« Back | Press release: February 11, 2013
Putnam Investments ranked #1 in Barron's/Lipper best mutual-fund families report
Second Time in Four Years that Firm Lands Top Ranking
For the second time in four years, Putnam Investments has been ranked #1 in the annual Barron's/Lipper Fund Families Report, based on its funds' performance in 2012.
The latest report, which appears in the February 11, 2013 issue of Barron's, ranks 62 mutual fund companies based on their performance across a variety of asset types, including U.S. Equities, World Equities, Mixed Equities, Taxable Bond, and Tax-Exempt Bond. In addition to securing the survey's top spot for its investment performance in 2009, Putnam had a top 14 placement for its 2010 results.
"Our organization takes great pride in bringing its full investment management resources and capabilities to bear every day for financial advisors, institutions, and shareholders — across asset classes, investment styles, and industry sectors through an array of traditional and alternative approaches," said Robert L. Reynolds, President and Chief Executive Officer, Putnam Investments. "It is enormously gratifying to see our complex-wide efforts and performance further validated by the prestigious Barron's/Lipper ranking – and we are deeply honored."
In discussing the Barron's/Lipper distinction, Reynolds pointed to the tireless work, savvy judgment, and risk-aware discipline of Putnam's portfolio managers, research analysts, traders, and senior investment professionals on its Equity, Fixed Income, and Global Asset Allocation teams, all led by Chief Investment Officer Walter Donovan.
Under the overall leadership of Reynolds, who joined the firm in July 2008, Putnam has moved aggressively to strengthen fund performance and its underlying investment unit through a host of steps, including: the build-out of its investment talent through the recruitment of top-tier industry professionals and development of bright prospects from the nation's leading schools, continual upgrade of a high-performance fundamental research team, restructuring of the firm's equity investment division to increase individual fund manager accountability and responsibility, and realignment of manager and analyst incentives to reward those who deliver top-quartile sustained results for investors.
While acknowledging the firm's achievements in 2012, Reynolds pointed to the firm's longer-term performance. "We have put together a very formidable body of investment performance over the past four years that the marketplace should increasingly begin to notice and which we want to continue to build on over time," he said. "Our primary goal as an asset management firm is simple: deliver strong, risk-adjusted results to our clients and investors over the long haul. The Barron's/Lipper ranking represents a tremendous point-in-time recognition within our industry, but we will continue to move forward with laser-like focus on our mission."Performance and Awareness
Last week, Putnam officially announced the launch of an awareness-building campaign, entitled, "New Ways of Thinking," which will stress the importance for financial advisors and investors to continually anticipate the evolution of the investment markets and act to seize a new set of opportunities and mitigate unforeseen challenges. The campaign will officially begin today through a series of new print, direct marketing, and online advertising, and will use a host of content-driven, multi-media vehicles throughout 2013 to communicate the need to incorporate modern, innovative investment approaches into more traditional investment models and mindsets in order to continually stay ahead of the curve.Recent History of Product Innovation at Putnam
Besides the emphasis on driving performance of existing funds, Putnam has renewed its claim to leadership in mutual fund innovation since 2009, launching more than 20 new funds designed to help advisors and investors address a new era of opportunities and challenges.About Putnam Investments
Founded in 1937, Putnam Investments is a leading global money management firm. At the end of January 2013, Putnam had $133 billion in assets under management. Putnam has offices in Boston, London, Frankfurt, Amsterdam, Tokyo, Beijing, Singapore, and Sydney. For more information, visit http://www.putnam.com.
Putnam mutual funds are distributed by Putnam Retail Management.How Barron's ranked the fund families:
The Lipper/Barron's survey published February 9, 2013, for the 2012 award period, ranked Putnam #1 out of 62 fund families with funds in five categories: general U.S. stock, global or international, mixed-asset, taxable bond, and tax-exempt bond. Putnam Investments ranked 27 of 53 and 36 of 46 for the 5- and 10-year periods, respectively. Lipper/Barron's survey published February 7, 2011, for the 2010 award period, ranked Putnam #14 out of 57 fund families with funds in five categories: general U.S. stock, global or international, mixed-asset, taxable bond, and tax-exempt bond. Putnam Investments ranked 41 of 53 and 38 of 46 for the 5- and 10-year periods, respectively.
The Lipper/Barron's survey published February 1, 2010, for the 2009 award period, ranked Putnam #1 out of 61 fund families with funds in five categories: general U.S. stock, global or international, mixed-asset, taxable bond, and tax-exempt bond. Putnam Investments ranked 43 of 54 and 46 of 48 for the 5- and 10-year periods, respectively. Only funds with at least one year of performance were included. Returns were calculated minus the effects of sales charges and 12b-1 fees. Rankings were asset weighted, so larger funds had a greater impact on a fund family's overall ranking, and then weighted by category, with each category assigned a percentage. Past performance is not indicative of future results. Barron's is a registered trademark of Dow Jones & Company.
For complete performance for Putnam funds, visit putnam.com.
Consider these risks before investing: Our allocation of assets among permitted asset categories may hurt performance. The prices of stocks and bonds in the fund's portfolio may fall or fail to rise over extended periods of time for a variety of reasons, including both general financial market conditions and factors related to a specific issuer or industry. Our active trading strategy may lose money or not earn a return sufficient to cover associated trading and other costs. Our use of leverage obtained through derivatives increases these risks by increasing investment exposure. Bond investments are subject to interest-rate risk, which means the prices of the fund's bond investments are likely to fall if interest rates rise. Bond investments also are subject to credit risk, which is the risk that the issuer of the bond may default on payment of interest or principal. Interest-rate risk is generally greater for longer-term bonds, and credit risk is generally greater for below-investment-grade bonds, which may be considered speculative. Unlike bonds, funds that invest in bonds have ongoing fees and expenses. Lower-rated bonds may offer higher yields in return for more risk. Funds that invest in government securities are not guaranteed. Mortgage-backed securities are subject to prepayment risk. International investing involves certain risks, such as currency fluctuations, economic instability, and political developments. Additional risks may be associated with emerging-market securities, including illiquidity and volatility. The use of derivatives involves additional risks, such as the potential inability to terminate or sell derivatives positions and the potential failure of the other party to the instrument to meet its obligations. The fund may not achieve its goal, and it is not intended to be a complete investment program. The fund's effort to produce lower volatility returns may not be successful and may make it more difficult at times for the fund to achieve its targeted return. In addition, under certain market conditions, the fund may accept greater volatility than would typically be the case, in order to seek its targeted return. 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. Investments in small and/or midsize companies increase the risk of greater price fluctuations. Growth stocks may be more susceptible to earnings disappointments, and value stocks may fail to rebound. 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 summary prospectus if available, containing this and other information for any Putnam fund or product, call your financial representative or call Putnam at 1-800-225-1581. Please read the prospectus carefully before investing.