AXA/Franklin Balanced Managed Volatility Portfolio

Data updated: 2021-08-25

C000035600 — AXA/Franklin Balanced Managed Volatility Portfolio. Holdings, fees, performance and SEC filings.

C000035600 Fund Overview

AXA/Franklin Balanced Managed Volatility Portfolio is a US mutual fund managed by Eq Advisors Trust, categorised as Emerging Markets Multi-Cap / All-Cap Blend / Core Equity. ABC INVEST provides holdings, performance, costs, cashflows, risk data, prospectus documents and SEC filings, sourced from SEC filings.

Type: US mutual fund
Manager: Eq Advisors Trust
Category: Emerging Markets Multi-Cap / All-Cap Blend / Core Equity
1-year return: 20.7%
SEC CIK: 0001027263
SEC series ID: S000013248
Share class ID: C000035600

C000035600 Investment Objective and Strategy

AXA/Franklin Balanced Managed Volatility Portfolio describes its objective and strategy as follows, from its latest prospectus filed with the SEC by Eq Advisors Trust.

Investment objective

Seeks to maximize income while maintaining prospects for capital appreciation with an emphasis on risk-adjusted returns and managing volatility in the Portfolio.

Principal investment strategy

The Portfolios assets normally are allocated between two investment managers, each of which will manage its portion of the Portfolio using a different but complementary investment strategy. One portion of the Portfolio is actively managed by a Sub-Adviser (Active Allocated Portion); the other portion of the Portfolio seeks to track the performance of a particular index or indices (Index Allocated Portion). Under normal circumstances, the Active Allocated Portion will consist of approximately 50% of the Portfolios net assets, and the Index Allocated Portion will consist of approximately 50% of the Portfolios net assets. These percentages are targets established by the Adviser; actual allocations may deviate from these targets. In addition, the Portfolio invests in a mix of debt and equity securities and normally will invest at least 25% of its net assets in debt securities and at least 25% of its net assets in equity securities.

Under normal circumstances, the Active Allocated Portion invests in a diversified portfolio of debt and equity securities. Debt securities include all varieties of fixed, floating and variable rate instruments, including secured and unsecured bonds, bonds convertible into common stock, senior floating rate and term loans, mortgage and other asset-backed securities, debentures, zero coupon notes, and shorter term instruments. Equity securities include common stocks and preferred stocks. The Active Allocated Portion may shift its investments from one asset class to another based on the Sub-Advisers analysis of the best opportunity for the Portfolio in a given market. The Active Allocated Portion seeks income by selecting investments such as corporate, foreign and U.S. treasury bonds, as well as stocks with dividend yields the Sub-Adviser believes are attractive.

In searching for growth opportunities, the Portfolio maintains the flexibility to invest in common stocks of companies from a variety of industries but from time to time, based on economic conditions the Active Allocated Portion may have significant investments in particular sectors. The Active Allocated Portion may invest up to 100% of its total assets in debt securities that are rated below investment grade, including a portion in defaulted securities. Securities below investment grade include those securities rated Ba or lower by Moodys Investors Service, Inc. (Moodys) or BB or lower by Standard & Poors Global Ratings (S&P) or, if unrated, securities deemed by the Adviser or Sub-Adviser to be of comparable quality. Such securities are often referred to as junk bonds. The Active Allocated Portion may invest in convertible securities without regard to the ratings assigned by ratings services.

If subsequent to its purchase a security is downgraded in rating or goes into default, the Sub-Adviser to the Active Allocated Portion will consider such events in its evaluation of the overall investment merits of that security but will not necessarily dispose of the security immediately. The Active Allocated Portion also may invest in investment grade fixed income securities, asset- and mortgage-backed securities and, to a limited extent, loan participations and U.S. Government securities. The Active Allocated Portion also may invest up to 25% of its assets in foreign securities, including emerging markets securities. In choosing investments, the Sub-Adviser to the Active Allocated Portion searches for undervalued or out-of-favor securities it believes offer current opportunities for income and significant growth in the future.

The Sub-Adviser may sell a security for a variety of reasons, such as to invest in a company believed by the Sub-Adviser to offer superior investment opportunities. The Index Allocated Portion of the Portfolio is comprised of two strategies, one of which seeks to track the performance (before fees and expenses) of the Standard & Poors 500 Composite Stock Index (the S&P 500 Index) with minimal tracking error, and a second component which seeks to invest in securities comprising the Bloomberg Barclays U.S. Intermediate Government/Credit Bond Index (Intermediate Government/Credit Index), which includes U.S. Treasuries, government-related issues (i.e., agency, sovereign, supranational, and local authority debt), and investment grade corporate bonds with maturities of one to 10 years. Each such strategy is commonly referred to as an indexing strategy.

Generally, the S&P 500 Index portion of the Index Allocated Portion uses a full replication technique, and the Intermediate Government/Credit Index portion of the Index Allocated Portion utilizes a sampling approach. Each portion of the Index Allocated Portion also may invest in other instruments, such as futures and options contracts, that provide comparable exposure as the index without buying the underlying securities comprising the index. AXA Equitable Funds Management Group, LLC (FMG LLC or the Adviser) also may utilize futures and options, such as exchange-traded futures and options contracts on securities indices, to manage equity exposure. Futures and options can provide exposure to the performance of a securities index without buying the underlying securities comprising the index.

They also provide a means to manage the Portfolios equity exposure without having to buy or sell securities. When market volatility is increasing above specific thresholds set for the Portfolio, the Adviser may limit equity exposure either by reducing investments in securities, shorting or selling long futures and options positions on an index, increasing cash levels, and/or shorting an index. During such times, the Portfolios exposure to equity securities may be significantly less than that of a traditional equity portfolio. Volatility is a statistical measure of the magnitude of changes in the Portfolios returns, without regard to the direction of those changes. Higher volatility generally indicates higher risk and is often reflected by frequent and sometimes significant movements up and down in value.

Volatility management techniques may reduce potential losses and/or mitigate financial risks to insurance companies that provide certain benefits and guarantees available under the Contracts and offer the Portfolio as an investment option in their products. The Portfolio may invest up to 25% of its assets in derivatives. It is anticipated that the Portfolios derivative instruments will consist primarily of exchange-traded futures and options contracts on securities indices, but the Portfolio also may utilize other types of derivatives. The Portfolios investments in derivatives may be deemed to involve the use of leverage because the Portfolio is not required to invest the full market value of the contract upon entering into the contract but participates in gains and losses on the full contract price.

The use of derivatives also may be deemed to involve the use of leverage because the heightened price sensitivity of some derivatives to market changes may magnify the Portfolios gain or loss. It is not generally expected, however, that the Portfolio will be leveraged by borrowing money for investment purposes. The Portfolio may maintain a significant percentage of its assets in cash and cash equivalent instruments, some of which may serve as margin or collateral for the Portfolios obligations under derivative transactions. The Portfolio also may use financial instruments such as futures and options to manage duration. Duration is a measure used to determine the sensitivity of a securitys price to interest rates. Typically, a bond portfolio with a low (short) duration means that its value is less sensitive to interest rate changes, while a bond portfolio with a high (long) duration is more sensitive.

The Portfolio also may lend its portfolio securities to earn additional income.

C000035600 Performance

Total returns for C000035600 (as of 2026-10-01), from SEC filings.

Period	Total return
1 year	20.7%

C000035600 Risk Information

Risk metrics for C000035600, derived from monthly returns in SEC filings.

1-year volatility (annualised): 8.0%

C000035600 Costs and Fees

C000035600 costs about $105 per $10,000 invested per year in fund expenses.

Net expense ratio: 1.05%
Gross expense ratio: 1.06%
Portfolio turnover: 24%
Brokerage commissions: 1.85 bps of average net assets (SEC N-CEN)

C000035600 Cashflows

Over the 12 months to 2021-06, AXA/Franklin Balanced Managed Volatility Portfolio had net inflows of $171.41M, from monthly SEC N-PORT filings.

Month	Net flow
2021-06	$196.24M
2021-05	−$7.73M
2021-04	−$6.90M
2021-03	−$9.01M
2021-02	−$4.42M
2021-01	−$7.65M

C000035600 Debt Constituents

No individual debt constituents are reported in AXA/Franklin Balanced Managed Volatility Portfolio's latest SEC N-PORT filing.

C000035600 Prospectus and SEC Filings

Official AXA/Franklin Balanced Managed Volatility Portfolio filings on SEC EDGAR — prospectus, portfolio holdings and annual reports.

Related Funds

Other Emerging Markets Multi-Cap / All-Cap Blend / Core Equity funds tracked on ABC INVEST:

Data Sources

ABC INVEST compiles this page from public filings made to the U.S. Securities and Exchange Commission (SEC) through EDGAR: portfolio holdings and monthly cashflows from Form N-PORT, expenses and returns from fund prospectuses (Form 485BPOS) and the SEC DERA Risk/Return Summary data sets, annual data from Form N-CEN, and shareholder reports from Form N-CSR.