Franklin California High Yield Municipal Fund N-CSR 半年度报告披露持仓及业绩数据

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM N-CSR

CERTIFIED SHAREHOLDER REPORT OF REGISTERED

MANAGEMENT INVESTMENT COMPANIES

Investment Company Act file number 811-06481

Franklin Municipal Securities Trust

(Exact name of registrant as specified in charter)

One Franklin Parkway, San Mateo, CA 94403-1906

(Address of principal executive offices) (Zip code)

Alison Baur

Franklin Templeton

One Franklin Parkway

San Mateo, CA 94403-1906

(Name and address of agent for service)

Registrant’s telephone number, including area code: (650) 312-2000

Date of fiscal year end: February 28

Date of reporting period: August 31, 2026

This semi-annual shareholder report contains important information about Franklin California High Yield Municipal Fund for the period March 1, 2026, to August 31, 2026.
You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) DIAL BEN/342-5236.  

WHAT WERE THE FUND COSTS FOR THE LAST SIX MONTHS? (based on a hypothetical $10,000 investment)

KEY FUND STATISTICS (as of August 31, 2026)

WHAT DID THE FUND INVEST IN? (as of August 31, 2026)

Portfolio Composition^* (% of Total Investments)

23.520.612.611.39.46.96.34.51.71.60.90.40.3

This semi-annual shareholder report contains important information about Franklin California High Yield Municipal Fund for the period March 1, 2026, to August 31, 2026.
You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) DIAL BEN/342-5236.  

WHAT WERE THE FUND COSTS FOR THE LAST SIX MONTHS? (based on a hypothetical $10,000 investment)

KEY FUND STATISTICS (as of August 31, 2026)

WHAT DID THE FUND INVEST IN? (as of August 31, 2026)

Portfolio Composition^* (% of Total Investments)

23.520.612.611.39.46.96.34.51.71.60.90.40.3

This semi-annual shareholder report contains important information about Franklin California High Yield Municipal Fund for the period March 1, 2026, to August 31, 2026.
You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) DIAL BEN/342-5236.  

WHAT WERE THE FUND COSTS FOR THE LAST SIX MONTHS? (based on a hypothetical $10,000 investment)

KEY FUND STATISTICS (as of August 31, 2026)

WHAT DID THE FUND INVEST IN? (as of August 31, 2026)

Portfolio Composition^* (% of Total Investments)

23.520.612.611.39.46.96.34.51.71.60.90.40.3

This semi-annual shareholder report contains important information about Franklin California High Yield Municipal Fund for the period March 1, 2026, to August 31, 2026.
You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) DIAL BEN/342-5236.  

WHAT WERE THE FUND COSTS FOR THE LAST SIX MONTHS? (based on a hypothetical $10,000 investment)

KEY FUND STATISTICS (as of August 31, 2026)

WHAT DID THE FUND INVEST IN? (as of August 31, 2026)

Portfolio Composition^* (% of Total Investments)

23.520.612.611.39.46.96.34.51.71.60.90.40.3

This semi-annual shareholder report contains important information about Franklin California High Yield Municipal Fund for the period March 1, 2026, to August 31, 2026.
You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) DIAL BEN/342-5236.  

WHAT WERE THE FUND COSTS FOR THE LAST SIX MONTHS? (based on a hypothetical $10,000 investment)

KEY FUND STATISTICS (as of August 31, 2026)

WHAT DID THE FUND INVEST IN? (as of August 31, 2026)

Portfolio Composition^* (% of Total Investments)

23.520.612.611.39.46.96.34.51.71.60.90.40.3

Not applicable

Not applicable

Not applicable.

Not applicable.

Franklin

California

High

Yield

Municipal

Fund

Financial

Statements

and

Other

Important

Information

Semi-Annual

|

August

31, 2026

If

you

need

assistance

accessing

this

content,

please

reach

out

to

your

sales

representative

or

send

an

email

to

[email protected]

.

Table

of

Contents

franklintempleton.com

Financial

Statements

and

Other

Important

Information—Semiannual

1

Financial

Highlights

and

Schedule

of

Investments

2

Financial

Statements

31

Notes

to

Financial

Statements

35

Changes

In

and

Disagreements

with

Accountants

44

Results

of

Meeting(s)

of

Shareholders

44

Remuneration

Paid

to

Directors,

Officers

and

Others

44

Board

Approval

of

Management

and

Subadvisory

Agreements

44

Franklin

Municipal

Securities

Trust

Financial

Highlights

Franklin

California

High

Yield

Municipal

Fund

franklintempleton.com

Semiannual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

2

a

Six

Months

Ended

August

31,

2026

(unaudited)

Year

Ended

February

28,

Year

Ended

February

28,

2022

b

Year

Ended

May

31,

2021

2026

2025

2024

a

2023

Class

A

Per

share

operating

performance

(for

a

share

outstanding

throughout

the

period)

Net

asset

value,

beginning

of

period

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

$9.86

$9.91

$9.85

$9.69

$11.02

$11.49

$10.81

Income

from

investment

operations

c

:

Net

investment

income

d

.

0.20

0.41

0.39

0.39

0.36

0.26

0.35

Net

realized

and

unrealized

gains

(losses)

...........

(0.32)

(0.06)

0.06

0.16

(1.35)

(0.49)

0.67

Total

from

investment

operations

...........

(0.12)

0.35

0.45

0.55

(0.99)

(0.23)

1.02

Less

distributions

from:

Net

investment

income

..

(0.20)

(0.40)

(0.39)

(0.39)

(0.34)

(0.24)

(0.34)

Net

asset

value,

end

of

period

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

$9.54

$9.86

$9.91

$9.85

$9.69

$11.02

$11.49

Total

return

e

...........

(1.19)%

3.74%

4.67%

5.85%

(9.03)%

(2.09)%

9.57%

Ratios

to

average

net

assets

f

Expenses

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

0.80%

0.81%

0.80%

g

0.84%

g

0.88%

g

0.81%

g

0.79%

g

Net

investment

income

...

4.19%

4.21%

3.98%

4.10%

3.63%

2.88%

3.10%

Supplemental

data

Net

assets,

end

of

period

(000’s)

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

$1,205,935

$1,168,018

$981,536

$710,549

$595,614

$714,052

$618,967

Portfolio

turnover

rate

....

3.43%

13.89%

10.33%

10.93%

18.77%

10.19%

9.20%

a

For

the

year

ended

February

29.

b

For

the

period

June

1,

2021

to

February

28,

2022.

c

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchases

of

the

Fund’s

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

d

Based

on

average

daily

shares

outstanding.

e

Total

return

does

not

reflect

sales

commissions

or

contingent

deferred

sales

charges,

if

applicable,

and

is

not

annualized

for

periods

less

than

one

year.

f

Ratios

are

annualized

for

periods

less

than

one

year.

g

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

Franklin

Municipal

Securities

Trust

Financial

Highlights

Franklin

California

High

Yield

Municipal

Fund

(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Semiannual

Report

3

a

Six

Months

Ended

August

31,

2026

(unaudited)

Year

Ended

February

28,

Year

Ended

February

28,

2022

b

Year

Ended

May

31,

2021

2026

2025

2024

a

2023

Class

A1

Per

share

operating

performance

(for

a

share

outstanding

throughout

the

period)

Net

asset

value,

beginning

of

period

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

$9.84

$9.89

$9.83

$9.67

$10.99

$11.47

$10.79

Income

from

investment

operations

c

:

Net

investment

income

d

.

0.21

0.42

0.41

0.41

0.38

0.26

0.37

Net

realized

and

unrealized

gains

(losses)

...........

(0.32)

(0.05)

0.06

0.15

(1.35)

(0.49)

0.67

Total

from

investment

operations

...........

(0.11)

0.37

0.47

0.56

(0.97)

(0.23)

1.04

Less

distributions

from:

Net

investment

income

..

(0.21)

(0.42)

(0.41)

(0.40)

(0.35)

(0.25)

(0.36)

Net

asset

value,

end

of

period

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

$9.52

$9.84

$9.89

$9.83

$9.67

$10.99

$11.47

Total

return

e

...........

(1.11)%

3.91%

4.84%

6.02%

(8.83)%

(2.07)%

9.76%

Ratios

to

average

net

assets

f

Expenses

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

0.65%

0.66%

0.65%

g

0.69%

g

0.72%

g

0.66%

g

0.64%

g

Net

investment

income

...

4.34%

4.37%

4.13%

4.25%

3.78%

3.04%

3.27%

Supplemental

data

Net

assets,

end

of

period

(000’s)

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

$619,494

$662,265

$712,086

$776,199

$862,312

$1,166,095

$1,254,701

Portfolio

turnover

rate

....

3.43%

13.89%

10.33%

10.93%

18.77%

10.19%

9.20%

a

For

the

year

ended

February

29.

b

For

the

period

June

1,

2021

to

February

28,

2022.

c

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchases

of

the

Fund’s

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

d

Based

on

average

daily

shares

outstanding.

e

Total

return

does

not

reflect

sales

commissions

or

contingent

deferred

sales

charges,

if

applicable,

and

is

not

annualized

for

periods

less

than

one

year.

f

Ratios

are

annualized

for

periods

less

than

one

year.

g

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

Franklin

Municipal

Securities

Trust

Financial

Highlights

Franklin

California

High

Yield

Municipal

Fund

(continued)

franklintempleton.com

Semiannual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

4

a

Six

Months

Ended

August

31,

2026

(unaudited)

Year

Ended

February

28,

Year

Ended

February

28,

2022

b

Year

Ended

May

31,

2021

2026

2025

2024

a

2023

Class

C

Per

share

operating

performance

(for

a

share

outstanding

throughout

the

period)

Net

asset

value,

beginning

of

period

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

$9.91

$9.97

$9.91

$9.75

$11.08

$11.56

$10.87

Income

from

investment

operations

c

:

Net

investment

income

d

.

0.18

0.37

0.35

0.36

0.32

0.21

0.30

Net

realized

and

unrealized

gains

(losses)

...........

(0.32)

(0.07)

0.06

0.15

(1.35)

(0.49)

0.69

Total

from

investment

operations

...........

(0.14)

0.30

0.41

0.51

(1.03)

(0.28)

0.99

Less

distributions

from:

Net

investment

income

..

(0.18)

(0.36)

(0.35)

(0.35)

(0.30)

(0.20)

(0.30)

Net

asset

value,

end

of

period

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

$9.59

$9.91

$9.97

$9.91

$9.75

$11.08

$11.56

Total

return

e

...........

(1.38)%

3.20%

4.22%

5.39%

(9.35)%

(2.46)%

9.18%

Ratios

to

average

net

assets

f

Expenses

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

1.20%

1.20%

1.20%

g

1.23%

g

1.27%

g

1.20%

g

1.19%

g

Net

investment

income

...

3.76%

3.78%

3.54%

3.66%

3.19%

2.47%

2.69%

Supplemental

data

Net

assets,

end

of

period

(000’s)

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

$66,357

$73,036

$85,107

$92,877

$118,149

$180,173

$223,652

Portfolio

turnover

rate

....

3.43%

13.89%

10.33%

10.93%

18.77%

10.19%

9.20%

a

For

the

year

ended

February

29.

b

For

the

period

June

1,

2021

to

February

28,

2022.

c

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchases

of

the

Fund’s

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

d

Based

on

average

daily

shares

outstanding.

e

Total

return

does

not

reflect

sales

commissions

or

contingent

deferred

sales

charges,

if

applicable,

and

is

not

annualized

for

periods

less

than

one

year.

f

Ratios

are

annualized

for

periods

less

than

one

year.

g

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

Franklin

Municipal

Securities

Trust

Financial

Highlights

Franklin

California

High

Yield

Municipal

Fund

(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Semiannual

Report

5

a

Six

Months

Ended

August

31,

2026

(unaudited)

Year

Ended

February

28,

Year

Ended

February

28,

2022

b

Year

Ended

May

31,

2021

2026

2025

2024

a

2023

Class

R6

Per

share

operating

performance

(for

a

share

outstanding

throughout

the

period)

Net

asset

value,

beginning

of

period

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

$9.87

$9.93

$9.86

$9.70

$11.03

$11.51

$10.82

Income

from

investment

operations

c

:

Net

investment

income

d

.

0.22

0.43

0.42

0.42

0.39

0.27

0.38

Net

realized

and

unrealized

gains

(losses)

...........

(0.32)

(0.06)

0.07

0.16

(1.35)

(0.49)

0.68

Total

from

investment

operations

...........

(0.10)

0.37

0.49

0.58

(0.96)

(0.22)

1.06

Less

distributions

from:

Net

investment

income

..

(0.22)

(0.43)

(0.42)

(0.42)

(0.37)

(0.26)

(0.37)

Net

asset

value,

end

of

period

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

$9.55

$9.87

$9.93

$9.86

$9.70

$11.03

$11.51

Total

return

e

...........

(1.03)%

4.05%

4.97%

6.14%

(8.76)%

(1.96)%

9.97%

Ratios

to

average

net

assets

f

Expenses

before

waiver

and

payments

by

affiliates

...

0.50%

0.51%

0.51%

0.55%

0.58%

0.53%

0.52%

Expenses

net

of

waiver

and

payments

by

affiliates

...

0.50%

0.51%

0.51%

g

0.55%

g

0.58%

g,h

0.52%

g

0.51%

g

Net

investment

income

...

4.52%

4.50%

4.26%

4.38%

3.91%

3.16%

3.37%

Supplemental

data

Net

assets,

end

of

period

(000’s)

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

$154,938

$77,623

$65,877

$50,713

$44,724

$60,366

$45,216

Portfolio

turnover

rate

....

3.43%

13.89%

10.33%

10.93%

18.77%

10.19%

9.20%

a

For

the

year

ended

February

29.

b

For

the

period

June

1,

2021

to

February

28,

2022.

c

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchases

of

the

Fund’s

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

d

Based

on

average

daily

shares

outstanding.

e

Total

return

is

not

annualized

for

periods

less

than

one

year.

f

Ratios

are

annualized

for

periods

less

than

one

year.

g

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

h

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

Franklin

Municipal

Securities

Trust

Financial

Highlights

Franklin

California

High

Yield

Municipal

Fund

(continued)

franklintempleton.com

Semiannual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

6

a

Six

Months

Ended

August

31,

2026

(unaudited)

Year

Ended

February

28,

Year

Ended

February

28,

2022

b

Year

Ended

May

31,

2021

2026

2025

2024

a

2023

Advisor

Class

Per

share

operating

performance

(for

a

share

outstanding

throughout

the

period)

Net

asset

value,

beginning

of

period

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

$9.86

$9.91

$9.85

$9.69

$11.02

$11.50

$10.82

Income

from

investment

operations

c

:

Net

investment

income

d

.

0.22

0.43

0.42

0.42

0.39

0.27

0.38

Net

realized

and

unrealized

gains

(losses)

...........

(0.32)

(0.05)

0.06

0.15

(1.36)

(0.49)

0.67

Total

from

investment

operations

...........

(0.10)

0.38

0.48

0.57

(0.97)

(0.22)

1.05

Less

distributions

from:

Net

investment

income

..

(0.22)

(0.43)

(0.42)

(0.41)

(0.36)

(0.26)

(0.37)

Net

asset

value,

end

of

period

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

$9.54

$9.86

$9.91

$9.85

$9.69

$11.02

$11.50

Total

return

e

...........

(1.06)%

4.00%

4.93%

6.11%

(8.80)%

(1.99)%

9.84%

Ratios

to

average

net

assets

f

Expenses

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

0.55%

0.56%

0.55%

g

0.59%

g

0.62%

g

0.56%

g

0.54%

g

Net

investment

income

...

4.43%

4.46%

4.22%

4.34%

3.87%

3.13%

3.35%

Supplemental

data

Net

assets,

end

of

period

(000’s)

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

$1,254,463

$1,300,318

$1,185,778

$914,542

$922,275

$1,186,382

$1,113,278

Portfolio

turnover

rate

....

3.43%

13.89%

10.33%

10.93%

18.77%

10.19%

9.20%

a

For

the

year

ended

February

29.

b

For

the

period

June

1,

2021

to

February

28,

2022.

c

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchases

of

the

Fund’s

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

d

Based

on

average

daily

shares

outstanding.

e

Total

return

is

not

annualized

for

periods

less

than

one

year.

f

Ratios

are

annualized

for

periods

less

than

one

year.

g

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

Franklin

Municipal

Securities

Trust

Schedule

of

Investments

(unaudited),

August

31,

2026

Franklin

California

High

Yield

Municipal

Fund

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Semiannual

Report

7

a

a

Shares

a

Value

a

Common

Stocks

0.0%

Independent

Power

and

Renewable

Electricity

Producers

0.0%

a,b

AES

Guayama

Holdings

BV

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

60,804

$

—

b

Total

Common

Stocks

(Cost

$

–

)

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

—

Warrants

a

a

a

a

Warrants

0.0%

Financial

Services

0.0%

a,b

Brightline

Train

Holdings

West

LLC

,

11/26/35

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

86,700

—

Total

Warrants

(Cost

$

–

)

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

—

Principal

Amount

Corporate

Bonds

2.0%

Commercial

Services

&

Supplies

0.5%

a

,c

,d

CalPlant

I

LLC

,

Senior

Secured

Note

,

144A,

15

%

,

2/28/27

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

$

4,195,000

4,195,000

21

A

,

Senior

Secured

Note

,

144A,

9.5

%

,

9/30/23

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

1,370,000

178,100

21

B

,

Senior

Secured

Note

,

144A,

9.5

%

,

9/30/23

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

5,220,000

678,600

22

A

,

Senior

Secured

Note

,

144A,

9.5

%

,

9/30/23

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

2,875,000

373,750

22

B

,

Senior

Secured

Note

,

144A,

9.5

%

,

9/30/23

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

250,000

32,500

22

C

,

Senior

Secured

Note

,

144A,

9.5

%

,

8/31/23

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

1,885,000

1,885,000

22

X

,

Senior

Secured

Note

,

144A,

9.5

%

,

8/31/23

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

2,830,000

2,830,000

23

A

,

Senior

Secured

Note

,

144A,

9.5

%

,

8/31/23

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

1,000,000

1,000,000

23

B

,

Senior

Secured

Note

,

144A,

9.5

%

,

8/31/23

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

890,000

890,000

23

C

,

Senior

Secured

Note

,

144A,

9.5

%

,

8/31/23

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

1,415,000

1,415,000

23

D

,

Senior

Secured

Note

,

144A,

9.5

%

,

8/31/23

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

1,230,000

1,230,000

23

E

,

Senior

Secured

Note

,

144A,

9.5

%

,

8/31/23

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

1,385,000

1,385,000

16,092,950

Diversified

Consumer

Services

1.2%

Grand

Canyon

University

,

Secured

Note

,

5.125

%

,

10/01/28

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

41,035,000

40,601,260

Electric

Utilities

0.3%

d

Mission

Rock

Utilities,

Inc.

,

144A,

7

%

,

7/01/27

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

9,600,000

9,708,527

Total

Corporate

Bonds

(Cost

$

75,152,563

)

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

66,402,737

Municipal

Bonds

95.6%

Arizona

0.4%

d

Maricopa

County

Industrial

Development

Authority

,

Grand

Canyon

University

Obligated

Group

,

Revenue

,

144A,

2024

,

7.375

%

,

10/01/29

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

13,640,000

14,131,354

California

88.9%

Alameda

Community

Facilities

District

,

City

of

Alameda

Community

Facilities

District

No.

22-1

,

Special

Tax

,

2023

,

5

%

,

9/01/38

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

850,000

873,816

City

of

Alameda

Community

Facilities

District

No.

22-1

,

Special

Tax

,

2023

,

5

%

,

9/01/43

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

1,000,000

1,005,967

City

of

Alameda

Community

Facilities

District

No.

22-1

,

Special

Tax

,

2023

,

5

%

,

9/01/53

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

1,000,000

985,106

Bay

Area

Toll

Authority

,

Revenue

,

2025

F-1

,

Refunding

,

5

%

,

4/01/53

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

1,785,000

1,850,187

Benicia

Unified

School

District

,

GO

,

2024

B

,

5

%

,

8/01/58

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

7,000,000

7,191,635

Burbank-Glendale-Pasadena

Airport

Authority

Brick

Campaign

,

Revenue,

Senior

Lien

,

2024

B

,

AG

Insured

,

4.375

%

,

7/01/49

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

5,000,000

4,709,323

Revenue,

Senior

Lien

,

2024

B

,

AG

Insured

,

4.5

%

,

7/01/54

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

5,750,000

5,372,312

Revenue,

Senior

Lien

,

2026

B

,

AG

Insured

,

5.5

%

,

7/01/51

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

9,000,000

9,460,560

Franklin

Municipal

Securities

Trust

Schedule

of

Investments

(unaudited)

Franklin

California

High

Yield

Municipal

Fund

(continued)

franklintempleton.com

Semiannual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

8

a

a

Principal

Amount

a

Value

a

a

a

a

a

Municipal

Bonds

(continued)

California

(continued)

California

Community

Choice

Financing

Authority

,

e

Revenue

,

2021

B-1

,

Mandatory

Put

,

4

%

,

8/01/31

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

$

10,000,000

$

10,040,302

e

Revenue

,

2024

B

,

Mandatory

Put

,

5

%

,

12/01/32

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

10,000,000

10,161,136

e

Revenue

,

2024

D

,

Mandatory

Put

,

5

%

,

9/01/32

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

10,000,000

10,696,023

e

Revenue

,

2024

E

,

Mandatory

Put

,

5

%

,

9/01/32

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

10,000,000

10,480,863

e

Revenue

,

2025

A

,

Mandatory

Put

,

5

%

,

5/01/35

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

5,000,000

5,097,836

e

Revenue

,

2025

C

,

Mandatory

Put

,

5

%

,

10/01/33

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

12,500,000

12,960,875

Revenue

,

2026

B

,

5

%

,

3/01/36

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

12,800,000

13,154,912

Revenue

,

2026

E

,

5

%

,

7/01/35

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

5,500,000

5,901,759

California

Community

College

Financing

Authority

,

d

NCCD-Napa

Valley

Properties

LLC

,

Revenue

,

144A,

2022

A

,

5.75

%

,

7/01/60

.....

30,295,000

20,311,492

d

NCCD-Napa

Valley

Properties

LLC

,

Revenue

,

144A,

2022

B

,

7.75

%

,

7/01/30

.....

2,035,000

1,990,125

c,d

NCCD-Napa

Valley

Properties

LLC

,

Revenue,

Sub.

Lien

,

144A,

2022

C

,

6.75

%

,

7/01/60

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

7,050,000

4,930,057

NCCD-Orange

Coast

Properties

LLC

,

Revenue

,

2018

,

5.25

%

,

5/01/48

..........

225,000

225,701

NCCD-Orange

Coast

Properties

LLC

,

Revenue

,

2018

,

5.25

%

,

5/01/53

..........

7,785,000

7,790,282

d

California

Community

Housing

Agency

,

Annadel

Apartments

,

Revenue

,

144A,

2019

A

,

5

%

,

4/01/49

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

27,050,000

20,809,105

Arbors

Apartments

,

Revenue

,

144A,

2020

A

,

5

%

,

8/01/50

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

8,100,000

7,458,035

Brio

Apartments

&

Next

on

Lex

Apartments

,

Revenue,

Sub.

Lien

,

144A,

2021

A-2

,

4

%

,

8/01/47

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

9,265,000

7,149,293

Exchange

at

Bayfront

Apartments

,

Revenue,

Junior

Lien

,

144A,

2021

A-2

,

4

%

,

8/01/51

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

13,000,000

5,747,387

Mira

Vista

Hills

Apartments

,

Revenue

,

144A,

2021

A

,

4

%

,

2/01/56

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

18,800,000

9,079,172

Serenity

at

Larkspur

Apartments

,

Revenue

,

144A,

2020

A

,

5

%

,

2/01/50

.........

4,954,579

94,137

Summit

at

Sausalito

Apartments

,

Revenue

,

144A,

2021

A-2

,

4

%

,

2/01/50

........

10,000,000

7,335,978

Twin

Creek

Apartments

,

Revenue,

Junior

Lien

,

144A,

2022

B

,

5.5

%

,

2/01/40

.....

7,475,000

6,133,547

Verdant

at

Green

Valley

Apartments

,

Revenue

,

144A,

2019

A

,

5

%

,

8/01/49

.......

15,000,000

13,678,790

California

County

Tobacco

Securitization

Agency

,

Merced

County

Tobacco

Funding

Corp.

,

Revenue

,

2020

B

,

Refunding

,

5

%

,

6/01/50

3,000,000

2,757,290

f

Sonoma

County

Securitization

Corp.

,

Revenue

,

2020

B-2

,

Refunding

,

5.77

%,

6/01/55

10,000,000

1,992,815

California

Educational

Facilities

Authority

,

Art

Center

College

of

Design

,

Revenue

,

2018

A

,

Refunding

,

5

%

,

12/01/37

.......

1,265,000

1,278,014

Art

Center

College

of

Design

,

Revenue

,

2018

A

,

Refunding

,

5

%

,

12/01/38

.......

1,125,000

1,133,547

Art

Center

College

of

Design

,

Revenue

,

2018

A

,

Refunding

,

5

%

,

12/01/44

.......

10,375,000

10,255,208

Leland

Stanford

Junior

University

(The)

,

Revenue

,

T-1

,

5

%

,

3/15/39

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

4,185,000

4,791,434

Leland

Stanford

Junior

University

(The)

,

Revenue

,

U-3

,

5

%

,

6/01/43

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

5,815,000

6,592,814

University

of

Southern

California

,

Revenue

,

2025

A

,

5

%

,

10/01/55

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

15,000,000

15,601,104

California

Enterprise

Development

Authority

,

Castilleja

School

Foundation

,

Revenue

,

2024

,

4

%

,

6/01/54

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

10,000,000

8,869,742

d

Real

Journey

Academies

Obligated

Group

,

Revenue

,

144A,

2024

A

,

5

%

,

6/01/54

..

2,000,000

1,862,990

d

Rocklin

Academy

Obligated

Group

,

Revenue

,

144A,

2021

A

,

Refunding

,

4

%

,

6/01/36

250,000

237,662

d

Rocklin

Academy

Obligated

Group

,

Revenue

,

144A,

2021

A

,

Refunding

,

4

%

,

6/01/51

630,000

503,804

d

Rocklin

Academy

Obligated

Group

,

Revenue

,

144A,

2021

A

,

Refunding

,

4

%

,

6/01/61

845,000

646,133

d

Rocklin

Academy

Obligated

Group

,

Revenue

,

144A,

2024

,

5

%

,

6/01/54

.........

1,400,000

1,297,811

d

Rocklin

Academy

Obligated

Group

,

Revenue

,

144A,

2024

,

5

%

,

6/01/64

.........

1,350,000

1,222,958

California

Health

Facilities

Financing

Authority

,

Adventist

Health

System/West

Obligated

Group

,

Revenue

,

2016

A

,

Refunding

,

4

%

,

3/01/39

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

6,190,000

5,802,462

Adventist

Health

System/West

Obligated

Group

,

Revenue

,

2024

A

,

5.25

%

,

12/01/43

4,980,000

5,180,728

Adventist

Health

System/West

Obligated

Group

,

Revenue

,

2024

A

,

5.25

%

,

12/01/44

4,720,000

4,881,288

Children's

Hospital

Los

Angeles

Obligated

Group

,

Revenue

,

2017

A

,

Refunding

,

4

%

,

8/15/49

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

3,375,000

2,829,276

CommonSpirit

Health

Obligated

Group

,

Revenue

,

2024

A

,

5.25

%

,

12/01/49

......

10,775,000

11,249,996

CommonSpirit

Health

Obligated

Group

,

Revenue

,

2024

A

,

5

%

,

12/01/54

.........

5,225,000

5,295,223

Kaiser

Foundation

Hospitals

,

Revenue

,

2017

A-2

,

5

%

,

11/01/47

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

21,565,000

23,045,996

Franklin

Municipal

Securities

Trust

Schedule

of

Investments

(unaudited)

Franklin

California

High

Yield

Municipal

Fund

(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Semiannual

Report

9

a

a

Principal

Amount

a

Value

a

a

a

a

a

Municipal

Bonds

(continued)

California

(continued)

California

Health

Facilities

Financing

Authority,

(continued)

Kaiser

Foundation

Hospitals

,

Revenue

,

A-2

,

BAM

Insured

,

5

%

,

11/01/47

........

$

10,000,000

$

10,975,601

Sutter

Health

Obligated

Group

,

Revenue

,

2018

A

,

5

%

,

11/15/48

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

12,485,000

12,616,824

California

Housing

Finance

Agency

,

Revenue

,

2019-2

,

A

,

4

%

,

3/20/33

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

45,344

45,690

d,e

300

De

Haro

Venture

LP

,

Revenue

,

144A,

2025

P-S

,

Mandatory

Put

,

8

%

,

1/01/44

.

16,970,000

17,040,067

d

Foothill

San

Regis

Apartments

LLC

,

Revenue

,

144A,

2026

U-2

,

II

,

6.85

%

,

4/01/36

.

4,471,000

4,391,744

d

Redwood

Gardens

Renewal

LP

,

Revenue

,

144A,

2021

N-S

,

4

%

,

3/01/37

........

3,165,000

2,730,353

d,e

Shermanair

Apartments

Owner

LP

,

Revenue

,

144A,

2021

Q-S

,

Mandatory

Put

,

4.5

%

,

9/01/36

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

4,000,000

3,660,578

California

Infrastructure

&

Economic

Development

Bank

,

Adventist

Health

System/West

Obligated

Group

,

Revenue

,

2024

A

,

5.25

%

,

7/01/49

6,000,000

6,062,153

d,e

Desertxpress

Enterprises

LLC

,

Revenue

,

144A,

2025

B

,

Refunding

,

Mandatory

Put

,

12

%

,

11/02/26

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

720,000

457,200

Equitable

School

Revolving

Fund

LLC

Obligated

Group

,

Revenue

,

2024

B

,

5

%

,

11/01/49

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

250,000

253,391

Equitable

School

Revolving

Fund

LLC

Obligated

Group

,

Revenue

,

2024

B

,

5

%

,

11/01/54

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

3,000,000

3,008,533

Equitable

School

Revolving

Fund

LLC

Obligated

Group

,

Revenue

,

2024

B

,

5

%

,

11/01/59

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

1,000,000

998,104

d

Goodwill

Industries

of

Sacramento

Valley

&

Northern

Nevada,

Inc.

,

Revenue

,

144A,

2016

A

,

5

%

,

1/01/47

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

10,360,000

7,917,516

d

La

Scuola

International

School

,

Revenue

,

144A,

2024

,

5

%

,

7/01/44

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

1,375,000

1,315,930

d

La

Scuola

International

School

,

Revenue

,

144A,

2024

,

5.125

%

,

7/01/54

.........

1,630,000

1,473,835

d

La

Scuola

International

School

,

Revenue

,

144A,

2024

,

5.25

%

,

7/01/64

..........

3,075,000

2,764,435

d

WFCS

Holdings

II

LLC

,

Revenue

,

144A,

2021

A-1

,

5

%

,

1/01/56

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

1,600,000

1,348,905

d

WFCS

Holdings

LLC

,

Revenue

,

144A,

2020

A-1

,

5

%

,

1/01/55

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

2,300,000

1,952,396

California

Municipal

Finance

Authority

,

a

8

%

,

12/01/42

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

8,300,000

8,223,757

d,e

Revenue

,

144A,

2023

B-1

,

Mandatory

Put

,

7

%

,

4/01/33

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

20,770,000

20,514,465

d,e

Revenue

,

144A,

2023

B-2

,

Mandatory

Put

,

7

%

,

4/01/33

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

13,825,000

13,619,526

d

Revenue

,

144A,

2025

B

,

7.375

%

,

8/01/37

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

7,900,000

8,026,072

Revenue

,

2025

B

,

7.1

%

,

12/01/37

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

3,875,000

3,823,395

e

Revenue

,

2026

A-S

,

Mandatory

Put

,

9

%

,

2/01/45

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

4,685,000

4,606,781

d

Revenue

,

144A,

2023

,

II

,

7

%

,

7/01/51

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

12,655,000

11,994,046

d,g

Revenue,

Sub.

Lien

,

144A,

FRN

,

2025-1

,

B

,

3.439

%

,

6/20/49

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

4,500,000

2,885,315

Special

Tax

,

2024

D

,

5

%

,

9/01/54

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

1,000,000

965,501

Special

Tax

,

2025

B

,

5.125

%

,

9/01/55

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

1,825,000

1,821,394

Special

Tax

,

2025

D

,

5

%

,

9/01/50

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

1,455,000

1,413,662

h

Special

Tax

,

2026

B

,

5

%

,

9/01/46

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

1,965,000

1,929,365

h

Special

Tax

,

2026

B

,

5.125

%

,

9/01/51

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

3,000,000

2,936,294

h

Special

Tax

,

2026

B

,

5.25

%

,

9/01/56

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

3,550,000

3,486,113

c

1717

University

Associates

LLC

,

Revenue

,

2020

A-S

,

9

%

,

9/01/57

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

1,175,000

841,448

e

21010

Vanowen

LP

,

Revenue

,

2026

A-S

,

Mandatory

Put

,

8

%

,

10/01/45

.........

2,500,000

2,500,000

d,e

4252

Crenshaw

Preservation

LLC

,

Revenue

,

144A,

2025

B-1

,

Mandatory

Put

,

7.5

%

,

6/01/36

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

5,715,000

5,590,295

d,e

4252

Crenshaw

Preservation

LLC

,

Revenue

,

144A,

2025

B-2

,

Mandatory

Put

,

9

%

,

6/01/36

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

1,835,000

1,826,186

e

5435

Balboa

LP

,

Revenue

,

2025

A-S

,

Mandatory

Put

,

8

%

,

3/01/44

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

4,000,000

4,057,266

ACI

Royal

York,

Inc.

,

Revenue

,

2020

A

,

4

%

,

2/15/55

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

2,375,000

1,867,896

American

Heritage/Escondido/Heritage

K-8

Charter

School

Obligated

Group

,

Revenue

,

2016

A

,

Refunding

,

5

%

,

6/01/36

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

3,000,000

3,001,103

BOLD

Program

,

Special

Tax

,

2022

B

,

Refunding

,

6

%

,

9/01/52

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

2,920,000

3,027,149

BOLD

Program

,

Special

Tax

,

2022

B

,

Refunding

,

6.3

%

,

9/01/52

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

1,205,000

1,267,603

BOLD

Program

,

Special

Tax

,

2022

C

,

6.25

%

,

9/01/52

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

4,030,000

4,229,121

BOLD

Program

,

Special

Tax

,

2022

D

,

6.125

%

,

9/01/52

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

6,885,000

7,181,414

Franklin

Municipal

Securities

Trust

Schedule

of

Investments

(unaudited)

Franklin

California

High

Yield

Municipal

Fund

(continued)

franklintempleton.com

Semiannual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

10

a

a

Principal

Amount

a

Value

a

a

a

a

a

Municipal

Bonds

(continued)

California

(continued)

California

Municipal

Finance

Authority,

(continued)

BOLD

Program

,

Special

Tax

,

2023

A

,

5.5

%

,

9/01/53

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

$

3,000,000

$

3,081,941

BOLD

Program

,

Special

Tax

,

2023

C

,

5.25

%

,

9/01/53

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

1,300,000

1,305,876

BOLD

Program

,

Special

Tax

,

2024

A

,

5

%

,

9/01/39

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

275,000

279,041

BOLD

Program

,

Special

Tax

,

2024

A

,

5

%

,

9/01/44

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

625,000

627,664

BOLD

Program

,

Special

Tax

,

2024

A

,

5

%

,

9/01/48

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

300,000

299,284

BOLD

Program

,

Special

Tax

,

2024

A

,

5.125

%

,

9/01/54

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

1,000,000

995,404

BOLD

Program

,

Special

Tax

,

2024

B

,

5

%

,

9/01/44

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

940,000

954,410

BOLD

Program

,

Special

Tax

,

2024

B

,

5

%

,

9/01/49

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

1,070,000

1,064,742

BOLD

Program

,

Special

Tax

,

2024

B

,

5

%

,

9/01/54

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

1,250,000

1,217,623

BOLD

Program

,

Special

Tax

,

2025

D

,

5

%

,

9/01/45

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

950,000

946,484

BOLD

Program

,

Special

Tax

,

2025

D

,

5

%

,

9/01/55

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

2,000,000

1,895,170

Boone

534

LLC

,

Revenue

,

2026

B

,

7.1

%

,

2/01/38

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

8,050,000

7,932,212

Bowles

Hall

Foundation

,

Revenue

,

2015

A

,

5

%

,

6/01/35

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

600,000

600,315

Bowles

Hall

Foundation

,

Revenue

,

2015

A

,

5

%

,

6/01/50

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

3,250,000

3,153,585

d

California

Baptist

University

,

Revenue

,

144A,

2015

A

,

5.375

%

,

11/01/40

.........

5,000,000

4,957,609

d

California

Baptist

University

,

Revenue

,

144A,

2015

A

,

5.5

%

,

11/01/45

...........

10,000,000

9,763,971

d

California

Baptist

University

,

Revenue

,

144A,

2016

A

,

5

%

,

11/01/36

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

2,500,000

2,501,188

d

California

Baptist

University

,

Revenue

,

144A,

2025

A

,

Refunding

,

5

%

,

11/01/35

...

2,250,000

2,338,611

d

California

Baptist

University

,

Revenue

,

144A,

2025

A

,

Refunding

,

5.125

%

,

11/01/40

1,350,000

1,364,634

d

California

Baptist

University

,

Revenue

,

144A,

2025

A

,

Refunding

,

5.375

%

,

11/01/45

775,000

784,216

d

California

Baptist

University

,

Revenue

,

144A,

2025

A

,

Refunding

,

5.625

%

,

11/01/54

1,000,000

998,058

d

Capital

Christian

Center

,

Revenue

,

144A,

2021

A

,

5

%

,

10/01/51

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

8,425,000

6,833,505

d

Capital

Christian

Center

,

Revenue

,

144A,

2021

B

,

Refunding

,

4

%

,

10/01/37

......

7,645,000

6,522,303

d

CHF-Aptos

LLC

,

Revenue

,

144A,

2025

A

,

5.375

%

,

7/01/50

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

10,000,000

9,858,056

d

CHF-Aptos

LLC

,

Revenue

,

144A,

2025

A

,

5.5

%

,

7/01/57

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

10,000,000

9,822,351

d

CHF-Aptos

LLC

,

Revenue

,

144A,

2025

B

,

7.5

%

,

7/01/57

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

1,250,000

1,231,886

CHF-Davis

I

LLC

,

Revenue

,

2018

,

5

%

,

5/15/51

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

5,000,000

4,944,440

CHF-Davis

II

LLC

,

Revenue

,

2021

,

BAM

Insured

,

3

%

,

5/15/51

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

550,000

399,374

CHF-Riverside

I

LLC

,

Revenue

,

2018

,

5

%

,

5/15/40

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

1,500,000

1,512,245

CHF-Riverside

II

LLC

,

Revenue

,

2019

,

5

%

,

5/15/49

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

9,575,000

9,451,029

City

of

Chula

Vista

Community

Facilities

District

No.

2021-11

,

Special

Tax

,

2022

,

5

%

,

9/01/52

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

2,500,000

2,486,136

City

of

Hesperia

Community

Facilities

District

No.

2023-11

Improvement

Area

No.

1

,

Special

Tax

,

2025

,

5.125

%

,

9/01/55

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

1,000,000

986,159

d

Claremont

Graduate

University

,

Revenue

,

144A,

2020

B

,

Refunding

,

5

%

,

10/01/39

.

1,120,000

1,133,911

d

Claremont

Graduate

University

,

Revenue

,

144A,

2020

B

,

Refunding

,

5

%

,

10/01/49

.

4,290,000

4,114,073

d

Claremont

Graduate

University

,

Revenue

,

144A,

2020

B

,

Refunding

,

5

%

,

10/01/54

.

1,875,000

1,760,121

Community

Facilities

District

2024-11

,

Special

Tax

,

2026

,

5

%

,

9/01/46

..........

700,000

685,595

Community

Facilities

District

2024-11

,

Special

Tax

,

2026

,

5

%

,

9/01/51

..........

725,000

701,013

Community

Facilities

District

2024-11

,

Special

Tax

,

2026

,

5

%

,

9/01/56

..........

1,000,000

946,383

Community

Facilities

District

No.

2021-13

,

Special

Tax

,

2022

,

5

%

,

9/01/42

.......

1,000,000

1,009,449

Community

Facilities

District

No.

2021-13

,

Special

Tax

,

2022

,

5

%

,

9/01/52

.......

5,150,000

5,033,855

Community

Facilities

District

No.

2021-6

Improvement

Area

No.

2

,

Special

Tax

,

2022

,

6

%

,

9/01/52

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

4,350,000

4,509,622

Community

Facilities

District

No.

2022-6

Improvement

Area

No.

2

,

Special

Tax

,

2025

,

5.25

%

,

9/01/45

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

600,000

605,548

Community

Facilities

District

No.

2022-6

Improvement

Area

No.

2

,

Special

Tax

,

2025

,

5.375

%

,

9/01/50

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

1,000,000

1,008,250

Community

Facilities

District

No.

2022-6

Improvement

Area

No.

2

,

Special

Tax

,

2025

,

5.375

%

,

9/01/55

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

1,300,000

1,300,631

Community

Facilities

District

No.

2022-8

,

Special

Tax

,

2024

,

5

%

,

9/01/44

........

500,000

501,069

Community

Facilities

District

No.

2022-8

,

Special

Tax

,

2024

,

5

%

,

9/01/49

........

500,000

494,187

Community

Facilities

District

No.

2022-8

,

Special

Tax

,

2024

,

5

%

,

9/01/54

........

1,570,000

1,518,074

Community

Facilities

District

No.

2023-11

Improvement

Area

A

,

Special

Tax

,

2024

,

5

%

,

9/01/44

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

500,000

505,014

Franklin

Municipal

Securities

Trust

Schedule

of

Investments

(unaudited)

Franklin

California

High

Yield

Municipal

Fund

(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Semiannual

Report

11

a

a

Principal

Amount

a

Value

a

a

a

a

a

Municipal

Bonds

(continued)

California

(continued)

California

Municipal

Finance

Authority,

(continued)

Community

Facilities

District

No.

2023-11

Improvement

Area

A

,

Special

Tax

,

2024

,

5

%

,

9/01/49

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

$

800,000

$

785,381

Community

Facilities

District

No.

2023-11

Improvement

Area

A

,

Special

Tax

,

2024

,

5

%

,

9/01/54

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

1,125,000

1,082,993

Community

Facilities

District

No.

2023-11

Improvement

Area

A

,

Special

Tax

,

2024

,

5.125

%

,

9/01/59

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

1,550,000

1,514,695

Community

Facilities

District

No.

2023-11

Improvement

Area

No.

2

,

Special

Tax

,

2025

,

5.25

%

,

9/01/60

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

1,000,000

993,508

Community

Facilities

District

No.

2023-5

Area

No.

1

,

Special

Tax

,

2023

,

5.5

%

,

9/01/48

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

600,000

619,752

Community

Facilities

District

No.

2023-5

Area

No.

1

,

Special

Tax

,

2023

,

5.625

%

,

9/01/53

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

1,060,000

1,087,889

Community

Facilities

District

No.

2023-5

Area

No.

1

,

Special

Tax

,

2023

,

5.8

%

,

9/01/53

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

3,190,000

3,306,368

Community

Facilities

District

No.

2023-5

Improvement

Area

No.

2

,

Special

Tax

,

2024

,

5

%

,

9/01/44

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

1,210,000

1,217,350

Community

Facilities

District

No.

2023-5

Improvement

Area

No.

2

,

Special

Tax

,

2024

,

5

%

,

9/01/49

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

1,835,000

1,813,668

Community

Facilities

District

No.

2023-5

Improvement

Area

No.

2

,

Special

Tax

,

2024

,

5

%

,

9/01/54

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

2,165,000

2,105,805

Community

Facilities

District

No.

2025-9

Improvement

Area

No.

1

,

Special

Tax

,

2025

,

5.25

%

,

9/01/45

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

1,535,000

1,550,297

Community

Facilities

District

No.

2025-9

Improvement

Area

No.

1

,

Special

Tax

,

2025

,

5

%

,

9/01/50

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

2,965,000

2,928,769

Community

Facilities

District

No.

2025-9

Improvement

Area

No.

1

,

Special

Tax

,

2025

,

5

%

,

9/01/55

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

3,245,000

3,130,411

Community

Facilities

District

No.

2025-9

Improvement

Area

No.

1

,

Special

Tax

,

2025

,

5.375

%

,

9/01/55

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

7,000,000

7,003,396

Community

Facilities

District

No.

2025-9

Improvement

Area

No.

1

,

Special

Tax

,

2025

B

,

5

%

,

9/01/50

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

1,415,000

1,397,709

Community

Facilities

District

No.

2025-9

Improvement

Area

No.

1

,

Special

Tax

,

2025

B

,

5

%

,

9/01/55

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

1,500,000

1,447,031

Community

Facilities

District

No.

2025-9

Improvement

Area

No.

1

,

Special

Tax

,

2025

B

,

5.125

%

,

9/01/55

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

355,000

349,044

d

Community

Health

Centers

of

The

Central

Coast,

Inc.

,

Revenue

,

144A,

2021

A

,

4

%

,

12/01/26

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

200,000

200,190

d

Community

Health

Centers

of

The

Central

Coast,

Inc.

,

Revenue

,

144A,

2021

A

,

5

%

,

12/01/27

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

100,000

101,654

d

Community

Health

Centers

of

The

Central

Coast,

Inc.

,

Revenue

,

144A,

2021

A

,

5

%

,

12/01/29

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

50,000

52,191

d

Community

Health

Centers

of

The

Central

Coast,

Inc.

,

Revenue

,

144A,

2021

A

,

5

%

,

12/01/31

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

130,000

136,270

d

Community

Health

Centers

of

The

Central

Coast,

Inc.

,

Revenue

,

144A,

2021

A

,

5

%

,

12/01/36

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

350,000

359,615

d

Community

Health

Centers

of

The

Central

Coast,

Inc.

,

Revenue

,

144A,

2021

A

,

5

%

,

12/01/54

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

2,000,000

1,896,710

Community

Hospitals

of

Central

California

Obligated

Group

,

Revenue

,

2017

A

,

Refunding

,

4

%

,

2/01/42

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

10,000,000

9,131,958

Congregational

Homes,

Inc.

Obligated

Group

,

Revenue

,

2019

,

Refunding

,

5

%

,

11/15/39

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

2,670,000

2,707,893

Congregational

Homes,

Inc.

Obligated

Group

,

Revenue

,

2019

,

Refunding

,

5

%

,

11/15/49

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

480,000

471,217

d

Creative

Center

of

Los

Altos

(The)

,

Revenue

,

144A,

2016

B

,

4

%

,

11/01/36

.......

1,395,000

1,352,322

d

Creative

Center

of

Los

Altos

(The)

,

Revenue

,

144A,

2016

B

,

4.5

%

,

11/01/46

......

1,600,000

1,481,872

Del

Harbor

Foundation

,

Revenue

,

2015

,

Refunding

,

5

%

,

11/01/32

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

3,020,000

3,023,959

Del

Harbor

Foundation

,

Revenue

,

2015

,

Refunding

,

5

%

,

11/01/39

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

6,525,000

6,530,336

Franklin

Municipal

Securities

Trust

Schedule

of

Investments

(unaudited)

Franklin

California

High

Yield

Municipal

Fund

(continued)

franklintempleton.com

Semiannual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

12

a

a

Principal

Amount

a

Value

a

a

a

a

a

Municipal

Bonds

(continued)

California

(continued)

California

Municipal

Finance

Authority,

(continued)

Eisenhower

Medical

Center

,

Revenue

,

2017

A

,

Refunding

,

5

%

,

7/01/37

.........

$

1,625,000

$

1,632,677

Eisenhower

Medical

Center

,

Revenue

,

2017

B

,

Refunding

,

5

%

,

7/01/47

.........

5,000,000

4,877,475

Gateways

Hospital

and

Mental

Health

Center

,

Revenue

,

2026

A

,

5

%

,

9/01/41

.....

635,000

627,819

Gateways

Hospital

and

Mental

Health

Center

,

Revenue

,

2026

A

,

5

%

,

9/01/46

.....

675,000

661,110

Gateways

Hospital

and

Mental

Health

Center

,

Revenue

,

2026

A

,

5.25

%

,

9/01/55

..

1,625,000

1,615,861

HumanGood

California

Obligated

Group

,

Revenue

,

2019

A

,

Refunding

,

5

%

,

10/01/44

5,500,000

5,502,614

HumanGood

California

Obligated

Group

,

Revenue

,

2021

,

3

%

,

10/01/49

.........

5,000,000

3,576,033

Ignatian

Corp.

(The)

,

Revenue

,

2024

A

,

5

%

,

9/01/49

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

600,000

615,254

Ignatian

Corp.

(The)

,

Revenue

,

2024

A

,

5

%

,

9/01/54

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

9,060,000

9,205,559

d,f

IH

Parkside

Fairfield

LLC

,

Revenue,

Sub.

Lien

,

144A,

2023

B

,

2.617

%,

9/01/43

...

20,710,000

16,379,717

Integrity

Housing

Obligated

Group

,

Revenue

,

2022

A-1

,

4.25

%

,

12/01/37

........

16,700,000

13,897,521

Integrity

Housing

Obligated

Group

,

Revenue

,

2022

B

,

10

%

,

12/01/62

...........

7,000,000

3,832,940

d

King/Chavez

Facilities

LLC

,

Revenue

,

144A,

2016

A

,

Refunding

,

5

%

,

5/01/36

.....

1,815,000

1,759,671

d

King/Chavez

Facilities

LLC

,

Revenue

,

144A,

2016

A

,

Refunding

,

5

%

,

5/01/46

.....

2,775,000

2,608,923

LAX

Integrated

Express

Solutions

LLC

,

Revenue,

Senior

Lien

,

2018

A

,

5

%

,

12/31/43

13,915,000

13,990,366

LAX

Integrated

Express

Solutions

LLC

,

Revenue,

Senior

Lien

,

2018

A

,

4

%

,

12/31/47

6,085,000

5,318,667

LAX

Integrated

Express

Solutions

LLC

,

Revenue,

Senior

Lien

,

2018

A

,

5

%

,

12/31/47

22,250,000

21,980,176

Learning

Choice

Academy

Obligated

Group

(The)

,

Revenue

,

2025

A

,

5.7

%

,

7/01/55

3,000,000

2,905,696

Literacy

First

Charter

School

Issuer

LLC

,

Revenue

,

2019

A

,

5

%

,

12/01/49

.......

4,165,000

4,038,654

Northbay

Healthcare

Corp.

Obligated

Group

,

Revenue

,

2015

,

5

%

,

11/01/35

......

1,100,000

1,100,083

Northbay

Healthcare

Corp.

Obligated

Group

,

Revenue

,

2017

A

,

5.25

%

,

11/01/47

..

3,000,000

2,894,530

Northbay

Healthcare

Group

Obligated

Group

,

Revenue

,

2015

,

5

%

,

11/01/44

......

1,050,000

989,252

d

P3

Claremont

Holdings

LLC

,

Revenue

,

144A,

2020

A

,

5

%

,

7/01/30

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

520,000

527,527

d

Palmdale

Aerospace

Academy,

Inc.

(The)

,

Revenue

,

144A,

2016

A

,

5

%

,

7/01/36

..

2,750,000

2,749,831

d

Palmdale

Aerospace

Academy,

Inc.

(The)

,

Revenue

,

144A,

2016

A

,

5

%

,

7/01/41

..

1,750,000

1,674,671

d

Palmdale

Aerospace

Academy,

Inc.

(The)

,

Revenue

,

144A,

2018

A

,

3.875

%

,

7/01/28

400,000

396,102

d

Palmdale

Aerospace

Academy,

Inc.

(The)

,

Revenue

,

144A,

2018

A

,

5

%

,

7/01/38

..

1,100,000

1,097,932

d

Palmdale

Aerospace

Academy,

Inc.

(The)

,

Revenue

,

144A,

2018

A

,

5

%

,

7/01/49

..

3,600,000

3,319,639

d,e

Palmdale

Family

Housing

LP

,

Revenue

,

144A,

2025

A-S

,

Mandatory

Put

,

8.125

%

,

8/01/44

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

3,300,000

3,276,508

Porter

1107

LLC

,

Revenue

,

2025

B

,

7.2

%

,

11/01/37

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

12,950,000

12,926,329

PRG

-

Potrero

Properties

LLC

,

Revenue

,

2026

A

,

5

%

,

9/01/60

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

5,000,000

5,048,456

PRG

-

Potrero

Properties

LLC

,

Revenue

,

2026

A

,

5.5

%

,

9/01/60

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

3,500,000

3,692,989

PRS-California

Obligated

Group

,

Revenue

,

2024

A

,

Refunding

,

5

%

,

4/01/44

......

2,830,000

2,891,069

PRS-California

Obligated

Group

,

Revenue

,

2024

A

,

Refunding

,

5

%

,

4/01/49

......

1,500,000

1,505,511

SAC

Health

System

,

Revenue

,

2026

,

5.5

%

,

9/01/46

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

750,000

783,056

SAC

Health

System

,

Revenue

,

2026

,

6

%

,

9/01/56

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

2,000,000

2,173,719

d

Santa

Rosa

Academy

LLC

,

Revenue

,

144A,

2015

,

5.125

%

,

7/01/35

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

450,000

450,034

d

Santa

Rosa

Academy

LLC

,

Revenue

,

144A,

2015

,

5.375

%

,

7/01/45

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

1,400,000

1,339,444

Scripps

College

,

Revenue

,

2025

,

5

%

,

7/01/55

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

3,320,000

3,350,908

d

Sierra

Ridge

3600

LLC

,

Revenue

,

144A,

2024

B

,

6.75

%

,

11/01/39

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

11,012,000

10,700,901

d

St.

Mary

and

All

Angels

Christian

Church

,

Revenue

,

144A,

2024

A

,

5

%

,

5/01/34

...

275,000

282,707

d

St.

Mary

and

All

Angels

Christian

Church

,

Revenue

,

144A,

2024

A

,

5.5

%

,

5/01/44

..

510,000

514,833

d

St.

Mary

and

All

Angels

Christian

Church

,

Revenue

,

144A,

2024

A

,

5.75

%

,

5/01/54

.

510,000

509,142

d

St.

Mary

and

All

Angels

Christian

Church

,

Revenue

,

144A,

2024

A

,

5.875

%

,

5/01/59

700,000

702,016

St.

Mary

and

All

Angels

Christian

Church

,

Revenue

,

2024

B

,

4.65

%

,

5/01/30

.....

420,000

427,543

d

STREAM

Charter

School

,

Revenue

,

144A,

2020

A

,

5

%

,

6/15/41

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

925,000

872,089

d

STREAM

Charter

School

,

Revenue

,

144A,

2020

A

,

5

%

,

6/15/51

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

2,770,000

2,466,073

d

STREAM

Charter

School

,

Revenue

,

144A,

2020

B

,

6.4

%

,

6/15/32

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

575,000

561,233

d

Verner

6430

LLC

,

Revenue

,

144A,

2026

B

,

7.1

%

,

6/01/38

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

6,950,000

6,858,120

d

Westside

Neighborhood

School

,

Revenue

,

144A,

2024

,

5

%

,

6/15/34

...........

500,000

522,112

d

Westside

Neighborhood

School

,

Revenue

,

144A,

2024

,

5.5

%

,

6/15/39

..........

655,000

683,947

d

Westside

Neighborhood

School

,

Revenue

,

144A,

2024

,

5.9

%

,

6/15/44

..........

1,635,000

1,719,237

d

Westside

Neighborhood

School

,

Revenue

,

144A,

2024

,

6.2

%

,

6/15/54

..........

2,900,000

3,004,575

d

Westside

Neighborhood

School

,

Revenue

,

144A,

2024

,

6.375

%

,

6/15/64

........

3,000,000

3,118,971

Franklin

Municipal

Securities

Trust

Schedule

of

Investments

(unaudited)

Franklin

California

High

Yield

Municipal

Fund

(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Semiannual

Report

13

a

a

Principal

Amount

a

Value

a

a

a

a

a

Municipal

Bonds

(continued)

California

(continued)

d

California

Pollution

Control

Financing

Authority

,

a,c

CalPlant

I

LLC

,

Revenue

,

144A,

2017

,

7

%

,

7/01/22

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

$

3,500,000

$

35

a,c

CalPlant

I

LLC

,

Revenue

,

144A,

2017

,

7.5

%

,

7/01/32

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

13,000,000

130

a,c

CalPlant

I

LLC

,

Revenue

,

144A,

2017

,

8

%

,

7/01/39

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

11,500,000

115

a,c

CalPlant

I

LLC

,

Revenue

,

144A,

2020

,

7.5

%

,

7/01/32

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

4,500,000

45

Channelside

Water

Resources

LP

,

Revenue

,

144A,

2012

,

5

%

,

11/21/45

.........

21,685,000

21,690,805

California

Public

Finance

Authority

,

d

Crossroads

Christian

Schools

Obligated

Group

,

Revenue

,

144A,

2020

,

5

%

,

1/01/56

4,015,000

3,442,759

d

Ed

Brokers

Educational

Services