Putnam Hartford Capital Manager

Putnam Multi-Cap Value Subaccount

The subaccount seeks capital appreciation and, as a secondary objective, current income.

Fund description

The subaccount employs a value strategy to identify undervalued, high-quality companies among the market's mid-cap offerings. The subaccount's managers seek stocks they believe have been under-estimated by the market. They target profitable, established companies of two kinds: smaller companies that have grown to midsize, and larger companies that have fallen out of favor temporarily but are expected to recover.

Sales story

Pursuing capital appreciation through undervalued companies Flexibility: The fund's portfolio manager can invest in companies of all sizes.A value strategy: The fund targets companies whose stocks are priced below their long-term potential, and where there may be a catalyst for positive change.Research focus: Backed by an Equity Research team, the portfolio manager uses his stock-picking expertise to identify opportunities and manage risk.

Management team

Lipper ranking ‡ as of 09/30/17

Category: Multi-Cap Value Funds

  Percentile ranking Rank/Funds in category
10 yrs. 31% 12/38
1 yr. 79% 45/56
3 yrs. 63% 35/55
5 yrs. 42% 22/52

Risk Characteristics as of 09/30/17

Alpha (%) -0.53
Beta 0.92
R squared 0.84
Standard deviation (3 yrs.) 10.34

The fund invests all or a portion of its assets in small to midsize companies. Such investments increase the risk of greater price fluctuations. Withdrawals prior to age 59 1/2 may be subject to a 10% IRS penalty.Although value investing targets stocks believed to be priced too low, there is no guarantee they will appreciate.

‡ 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 09/30/17

Fiscal Year End December
Asset Class Putnam Hartford Capital Manager
Subaccount Status Open to new investors
Number of issues 80
Turnover (fiscal year end) 84%
Net Assets $38M
Inception Date 05/01/03

Holdings

Top 10 holdings as of 09/30/17

Union Pacific Corp 3.71%
Allergan 3.51%
Dxc Technology 3.48%
First Republic Bank/Ca 3.40%
Jazz Pharmaceuticals 3.19%
Nrg Energy 2.41%
Boston Scientific Corp 2.39%
Ball Corp 2.38%
Snap-On 2.21%
Bank Of America Corp 2.20%
Top 10 holdings, total: 28.88%

Equity Holdings as of 06/30/17

UNION PACIFIC CORP 3.45%
JAZZ PHARMACEUTICALS PLC 3.36%
FIRST REPUBLIC BANK/CA 3.23%
EOG RESOURCES INC 3.12%
DXC TECHNOLOGY CO 3.08%
SNAP-ON INC 2.99%
AMETEK INC 2.73%
BALL CORP 2.68%
ALLERGAN PLC 2.67%
MALLINCKRODT PLC 2.46%
KEYCORP 2.37%
BOSTON SCIENTIFIC CORP 2.35%
BANK OF AMERICA CORP 2.08%
SEALED AIR CORP 2.07%
FIDELITY NATIONAL INFO SERV 1.76%
AGILENT TECHNOLOGIES INC 1.71%
NORTHROP GRUMMAN CORP 1.71%
E*TRADE FINANCIAL CORPORATION 1.64%
PACWEST BANCORP 1.64%
EXELON CORP 1.63%
CHUBB LTD 1.55%
HARRIS CORP 1.53%
AMEREN CORPORATION 1.50%
JPMORGAN CHASE & CO 1.50%
LAM RESEARCH CORP 1.46%
ALLERGAN PLC 05.5000 CV PFD 1.45%
BECTON DICKINSON AND CO 1.45%
WYNN RESORTS LTD 1.41%
INVESCO LTD 1.38%
JOHNSON CONTROLS INTERNATION 1.33%
ARAMARK 1.28%
W.R. GRACE & CO 1.28%
NRG ENERGY INC 1.26%
JM SMUCKER CO/THE 1.24%
XEROX CORP 1.20%
PINNACLE FOODS INC 1.15%
EAST WEST BANCORP INC 1.12%
HARTFORD FINANCIAL SVCS GRP 1.10%
OLIN CORP 1.10%
GOODYEAR TIRE & RUBBER CO 1.06%
CELANESE CORP-SERIES A 1.04%
HANESBRANDS INC 1.00%
EDISON INTERNATIONAL 0.99%
TJX COMPANIES INC 0.98%
HOST HOTELS & RESORTS INC 0.94%
AMERICAN INTERNATIONAL GROUP 0.91%
BRUNSWICK CORP 0.90%
PENN NATIONAL GAMING INC 0.87%
HCP INC 0.85%
WESTERN DIGITAL CORP 0.85%
CMS ENERGY CORP 0.84%
GRAPHIC PACKAGING HOLDING CO 0.82%
GAP INC/THE 0.78%
L3 TECHNOLOGIES INC 0.77%
APACHE CORP 0.71%
ENCANA CORP 0.70%
OLD NATIONAL BANCORP 0.70%
MARATHON OIL CORP 0.68%
HANOVER INSURANCE GROUP INC/ 0.67%
LIMITED BRANDS INC 0.64%
ALCOA CORP 0.57%
EDGEWELL PERSONAL CARE CO 0.55%
ASSURED GUARANTY LTD 0.51%
PULTEGROUP INC 0.48%
AMERICAN AIRLINES GROUP INC 0.47%
HILTON WORLDWIDE HOLDINGS IN 0.47%
AVON PRODUCTS INC 0.46%
CLIFFS NATURAL RESOURCES INC 0.42%
J. JILL INC 0.42%
QEP RESOURCES INC 0.39%
MATTEL INC 0.30%
UNITED STATES STEEL CORP 0.28%
RE/MAX HOLDINGS INC-CL A 0.01%

Full Portfolio Holdings as of 06/30/17

UNION PACIFIC CORP 3.45%
JAZZ PHARMACEUTICALS PLC 3.36%
FIRST REPUBLIC BANK/CA 3.23%
EOG RESOURCES INC 3.12%
DXC TECHNOLOGY CO 3.08%
SNAP-ON INC 2.99%
AMETEK INC 2.73%
BALL CORP 2.68%
ALLERGAN PLC 2.67%
MALLINCKRODT PLC 2.46%
KEYCORP 2.37%
BOSTON SCIENTIFIC CORP 2.35%
BANK OF AMERICA CORP 2.08%
SEALED AIR CORP 2.07%
FIDELITY NATIONAL INFO SERV 1.76%
AGILENT TECHNOLOGIES INC 1.71%
NORTHROP GRUMMAN CORP 1.71%
E*TRADE FINANCIAL CORPORATION 1.64%
PACWEST BANCORP 1.64%
EXELON CORP 1.63%
CHUBB LTD 1.55%
HARRIS CORP 1.53%
AMEREN CORPORATION 1.50%
JPMORGAN CHASE & CO 1.50%
LAM RESEARCH CORP 1.46%
ALLERGAN PLC 05.5000 CV PFD 1.45%
BECTON DICKINSON AND CO 1.45%
WYNN RESORTS LTD 1.41%
INVESCO LTD 1.38%
JOHNSON CONTROLS INTERNATION 1.33%
ARAMARK 1.28%
W.R. GRACE & CO 1.28%
NRG ENERGY INC 1.26%
JM SMUCKER CO/THE 1.24%
XEROX CORP 1.20%
PINNACLE FOODS INC 1.15%
EAST WEST BANCORP INC 1.12%
HARTFORD FINANCIAL SVCS GRP 1.10%
OLIN CORP 1.10%
GOODYEAR TIRE & RUBBER CO 1.06%
CELANESE CORP-SERIES A 1.04%
HANESBRANDS INC 1.00%
EDISON INTERNATIONAL 0.99%
TJX COMPANIES INC 0.98%
HOST HOTELS & RESORTS INC 0.94%
AMERICAN INTERNATIONAL GROUP 0.91%
BRUNSWICK CORP 0.90%
PENN NATIONAL GAMING INC 0.87%
HCP INC 0.85%
WESTERN DIGITAL CORP 0.85%
CMS ENERGY CORP 0.84%
GRAPHIC PACKAGING HOLDING CO 0.82%
GAP INC/THE 0.78%
L3 TECHNOLOGIES INC 0.77%
APACHE CORP 0.71%
ENCANA CORP 0.70%
OLD NATIONAL BANCORP 0.70%
MARATHON OIL CORP 0.68%
HANOVER INSURANCE GROUP INC/ 0.67%
LIMITED BRANDS INC 0.64%
ALCOA CORP 0.57%
EDGEWELL PERSONAL CARE CO 0.55%
ASSURED GUARANTY LTD 0.51%
PULTEGROUP INC 0.48%
AMERICAN AIRLINES GROUP INC 0.47%
HILTON WORLDWIDE HOLDINGS IN 0.47%
AVON PRODUCTS INC 0.46%
CLIFFS NATURAL RESOURCES INC 0.42%
J. JILL INC 0.42%
QEP RESOURCES INC 0.39%
MATTEL INC 0.30%
UNITED STATES STEEL CORP 0.28%
RE/MAX HOLDINGS INC-CL A 0.01%

Prior top 10 holdings

Top 10 holdings as of 09/30/17
1: Union Pacific Corp 3.71%
2: Allergan 3.51%
3: Dxc Technology 3.48%
4: First Republic Bank/Ca 3.40%
5: Jazz Pharmaceuticals 3.19%
6: Nrg Energy 2.41%
7: Boston Scientific Corp 2.39%
8: Ball Corp 2.38%
9: Snap-On 2.21%
10: Bank Of America Corp 2.20%
Holdings represent 28.88% of portfolio
Top 10 holdings as of 08/31/17
1: Allergan 4.01%
2: Dxc Technology 3.52%
3: Union Pacific Corp 3.44%
4: Jazz Pharmaceuticals 3.33%
5: First Republic Bank/Ca 3.23%
6: Boston Scientific Corp 2.40%
7: Mallinckrodt 2.40%
8: Nrg Energy 2.40%
9: Ball Corp 2.35%
10: Ametek 2.27%
Holdings represent 29.35% of portfolio
Top 10 holdings as of 07/31/17
1: Allergan 4.29%
2: Jazz Pharmaceuticals 3.34%
3: EOG Resources 3.30%
4: Union Pacific Corp 3.28%
5: First Republic Bank/Ca 3.25%
6: Dxc Technology 3.16%
7: Ball Corp 2.68%
8: Mallinckrodt 2.61%
9: Ametek 2.51%
10: Nrg Energy 2.31%
Holdings represent 30.73% of portfolio
Top 10 holdings as of 06/30/17
1: Allergan 4.12%
2: Union Pacific Corp 3.45%
3: Jazz Pharmaceuticals 3.36%
4: First Republic Bank/Ca 3.23%
5: EOG Resources 3.12%
6: Dxc Technology 3.08%
7: Snap-On 2.99%
8: Ametek 2.73%
9: Ball Corp 2.68%
10: Mallinckrodt 2.46%
Holdings represent 31.22% of portfolio

Portfolio Composition as of 09/30/17

Common stock 95.74%
Cash and net other assets 3.03%
Convertible preferred stock 1.23%

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.

The fund invests all or a portion of its assets in small to midsize companies. Such investments increase the risk of greater price fluctuations. Withdrawals prior to age 59 1/2 may be subject to a 10% IRS penalty.Although value investing targets stocks believed to be priced too low, there is no guarantee they will appreciate.

Top Industry Sectors as of 09/30/17

Financials 18.64%
Health care 15.59%
Industrials 14.91%
Information technology 11.18%
Consumer discretionary 10.04%
Materials 9.21%
Energy 6.77%
Utilities 6.58%
Consumer staples 3.09%
 
Other
3.99%
Cash and net other assets 3.03%
Real estate 0.96%