The following is a summary of the Franklin Resources, Inc. (BEN) Q1 2024 Earnings Call Transcript:

Financial Performance:

Franklin Resources reported an effective fee rate of 39.7 basis points, higher than the expected 39 basis points, due to Lexington catch-up fees.
Total compensation and benefits, including Putnam, are expected to be around $815 million for the second fiscal quarter.
Fiscal year 2024 is forecast to see a 1-2% increase from 2023, excluding Putnam.
With Putnam included, but excluding performance fees, the total adjusted operating expenses for FY 2024 are expected to be around $4.55 billion to $4.6 billion.
The firm expects to save between $85 million to $100 million on expenses by end of fiscal 2024 and at least $150 million by end of 2025.
Q1 2024 saw a 6% increase in Assets Under Management (AUM), reaching $1.46 trillion.

Business Progress:

Franklin Resources closed on the acquisition of Putnam on January 1, aiming to realize expense savings of at least $150 million by the end of 2025.
A focus on organic growth and internal projects is indicated, with potential partnership on their investment technology platform in the pipeline.
The company is investing in artificial intelligence and data to maintain competitiveness.
Expansion efforts are underway in the wealth management sector, especially in non-US markets.
Partnerships for co-creating products and ventures into artificial intelligence investment are among their strategies.
The Putnam acquisition has boosted their capabilities like stable value funds and improved their retirement and insurance channels.
The firm is bullish about its ETFs strategy; acquisition of Canvas is expected to foster growth in this sector.
Non-US regions continue to show positive net inflows of investments.