Alternative to Franklin Income Fund

or Register to post new content in the forum

 

Comments

  • Allowed HTML tags: <em> <strong> <blockquote> <br> <p>

Plain text

  • No HTML tags allowed.
  • Web page addresses and e-mail addresses turn into links automatically.
  • Lines and paragraphs break automatically.
Jun 30, 2010 10:44 am

I really like Franklin Income Fund for client needs.  I have a lot of it on the books, specifically Class C.  My one gripe is that I have to wait 12 months to get my 0.65% trail.  Does anyone know of a fund out there that is similar to FCISX that pays an immediate trail while meeting clients income needs?

Jun 30, 2010 11:46 am

So your need for a new fund is based on your paycheck and not the fundamentals or performance of the fund?  Really? 

You need to talk with navet about conflicts of interest.  I think he'd find this post interesting.

Jun 30, 2010 12:21 pm

In all honesty Spiff, that's my point. When rent is due, the kids are hungry and the repo guy is cruising the hood, you can't help but cross that conflict of int line. When you need another $100 gross of muni's for a trip. When you need a grand for the new FA bonus, when you are one good sale away from the next segment? That conflict is there. The journals, regulators, competitiors and others all know about it. And if the market double dips, it might become difficult to do this business in the same fashion.

Jun 30, 2010 1:08 pm

I know of no C share that pays an immediate trail.  Could be wrong. 

Jun 30, 2010 9:53 pm

Yes, there aren't any C shares that both pay you a 1% upfront and immediate fees.  The problem with the Franklin bond funds and this fund is that they pay a .65% trail, but I still use some of their funds in spite of this.  I don't know of another income fund like this one that pays a high yield and has about half in stocks.  Anyone know of a good alternative?  I know of other good balanced funds, but not one similar to this one.

Jul 1, 2010 10:56 am

So let me this right. You want 1% upfront and a trail starting next month? So you want to make 2% over the first year on a C share?? The reason that FCISX pays the advisors 65 bps is that the expenses are very low for a C share....

Jul 1, 2010 11:03 am

[quote=navet]

In all honesty Spiff, that's my point. When rent is due, the kids are hungry and the repo guy is cruising the hood, you can't help but cross that conflict of int line. When you need another $100 gross of muni's for a trip. When you need a grand for the new FA bonus, when you are one good sale away from the next segment? That conflict is there. The journals, regulators, competitiors and others all know about it. And if the market double dips, it might become difficult to do this business in the same fashion.

[/quote]

I think you're missing the point of conflict of interests.  Rent being due and needing to sell more stuff isn't a conflict of interest. 

Having a preferred group of funds who pay you revenue sharing dollars, now that it a conflict of interest.  Which is why we kill a ton of trees in this business disclosing the revenue sharing agreements at all of our firms. 

Jul 9, 2015 8:04 pm

thanks for the list guys. it'll really help me.