Putnam Allstate Advisor

Putnam International Equity Subaccount

The subaccount seeks capital appreciation.

Fund description

Formerly Putnam International Growth Subaccount. The name change does not reflect a shift in subaccount objective or strategy.The subaccount invests in large and midsize international stocks, targeting companies with established earnings growth that are priced below their fundamental worth. The fund has no bias toward growth or value. It offers access to a broad range of investment opportunities in many markets of the world.

Sales story

Pursuing the growth potential of overseas marketsEstablished companies: The fund invests in established large and midsize companies mainly in developed markets to benefit from opportunities unfolding outside the United States.A flexible strategy: Pursuing Putnam's blend strategy, the fund can own growth- or value-style stocks to participate when either style leads international markets.Building competitive portfolios: The portfolio manager uses fundamental research as the cornerstone of the investment process. This research is supported by quantitative tools and macroeconomic analysis.

Management team

Daily pricing as of 08/13/18

with optional enhanced death benefits
Unit Value $16.957579 $16.467919
Unit Value Change -0.145182 -0.141198

Lipper ranking ‡ as of 06/30/18

Category: International Multi-Cap Core

  Percentile ranking Rank/Funds in category
10 yrs. 65% 32/49
1 yr. 29% 25/87
3 yrs. 73% 62/85
5 yrs. 13% 10/79

International investing involves certain risks, such as currency fluctuations, economic instability, and political developments. Variable annuities are long-term investments designed for retirement purposes.Withdrawals prior to age 59 1/2 may be subject to a 10% IRS penalty.

‡ Lipper is an industry research firm whose rankings are based on total return performance, vary over time, and do not reflect the effects of sales charges. Past performance is not indicative of future results.

Quick facts as of 07/31/18

Fiscal Year End December
Asset Class Putnam Allstate Advisor
Subaccount Status Open to new investors
Number of issues 80
Turnover (fiscal year end) 61%
Net Assets $255M
Inception Date 01/02/97

Performance

Performance as of 06/30/18

Annualized Performance Last Quarter Year
to Date
1 yr. 3 yrs. 5 yrs. 10 yrs. Life of
subaccount
Restated performance
Unit Value -3.23% -3.63% 5.75% 2.37% 4.99% 0.91% 4.48%
Standardized -11.75% -12.12% -3.39% -2.60% 1.45% -3.39% 2.30%
With optional enhanced death benefit
Unit Value -3.27% -3.71% 5.59% 2.21% 4.83% 0.76% 4.32%
Standardized -11.78% -12.19% -3.54% -2.76% 1.29% -3.58% 2.10%
Actual performance
Unit Value -3.23% -3.63% 5.75% 2.37% 4.99% 0.91% 2.95%
Standardized -11.75% -12.12% -3.39% -2.60% 1.45% -3.39% -0.26%
With optional enhanced death benefit
Unit Value -3.27% -3.71% 5.59% 2.21% 4.83% 0.76% 2.80%
Standardized -11.78% -12.19% -3.54% -2.76% 1.29% -3.58% -0.48%

Annual Performance at NAV

2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
-44.65% 23.08% 8.65% -17.97% 20.39% 26.47% -7.94% -1.11% -3.67% 25.01%
With optional enhanced death benefit
-44.74% 22.89% 8.49% -18.10% 20.21% 26.28% -8.08% -1.26% -3.82% 24.82%

Restated performance

Monthly as of 07/31/18

Unit Value 1.40%
Standardized -7.44%

YTD as of 08/13/18

Unit Value -6.42%
Standardized -14.71%

With optional enhanced death benefit

Monthly as of 07/31/18

Unit Value 1.38%
Standardized -7.45%

YTD as of 08/13/18

Unit Value -6.51%
Standardized -14.79%

Unit values and performance information shown apply to the specific annuity product listed, not the underlying Putnam Variable Trust fund. This information should not be used by investors who hold an interest in Putnam Variable Trust funds through a different annuity or other variable product. The unit values and performance of other variable products that offer Putnam Variable Trust funds may be higher or lower due to product charges and expenses or other factors.

Data is historical. Past performance is no guarantee of future results. More recent returns may be less or more than those shown. Investment return and principal value will fluctuate, and you may have a gain or a loss when you sell your units.

Returns shown for the subaccounts for periods before their inception are derived from the historical performance of the underlying fund, adjusted to reflect the mortality, expense risk, and surrender charges applicable to this product and do not factor in the annual $30 contract maintenance fee. Additional riders and options for insurance-related charges will increase expenses and lower returns. Please see the prospectus for details. For a portion of the period, subaccounts may have limited expenses, without which returns would have been lower.

Variable annuities are long-term investments designed for retirement purposes. Putnam Hartford products are flexible-premium variable annuities issued by Hartford Life and Annuity Insurance Company, Simsbury, CT.

Putnam Allstate variable annuities are flexible-premium deferred variable annuities issued by Allstate Life Insurance Company (Allstate Life); underwritten by Allstate Distributors, L.L.C., both of Northbrook, IL; and sold through registered representatives or bank employees who are licensed insurance agents. Please check for availability in your specific state.

These policies have limitations and are sold by prospectus only. The prospectus contains details on the variable annuity, the subaccounts, contract features, fees, expenses, and other pertinent information.

Investors should carefully consider the investment objectives, risks, charges, and expenses of a fund before investing. For a prospectus containing this and other information for any variable annuity or variable life product that invests in Putnam Variable Trust funds, contact your financial advisor for a contract prospectus and prospectus for the underlying funds. You may also call Hartford at 1-800-521-0538 or Allstate at 1-800-390-1277. Read the prospectuses carefully before investing.

For the most recent month-end performance, please call Hartford at 1-800-521-0538 or Allstate at 1-800-390-1277.

International investing involves certain risks, such as currency fluctuations, economic instability, and political developments. Variable annuities are long-term investments designed for retirement purposes.Withdrawals prior to age 59 1/2 may be subject to a 10% IRS penalty.

Lipper is an industry research firm whose rankings are based on total return performance, vary over time, and do not reflect the effects of sales charges. Past performance is not indicative of future results.

Risk Characteristics as of 06/30/18

Alpha (%) -0.99
Beta 0.94
R Squared 0.92
Standard Deviation (3 yrs.) 11.75

Holdings

Top 10 holdings as of 06/30/18

Total 3.08%
Rio Tinto 2.55%
Bayer Ag 2.44%
Toyota Motor Corp 2.09%
Unilever Nv 2.08%
Prudential 2.04%
Hoya Corp 1.98%
Bp 1.97%
Orix Corp 1.91%
Novartis Ag 1.89%
Top 10 holdings, total: 22.03%

Equity Holdings as of 06/30/18

TOTAL SA 3.08%
RIO TINTO PLC 2.55%
BAYER AG-REG 2.44%
TOYOTA MOTOR CORP 2.09%
UNILEVER NV-CVA 2.08%
PRUDENTIAL PLC 2.04%
HOYA CORP 1.98%
BP PLC 1.97%
ORIX CORP 1.91%
NOVARTIS AG-REG 1.89%
KONINKLIJKE AHOLD DELHAIZE N 1.82%
SHISEIDO CO LTD 1.81%
AIRBUS SE 1.77%
ASSOCIATED BRITISH FOODS PLC 1.73%
ASAHI GROUP HOLDINGS LTD 1.72%
SONY CORP 1.71%
ASTRAZENECA PLC 1.68%
SIEMENS AG 1.67%
UNIPER SE 1.67%
SUMITOMO MITSUI FINANCIAL GR 1.65%
CHALLENGER LTD 1.57%
NSK LTD 1.53%
CRH PLC 1.52%
SOCIETE GENERALE SA 1.50%
ADIDAS AG 1.44%
ING GROEP NV-CVA 1.42%
EVONIK INDUSTRIES AG 1.41%
DBS GROUP HOLDINGS LTD 1.39%
DANSKE BANK A/S 1.37%
COMPASS GROUP PLC 1.35%
BASF SE 1.33%
STMICROELECTRONICS NV 1.31%
FERGUSON PLC 1.29%
KYUDENKO CORP 1.25%
CENOVUS ENERGY INC 1.23%
HEINEKEN NV 1.23%
ASSA ABLOY AB-B 1.22%
MAGNA INTERNATIONAL INC 1.22%
TOSHIBA CORP 1.22%
VEOLIA ENVIRONNEMENT 1.21%
INSURANCE AUSTRALIA GROUP LTD 1.20%
ASHTEAD GROUP PLC 1.18%
KOMATSU LTD 1.17%
SMC CORP 1.13%
NATIXIS 1.12%
PARTNERS GROUP HOLDING AG 1.11%
RHEINMETALL AG 1.11%
CHUGAI PHARMACEUTICAL CO LTD 1.10%
NINTENDO CO LTD 1.06%
PIRELLI & C SPA 1.05%
SAMSUNG ELECTRONICS-PREF 1.05%
AMAZON.COM INC 1.03%
EURAZEO SA 1.02%
KERRY GROUP PLC-A 1.01%
KKR & CO LP 1.01%
TENCENT HOLDINGS LTD 0.98%
VINCI SA 0.98%
CAIXABANK S.A 0.93%
VIRGIN MONEY HOLDINGS UK 0.92%
WANT WANT CHINA HOLDINGS LTD 0.90%
KION GROUP AG 0.87%
BANK OF IRELAND GROUP PLC 0.86%
FERROTEC HOLDINGS CORP 0.83%
ALIBABA GROUP HOLDING-SP ADR 0.82%
BURFORD CAPITAL LTD 0.82%
EDELWEISS FINANCIAL SERVICES 0.78%
DELIVERY HERO AG 0.76%
WIZZ AIR HLDG PLC 0.76%
NINE DRAGONS PAPER HOLDINGS 0.75%
CONSTELLATION SOFTWARE INC 0.74%
ORION ENGINEERED CARBONS SA 0.74%
QUILTER PLC 0.73%
BRILLIANCE CHINA AUTOMOTIVE 0.66%
THE FOSCHINI GROUP LTD 0.56%
VALEO SA 0.55%
GLOBAL FASHION GRP 0.03%
GLOBAL FASHION GRP P/P 0.03%
HC BRILLANT SERVICES GMBH P/P 0.00%
NEW BIGFOOT OTHER ASSETS GMBH P/P 0.00%
NEW MIDDLE EAST OTHER ASSETS GMBH P/P 0.00%

Full Portfolio Holdings as of 06/30/18

TOTAL SA 3.08%
RIO TINTO PLC 2.55%
BAYER AG-REG 2.44%
TOYOTA MOTOR CORP 2.09%
UNILEVER NV-CVA 2.08%
PRUDENTIAL PLC 2.04%
HOYA CORP 1.98%
BP PLC 1.97%
ORIX CORP 1.91%
NOVARTIS AG-REG 1.89%
KONINKLIJKE AHOLD DELHAIZE N 1.82%
SHISEIDO CO LTD 1.81%
AIRBUS SE 1.77%
ASSOCIATED BRITISH FOODS PLC 1.73%
ASAHI GROUP HOLDINGS LTD 1.72%
SONY CORP 1.71%
ASTRAZENECA PLC 1.68%
SIEMENS AG 1.67%
UNIPER SE 1.67%
SUMITOMO MITSUI FINANCIAL GR 1.65%
CHALLENGER LTD 1.57%
NSK LTD 1.53%
CRH PLC 1.52%
SOCIETE GENERALE SA 1.50%
ADIDAS AG 1.44%
ING GROEP NV-CVA 1.42%
EVONIK INDUSTRIES AG 1.41%
DBS GROUP HOLDINGS LTD 1.39%
DANSKE BANK A/S 1.37%
COMPASS GROUP PLC 1.35%
BASF SE 1.33%
STMICROELECTRONICS NV 1.31%
FERGUSON PLC 1.29%
KYUDENKO CORP 1.25%
CENOVUS ENERGY INC 1.23%
HEINEKEN NV 1.23%
ASSA ABLOY AB-B 1.22%
MAGNA INTERNATIONAL INC 1.22%
TOSHIBA CORP 1.22%
VEOLIA ENVIRONNEMENT 1.21%
INSURANCE AUSTRALIA GROUP LTD 1.20%
ASHTEAD GROUP PLC 1.18%
KOMATSU LTD 1.17%
SMC CORP 1.13%
NATIXIS 1.12%
PARTNERS GROUP HOLDING AG 1.11%
RHEINMETALL AG 1.11%
CHUGAI PHARMACEUTICAL CO LTD 1.10%
NINTENDO CO LTD 1.06%
PIRELLI & C SPA 1.05%
SAMSUNG ELECTRONICS-PREF 1.05%
AMAZON.COM INC 1.03%
EURAZEO SA 1.02%
KERRY GROUP PLC-A 1.01%
KKR & CO LP 1.01%
TENCENT HOLDINGS LTD 0.98%
VINCI SA 0.98%
CAIXABANK S.A 0.93%
VIRGIN MONEY HOLDINGS UK 0.92%
WANT WANT CHINA HOLDINGS LTD 0.90%
KION GROUP AG 0.87%
BANK OF IRELAND GROUP PLC 0.86%
FERROTEC HOLDINGS CORP 0.83%
ALIBABA GROUP HOLDING-SP ADR 0.82%
BURFORD CAPITAL LTD 0.82%
EDELWEISS FINANCIAL SERVICES 0.78%
DELIVERY HERO AG 0.76%
WIZZ AIR HLDG PLC 0.76%
NINE DRAGONS PAPER HOLDINGS 0.75%
CONSTELLATION SOFTWARE INC 0.74%
ORION ENGINEERED CARBONS SA 0.74%
QUILTER PLC 0.73%
BRILLIANCE CHINA AUTOMOTIVE 0.66%
THE FOSCHINI GROUP LTD 0.56%
VALEO SA 0.55%
DANISH KRONE CALL ACCOUNT 0.26%
THE EURO EUR CALL ACCOUNT 0.18%
JAPANESE YEN CALL ACCOUNT 0.06%
CHF/USD 09/19/2018 JPMCB 0.04%
GLOBAL FASHION GRP 0.03%
GLOBAL FASHION GRP P/P 0.03%
GBP/USD 09/19/2018 JPMCB 0.02%
AUD/USD 07/18/2018 CITI 0.01%
CHF/USD 09/19/2018 BCAP-FX 0.01%
DKK/USD 09/19/2018 CITI 0.01%
JPY/USD 08/16/2018 JPMCB 0.01%
NOK/USD 09/19/2018 JPMCB 0.01%
SEK/USD 09/19/2018 CSI-FX 0.01%
AUD/USD 07/18/2018 BANKAM 0.00%
AUD/USD 07/18/2018 SSBT 0.00%
AUSTRALIAN DOLLAR ACCOUNT 0.00%
CAD/USD 07/18/2018 GSFX 0.00%
CAD/USD 07/18/2018 JPMCB 0.00%
EUR/USD 09/19/2018 BANKAM 0.00%
EUR/USD 09/19/2018 GSFX 0.00%
GBP/USD 09/19/2018 BCAP-FX 0.00%
GBP/USD 09/19/2018 CITI 0.00%
GBP/USD 09/19/2018 GSFX 0.00%
HC BRILLANT SERVICES GMBH P/P 0.00%
HKD/USD 08/16/2018 BANKAM 0.00%
HKD/USD 08/16/2018 BCAP-FX 0.00%
HONG KONG DOLLAR CALL ACCOUNT 0.00%
ILS/USD 07/18/2018 SSBT 0.00%
JPY/USD 08/16/2018 CITI 0.00%
JPY/USD 08/16/2018 SSBT 0.00%
NEW BIGFOOT OTHER ASSETS GMBH P/P 0.00%
NEW MIDDLE EAST OTHER ASSETS GMBH P/P 0.00%
NEW ZEALAND DOLLAR CALL ACCOUNT 0.00%
NZD/USD 07/18/2018 CITI 0.00%
SEK/USD 09/19/2018 JPMCB 0.00%
SGD/USD 08/16/2018 JPMCB 0.00%
CAD/USD 07/18/2018 SSBT -0.01%
KRW/USD 08/16/2018 JPMCB -0.01%
EUR/USD 09/19/2018 JPMCB -0.02%
CNH/USD 08/16/2018 GSFX -0.03%
EUR/USD 09/19/2018 SSBT -0.03%
POUND STERLING CALL ACCOUNT -0.03%
CANADIAN DOLLAR ACCOUNT -0.70%

Prior top 10 holdings

Top 10 holdings as of 06/30/18
1: Total 3.08%
2: Rio Tinto 2.55%
3: Bayer Ag 2.44%
4: Toyota Motor Corp 2.09%
5: Unilever Nv 2.08%
6: Prudential 2.04%
7: Hoya Corp 1.98%
8: Bp 1.97%
9: Orix Corp 1.91%
10: Novartis Ag 1.89%
Holdings represent 22.03% of portfolio
Top 10 holdings as of 05/31/18
1: Total 2.60%
2: Rio Tinto 2.51%
3: Bayer Ag 2.33%
4: Magna International 2.16%
5: Prudential 2.06%
6: Unilever Nv 2.00%
7: Hoya Corp 1.98%
8: Toyota Motor Corp 1.91%
9: Orix Corp 1.89%
10: Siemens Ag 1.89%
Holdings represent 21.33% of portfolio
Top 10 holdings as of 04/30/18
1: Total 2.47%
2: Rio Tinto 2.38%
3: Prudential 2.17%
4: Bayer Ag 2.12%
5: Magna International 2.10%
6: Ing Groep Nv 2.02%
7: Unilever Nv 2.02%
8: Orix Corp 1.95%
9: Toyota Motor Corp 1.94%
10: Siemens Ag 1.93%
Holdings represent 21.10% of portfolio
Top 10 holdings as of 03/31/18
1: Total 2.23%
2: Rio Tinto 2.14%
3: Prudential 2.11%
4: Sony Corp 2.03%
5: Ing Groep Nv 2.03%
6: Magna International 2.00%
7: Bayer Ag 2.00%
8: Unilever Nv 2.00%
9: Orix Corp 1.98%
10: Toyota Motor Corp 1.93%
Holdings represent 20.45% of portfolio

Portfolio Composition as of 06/30/18

Common stock 97.74%
Cash and net other assets 1.18%
Preferred stock 1.05%
Convertible preferred stock 0.03%

Portfolio allocations will vary over time. The unclassified sector (where applicable) includes exchange traded funds and other securities not able to be classified by sector.

International investing involves certain risks, such as currency fluctuations, economic instability, and political developments. Variable annuities are long-term investments designed for retirement purposes.Withdrawals prior to age 59 1/2 may be subject to a 10% IRS penalty.

Top Industry Sectors as of 06/30/18

Financials 23.35%
Industrials 17.14%
Consumer staples 12.31%
Consumer discretionary 11.91%
Health care 9.09%
Materials 8.31%
Information technology 7.55%
Energy 6.28%
Utilities 2.88%
 
Other
1.18%
Cash and net other assets 1.18%

Country Allocation as of 06/30/18

Japan 22.15%
United Kingdom 16.24%
Germany 12.70%
France 12.54%
Netherlands 6.56%
China 4.10%
Canada 3.40%
Ireland 3.40%
Switzerland 3.01%
 
Other
15.90%
Australia 2.77%
United States 2.04%
Singapore 1.39%
Denmark 1.37%
Sweden 1.22%
Cash and net other assets 1.18%
Italy 1.05%
South Korea 1.05%
Spain 0.93%
Luxembourg 0.80%
India 0.78%
Poland 0.76%
South Africa 0.56%

Expenses

Sales Charges/Fees

Breakpoint Sales Charge Dealer Allowance CDSC Liab
$0 - $0 0.00% 0.00% N

International investing involves certain risks, such as currency fluctuations, economic instability, and political developments. Variable annuities are long-term investments designed for retirement purposes.Withdrawals prior to age 59 1/2 may be subject to a 10% IRS penalty.

‡ Lipper is an industry research firm whose rankings are based on total return performance, vary over time, and do not reflect the effects of sales charges. Past performance is not indicative of future results.

CDSC

Year Percent
1 7.00%
2 7.00%
3 6.00%
4 5.00%
5 4.00%
6 3.00%
7 2.00%
8+ 0.00%