Franklin Templeton Launches ETFs Reinvesting Stock Dividends Into Bitcoin

Franklin Templeton launched two hybrid exchange-traded funds, the Franklin U.S. Equity Bitcoin DRIP Index ETF (FBEQ) and the Franklin U.S. Innovation Bitcoin DRIP Index ETF (FIBT), which systematically redirect equity dividends into Bitcoin. Following SEC filings in June, the funds began trading on October 29. At debut, both funds allocated 95% to equities and 5% to Bitcoin, using quarterly rebalancing to cap cryptocurrency exposure at 5%. FBEQ tracks roughly 500 large-cap stocks with a 0.09% expense ratio and about $4.93 million in assets. FIBT tracks 100 non-financial companies with a 0.19% expense ratio and about $4.68 million in assets.