFX CHANGE 7/31/08 7/31/07
- ------------- ------ ------- -------

Net Asset Value (NAV) -$0.27 $9.85 $10.12
DISTRIBUTIONS (8/1/07-7/31/08)
Dividend Income $0.4463

PERFORMANCE(1)

1-YEAR 3-YEAR INCEPTION (8/4/03)
------- ------- ------------------

Cumulative Total Return(2) +1.67% +9.02% +23.38%
Average Annual Total Return(3) +1.67% +2.92% +4.30%
Value of $10,000 Investment(4) $10,167 $10,902 $12,338
Avg. Ann. Total Return (6/30/08)(5) +2.88% +3.20% +4.61%
Total Annual Operating Expenses(6)
Without Waiver 0.61%
With Waiver 0.43%

PERFORMANCE DATA REPRESENT PAST PERFORMANCE, WHICH DOES NOT GUARANTEE FUTURE
RESULTS. INVESTMENT RETURN AND PRINCIPAL VALUE WILL FLUCTUATE, AND YOU MAY HAVE
A GAIN OR LOSS WHEN YOU SELL YOUR SHARES. CURRENT PERFORMANCE MAY DIFFER FROM
FIGURES SHOWN. FOR MOST RECENT MONTH-END PERFORMANCE, PLEASE CALL A FRANKLIN
TEMPLETON INSTITUTIONAL SERVICES REPRESENTATIVE AT 1-800/321-8563.

THE INVESTMENT MANAGER AND ADMINISTRATOR HAVE CONTRACTUALLY AGREED TO WAIVE OR
LIMIT THEIR RESPECTIVE FEES AND TO ASSUME AS THEIR OWN EXPENSE CERTAIN EXPENSES
OTHERWISE PAYABLE BY THE FUND SO THAT TOTAL ANNUAL FUND OPERATING EXPENSES,
EXCLUDING ACQUIRED FUND FEES AND EXPENSES, DO NOT EXCEED 0.43% (OTHER THAN
CERTAIN NON-ROUTINE EXPENSES OR COSTS, INCLUDING THOSE RELATING TO LITIGATION,
INDEMNIFICATION, REORGANIZATIONS AND LIQUIDATIONS) UNTIL 11/30/08.

Annual Report | 13

Performance Summary (CONTINUED)

TOTAL RETURN INDEX COMPARISON FOR HYPOTHETICAL $10,000 INVESTMENT(1)

AVERAGE ANNUAL TOTAL RETURN

7/31/08
-------

1-Year +1.67%
3-Year +2.92%
Since Inception (8/4/03) +4.30%

8/4/03-7/31/08

USD USD
FRANKLIN TEMPLETON CORE PLUS FIXED LEHMAN BROTHERS U.S.
INCOME FUND AGGREGATE INDEX
INCEPTION DATE 4-AUG-03 4-AUG-03
CALENDAR NET GROSS
MONTH 4470 BM0838
- -------------- ---------------------------------- --------------------

Aug-03 10,040.00 10,057.44
Sep-03 10,360.00 10,323.96
Oct-03 10,300.00 10,227.94
Nov-03 10,320.01 10,252.40
Dec-03 10,532.34 10,356.98
Jan-04 10,614.46 10,439.83
Feb-04 10,696.58 10,552.58
Mar-04 10,778.70 10,631.73
Apr-04 10,602.28 10,355.30
May-04 10,561.10 10,313.88
Jun-04 10,591.98 10,372.67
Jul-04 10,696.71 10,475.36
Aug-04 10,862.55 10,675.44
Sep-04 10,914.37 10,704.26
Oct-04 10,993.66 10,794.18
Nov-04 10,951.78 10,707.83
Dec-04 11,071.76 10,806.34
Jan-05 11,135.27 10,874.14
Feb-05 11,103.51 10,809.98
Mar-05 11,018.84 10,754.85
Apr-05 11,159.92 10,899.54
May-05 11,256.31 11,017.25
Jun-05 11,352.70 11,077.85
Jul-05 11,317.14 10,977.09
Aug-05 11,436.16 11,117.58
Sep-05 11,382.06 11,002.97
Oct-05 11,308.88 10,915.93
Nov-05 11,363.73 10,964.23
Dec-05 11,476.15 11,068.41
Jan-06 11,509.45 11,069.09
Feb-06 11,553.85 11,105.79
Mar-06 11,431.76 10,996.83
Apr-06 11,417.83 10,976.92
May-06 11,384.15 10,965.16
Jun-06 11,384.15 10,988.43
Jul-06 11,554.79 11,136.99
Aug-06 11,736.76 11,307.48
Sep-06 11,816.37 11,406.81
Oct-06 11,923.91 11,482.28
Nov-06 12,097.40 11,615.50
Dec-06 12,034.04 11,548.06
Jan-07 12,022.31 11,543.30
Feb-07 12,174.78 11,721.30
Mar-07 12,198.24 11,721.68
Apr-07 12,293.89 11,784.89
May-07 12,222.76 11,695.53
Jun-07 12,127.92 11,660.96
Jul-07 12,134.77 11,758.24
Aug-07 12,230.71 11,902.36
Sep-07 12,422.54 11,992.64
Oct-07 12,496.75 12,100.37
Nov-07 12,617.84 12,317.96
Dec-07 12,672.04 12,352.57
Jan-08 12,745.51 12,560.11
Feb-08 12,623.07 12,577.50
Mar-08 12,561.86 12,620.39
Apr-08 12,676.33 12,594.04
May-08 12,589.25 12,501.67
Jun-08 12,477.28 12,491.65
Jul-08 12,337.86 12,481.44

ENDNOTES

INTEREST RATE MOVEMENTS AND MORTGAGE PREPAYMENTS MAY AFFECT THE FUND'S SHARE
PRICE AND YIELD. BOND PRICES, AND THUS THE FUND'S SHARE PRICE, GENERALLY MOVE IN
THE OPPOSITE DIRECTION OF INTEREST RATES. THE FUND'S INVESTMENTS IN FOREIGN
COMPANIES, INCLUDING EMERGING MARKETS, CAN INVOLVE SPECIAL RISKS INCLUDING
CURRENCY VOLATILITY AND POLITICAL, ECONOMIC AND REGULATORY UNCERTAINTY. THE
FUND'S PROSPECTUS ALSO INCLUDES A DESCRIPTION OF THE MAIN INVESTMENT RISKS.

(1.) If the manager and administrator had not waived fees, the Fund's total
returns would have been lower.

(2.) Cumulative total return represents the change in value of an investment
over the periods indicated.

(3.) Average annual total return represents the average annual change in value
of an investment over the periods indicated.

(4.) These figures represent the value of a hypothetical $10,000 investment in
the Fund over the periods indicated.

(5.) In accordance with SEC rules, we provide standardized average annual total
return information through the latest calendar quarter.

(6.) Figures are as stated in the Fund's prospectus current as of the date of
this report.

14 | Annual Report

Your Fund's Expenses

FRANKLIN TEMPLETON CORE PLUS FIXED INCOME FUND

As a Fund shareholder, you can incur two types of costs:

- - Transaction costs, including sales charges (loads) on Fund purchases and
redemption fees; and

- - Ongoing Fund costs, including management fees, distribution and service
(12b-1) fees, and other Fund expenses. All mutual funds have ongoing costs,
sometimes referred to as operating expenses.

ACTUAL FUND EXPENSES

The first line (Actual) of the table provides actual account values and
expenses. The "Ending Account Value" is derived from the Fund's actual return,
which includes the effect of Fund expenses.

You can estimate the expenses you paid during the period by following these
steps. OF COURSE, YOUR ACCOUNT VALUE AND EXPENSES WILL DIFFER FROM THOSE IN THIS
ILLUSTRATION:

1. Divide your account value by $1,000.

IF AN ACCOUNT HAD AN $8,600 VALUE, THEN $8,600 / $1,000 = 8.6.

2. Multiply the result by the number under the heading "Expenses Paid During
Period."

IF EXPENSES PAID DURING PERIOD WERE $7.50, THEN 8.6 X $7.50 = $64.50.

In this illustration, the estimated expenses paid this period are $64.50.

HYPOTHETICAL EXAMPLE FOR COMPARISON WITH OTHER FUNDS

Annual Report | 15

Your Fund's Expenses (CONTINUED)

BEGINNING ACCOUNT ENDING ACCOUNT EXPENSES PAID DURING
VALUE 2/1/08 VALUE 7/31/08 PERIOD* 2/1/08-7/31/08
----------------- -------------- ----------------------

Actual $1,000 $ 968.00 $2.10
Hypothetical (5% return before expenses) $1,000 $1,022.73 $2.16

* Expenses are calculated using the most recent six-month annualized expense
ratio, net of expense waivers, of 0.43%, multiplied by the average account
value over the period, multiplied by 182/366 to reflect the one-half year
period.

16 | Annual Report

Franklin Global Trust

FINANCIAL HIGHLIGHTS

FRANKLIN TEMPLETON CORE FIXED INCOME FUND

YEAR ENDED JULY 31,
------------------------------------------------
2008 2007 2006 2005 2004(a)
------- ------- ------- ------- -------

PER SHARE OPERATING PERFORMANCE
(for a share outstanding throughout the year)
Net asset value, beginning of year .......................... $ 9.57 $ 9.62 $ 10.00 $ 9.97 $ 10.00
------- ------- ------- ------- -------
Income from investment operations(b):
Net investment income(c) ................................. 0.45 0.47 0.43 0.32 0.26
Net realized and unrealized gains (losses) ............... (0.49) (0.05) (0.32) 0.19 0.13
------- ------- ------- ------- -------
Total from investment operations ............................ (0.04) 0.42 0.11 0.51 0.39
------- ------- ------- ------- -------
Less distributions from:
Net investment income .................................... (0.43) (0.47) (0.49) (0.45) (0.39)
Net realized gains ....................................... -- -- -- (0.03) (0.03)
------- ------- ------- ------- -------
Total distributions ......................................... (0.43) (0.47) (0.49) (0.48) (0.42)
------- ------- ------- ------- -------
Net asset value, end of year ................................ $ 9.10 $ 9.57 $ 9.62 $ 10.00 $ 9.97
======= ======= ======= ======== =======
Total return(d) ............................................. (0.54)% 4.44% 1.14% 5.13% 3.96%

RATIOS TO AVERAGE NET ASSET(e)
Expenses before waiver and payments by affiliates ........... 0.71% 0.67% 0.70% 0.72% 0.99%
Expenses net of waiver and payments by affiliates(f) ........ 0.45% 0.45% 0.45% 0.45% 0.45%
Net investment income ....................................... 4.69% 4.81% 4.32% 3.19% 2.76%

SUPPLEMENTAL DATA
Net assets, end of year (000's) ............................. $16,813 $29,671 $20,316 $26,720 $17,543
Portfolio turnover rate ..................................... 414.54% 512.24% 534.14% 473.05% 459.82%
Portfolio turnover rate excluding mortgage dollar rolls(g) .. 82.09% 132.05% 213.90% 254.13% 259.85%

(a) For the period August 29, 2003 (commencement of operations) to July 31,
2004.

(d) Total return is not annualized for periods less than one year.

(e) Ratios are annualized for periods less than one year.

(f) Benefit of expense reduction rounds to less than 0.01%.

(g) See Note 1(g) regarding mortgage dollar rolls.

The accompanying notes are an integral part of these financial statements.

Annual Report | 17

Franklin Global Trust

STATEMENT OF INVESTMENTS, JULY 31, 2008

PRINCIPAL
FRANKLIN TEMPLETON CORE FIXED INCOME FUND COUNTRY AMOUNT(a) VALUE
----------------------------------------- -------------- ---------- -----------

CORPORATE BONDS 23.6%
CAPITAL MARKETS 2.9%
The Goldman Sachs Group Inc., junior sub. note, 6.345%, 2/15/34 .......... United States $ 95,000 $ 78,524
Lehman Brothers Holdings Inc., senior note, 6.875%, 5/02/18 .............. United States 85,000 80,155
Merrill Lynch & Co. Inc.,
6.875%, 4/25/18 ....................................................... United States 105,000 98,732
sub. bond, 7.75%, 5/14/38 ............................................. United States 70,000 63,958
Morgan Stanley, sub. note, 4.75%, 4/01/14 ................................ United States 185,000 165,613
-----------
486,982
-----------
COMMERCIAL BANKS 2.0%
(b, c) HSBC Capital Funding LP, Reg S, 4.61%, Perpetual ......................... United Kingdom 190,000 163,262
(c) Wachovia Capital Trust III, 5.80%, Perpetual ............................. United States 300,000 169,588
-----------
332,850
-----------
DIVERSIFIED FINANCIAL SERVICES 3.1%
Capmark Financial Group Inc., senior note, 6.30%, 5/10/17 ................ United States 295,000 173,877
Citigroup Inc., senior note, 5.50%, 4/11/13 .............................. United States 170,000 166,430
Rio Tinto Finance USA Ltd., 5.875%, 7/15/13 .............................. Australia 175,000 177,469
-----------
517,776
-----------
DIVERSIFIED TELECOMMUNICATION SERVICES 3.4%
Ameritech Capital Funding Corp., 6.25%, 5/18/09 .......................... United States 250,000 253,200
Embarq Corp., senior note, 7.995%, 6/01/36 ............................... United States 70,000 63,506
Telecom Italia Capital, senior note, 4.95%, 9/30/14 ...................... Italy 95,000 87,333
Verizon Communications Inc., 5.50%, 2/15/18 .............................. United States 175,000 168,140
-----------
572,179
-----------
HEALTH CARE PROVIDERS & SERVICES 1.0%
Quest Diagnostics Inc., 6.40%, 7/01/17 ................................... United States 170,000 168,568
-----------
INSURANCE 3.3%
Chubb Corp., senior note, 6.00%, 5/11/37 ................................. United States 185,000 165,434
(d) Genworth Financial Inc., junior sub. note, FRN, 6.15%, 11/15/66 .......... United States 145,000 109,481
(d) Lincoln National Corp., FRN, 7.00%, 5/17/66 ............................. United States 185,000 163,000
(d) MetLife Inc., junior sub. note, FRN, 6.40%, 12/15/66 ..................... United States 135,000 115,562
-----------
553,477
-----------
MEDIA 1.9%
News America Inc., 6.40%, 12/15/35 ....................................... United States 170,000 158,774
TCI Communications Inc., senior note, 8.75%, 8/01/15 ..................... United States 145,000 159,631
-----------
318,405
-----------
OIL, GAS & CONSUMABLE FUELS 4.3%
(e) Gaz Capital SA, 144A, 6.212%, 11/22/16 ................................... Luxembourg 145,000 134,082
(e) LUKOIL International Finance BV, 144A, 6.656%, 6/07/22 ................... Russia 185,000 159,562
(e) Petroleum Export Cayman, senior note, 144A, 5.265%, 6/15/11 .............. Egypt 281,708 274,406
Valero Energy Corp., 6.625%, 6/15/37 ..................................... United States 175,000 156,718
-----------
724,768
-----------
ROAD & RAIL 0.7%
Kazakhstan Temir Zholy, 6.50%, 5/11/11 ................................... Kazakhstan 130,000 126,607
-----------

18 | Annual Report

Franklin Global Trust

STATEMENT OF INVESTMENTS, JULY 31, 2008 (CONTINUED)

PRINCIPAL
FRANKLIN TEMPLETON CORE FIXED INCOME FUND COUNTRY AMOUNT(a) VALUE
----------------------------------------- -------------- ---------- -----------

CORPORATE BONDS (CONTINUED)
SOFTWARE 1.0%
Oracle Corp., 5.75%, 4/15/18 ............................................. United States $ 170,000 $ 170,420
-----------
TOTAL CORPORATE BONDS (COST $4,474,228) .................................. 3,972,032
-----------
MORTGAGE-BACKED SECURITIES 44.8%
FEDERAL HOME LOAN MORTGAGE CORP. (FHLMC) FIXED RATE 28.5%
FHLMC PC 15 Year, 4.50%, 10/01/22 ........................................ United States 380,422 364,574
FHLMC PC 15 Year, 4.50%, 4/01/23 - 5/01/23 ............................... United States 150,703 144,410
FHLMC PC 30 Year, 5.50%, 5/01/37 ......................................... United States 880,960 862,231
FHLMC PC 30 Year, 5.50%, 1/01/38 ......................................... United States 237,970 232,911
FHLMC PC 30 Year, 5.50%, 4/01/38 ......................................... United States 265,164 259,527
(f) FHLMC PC 30 Year, 6.50%, 3/01/15 ......................................... United States 2,167,000 2,225,576
FHLMC PC 30 Year, 6.50%, 10/01/36 ........................................ United States 682,353 701,935
-----------
4,791,164
-----------
FEDERAL NATIONAL MORTGAGE ASSOCIATION (FNMA) FIXED RATE 16.3%
(f) FNMA 30 Year, 5.00%, 8/01/33 ............................................. United States 2,242,000 2,128,848
FNMA 30 Year, 5.00%, 3/01/38 ............................................. United States 649,194 617,046
-----------
2,745,894
-----------
TOTAL MORTGAGE-BACKED SECURITIES (COST $7,603,121) ....................... 7,537,058
-----------
ASSET-BACKED SECURITIES AND COMMERCIAL MORTGAGE-BACKED SECURITIES 18.6%
CONSUMER FINANCE 4.2%
(d) Household Credit Card Master Note Trust I, 2007-1, A, FRN, 2.508%,
4/15/13 ............................................................... United States 676,000 661,270
(d) SLM Student Loan Trust, 2005-4, A1, FRN, 2.81%, 10/26/15 ................. United States 44,172 44,089
-----------
705,359
-----------
THRIFTS & MORTGAGE FINANCE 14.4%
(d) Bear Stearns Commercial Mortgage Securities Inc., 2005-PW10, A4, FRN,
5.405%, 12/11/40 ...................................................... United States 45,000 43,044
Citigroup/Deutsche Bank Commercial Mortgage Trust,
2006-CD3, A4, 5.658%, 10/15/48 ........................................ United States 188,000 179,559
2007-CD4, C, 5.476%, 12/11/49 ......................................... United States 120,000 82,996
sub. bond, 2006-CD3, C, 5.748%, 10/15/48 .............................. United States 745,000 563,632
(d, e) Countrywide Asset-Backed Certificates, 2004-SD3, A1, 144A, FRN, 2.911%,
9/25/34 ............................................................... United States 25,061 21,374
CS First Boston Mortgage Securities Corp., 2004-1, 5A1, 5.50%, 2/25/19 United States 14,341 13,361
GE Capital Commercial Mortgage Corp., 2001-3, A2, 6.07%, 6/10/38 ......... United States 538,000 545,184
LB-UBS Commercial Mortgage Trust,
2004-C7, A1A, 4.475%, 10/15/29 ........................................ United States 487,402 468,823
2006-C1, A4, 5.156%, 2/15/31 .......................................... United States 95,000 87,967
(e) Morgan Stanley Capital I, 2007-IQ13, B, 144A, 5.517%, 3/15/44 ............ United States 120,000 82,815
(d) Permanent Financing PLC, 4, 3A, FRN, 2.836%, 3/10/24 ..................... United Kingdom 300,000 297,862
(d) Washington Mutual Inc., 2004-AR2, A, FRN, 4.691%, 4/25/44 ................ United States 42,854 34,925
-----------
2,421,542
-----------
TOTAL ASSET-BACKED SECURITIES AND COMMERCIAL MORTGAGE-BACKED
SECURITIES (COST $3,372,850) .......................................... 3,126,901
-----------

Annual Report | 19

Franklin Global Trust

STATEMENT OF INVESTMENTS, JULY 31, 2008 (CONTINUED)

PRINCIPAL
FRANKLIN TEMPLETON CORE FIXED INCOME FUND COUNTRY AMOUNT(a) VALUE
----------------------------------------- -------------- ---------- -----------

U.S. GOVERNMENT AND AGENCY SECURITIES 8.7%
FNMA, 5.00%, 2/13/17 ..................................................... United States $ 200,000 $ 206,406
U.S. Treasury Bond,
7.25%, 8/15/22 ........................................................ United States 23,000 29,620
5.375%, 2/15/31 ....................................................... United States 184,000 203,148
5.00%, 5/15/37 ........................................................ United States 376,000 401,615
U.S. Treasury Note,
4.75%, 5/15/14 ........................................................ United States 215,000 231,545
3.875%, 5/15/18 ....................................................... United States 398,000 395,948
-----------
TOTAL U.S. GOVERNMENT AND AGENCY SECURITIES (COST $1,439,674) ............ 1,468,282
-----------
MUNICIPAL BOND (COST $227,196) 1.3%
Buckeye Tobacco Settlement Financing Authority Revenue, Asset-Backed,
Senior Current Interest Turbo Term Bond, Series A-2, 5.125%, 6/01/24... United States 235,000 209,293
-----------

SHARES
----------

PREFERRED STOCKS 2.1%
DIVERSIFIED TELECOMMUNICATION SERVICES 1.5%
(e) Centaur Funding Corp., 9.08%, pfd., B, 144A .............................. United States 248 247,225
-----------
THRIFTS & MORTGAGE FINANCE 0.6%
Fannie Mae, 8.25%, pfd. .................................................. United States 3,600 60,444
Freddie Mac, 8.375%, pfd. ................................................ United States 2,425 41,104
-----------
101,548
-----------
TOTAL PREFERRED STOCKS (COST $456,297) ................................... 348,773
-----------
TOTAL INVESTMENTS BEFORE SHORT TERM INVESTMENTS (COST $17,573,366) ....... 16,662,339
-----------
SHORT TERM INVESTMENTS 26.6%
MONEY MARKET FUND (COST $4,197,179) 25.0%
(g) Franklin Institutional Fiduciary Trust Money Market Portfolio, 2.20% ..... United States 4,197,179 4,197,179
-----------

20 | Annual Report

Franklin Global Trust

STATEMENT OF INVESTMENTS, JULY 31, 2008 (CONTINUED)

PRINCIPAL
FRANKLIN TEMPLETON CORE FIXED INCOME FUND COUNTRY AMOUNT(a) VALUE
----------------------------------------- -------------- ---------- -----------

SHORT TERM INVESTMENTS (CONTINUED)
REPURCHASE AGREEMENT (COST $272,085) 1.6%
(h) Joint Repurchase Agreement, 2.09%, 8/01/08 (Maturity Value $272,101) ..... United States $ 272,085 $ 272,085
ABN AMRO Bank NV, New York Branch (Maturity Value $22,971)
Banc of America Securities LLC (Maturity Value $22,971)
Barclays Capital Inc. (Maturity Value $22,971)
BNP Paribas Securities Corp. (Maturity Value $22,971)
Credit Suisse Securities (USA) LLC (Maturity Value $22,971)
Deutsche Bank Securities Inc. (Maturity Value $22,971)
Dresdner Kleinwort Securities LLC (Maturity Value $22,971)
Goldman, Sachs & Co. (Maturity Value $22,971)
Lehman Brothers Inc. (Maturity Value $19,420)
Merrill Lynch Government Securities Inc. (Maturity Value $22,971)
Morgan Stanley & Co. Inc. (Maturity Value $22,971)
UBS Securities LLC (Maturity Value $22,971)
Collateralized by U.S. Government Agency Securities,
2.375% - 6.25%, 8/04/08 - 5/06/13; (i)U.S. Government Agency
Discount Notes,
12/08/08 - 5/29/09; (i)U.S. Treasury Bill, 12/11/08; and U.S.
Treasury Notes,
3.375% - 4.625%, 5/15/09 - 6/30/13
-----------
TOTAL INVESTMENTS (COST $22,042,630) 125.7% ........................... 21,131,603
OTHER ASSETS, LESS LIABILITIES (25.7)% ................................ (4,318,849)
-----------
NET ASSETS 100.0% ..................................................... $16,812,754
===========

See Selected Portfolio Abbreviations on page 28.

(a) The principal amount is stated in U.S. dollars unless otherwise indicated.

(b) Security was purchased pursuant to Regulation S under the Securities Act of
1933, which exempts from registration securities offered and sold outside
of the United States. Such a security cannot be sold in the United States
without either an effective registration statement filed pursuant to the
Securities Act of 1933, or pursuant to an exemption from registration. This
security has been deemed liquid under guidelines approved by the Trust's
Board of Trustees. At July 31, 2008, the value of this security was
$163,262, representing 0.97% of net assets.

(d) The coupon rate shown represents the rate at period end.

(e) Security was purchased pursuant to Rule 144A under the Securities Act of
1933 and may be sold in transactions exempt from registration only to
qualified institutional buyers or in a public offering registered under the
Securities Act of 1933. These securities have been deemed liquid under
guidelines approved by the Trust's Board of Trustees. At July 31, 2008, the
aggregate value of these securities was $919,464, representing 5.47% of net
assets.

(f) A portion or all of the security purchased on a to-be-announced basis. See
Note 1(d).

(g) See Note 7 regarding investments in the Franklin Institutional Fiduciary
Trust Money Market Portfolio. The rate shown is the annualized seven-day
yield at period end.

(h) See Note 1(c) regarding joint repurchase agreement.

(i) The security is traded on a discount basis with no stated coupon rate.

The accompanying notes are an integral part of these financial statements.

Annual Report | 21

Franklin Global Trust

FINANCIAL HIGHLIGHTS

FRANKLIN TEMPLETON CORE PLUS FIXED INCOME FUND

YEAR ENDED JULY 31,
---------------------------------------------------
2008 2007 2006 2005 2004(a)
-------- -------- ------- ------- -------

PER SHARE OPERATING PERFORMANCE
(for a share outstanding throughout the year)
Net asset value, beginning of year ........................... $ 10.12 $ 10.16 $ 10.46 $ 10.32 $ 10.00
-------- -------- ------- ------- -------
Income from investment operations(b):
Net investment income(c) .................................. 0.49 0.50 0.46 0.36 0.28
Net realized and unrealized gains (losses) ................ (0.31) 0.01 (0.25) 0.23 0.41
-------- -------- ------- ------- -------
Total from investment operations ............................. 0.18 0.51 0.21 0.59 0.69
-------- -------- ------- ------- -------
Less distributions from:
Net investment income ..................................... (0.45) (0.55) (0.51) (0.45) (0.30)
Net realized gains ........................................ -- -- --(d) -- (0.07)
-------- -------- ------- ------- -------
Total distributions .......................................... (0.45) (0.55) (0.51) (0.45) (0.37)
-------- -------- ------- ------- -------
Net asset value, end of year ................................. $ 9.85 $ 10.12 $ 10.16 $ 10.46 $ 10.32
======== ======== ======= ======= =======
Total return(e) .............................................. 1.67% 5.02% 2.10% 5.80% 6.97%

RATIOS TO AVERAGE NET ASSETS(f)
Expenses before waiver and payments by affiliates ............ 0.61% 0.57% 0.56% 0.58% 0.84%
Expenses net of waiver and payments by affiliates(g) ......... 0.43% 0.43% 0.43% 0.43% 0.43%
Net investment income ........................................ 4.79% 4.87% 4.47% 3.44% 2.76%

SUPPLEMENTAL DATA
Net assets, end of year (000's) .............................. $102,096 $101,992 $97,272 $96,823 $54,132
Portfolio turnover rate ...................................... 394.13% 479.36% 516.39% 465.89% 426.29%
Portfolio turnover rate excluding mortgage dollar rolls(h) ... 82.71% 143.61% 213.60% 244.29% 222.53%

(a) For the period August 4, 2003 (commencement of operations) to July 31,
2004.

(d) Amount rounds to less than $0.01 per share.

(e) Total return is not annualized for periods less than one year.

(f) Ratios are annualized for periods less than one year.

(g) Benefit of expense reduction rounds to less than 0.01%.

(h) See Note 1(g) regarding mortgage dollar rolls.

The accompanying notes are an integral part of these financial statements.

22 | Annual Report

Franklin Global Trust

STATEMENT OF INVESTMENTS, JULY 31, 2008

PRINCIPAL
FRANKLIN TEMPLETON CORE PLUS FIXED INCOME FUND COUNTRY AMOUNT(a) VALUE
---------------------------------------------- -------------- ------------- ------------

CORPORATE BONDS 23.5%
AUTOMOBILES 0.4%
Ford Motor Credit Co. LLC, 8.625%, 11/01/10 ....................... United States 500,000 $ 418,251
------------
CAPITAL MARKETS 3.6%
The Goldman Sachs Group Inc., junior sub. note, 6.345%, 2/15/34 ... United States 1,250,000 1,033,208
Lehman Brothers Holdings Inc., senior note, 6.875%, 5/02/18 ....... United States 625,000 589,379
Merrill Lynch & Co. Inc.,
6.875%, 4/25/18 ................................................ United States 640,000 601,794
sub. bond, 7.75%, 5/14/38 ...................................... United States 430,000 392,884
Morgan Stanley, sub. note, 4.75%, 4/01/14 ......................... United States 1,220,000 1,092,149
------------
3,709,414
------------
CHEMICALS 0.2%
Nalco Co., senior sub. note, 8.875%, 11/15/13 ..................... United States 230,000 238,625
------------
COMMERCIAL BANKS 2.4%
(b) Alfa MTN Markets for ABH Financial, 144A, 8.20%, 6/25/12 .......... Russia 545,000 527,287
(c, d) HSBC Capital Funding LP, Reg S, 4.61%, Perpetual .................. United Kingdom 1,085,000 932,308
(d) RBS Capital Trust III, 5.512%, Perpetual .......................... United States 1,220,000 1,021,388
------------
2,480,983
------------
COMMERCIAL SERVICES & SUPPLIES 0.3%
ARAMARK Corp., senior note, 8.50%, 2/01/15 ........................ United States 258,000 258,323
------------
CONSUMER FINANCE 0.4%
GMAC LLC, 6.75%, 12/01/14 ......................................... United States 605,000 347,701
------------
DIVERSIFIED FINANCIAL SERVICES 2.1%
Citigroup Inc., senior note, 5.50%, 4/11/13 ....................... United States 1,100,000 1,076,901
Rio Tinto Finance USA Ltd., 5.875%, 7/15/13 ....................... Australia 1,050,000 1,064,810
------------
2,141,711
------------
DIVERSIFIED TELECOMMUNICATION SERVICES 3.0%
AT&T Inc., 6.40%, 5/15/38 ......................................... United States 765,000 733,656
Embarq Corp., senior note, 7.995%, 6/01/36 ........................ United States 475,000 430,933
Sprint Capital Corp., 6.90%, 5/01/19 .............................. United States 245,000 209,237
Telecom Italia Capital, senior note, 4.95%, 9/30/14 ............... Italy 1,220,000 1,121,546
Verizon Communications Inc., 6.10%, 4/15/18 ....................... United States 590,000 591,347
------------
3,086,719
------------
ELECTRIC UTILITIES 1.1%
(b) E.ON International Finance BV, 144A, 5.80%, 4/30/18 ............... Germany 1,075,000 1,060,993
------------
HEALTH CARE PROVIDERS & SERVICES 0.6%
Coventry Health Care Inc., senior note, 6.30%, 8/15/14 ............ United States 470,000 441,706
HCA Inc., senior secured note, 9.125%, 11/15/14 ................... United States 155,000 160,037
------------
601,743
------------
HOTELS, RESTAURANTS & LEISURE 0.3%
Host Hotels & Resorts LP, senior note, K, 7.125%, 11/01/13 ........ United States 195,000 180,375
Station Casinos Inc., senior sub. note, 6.875%, 3/01/16 ........... United States 305,000 140,300
------------
320,675
------------

Annual Report | 23

Franklin Global Trust

STATEMENT OF INVESTMENTS, JULY 31, 2008 (CONTINUED)

PRINCIPAL
FRANKLIN TEMPLETON CORE PLUS FIXED INCOME FUND COUNTRY AMOUNT(a) VALUE
---------------------------------------------- -------------- ------------- ------------

CORPORATE BONDS (CONTINUED)
HOUSEHOLD DURABLES 0.3%
Jarden Corp., senior sub. note, 7.50%, 5/01/17 .................... United States 320,000 $ 280,000
------------
INDEPENDENT POWER PRODUCERS & ENERGY TRADERS 0.2%
NRG Energy Inc., senior note, 7.375%, 2/01/16 ..................... United States 240,000 233,400
------------
INSURANCE 1.5%
(e) Genworth Financial Inc., junior sub. note, FRN, 6.15%, 11/15/66 ... United States 825,000 622,909
(e) Lincoln National Corp., FRN, 7.00%, 5/17/66 ....................... United States 1,000,000 881,083
------------
1,503,992
------------
MEDIA 4.2%
(e) The Interpublic Group of Cos. Inc., senior note, FRN, 4.676%,
11/15/10 ....................................................... United States 1,000,000 962,500
Lamar Media Corp., senior sub. note, 7.25%, 1/01/13 ............... United States 200,000 192,000
News America Inc., 6.40%, 12/15/35 ................................ United States 1,170,000 1,092,741
R.H. Donnelley Corp., senior note, A-3, 8.875%, 1/15/16 ........... United States 340,000 165,750
TCI Communications Inc., senior note, 8.75%, 8/01/15 .............. United States 740,000 814,667
Viacom Inc., senior note, 6.875%, 4/30/36 ......................... United States 1,140,000 1,032,816
------------
4,260,474
------------
MULTI-UTILITIES 0.3%
(e) Dominion Resources Inc., junior sub. note, 06-B, FRN, 6.30%,
9/30/66 ........................................................ United States 375,000 339,278
------------
OIL, GAS & CONSUMABLE FUELS 2.1%
(b) Gaz Capital SA, 144A, 6.212%, 11/22/16 ............................ Luxembourg 575,000 531,702
(b) Petroleum Export Cayman, senior note, 144A, 5.265%, 6/15/11 ....... Egypt 652,739 635,818
Valero Energy Corp., 6.625%, 6/15/37 .............................. United States 1,110,000 994,043
------------
2,161,563
------------
ROAD & RAIL 0.3%
Kazakhstan Temir Zholy, 7.00%, 5/11/16 ............................ Kazakhstan 365,000 331,895
------------
TOBACCO 0.2%
Reynolds American Inc., senior secured note, 7.625%, 6/01/16 ...... United States 185,000 191,927
------------
TOTAL CORPORATE BONDS (COST $26,328,655) .......................... 23,967,667
------------
MORTGAGE-BACKED SECURITIES 46.0%
(e) FEDERAL HOME LOAN MORTGAGE CORP. (FHLMC) ADJUSTABLE RATE 0.7%
FHLMC, 4.719%, 9/01/24 ............................................ United States 743,225 747,185
------------
FEDERAL HOME LOAN MORTGAGE CORP. (FHLMC) FIXED RATE 28.8%
FHLMC PC 15 Year 4.50%, 10/01/22 .................................. United States 2,609,385 2,500,684
FHLMC PC 15 Year 4.50%, 4/01/23-05/01/23 .......................... United States 656,309 628,903
FHLMC PC 30 Year 5.50%, 5/01/37 ................................... United States 5,965,332 5,838,506
FHLMC PC 30 Year 5.50%, 1/01/38 ................................... United States 1,174,561 1,149,589
FHLMC PC 30 Year 5.50%, 4/01/38 ................................... United States 1,356,152 1,327,320
(f) FHLMC PC 30 Year 6.50%, 3/01/15 ................................... United States 13,459,000 13,822,810
FHLMC PC 30 Year 6.50%, 10/01/36 .................................. United States 4,024,657 4,140,157
------------
29,407,969
------------

24 | Annual Report

Franklin Global Trust

STATEMENT OF INVESTMENTS, JULY 31, 2008 (CONTINUED)

PRINCIPAL
FRANKLIN TEMPLETON CORE PLUS FIXED INCOME FUND COUNTRY AMOUNT(a) VALUE
---------------------------------------------- -------------- ------------- ------------

MORTGAGE-BACKED SECURITIES (CONTINUED)
FEDERAL NATIONAL MORTGAGE ASSOCIATION (FNMA) FIXED RATE 16.5%
(f) FNMA 30 Year, 5.00%, 08/01/33 ..................................... United States 6,001,000 $ 5,698,135
FNMA 30 Year, 5.00%, 03/01/38 ..................................... United States 11,703,850 11,124,266
------------
16,822,401
------------
TOTAL MORTGAGE-BACKED SECURITIES (COST $47,378,953) ............... 46,977,555
------------
ASSET-BACKED SECURITIES AND COMMERCIAL MORTGAGE-BACKED
SECURITIES 16.5%
CONSUMER FINANCE 2.5%
(e) Household Credit Card Master Note Trust I, 2007-1, A, FRN, 2.508%,
4/15/13 ........................................................ United States 2,292,000 2,242,055
(e) SLM Student Loan Trust, 2005-4, A1, FRN, 2.81%, 10/26/15 .......... United States 339,828 339,188
------------
2,581,243
------------
THRIFTS & MORTGAGE FINANCE 14.0%
(e) Citibank Credit Card Issuance Trust, 2003-A9, A9, FRN, 2.775%,
11/22/10 ....................................................... United States 1,700,000 1,698,523
Citigroup/Deutsche Bank Commercial Mortgage Trust,
2007-CD4, C, 5.476%, 12/11/49 .................................. United States 455,000 314,692
sub. bond, 2006-CD3, C, 5.748%, 10/15/48 ....................... United States 2,080,000 1,573,632
(b, e) Countrywide Asset-Backed Certificates, 2004-SD3, A1, 144A, FRN,
2.911%, 9/25/34 ................................................ United States 25,061 21,374
GE Capital Commercial Mortgage Corp., 2001-3, A2, 6.07%, 6/10/38 .. United States 5,303,000 5,373,810
Greenwich Capital Commercial Funding Corp., 2005-GG5, A5, 5.224%,
4/10/37 ........................................................ United States 1,117,000 1,058,158
(e) GS Mortgage Securities Corp. II, 2006-GG6, A4, FRN, 5.553%,
4/10/38 ........................................................ United States 951,000 901,567
LB-UBS Commercial Mortgage Trust, 2006-C1, A4, 5.156%, 2/15/31 .... United States 2,117,000 1,960,276
(b) Morgan Stanley Capital I, 2007-IQ13, B, 144A, 5.517%, 3/15/44 ..... United States 450,000 310,557
(e) Permanent Financing PLC, 4, 3A, FRN, 2.836%, 3/10/24 .............. United Kingdom 610,000 605,654
(e) Washington Mutual Inc., 2004-AR2, A, FRN, 4.691%, 4/25/44 ......... United States 483,797 394,284
------------
14,212,527
------------
TOTAL ASSET-BACKED SECURITIES AND COMMERCIAL
MORTGAGE-BACKED SECURITIES (COST $17,644,365) .................. 16,793,770
------------
FOREIGN GOVERNMENT AND AGENCY SECURITIES 7.9%
Government of Malaysia, 3.756%, 4/28/11 ........................... Malaysia 5,300,000 MYR 1,620,040
Government of Norway, 5.50%, 5/15/09 .............................. Norway 11,653,000 NOK 2,265,512
Government of Sweden, 5.50%, 10/08/12 ............................. Sweden 11,985,000 SEK 2,061,310
(c) Government of Venezuela, Reg S, 6.00%, 12/09/20 ................... Venezuela 565,000 387,025
Korea Treasury Note, 0525-1209, 5.25%, 9/10/12 .................... South Korea 1,100,000,000 KRW 1,064,197
Nota Do Tesouro Nacional, 9.762%, 1/01/17 ......................... Brazil 1,210(g)BRL 636,669
------------
TOTAL FOREIGN GOVERNMENT AND AGENCY SECURITIES
(COST $7,423,574) .............................................. 8,034,753
------------

Annual Report | 25

Franklin Global Trust

STATEMENT OF INVESTMENTS, JULY 31, 2008 (CONTINUED)

PRINCIPAL
FRANKLIN TEMPLETON CORE PLUS FIXED INCOME FUND COUNTRY AMOUNT(a) VALUE
---------------------------------------------- -------------- ------------- ------------

U.S. GOVERNMENT AND AGENCY SECURITIES 7.0%
U.S. Treasury Bond,
5.375%, 2/15/31 ................................................ United States 738,000 $ 814,799
4.50%, 2/15/36 ................................................. United States 1,029,000 1,014,530
5.00%, 5/15/37 ................................................. United States 739,000 789,345
U.S. Treasury Note,
4.625%, 7/31/12 ................................................ United States 1,764,000 1,869,152
3.625%, 12/31/12 ............................................... United States 1,535,000 1,567,620
4.25%, 11/15/17 ................................................ United States 645,000 661,780
3.875%, 5/15/18 ................................................ United States 460,000 457,628
------------
TOTAL U.S. GOVERNMENT AND AGENCY SECURITIES
(COST $7,008,977) .............................................. 7,174,854
------------
MUNICIPAL BOND (COST $1,816,601) 1.6%
Buckeye Tobacco Settlement Financing Authority Revenue, Asset-Backed,
Senior Current Interest Turbo Term Bond, Series A-2, 5.125%,
6/01/24 ........................................................ United States 1,875,000 1,669,894
------------

SHARES
-------------

PREFERRED STOCKS 2.3%
DIVERSIFIED TELECOMMUNICATION SERVICES 1.6%
(b) Centaur Funding Corp., 9.08%, pfd., B, 144A ....................... United States 1,683 1,677,741
------------
THRIFTS & MORTGAGE FINANCE 0.7%
Fannie Mae, 8.25%, pfd. ........................................... United States 24,000 402,960
Freddie Mac, 8.375%, pfd. ......................................... United States 16,075 272,471
------------
675,431
------------
TOTAL PREFERRED STOCKS (COST $3,177,568) .......................... 2,353,172
------------
TOTAL INVESTMENTS BEFORE SHORT TERM INVESTMENTS
(COST $110,778,693) ............................................ 106,971,665
------------

PRINCIPAL
AMOUNT(a)
-------------

SHORT TERM INVESTMENTS 13.8%
U.S. GOVERNMENT AND AGENCY SECURITY (COST $1,002,744) 1.0%
(h) U.S. Treasury Note, 4.875%, 8/31/08 ............................... United States 1,000,000 1,002,657
------------
TOTAL INVESTMENTS BEFORE MONEY MARKET FUND
(COST $111,781,437) ............................................ 107,974,322
------------

SHARES
-------------

MONEY MARKET FUND (COST $13,073,148) 12.8%
(i) Franklin Institutional Fiduciary Trust Money Market
Portfolio, 2.20% ............................................... United States 13,073,148 13,073,148
------------
TOTAL INVESTMENTS (COST $124,854,585) 118.6% ...................... 121,047,470
NET UNREALIZED GAIN ON FOREIGN EXCHANGE CONTRACTS 0.0%(j) ......... 57,122
OTHER ASSETS, LESS LIABILITIES (18.6)% ............................ (19,008,458)
------------
NET ASSETS 100.0% ................................................. $102,096,134
============

26 | Annual Report

Franklin Global Trust

STATEMENT OF INVESTMENTS, JULY 31, 2008 (CONTINUED)

FRANKLIN TEMPLETON CORE PLUS FIXED INCOME FUND

See Currency and Selected Portfolio Abbreviations on page 28.

(a) The principal amount is stated in U.S. dollars unless otherwise indicated.

(c) Security was purchased pursuant to Regulation S under the Securities Act of
1933, which exempts from registration securities offered and sold outside
of the United States. Such a security cannot be sold in the United States
without either an effective registration statement filed pursuant to the
Securities Act of 1933, or pursuant to an exemption from registration.
These securities have been deemed liquid under guidelines approved by the
Trust's Board of Trustees. At July 31, 2008, the aggregate value of these
securities was $1,319,333, representing 1.29% of net assets.

(d) Perpetual bond with no stated maturity date.

(e) The coupon rate shown represents the rate at period end.

(f) A portion or all of the security purchased on a to-be-announced basis. See
Note 1(d).

(g) Principal amount is stated in 1,000 Brazilian Real Units.

(h) Security or a portion of the security has been segregated as collateral for
open swap contracts. At July 31, 2008, the value of the security and/or
cash pledged amounted to $419,012.

(i) See Note 7 regarding investments in the Franklin Institutional Fiduciary
Trust Money Market Portfolio. The rate shown is the annualized seven-day
yield at period end.

(j) Rounds to less than 0.1% of net assets.

The accompanying notes are an integral part of these financial statements.

Annual Report | 27

Franklin Global Trust

STATEMENT OF INVESTMENTS, JULY 31, 2008

CURRENCY ABBREVIATIONS

BRL - Brazilian Real
KRW - South Korean Won
MYR - Malaysian Ringgit
NOK - Norwegian Krone
SEK - Swedish Krona

SELECTED PORTFOLIO ABBREVIATIONS

FHLMC - Federal Home Loan Mortgage Corp.
FNMA - Federal National Mortgage Association
FRN - Floating Rate Note
MTN - Medium Term Note
PC - Participation Certificate

The accompanying notes are an integral part of these financial statements.

28 | Annual Report

Franklin Global Trust

FINANCIAL STATEMENTS

STATEMENTS OF ASSETS AND LIABILITIES
July 31, 2008

FRANKLIN FRANKLIN
TEMPLETON TEMPLETON
CORE FIXED CORE PLUS FIXED
INCOME FUND INCOME FUND
----------- ---------------

Assets:
Investments in securities:
Cost - Unaffiliated issuers ......................................... $17,573,366 $111,781,437
Cost - Sweep Money Fund (Note 7) .................................... 4,197,179 13,073,148
Cost - Repurchase agreements ........................................ 272,085 --
----------- ------------
Total cost of investments ........................................... $22,042,630 $124,854,585
=========== ============
Value - Unaffiliated issuers ........................................ $16,662,339 $107,974,322
Value - Sweep Money Fund (Note 7) ................................... 4,197,179 13,073,148
Value - Repurchase agreements ....................................... 272,085 --
----------- ------------
Total value of investments .......................................... 21,131,603 121,047,470
Foreign currency, at value (cost $ - and $27,537) ...................... -- 26,726
Receivables:
Interest ............................................................ 116,765 954,295
Affiliates .......................................................... 17,567 --
Swap premiums paid ..................................................... 1,152 9,803
Unrealized gain on forward exchange contracts (Note 9) ................. -- 102,994
Unrealized appreciation on swap contracts (Note 8) ..................... 6,666 70,954
----------- ------------
Total assets ..................................................... 21,273,753 122,212,242
----------- ------------
Liabilities:
Payables:
Investment securities purchased ..................................... 4,381,980 19,607,747
Capital shares redeemed ............................................. 7,200 --
Affiliates .......................................................... -- 1,661
Accrued swap premium ................................................ 1,032 5,769
Swap premiums received ................................................. 18,005 160,844
Unrealized loss on forward exchange contracts (Note 9) ................. -- 45,872
Unrealized depreciation on swap contracts (Note 8) ..................... 46,124 276,403
Accrued expenses and other liabilities ................................. 6,658 17,812
----------- ------------
Total liabilities ................................................ 4,460,999 20,116,108
----------- ------------
Net assets, at value .......................................... $16,812,754 $102,096,134
=========== ============
Net assets consist of:
Paid-in capital ........................................................ $19,132,946 $107,469,839
Undistributed net investment income .................................... 204,636 1,282,429
Net unrealized appreciation (depreciation) ............................. (950,485) (3,954,484)
Accumulated net realized gain (loss) ................................... (1,574,343) (2,701,650)
----------- ------------
Net assets, at value .......................................... $16,812,754 $102,096,134
=========== ============
Shares outstanding ..................................................... 1,846,789 10,364,535
----------- ------------
Net asset value and maximum offering price per share(a) ................ $ 9.10 $ 9.85
=========== ============

(a) Redemption price is equal to net asset value less any applicable redemption
fees retained by the Fund.

The accompanying notes are an integral part of these financial statements.

Annual Report | 29

Franklin Global Trust

FINANCIAL STATEMENTS (CONTINUED)

STATEMENTS OF OPERATIONS
for the year ended July 31, 2008

FRANKLIN FRANKLIN
TEMPLETON TEMPLETON
CORE FIXED CORE PLUS FIXED
INCOME FUND INCOME FUND
----------- ---------------

Investment income:
Dividends:
Unaffiliated issuers ................................................ $ 50,300 $ 199,571
Sweep Money Fund (Note 7) ........................................... 132,982 249,340
Interest ............................................................... 1,259,148 5,327,876
----------- -----------
Total investment income .......................................... 1,442,430 5,776,787
----------- -----------
Expenses:
Management fees (Note 3a) .............................................. 73,991 313,449
Administrative fees (Note 3b) .......................................... 56,148 221,298
Transfer agent fees .................................................... 284 926
Custodian fees (Note 4) ................................................ 848 12,351
Reports to shareholders ................................................ 7,442 22,441
Registration and filing fees ........................................... 17,090 54,013
Professional fees ...................................................... 30,859 31,240
Trustees' fees and expenses ............................................ 2,507 9,228
Other .................................................................. 10,691 12,500
----------- -----------
Total expenses ................................................... 199,860 677,446
Expense reductions (Note 4) ...................................... (295) (915)
Expenses waived/paid by affiliates (Note 3d) ..................... (73,253) (200,860)
----------- -----------
Net expenses .................................................. 126,312 475,671
----------- -----------
Net investment income ...................................... 1,316,118 5,301,116
----------- -----------
Realized and unrealized gains (losses):
Net realized gain (loss) from:
Investments ......................................................... (401,768) 756,090
Foreign currency transactions ....................................... -- 152,708
Swap contracts ...................................................... (182,270) (838,814)
----------- -----------
Net realized gain (loss) ................................... (584,038) 69,984
----------- -----------
Net change in unrealized appreciation (depreciation) on:
Investments ......................................................... (667,371) (3,362,215)
Translation of other assets and liabilities denominated in
foreign currencies ............................................... -- 160,000
----------- -----------
Net change in unrealized appreciation (depreciation) ....... (667,371) (3,202,215)
----------- -----------
Net realized and unrealized gain (loss) ................................... (1,251,409) (3,132,231)
----------- -----------
Net increase (decrease) in net assets resulting from operations ........... $ 64,709 $ 2,168,885
=========== ===========

The accompanying notes are an integral part of these financial statements.

30 | Annual Report

Franklin Global Trust

FINANCIAL STATEMENTS (CONTINUED)

STATEMENTS OF CHANGES IN NET ASSETS

FRANKLIN TEMPLETON FRANKLIN TEMPLETON
CORE FIXED INCOME FUND CORE PLUS FIXED INCOME FUND
-------------------------- ---------------------------
YEAR ENDED JULY 31, YEAR ENDED JULY 31,
-------------------------- ---------------------------
2008 2007 2008 2007
------------ ----------- ------------ ------------

Increase (decrease) in net assets:
Operations:
Net investment income ..................................... $ 1,316,118 $ 1,286,820 $ 5,301,116 $ 4,853,665
Net realized gain (loss) from investments, foreign currency
transactions, and swap contracts ....................... (584,038) (127,419) 69,984 74,313
Net change in unrealized appreciation (depreciation) on
investments and translation of other assets and
liabilities denominated in foreign currencies .......... (667,371) (186,283) (3,202,215) (259,220)
------------ ----------- ------------ ------------
Net increase (decrease) in net assets resulting from
operations ....................................... 64,709 973,118 2,168,885 4,668,758
------------ ----------- ------------ ------------
Distributions to shareholders from net investment
income .................................................... (1,234,277) (1,294,491) (4,846,835) (5,160,935)
Capital share transactions (Note 2) .......................... (11,688,315) 9,676,194 2,781,819 5,212,746
------------ ----------- ------------ ------------
Net increase (decrease) in net assets ..................... (12,857,883) 9,354,821 103,869 4,720,569
Net assets:
Beginning of year ............................................ 29,670,637 20,315,816 101,992,265 97,271,696
------------ ----------- ------------ ------------
End of year .................................................. $ 16,812,754 $29,670,637 $102,096,134 $101,992,265
============ =========== ============ ============
Undistributed net investment income included in net assets:
End of year .................................................. $ 204,636 $ 88,663 $ 1,282,429 $ 751,850
============ =========== ============ ============

The accompanying notes are an integral part of these financial statements.

Annual Report | 31

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS

1. ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES

Franklin Global Trust (Trust) is registered under the Investment Company Act of
1940, as amended, (1940 Act) as an open-end investment company, consisting of
nine separate funds. The Franklin Templeton Core Fixed Income Fund and Franklin
Templeton Core Plus Fixed Income Fund (Funds) are diversified and
non-diversified, respectively. The financial statements of the remaining funds
in the Trust are presented separately.

The following summarizes the Funds' significant accounting policies.

A. SECURITY VALUATION

Corporate debt securities, government securities, mortgage pass-through
securities, other mortgage-backed securities, collateralized mortgage
obligations and asset-backed securities generally trade in the over-the-counter
market rather than on a securities exchange. The Trust may utilize independent
pricing services, quotations from bond dealers, and information with respect to
bond and note transactions, to assist in determining a current market value for
each security. The Trust's pricing services may use valuation models or matrix
pricing which considers information with respect to comparable bond and note
transactions, quotations from bond dealers, or by reference to other securities
that are considered comparable in such characteristics as rating, interest rate
and maturity date, option adjusted spread models, prepayment projections,
interest rate spreads and yield curves, to determine current value.

32 | Annual Report

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

1. ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

A. SECURITY VALUATION (CONTINUED)

time at which trading in a security is completed and the close of the NYSE that
might call into question the availability (including the reliability) of the
value of a portfolio security held by the fund. If such an event occurs, the
securities may be valued using fair value procedures, which may include the use
of independent pricing services. All security valuation procedures are approved
by the Trust's Board of Trustees.

B. FOREIGN CURRENCY TRANSLATION

C. JOINT REPURCHASE AGREEMENT

The Funds may enter into a joint repurchase agreement whereby their uninvested
cash balance is deposited into a joint cash account with other funds managed by
the investment manager or an affiliate of the investment manager and is used to
invest in one or more repurchase agreements. The value and face amount of the
joint repurchase agreement are allocated to the funds based on their pro-rata
interest. A repurchase agreement is accounted for as a loan by the Funds to the
seller, collateralized by securities which are delivered to the Funds'
custodian. The market value, including accrued interest, of the initial
collateralization is required to be at least 102% of the dollar amount invested
by the Funds, with the value of the underlying securities marked to market daily
to maintain coverage of at least 100%. The joint repurchase agreement held by
the Franklin Templeton Core Fixed Income Fund at year end had been entered into
on July 31, 2008. The joint repurchase agreement is valued at cost.

Annual Report | 33

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

1. ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

D. SECURITIES PURCHASED ON A TBA BASIS

The Funds may purchase securities on a to-be-announced (TBA) basis, with payment
and delivery scheduled for a future date. These transactions are subject to
market fluctuations and are subject to the risk that the value at delivery may
be more or less than the trade date purchase price. Although the Funds will
generally purchase these securities with the intention of holding the
securities, they may sell the securities before the settlement date. Sufficient
assets have been segregated for these securities.

E. FOREIGN CURRENCY CONTRACTS

When the Funds purchase or sell foreign securities it may enter into foreign
exchange contracts to minimize foreign exchange risk from the trade date to the
settlement date of the transactions. A foreign exchange contract is an agreement
between two parties to exchange different currencies at an agreed upon exchange
rate at a future date. Realized and unrealized gains and losses on these
contracts are included in the Statement of Operations.

The Franklin Templeton Core Plus Fixed Income Fund may also enter into forward
exchange contracts to hedge against fluctuations in foreign exchange rates or to
gain exposure to certain foreign currencies. These contracts are valued daily by
the Fund and the unrealized gains or losses on the contracts, as measured by the
difference between the contractual forward foreign exchange rates and the
forward rates at the reporting date, are included in the Statement of Assets and
Liabilities. Realized and unrealized gains and losses on these contracts are
included in the Statement of Operations.

F. CREDIT DEFAULT SWAPS

The Funds may purchase or sell credit default swap contracts to manage or gain
exposure to credit risk. Credit default swaps are agreements between two parties
whereby the buyer receives credit protection and the seller guarantees the
credit worthiness of a referenced debt obligation. The buyer pays the seller a
periodic stream of payments over the term of the contract provided that no event
of default has occurred. Such periodic payments are accrued daily and recorded
as realized gain or loss upon receipt or payment there of in the Statement of
Operations. In return, the buyer would be entitled to receive the par (or other
agreed-upon) value of a referenced debt obligation from the counterparty to the
contract in the event of a default by a third party, such as a U.S. or foreign
issuer, on the debt obligation.

34 | Annual Report

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

1. ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

F. CREDIT DEFAULT SWAPS (CONTINUED)

Credit default swaps are marked to market daily based upon quotations from the
market makers and the change in value, if any, is recorded as an unrealized
appreciation or depreciation in the Statement of Operations. Any payment
received or paid to initiate a contract is recorded as a liability or asset in
the Statement of Assets and Liabilities and amortized over the life of the
contract as a realized gain or loss. When the swap contract is terminated early,
the Funds record a realized gain or loss for any payments received or paid.

The risks of credit default swaps include unfavorable changes in interest rates,
an illiquid secondary market and the possible inability of the counterparty to
fulfill its obligations under the agreement, which may be in excess of the
amount reflected in the Statement of Assets and Liabilities. Cash and/or
securities are segregated in accounts maintained by the Funds' custodian.

G. MORTGAGE DOLLAR ROLLS

The Funds enter into mortgage dollar rolls, typically on a TBA basis. Mortgage
dollar rolls are agreements between the Funds and a financial institution to
simultaneously sell and repurchase mortgage-backed securities at a future date.
Gains or losses are realized on the initial sale, and the difference between the
repurchase price and the sale price is recorded as an unrealized gain or loss to
the Funds upon entering into the mortgage dollar roll. In addition, the Funds
may earn interest on the cash proceeds that are received from the initial sale.
During the period between the sale and repurchase, the Funds are not entitled to
principal and interest paid on the mortgage backed securities. The risks of
mortgage dollar roll transactions include the potential inability of the
counterparty to fulfill its obligations.

H. INCOME TAXES

I. SECURITY TRANSACTIONS, INVESTMENT INCOME, EXPENSES AND DISTRIBUTIONS

Annual Report | 35

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

1. ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

I. SECURITY TRANSACTIONS, INVESTMENT INCOME, EXPENSES AND DISTRIBUTIONS
(CONTINUED)

to shareholders are recorded on the ex-dividend date and are determined
according to income tax regulations (tax basis). Distributable earnings
determined on a tax basis may differ from earnings recorded in accordance with
accounting principles generally accepted in the United States of America. These
differences may be permanent or temporary. Permanent differences are
reclassified among capital accounts to reflect their tax character. These
reclassifications have no impact on net assets or the results of operations.
Temporary differences are not reclassified, as they may reverse in subsequent
periods.

J. ACCOUNTING ESTIMATES

K. REDEMPTION FEES

A short term trading redemption fee will be imposed, with some exceptions, on
any fund shares that are redeemed or exchanged within seven calendar days
following their purchase date. The redemption fee is 2% of the amount redeemed.
Such fees are retained by the Funds and accounted for as an addition to paid-in
capital. There were no redemption fees for the year. Effective September 1,
2008, the redemption fee will be eliminated.

L. GUARANTEES AND INDEMNIFICATIONS

Under the Trust's organizational documents, its officers and trustees are
indemnified by the Trust against certain liabilities arising out of the
performance of their duties to the Trust. Additionally, in the normal course of
business, the Trust, on behalf of the Funds, enters into contracts with service
providers that contain general indemnification clauses. The Trust's maximum
exposure under these arrangements is unknown as this would involve future claims
that may be made against the Trust that have not yet occurred. Currently, the
Trust expects the risk of loss to be remote.

36 | Annual Report

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

2. SHARES OF BENEFICIAL INTEREST

At July 31, 2008, there were an unlimited number of shares authorized (without
par value). Transactions in the Funds' shares were as follows:

FRANKLIN TEMPLETON CORE FRANKLIN TEMPLETON CORE
FIXED INCOME FUND PLUS FIXED INCOME FUND
------------------------- -------------------------
SHARES AMOUNT SHARES AMOUNT
---------- ------------ ---------- ------------

Year ended July 31, 2008
Shares sold ................. 677,453 $ 6,522,725 1,795,131 $ 18,345,220
Shares issued in reinvestment
of distributions ......... 15,014 142,451 139,925 1,423,756
Shares redeemed ............. (1,945,535) (18,353,491) (1,649,773) (16,987,157)
---------- ------------ ---------- ------------
Net increase (decrease) ..... (1,253,068) $(11,688,315) 285,283 $ 2,781,819
========== ============ ========== ============
Year ended July 31, 2007
Shares sold ................. 2,303,611 $ 22,473,947 1,991,039 $ 20,551,715
Shares issued in reinvestment
of distributions ......... 23,247 225,620 140,433 1,436,888
Shares redeemed ............. (1,338,466) (13,023,373) (1,627,600) (16,775,857)
---------- ------------ ---------- ------------
Net increase (decrease) ..... 988,392 $ 9,676,194 503,872 $ 5,212,746
========== ============ ========== ============

3. TRANSACTIONS WITH AFFILIATES

SUBSIDIARY AFFILIATION
- ---------- ----------------------

Fiduciary International, Inc. (Fiduciary) Investment manager
Franklin Templeton Institutional, LLC (FT Institutional) Investment manager
Franklin Templeton Services, LLC (FT Services) Administrative manager
Franklin Templeton Investor Services, LLC (Investor Services) Transfer agent

A. MANAGEMENT FEES

The Funds pay an investment management fee to Fiduciary of 0.30% per year of the
average daily net assets of each of the Funds.

Under a subadvisory agreement, FT Institutional, an affiliate of Fiduciary,
provides subadvisory services to the Funds and receives from Fiduciary fees
based on the average daily net assets of each of the Funds.

B. ADMINISTRATIVE FEES

The Funds pay an administrative fee to FT Services of 0.20% per year of the
average daily net assets of each of the Funds.

Annual Report | 37

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

3. TRANSACTIONS WITH AFFILIATES (CONTINUED)

C. TRANSFER AGENT FEES

For the year ended July 31, 2008, the Funds paid transfer agent fees as noted in
the Statements of Operations of which the following amounts were retained by
Investor Services:

FRANKLIN FRANKLIN
TEMPLETON TEMPLETON
CORE FIXED CORE PLUS FIXED
INCOME FUND INCOME FUND
----------- ---------------

Transfer agent fees ................... $41 $215

D. WAIVER AND EXPENSE REIMBURSEMENTS

FT Services and Fiduciary have agreed in advance to waive all or a portion of
their respective fees through November 30, 2008. Total expenses waived or paid
are not subject to reimbursement by the Funds subsequent to the Funds' fiscal
year end. After November 30, 2008, FT Services and Fiduciary may discontinue
this waiver at any time upon notice to the Funds' Board of Trustees.

4. EXPENSE OFFSET ARRANGEMENT

5. INCOME TAXES

For tax purposes, capital losses may be carried over to offset future capital
gains, if any. At July 31, 2008, the capital loss carryforwards were as follows:

FRANKLIN FRANKLIN
TEMPLETON TEMPLETON
CORE FIXED CORE PLUS FIXED
INCOME FUND INCOME FUND
----------- ---------------

Capital loss carryforwards expiring in:
2014 .................................. $156,633 $ 83,543
2015 .................................. 432,363 1,359,496
2016 .................................. 59,992 --
-------- ----------
$648,988 $1,443,039
======== ==========

During the year ended July 31, 2008, the Franklin Templeton Core Plus Fixed
Income Fund utilized $114,827 of capital loss carryforwards.

38 | Annual Report

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

5. INCOME TAXES (CONTINUED)

For tax purposes, realized capital losses and realized currency losses occurring
subsequent to October 31, may be deferred and treated as occurring on the first
day of the following fiscal year. At July 31, 2008, the Franklin Templeton Core
Fixed Income Fund and the Franklin Templeton Core Plus Fixed Income Fund
deferred realized capital losses of $910,932 and $1,216,620, respectively.

The tax character of distributions paid during the years ended July 31, 2008 and
2007, was as follows:

FRANKLIN TEMPLETON FRANKLIN TEMPLETON
CORE FIXED CORE PLUS FIXED
INCOME FUND INCOME FUND
----------------------- -----------------------
2008 2007 2008 2007
---------- ---------- ---------- ----------

Distributions paid from
ordinary income ............................ $1,234,277 $1,294,491 $4,846,835 $5,160,935
========== ========== ========== ==========

At July 31, 2008, the cost of investments, net unrealized appreciation
(depreciation) and undistributed ordinary income for income tax purposes were as
follows:

FRANKLIN FRANKLIN
TEMPLETON TEMPLETON
CORE FIXED CORE PLUS FIXED
INCOME FUND INCOME FUND
----------- ---------------

Cost of investments ........................... $22,091,244 $125,072,735
Unrealized appreciation ....................... $ 8,132 $ 940,323
Unrealized depreciation ....................... (967,773) (4,965,588)
----------- ------------
Net unrealized appreciation (depreciation) .... $ (959,641) $ (4,025,265)
=========== ============
Distributable earnings -
undistributed ordinary income .............. $ 199,729 $ 1,326,133
=========== ============

Net investment income differs for financial statements and tax purposes
primarily due to differing treatments of foreign currency transactions, mortgage
dollar roll, paydown losses, credit default swaps, and bond discounts.

Net realized gains (losses) differ for financial statements and tax purposes
primarily due to differing treatments of wash sales, foreign currency
transactions, mortgage dollar roll, credit default swap, paydown losses, bond
discounts and premiums.

Annual Report | 39

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

6. INVESTMENT TRANSACTIONS

Purchases and sales of investments (excluding short term securities) for the
year ended July 31, 2008, were as follows:

FRANKLIN FRANKLIN
TEMPLETON TEMPLETON
CORE FIXED CORE PLUS FIXED
INCOME FUND INCOME FUND
------------ ---------------

Purchases ... $132,556,587 $524,196,612
Sales ....... $147,249,184 $540,713,735

7. INVESTMENTS IN FRANKLIN INSTITUTIONAL FIDUCIARY TRUST MONEY MARKET PORTFOLIO

8. CREDIT DEFAULT SWAPS

At July 31, 2008, the Funds had the following credit default swap contracts
outstanding:

PERIODIC
NOTIONAL PAYMENT EXPIRATION UNREALIZED UNREALIZED
AMOUNT RATE DATE APPRECIATION DEPRECIATION
---------- -------- ---------- ------------ ------------

FRANKLIN TEMPLETON CORE FIXED INCOME FUND
CONTRACTS TO BUY PROTECTION
REFERENCED DEBT OBLIGATION (SWAP COUNTERPARTY)
Aetna Inc. (Merrill Lynch) ................... $150,000 0.62% 3/20/13 $ -- $ (624)
Centurytel Inc.
(Credit Suisse International) ............. 150,000 0.38% 9/20/12 6,666 --
Cigna Corp. (Merrill Lynch) .................. 150,000 0.70% 3/20/13 -- (810)
CONTRACTS TO SELL PROTECTION
REFERENCED DEBT OBLIGATION (SWAP COUNTERPARTY)
CMBX.NA.BBB.2 (JP Morgan) .................... 105,000 0.60% 3/15/49 -- (39,667)
UnitedHealth Group Inc. (Merrill Lynch) ...... 300,000 0.88% 3/20/13 -- (5,023)
------ --------
Unrealized appreciation (depreciation)
on credit default swaps ................ $6,666 (46,124)
------ --------
Net unrealized appreciation
(depreciation) on credit default
swaps ............................... $(39,458)
========

40 | Annual Report

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

8. CREDIT DEFAULT SWAPS (CONTINUED)

PERIODIC
NOTIONAL PAYMENT EXPIRATION UNREALIZED UNREALIZED
AMOUNT RATE DATE APPRECIATION DEPRECIATION
---------- -------- ---------- ------------ ------------

FRANKLIN TEMPLETON CORE PLUS FIXED INCOME FUND
CONTRACTS TO BUY PROTECTION
REFERENCED DEBT OBLIGATION (SWAP COUNTERPARTY)
Aetna Inc. (Merrill Lynch) ................... $1,100,000 0.62% 3/20/13 $ -- $ (4,573)
Centurytel Inc.
(Credit Suisse International) ............. 1,200,000 0.38% 9/20/12 53,328 --
Cigna Corp. (Merrill Lynch) .................. 1,100,000 0.70% 3/20/13 -- (5,938)
The Interpublic Group of Companies Inc.
(Merrill Lynch) ........................... 1,000,000 2.74% 12/20/10 6,026 --
CONTRACTS TO SELL PROTECTION
REFERENCED DEBT OBLIGATION (SWAP COUNTERPARTY)
CMBX.NA.BBB.2 (JP Morgan) .................... 605,000 0.60% 3/15/49 -- (229,059)
LCDX.NA.10 (JP Morgan) ....................... 2,000,000 3.25% 6/20/13 11,600 --
UnitedHealth Group Inc. (Merrill Lynch) ...... 2,200,000 0.88% 3/20/13 -- (36,833)
------- ---------
Unrealized appreciation (depreciation)
on credit default swaps ................ $70,954 (276,403)
------- ---------
Net unrealized appreciation
(depreciation) on credit default
swaps ............................... $(205,449)
=========

9. FORWARD EXCHANGE CONTRACTS

At July 31, 2008, the Franklin Templeton Core Plus Fixed Income Fund had the
following forward exchange contracts outstanding:

CONTRACT SETTLEMENT UNREALIZED UNREALIZED
AMOUNT(a) DATE GAIN LOSS
--------- ---------- ---------- ----------

FRANKLIN TEMPLETON CORE PLUS FIXED INCOME FUND
CONTRACTS TO BUY
76,000 Euro............................ 118,636 9/10/08 $ -- $ (390)
5,291,000 Malaysian Ringgit............... 1,628,000 9/10/08 -- (3,299)
366,584,287 Japanese Yen.................... 3,426,021 9/29/08 -- (16,443)
CONTRACTS TO SELL
2,978,000 Euro............................ 4,648,658 9/10/08 15,294 --
3,416,000 Malaysian Ringgit............... 1,051,077 9/10/08 2,130 --
254,540,000 Japanese Yen.................... 2,378,879 9/29/08 11,417 --
620,000 Euro............................ 972,780 9/30/08 9,229 --
1,100,000,000 South Korean Won................ 1,125,435 4/07/10 53,883 --
Unrealized gain (loss) on offsetting
forward exchange contracts ............. 11,041 (25,740)
-------- --------
Unrealized gain (loss) on forward
exchange contracts .................. $102,994 (45,872)
-------- --------
Net unrealized gain (loss) on
forward exchange contracts ....... $ 57,122
========

(a) In U.S. dollars unless otherwise indicated.

Annual Report | 41

Franklin Global Trust

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

10. SHAREHOLDER CONCENTRATIONS

The Franklin Templeton Core Fixed Income Fund has a concentration of
shareholders holding a significant percentage of shares outstanding. Investment
activities of these shareholders could have a material impact on the Fund. At
July 31, 2008, there were two unaffiliated shareholders, one holding 47% and the
other holding 23% of the Fund's outstanding shares.

11. NEW ACCOUNTING PRONOUNCEMENTS

In March 2008, FASB issued FASB Statement No. 161, "Disclosures about Derivative
Instruments and Hedging Activities, an amendment of FASB Statement No. 133"
(SFAS 161), which expands disclosures about derivative investments and hedging
activities. SFAS 161 is effective for fiscal years beginning after November 15,
2008, and interim periods within those fiscal years. The Funds are currently
evaluating the impact, if any, of applying the various provisions of SFAS 161.

42 | Annual Report

Franklin Global Trust

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

TO THE BOARD OF TRUSTEES AND SHAREHOLDERS OF FRANKLIN GLOBAL TRUST

In our opinion, the accompanying statements of assets and liabilities, including
the statements of investments, and the related statements of operations and of
changes in net assets and the financial highlights present fairly, in all
material respects, the financial position of Franklin Templeton Core Fixed
Income Fund and Franklin Templeton Core Plus Fixed Income Fund (separate
portfolios of Franklin Global Trust, hereafter referred to as the "Funds") at
July 31, 2008, the results of each of their operations for the year then ended,
the changes in each of their net assets for each of the two years in the period
then ended and the financial highlights for the periods presented, in conformity
with accounting principles generally accepted in the United States of America.
These financial statements and financial highlights (hereafter referred to as
"financial statements") are the responsibility of the Funds' management. Our
responsibility is to express an opinion on these financial statements based on
our audits. We conducted our audits of these financial statements in accordance
with the standards of the Public Company Accounting Oversight Board (United
States). Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements, assessing the
accounting principles used and significant estimates made by management, and
evaluating the overall financial statement presentation. We believe that our
audits, which included confirmation of securities at July 31, 2008 by
correspondence with the custodian and brokers, provide a reasonable basis for
our opinion.

PricewaterhouseCoopers LLP

San Francisco, California
September 17, 2008

Annual Report | 43

Franklin Global Trust

TAX DESIGNATION (UNAUDITED)

Under Section 854(b)(2) of the Internal Revenue Code (Code), the Funds designate
the maximum amount allowable but no less than the following amounts as qualified
dividends for purposes of the maximum rate under Section 1(h)(11) of the Code
for the fiscal year ended July 31, 2008.

FRANKLIN FRANKLIN
TEMPLETON TEMPLETON
CORE FIXED CORE PLUS FIXED
INCOME FUND INCOME FUND
- ----------- ---------------

$9,622 $46,758

Distributions, including qualified dividend income, paid during calendar year
2008 will be reported to shareholders on Form 1099-DIV in January 2009.
Shareholders are advised to check with their tax advisors for information on the
treatment of these amounts on their individual income tax returns.

44 | Annual Report

Franklin Global Trust

BOARD MEMBERS AND OFFICERS

INDEPENDENT BOARD MEMBERS

HARRIS J. ASHTON (1932) Trustee Since 2000 143 Bar-S Foods (meat packing
One Franklin Parkway company).
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Director of various companies; and FORMERLY, Director, RBC Holdings, Inc. (bank holding company) (until 2002); and President, Chief
Executive Officer and Chairman of the Board, General Host Corporation (nursery and craft centers) (until 1998).

ROBERT F. CARLSON (1928) Trustee Since 2000 122 None
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Retired; and FORMERLY, Vice President, senior member and past President, Board of Administration, California Public Employees
Retirement Systems (CALPERS) (1971 - January 2008); member and Chairman of the Board, Sutter Community Hospitals; member, Corporate
Board, Blue Shield of California; and Chief Counsel, California Department of Transportation.

SAM GINN (1937) Trustee Since 2007 122 Chevron Corporation (global
One Franklin Parkway energy company) and ICO Global
San Mateo, CA 94403-1906 Communications (Holdings) Limited
(satellite company).

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Private investor; and FORMERLY, Chairman of the Board, Vodafone AirTouch, PLC (wireless company); Chairman of the Board and Chief
Executive Officer, AirTouch Communications (cellular communications) (1993-1998) and Pacific Telesis Groups (telephone holding
company) (1988-1994).

EDITH E. HOLIDAY (1952) Trustee Since 2000 143 Hess Corporation (exploration and
One Franklin Parkway refining of oil and gas), H.J.
San Mateo, CA 94403-1906 Heinz Company (processed foods
and allied products), RTI
International Metals, Inc.
(manufacture and distribution of
titanium), Canadian National
Railway (railroad) and White
Mountains Insurance Group, Ltd.
(holding company).

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Annual Report | 45

FRANK W. T. LAHAYE (1929) Trustee Since 2000 122 Center for Creative Land
One Franklin Parkway Recycling (brownfield
San Mateo, CA 94403-1906 redevelopment).

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

General Partner, Las Olas L.P. (Asset Management); and FORMERLY, Chairman, Peregrine Venture Management Company (venture capital).

FRANK A. OLSON (1932) Trustee Since 2005 143 Hess Corporation (exploration and
One Franklin Parkway refining of oil and gas) and
San Mateo, CA 94403-1906 Sentient Jet (private jet
service).

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Chairman Emeritus, The Hertz Corporation (car rental) (since 2000) (Chairman of the Board (1980-2000) and Chief Executive Officer
(1977-1999)); and FORMERLY, Chairman of the Board, President and Chief Executive Officer, UAL Corporation (airlines).

LARRY D. THOMPSON (1945) Trustee Since 2007 143 None
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Senior Vice President - Government Affairs, General Counsel and Secretary, PepsiCo, Inc. (consumer products); and FORMERLY,
Director, Delta Airlines (aviation) (2003-2005) and Providian Financial Corp. (credit card provider) (1997-2001); Senior Fellow of
The Brookings Institution (2003-2004); Visiting Professor, University of Georgia School of Law (2004); and Deputy Attorney General,
U.S. Department of Justice (2001-2003).

JOHN B. WILSON (1959) Lead Trustee since 122 None
One Franklin Parkway Independent 2006 and Lead
San Mateo, CA 94403-1906 Trustee Independent
Trustee since
January 2008

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

INTERESTED BOARD MEMBERS AND OFFICERS

**CHARLES B. JOHNSON (1933) Trustee and Since 2000 143 None
One Franklin Parkway Chairman of
San Mateo, CA 94403-1906 the Board

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

46 | Annual Report

**GREGORY E. JOHNSON (1961) Trustee Since 2007 94 None
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Director, President and Chief Executive Officer, Franklin Resources, Inc.; President, Templeton Worldwide, Inc.; Director, Templeton
Asset Management Ltd.; and officer and/or director or trustee, as the case may be, of some of the other subsidiaries of Franklin
Resources, Inc. and of 33 of the investment companies in Franklin Templeton Investments.

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Director, Global Compliance, Franklin Resources, Inc.; officer of some of the other subsidiaries of Franklin Resources, Inc. and of
46 of the investment companies in Franklin Templeton Investments; and FORMERLY, Director of Compliance, Franklin Resources, Inc.
(1994-2001).

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Vice President, Franklin Templeton Services, LLC; officer of 46 of the investment companies in Franklin Templeton Investments; and
FORMERLY, Director and member of Audit and Valuation Committees, Runkel Funds, Inc. (2003-2004); Assistant Treasurer of most of the
investment companies in Franklin Templeton Investments (1997-2003); and Vice President, Franklin Templeton Services, LLC
(1997-2003).

JIMMY D. GAMBILL (1947) Vice President Since February Not Applicable Not Applicable
500 East Broward Blvd. 2008
Suite 2100
Fort Lauderdale, FL 33394-3091

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Annual Report | 47

DAVID P. GOSS (1947) Vice President Since 2000 Not Applicable Not Applicable
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Senior Associate General Counsel, Franklin Templeton Investments; officer and director of one of the subsidiaries of Franklin
Resources, Inc.; and officer of 46 of the investment companies in Franklin Templeton Investments.

EDWARD B. JAMIESON (1948) Vice President Since 2000 Not Applicable Not Applicable
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

President, Chief Investment Officer and Director, Franklin Advisers, Inc.; Executive Vice President, Franklin Templeton
Institutional, LLC; officer and/or trustee, as the case may be, of some of the other subsidiaries of Franklin Resources, Inc. and of
four of the investment companies in Franklin Templeton Investments.

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Vice Chairman, Member - Office of the Chairman and Director, Franklin Resources, Inc.; Director, Franklin Advisers, Inc. and
Templeton Worldwide, Inc.; Senior Vice President, Franklin Advisory Services, LLC; and officer and/or director or trustee, as the
case may be, of some of the other subsidiaries of Franklin Resources, Inc. and of 44 of the investment companies in Franklin
Templeton Investments.

CHRISTOPHER J. MOLUMPHY (1962) Vice President Since 2000 Not Applicable Not Applicable
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Director and Executive Vice President, Franklin Adviser, Inc.; and officer of some of the other subsidiaries of Franklin Resources,
Inc. and of six of the investment companies in Franklin Templeton Investments.

KAREN L. SKIDMORE (1952) Vice President Since 2006 Not Applicable Not Applicable
One Franklin Parkway and Secretary
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Senior Associate General Counsel, Franklin Templeton Investments; and officer of
30 of the investment companies in Franklin Templeton Investments.

48 | Annual Report

CRAIG S. TYLE (1960) Vice President Since 2005 Not Applicable Not Applicable
One Franklin Parkway
San Mateo, CA 94403-1906

PRINCIPAL OCCUPATION DURING PAST 5 YEARS:

Note 1: Charles B. Johnson and Rupert H. Johnson, Jr. are brothers and the
father and uncle, respectively, of Gregory E. Johnson.

Note 2: Officer information is current as of the date of this report. It is
possible that after this date, information about officers may change.

Annual Report | 49

Franklin Global Trust

SHAREHOLDER INFORMATION

BOARD REVIEW OF INVESTMENT MANAGEMENT AGREEMENT

At a meeting held February 25, 2008, the Board of Trustees (Board), including a
majority of non-interested or independent Trustees, approved renewal of the
investment management agreements for each of the separate funds within Franklin
Global Trust (Funds). In reaching this decision, the Board took into account
information furnished throughout the year at regular Board meetings, as well as
information prepared specifically in connection with the annual renewal review
process. Information furnished and discussed throughout the year included
investment performance reports and related financial information for each Fund,
as well as periodic reports on shareholder services, legal, compliance, pricing,
brokerage commissions and execution and other services provided by the
Investment Manager (Manager) and its affiliates. Information furnished
specifically in connection with the renewal process included a report for each
Fund prepared by Lipper, Inc. (Lipper), an independent organization, as well as
a Fund profitability analysis report prepared by management. The Lipper report
compared a Fund's investment performance and expenses with those of other mutual
funds deemed comparable to the Fund as selected by Lipper. The Fund
profitability analysis report discussed the profitability to Franklin Templeton
Investments from its overall U.S. fund operations, as well as on an individual
fund-by-fund basis. Included with such profitability analysis report was
information on a fund-by-fund basis listing portfolio managers and other
accounts they manage, as well as information on management fees charged by the
Manager and its affiliates including management's explanation of differences
where relevant and a three-year expense analysis with an explanation for any
increase in expense ratios. Additional material accompanying such report was a
memorandum prepared by management describing project initiatives and capital
investments relating to the services provided to the Funds by the Franklin
Templeton Investments organization, as well as a memorandum relating to
economies of scale and a comparative analysis concerning transfer agent fees
charged each Fund.

In considering such materials, the independent Trustees received assistance and
advice from and met separately with independent counsel. While the investment
management agreements for all Funds were considered at the same Board meeting,
the Board dealt with each Fund separately. In approving continuance of the
investment management agreement for each Fund, the Board, including a majority
of independent Trustees, determined that the existing management fee structure
was fair and reasonable and that continuance of the investment management
agreement was in the best interests of each Fund and its shareholders. While
attention was given to all information furnished, the following discusses some
primary factors relevant to the Board's decision.

50 | Annual Report

Franklin Global Trust

SHAREHOLDER INFORMATION (CONTINUED)

BOARD REVIEW OF INVESTMENT MANAGEMENT AGREEMENT (CONTINUED)

the adherence to fair value pricing procedures established by the Board, and the
accuracy of net asset value calculations. The Board also noted the extent of
benefits provided Fund shareholders from being part of the Franklin Templeton
family of funds, including the right to exchange investments between the same
class of funds without a sales charge, the ability to reinvest Fund dividends
into other funds and the right to combine holdings in other funds to obtain a
reduced sales charge. Favorable consideration was given to management's
continuous efforts and expenditures in establishing back-up systems and recovery
procedures to function in the event of a natural disaster, it being noted that
such systems and procedures had functioned smoothly during the Florida
hurricanes and blackouts experienced in recent years. Consideration was also
given to the experience of each Fund's portfolio management team, the number of
accounts managed and general method of compensation. In this latter respect, the
Board noted that a primary factor in management's determination of a portfolio
manager's bonus compensation was the relative investment performance of the
funds he or she managed and that a portion of such bonus was required to be
invested in a predesignated list of funds within such person's fund management
area so as to be aligned with the interests of Fund shareholders. The Board also
took into account the quality of transfer agent and shareholder services
provided Fund shareholders by an affiliate of the Manager, noting continuing
expenditures by management to increase and improve the scope of such services,
periodic favorable reports on such service conducted by third parties, the high
industry ranking given to the Franklin Templeton website, and the firsthand
experience of individual Board members who deal with the shareholder services
department in their capacities as shareholders in one or more of the various
Franklin Templeton funds.

INVESTMENT PERFORMANCE. The Board placed significant emphasis on the investment
performance of each Fund in view of its importance to shareholders. While
consideration was given to performance reports and discussions with portfolio
managers at Board meetings throughout the year, particular attention in
assessing performance was given to the Lipper reports furnished for the
agreement renewals. The Lipper reports prepared for each individual Fund showed
the investment performance of the Fund in comparison to a performance universe
selected by Lipper. Comparative performance for each Fund was shown for the
one-year period ended December 31, 2007, and for additional periods ended that
date depending on when a particular Fund commenced operations. Investment
performance was shown on a total return basis for each Fund and on an income
return basis as well. The following summarizes the performance results for each
of the Funds and the Board's view of such performance.

FRANKLIN TEMPLETON CORE FIXED INCOME FUND - The performance universe for this
Fund consisted of the Fund and all retail and institutional BBB-rated corporate
debt funds as selected by Lipper. This Fund has been in operation for only four
full years. The Lipper report showed the Fund's income return to be in the
second-lowest quintile of such performance universe for the one-year period and
on an annualized basis to be in the second-highest quintile of such universe
during its

Annual Report | 51

Franklin Global Trust

SHAREHOLDER INFORMATION (CONTINUED)

BOARD REVIEW OF INVESTMENT MANAGEMENT AGREEMENT (CONTINUED)

four-year period of existence. The Lipper report showed the Fund's total return
to be in the second-lowest quintile of such performance universe for both the
one-year period and on an annualized basis for the four years of its existence.
The Board reviewed steps being taken to improve performance and taking into
account the Fund's limited period of operations and small size did not believe
any change in portfolio management was warranted.

FRANKLIN TEMPLETON CORE PLUS FIXED FUND INCOME FUND - The performance universe
for this Fund consisted of the Fund and all retail and institutional BBB-rated
corporate debt funds as selected by Lipper. This Fund has been in operation for
only four full years. The Lipper report showed the Fund's income return for the
one-year period to be in the lowest quintile of such performance universe and on
an annualized basis to be in the second-lowest quintile of such universe for the
four-year period of its existence. The Lipper report showed the Fund's total
return to be in the second-highest quintile of such performance universe for
the one-year period as well as on an annualized basis for the four-year period
of its existence. The Board found such performance to be acceptable.

COMPARATIVE EXPENSES. Consideration was given to the management fee and total
expense ratios of each Fund compared with those of a group of funds selected by
Lipper as its appropriate Lipper expense group. Prior to making such
comparisons, the Board relied upon a survey showing that the scope of management
advisory services covered under a Fund's investment management agreement was
similar to those provided by fund managers to other mutual fund groups. In
reviewing comparative costs, emphasis was given to each Fund's management fee in
comparison with the contractual investment management fee that would have been
charged by other funds within its Lipper expense group assuming they were
similar in size to the Fund, as well as the actual total expenses of the Fund in
comparison with those of its Lipper expense group. The Lipper contractual
investment management fee analysis includes the advisory and administrative fees
directly charged to each Fund as being part of the management fee. The
contractual investment management fee rates were below their Lipper expense
group medians and actual total expenses were in the least expensive quintiles of
their respective Lipper expense groups in the case of Franklin Templeton Core
Fixed Income Fund and Franklin Templeton Core Plus Fixed Income Fund. The Board
was satisfied with these comparative expenses noting that the Funds benefited
from fee waivers or reimbursements.

52 | Annual Report

Franklin Global Trust

SHAREHOLDER INFORMATION (CONTINUED)

BOARD REVIEW OF INVESTMENT MANAGEMENT AGREEMENT (CONTINUED)

cost accounting, the allocation methodology was consistent with that followed in
profitability report presentations for the Funds made in prior years and that
the Funds' independent registered public accounting firm had been engaged by the
Manager to perform certain procedures on a biennial basis, specified and
approved by the Manager and the Funds' Board solely for their purposes and use
in reference to the profitability analysis. In reviewing and discussing such
analysis, management discussed with the Board its belief that costs incurred in
establishing the infrastructure necessary for the type of mutual fund operations
conducted by the Manager and its affiliates may not be fully reflected in the
expenses allocated to each Fund in determining its profitability, as well as the
fact that the level of profits, to a certain extent, reflected operational cost
savings and efficiencies initiated by management. The Board also took into
account management's expenditures in improving shareholder services provided the
Funds, as well as the need to meet additional regulatory and compliance
requirements resulting from the Sarbanes-Oxley Act and recent SEC and other
regulatory requirements. In addition, the Board considered a third-party study
comparing the profitability of the Manager's parent on an overall basis as
compared to other publicly held managers broken down to show profitability from
management operations exclusive of distribution expenses, as well as
profitability including distribution expenses. The Board also considered the
extent to which the Manager and its affiliates might derive ancillary benefits
from fund operations, including potential benefits resulting from allocation of
fund brokerage and the use of "soft" commission dollars to pay for research.
Based upon its consideration of all these factors, the Board determined that the
level of profits realized by the Manager and its affiliates from providing
services to each Fund was not excessive in view of the nature, quality and
extent of services provided.

ECONOMIES OF SCALE. The Board also considered whether economies of scale are
realized by the Manager as the Fund grows larger and the extent to which this is
reflected in the level of management fees charged. While recognizing that any
precise determination is inherently subjective, the Board noted that based upon
the Fund profitability analysis, it appears that as some funds get larger, at
some point economies of scale do result in the Manager realizing a larger profit
margin on management services provided such a fund. The Board believed that no
economies of scale existed in the management of Franklin Templeton Core Fixed
Income Fund with less than $100 million in net assets at December 31, 2007, and
which had a fee waiver or expense reimbursement. Franklin Templeton Core Plus
Fixed Income Fund had assets at such date of approximately $120 million. The
Fund also received fee waivers or expense reimbursements from management and
while intending to monitor future growth, the Board believed it unlikely that
economies of scale for the management of this Fund presently exists.

Annual Report | 53

Franklin Global Trust

SHAREHOLDER INFORMATION (CONTINUED)

PROXY VOTING POLICIES AND PROCEDURES

QUARTERLY STATEMENT OF INVESTMENTS

54 | Annual Report

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(FRANKLIN TEMPLETON INSTITUTIONAL(R) LOGO)

600 Fifth Avenue
New York, NY 10020

ANNUAL REPORT
FRANKLIN GLOBAL TRUST
Franklin Templeton Core Fixed Income Fund
Franklin Templeton Core Plus Fixed Income Fund

INVESTMENT MANAGER
Fiduciary International, Inc.

DISTRIBUTOR
Franklin Templeton Distributors, Inc.
One Franklin Parkway
San Mateo, CA 94403-1906

FRANKLIN TEMPLETON INSTITUTIONAL SERVICES
1-800/321-8563
ftinstitutional.com

FGT2 A2008 09/08

ITEM 2. CODE OF ETHICS.

(a) The Registrant has adopted a code of ethics that applies to its principal
executive officers and principal financial and accounting officer.

(d) N/A

(f) Pursuant to Item 12(a)(1), the Registrant is attaching as an exhibit a copy
of its code of ethics that applies to its principal executive officers and
principal financial and accounting officer.

ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT.

(a)(1) The Registrant has an audit committee financial expert serving on its
audit committee.

(2) The audit committee financial expert is John B. Wilson and he is

"independent" as defined under the relevant Securities and Exchange Commission
Rules and Releases.

ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES.

(a) Audit Fees

The aggregate fees paid to the principal accountant for professional services
rendered by the principal accountant for the audit of the registrant's annual
financial statements or for services that are normally provided by the principal
accountant in connection with statutory and regulatory filings or engagements
were $241,889 for the fiscal year ended July 31, 2008 and $192,433 for the
fiscal year ended July 31, 2007.

(b) Audit-Related Fees

There were no fees paid to the principal accountant for assurance and related
services rendered by the principal accountant to the registrant that are
reasonably related to the performance of the audit of the registrant's financial
statements and are not reported under paragraph (a) of Item 4.

There were no fees paid to the principal accountant for assurance and related
services rendered by the principal accountant to the registrant's investment
adviser and any entity controlling, controlled by or under common control with
the investment adviser that provides ongoing services to the registrant that are
reasonably related to the performance of the audit of their financial
statements.

There were no fees paid to the principal accountant for professional services
rendered by the principal accountant to the registrant for tax compliance, tax
advice and tax planning.

The aggregate fees paid to the principal accountant for professional services
rendered by the principal accountant to the registrant's investment adviser and
any entity controlling, controlled by or under common control with the
investment adviser that provides ongoing services to the registrant for tax
compliance, tax advice and tax planning were $0 for the fiscal year ended July
31, 2008 and $46,000 for the fiscal year ended July 31, 2007. The services for
which these fees were paid included tax compliance and advice.

(d) All Other Fees

The aggregate fees paid to the principal accountant for products and services
rendered by the principal accountant to the registrant not reported in
paragraphs (a)-(c) of Item 4 were $351 for the fiscal year ended July 31, 2008
and $0 for the fiscal year ended July 31, 2007. The services for which these
fees were paid include review of materials provided to the fund Board in
connection with the investment management contract renewal process.

The aggregate fees paid to the principal accountant for products and services
rendered by the principal accountant to the registrant's investment adviser and
any entity controlling, controlled by or under common control with the
investment adviser that provides ongoing services to the registrant other than
services reported in paragraphs (a)-(c) of Item 4 were $283,726 for the fiscal
year ended July 31, 2008 and $0 for the fiscal year ended July 31, 2007. The
services for which these fees were paid include review of materials provided to
the fund Board in connection with the investment management contract renewal
process.

(e) (1) The registrant's audit committee is directly responsible for approving
the services to be provided by the auditors, including:

(i) pre-approval of all audit and audit related services;

(ii) pre-approval of all non-audit related services to be provided to
the Fund by the auditors;

(iii) pre-approval of all non-audit related services to be provided to
the registrant by the auditors to the registrant's investment adviser or to any
entity that controls, is controlled by or is under common control with the
registrant's investment adviser and that provides ongoing services to the
registrant where the non-audit services relate directly to the operations or
financial reporting of the registrant; and

(iv) establishment by the audit committee, if deemed necessary or
appropriate, as an alternative to committee pre-approval of services to be
provided by the auditors, as required by paragraphs (ii) and (iii) above, of
policies and procedures to permit such services to be pre-approved by other
means, such as through establishment of guidelines or by action of a designated
member or members of the committee; provided the policies and procedures are
detailed as to the particular service and the committee is informed of each
service and such policies and procedures do not include delegation of audit
committee responsibilities, as contemplated under the Securities Exchange Act of
1934, to management; subject, in the case of (ii) through (iv), to any waivers,
exceptions or exemptions that may be available under applicable law or rules.

(e) (2) None of the services provided to the registrant described in paragraphs
(b)-(d) of Item 4 were approved by the audit committee pursuant to paragraph
(c)(7)(i)(C) of Rule 2-01 of regulation S-X.

(f) No disclosures are required by this Item 4(f).

(g) The aggregate non-audit fees paid to the principal accountant for services
rendered by the principal accountant to the registrant and the registrant's
investment adviser and any entity controlling, controlled by or under common
control with the investment adviser that provides ongoing services to the
registrant were $284,077 for the fiscal year ended July 31, 2008 and $46,000 for
the fiscal year ended July 31, 2007.

(h) The registrant's audit committee of the board has considered whether the
provision of non-audit services that were rendered to the registrant's
investment adviser (not including any sub-adviser whose role is primarily
portfolio management and is subcontracted with or overseen by another investment
adviser), and any entity controlling, controlled by, or under common control
with the investment adviser that provides ongoing services to the registrant
that were not pre-approved pursuant to paragraph (c)(7)(ii) of Rule 2-01 of
Regulation S-X is compatible with maintaining the principal accountant's
independence.

ITEM 5. AUDIT COMMITTEE OF LISTED REGISTRANTS. N/A

ITEM 6. SCHEDULE OF INVESTMENTS. N/A

ITEM 7. DISCLOSURE OF PROXY VOTING POLICIES AND PROCEDURES FOR CLOSED-END
MANAGEMENT INVESTMENT COMPANIES. N/A

ITEM 8. PORTFOLIO MANAGERS OF CLOSED-END MANAGEMENT INVESTMENT COMPANIES. N/A

ITEM 9. PURCHASES OF EQUITY SECURITIES BY CLOSED-END MANAGEMENT INVESTMENT
COMPANY AND AFFILIATED PURCHASDES. N/A

ITEM 10. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS.

There have been no changes to the procedures by which shareholders may recommend
nominees to the Registrant's Board of Trustees that would require disclosure
herein.

ITEM 11. CONTROLS AND PROCEDURES. (A) EVALUATION OF DISCLOSURE CONTROLS AND
PROCEDURES.

The Registrant maintains disclosure controls and procedures that are designed to
ensure that information required to be disclosed in the Registrant's filings
under the Securities Exchange Act of 1934 and the Investment Company Act of 1940
is recorded, processed, summarized and reported within the periods specified in
the rules and forms of the Securities and Exchange Commission. Such information
is accumulated and communicated to the Registrant's management, including its
principal executive officer and principal financial officer, as appropriate, to
allow timely decisions regarding required disclosure. The Registrant's
management, including the principal executive officer and the principal
financial officer, recognizes that any set of controls and procedures, no matter
how well designed and operated, can provide only reasonable assurance of
achieving the desired control objectives.

Within 90 days prior to the filing date of this Shareholder Report on Form
N-CSR, the Registrant had carried out an evaluation, under the supervision and
with the participation of the Registrant's management, including the
Registrant's principal executive officer and the Registrant's principal
financial officer, of the effectiveness of the design and operation of the
Registrant's disclosure controls and procedures. Based on such evaluation, the
Registrant's principal executive officer and principal financial officer
concluded that the Registrant's disclosure controls and procedures are
effective.

(b) CHANGES IN INTERNAL CONTROLS. There have been no significant changes in the
Registrant's internal controls or in other factors that could significantly
affect the internal controls subsequent to the date of their evaluation in
connection with the preparation of this Shareholder Report on Form N-CSR.

ITEM 12. EXHIBITS.

(a) (1) Code of Ethics

(a) (2) Certifications pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
of Galen G. Vetter, Chief Executive Officer - Finance and Administration, and
Laura F. Fergerson, Chief Financial Officer and Chief Accounting Officer

(b) Certifications pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 of
Galen G. Vetter, Chief Executive Officer - Finance and Administration, and Laura
F. Fergerson, Chief Financial Officer and Chief Accounting Officer

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934 and the
Investment Company Act of 1940, the registrant has duly caused this report to be
signed on its behalf by the undersigned, thereunto duly authorized.

FRANKLIN GLOBAL TRUST

By /s/GALEN G. VETTER
---------------------------------
Galen G. Vetter
Chief Executive Officer - Finance and Administration
Date September 26, 2008

Pursuant to the requirements of the Securities Exchange Act of 1934 and the
Investment Company Act of 1940, this report has been signed below by the
following persons on behalf of the registrant and in the capacities and on the
dates indicated.

By /s/GALEN G. VETTER
---------------------------------
Galen G. Vetter
Chief Executive Officer - Finance and Administration
Date September 26, 2008

By /s/LAURA F. FERGERSON
---------------------------------
Laura F. Fergerson
Chief Financial Officer and Chief Accounting Officer
Date September 26, 2008