Not

FDIC

Insured

May

Lose

Value

No

Bank

Guarantee

See

Notes

to

Statements

of

Investments.

1

Statements

of

Investments

(unaudited)

Franklin

Payout

2021

Fund

2

Franklin

Payout

2022

Fund

5

Notes

to

Financial

Statements

8

Franklin

Fund

Allocator

Series

Statement

of

Investments

(unaudited),

February

28,

2021

Franklin

Payout

2021

Fund

Quarterly

Statement

of

Investments

See

Notes

to

Statements

of

Investments.

2

a

a

Country

Principal

Amount

*

a

Value

a

a

a

a

a

a

Corporate

Bonds

60.5%

Aerospace

&

Defense

2.4%

Boeing

Co.

(The)

,

Senior

Note

,

2.35

%

,

10/30/21

..............

United

States

100,000

$

100,530

Beverages

2.4%

PepsiCo,

Inc.

,

Senior

Note

,

1.7

%

,

10/06/21

..................

United

States

100,000

100,785

Biotechnology

3.7%

AbbVie,

Inc.

,

Senior

Note

,

3.375

%

,

11/14/21

.................

United

States

50,000

51,051

Gilead

Sciences,

Inc.

,

Senior

Note

,

4.4

%

,

12/01/21

............

United

States

100,000

102,053

153,104

Capital

Markets

2.5%

Bank

of

New

York

Mellon

Corp.

(The)

,

Senior

Note

,

3.55

%

,

9/23/21

United

States

100,000

101,606

Chemicals

2.5%

Air

Products

and

Chemicals,

Inc.

,

Senior

Note

,

3

%

,

11/03/21

.....

United

States

100,000

101,843

Consumer

Finance

4.9%

Caterpillar

Financial

Services

Corp.

,

Senior

Note

,

1.931

%

,

10/01/21

United

States

100,000

101,018

John

Deere

Capital

Corp.

,

Senior

Note

,

3.15

%

,

10/15/21

........

United

States

100,000

101,630

202,648

Diversified

Financial

Services

2.5%

Berkshire

Hathaway,

Inc.

,

Senior

Note

,

3.75

%

,

8/15/21

.........

United

States

100,000

101,618

Diversified

Telecommunication

Services

2.5%

a

Telstra

Corp.

Ltd.

,

Senior

Bond

,

144A,

4.8

%

,

10/12/21

..........

Australia

100,000

102,773

Electric

Utilities

3.7%

Baltimore

Gas

and

Electric

Co.

,

Senior

Note

,

3.5

%

,

11/15/21

.....

United

States

50,000

50,732

Duke

Energy

Corp.

,

Senior

Note

,

1.8

%

,

9/01/21

..............

United

States

100,000

100,631

151,363

Electrical

Equipment

2.5%

Emerson

Electric

Co.

,

Senior

Note

,

2.625

%

,

12/01/21

..........

United

States

100,000

101,599

Energy

Equipment

&

Services

2.5%

Halliburton

Co.

,

Senior

Note

,

3.25

%

,

11/15/21

................

United

States

100,000

101,386

Food

&

Staples

Retailing

2.5%

Kroger

Co.

(The)

,

Senior

Note

,

2.95

%

,

11/01/21

..............

United

States

50,000

50,790

Walgreens

Boots

Alliance,

Inc.

,

Senior

Note

,

3.3

%

,

11/18/21

.....

United

States

50,000

50,790

101,580

Food

Products

1.2%

General

Mills,

Inc.

,

Senior

Bond

,

3.15

%

,

12/15/21

.............

United

States

50,000

50,773

Health

Care

Providers

&

Services

2.5%

UnitedHealth

Group,

Inc.

,

Senior

Note

,

3.375

%

,

11/15/21

.......

United

States

100,000

101,410

Hotels,

Restaurants

&

Leisure

2.4%

Marriott

International,

Inc.

,

N

,

Senior

Note

,

3.125

%

,

10/15/21

.....

United

States

50,000

50,574

Yum!

Brands,

Inc.

,

Senior

Bond

,

3.75

%

,

11/01/21

.............

United

States

50,000

50,431

101,005

Franklin

Fund

Allocator

Series

Statement

of

Investments

(unaudited)

Franklin

Payout

2021

Fund

(continued)

See

Notes

to

Statements

of

Investments.

Quarterly

Statement

of

Investments

3

a

a

Country

Principal

Amount

*

a

Value

a

a

a

a

a

a

Corporate

Bonds

(continued)

Household

Products

1.2%

Clorox

Co.

(The)

,

Senior

Bond

,

3.8

%

,

11/15/21

...............

United

States

50,000

$

51,272

Industrial

Conglomerates

2.5%

General

Electric

Co.

,

Senior

Note

,

4.65

%

,

10/17/21

............

United

States

100,000

102,741

Insurance

3.7%

a

New

York

Life

Global

Funding

,

Secured

Note

,

144A,

1.7

%

,

9/14/21

United

States

100,000

100,810

Prudential

Financial,

Inc.

,

Senior

Note

,

4.5

%

,

11/16/21

.........

United

States

50,000

51,492

152,302

Oil,

Gas

&

Consumable

Fuels

3.7%

Total

Capital

SA

,

Senior

Bond

,

4.25

%

,

12/15/21

...............

France

100,000

103,171

Williams

Cos.,

Inc.

(The)

,

Senior

Note

,

4

%

,

11/15/21

...........

United

States

50,000

50,818

153,989

Pharmaceuticals

2.5%

Johnson

&

Johnson

,

Senior

Note

,

2.45

%

,

12/05/21

............

United

States

100,000

101,764

Road

&

Rail

1.2%

Norfolk

Southern

Corp.

,

Senior

Bond

,

3.25

%

,

12/01/21

.........

United

States

50,000

50,714

Semiconductors

&

Semiconductor

Equipment

2.5%

Intel

Corp.

,

Senior

Bond

,

3.3

%

,

10/01/21

....................

United

States

100,000

101,756

Tobacco

2.5%

Philip

Morris

International,

Inc.

,

Senior

Note

,

2.9

%

,

11/15/21

.....

United

States

100,000

101,923

Total

Corporate

Bonds

(Cost

$2,459,142)

.......................................

2,490,484

Foreign

Government

and

Agency

Securities

4.9%

Equinor

ASA

,

Senior

Note

,

2.75

%

,

11/10/21

..................

Norway

100,000

101,592

European

Investment

Bank

,

Senior

Note

,

2.125

%

,

10/15/21

.....

Supranational

b

100,000

101,238

Total

Foreign

Government

and

Agency

Securities

(Cost

$200,028)

................

202,830

U.S.

Government

and

Agency

Securities

17.8%

FFCB,

2%,

12/01/21

...................................

United

States

200,000

202,892

FHLB,

2.625%,

12/10/21

................................

United

States

200,000

203,993

U.S.

Treasury

Notes

,

1.875%,

11/30/21

....................................

United

States

160,000

162,181

2.125%,

12/31/21

....................................

United

States

160,000

162,745

Total

U.S.

Government

and

Agency

Securities

(Cost

$720,545)

....................

731,811

Municipal

Bonds

2.5%

California

2.5%

State

of

California,

GO,

5.7%,

11/01/21

.....................

United

States

100,000

103,685

Total

Municipal

Bonds

(Cost

$102,001)

.........................................

103,685

Total

Long

Term

Investments

(Cost

$3,481,716)

.................................

3,528,810

a

Franklin

Fund

Allocator

Series

Statement

of

Investments

(unaudited)

Franklin

Payout

2021

Fund

(continued)

Quarterly

Statement

of

Investments

See

Notes

to

Statements

of

Investments.

4

See

Abbreviations

on

page

10

.

Short

Term

Investments

14.4%

a

a

Country

Shares

a

Value

a

Money

Market

Funds

14.4%

c,d

Institutional

Fiduciary

Trust

-

Money

Market

Portfolio,

0%

........

United

States

594,730

$

594,730

Total

Money

Market

Funds

(Cost

$594,730)

.....................................

594,730

Total

Short

Term

Investments

(Cost

$594,730

)

..................................

594,730

a

Total

Investments

(Cost

$4,076,446)

100.1%

....................................

$4,123,540

Other

Assets,

less

Liabilities

(0.1)%

...........................................

(3,690)

Net

Assets

100.0%

...........................................................

$4,119,850

*

The

principal

amount

is

stated

in

U.S.

dollars

unless

otherwise

indicated.

a

Security

was

purchased

pursuant

to

Rule

144A

or

Regulation

S

under

the

Securities

Act

of

1933.

144A

securities

may

be

sold

in

transactions

exempt

from

registration

only

to

qualified

institutional

buyers

or

in

a

public

offering

registered

under

the

Securities

Act

of

1933.

Regulation

S

securities

cannot

be

sold

in

the

United

States

without

either

an

effective

registration

statement

filed

pursuant

to

the

Securities

Act

of

1933,

or

pursuant

to

an

exemption

from

registration.

At

February

28,

2021,

the

aggregate

value

of

these

securities

was

$203,583,

representing

4.9%

of

net

assets.

b

A

supranational

organization

is

an

entity

formed

by

two

or

more

central

governments

through

international

treaties.

c

See

Note

4

regarding

investments

in

affiliated

management

investment

companies.

d

The

rate

shown

is

the

annualized

seven-day

effective

yield

at

period

end.

Franklin

Fund

Allocator

Series

Statement

of

Investments

(unaudited),

February

28,

2021

Franklin

Payout

2022

Fund

See

Notes

to

Statements

of

Investments.

Quarterly

Statement

of

Investments

5

a

a

Country

Principal

Amount

*

a

Value

a

a

a

a

a

a

Corporate

Bonds

66.8%

Aerospace

&

Defense

4.2%

General

Dynamics

Corp.

,

Senior

Bond

,

2.25

%

,

11/15/22

........

United

States

100,000

$

102,845

Raytheon

Co.

,

Senior

Bond

,

2.5

%

,

12/15/22

.................

United

States

50,000

51,601

154,446

Air

Freight

&

Logistics

2.8%

United

Parcel

Service,

Inc.

,

Senior

Note

,

2.45

%

,

10/01/22

.......

United

States

100,000

103,515

Banks

9.9%

Bank

of

America

Corp.

,

Senior

Note

,

2.503

%

,

10/21/22

.........

United

States

100,000

101,395

Bank

of

Montreal

,

Senior

Note

,

2.55

%

,

11/06/22

..............

Canada

100,000

103,663

Citigroup,

Inc.

,

Senior

Note

,

2.7

%

,

10/27/22

.................

United

States

50,000

51,878

JPMorgan

Chase

&

Co.

,

Senior

Note

,

3.25

%

,

9/23/22

..........

United

States

100,000

104,670

361,606

Biotechnology

1.4%

AbbVie,

Inc.

,

Senior

Note

,

2.9

%

,

11/06/22

...................

United

States

50,000

52,096

Capital

Markets

1.5%

Morgan

Stanley

,

Sub.

Bond

,

4.875

%

,

11/01/22

...............

United

States

50,000

53,628

Consumer

Finance

5.7%

American

Express

Co.

,

Senior

Note

,

2.65

%

,

12/02/22

..........

United

States

100,000

104,076

Caterpillar

Financial

Services

Corp.

,

Senior

Note

,

2.55

%

,

11/29/22

United

States

100,000

104,001

208,077

Diversified

Telecommunication

Services

1.4%

Verizon

Communications,

Inc.

,

Senior

Note

,

2.45

%

,

11/01/22

.....

United

States

50,000

51,455

Electric

Utilities

1.4%

AEP

Texas,

Inc.

,

Senior

Note

,

2.4

%

,

10/01/22

................

United

States

50,000

51,395

Energy

Equipment

&

Services

2.9%

a

Schlumberger

Finance

Canada

Ltd.

,

Senior

Note

,

144A,

2.65

%

,

11/20/22

..........................................

United

States

100,000

103,569

Entertainment

2.9%

TWDC

Enterprises

18

Corp.

,

Senior

Note

,

2.35

%

,

12/01/22

......

United

States

100,000

103,537

Food

&

Staples

Retailing

2.9%

Walmart,

Inc.

,

Senior

Note

,

2.35

%

,

12/15/22

.................

United

States

100,000

103,626

Health

Care

Providers

&

Services

4.3%

CVS

Health

Corp.

,

Senior

Note

,

4.75

%

,

12/01/22

.............

United

States

50,000

53,251

UnitedHealth

Group,

Inc.

,

Senior

Note

,

2.375

%

,

10/15/22

.......

United

States

100,000

103,485

156,736

Household

Products

2.8%

Colgate-Palmolive

Co.

,

Senior

Note

,

2.25

%

,

11/15/22

..........

United

States

100,000

103,472

Insurance

8.5%

a

MassMutual

Global

Funding

II

,

Senior

Secured

Note

,

144A,

2.5

%

,

10/17/22

..........................................

United

States

100,000

103,657

MetLife,

Inc.

,

Senior

Bond

,

1.564

%

,

12/15/22

................

United

States

100,000

104,932

a

Swiss

Re

Treasury

US

Corp.

,

Senior

Note

,

144A,

2.875

%

,

12/06/22

Switzerland

100,000

102,781

311,370

Franklin

Fund

Allocator

Series

Statement

of

Investments

(unaudited)

Franklin

Payout

2022

Fund

(continued)

Quarterly

Statement

of

Investments

See

Notes

to

Statements

of

Investments.

6

a

a

Country

Principal

Amount

*

a

Value

a

a

a

a

a

a

Corporate

Bonds

(continued)

IT

Services

4.3%

Fiserv,

Inc.

,

Senior

Note

,

3.5

%

,

10/01/22

....................

United

States

50,000

$

52,072

International

Business

Machines

Corp.

,

Senior

Note

,

2.875

%

,

11/09/22

..........................................

United

States

100,000

104,574

156,646

Multi-Utilities

1.4%

Public

Service

Enterprise

Group,

Inc.

,

Senior

Note

,

2.65

%

,

11/15/22

United

States

50,000

51,846

Oil,

Gas

&

Consumable

Fuels

2.9%

a

APT

Pipelines

Ltd.

,

Senior

Note

,

144A,

3.875

%

,

10/11/22

.......

Australia

50,000

52,420

ONEOK

Partners

LP

,

Senior

Bond

,

3.375

%

,

10/01/22

..........

United

States

50,000

51,783

104,203

Professional

Services

1.4%

Equifax,

Inc.

,

Senior

Note

,

3.3

%

,

12/15/22

...................

United

States

50,000

52,195

Technology

Hardware,

Storage

&

Peripherals

1.4%

NetApp,

Inc.

,

Senior

Note

,

3.25

%

,

12/15/22

..................

United

States

50,000

51,903

Tobacco

2.8%

Philip

Morris

International,

Inc.

,

Senior

Note

,

2.5

%

,

11/02/22

.....

United

States

100,000

103,453

Total

Corporate

Bonds

(Cost

$2,348,993)

.......................................

2,438,774

Foreign

Government

and

Agency

Securities

5.6%

International

Bank

for

Reconstruction

&

Development

,

Senior

Note

,

1.875

%

,

10/07/22

....................................

Supranational

b

100,000

102,744

International

Finance

Corp.

,

Senior

Note

,

2

%

,

10/24/22

.........

Supranational

b

100,000

102,997

Total

Foreign

Government

and

Agency

Securities

(Cost

$197,967)

................

205,741

U.S.

Government

and

Agency

Securities

18.1%

FHLB

,

1.875%,

12/09/22

....................................

United

States

150,000

154,595

2.5%,

12/09/22

.....................................

United

States

150,000

156,289

U.S.

Treasury

Notes

,

1.625%,

11/15/22

....................................

United

States

170,000

174,370

2%,

11/30/22

.......................................

United

States

170,000

175,578

Total

U.S.

Government

and

Agency

Securities

(Cost

$633,289)

....................

660,832

Asset-Backed

Securities

4.3%

Banks

1.4%

Capital

One

Multi-Asset

Execution

Trust

,

2017-A6

,

A6

,

2.29

%

,

7/15/25

...........................................

United

States

50,000

51,616

Consumer

Finance

2.9%

American

Express

Credit

Account

Master

Trust

,

2017-7

,

A

,

2.35

%

,

5/15/25

...........................................

United

States

100,000

103,466

Total

Asset-Backed

Securities

(Cost

$147,176)

..................................

155,082

Total

Long

Term

Investments

(Cost

$3,327,425)

.................................

3,460,429

a

Franklin

Fund

Allocator

Series

Statement

of

Investments

(unaudited)

Franklin

Payout

2022

Fund

(continued)

See

Notes

to

Statements

of

Investments.

Quarterly

Statement

of

Investments

7

See

Abbreviations

on

page

10

.

Short

Term

Investments

4.8%

a

a

Country

Shares

a

Value

a

Money

Market

Funds

4.8%

c,d

Institutional

Fiduciary

Trust

-

Money

Market

Portfolio,

0%

........

United

States

174,631

$

174,631

Total

Money

Market

Funds

(Cost

$174,631)

.....................................

174,631

Total

Short

Term

Investments

(Cost

$174,631

)

..................................

174,631

a

Total

Investments

(Cost

$3,502,056)

99.6%

.....................................

$3,635,060

Other

Assets,

less

Liabilities

0.4%

.............................................

13,428

Net

Assets

100.0%

...........................................................

$3,648,488

*

The

principal

amount

is

stated

in

U.S.

dollars

unless

otherwise

indicated.

a

Security

was

purchased

pursuant

to

Rule

144A

or

Regulation

S

under

the

Securities

Act

of

1933.

144A

securities

may

be

sold

in

transactions

exempt

from

registration

only

to

qualified

institutional

buyers

or

in

a

public

offering

registered

under

the

Securities

Act

of

1933.

Regulation

S

securities

cannot

be

sold

in

the

United

States

without

either

an

effective

registration

statement

filed

pursuant

to

the

Securities

Act

of

1933,

or

pursuant

to

an

exemption

from

registration.

At

February

28,

2021,

the

aggregate

value

of

these

securities

was

$362,427,

representing

9.9%

of

net

assets.

b

A

supranational

organization

is

an

entity

formed

by

two

or

more

central

governments

through

international

treaties.

c

See

Note

4

regarding

investments

in

affiliated

management

investment

companies.

d

The

rate

shown

is

the

annualized

seven-day

effective

yield

at

period

end.

Franklin

Fund

Allocator

Series

Notes

to

Statements

of

Investments

(unaudited)

8

1.

Organization

Franklin

Fund

Allocator

Series (Trust)

is

registered

under

the

Investment

Company

Act

of

1940

(1940

Act)

as

an

open-end

management

investment

company,

consisting

of twenty-one

separate

funds, two

of

which

are

included

in

this

report

(Funds)

and

applies

the

specialized

accounting

and

reporting

guidance

in

U.S.

Generally

Accepted

Accounting

Principles

(U.S.

GAAP). 

2. Financial

Instrument

Valuation

The

Funds’

investments

in

financial

instruments

are

carried

at

fair

value

daily.

Fair

value

is

the

price

that

would

be

received

to

sell

an

asset

or

paid

to

transfer

a

liability

in

an

orderly

transaction

between

market

participants

on

the

measurement

date.

The

Funds

calculate

the

net

asset

value

(NAV)

per

share

each

business

day

as

of

4

p.m.

Eastern

time

or

the

regularly

scheduled

close

of

the

New

York

Stock

Exchange

(NYSE),

whichever

is

earlier.

Under

compliance

policies

and

procedures

approved

by

the

Trust’s

Board

of

Trustees

(the

Board),

the

Funds’

administrator

has

responsibility

for

oversight

of

valuation,

including

leading

the

cross-functional

Valuation

Committee

(VC).

The

Funds

may

utilize

independent

pricing

services,

quotations

from

securities

and

financial

instrument

dealers,

and

other

market

sources

to

determine

fair

value. 

Debt

securities

generally

trade

in

the

OTC

market

rather

than

on

a

securities

exchange.

The

Funds’

pricing

services

use

multiple

valuation

techniques

to

determine

fair

value.

In

instances

where

sufficient

market

activity

exists,

the

pricing

services

may

utilize

a

market-based

approach

through

which

quotes

from

market

makers

are

used

to

determine

fair

value.

In

instances

where

sufficient

market

activity

may

not

exist

or

is

limited,

the

pricing

services

also

utilize

proprietary

valuation

models

which

may

consider

market

characteristics

such

as

benchmark

yield

curves,

credit

spreads,

estimated

default

rates,

anticipated

market

interest

rate

volatility,

coupon

rates,

anticipated

timing

of

principal

repayments,

underlying

collateral,

and

other

unique

security

features

in

order

to

estimate

the

relevant

cash

flows,

which

are

then

discounted

to

calculate

the

fair

value. 

Investments

in

open-end

mutual

funds

are

valued

at

the

closing

NAV.

The

Funds

have procedures

to

determine

the

fair

value

of

financial

instruments

for

which

market

prices

are

not

reliable

or

readily

available.

Under

these

procedures,

the

Funds

primarily employ

a

market-based

approach

which

may

use

related

or

comparable

assets

or

liabilities,

recent

transactions,

market

multiples,

book

values,

and

other

relevant

information

for

the

investment

to

determine

the

fair

value

of

the

investment.

An

income-based

valuation

approach

may

also

be

used

in

which

the

anticipated

future

cash

flows

of

the

investment

are

discounted

to

calculate

fair

value.

Discounts

may

also

be

applied

due

to

the

nature

or

duration

of

any

restrictions

on

the

disposition

of

the

investments.

Due

to

the

inherent

uncertainty

of

valuations

of

such

investments,

the

fair

values

may

differ

significantly

from

the

values

that

would

have

been

used

had

an

active

market

existed. 

3.

Novel

Coronavirus

Pandemic 

The

global

outbreak

of

the

novel

coronavirus

disease,

known

as

COVID-19, has

caused

adverse

effects

on

many

companies,

sectors,

nations,

regions

and

the

markets

in

general, and

may

continue for

an unpredictable duration.

The

effects

of

this

pandemic

may

materially

impact

the

value

and

performance

of

the

Funds, their ability

to

buy

and

sell

fund

investments

at

appropriate

valuations

and their ability

to

achieve their investment

objectives.

4.

Investments

in

Affiliated

Management

Investment

Companies 

Certain

or

all

Funds

invest

in

one

or

more

affiliated

management

investment

companies

for

purposes

other

than

exercising

a

controlling

influence

over

the

management

or

policies.

During

the

period

ended

February

28,

2021,

investments

in

affiliated

management

investment

companies

were

as

follows: 

Franklin

Fund

Allocator

Series

Notes

to

Statements

of

Investments

(unaudited)

9

5. Fair

Value

Measurements 

The

Funds

follow

a

fair

value

hierarchy

that

distinguishes

between

market

data

obtained

from

independent

sources

(observable

inputs)

and

the

Funds'

own

market

assumptions

(unobservable

inputs).

These

inputs

are

used

in

determining

the

value

of

the

Funds’

financial

instruments

and

are

summarized

in

the

following

fair

value

hierarchy:

• Level

1

–

quoted

prices

in

active

markets

for

identical

financial

instruments

• Level

2

–

other

significant

observable

inputs

(including

quoted

prices

for

similar

financial

instruments,

interest

rates,

prepayment

speed,

credit

risk,

etc.)

• Level

3

–

significant

unobservable

inputs

(including

the

Funds'

own

assumptions

in

determining

the

fair

value

of

financial

instruments)

The

input

levels

are

not

necessarily

an

indication

of

the

risk

or

liquidity

associated

with

financial

instruments

at

that

level. 

A

summary

of

inputs

used

as

of

February

28,

2021,

in

valuing

the

Funds’

assets

carried

at

fair

value,

is

as

follows:  

    aa

Value

at

Beginning

of

Period

Purchases

Sales

Realized

Gain

(Loss)

Net

Change

in

Unrealized

Appreciation

(Depreciation)

Value

at

End

of

Period

Number

of

Shares

Held

at

End

of

Period

Investment

Income

a      

a  

a  

a  

a  

a  

a  

a  

Franklin

Payout

2021

Fund

Non-Controlled

Affiliates

Dividends

Institutional

Fiduciary

Trust

-

Money

Market

Portfolio,

0%

.........

$512,564

$349,964

$(267,798)

$—

$—

$594,730

594,730

$—

Total

Affiliated

Securities

....

$512,564

$349,964

$(267,798)

$—

$—

$594,730

$—

Franklin

Payout

2022

Fund

Non-Controlled

Affiliates

Dividends

Institutional

Fiduciary

Trust

-

Money

Market

Portfolio,

0%

.........

$182,752

$281,442

$(289,563)

$—

$—

$174,631

174,631

$—

Total

Affiliated

Securities

....

$182,752

$281,442

$(289,563)

$—

$—

$174,631

$—

Level

1

Level

2

Level

3

Total

Franklin

Payout

2021

Fund

Assets:

Investments

in

Securities:

a

Corporate

Bonds

........................

$

—

$

2,490,484

$

—

$

2,490,484

Foreign

Government

and

Agency

Securities

....

—

202,830

—

202,830

U.S.

Government

and

Agency

Securities

.......

—

731,811

—

731,811

4.

Investments

in

Affiliated

Management

Investment

Companies 

(continued)

Franklin

Fund

Allocator

Series

Notes

to

Statements

of

Investments

(unaudited)

10

6.

Subsequent

Events

The

Funds

have evaluated

subsequent

events

through

the

issuance

of

the

Statements of

Investments

and

determined

that

no

events

have

occurred

that

require

disclosure. 

Level

1

Level

2

Level

3

Total

Franklin

Payout

2021

Fund

(continued)

Assets:

(continued)

Investments

in

Securities:

a

Municipal

Bonds

.........................

$

—

$

103,685

$

—

$

103,685

Short

Term

Investments

...................

594,730

—

—

594,730

Total

Investments

in

Securities

...........

$594,730

$3,528,810

$—

$4,123,540

Franklin

Payout

2022

Fund

Assets:

Investments

in

Securities:

a

Corporate

Bonds

........................

—

2,438,774

—

2,438,774

Foreign

Government

and

Agency

Securities

....

—

205,741

—

205,741

U.S.

Government

and

Agency

Securities

.......

—

660,832

—

660,832

Asset-Backed

Securities

..................

—

155,082

—

155,082

Short

Term

Investments

...................

174,631

—

—

174,631

Total

Investments

in

Securities

...........

$174,631

$3,460,429

$—

$3,635,060

a

For

detailed

categories,

see

the

accompanying

Statement

of

Investments.

Selected

Portfolio

CLO

Collateralized

Loan

Obligation

FFCB

Federal

Farm

Credit

Banks

Funding

Corp.

FHLB

Federal

Home

Loan

Banks

GO

General

Obligation

5. Fair

Value

Measurements 

(continued)

For

additional

information

on

the

Funds'

significant

accounting

policies,

please

refer

to

the Funds'

most

recent

semiannual

or

annual

shareholder

report.