Franklin U.S. Large Cap Multifactor Index ETF

The fund is a multi-factor approach to the US equity market. The fund`s index starts with the Russell 1000 universe, an expansive definition of the large-cap space that includes many firms we consider midcaps. Then it scores each stock on four fundamental and technical factors: quality (50% weight), value (30%), momentum (10%), and low volatility (10%). Finally, the index selects stocks with the highest four-factor composite scores. Holdings are weighted by the composite score, scaled by market cap. FLUS may appeal to investors seeking diversified core US exposure with comprehensive factor tilts. The index undergoes semi-annual rebalance and reconstitution with issuer weights capped at 1% each.