Putnam Absolute Return Funds pursue targeted returns of 1%, 3%, 5%, or 7% above inflation over a rolling three-year period.

Q1 Commentary

Portfolio Manager Raman Srivastava discusses results in Q1 and what opportunities may lie ahead.

Average annualized returns over the past three years (4/1/09–3/31/12)

Class A shares

Class Y shares

Performance shown in the above chart is at net asset value. Had sales charge been reflected, returns would have been lower. Past performance is not a guarantee of future results.

Annualized total return
(as of 3/31/12)

Putnam Absolute Return 100 Fund »

Inception 12/23/08	Before sales charge	After sales charge	Class Y shares	BofA Merrill Lynch U.S. Treasury Bill Index
	Class A shares
1 year	-1.19%	-2.13%	-0.94%	0.10%
3 years	1.58	1.24	1.81	0.20
Life of fund	1.51	1.20	1.76	0.20
Total expense ratio	0.97%		0.72%	—
What you pay	0.67		0.42	—

Putnam Absolute Return 300 Fund »

Inception 12/23/08	Before sales charge	After sales charge	Class Y shares	BofA Merrill Lynch U.S. Treasury Bill Index
	Class A shares
1 year	-2.97%	-3.94%	-2.90%	0.10%
3 years	3.12	2.78	3.32	0.20
Life of fund	3.05	2.74	3.27	0.20
Total expense ratio	1.05%		0.80%	—
What you pay	0.87		0.62	—

Putnam Absolute Return 500 Fund »

Inception 12/23/08	Before sales charge	After sales charge	Class Y shares	BofA Merrill Lynch U.S. Treasury Bill Index
	Class A shares
1 year	2.53%	-3.58%	2.77%	0.10%
3 years	7.92	5.82	6.42	0.20
Life of fund	7.40	5.47	5.90	0.20
Total expense ratio	1.45%		1.04%	—
What you pay	1.37		0.92	—

Putnam Absolute Return 700 Fund »

Inception 12/23/08	Before sales charge	After sales charge	Class Y shares	BofA Merrill Lynch U.S. Treasury Bill Index
	Class A shares
1 year	2.34%	-3.58%	2.59%	0.10%
3 years	7.92	5.82	8.11	0.20
Life of fund	7.40	5.47	7.61	0.20
Total expense ratio	1.45%		1.20%	—
What you pay	1.37		1.12	—

Current performance may be lower or higher than the quoted past performance, which cannot guarantee future results. Share price, principal value, and return will vary, and you may have a gain or a loss when you sell your shares. The class A share performance shown assumes reinvestment of distributions and does not account for taxes. After-sales-charge returns reflect a maximum load of 5.75% for Putnam Absolute Return 500 and 700 Funds and 1.00% for Putnam Absolute Return 100 and 300 Funds. "What you pay" reflects Putnam Management's decision to contractually limit expenses through 6/30/13. A short-term trading fee of 1% may apply to redemptions or exchanges from certain funds within the time period specified in the fund's prospectus. To obtain the most recent month-end performance, visit putnam.com.
Class Y shares, available to investors through an asset-based fee program or for institutional clients, are sold without an initial sales charge and have no CDSC.