Franklin Sustainable International Equity ETF (MCSE) is an actively managed exchange-traded fund that seeks long-term capital appreciation by investing primarily in 20 to 40 equity and equity-related securities of foreign companies meeting specific environmental, social, and governance (ESG) criteria. The fund employs a high-conviction, flexible investment approach across various sectors, geographies, market capitalizations, and at least three countries, unconstrained by benchmarks like the MSCI All Country World ex-US Index; it incorporates proprietary fundamental research and ESG analysis to select concentrated, quality growth stocks, including depositary receipts, preferred stocks, convertibles, and other ETFs as needed. Issued by Franklin Templeton, a global investment management firm founded in 1947 and headquartered in San Mateo, California, MCSE targets institutional and retail investors seeking sustainable international equity exposure outside the United States, with operations spanning developed and emerging markets worldwide.
In recent developments, effective June 30, 2025, the fund underwent a name change from Martin Currie Sustainable International Equity ETF to its current title, reflecting integration under the Franklin Templeton brand; it also entered a new sub-advisor agreement with Franklin Templeton Investment Management Limited to enhance management capabilities. The ETF converted from an open-end mutual fund to ETF structure prior to October 31, 2022 listing on NASDAQ, maintaining identical investment objectives and substantially similar strategies as its predecessor with inception roots dating to November 30, 2015. No major funding rounds, acquisitions, or product launches beyond these transitions have been reported in the last two years, though performance contributors have included holdings like ASML Holding NV, Taiwan Semiconductor Manufacturing Co., and Alibaba Group Holding Ltd., amid ongoing macroeconomic adjustments.