As of June 30, 2011

INVESTMENT STYLE

The fund manager seeks long termcapital appreciation by focusing oncompanies that operate in the spacewhere India has a strong competitiveadvantage, companies that are globallycompetitive and those that are grosslyundervalued or have high growthpotential

TYPE OF SCHEME / INVESTMENT OBJECTIVE

An open-end diversified growthscheme, with an objective to generatecapital appreciation by capitalizing onlong - term growth opportunities in theIndian economy.

DATE OF ALLOTMENT

February 21, 2000

FUND MANAGER

Chakri Lokapriya & Anil Prabhudas

LATEST NAV

Growth Plan ` 31.2132Dividend Plan ` 14.0979

FUND SIZE

` 390.74 crores

TURNOVER

Portfolio Turnover 265.72%

VOLATILITY MEASURES (3 YEARS)

Standard Deviation 8.18R-squared 0.93Beta 0.83Sharpe Ratio* 0.04* Annualised. Risk-free rate assumed to be7.68% (based on average of 3 month T-Bill

Rate "during last 3 months")

EXPENSE RATIO

2.31%

MINIMUM INVESTMENT/MULTIPLES FOR NEW INVESTORS

` 5000/1

ADDITIONAL INVESTMENT/MULTIPLES FOREXISTING INVESTORS

` 1000/1

LOAD STRUCTURE

Entry Load: Nil Exit Load: In respect of each purchase

of Units - 1% if the Unitsare redeemed/switched-outwithin one year of allotment

Franklin India Opportunities Fund FIOF

Sector Allocation - Total Assets `10000 invested at Inception in FIOF & BSE 200#

PORTFOLIO

Company Name No. of Market Value % ofshares ` Lakhs Assets

Company Name No. of Market Value % ofshares ` Lakhs Assets

AutoHero Honda 43317 813.38 2.08Mahindra & Mahindra 53065 372.14 0.95Tata Motors 36289 360.53 0.92Bajaj Auto 20030 281.60 0.72BanksICICI Bank * 348778 3812.49 9.76HDFC Bank * 60580 1516.08 3.88Axis Bank * 78210 1008.13 2.58Bank of Baroda 72861 635.28 1.63Kotak Mahindra Bank 111736 536.56 1.37Union Bank of India 121549 355.90 0.91Indus Ind Bank 118207 321.70 0.82SBI 6397 153.91 0.39CementGrasim 16181 338.75 0.87Ambuja Cements 193907 258.09 0.66ChemicalsPidilite 313392 517.57 1.32Godrej Industries 121904 251.55 0.64Construction ProjectL&T * 72992 1330.39 3.40Consumer DurablesHavell's India Limited 4665 17.93 0.05Consumer Non DurablesITC * 904117 1830.38 4.68Godrej Consumer Products 165905 713.81 1.83United Spirits 56025 548.65 1.40Titan 221980 477.26 1.22Mcleod Russel India 147559 397.16 1.02Asian Paints 5462 173.72 0.44Marico 24422 38.04 0.10Tata Tea 14200 13.71 0.04DiversifiedHindustan Unilever 104367 357.72 0.92Ferrous MetalsTata Steel 140292 853.96 2.19FinanceHDFC * 214665 1510.92 3.87GasPetronet LNG 331466 449.63 1.15Gujarat State Petronet 362200 322.18 0.82GAIL 26082 115.09 0.29HardwareRedington India 259413 223.87 0.57HotelsIndian Hotels Company 357818 276.95 0.71

Industrial Capital GoodsBHEL 20848 426.66 1.09Crompton Greaves 149735 388.11 0.99Industrial ProductsSintex Industries 148566 268.38 0.69Cummins 29757 201.20 0.51Media & EntertainmentZee Entertainment Enterprises 724051 978.55 2.50Dish TV India 703044 616.92 1.58Minerals/MiningCoal India 81841 321.14 0.82Non - Ferrous MetalsHindalco 272170 492.63 1.26Hindustan Zinc 103202 140.61 0.36Petroleum ProductsReliance Industries * 289985 2602.91 6.66PharmaceuticalsCadila Healthcare 82778 760.98 1.95Dr. Reddy's 39385 603.93 1.55Cipla 144960 478.88 1.23Sun Pharmaceutical 65539 325.60 0.83Torrent Pharmaceuticals 21515 136.68 0.35PowerNTPC 302100 564.47 1.44Power Grid Corporation of India 478521 523.02 1.34National Hydroelectric Power 964955 231.59 0.59SoftwareInfosys * 58031 1687.19 4.32TCS * 114719 1354.09 3.47Wipro 115801 483.58 1.24Telecom - ServicesBharti Airtel * 252210 996.86 2.55Idea Cellular 1201311 958.05 2.45TransportationGE Shipping 83879 241.07 0.62UnlistedCollabera Solutions 2.05 0.01Quantum Information Services 1.86 0.00Chennai Interactive Business Services 1.09 0.00Numero Uno 0.01 0.00Debt Holdings Rating Market Value % of

(` in Lakhs) AssetsDr Reddy's Laboratories LAA+ 10.82 0.03Total equity holdings 36973.14 94.62Total debt holdings 10.82 0.03Other current assets 2090.91 5.35Total assets 39074.87 100.00

PORTFOLIO COMPOSITION AND PERFORMANCE

* Top 10 holdings

Fund StrategyThe equity exposure has increased to 94.62% from 90.83% over the month. The fund added stocks such NTPC Ltd., United SpiritsLtd., Pidilite Industries Ltd., Wipro Ltd., Cipla Ltd. and Mcleod Russel India Ltd. to the portfolio and exited from stocks such as JSWSteel Ltd., and India Cements Ltd. The fund increased exposure in stocks such as., Tata Steel Ltd., and reduced exposure in stockssuch as Redington India Ltd., Sun Pharmaceutical Industries Ltd. and Dish TV India Ltd.

NAV PerformanceLast 6 Mths Last 1 Yr Last 3 Yrs* Last 5 Yrs* Since Inception*

FIOF (G) -7.91% 5.08% 8.77% 11.07% 10.54%FIOF (D) -7.91% 5.08% 8.77% 11.03% 10.52%BSE 200 # -8.65% 2.96% 12.08% 12.73% -3.28%

SIP - If you had invested `5000 every month in FIOF...`60,000 over a period of 1 year `180,000 over a period of 3 years `300,000 over a period of 5 years `420,000 over a period of 7 years `600,000 over a period of 10 years `680,000 since Inception

would have grown to would have grown to would have grown to would have grown to would have grown to would have grown to

FIOF 58,695 223,225 361,637 656,984 1,732,638 2,091,323-4.03% 14.53% 7.42% 12.57% 20.13% 18.58%

BSE 200# 58,402 231,088 387,527 684,298 1,378,222 1,534,566

-4.93% 16.97% 10.19% 13.72% 15.88% 13.61%Past performance may or may not be sustained in future. *Compounded and annualised. Dividends are assumed to be reinvested and bonusis adjusted. The scheme was launched as an open end sector equity scheme and has been repositioned in its new form with effect from March10, 2004. Load is not taken into consideration. #Index adjusted for the period February 21, 2000 to March 10, 2004 with the performance ofET Mindex. For SIP returns, monthly investment of equal amounts invested on the 1st day of every month have been considered.

` 31,213

` 6,849

www.franklintempletonindia.com Franklin Templeton Investments 13

____ FIOF ____ BSE 200#