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Franklin <strong>Templeton</strong> Investments Funds<br />

NOTES TO FINANCIAL STATEMENTS For the periods ended December 31, 2012 and 2011 (Continued)<br />

10. Financial Risk Management (Continued)<br />

Franklin <strong>Templeton</strong> Global Blend Fund<br />

December 31, 2012 December 31, 2011<br />

Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total<br />

(000s) (000s) (000s) (000s) (000s) (000s) (000s) (000s)<br />

Investments in mutual<br />

funds/unit trusts ..... $813 $ — $ — $813 $794 $ — $ — $794<br />

Total Investments ....... $813 $ — $ — $813 $794 $ — $ — $794<br />

Franklin <strong>Templeton</strong> Money Market Fund<br />

December 31, 2012 December 31, 2011<br />

Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total<br />

(000s) (000s) (000s) (000s) (000s) (000s) (000s) (000s)<br />

Bonds ............... $ — $139,506 $ — $139,506 $ — $156,027 $ — $156,027<br />

Short-term securities .... — 95,408 — 95,408 — 103,609 — 103,609<br />

Total Investments ....... $ — $234,914 $ — $234,914 $ — $259,636 $ — $259,636<br />

Franklin <strong>Templeton</strong> Treasury Bill Fund<br />

December 31, 2012 December 31, 2011<br />

Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total<br />

(000s) (000s) (000s) (000s) (000s) (000s) (000s) (000s)<br />

Bonds ............... $ — $38,135 $ — $38,135 $ — $ 71,067 $ — $ 71,067<br />

Short-term securities .... — 51,897 — 51,897 — 32,786 — 32,786<br />

Total Investments ....... $ — $90,032 $ — $90,032 $ — $103,853 $ — $103,853<br />

Franklin <strong>Templeton</strong> U.S. Money Market Fund (in USD)<br />

December 31, 2012 December 31, 2011<br />

Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total<br />

(000s) (000s) (000s) (000s) (000s) (000s) (000s) (000s)<br />

Bonds ............... $ — $ 4,000 $ — $ 4,000 $ — $ 7,680 $ — $ 7,680<br />

Short-term securities .... — 18,195 — 18,195 — 14,683 — 14,683<br />

Total Investments ....... $ — $22,195 $ — $22,195 $ — $22,363 $ — $22,363<br />

For the Funds with Level 3 securities, there is no significant impact to the net assets of those Funds if changes are made to one or more of<br />

the significant assumptions in the current valuation model to reasonably possible alternative assumptions. A reconciliation of investments<br />

measured at fair value using unobservable inputs (Level 3) for the applicable fund is presented as follows:<br />

<strong>Templeton</strong> Global Balanced Fund<br />

December 31, 2012<br />

Equities — long Total<br />

(000s) (000s)<br />

Opening ................................................................................. $— $—<br />

Sales .................................................................................... — —<br />

Purchases ............................................................................... — —<br />

Net Transfers ............................................................................. 38 38<br />

Net realized gains (losses) ................................................................... — —<br />

Net change in unrealized appreciation (depreciation) ............................................. — —<br />

Ending .................................................................................. 38 38<br />

Total change in unrealized appreciation (depreciation) on investments held at December 31 .............. — —<br />

Franklin <strong>Templeton</strong> Investments Funds 243

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