ETF Evaluator: Franklin FTSE Latin America ETF () Follow This ETF

Franklin FTSE Latin America ETF Overview

Franklin FTSE Latin America ETF (FLLA) is a passively managed International Equity Focused Region exchange-traded fund (ETF). Franklin Templeton Investments launched the ETF in 2018.

The investment seeks to provide investment results that closely correspond, before fees and expenses, to the performance of the FTSE Latin America RIC Capped Index. Under normal market conditions, the fund invests at least 80% of its assets in the component securities of the index and in depositary receipts representing such securities. The index is based on the FTSE Latin America Index and is designed to measure the performance of Latin American large- and mid-capitalization stocks. The fund will concentrate its investments in a particular industry or group of industries to approximately the same extent that the index is concentrated.

About Franklin FTSE Latin America ETF (FLLA)

There are 4 members of the management team with an average tenure of 5.62 years: Hailey Harris (2019), Dina Ting (2018), Basit Amin (2022) and Joe Diederich (2022). Management tenure is more important for actively managed ETFs than passive index ETFs.

The ETF has 2 primary benchmarks: FTSE Latin America NR USD index with a weighting of 100% and FTSE Latin America RIC Capped NR USD index with a weighting of 100%. Franklin FTSE Latin America ETF has 138 securities in its portfolio. The top 10 holdings constitute 38.8% of the ETF’s assets. The ETF meets the SEC requirement of being classified as a diversified fund. The ETF is not considered to have an ESG focus with its investment selection and management.

Franklin FTSE Latin America ETF is part of the Equity global asset class and is within the International Equity ETF group. Franklin FTSE Latin America ETF has 99.1% of its portfolio invested in foreign issues. The overall assets allocated to domestic stock is 0.0% There is 99.1% allocated to foreign stock, and 0.5% is allocated to preferred stocks. The bond allocation as a percentage of total assets is 0.0% (0.0% domestic bond, 0.0% foreign bond and 0.0% convertible bond). Franklin FTSE Latin America ETF has 0.3% of the portfolio in cash.

Assets Under Management

The fund has $110 million in total assets, which is below the $1 billion average for the Focused Region category. Normally, lower assets under management translates to higher average expense ratios, and greater total assets are desired. However, for some investment categories, such as small-cap investing, it may be difficult for the manager to fully employ the desired active strategy if assets grow too large or too quickly.

FLLA Performance and Fees

The expense ratio measures how much of a fund’s assets are used for administrative expenses and operating expenses, including adviser fees and fees for the transfer agent and custodial services. The Franklin FTSE Latin America ETF expense ratio is low compared to funds in the Focused Region category. Franklin FTSE Latin America ETF has an expense ratio of 0.19%, which is 63% lower than its category average, making the fund expense ratio grade a A. While it is difficult to predict returns, it is known that high annual expense ratios reduce your rate of return, and excessive fees are difficult to overcome. Active management normally comes with higher expense ratios than passive index management. Certain investment categories such as small company and foreign also normally have higher expense ratios. It is best to compare fund expense ratios against the category averages for meaningful assessments.

High portfolio turnover can translate to higher expenses and lower aftertax returns. Franklin FTSE Latin America ETF has a portfolio turnover rate of 12%, which indicates that it holds its assets around / 0.1 years. By way of comparison, the average portfolio turnover is 26% for the Focused Region category.

Recently, in the month of July 2026, Franklin FTSE Latin America ETF returned 4.7%, which earned it a grade of B, as the Focused Region category had an average return of 1.8%. The letter grades of A, B, C, D and F are based upon relative rankings within the investment category. A grade of A, for example, would indicate that the return is in the highest 20% for that time period compared to all ETFs in that category.

Franklin FTSE Latin America ETF has a trailing yield of 4.70%, which is below the 5.57% category average. The fund normally distributes its income semi-annually.

It’s natural to seek the best-performing investments, but you must consider the relationship between risk and return and the impact of costs and taxes on your realized returns.

Franklin FTSE Latin America ETF Grades

Year to date, the ETF has returned 16.7%, 6.1 percentage points better than the category, which translates into a grade of B. The fund has returned 41.8% over the past year (grade of A), 11.2% over the past three years (grade of D) and 10.0% per year over the past five years (grade of B).

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