Franklin Lexington PE Secondaries Fund (FLEX-I), surpasses $1.2 Billion in Assets Under Management

Key milestone marks a significant step, following the launch of innovative evergreen private equity strategy aimed at the wealth management channel internationally.

London and Luxembourg, 8 September 2025 – Franklin Templeton¹  is delighted to announce that the Franklin Lexington PE Secondaries Fund (FLEX-I)², a sub-fund of the Luxembourg-domiciled Franklin Lexington Private Markets Fund SICAV SA range, has now exceeded US $1.2 billion in assets under management³  following its successful launch in March.  This significant milestone reflects strong demand and appetite for private equity secondaries in an evergreen structure from a broad range of investors internationally including APAC, EMEA, Canada and Latin America regions.

Matthew Harrison, Head of Americas (ex-US) Europe & UK said: “Evergreen private markets funds have surged in prominence in Europe, driven by growing demand from wealth managers and their clients.  With the market expected to exceed €240 billion in AUM by the end of 2028⁴, there is a huge untapped opportunity in private markets for the wealth management channel.  The flexible nature of evergreen funds, which provide continuous investment opportunities and periodic liquidity, make them increasingly attractive to investors.”

Co-managed by Franklin Templeton and Lexington Partners⁵, FLEX-I is designed for wealth channel clients who are increasingly drawn to private markets as they seek greater transparency, accessibility and the potential for earlier liquidity and cash returns.

George Szemere, Head of Alternatives EMEA Wealth Management commented: “The powerful combination of Lexington’s world-class expertise combined with the scale and reach of Franklin Templeton, has resulted in an innovative and attractive evergreen private equity strategy for the wealth channel internationally.  Whilst the strategy has grown to over US $1.2 billion internationally, globally, including the US market, the combined AUM now stands at approximately US $2.7 billion, which represents an exciting inflection point in our mission to enable access for private markets across the wealth channel.   This is an important milestone for us as we are in the process of developing further targeted strategies for that segment.”

FLEX-I launched at a time when private equity is at a turning point with investors and advisers navigating how best to allocate across its sub-strategies in the wealth market.  The growing availability of evergreen funds has expanded the investment landscape and offers compelling benefits including more flexibility than traditional private equity funds and no lock-up allowing periodic redemptions.

In addition, secondaries are particularly well suited for evergreen structures due to their attractive portfolio diversification, reduced blind pool risk, earlier cash flows and enhanced compounding and liquidity management making them a strong foundation for an evergreen private equity allocation.

Jake Williams Global Co-Head of Alternatives Wealth Management Product added: “Private equity secondaries continue to garner significant interest especially in an evergreen structure.  This is underpinned by the investment merits of the asset class, namely broad diversification across PE managers, resilient returns during public market downturns and potential earlier cash realisation to support re-investment opportunities and liquidity management.  Selecting an experienced manager such as Lexington, who have navigated multiple market cycles and delivered consistently strong performance, is crucial when constructing an evergreen private equity portfolio.” 

Lexington is one of the world’s largest and most successful managers of secondary private equity and co-investment funds. The firm helped pioneer the development of the institutional secondary market over 31 years ago and created one of the first independent, discretionary co-investment programs 27 years ago.  Lexington's 26 partners are among the most experienced and highly-regarded in the secondary market today, averaging 18 years together at Lexington.

Franklin Templeton’s growing and dedicated alternatives platform extends beyond traditional investment offerings. The firm’s specialist investment managers, each with deep domain expertise, provide a diverse range of alternative asset capabilities including private equity secondaries and co-investment funds (Lexington), private credit (Benefit Street Partners and Alcentra), real estate (Clarion Partners), as well as hedged strategies, venture capital and digital assets.   Franklin Templeton manages US $254 billion⁶ in alternative assets as of 30 June 2025. For more information please visit: https://www.franklintempleton.lu/our-funds/capabilities/alternatives

-ENDS-

Contacts:

Saira Khan Senior Corporate Communications Manager Franklin Templeton Investments Cannon Place, 78 Cannon Street London EC4N 6HL Tel: +44 20 7073 8644 Email: [email protected]

Dorine Johnson Head of Corporate Communications EMEA Franklin Templeton Investments Cannon Place, 78 Cannon Street London EC4N 6HL Tel: 0207 073 8538 Email: [email protected]

Notes to Editors:

This is a marketing communication. Please refer to the prospectus or information document of the AIF and, where available, to the KID before making any final investment decisions.

1. Franklin Resources, Inc. [NYSE:BEN] is a global investment management organisation with subsidiaries operating as Franklin Templeton and serving clients in over 150 countries. Franklin Templeton’s mission is to help clients achieve better outcomes through investment management expertise, wealth management and technology solutions. Through its specialist investment managers, the company offers specialisation on a global scale, bringing extensive capabilities in fixed income, equity, alternatives and multi-asset solutions With more than 1,500 investment professionals, and offices in major financial markets around the world, the California-based company has over 75 years of investment experience and $1.64 trillion in assets under management as of 31 August 2025. For more information, please visit www.franklintempleton.co.uk and follow us on LinkedIn, X, and Facebook.
2. Franklin Lexington PE Secondaries Fund is a sub-fund of the Luxembourg-domiciled Franklin Lexington Private Markets Fund SICAV SA. Franklin Lexington Private Markets Fund SICAV SA (the “Fund”) is an investment company with variable capital, Part II UCI, incorporated as a public limited liability company with multiple compartments.  The Fund is authorised and supervised by the Luxembourg supervisory authority, the Commission de Surveillance du Secteur Financier (CSSF). Information has been prepared from sources believed reliable. It is not guaranteed in any way by any Franklin Resources, Inc. company or affiliate (together 'Franklin Templeton').

Franklin Lexington PE Secondaries has been notified for marketing to professionals in multiple EU Member States under the AIFM Directive.  Investors should consult with their financial advisor or intermediary to discuss potential eligibility and suitability to invest in the Fund and the Sub-Fund.  The Fund and the Sub-Fund may also be offered directly or indirectly to professional or other sophisticated investors that meet the relevant eligibility criteria for investing in the Fund and the Sub-Fund.

3. Source: Franklin Templeton. Data as of 31 August.
4. Source: Novantigo, Private Assets in Private Wealth Portfolios – Evergreen Funds Market Update. April 2025
5. Lexington Partners is one of the world’s largest and most successful managers of secondary private equity and co-investment funds. Lexington helped pioneer the development of the institutional secondary market over 31 years ago and created one of the first independent, discretionary co-investment programs 27 years ago. Lexington has total capital in excess of $82 billion and has acquired over 5,500 interests through more than 1,300 transactions. Lexington’s global team is strategically located in major centers for private equity and alternative asset investing across North America, Europe, Asia, and Latin America. Lexington is the global secondary private equity and co-investments specialist investment manager of Franklin Templeton. Additional information can be found at www.lexingtonpartners.com.
6. Source: Franklin Templeton. Data as 20 June 2025.

This press release is intended to be of general interest only and does not constitute professional advice. Franklin Templeton and its management groups have exercised professional care and diligence in the collection and processing of the information in this press release. Franklin Templeton makes no representations or warranties with respect to the accuracy of this document. Franklin Templeton shall not be liable to any user of this report or to any other person or entity for the inaccuracy of information contained in this press release or for any errors or omissions in its contents, regardless of the cause of such inaccuracy, error or omission.

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