SUPPLEMENT TO THE PROSPECTUS DATED JANUARY 1, 1997
FRANKLIN TEMPLETON INTERNATIONAL CURRENCY FUNDS
Franklin Templeton Global Currency Fund
Franklin Templeton Hard Currency Fund
Franklin Templeton High Income Currency Fund
dated March 1, 1996 as amended October 1, 1996
I. As of January 1, 1997 the Hard Currency Fund began offering a new class of
shares, designated "Advisor Class." All Fund shares outstanding before the
offering of Advisor Class shares have been designated as Class I shares, and
will retain their previous rights and privileges. This Prospectus describes
Class I shares.
Class I and Advisor Class shares differ as to sales charges, expenses and
services. Different fees and expenses will affect performance. Advisor Class
shares are described in a separate prospectus relating only to that class. For
more information concerning Advisor Class shares of the Fund, contact your
investment representative or Distributors. Additional series and classes of
shares may be offered in the future.
Shares of each class represent proportionate interests in the assets of the Fund
and have the same voting and other rights and preferences as the other class of
the Fund on matters that affect the Fund as a whole. For matters that only
affect one class, however, only shareholders of that class may vote. Each class
will vote separately on matters (1) affecting only that class, (2) expressly
required to be voted on separately by state law or (3) required to be voted on
separately by the 1940 Act.
II. The discussion under "How Do I Buy Shares? - Cumulative Quantity Discounts."
is amended by replacing it with the following text:
To determine if you may pay a reduced sales charge, the amount of your current
purchase is added to the cost or current value, whichever is higher, of your
shares in other Franklin Templeton Funds, as well as those of your spouse,
children under the age of 21 and grandchildren under the age of 21. If you are
the sole owner of a company, you may also add any company accounts, including
retirement plan accounts. Companies with one or more retirement plans may add
together the total plan assets invested in the Franklin Templeton Funds to
determine the sales charge that applies.
III. The discussion under "How Do I Buy Shares? - Sales Charge Waivers." is
amended by adding the following new item as the last item in the list of waiver
categories:
17. Investors exchanging Advisor Class shares from any of the Franklin
Templeton Funds or, beginning on or about May 1, 1997, Class Z shares of Mutual
Series
IV. The discussion under "May I Exchange Shares for Shares of Another Fund?
Exchange Restrictions" is amended by replacing the first restriction with the
following text:
You may only exchange shares within the same class.*
*Because the Global Currency and High Income Currency Funds do not offer
Advisor Class shares, Advisor Class shares of any Franklin Templeton Fund may
be exchanged for shares of the Funds at Net Asset Value. Beginning on or about
May 1, 1997, Class Z shares of Mutual Series may also be exchanged into shares
of the Funds.
January 1, 1997
