Putnam Absolute Return Funds

Absolutely for all kinds of investors

Putnam offers four absolute return funds designed to pursue positive, targeted returns over three years or more with less volatility than more traditional funds. Each fund can be an alternative to a more traditional fund and diversify a portfolio with a modern investment philosophy.

  Target return
over 3 years		 Alternative to  
Putnam Absolute Return 100 Fund 1% over Treasury bills
Short-term securities
Putnam Absolute Return 300 Fund 3% over Treasury bills
Bond funds
Putnam Absolute Return 500 Fund 5% over Treasury bills Balanced funds
Putnam Absolute Return 700 Fund 7% over Treasury bills Stock funds

Bonds are better so far in 2009

Portfolio Manager Jeff Knight explains how bonds have matched equity returns this year, only with more consistency.


For an update on the positive reception these funds have received in the market, please visit our media page.


Each Absolute Return Fund seeks to outperform inflation, as measured by the Bank of America/Merrill Lynch Treasury Bill Index, by a targeted amount.

Class A shares include a maximum initial sales charge of 3.25% for the 100 Fund and 300 Fund, and 5.75% for the 500 Fund and 700 Fund. A 1% redemption fee may apply to any shares redeemed or exchanged within seven days of purchase.

Absolute Return
Putnam Investments - A world of investing

While Treasury bills are backed by the U.S. government, investments in mutual funds are not.

Consider these risks before you invest: Asset allocation decisions may not always be correct and may adversely affect fund performance. The use of leverage through derivatives may magnify this risk. Leverage and derivatives carry other risks that may result in losses, including the effects of unexpected market shifts and/or the potential illiquidity of certain derivatives. International investments carry risks of volatile currencies, economies, and governments, and emerging-market securities can be illiquid. Bonds are affected by changes in interest rates, credit conditions, and inflation. As interest rates rise, prices of bonds fall. Long-term bonds are more sensitive to interest-rate risk than short-term bonds, while lower-rated bonds may offer higher yields in return for more risk. Unlike bonds, bond funds have ongoing fees and expenses. For the 500 Fund and 700 Fund, these risks also apply: Stocks of small and/or midsize companies increase the risk of greater price fluctuations. REITs involve the risks of real estate investing, including declining property values. Commodities involve the risks of changes in market, political, regulatory, and natural conditions. Additional risks are listed in the funds' prospectus.

Investors should carefully consider the investment objectives, risks, charges, and expenses of a fund before investing. For a prospectus, or a summary prospectus, if available, containing this and other information for any Putnam fund or product, click on the prospectus section or call your financial representative or call Putnam at 1-800-225-1581. Please read carefully the prospectus, or summary prospectus, if available before investing.

Putnam Retail Management