Putnam Allstate Advisor

Putnam Capital Opportunities 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

Seeking opportunities in small and midsize companiesSmaller companies: Often overlooked by Wall Street analysts, the stocks of smaller companies can represent attractive opportunities to firms with strong research capabilities.A flexible strategy: The fund can own growth- or value-style stocks, allowing it to seek opportunities regardless of which style is in favor.Differentiated research: The portfolio managers select stocks in a collaborative effort that emphasizes non-consensus critical thinking.

Daily pricing as of 12/15/17

with optional enhanced death benefits
Unit Value $31.365783 $30.676569
Unit Value Change 0.243575 0.238098

Lipper ranking ‡ as of 11/30/17

Category: Small-Cap Core Funds

  Percentile ranking Rank/Funds in category
10 yrs. 83% 93/112
1 yr. 100% 152/152
3 yrs. 97% 142/146
5 yrs. 98% 137/139

The subaccount invests all or a portion of its assets in small to midsize companies. Such investments increase the risk of greater price fluctuations. 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 11/30/17

Fiscal Year End December
Asset Class Putnam Allstate Advisor
Subaccount Status Open to new investors
Number of issues 103
Turnover (fiscal year end) 124%
Net Assets $28M
Inception Date 05/01/03

Performance

Performance as of 09/30/17

Annualized Performance Last Quarter Year
to Date
1 yr. 3 yrs. 5 yrs. 10 yrs. Life of
subaccount
Restated performance
Unit Value 3.04% 5.98% 13.56% 5.48% 9.42% 5.61% 8.35%
Standardized -5.91% -3.17% 3.88% 0.58% 6.26% 2.30% 6.37%
With optional enhanced death benefit
Unit Value 3.00% 5.86% 13.39% 5.32% 9.26% 5.45% 8.18%
Standardized -5.95% -3.29% 3.72% 0.42% 6.08% 2.12% 6.19%
Actual performance
Unit Value 3.04% 5.98% 13.56% 5.48% 9.42% 5.61% 8.35%
Standardized -5.91% -3.17% 3.88% 0.58% 6.26% 2.30% 6.37%
With optional enhanced death benefit
Unit Value -- -- -- -- -- -- --
Standardized -- -- -- -- -- -- --

Annual Performance at NAV

2007 2008 2009 2010 2011 2012 2013 2014 2015 2016
-10.69% -36.00% 43.80% 27.92% -7.28% 12.94% 32.42% 5.71% -8.77% 14.08%
With optional enhanced death benefit
-10.82% -36.09% 43.58% 27.72% -7.42% 12.76% 32.22% 5.55% -8.90% 13.91%

Restated performance

Monthly as of 11/30/17

Unit Value 1.12%
Standardized -7.69%

YTD as of 12/15/17

Unit Value 4.71%
Standardized -4.36%

With optional enhanced death benefit

Monthly as of 11/30/17

Unit Value 1.11%
Standardized -7.71%

YTD as of 12/15/17

Unit Value 4.56%
Standardized -4.50%

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.

The subaccount invests all or a portion of its assets in small to midsize companies. Such investments increase the risk of greater price fluctuations. 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.


Holdings

Top 10 holdings as of 11/30/17

Summit Materials 2.81%
Hamilton Lane 2.38%
Radian Group 2.24%
Dxc Technology 2.17%
Brunswick Corp/De 2.12%
Logmein 2.03%
Owens Corning 1.91%
Godaddy 1.79%
Everbridge 1.71%
Gaming And Leisure Properties 1.71%
Top 10 holdings, total: 20.87%

Equity Holdings as of 09/30/17

SUMMIT MATERIALS INC -CL A 2.91%
BRUNSWICK CORP 2.13%
RADIAN GROUP INC 2.04%
DXC TECHNOLOGY CO 1.97%
RPC GROUP PLC 1.83%
GAMING AND LEISURE PROPERTIE 1.73%
OWENS CORNING 1.73%
HAMILTON LANE INC-CLASS A 1.66%
CLOVIS ONCOLOGY INC 1.65%
EASTERLY GOVERNMENT PROPERTI 1.65%
GOODYEAR TIRE & RUBBER CO 1.65%
INSTRUCTURE INC 1.62%
BALL CORP 1.52%
COLONY NORTHSTAR INC-CLASS A 1.52%
EVERBRIDGE INC 1.51%
INVESTMENT TECHNOLOGY GROUP 1.50%
ANGI HOMESERVICES INC- A 1.45%
J. JILL INC 1.45%
NEW YORK REIT INC 1.43%
SANDERSON FARMS INC 1.39%
PEOPLES BANCORP INC 1.36%
ECHOSTAR CORP-A 1.35%
W.R. GRACE & CO 1.35%
REALPAGE INC 1.33%
JELD-WEN HOLDING INC 1.32%
ORION ENGINEERED CARBONS SA 1.31%
L3 TECHNOLOGIES INC 1.30%
EAST WEST BANCORP INC 1.27%
GODADDY INC - CLASS A 1.25%
WYNDHAM WORLDWIDE CORP 1.22%
EDGEWELL PERSONAL CARE CO 1.21%
SBA COMMUNICATIONS CORP 1.21%
ALLETE INC 1.15%
ASTEC INDUSTRIES INC 1.15%
JAZZ PHARMACEUTICALS PLC 1.14%
MEDICINES COMPANY 1.14%
ACLARIS THERAPEUTICS INC 1.12%
EMPLOYERS HOLDINGS INC 1.11%
FIRST REPUBLIC BANK/CA 1.10%
TERADYNE INC 1.10%
ALCOA CORP 1.09%
CSRA INC 1.07%
MALIBU BOATS INC - A 1.07%
UMPQUA HOLDINGS CORP 1.07%
SELECT MEDICAL HOLDINGS CORP 1.03%
CAVIUM INC 1.02%
J2 GLOBAL INC 1.02%
QORVO INC 1.02%
SIMPLY GOOD FOODS CO/THE 1.02%
SERVICE CORP INTERNATIONAL 0.99%
ONE GAS INC 0.97%
H AND E EQUIPMENT SERVICES INC 0.89%
ASSURED GUARANTY LTD 0.88%
DSW INC-CLASS A 0.88%
GRAPHIC PACKAGING HOLDING CO 0.88%
OSHKOSH CORP 0.88%
BURLINGTON STORES INC 0.87%
WP CAREY INC 0.80%
RIGHTMOVE PLC 0.78%
LIVE NATION ENTERTAINMENT IN 0.74%
PACWEST BANCORP 0.74%
ALNYLAM PHARMACEUTICALS INC 0.72%
OGE ENERGY CORP 0.71%
ENCANA CORP 0.70%
KANSAS CITY SOUTHERN 0.69%
SMITH (A.O.) CORP 0.67%
DAVE & BUSTER'S ENTERTAINMEN 0.66%
OLD NATIONAL BANCORP 0.65%
PUMA BIOTECHNOLOGY INC 0.65%
MULESOFT INC -A 0.64%
ARRAY BIOPHARMA INC 0.62%
MBIA INC 0.62%
PARSLEY ENERGY INC-CLASS A 0.62%
PACIRA PHARMACEUTICALS INC 0.60%
PENUMBRA INC 0.60%
BIO-RAD LABORATORIES-A 0.58%
GENMARK DIAGNOSTICS INC 0.58%
PROTHENA CORP PLC 0.57%
BIOVERATIV INC 0.56%
NUVISTA ENERGY LTD 0.56%
SEVEN GENERATIONS ENERGY - A 0.56%
TEXAS CAPITAL BANCSHARES INC 0.54%
POPULAR INC 0.48%
SELECT ENERGY SERVICES INC-A 0.40%
PATTERSON-UTI ENERGY INC 0.39%
RADIUS HEALTH INC 0.39%
HANNON ARMSTRONG SUSTAINABLE 0.36%
TARGA RESOURCES CORP 0.36%
WPX ENERGY INC 0.35%
DICKS SPORTING 0.34%
OCEANEERING INTL INC 0.30%
RICE ENERGY INC 0.25%
NRG ENERGY INC 0.24%
CALIFORNIA WATER SERVICE GRP 0.23%

Full Portfolio Holdings as of 09/30/17

SUMMIT MATERIALS INC -CL A 2.91%
BRUNSWICK CORP 2.13%
RADIAN GROUP INC 2.04%
DXC TECHNOLOGY CO 1.97%
RPC GROUP PLC 1.83%
GAMING AND LEISURE PROPERTIE 1.73%
OWENS CORNING 1.73%
HAMILTON LANE INC-CLASS A 1.66%
CLOVIS ONCOLOGY INC 1.65%
EASTERLY GOVERNMENT PROPERTI 1.65%
GOODYEAR TIRE & RUBBER CO 1.65%
INSTRUCTURE INC 1.62%
BALL CORP 1.52%
COLONY NORTHSTAR INC-CLASS A 1.52%
EVERBRIDGE INC 1.51%
INVESTMENT TECHNOLOGY GROUP 1.50%
ANGI HOMESERVICES INC- A 1.45%
J. JILL INC 1.45%
NEW YORK REIT INC 1.43%
SANDERSON FARMS INC 1.39%
PEOPLES BANCORP INC 1.36%
ECHOSTAR CORP-A 1.35%
W.R. GRACE & CO 1.35%
REALPAGE INC 1.33%
JELD-WEN HOLDING INC 1.32%
ORION ENGINEERED CARBONS SA 1.31%
L3 TECHNOLOGIES INC 1.30%
EAST WEST BANCORP INC 1.27%
GODADDY INC - CLASS A 1.25%
WYNDHAM WORLDWIDE CORP 1.22%
EDGEWELL PERSONAL CARE CO 1.21%
SBA COMMUNICATIONS CORP 1.21%
ALLETE INC 1.15%
ASTEC INDUSTRIES INC 1.15%
JAZZ PHARMACEUTICALS PLC 1.14%
MEDICINES COMPANY 1.14%
ACLARIS THERAPEUTICS INC 1.12%
EMPLOYERS HOLDINGS INC 1.11%
FIRST REPUBLIC BANK/CA 1.10%
TERADYNE INC 1.10%
ALCOA CORP 1.09%
CSRA INC 1.07%
MALIBU BOATS INC - A 1.07%
UMPQUA HOLDINGS CORP 1.07%
SELECT MEDICAL HOLDINGS CORP 1.03%
CAVIUM INC 1.02%
J2 GLOBAL INC 1.02%
QORVO INC 1.02%
SIMPLY GOOD FOODS CO/THE 1.02%
SERVICE CORP INTERNATIONAL 0.99%
ONE GAS INC 0.97%
H AND E EQUIPMENT SERVICES INC 0.89%
ASSURED GUARANTY LTD 0.88%
DSW INC-CLASS A 0.88%
GRAPHIC PACKAGING HOLDING CO 0.88%
OSHKOSH CORP 0.88%
BURLINGTON STORES INC 0.87%
WP CAREY INC 0.80%
RIGHTMOVE PLC 0.78%
LIVE NATION ENTERTAINMENT IN 0.74%
PACWEST BANCORP 0.74%
ALNYLAM PHARMACEUTICALS INC 0.72%
OGE ENERGY CORP 0.71%
ENCANA CORP 0.70%
KANSAS CITY SOUTHERN 0.69%
POWERSHARES S&P SC INDUSTRIA 0.68%
SMITH (A.O.) CORP 0.67%
DAVE & BUSTER'S ENTERTAINMEN 0.66%
OLD NATIONAL BANCORP 0.65%
PUMA BIOTECHNOLOGY INC 0.65%
MULESOFT INC -A 0.64%
ARRAY BIOPHARMA INC 0.62%
MBIA INC 0.62%
PARSLEY ENERGY INC-CLASS A 0.62%
PACIRA PHARMACEUTICALS INC 0.60%
PENUMBRA INC 0.60%
BIO-RAD LABORATORIES-A 0.58%
GENMARK DIAGNOSTICS INC 0.58%
PROTHENA CORP PLC 0.57%
BIOVERATIV INC 0.56%
NUVISTA ENERGY LTD 0.56%
SEVEN GENERATIONS ENERGY - A 0.56%
TEXAS CAPITAL BANCSHARES INC 0.54%
POPULAR INC 0.48%
SELECT ENERGY SERVICES INC-A 0.40%
PATTERSON-UTI ENERGY INC 0.39%
RADIUS HEALTH INC 0.39%
HANNON ARMSTRONG SUSTAINABLE 0.36%
TARGA RESOURCES CORP 0.36%
WPX ENERGY INC 0.35%
DICKS SPORTING 0.34%
OCEANEERING INTL INC 0.30%
RICE ENERGY INC 0.25%
NRG ENERGY INC 0.24%
CALIFORNIA WATER SERVICE GRP 0.23%
EMIN RUSSELL 2000 DEC17 RTYZ7 0.03%
S&P MID 400 EMINI DEC17 FAZ7 0.01%
SEE 20180119 C 50.00BCBP 0.01%
S&P500 EMINI FUT DEC17 ESZ7 0.00%
SEE 20180119 C 55.00BCBP 0.00%

Prior top 10 holdings

Top 10 holdings as of 11/30/17
1: Summit Materials 2.81%
2: Hamilton Lane 2.38%
3: Radian Group 2.24%
4: Dxc Technology 2.17%
5: Brunswick Corp/De 2.12%
6: Logmein 2.03%
7: Owens Corning 1.91%
8: Godaddy 1.79%
9: Everbridge 1.71%
10: Gaming And Leisure Properties 1.71%
Holdings represent 20.87% of portfolio
Top 10 holdings as of 10/31/17
1: Summit Materials 2.88%
2: Radian Group 2.31%
3: Dxc Technology 2.12%
4: Brunswick Corp/De 1.95%
5: Owens Corning 1.86%
6: Gaming And Leisure Properties 1.73%
7: Hamilton Lane 1.68%
8: Easterly Government Properties 1.63%
9: Oshkosh Corp 1.61%
10: Instructure 1.60%
Holdings represent 19.37% of portfolio
Top 10 holdings as of 09/30/17
1: Summit Materials 2.91%
2: Brunswick Corp/De 2.13%
3: Radian Group 2.04%
4: Dxc Technology 1.97%
5: Rpc Group 1.83%
6: Hamilton Lane 1.75%
7: Gaming And Leisure Properties 1.73%
8: Owens Corning 1.73%
9: Easterly Government Properties 1.65%
10: Goodyear Tire Rubber The 1.65%
Holdings represent 19.39% of portfolio
Top 10 holdings as of 08/31/17
1: Summit Materials 2.74%
2: Brunswick Corp/De 2.08%
3: Dxc Technology 2.03%
4: Radian Group 1.98%
5: Gaming And Leisure Properties 1.91%
6: Rpc Group 1.81%
7: Jazz Pharmaceuticals 1.77%
8: Owens Corning 1.77%
9: Hamilton Lane 1.70%
10: Easterly Government Properties 1.67%
Holdings represent 19.46% of portfolio

Portfolio Composition as of 11/30/17

Common stock 96.91%
Cash and net other assets 3.09%

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

The fund invests all or a portion of its assets in small to midsize companies. Such investments increase the risk of greater price fluctuations. 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.

Top Industry Sectors as of 11/30/17

Information technology 19.06%
Financials 16.74%
Consumer discretionary 11.28%
Materials 10.93%
Health care 10.56%
Industrials 10.17%
Real estate 7.61%
Energy 4.30%
Utilities 3.22%
 
Other
6.13%
Cash and net other assets 3.09%
Consumer staples 3.04%

Expenses

Sales Charges/Fees

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

The subaccount invests all or a portion of its assets in small to midsize companies. Such investments increase the risk of greater price fluctuations. 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%