The present invention provides a lubricating composition comprising (a) an oil of lubricating viscosity; (b) a friction modifier; (c) a corrosion inhibitor; (d) an antiwear agent; and (e) a product prepared by heating together: (i) a dispersant; (ii) 2,5-dimercapto-1,3,4-thiadiazole or a hydrocarbyl-substituted 2,5-dimercapto-1,3,4-thiadiazole, or oligomers thereof; (iii) a borating agent;and (iv) optionally a dicarboxylic acid of an aromatic compound selected from the group consisting of 1,3 diacids and 1,4 diacids, or (v) optionally a phosphorus acid compound, said heating being sufficient to provide a product of (i), (ii), (iii) and optionally (iv), which is soluble in an oil of lubricating viscosity. The invention further provides a use for the lubricating composition in a transmission.