As of September 14, 2018, Putnam VT Capital Opportunities Fund was renamed Putnam VT Small Cap Growth Fund.

Putnam Capital Manager

Putnam Small Cap Growth Subaccount

The subaccount seeks long-term growth of capital.

Fund description

The subaccount invests primarily in small and midsize companies, seeking hidden opportunities in stocks with growth potential that has been relatively unnoticed by investors. The portfolio can own growth and value stocks without a bias toward either style.

Sales story

Uncovering high-quality and fast-growing small-cap companiesCombining quality and aggressive growthWe believe portfolios that balance exposure to high-quality and aggressive growth small-cap stocks can offer strong risk-adjusted return potential.Research-intensive processOur fundamental investment process focuses on identifying growth opportunities where the market has undervalued the duration or magnitude of a company's growth potential.Long-term investment horizonWe seek to invest over a multiyear horizon to harness the power of compounding growth and embed risk management at multiple levels.

Management team

Lipper ranking ‡ as of 01/31/24

Category: Small-Cap Growth Funds

  Percentile ranking Rank/Funds in category
10 yrs. 25% 19/77
1 yr. 3% 2/89
3 yrs. 18% 16/89
5 yrs. 3% 2/89

Risk Characteristics as of 01/31/24

Alpha (%) 5.01
Beta 0.92
R squared 0.92
Standard deviation (3 yrs.) 20.91

‡ 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 01/31/24

Fiscal Year End December
Asset Class Putnam Capital Manager
Subaccount Status Open to new investors
Number of issues 89
Turnover (fiscal year end) 58%
Net Assets $29M
Inception Date 05/01/03

Holdings

Comfort Systems Usa 2.22%
Manhattan Associates 2.14%
Kinsale Capital Group 2.13%
Medpace Holdings 2.04%
Super Micro Computer 2.03%
Installed Building Products 2.03%
Verra Mobility Corp 2.01%
Eagle Materials 1.97%
Cytokinetics 1.91%
Onto Innovation 1.90%
Top 10 holdings, total: 20.38%


Top 10 holdings as of 01/31/24
1: Comfort Systems Usa 2.22%
2: Manhattan Associates 2.14%
3: Kinsale Capital Group 2.13%
4: Medpace Holdings 2.04%
5: Super Micro Computer 2.03%
6: Installed Building Products 2.03%
7: Verra Mobility Corp 2.01%
8: Eagle Materials 1.97%
9: Cytokinetics 1.91%
10: Onto Innovation 1.90%
Holdings represent 20.38% of portfolio
Top 10 holdings as of 12/31/23
1: Medpace Holdings 2.19%
2: Comfort Systems Usa 2.17%
3: Simpson Manufacturing 2.05%
4: Cytokinetics 2.05%
5: Verra Mobility Corp 2.00%
6: Rbc Bearings 1.96%
7: Installed Building Products 1.90%
8: Manhattan Associates 1.90%
9: Onto Innovation 1.88%
10: Eagle Materials 1.86%
Holdings represent 19.96% of portfolio
Top 10 holdings as of 11/30/23
1: Comfort Systems Usa 2.29%
2: Medpace Holdings 2.17%
3: Manhattan Associates 2.13%
4: Kinsale Capital Group 2.10%
5: Verra Mobility Corp 1.95%
6: Bellring Brands 1.90%
7: Onto Innovation 1.88%
8: Emcor Group 1.87%
9: Simpson Manufacturing 1.86%
10: Rbc Bearings 1.84%
Holdings represent 20.00% of portfolio
Top 10 holdings as of 10/31/23
1: Comfort Systems Usa 2.40%
2: Kinsale Capital Group 2.23%
3: Medpace Holdings 2.17%
4: Verra Mobility Corp 2.14%
5: Manhattan Associates 2.08%
6: Encompass Health Corp 1.86%
7: Icf International 1.81%
8: Emcor Group 1.80%
9: Bellring Brands 1.75%
10: Tfi International 1.73%
Holdings represent 19.94% of portfolio


Portfolio Composition as of 01/31/24

Common stock 99.31%
Cash and net other assets 0.69%

Consider these risks before investing: Investments in small and/or midsize companies increase the risk of greater price fluctuations. Growth stocks may be more susceptible to earnings disappointments, and the market may not favor growth-style investing. The value of investments in the fund’s portfolio may fall or fail to rise over extended periods of time for a variety of reasons, including general economic, political, or financial market conditions; investor sentiment and market perceptions; government actions; geopolitical events or changes; and factors related to a specific issuer, geography, industry, or sector. These and other factors may lead to increased volatility and reduced liquidity in the fund’s portfolio holdings. These risks are generally greater for small and midsize companies. From time to time, the fund may invest a significant portion of its assets in companies in one or more related industries or sectors, which would make the fund more vulnerable to adverse developments affecting those industries or sectors. Our investment techniques, analyses, and judgments may not produce the outcome we intend. The investments we select for the fund may not perform as well as other securities that we do not select for the fund. We, or the fund’s other service providers, may experience disruptions or operating errors that could have a negative effect on the fund. You can lose money by investing in the fund. 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.

Sector weightings as of 01/31/24

Industrials 23.68%
Information technology 23.55%
Health care 19.62%
Consumer discretionary 11.75%
Financials 5.99%
Materials 5.42%
Energy 3.80%
Consumer staples 3.77%
Real estate 1.19%
 
Other
1.23%
Cash and net other assets 0.69%
Communication services 0.53%