FKUSX

About FKUSX

Franklin U.S. Government Securities Fund Class A1 is a mutual fund focused on providing income by investing primarily in U.S. government-backed securities. Its portfolio is concentrated in obligations issued by the Government National Mortgage Association (GNMA, or Ginnie Maes), which are mortgage-backed securities supported by the full faith and credit of the U.S. government, ensuring timely payment of principal and interest. The fund typically allocates at least 80% of its assets to these government securities, seeking a balance between credit quality and interest rate sensitivity. With a high credit quality profile and a moderate effective duration of approximately 5.8 years, it aims to deliver a stable income stream while managing interest rate risk. The fund has a long-standing presence in the market, having been established in 1970, and is characterized by a lower-than-average distribution fee and a monthly payout schedule. It plays a significant role in the intermediate government bond category, appealing to investors seeking exposure to the U.S. government mortgage-backed securities sector within a diversified fixed-income strategy.