Zahn joined Franklin Templeton in 2006 and manages a range of fixed income products including its Global Aggregate, Global Government and European Aggregate fixed income strategies.
He was previously a senior portfolio adviser at Citigroup, where he managed predominantly European fixed income portfolios.
He will continue to manage these funds in addition to his new duties leading the European fixed income team.
A company spokesperson said that the firm currently had no plans to launch any new European fixed income products or to increase the size of the team.