Not

FDIC

Insured

May

Lose

Value

No

Bank

Guarantee

FSS3-Q1PH

1

Schedules

of

Investments

(unaudited)

Franklin

Templeton

SMACS:

Series

CH

2

Franklin

Templeton

SMACS:

Series

E

4

Franklin

Templeton

SMACS:

Series

H

9

Franklin

Templeton

SMACS:

Series

I

11

Notes

to

Schedules

of

Investments

16

Franklin

Strategic

Series

Schedule

of

Investments

(unaudited),

November

30,

2022

Franklin

Templeton

SMACS:

Series

CH

Quarterly

Schedules

of

Investments

See

Notes

to

Schedules

of

Investments.

2

a

a

Principal

Amount

a

Value

a

a

a

a

a

Municipal

Bonds

102.0%

California

102.0%

a

California

Community

Housing

Agency

,

Annadel

Apartments

,

Revenue

,

144A,

2019

A

,

5

%

,

4/01/49

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

$

200,000

$

171,098

California

County

Tobacco

Securitization

Agency

,

Gold

Country

Settlement

Funding

Corp.

,

Revenue

,

2020

B-1

,

Refunding

,

4

%

,

6/01/49

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

55,000

54,332

California

Municipal

Finance

Authority

,

Special

Tax,

2022

B,

Refunding,

6%,

9/01/52

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

150,000

153,929

b

Special

Tax,

2022

C,

6.25%,

9/01/52

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

150,000

151,885

Special

Tax,

2022

D,

6.125%,

9/01/52

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

150,000

155,320

Caritas

Corp.

(The),

Revenue,

2021

B,

Refunding,

4%,

8/15/56

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

115,000

95,769

a

Claremont

Graduate

University,

Revenue,

144A,

2020

B,

Refunding,

5%,

10/01/49

.

125,000

112,721

Community

Facilities

District

No.

2021-6

Improvement

Area

No.

2,

Special

Tax,

2022,

6%,

9/01/52

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

150,000

155,867

Congregational

Homes,

Inc.

Obligated

Group,

Revenue,

2019,

Refunding,

5%,

11/15/39

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

130,000

128,678

a

California

Pollution

Control

Financing

Authority

,

Rialto

Bioenergy

Facility

LLC

,

Revenue

,

144A,

2018

,

7.5

%

,

12/01/40

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

75,000

49,340

California

Statewide

Communities

Development

Authority

,

Special

Assessment,

2019

C,

5%,

9/02/49

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

125,000

127,716

Community

Facilities

District

No.

2016-02,

Special

Tax,

2019,

5%,

9/01/39

.......

100,000

104,398

a

Loma

Linda

University

Medical

Center

Obligated

Group,

Revenue,

144A,

2016

A,

5.25%,

12/01/56

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

250,000

248,997

a

NCCD-Hooper

Street

LLC,

Revenue,

144A,

2019,

5.25%,

7/01/49

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

100,000

86,879

a

NCCD-Hooper

Street

LLC,

Revenue,

144A,

2019,

5.25%,

7/01/52

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

200,000

171,740

City

of

Dublin

,

Community

Facilities

District

No.

2015-1

Improvement

Area

No.

2

,

Special

Tax

,

2019

,

5

%

,

9/01/49

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

130,000

132,371

City

of

Rancho

Cordova

,

Grantline

208

Community

Facilities

District

No.

2018-1

,

Special

Tax

,

2019

,

5

%

,

9/01/49

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

75,000

76,585

City

of

Roseville

,

SVSP

Westpark

-Federico

Community

Facilities

District

No.

1,

Special

Tax,

2019,

5%,

9/01/49

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

125,000

127,861

Villages

at

Sierra

Vista

Community

Facilities

District

No.

1,

Special

Tax,

2019,

5%,

9/01/49

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

130,000

132,748

a

CSCDA

Community

Improvement

Authority

,

Dublin

,

Revenue

,

144A,

2021

B

,

4

%

,

2/01/57

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

140,000

95,455

Foothill-Eastern

Transportation

Corridor

Agency

,

Revenue

,

2013

B-2

,

Refunding

,

3.5

%

,

1/15/53

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

190,000

154,098

Tobacco

Securitization

Authority

of

Southern

California

,

San

Diego

County

Tobacco

Asset

Securitization

Corp.

,

Revenue

,

2019

B-1

,

Refunding

,

5

%

,

6/01/48

.........

115,000

116,081

Upland

Community

Facilities

District

,

City

of

Upland

Community

Facilities

District

No.

2015-1

,

Special

Tax

,

2019

A

,

4

%

,

9/01/49

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

185,000

163,324

2,967,192

Total

Municipal

Bonds

(Cost

$3,270,711)

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

2,967,192

a

a

a

a

a

Total

Investments

(Cost

$3,270,711)

102.0%

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

$2,967,192

Other

Assets,

less

Liabilities

(2.0)%

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

(59,511)

Net

Assets

100.0%

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

$2,907,681

Franklin

Strategic

Series

Schedule

of

Investments

(unaudited)

Franklin

Templeton

SMACS:

Series

CH

(continued)

See

Notes

to

Schedules

of

Investments.

Quarterly

Schedules

of

Investments

3

See

Abbreviations

on

page

19

.

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

November

30,

2022,

the

aggregate

value

of

these

securities

was

$936,230,

representing

32.2%

of

net

assets.

b

A

portion

or

all

of

the

security

purchased

on

a

delayed

delivery

basis.

Franklin

Strategic

Series

Schedule

of

Investments

(unaudited),

November

30,

2022

Franklin

Templeton

SMACS:

Series

E

Quarterly

Schedules

of

Investments

See

Notes

to

Schedules

of

Investments.

4

a

a

Country

Shares

a

Value

a

a

a

a

a

a

Common

Stocks

62.4%

Automobiles

1.2%

a

Ford

Motor

Co.

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

United

States

3,000

$

41,700

a

General

Motors

Co.

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

United

States

5,600

227,136

268,836

Banks

9.2%

a

Citigroup,

Inc.

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

United

States

6,900

334,029

a

Truist

Financial

Corp.

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

United

States

12,500

585,125

a

US

Bancorp

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

United

States

18,000

817,020

a

Wells

Fargo

&

Co.

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

United

States

8,000

383,600

2,119,774

Chemicals

4.1%

a

Air

Products

and

Chemicals,

Inc.

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

United

States

3,000

930,480

Communications

Equipment

5.1%

a

Cisco

Systems,

Inc.

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

United

States

23,600

1,173,392

Diversified

Telecommunication

Services

0.8%

BCE,

Inc.

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

Canada

4,000

190,506

Entertainment

0.9%

a,b

Walt

Disney

Co.

(The)

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

United

States

2,200

215,314

Health

Care

Equipment

&

Supplies

0.2%

a

Medtronic

plc

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

United

States

500

39,520

Industrial

Conglomerates

3.6%

a

Honeywell

International,

Inc.

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

United

States

2,300

504,965

Siemens

AG

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

Germany

2,300

319,037

824,002

Insurance

1.3%

a

MetLife,

Inc.

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

United

States

4,000

306,800

Internet

&

Direct

Marketing

Retail

1.6%

a,b

Amazon.com,

Inc.

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

United

States

3,800

366,852

Metals

&

Mining

8.4%

a

Barrick

Gold

Corp.

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

Canada

10,000

163,200

a

Freeport-McMoRan,

Inc.

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

United

States

17,023

677,515

Rio

Tinto

plc,

ADR

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

Australia

15,700

1,077,648

1,918,363

Multiline

Retail

4.5%

a

Target

Corp.

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

United

States

6,200

1,035,834

Oil,

Gas

&

Consumable

Fuels

1.0%

a

TotalEnergies

SE,

ADR

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

France

3,500

218,470

Pharmaceuticals

2.4%

a

Bristol-Myers

Squibb

Co.

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

United

States

7,000

561,960

Semiconductors

&

Semiconductor

Equipment

11.5%

a

Analog

Devices,

Inc.

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

United

States

4,600

790,786

a

Broadcom,

Inc.

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

United

States

2,400

1,322,472

a

Intel

Corp.

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

United

States

8,000

240,560

a

Microchip

Technology,

Inc.

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

United

States

3,700

293,003

2,646,821

Franklin

Strategic

Series

Schedule

of

Investments

(unaudited)

Franklin

Templeton

SMACS:

Series

E

(continued)

See

Notes

to

Schedules

of

Investments.

Quarterly

Schedules

of

Investments

5

a

a

Country

Shares

a

Value

a

a

a

a

a

a

Common

Stocks

(continued)

Specialty

Retail

4.0%

a

Home

Depot,

Inc.

(The)

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

United

States

2,800

$

907,172

Tobacco

2.6%

a

Philip

Morris

International,

Inc.

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

United

States

6,000

598,020

Total

Common

Stocks

(Cost

$12,767,065)

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

14,322,116

Equity-Linked

Securities

28.0%

Aerospace

&

Defense

1.5%

c

Citigroup

Global

Markets

Holdings,

Inc.

into

Northrop

Grumman

Corp.,

144A,

7.5%,

10/06/23

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

United

States

400

202,603

c

Mizuho

Markets

Cayman

LP

into

Lockheed

Martin

Corp.,

144A,

9%,

11/07/23

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

United

States

300

140,143

342,746

Airlines

0.6%

c

BNP

Paribas

Issuance

BV

into

Delta

Air

Lines,

Inc.,

144A,

10%,

7/12/23

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

United

States

3,800

139,437

Automobiles

0.3%

c

Merrill

Lynch

International

&

Co.

CV

into

Ford

Motor

Co.,

144A,

12%,

12/07/22

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

United

States

5,000

70,167

Banks

4.7%

c

Barclays

Bank

plc

into

JPMorgan

Chase

&

Co.,

144A,

8%,

9/08/23

United

States

2,500

324,805

c

J.P.

Morgan

Structured

Products

BV

into

Bank

of

America

Corp.,

144A,

9.5%,

5/12/23

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

United

States

1,600

60,081

c

National

Bank

of

Canada

into

Truist

Financial

Corp.,

144A,

9%,

10/10/23

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

United

States

10,000

468,749

c

Royal

Bank

of

Canada

into

Bank

of

America

Corp.,

144A,

8.5%,

8/14/23

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

United

States

6,100

217,611

1,071,246

Biotechnology

0.5%

c

BNP

Paribas

Issuance

BV

into

AbbVie,

Inc.,

144A,

8%,

2/23/23

...

United

States

725

110,512

Capital

Markets

0.9%

c

UBS

AG

into

Charles

Schwab

Corp.

(The),

144A,

10%,

6/16/23

...

United

States

3,000

214,211

Chemicals

0.3%

c

Credit

Suisse

AG

into

Air

Products

and

Chemicals,

Inc.,

144A,

8.5%,

5/15/23

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

United

States

240

62,937

Communications

Equipment

0.3%

c

Royal

Bank

of

Canada

into

Cisco

Systems,

Inc.,

144A,

8%,

12/02/22

United

States

1,600

77,928

Electric

Utilities

1.0%

c

National

Bank

of

Canada

into

NextEra

Energy,

Inc.,

144A,

8.5%,

12/05/23

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

United

States

3,000

236,772

Health

Care

Equipment

&

Supplies

0.4%

c

Barclays

Bank

plc

into

Medtronic

plc,

144A,

8%,

3/10/23

........

United

States

1,000

80,287

Independent

Power

and

Renewable

Electricity

Producers

0.6%

c

Goldman

Sachs

International

Bank

into

NextEra

Energy

Partners

LP,

144A,

10%,

7/05/23

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

United

States

2,900

142,660

Industrial

Conglomerates

0.5%

c

Goldman

Sachs

International

Bank

into

Honeywell

International,

Inc.,

144A,

8.5%,

4/04/23

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

United

States

600

119,215

Franklin

Strategic

Series

Schedule

of

Investments

(unaudited)

Franklin

Templeton

SMACS:

Series

E

(continued)

Quarterly

Schedules

of

Investments

See

Notes

to

Schedules

of

Investments.

6

a

a

Country

Shares

a

Value

a

a

a

a

a

a

Equity-Linked

Securities

(continued)

Insurance

1.1%

c

Royal

Bank

of

Canada

into

MetLife,

Inc.,

144A,

9%,

9/22/23

.....

United

States

2,400

$

169,708

c

Royal

Bank

of

Canada

into

MetLife,

Inc.,

144A,

10%,

5/19/23

....

United

States

1,000

72,056

241,764

Interactive

Media

&

Services

0.4%

c

Citigroup

Global

Markets

Holdings,

Inc.

into

Alphabet,

Inc.,

144A,

9%,

6/22/23

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

United

States

50

102,356

Internet

&

Direct

Marketing

Retail

0.4%

c

Credit

Suisse

AG

into

Amazon.com,

Inc.,

144A,

10%,

6/30/23

....

United

States

900

91,883

IT

Services

1.5%

c

UBS

AG

into

Fidelity

National

Information

Services,

Inc.,

144A,

10%,

10/19/23

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

United

States

4,500

333,691

Media

0.6%

c

BNP

Paribas

Issuance

BV

into

Comcast

Corp.,

144A,

8.5%,

8/10/23

United

States

3,485

130,877

Oil,

Gas

&

Consumable

Fuels

1.8%

c

Merrill

Lynch

International

&

Co.

CV

into

Chevron

Corp.,

144A,

10%,

12/04/23

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

United

States

2,400

407,776

Pharmaceuticals

1.4%

c

Mizuho

Markets

Cayman

LP

into

Bristol-Myers

Squibb

Co.,

144A,

8.5%,

12/04/23

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

United

States

1,500

121,311

c

Societe

Generale

SA

into

Pfizer,

Inc.,

144A,

8.5%,

6/09/23

......

United

States

4,000

203,340

324,651

Semiconductors

&

Semiconductor

Equipment

7.1%

c

Barclays

Bank

plc

into

Texas

Instruments,

Inc.,

144A,

9%,

10/10/23

United

States

1,900

324,729

c

Goldman

Sachs

International

Bank

into

Intel

Corp.,

144A,

10%,

8/09/23

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

United

States

7,500

236,417

c

Goldman

Sachs

International

Bank

into

Texas

Instruments,

Inc.,

144A,

8.5%,

12/14/22

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

United

States

630

114,000

c

Merrill

Lynch

International

&

Co.

CV

into

Broadcom,

Inc.,

144A,

10%,

12/05/23

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

United

States

365

185,391

c

Mizuho

Markets

Cayman

LP

into

Microchip

Technology,

Inc.,

144A,

10%,

6/26/23

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

United

States

2,700

202,673

c

Mizuho

Markets

Cayman

LP

into

Microchip

Technology,

Inc.,

144A,

10%,

11/03/23

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

United

States

5,600

398,141

c

Royal

Bank

of

Canada

into

Analog

Devices,

Inc.,

144A,

10%,

5/19/23

United

States

1,000

163,900

1,625,251

Software

0.9%

c

Mizuho

Markets

Cayman

LP

into

Workday,

Inc.,

144A,

10%,

8/03/23

United

States

1,400

216,367

Specialty

Retail

1.2%

c

Citigroup

Global

Markets

Holdings,

Inc.

into

Home

Depot,

Inc.

(The),

144A,

8.5%,

6/12/24

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

United

States

900

286,555

Total

Equity-Linked

Securities

(Cost

$6,440,148)

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

6,429,289

Convertible

Preferred

Stocks

6.3%

Capital

Markets

1.6%

KKR

Group

Co.,

Inc.,

6%,

C

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

United

States

6,000

377,100

Electric

Utilities

4.7%

American

Electric

Power

Co.,

Inc.,

6.125%

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

United

States

9,300

491,226

Franklin

Strategic

Series

Schedule

of

Investments

(unaudited)

Franklin

Templeton

SMACS:

Series

E

(continued)

See

Notes

to

Schedules

of

Investments.

Quarterly

Schedules

of

Investments

7

a

a

Country

Shares

a

Value

a

a

a

a

a

a

Convertible

Preferred

Stocks

(continued)

Electric

Utilities

(continued)

NextEra

Energy,

Inc.,

6.926%

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

United

States

12,000

$

587,040

1,078,266

Total

Convertible

Preferred

Stocks

(Cost

$1,378,117)

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

1,455,366

Principal

Amount

*

Corporate

Bonds

3.8%

Banks

2.1%

PNC

Financial

Services

Group,

Inc.

(The)

,

Senior

Bond

,

6.037%

to

10/27/32,

FRN

thereafter

,

10/28/33

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

United

States

450,000

473,099

Trading

Companies

&

Distributors

1.7%

c

United

Rentals

North

America,

Inc.

,

Senior

Secured

Note

,

144A,

6

%

,

12/15/29

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

United

States

400,000

402,764

Total

Corporate

Bonds

(Cost

$850,000)

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

875,863

Total

Long

Term

Investments

(Cost

$21,435,330)

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

23,082,634

a

Short

Term

Investments

0.2%

a

a

Country

Shares

a

Value

a

a

a

Money

Market

Funds

0.2%

d,e

Institutional

Fiduciary

Trust

-

Money

Market

Portfolio,

3.446%

....

United

States

56,478

56,478

Total

Money

Market

Funds

(Cost

$56,478)

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

56,478

Total

Short

Term

Investments

(Cost

$56,478

)

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

56,478

a

Total

Investments

(Cost

$21,491,808)

100.7%

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

$23,139,112

Options

Written

(2.1)%

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

(485,596)

Other

Assets,

less

Liabilities

1.4%

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

302,863

Net

Assets

100.0%

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

$22,956,379

Number

of

Contracts

Notional

Amount

#

a

a

a

Options

Written

(2.1)%

Calls

-

Exchange-Traded

Equity

Options

Air

Products

and

Chemicals,

Inc.,

December

Strike

Price

$270.00,

Expires

12/16/22

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

30

930,480

(121,110)

Amazon.com,

Inc.,

December

Strike

Price

$102.00,

Expires

12/16/22

38

366,852

(5,168)

Analog

Devices,

Inc.,

December

Strike

Price

$165.00,

Expires

12/16/22

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

46

790,786

(34,040)

Barrick

Gold

Corp.,

December

Strike

Price

$18.00,

Expires

12/16/22

100

163,200

(800)

Bristol-Myers

Squibb

Co.,

December

Strike

Price

$77.50,

Expires

12/16/22

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

70

561,960

(22,400)

Broadcom,

Inc.,

December

Strike

Price

$520.00,

Expires

12/16/22

12

661,236

(44,400)

Cisco

Systems,

Inc.,

December

Strike

Price

$47.50,

Expires

12/16/22

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

140

696,080

(35,700)

Cisco

Systems,

Inc.,

December

Strike

Price

$50.00,

Expires

12/16/22

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

65

323,180

(5,005)

Citigroup,

Inc.,

December

Strike

Price

$50.00,

Expires

12/16/22

..

69

334,029

(3,588)

Franklin

Strategic

Series

Schedule

of

Investments

(unaudited)

Franklin

Templeton

SMACS:

Series

E

(continued)

Quarterly

Schedules

of

Investments

See

Notes

to

Schedules

of

Investments.

8

See

Abbreviations

on

page

19

.

a

a

a

Number

of

Contracts

Notional

Amount

#

a

Value

a

a

a

a

a

a

Options

Written

(continued)

Calls

-

Exchange-Traded

(continued)

Equity

Options

(continued)

Ford

Motor

Co.,

December

Strike

Price

$15.00,

Expires

12/16/22

.

30

41,700

$

(300)

Freeport-McMoRan,

Inc.,

December

Strike

Price

$35.00,

Expires

12/16/22

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

140

557,200

(70,700)

General

Motors

Co.,

December

Strike

Price

$41.00,

Expires

12/16/22

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

56

227,136

(5,040)

Home

Depot,

Inc.

(The),

December

Strike

Price

$315.00,

Expires

12/16/22

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

24

777,576

(30,720)

Honeywell

International,

Inc.,

December

Strike

Price

$210.00,

Expires

12/16/22

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

23

504,965

(24,702)

Intel

Corp.,

December

Strike

Price

$31.00,

Expires

12/16/22

.....

80

240,560

(3,600)

Medtronic

plc,

December

Strike

Price

$92.50,

Expires

12/16/22

...

5

39,520

—

MetLife,

Inc.,

December

Strike

Price

$75.00,

Expires

12/16/22

....

40

306,800

(7,400)

Microchip

Technology,

Inc.,

December

Strike

Price

$75.00,

Expires

12/16/22

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

37

293,003

(19,610)

Philip

Morris

International,

Inc.,

December

Strike

Price

$97.50,

Expires

12/16/22

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

60

598,020

(18,600)

Target

Corp.,

December

Strike

Price

$180.00,

Expires

12/16/22

...

52

868,764

(4,108)

TotalEnergies

SE,

December

Strike

Price

$57.50,

Expires

12/16/22

35

218,470

(18,550)

Truist

Financial

Corp.,

December

Strike

Price

$47.50,

Expires

12/16/22

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

65

304,265

(3,965)

US

Bancorp,

December

Strike

Price

$47.50,

Expires

12/16/22

....

180

817,020

(3,420)

Walt

Disney

Co.

(The),

December

Strike

Price

$115.00,

Expires

12/16/22

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

22

215,314

(110)

Wells

Fargo

&

Co.,

December

Strike

Price

$50.00,

Expires

12/16/22

80

383,600

(2,560)

(485,596)

Total

Options

Written

(Premiums

received

$163,375)

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

$

(485,596)

#

Notional

amount

is

the

number

of

units

specified

in

the

contract,

and

can

include

currency

units,

bushels,

shares,

pounds,

barrels

or

other

units.

Currency

units

are

stated

in

U.S.

dollars

unless

otherwise

indicated.

*

The

principal

amount

is

stated

in

U.S.

dollars

unless

otherwise

indicated.

a

A

portion

or

all

of

the

security

is

held

in

connection

with

written

option

contracts

open

at

period

end.

b

Non-income

producing.

c

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

November

30,

2022,

the

aggregate

value

of

these

securities

was

$6,832,053,

representing

29.8%

of

net

assets.

d

See

Note

3

regarding

investments

in

affiliated

management

investment

companies.

e

The

rate

shown

is

the

annualized

seven-day

effective

yield

at

period

end.

Franklin

Strategic

Series

Schedule

of

Investments

(unaudited),

November

30,

2022

Franklin

Templeton

SMACS:

Series

H

See

Notes

to

Schedules

of

Investments.

Quarterly

Schedules

of

Investments

9

a

a

Shares

a

Value

a

Management

Investment

Companies

28.1%

Capital

Markets

28.1%

a

Franklin

Dynamic

Municipal

Bond

ETF

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

35,000

$

821,100

Total

Management

Investment

Companies

(Cost

$889,962)

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

821,100

Principal

Amount

a

a

a

a

Municipal

Bonds

71.7%

California

3.8%

Tobacco

Securitization

Authority

of

Southern

California

,

San

Diego

County

Tobacco

Asset

Securitization

Corp.

,

Revenue

,

2019

B-1

,

Refunding

,

5

%

,

6/01/48

.........

$

110,000

111,034

Colorado

10.7%

Colorado

Health

Facilities

Authority

,

Christian

Living

Neighborhoods

Obligated

Group

,

Revenue

,

2019

,

Refunding

,

4

%

,

1/01/38

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

100,000

78,892

Denver

Health

&

Hospital

Authority

,

Revenue

,

2019

A

,

Refunding

,

4

%

,

12/01/37

....

100,000

91,278

Hunters

Overlook

Metropolitan

District

No.

5

,

GO

,

2019

A

,

5

%

,

12/01/39

..........

150,000

140,806

310,976

Connecticut

3.2%

b

Steel

Point

Infrastructure

Improvement

District

,

Tax

Allocation

,

144A,

2021

,

4

%

,

4/01/31

100,000

93,307

Florida

10.0%

Cross

Creek

North

Community

Development

District

,

Special

Assessment

,

2022

,

4.5

%

,

5/01/52

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

125,000

104,865

Kindred

Community

Development

District

II

,

Special

Assessment

,

2021

,

3.125

%

,

5/01/41

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

100,000

72,809

Quail

Roost

Community

Development

District

,

Expansion

Area

,

Special

Assessment

,

2021

,

4

%

,

12/15/51

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

75,000

57,800

Windward

Community

Development

District

,

Special

Assessment

,

2020

A-1

,

3

%

,

5/01/25

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

60,000

57,489

292,963

Indiana

3.5%

Indiana

Finance

Authority

,

Marian

University,

Inc.

,

Revenue

,

2019

A

,

5

%

,

9/15/39

...

100,000

103,111

Louisiana

7.3%

Calcasieu

Parish

Memorial

Hospital

Service

District

,

Southwest

Louisiana

Healthcare

System

Obligated

Group

,

Revenue

,

2019

,

Refunding

,

5

%

,

12/01/39

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

100,000

101,280

b

Louisiana

Local

Government

Environmental

Facilities

&

Community

Development

Authority

,

Parish

of

St.

Martin

,

Revenue

,

144A,

2019

,

4.4

%

,

11/01/44

...........

135,000

111,746

213,026

Maryland

2.7%

b

City

of

Baltimore

,

Harbor

Point

Special

Taxing

District

,

Tax

Allocation,

Senior

Lien

,

144A,

2019

A

,

Refunding

,

3.5

%

,

6/01/39

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

100,000

79,721

Minnesota

3.2%

City

of

Apple

Valley

,

PHS

Apple

Valley

Senior

Housing,

Inc.

,

Revenue

,

2021

,

4

%

,

9/01/36

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

105,000

93,967

New

York

3.3%

New

York

Transportation

Development

Corp.

,

Delta

Air

Lines,

Inc.

,

Revenue

,

2020

,

4

%

,

10/01/30

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

100,000

97,434

Pennsylvania

3.3%

b

Allentown

Neighborhood

Improvement

Zone

Development

Authority

,

Revenue

,

144A,

2017

,

5

%

,

5/01/32

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

100,000

97,322

Franklin

Strategic

Series

Schedule

of

Investments

(unaudited)

Franklin

Templeton

SMACS:

Series

H

(continued)

Quarterly

Schedules

of

Investments

See

Notes

to

Schedules

of

Investments.

10

See

Abbreviations

on

page

19

.

a

a

Principal

Amount

a

Value

a

a

a

a

a

Municipal

Bonds

(continued)

Texas

6.6%

b

County

of

Hays

,

La

Cima

Public

Improvement

District

,

Special

Assessment

,

144A,

2020

,

3.25

%

,

9/15/30

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

$

100,000

$

85,779

b

New

Hope

Cultural

Education

Facilities

Finance

Corp.

,

CityScape

Schools,

Inc.

,

Revenue

,

144A,

2019

A

,

5

%

,

8/15/39

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

110,000

106,364

192,143

Washington

2.8%

b

Washington

State

Housing

Finance

Commission

,

Presbyterian

Retirement

Communities

Northwest

Obligated

Group

,

Revenue

,

144A,

2019

A

,

5

%

,

1/01/49

...

100,000

80,000

Wisconsin

3.8%

b

Public

Finance

Authority

,

Friends

Homes

Obligated

Group

,

Revenue

,

144A,

2019

,

Refunding

,

5

%

,

9/01/49

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

125,000

111,951

U.S.

Territories

7.5%

District

of

Columbia

4.8%

District

of

Columbia

,

International

School

Obligated

Group

,

Revenue

,

2019

,

5

%

,

7/01/49

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

140,000

138,363

Puerto

Rico

2.7%

Commonwealth

of

Puerto

Rico

,

GO

,

2022

A-1

,

4

%

,

7/01/46

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

100,000

77,235

Total

U.S.

Territories

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

215,598

Total

Municipal

Bonds

(Cost

$2,427,899)

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

2,092,553

Total

Long

Term

Investments

(Cost

$3,317,861)

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

2,913,653

a

a

a

a

a

a

Total

Investments

(Cost

$3,317,861)

99.8%

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

$2,913,653

Other

Assets,

less

Liabilities

0.2%

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

4,631

Net

Assets

100.0%

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

$2,918,284

a

See

Note

3

regarding

investments

in

affiliated

management

investment

companies.

b

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

November

30,

2022,

the

aggregate

value

of

these

securities

was

$766,190,

representing

26.3%

of

net

assets.

Franklin

Strategic

Series

Schedule

of

Investments

(unaudited),

November

30,

2022

Franklin

Templeton

SMACS:

Series

I

See

Notes

to

Schedules

of

Investments.

Quarterly

Schedules

of

Investments

11

a

a

Principal

Amount

a

Value

a

a

a

a

a

Corporate

Bonds

96.8%

Aerospace

&

Defense

1.8%

a

Bombardier,

Inc.

,

Senior

Bond

,

144A,

7.5

%

,

3/15/25

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

$

150,000

$

150,452

TransDigm,

Inc.

,

Senior

Note

,

6.375

%

,

6/15/26

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

500,000

491,835

642,287

Airlines

2.2%

a

American

Airlines

Inc/AAdvantage

Loyalty

IP

Ltd.

,

Senior

Secured

Note

,

144A,

5.5

%

,

4/20/26

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

400,000

388,599

a

Delta

Air

Lines,

Inc.

/

SkyMiles

IP

Ltd.

,

Senior

Secured

Note

,

144A,

4.75

%

,

10/20/28

.

150,000

142,288

a

United

Airlines,

Inc.

,

Senior

Secured

Note

,

144A,

4.625

%

,

4/15/29

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

300,000

267,379

798,266

Auto

Components

2.1%

American

Axle

&

Manufacturing,

Inc.

,

Senior

Note

,

5

%

,

10/01/29

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

100,000

87,198

a

Dornoch

Debt

Merger

Sub,

Inc.

,

Senior

Note

,

144A,

6.625

%

,

10/15/29

...........

200,000

133,343

Goodyear

Tire

&

Rubber

Co.

(The)

,

Senior

Note

,

5.25

%

,

7/15/31

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

600,000

515,055

735,596

Automobiles

2.4%

Ford

Motor

Co.

,

Senior

Bond

,

6.1

%

,

8/19/32

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

900,000

864,691

Banks

1.5%

Barclays

plc

,

Senior

Bond

,

5.746%

to

8/08/32,

FRN

thereafter

,

8/09/33

...........

550,000

527,736

Building

Products

0.5%

a

Camelot

Return

Merger

Sub,

Inc.

,

Senior

Secured

Note

,

144A,

8.75

%

,

8/01/28

.....

200,000

180,216

Capital

Markets

0.8%

a

Coinbase

Global,

Inc.

,

Senior

Bond

,

144A,

3.625

%

,

10/01/31

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

125,000

67,672

Morgan

Stanley

,

Senior

Bond

,

3.622%

to

3/31/30,

FRN

thereafter

,

4/01/31

.........

247,000

220,418

288,090

Chemicals

2.9%

a

Consolidated

Energy

Finance

SA

,

Senior

Note

,

144A,

5.625

%

,

10/15/28

..........

300,000

262,620

Olin

Corp.

,

Senior

Bond

,

5

%

,

2/01/30

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

100,000

90,876

a

Rain

CII

Carbon

LLC

/

CII

Carbon

Corp.

,

Secured

Note

,

144A,

7.25

%

,

4/01/25

.....

200,000

182,303

a

SCIH

Salt

Holdings,

Inc.

,

Senior

Note,

144A,

6.625%,

5/01/29

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

100,000

83,661

Senior

Secured

Note,

144A,

4.875%,

5/01/28

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

375,000

335,359

a

Vibrantz

Technologies,

Inc.

,

Senior

Note

,

144A,

9

%

,

2/15/30

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

100,000

75,190

1,030,009

Commercial

Services

&

Supplies

1.5%

a

ADT

Security

Corp.

(The)

,

Senior

Secured

Note

,

144A,

4.125

%

,

8/01/29

..........

100,000

87,406

a

APX

Group,

Inc.

,

Senior

Secured

Note

,

144A,

6.75

%

,

2/15/27

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

350,000

343,450

a

GFL

Environmental,

Inc.

,

Senior

Note

,

144A,

4.75

%

,

6/15/29

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

100,000

87,706

518,562

Communications

Equipment

3.8%

a

CommScope

Technologies

LLC

,

Senior

Note

,

144A,

6

%

,

6/15/25

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

1,300,000

1,220,102

a

CommScope,

Inc.

,

Senior

Secured

Note

,

144A,

6

%

,

3/01/26

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

150,000

145,309

1,365,411

Franklin

Strategic

Series

Schedule

of

Investments

(unaudited)

Franklin

Templeton

SMACS:

Series

I

(continued)

Quarterly

Schedules

of

Investments

See

Notes

to

Schedules

of

Investments.

12

a

a

Principal

Amount

a

Value

a

a

a

a

a

Corporate

Bonds

(continued)

Consumer

Finance

2.8%

Ford

Motor

Credit

Co.

LLC

,

Senior

Bond

,

5.113

%

,

5/03/29

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

$

800,000

$

746,832

OneMain

Finance

Corp.

,

Senior

Bond

,

5.375

%

,

11/15/29

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

300,000

250,965

997,797

Containers

&

Packaging

5.0%

a

Ardagh

Packaging

Finance

plc

/

Ardagh

Holdings

USA,

Inc.

,

Senior

Note

,

144A,

5.25

%

,

8/15/27

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

700,000

530,705

a

Mauser

Packaging

Solutions

Holding

Co.

,

Senior

Note

,

144A,

7.25

%

,

4/15/25

......

1,300,000

1,188,187

a

Pactiv

Evergreen

Group

Issuer,

Inc./Pactiv

Evergreen

Group

Issuer

LLC

,

Senior

Secured

Note

,

144A,

4

%

,

10/15/27

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

100,000

88,041

1,806,933

Diversified

Financial

Services

1.7%

a

MPH

Acquisition

Holdings

LLC

,

Senior

Secured

Note

,

144A,

5.5

%

,

9/01/28

........

750,000

599,914

Diversified

Telecommunication

Services

1.5%

a

Altice

France

SA

,

Senior

Secured

Note

,

144A,

5.125

%

,

7/15/29

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

200,000

157,828

a

CCO

Holdings

LLC

/

CCO

Holdings

Capital

Corp.

,

Senior

Bond

,

144A,

5.125

%

,

5/01/27

400,000

379,046

536,874

Electric

Utilities

1.9%

a

NRG

Energy,

Inc.

,

Senior

Note

,

144A,

3.375

%

,

2/15/29

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

100,000

83,193

Pacific

Gas

and

Electric

Co.

,

Senior

Bond

,

4.55

%

,

7/01/30

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

200,000

182,673

PG&E

Corp.

,

Senior

Secured

Note

,

5

%

,

7/01/28

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

200,000

184,826

a

Vistra

Operations

Co.

LLC

,

Senior

Note

,

144A,

5

%

,

7/31/27

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

250,000

234,960

685,652

Electrical

Equipment

0.2%

a

Vertiv

Group

Corp.

,

Senior

Secured

Note

,

144A,

4.125

%

,

11/15/28

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

100,000

86,118

Energy

Equipment

&

Services

2.2%

a

Weatherford

International

Ltd.

,

Senior

Note,

144A,

8.625%,

4/30/30

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

600,000

576,117

Senior

Secured

Note,

144A,

6.5%,

9/15/28

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

200,000

192,840

768,957

Entertainment

0.8%

a

Netflix,

Inc.

,

Senior

Bond

,

144A,

5.375

%

,

11/15/29

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

300,000

294,901

Equity

Real

Estate

Investment

Trusts

(REITs)

2.5%

American

Tower

Corp.

,

Senior

Note

,

4.05

%

,

3/15/32

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

250,000

227,559

a

Iron

Mountain,

Inc.

,

Senior

Bond

,

144A,

5.25

%

,

7/15/30

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

100,000

90,127

MPT

Operating

Partnership

LP

/

MPT

Finance

Corp.

,

Senior

Bond

,

5

%

,

10/15/27

...

450,000

384,761

Service

Properties

Trust

,

Senior

Note

,

4.35

%

,

10/01/24

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

200,000

186,964

889,411

Food

Products

1.0%

a

JBS

USA

LUX

SA

/

JBS

USA

Food

Co.

/

JBS

USA

Finance,

Inc.

,

Senior

Bond

,

144A,

5.75

%

,

4/01/33

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

175,000

169,965

a

Post

Holdings,

Inc.

,

Senior

Bond

,

144A,

5.5

%

,

12/15/29

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

200,000

184,000

353,965

Health

Care

Equipment

&

Supplies

2.1%

a

Medline

Borrower

LP

,

Senior

Note,

144A,

5.25%,

10/01/29

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

600,000

489,675

Franklin

Strategic

Series

Schedule

of

Investments

(unaudited)

Franklin

Templeton

SMACS:

Series

I

(continued)

See

Notes

to

Schedules

of

Investments.

Quarterly

Schedules

of

Investments

13

a

a

Principal

Amount

a

Value

a

a

a

a

a

Corporate

Bonds

(continued)

Health

Care

Equipment

&

Supplies

(continued)

a

Medline

Borrower

LP,

(continued)

Senior

Secured

Note,

144A,

3.875%,

4/01/29

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

$

300,000

$

258,266

747,941

Health

Care

Providers

&

Services

16.1%

Centene

Corp.

,

Senior

Note

,

4.625

%

,

12/15/29

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

300,000

279,339

a

CHS/Community

Health

Systems,

Inc.

,

Secured

Note,

144A,

6.125%,

4/01/30

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

1,124,000

575,274

Senior

Note,

144A,

6.875%,

4/01/28

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

425,000

207,815

Senior

Secured

Note,

144A,

8%,

3/15/26

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

2,300,000

2,125,729

Senior

Secured

Note,

144A,

8%,

12/15/27

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

700,000

621,243

a

DaVita,

Inc.

,

Senior

Bond

,

144A,

3.75

%

,

2/15/31

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

800,000

589,216

a

Tenet

Healthcare

Corp.

,

Senior

Note,

144A,

6.125%,

10/01/28

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

850,000

751,464

Senior

Secured

Note,

144A,

6.125%,

6/15/30

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

650,000

616,713

5,766,793

Health

Care

Technology

0.2%

a

AthenaHealth

Group,

Inc.

,

Senior

Note

,

144A,

6.5

%

,

2/15/30

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

100,000

75,011

Hotels,

Restaurants

&

Leisure

6.1%

a

Caesars

Entertainment,

Inc.

,

Senior

Note

,

144A,

4.625

%

,

10/15/29

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

500,000

419,410

a

Carnival

Corp.

,

Senior

Note

,

144A,

10.5

%

,

6/01/30

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

300,000

257,421

a

Fertitta

Entertainment

LLC

/

Fertitta

Entertainment

Finance

Co.,

Inc.

,

Senior

Note

,

144A,

6.75

%

,

1/15/30

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

400,000

337,348

a

Penn

Entertainment,

Inc.

,

Senior

Note

,

144A,

4.125

%

,

7/01/29

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

200,000

163,365

a

Wynn

Las

Vegas

LLC

/

Wynn

Las

Vegas

Capital

Corp.

,

Senior

Bond

,

144A,

5.25

%

,

5/15/27

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

1,100,000

1,009,299

2,186,843

Household

Durables

0.9%

Shea

Homes

LP

/

Shea

Homes

Funding

Corp.

,

Senior

Note

,

4.75

%

,

4/01/29

.......

400,000

331,074

Household

Products

0.3%

a

Energizer

Holdings,

Inc.

,

Senior

Note

,

144A,

6.5

%

,

12/31/27

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

100,000

94,864

Independent

Power

and

Renewable

Electricity

Producers

1.5%

a

Calpine

Corp.

,

Senior

Note

,

144A,

4.625

%

,

2/01/29

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

300,000

259,401

a,b

Vistra

Corp.

,

Junior

Sub.

Bond

,

144A,

8%

to

10/14/26,

FRN

thereafter

,

Perpetual

....

300,000

285,554

544,955

Machinery

0.8%

a

Roller

Bearing

Co.

of

America,

Inc.

,

Senior

Note

,

144A,

4.375

%

,

10/15/29

.........

100,000

87,700

a

TK

Elevator

U.S.

Newco,

Inc.

,

Senior

Secured

Note

,

144A,

5.25

%

,

7/15/27

........

200,000

181,799

269,499

Media

9.3%

a

Clear

Channel

Outdoor

Holdings,

Inc.

,

Senior

Note,

144A,

7.5%,

6/01/29

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

300,000

223,300

Senior

Secured

Note,

144A,

5.125%,

8/15/27

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

300,000

258,990

CSC

Holdings

LLC

,

Senior

Bond,

5.25%,

6/01/24

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

400,000

385,924

a

Senior

Bond,

144A,

5.5%,

4/15/27

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

200,000

183,498

Franklin

Strategic

Series

Schedule

of

Investments

(unaudited)

Franklin

Templeton

SMACS:

Series

I

(continued)

Quarterly

Schedules

of

Investments

See

Notes

to

Schedules

of

Investments.

14

a

a

Principal

Amount

a

Value

a

a

a

a

a

Corporate

Bonds

(continued)

Media

(continued)

a

Directv

Financing

LLC

/

Directv

Financing

Co-Obligor,

Inc.

,

Senior

Secured

Note

,

144A,

5.875

%

,

8/15/27

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

$

200,000

$

183,749

DISH

DBS

Corp.

,

Senior

Note,

5%,

3/15/23

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

600,000

596,250

Senior

Note,

5.875%,

11/15/24

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

600,000

570,960

Senior

Note,

7.75%,

7/01/26

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

200,000

167,823

a

Stagwell

Global

LLC

,

Senior

Note

,

144A,

5.625

%

,

8/15/29

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

100,000

85,867

a

Univision

Communications,

Inc.

,

Senior

Secured

Note

,

144A,

6.625

%

,

6/01/27

.....

700,000

683,194

3,339,555

Metals

&

Mining

4.7%

ArcelorMittal

SA

,

Senior

Bond

,

6.8

%

,

11/29/32

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

400,000

404,594

a

Cleveland-Cliffs,

Inc.

,

Senior

Bond

,

144A,

4.875

%

,

3/01/31

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

150,000

130,399

a

First

Quantum

Minerals

Ltd.

,

Senior

Note

,

144A,

6.875

%

,

3/01/26

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

400,000

386,344

a

FMG

Resources

August

2006

Pty.

Ltd.

,

Senior

Bond

,

144A,

4.375

%

,

4/01/31

.......

800,000

674,920

a

Mineral

Resources

Ltd.

,

Senior

Note

,

144A,

8.5

%

,

5/01/30

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

100,000

102,123

1,698,380

Oil,

Gas

&

Consumable

Fuels

3.9%

a

Calumet

Specialty

Products

Partners

LP

/

Calumet

Finance

Corp.

,

Senior

Note,

144A,

11%,

4/15/25

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

600,000

635,457

Senior

Note,

144A,

8.125%,

1/15/27

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

200,000

192,286

a

CITGO

Petroleum

Corp.

,

Senior

Secured

Note

,

144A,

7

%

,

6/15/25

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

300,000

296,007

a

Hilcorp

Energy

I

LP

/

Hilcorp

Finance

Co.

,

Senior

Note

,

144A,

6

%

,

4/15/30

........

100,000

92,075

a

Kinetik

Holdings

LP

,

Senior

Note

,

144A,

5.875

%

,

6/15/30

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

200,000

188,221

1,404,046

Personal

Products

0.9%

a

BellRing

Brands,

Inc.

,

Senior

Note

,

144A,

7

%

,

3/15/30

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

100,000

96,742

GSK

Consumer

Healthcare

Capital

US

LLC

,

Senior

Note

,

3.625

%

,

3/24/32

........

250,000

220,857

317,599

Pharmaceuticals

7.0%

a

1375209

BC

Ltd.

,

Senior

Secured

Note

,

144A,

9

%

,

1/30/28

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

1,200,000

1,185,000

a

Bausch

Health

Cos.,

Inc.

,

Senior

Secured

Note

,

144A,

5.5

%

,

11/01/25

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

1,400,000

1,184,918

a,c

Par

Pharmaceutical,

Inc.

,

Senior

Secured

Note

,

144A,

7.5

%

,

4/01/27

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

160,000

120,694

2,490,612

Software

1.2%

a

Condor

Merger

Sub,

Inc.

,

Senior

Note

,

144A,

7.375

%

,

2/15/30

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

275,000

225,640

a

Rocket

Software,

Inc.

,

Senior

Note

,

144A,

6.5

%

,

2/15/29

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

150,000

118,192

Workday,

Inc.

,

Senior

Bond

,

3.8

%

,

4/01/32

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

100,000

89,442

433,274

Specialty

Retail

0.8%

a

Carvana

Co.

,

Senior

Note

,

144A,

10.25

%

,

5/01/30

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

125,000

53,272

Lowe's

Cos.,

Inc.

,

Senior

Bond

,

5

%

,

4/15/33

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

250,000

248,925

302,197

Tobacco

0.6%

BAT

Capital

Corp.

,

Senior

Note

,

3.557

%

,

8/15/27

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

250,000

228,220

Franklin

Strategic

Series

Schedule

of

Investments

(unaudited)

Franklin

Templeton

SMACS:

Series

I

(continued)

See

Notes

to

Schedules

of

Investments.

Quarterly

Schedules

of

Investments

15

See

Abbreviations

on

page

19

.

a

a

Principal

Amount

a

Value

a

a

a

a

a

Corporate

Bonds

(continued)

Trading

Companies

&

Distributors

1.3%

United

Rentals

North

America,

Inc.

,

Senior

Bond

,

5.25

%

,

1/15/30

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

$

500,000

$

471,928

Total

Corporate

Bonds

(Cost

$35,087,451)

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

34,674,177

Shares

Escrows

and

Litigation

Trusts

0.3%

a,d

Chesapeake

Energy

Corp.,

Escrow

Account

,

144A

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

100,000

96,167

Total

Escrows

and

Litigation

Trusts

(Cost

$100,000)

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

96,167

Total

Long

Term

Investments

(Cost

$35,187,451)

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

34,770,344

a

a

a

a

a

Short

Term

Investments

0.3%

a

Money

Market

Funds

0.3%

e,f

Institutional

Fiduciary

Trust

-

Money

Market

Portfolio,

3.446%

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

105,866

105,866

Total

Money

Market

Funds

(Cost

$105,866)

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

105,866

Total

Short

Term

Investments

(Cost

$105,866

)

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

105,866

a

Total

Investments

(Cost

$35,293,317)

97.4%

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

$34,876,210

Other

Assets,

less

Liabilities

2.6%

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

924,552

Net

Assets

100.0%

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

$35,800,762

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

November

30,

2022,

the

aggregate

value

of

these

securities

was

$25,812,619,

representing

72.1%

of

net

assets.

b

Perpetual

security

with

no

stated

maturity

date.

c

Defaulted

security

or

security

for

which

income

has

been

deemed

uncollectible.

d

Non-income

producing.

e

See

Note

3

regarding

investments

in

affiliated

management

investment

companies.

f

The

rate

shown

is

the

annualized

seven-day

effective

yield

at

period

end.

Franklin

Strategic

Series

Notes

to

Schedules

of

Investments

(unaudited)

16

Quarterly

Schedules

of

Investments

1.

Organization

Franklin

Strategic

Series (Trust)

is

registered

under

the

Investment

Company

Act

of

1940

(1940

Act)

as

an

open-end

management

investment

company,

consisting

of ten

separate

funds, four

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

Fund’s

Board

of

Trustees

(the

Board),

the

Board

has

designated

the

Fund's

investment

manager

as

the

valuation

designee

and

has

responsibility

for

oversight

of

valuation.

The

investment

manager

is

assisted

by

the

Fund's

administrator

in

performing

this

responsibility,

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. 

Equity

securities

and

exchange

traded

funds

listed

on

an

exchange

or

on

the

NASDAQ

National

Market

System

are

valued

at

the

last

quoted

sale

price

or

the

official

closing

price

of

the

day,

respectively.

Foreign

equity

securities

are

valued

as

of

the

close

of

trading

on

the

foreign

stock

exchange

on

which

the

security

is

primarily

traded

or

as

of

4

p.m.

Eastern

time.

The

value

is

then

converted

into

its

U.S.

dollar

equivalent

at

the

foreign

exchange

rate

in

effect

at

4

p.m. Eastern

time

on

the

day

that

the

value

of

the

security

is

determined.

Over-the-counter

(OTC)

securities

are

valued

within

the

range

of

the

most

recent

quoted

bid

and

ask

prices.

Securities

that

trade

in

multiple

markets

or

on

multiple

exchanges

are

valued

according

to

the

broadest

and

most

representative

market.

Certain

equity

securities

are

valued

based

upon

fundamental

characteristics

or

relationships

to

similar

securities. 

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.

Certain

derivative

financial

instruments

trade

in

the

OTC

market.

The

Funds’

pricing

services

use

various

techniques

including

industry

standard

option

pricing

models

and

proprietary

discounted

cash

flow

models

to

determine

the

fair

value

of

those

instruments.

The

Funds’ net

benefit

or

obligation

under

the

derivative

contract,

as

measured

by

the

fair

value

of

the

contract,

is

included

in

net

assets. 

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. 

Franklin

Strategic

Series

Notes

to

Schedules

of

Investments

(unaudited)

17

Quarterly

Schedules

of

Investments

Trading

in

securities

on

foreign

securities

stock

exchanges

and

OTC

markets

may

be

completed

before

4

p.m.

Eastern

time.

In

addition,

trading

in

certain

foreign

markets

may

not

take

place

on

every

Funds’ business

day.

Events

can

occur

between

the

time

at

which

trading

in

a

foreign

security

is

completed

and

4

p.m.

Eastern

time

that

might

call

into

question

the

reliability

of

the

value

of

a

portfolio

security

held

by

the

Fund.

As

a

result,

differences

may

arise

between

the

value

of

the

Funds’

portfolio

securities

as

determined

at

the

foreign

market

close

and

the

latest

indications

of

value

at

4

p.m.

Eastern

time.

In

order

to

minimize

the

potential

for

these

differences,

an

independent

pricing

service

may

be

used

to

adjust

the

value

of

the

Funds'

portfolio

securities

to

the

latest

indications

of

fair

value

at 4

p.m.

Eastern

time.

At

November

30,

2022,

certain

securities

may

have

been

fair

valued

using

these

procedures,

in

which

case

the

securities

were

categorized

as

Level

2

inputs

within

the

fair

value

hierarchy

(referred

to

as

"market

level

fair

value").

See

the

Fair

Value

Measurements

note

for

more

information.

When

the

last

day

of

the

reporting

period

is

a

non-business

day,

certain

foreign

markets

may

be

open

on

those

days

that

the

Funds’

NAV

is

not

calculated,

which

could

result

in

differences

between

the

value

of

the

Funds’

portfolio securities

on

the

last

business

day

and

the

last

calendar

day

of

the

reporting

period.

Any

security

valuation

changes

due

to

an

open

foreign

market

are

adjusted

and

reflected

by

the

Funds for

financial

reporting

purposes.

3.

Investments

in

Affiliated

Management

Investment

Companies 

Certain

or

all

Funds

invest

in

one

or

more

affiliated

management

investment

companies.

As

defined

in

the

1940

Act,

an

investment

is

deemed

to

be

a

“Controlled

Affiliate”

of

a

fund

when

a

fund

owns,

either

directly

or

indirectly,

25%

or

more

of

the

affiliated

fund’s

outstanding

shares

or

has

the

power

to

exercise

control

over

management

or

policies

of

such

fund.

The

Funds

do

not

invest

for

purposes

of

exercising

a

controlling

influence

over

the

management

or

policies.

During

the

period

ended

November

30,

2022,

investments

in

affiliated

management

investment

companies

were

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

Templeton

SMACS:

Series

E

Non-Controlled

Affiliates

Dividends

Institutional

Fiduciary

Trust

-

Money

Market

Portfolio,

3.446%

$

321,782

$

5,890,818

$

(6,156,122)

$

—

$

—

$

56,478

56,478

$

3,563

Total

Affiliated

Securities

...

$321,782

$5,890,818

$(6,156,122)

$—

$—

$56,478

$3,563

Franklin

Templeton

SMACS:

Series

H

Non-Controlled

Affiliates

Dividends

Franklin

Dynamic

Municipal

Bond

ETF

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

833,000

—

—

—

(11,900)

821,100

35,000

6,657

Total

Affiliated

Securities

...

$833,000

$—

$—

$—

$(11,900)

$821,100

$6,657

2. Financial

Instrument

Valuation

(continued)

Franklin

Strategic

Series

Notes

to

Schedules

of

Investments

(unaudited)

18

Quarterly

Schedules

of

Investments

4. 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

November

30,

2022,

in

valuing

the

Funds’

assets

and

liabilities 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

Franklin

Templeton

SMACS:

Series

I

Non-Controlled

Affiliates

Dividends

Institutional

Fiduciary

Trust

-

Money

Market

Portfolio,

3.446%

$

686,333

$

8,790,541

$

(9,371,008)

$

—

$

—

$

105,866

105,866

$

4,586

Total

Affiliated

Securities

...

$686,333

$8,790,541

$(9,371,008)

$—

$—

$105,866

$4,586

Level

1

Level

2

Level

3

Total

Franklin

Templeton

SMACS:

Series

CH

Assets:

Municipal

Bonds

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

$

—

$

2,967,192

$

—

$

2,967,192

Total

Investments

in

Securities

...........

$—

$2,967,192

$—

$2,967,192

Franklin

Templeton

SMACS:

Series

E

Assets:

Investments

in

Securities:

Common

Stocks

:

Automobiles

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

268,836

—

—

268,836

Banks

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

2,119,774

—

—

2,119,774

Chemicals

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

930,480

—

—

930,480

Communications

Equipment

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

1,173,392

—

—

1,173,392

Diversified

Telecommunication

Services

.....

190,506

—

—

190,506

Entertainment

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

215,314

—

—

215,314

Health

Care

Equipment

&

Supplies

.........

39,520

—

—

39,520

Industrial

Conglomerates

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

504,965

319,037

—

824,002

Insurance

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

306,800

—

—

306,800

Internet

&

Direct

Marketing

Retail

..........

366,852

—

—

366,852

Metals

&

Mining

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

1,918,363

—

—

1,918,363

Multiline

Retail

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

1,035,834

—

—

1,035,834

3.

Investments

in

Affiliated

Management

Investment

Companies 

(continued)

Franklin

Strategic

Series

Notes

to

Schedules

of

Investments

(unaudited)

19

Quarterly

Schedules

of

Investments

Abbreviations

Level

1

Level

2

Level

3

Total

Franklin

Templeton

SMACS:

Series

E

(continued)

Assets:

(continued)

Investments

in

Securities:

Common

Stocks:

Oil,

Gas

&

Consumable

Fuels

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

$

218,470

$

—

$

—

$

218,470

Pharmaceuticals

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

561,960

—

—

561,960

Semiconductors

&

Semiconductor

Equipment

.

2,646,821

—

—

2,646,821

Specialty

Retail

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

907,172

—

—

907,172

Tobacco

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

598,020

—

—

598,020

Equity-Linked

Securities

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

—

6,429,289

—

6,429,289

Convertible

Preferred

Stocks

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

1,455,366

—

—

1,455,366

Corporate

Bonds

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

—

875,863

—

875,863

Short

Term

Investments

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

56,478

—

—

56,478

Total

Investments

in

Securities

...........

$15,514,923

$7,624,189

a

$—

$23,139,112

Liabilities:

Other

Financial

Instruments:

Options

written

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

$

485,596

$

—

$

—

$

485,596

Total

Other

Financial

Instruments

.........

$485,596

$—

$—

$485,596

Franklin

Templeton

SMACS:

Series

H

Assets:

Investments

in

Securities:

b

Management

Investment

Companies

.........

821,100

—

—

821,100

Municipal

Bonds

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

—

2,092,553

—

2,092,553

Total

Investments

in

Securities

...........

$821,100

$2,092,553

$—

$2,913,653

Franklin

Templeton

SMACS:

Series

I

Assets:

Investments

in

Securities:

b

Corporate

Bonds

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

—

34,674,177

—

34,674,177

Escrows

and

Litigation

Trusts

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

—

96,167

—

96,167

Short

Term

Investments

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

105,866

—

—

105,866

Total

Investments

in

Securities

...........

$105,866

$34,770,344

$—

$34,876,210

Other

Financial

Instruments:

Futures

contracts

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

$

11,636

$

—

$

—

$

11,636

Total

Other

Financial

Instruments

.........

$11,636

$—

$—

$11,636

a

Includes

foreign

securities

valued

at

$319,037,

which

were

categorized

as

Level

2

as

a

result

of

the

application

of

market

level

fair

value

procedures.

See

the

Financial

Instrument

Valuation

note

for

more

information.

b

For

detailed

categories,

see

the

accompanying

Schedule

of

Investments.

Selected

Portfolio

ADR

American

Depositary

Receipt

CMT

Constant

Monthly

U.S.

Treasury

Securities

Yield

Curve

Rate

Index

ETF

Exchange-Traded

Fund

GO

General

Obligation

SOFR

Secured

Overnight

Financing

Rate

4. 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.