FCAQX

About FCAQX

Franklin California High Yield Municipal Fund Class R6 is a mutual fund specializing in high-yield municipal debt securities, with a particular focus on bonds issued within California. Its primary objective is to deliver a substantial level of income that is exempt from both federal and California state personal income taxes, making it especially attractive to residents of California seeking tax-advantaged income solutions. The fund typically allocates at least 80% of its assets to municipal securities of this nature. Notably, this fund carries a higher yield than average peers, reflecting its investments in lower-rated, higher-risk municipal bonds, and holds a diversified portfolio of over 600 securities to manage risk. It features a strong performance rating, but comes with an above-average risk profile due to its emphasis on high-yield, sometimes non-investment grade, municipal issues. Regular monthly distributions and a relatively competitive expense ratio are core features, while its high minimum investment threshold positions it for institutional or high-net-worth investors. Since inception, the fund has played a role in connecting investors with California’s municipal development efforts while offering the benefits of tax-exempt income and diversification.