Putnam Allstate Advisor Plus

Putnam Global Health Care Subaccount

The subaccount seeks capital appreciation.

Fund description

The subaccount seeks to capitalize on the strength of the health-care sector, targeting companies of all sizes. Holdings encompass an array of industries, including pharmaceuticals, health-care services, and biotechnology. The fund seeks companies that offer strong long-term growth prospects, regardless of their size.

Sales story

Investing in the health-care sectorA dynamic sector: From biotech to pharmaceuticals, the fund seeks out companies that profit from the global demand for health care.A range of companies: The fund invests worldwide in businesses at different stages of growth, from rapidly growing newer companies to established global corporations.Actively managed: Unlike passively managed ETFs, Putnam global sector funds combine rigorous fundamental research and disciplined quantitative analysis with macroeconomic views.

Management team

Daily pricing as of 07/17/19

with optional enhanced death benefits
Unit Value $23.842795 $23.148814
Unit Value Change 0.032366 0.031329

The fund concentrates its investments in one region or in one sector and involves more risk than a fund that invests more broadly. 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.

Growth investing targets companies with above-average earnings that may be subject to price volatility if earnings expectations are not met.

‡ 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 06/30/19

Fiscal Year End December
Asset Class Putnam Allstate Advisor Plus
Subaccount Status Open to new investors
Number of issues 47
Turnover (fiscal year end) 54%
Net Assets $136M
Inception Date 05/01/98

Performance

Performance as of 06/30/19

Annualized Performance Last Quarter Year
to Date
1 yr. 3 yrs. 5 yrs. 10 yrs. Life of
subaccount
Restated performance
Unit Value 1.08% 11.15% 5.76% 5.48% 5.19% 10.54% 4.97%
Standardized -6.92% 3.15% -2.24% 3.02% 4.19% 10.54% 4.97%
With optional enhanced death benefit
Unit Value 1.04% 11.07% 5.60% 5.32% 5.03% 10.37% 4.81%
Standardized -6.96% 3.07% -2.40% 2.86% 4.02% 10.37% 4.81%
Actual performance
Unit Value 1.08% 11.15% 5.76% 5.48% 5.19% 10.54% 4.37%
Standardized -6.92% 3.15% -2.24% 3.02% 4.19% 10.54% 4.37%
With optional enhanced death benefit
Unit Value 1.04% 11.07% 5.60% 5.32% 5.03% 10.37% 4.21%
Standardized -6.96% 3.07% -2.40% 2.86% 4.02% 10.37% 4.21%

Annual Performance at NAV

2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
23.99% 0.83% -2.76% 20.31% 39.40% 25.60% 6.06% -12.77% 13.46% -2.19%
With optional enhanced death benefit
23.80% 0.67% -2.90% 20.12% 39.19% 25.41% 5.90% -12.90% 13.29% -2.34%

Restated performance

Monthly as of 06/30/19

Unit Value 6.40%
Standardized -1.60%

YTD as of 07/17/19

Unit Value 10.36%
Standardized 2.36%

With optional enhanced death benefit

Monthly as of 06/30/19

Unit Value 6.38%
Standardized -1.62%

YTD as of 07/17/19

Unit Value 10.27%
Standardized 2.27%

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 Capital Manager products are flexible-premium variable annuities held by Talcott Resolution Life, Inc., 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 Talcott Resolution 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 Talcott Resolution at 1-800-521-0538 or Allstate at 1-800-390-1277.

The fund concentrates its investments in one region or in one sector and involves more risk than a fund that invests more broadly. 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.

Growth investing targets companies with above-average earnings that may be subject to price volatility if earnings expectations are not met.

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 06/30/19

Alpha (%) -1.47
Beta 1.02
R Squared 0.95
Standard Deviation (3 yrs.) 13.17

Holdings

Top 10 holdings as of 06/30/19

UnitedHealth Group 7.92%
Merck 7.67%
Novartis Ag 6.23%
Danaher Corp 5.83%
Johnson & Johnson 5.10%
Pfizer 4.20%
Astrazeneca 4.06%
Eli Lilly 3.86%
Roche Holding Ag 3.81%
Vertex Pharmaceuticals 3.58%
Top 10 holdings, total: 52.26%

Full Portfolio Holdings as of 03/31/19

UNITEDHEALTH GROUP INC 8.45%
MERCK & CO. INC. 7.72%
DANAHER CORP 7.01%
NOVARTIS AG-REG 5.71%
JOHNSON & JOHNSON 4.97%
ELI LILLY & CO 4.28%
ROCHE HOLDING AG-GENUSSCHEIN 4.02%
PFIZER INC 4.00%
INTUITIVE SURGICAL INC 3.30%
ASTRAZENECA PLC 3.12%
BOSTON SCIENTIFIC CORP 3.12%
VERTEX PHARMACEUTICALS INC 2.83%
BECTON DICKINSON AND CO 2.76%
GLAXOSMITHKLINE PLC 2.52%
BRISTOL-MYERS SQUIBB CO 2.49%
ANTHEM INC 2.44%
CIGNA CORP 2.25%
METTLER-TOLEDO INTERNATIONAL 2.17%
MEDICINES COMPANY 2.13%
NOVO NORDISK A/S-B 1.86%
SANOFI 1.73%
ABBOTT LABORATORIES 1.57%
ZIMMER BIOMET HOLDINGS INC 1.49%
BAXTER INTERNATIONAL INC 1.32%
CELGENE CORP 1.29%
ASCENDIS PHARMA A/S - ADR 1.01%
ALLERGAN PLC 0.97%
CSL LTD 0.94%
ICU MEDICAL INC 0.94%
ABBVIE INC 0.90%
EDWARDS LIFESCIENCES CORP 0.87%
AMGEN INC 0.77%
REGENERON PHARMACEUTICALS 0.73%
MOMENTA PHARMACEUTICALS INC 0.57%
FRESENIUS SE & CO KGAA 0.53%
DAIICHI SANKYO CO LTD 0.51%
BIOMARIN PHARMACEUTICAL INC 0.49%
MIRATI THERAPEUTICS INC 0.48%
TAKEDA PHARMACEUTICAL CO LTD 0.48%
ORCHARD THERAPEUTICS PLC 0.47%
CLOVIS ONCOLOGY INC 0.45%
WELLCARE HEALTH PLANS INC 0.35%
ANAPTYSBIO INC 0.33%
HUMANA INC 0.21%
MDCO 20190621 P 27.00BCBP 0.09%
FENNEC PHARMACEUTICALS INC 0.08%
EUR/USD 06/19/2019 BANKAM 0.03%
JPY/USD 05/15/2019 GSFX 0.03%
JPY/USD 05/15/2019 CSI-FX 0.01%
AUD/USD 04/17/2019 JPMCB 0.00%
CAD/USD 04/17/2019 CITI 0.00%
DKK/USD 06/19/2019 CITI 0.00%
EUR/USD 06/19/2019 HSBCB 0.00%
GBP/USD 06/19/2019 BCAP-FX 0.00%
ILS/USD 04/17/2019 SSBT 0.00%
INDIAN RUPEE CALL ACCOUNT 0.00%
JPY/USD 05/15/2019 SSBT 0.00%
NEURALSTEM INC SERIES K COMMON STOCK PURCHASE WARRANT 0.00%
POUND STERLING CALL ACCOUNT 0.00%
CHF/USD 06/19/2019 JPMCB -0.01%
JAPANESE YEN CALL ACCOUNT -0.28%

Prior top 10 holdings

Top 10 holdings as of 06/30/19
1: UnitedHealth Group 7.92%
2: Merck 7.67%
3: Novartis Ag 6.23%
4: Danaher Corp 5.83%
5: Johnson & Johnson 5.10%
6: Pfizer 4.20%
7: Astrazeneca 4.06%
8: Eli Lilly 3.86%
9: Roche Holding Ag 3.81%
10: Vertex Pharmaceuticals 3.58%
Holdings represent 52.26% of portfolio
Top 10 holdings as of 05/31/19
1: UnitedHealth Group 9.24%
2: Merck 8.33%
3: Danaher Corp 6.27%
4: Novartis Ag 6.16%
5: Johnson&Johnson 5.05%
6: Pfizer 4.24%
7: Eli Lilly 4.15%
8: Roche Holding Ag 4.15%
9: Astrazeneca 3.67%
10: Vertex Pharmaceuticals 3.13%
Holdings represent 54.39% of portfolio
Top 10 holdings as of 04/30/19
1: UnitedHealth Group 9.61%
2: Merck 8.13%
3: Danaher Corp 6.83%
4: Novartis Ag 5.75%
5: Johnson Johnson 5.34%
6: Eli Lilly 4.11%
7: Roche Holding Ag 4.10%
8: Pfizer 4.07%
9: Astrazeneca 3.64%
10: Intuitive Surgical 3.14%
Holdings represent 54.72% of portfolio
Top 10 holdings as of 03/31/19
1: UnitedHealth Group 8.45%
2: Merck 7.72%
3: Danaher Corp 7.01%
4: Novartis Ag 5.71%
5: Johnson&Johnson 4.97%
6: Eli Lilly 4.28%
7: Roche Holding Ag 4.02%
8: Pfizer 4.00%
9: Intuitive Surgical 3.30%
10: Boston Scientific Corp 3.12%
Holdings represent 52.58% of portfolio

Portfolio Composition as of 06/30/19

Common stock 99.11%
Cash and net other assets 0.89%

Portfolio allocations vary over time. The fund concentrates its investments in one region or in one sector and involves more risk than a fund that invests more broadly. 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.

Growth investing targets companies with above-average earnings that may be subject to price volatility if earnings expectations are not met.

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.

Top Industry Sectors as of 06/30/19

Pharmaceuticals 44.86%
Health Care Equipment & Supplies 18.64%
Biotechnology 17.24%
Health Care Providers & Services 12.41%
Life Sciences Tools & Services 5.96%
Cash and net other assets 0.89%

Country Allocation as of 06/30/19

United States 72.31%
Switzerland 11.55%
United Kingdom 6.90%
Denmark 3.36%
Japan 2.01%
Australia 1.32%
France 1.13%
Cash and net other assets 0.89%
Germany 0.53%

Expenses

Sales Charges/Fees

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

The fund concentrates its investments in one region or in one sector and involves more risk than a fund that invests more broadly. 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.

Growth investing targets companies with above-average earnings that may be subject to price volatility if earnings expectations are not met.

‡ 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 8.00%
2 8.00%
3 8.00%
4 7.00%
5 6.00%
6 5.00%
7 4.00%
8 3.00%
9+ 0.00%