International Equity Fund  (POVYX)

Pursuing the growth potential of overseas markets since 1991


Track this fund

Objective

The fund seeks capital appreciation.

Strategy and process

  • International companies: The fund invests in established large and midsize companies, mainly in developed markets to benefit from opportunities 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.
  • A disciplined process: The portfolio manager invests using fundamental research and quantitative tools supported by strong risk controls in portfolio construction.

Fund price

Yesterday’s close 52-week high 52-week low
Net asset value $27.13
0.63% | $0.17
$28.60
01/26/18
$21.76
02/27/17
Historical fund price

Consistency of positive performance over five years

Performance represents 5-year returns in rolling quarter-end periods since inception.

Performance shown does not reflect the effects of any sales charges. Note that returns of 0.00% are counted as positive periods. For complete fund performance, please click on the performance tab.

26.70%

Best 5-year annualized return

(for period ending 03/31/00)


-7.81%

Worst 5-year annualized return

(for period ending 06/30/12)


7.90%

Average 5-year annualized return


Fund facts as of 01/31/18

Total net assets
$1,093.90M
Turnover (fiscal year end)
67%
Dividend frequency
Annually
Number of holdings
83
Fiscal year-end
June
CUSIP / Fund code
74680E507 / 1835
Inception date
07/12/96
Category
Blend
Open to new investors
Ticker
POVYX

Management team

Co-Head of Equities


Literature

Fund documents

Fact Sheet (A share) (PDF)
Fact Sheet (Y share) (PDF)
Fact Sheet (VT share) (PDF)
Prospectus (PDF)
Annual Report (PDF)
Semiannual Report (PDF)
Proxy voting results (Form N-PX) (PDF)
Equity Outlook (PDF)
Comparing Putnam's international/global equity funds (PDF)
Brexit commentary (PDF)

Just how cheap are European equities?
Our analysis finds that industry group weightings play a significant role in valuation discrepancies between U.S. and European equities.
Proceeding toward Brexit: The risks for investors
With the United Kingdom beginning to move forward with Brexit, we see risks to the economy, the pound, and the markets.
Why Brexit would spell trouble for the United Kingdom
Several risks exist for U.K. stocks and European markets if what is known as Brexit wins approval from British voters.

Performance

  • Total return (%) as of 12/31/17

  • Annual performance as of 12/31/17

Annualized performance 1 yr. 3 yrs. 5 yrs. 10 yrs.
Before sales charge 26.76% 7.48% 8.26% 1.65%
After sales charge N/A N/A N/A N/A
MSCI EAFE Index (ND) 25.03% 7.80% 7.90% 1.94%

Current performance may be lower or higher than the quoted past performance, which cannot guarantee future results. Share price, principal value, and return will vary, and you may have a gain or loss when you sell your shares. To obtain the most recent month-end performance, visit putnam.com. Performance assumes reinvestment of distributions and does not account for taxes. Returns before sales charge do not reflect the current maximum sales charges as indicated below. Had the sales charge been reflected, returns would be lower. Returns at public offering price (after sales charge) for class A and class M shares reflect the current maximum initial sales charges of 5.75% and 3.50% for equity funds and Putnam Absolute Return 500 Fund and 700 Fund, and 4.00% and 3.25% for income funds (1.00% and 0.75% for Putnam Floating Rate Income Fund, Putnam Absolute Return 100 Fund and 300 Fund, and Putnam Short-Term Municipal Income Fund), respectively. Class B share returns reflect the applicable contingent deferred sales charge (CDSC), which is 5% in the first year, declining to 1% in the sixth year, and is eliminated thereafter (except for Putnam Floating Rate Income Fund, Putnam Absolute Return 100 Fund and 300 Fund, and Putnam Short-Term Municipal Income Fund, which is 1% in the first year, declining to 0.5% in the second year, and is eliminated thereafter). Class C shares reflect a 1% CDSC the first year that is eliminated thereafter. Performance for class B, C, M, R, T1, and Y shares prior to their inception is derived from the historical performance of class A shares, adjusted for the applicable sales charge (or CDSC) and, except for class Y shares, the higher operating expenses for such shares (with the exception of Putnam Tax-Free High Yield Fund and Putnam AMT-Free Municipal Fund, which are based on the historical performance of class B shares). Class R5/R6 shares, available to qualified employee-benefit plans only, are sold without an initial sales charge and have no CDSC. Class Y shares are generally only available for corporate and institutional clients and have no initial sales charge. Performance for Class R5/R6 shares before their inception are derived from the historical performance of class Y shares, which have not been adjusted for the lower expenses; had they, returns would have been higher. Class A, M, and T1 shares of Putnam money market funds have no initial sales charge. For a portion of the period, some funds had expenses limitations or had been sold on a limited basis with limited assets and expenses, without which returns would be lower.

Performance snapshot

  Before sales charge After sales charge
1 mt. as of 01/31/18 6.09 % -
YTD as of 02/23/18 2.57 % -

Risk-adjusted performance as of 01/31/18

Alpha (3 yrs.) -0.01
Sharpe ratio (3 yrs.) 0.72
Treynor ratio (3 yrs.) 9.00
Information ratio (3 yrs.) -0.15

Volatility as of 01/31/18

Standard deviation (3 yrs.) 11.88%
Beta 0.95
R-squared 0.94

Capture ratio as of 01/31/18

Up-market (3 yrs.) 99.05
Down-market (3 yrs.) 101.18

Lipper rankings as of 01/31/18

International Multi-Cap Core Percentile ranking Rank/Funds in category
1 yr. 15% 63/420
3 yrs. 64% 213/333
5 yrs. 20% 56/279
10 yrs. 53% 97/185

Morningstar ratings as of 01/31/18

Foreign Large Blend Rating Funds in category
Overall (600)
3 yrs. (600)
5 yrs. (534)
10 yrs. (348)

Distributions

Record/Ex dividend date 12/21/17
Payable date 12/26/17
Income $0.156
Extra income --
Short-term cap. gain --
Long-term cap. gain --

Lipper rankings are based on total return without sales charge relative to all share classes of funds with similar objectives as determined by Lipper. Past performance is not indicative of future results.

The Morningstar RatingTM for funds, or "star rating", is calculated for managed products (including mutual funds, variable annuity and variable life subaccounts, exchange-traded funds, closed-end funds, and separate accounts) with at least a three-year history. Exchange-traded funds and open-ended mutual funds are considered a single population for comparative purposes. It is calculated based on a Morningstar Risk-Adjusted Return measure that accounts for variation in a managed product's monthly excess performance, placing more emphasis on downward variations and rewarding consistent performance. The top 10% of products in each product category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars, and the bottom 10% receive 1 star. The Overall Morningstar Rating for a managed product is derived from a weighted average of the performance figures associated with its three-, five-, and 10-year (if applicable) Morningstar Rating metrics. The weights are: 100% three-year rating for 36-59 months of total returns, 60% five-year rating/40% three-year rating for 60-119 months of total returns, and 50% 10-year rating/30% five-year rating/20% three-year rating for 120 or more months of total returns. While the 10-year overall star rating formula seems to give the most weight to the 10-year period, the most recent three-year period actually has the greatest impact because it is included in all three rating periods.

The up-market capture ratio is used to evaluate how well an investment manager performed relative to an index during periods when that index has risen. The ratio is calculated by dividing the manager’s returns by the returns of the index during the up-market, and multiplying that factor by 100. The down-market capture ratio is used to evaluate how well an investment manager performed relative to an index during periods when that index has dropped. The ratio is calculated by dividing the manager’s returns by the returns of the index during the down-market and multiplying that factor by 100.


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See how this fund compares:

  • Putnam International Equity Fund vs.
  • Vanguard Total Intl Stock Idx Instl Sel**

Trailing 5 year performance

** FundVisualizer comparison based on Putnam fund versus the largest fund in its Morningstar category.

** FundVisualizer comparison based on Putnam fund versus the largest fund in its Morningstar category.


Holdings

Top 10 holdings as of 01/31/18

Ing Groep Nv 2.21%
Bayer Ag 2.19%
Siemens Ag 2.15%
Prudential 2.14%
Total 2.13%
Orix Corp 1.94%
Unilever Nv 1.92%
Toyota Motor Corp 1.90%
Sony Corp 1.87%
Rio Tinto 1.86%
Top 10 holdings, percent of portfolio 20.31%

Full portfolio holdings as of 12/31/17

ING GROEP NV-CVA 2.18%
PRUDENTIAL PLC 2.14%
TOTAL SA 2.13%
SIEMENS AG 2.07%
BAYER AG-REG 1.98%
UNILEVER NV-CVA 1.96%
ORIX CORP 1.85%
RIO TINTO PLC 1.85%
SONY CORP 1.76%
SUMITOMO MITSUI FINANCIAL GR 1.71%
NSK LTD 1.70%
CHALLENGER LTD 1.68%
KOMATSU LTD 1.66%
HOYA CORP 1.62%
KONINKLIJKE AHOLD DELHAIZE N 1.51%
AIRBUS SE 1.50%
VALEO SA 1.47%
ASTRAZENECA PLC 1.46%
SHIRE PLC 1.44%
BASF SE 1.43%
SOCIETE GENERALE SA 1.40%
SANOFI 1.38%
UNIPER SE 1.36%
DIAGEO PLC 1.35%
ROHM CO LTD 1.35%
WH GROUP LTD 1.33%
DANSKE BANK A/S 1.29%
VEOLIA ENVIRONNEMENT 1.26%
ADIDAS AG 1.21%
ENI SPA 1.21%
KERRY GROUP PLC-A 1.20%
EVONIK INDUSTRIES AG 1.19%
CRH PLC 1.18%
HEINEKEN NV 1.18%
RHEINMETALL AG 1.18%
COM HEM HOLDING AB 1.16%
KYUDENKO CORP 1.16%
NATIXIS 1.16%
COMPASS GROUP PLC 1.15%
MAGNA INTERNATIONAL INC 1.15%
TAKEDA PHARMACEUTICAL CO LTD 1.15%
ASSA ABLOY AB-B 1.13%
ASSOCIATED BRITISH FOODS PLC 1.11%
ASAHI GROUP HOLDINGS LTD 1.08%
NINTENDO CO LTD 1.08%
SHISEIDO CO LTD 1.07%
ALIBABA GROUP HOLDING-SP ADR 1.06%
EURAZEO SA 1.04%
PIRELLI & C SPA 1.04%
TENCENT HOLDINGS LTD 1.03%
CHUGAI PHARMACEUTICAL CO LTD 1.02%
NORSK HYDRO ASA 1.02%
TDK CORP 1.02%
TECHTRONIC INDUSTRIES CO LTD 1.00%
CENOVUS ENERGY INC 0.99%
IRB BRASIL RESSEGUROS SA 0.99%
KION GROUP AG 0.99%
KKR & CO LP 0.98%
PARTNERS GROUP HOLDING AG 0.97%
NOKIA OYJ 0.96%
CAIXABANK S.A 0.93%
SMC CORP 0.93%
JAPAN AIRLINES CO LTD 0.91%
DIXONS CARPHONE PLC 0.90%
RPC GROUP PLC 0.90%
MICRO FOCUS INTERNATIONAL 0.87%
ALPHABET INC-CL C 0.86%
GRUPO FINANCIERO GALICIA-ADR 0.86%
SAMSUNG ELECTRONICS-PREF 0.86%
VIRGIN MONEY HOLDINGS UK 0.85%
AENA SME SA 0.83%
AMAZON.COM INC 0.82%
BANK OF IRELAND GROUP PLC 0.80%
ILUKA RESOURCES LTD 0.80%
CONSTELLATION SOFTWARE INC 0.79%
JOHNSON CONTROLS INTERNATION 0.78%
TOSHIBA CORP 0.76%
DELIVERY HERO AG 0.70%
ALTICE NV - A 0.51%
SK HYNIX INC 0.50%
INDIAN RUPEE CALL ACCOUNT 0.03%
TAIWAN DOLLAR CALL ACCOUNT 0.03%
GLOBAL FASHION GRP 0.02%
GLOBAL FASHION GRP P/P 0.02%
CHF/USD 03/21/2018 BCAP-FX 0.01%
CHF/USD 03/21/2018 JPMCB 0.01%
CNH/USD 02/22/2018 GSFX 0.01%
KRW/USD 02/22/2018 JPMCB 0.01%
AUD/USD 01/17/2018 BANKAM 0.00%
AUD/USD 01/17/2018 CITI 0.00%
AUD/USD 01/17/2018 JPMCB 0.00%
AUD/USD 01/17/2018 SSBT 0.00%
AUSTRALIAN DOLLAR ACCOUNT 0.00%
CAD/USD 01/17/2018 BANKAM 0.00%
CAD/USD 01/17/2018 CITI 0.00%
CAD/USD 01/17/2018 JPMCB 0.00%
CAD/USD 01/17/2018 WPAC 0.00%
DKK/USD 03/21/2018 CITI 0.00%
EUR/USD 03/21/2018 BANKAM 0.00%
EUR/USD 03/21/2018 CITI 0.00%
EUR/USD 03/21/2018 CSI-FX 0.00%
EUR/USD 03/21/2018 GSFX 0.00%
EUR/USD 03/21/2018 JPMCB 0.00%
EUR/USD 03/21/2018 SSBT 0.00%
FABFURNISH GMBH P/P 0.00%
GBP/USD 03/21/2018 BANKAM 0.00%
GBP/USD 03/21/2018 CITI 0.00%
GBP/USD 03/21/2018 GSFX 0.00%
GBP/USD 03/21/2018 SSBT 0.00%
HKD/USD 02/22/2018 BANKAM 0.00%
HKD/USD 02/22/2018 BCAP-FX 0.00%
HONG KONG DOLLAR CALL ACCOUNT 0.00%
ILS/USD 01/17/2018 SSBT 0.00%
JPY/USD 02/22/2018 CITI 0.00%
JPY/USD 02/22/2018 GSFX 0.00%
JPY/USD 02/22/2018 JPMCB 0.00%
JPY/USD 02/22/2018 SSBT 0.00%
JPY/USD 02/22/2018 WPAC 0.00%
KOREAN WON CALL ACCOUNT 0.00%
NEW BIGFOOT OTHER ASSETS GMBH P/P 0.00%
NEW MIDDLE EAST OTHER ASSETS GMBH P/P 0.00%
NOK/USD 03/21/2018 JPMCB 0.00%
NZD/USD 01/17/2018 CITI 0.00%
NZD/USD 01/17/2018 HSBCB 0.00%
POUND STERLING CALL ACCOUNT 0.00%
SEK/USD 03/21/2018 CSI-FX 0.00%
SEK/USD 03/21/2018 JPMCB 0.00%
THE EURO EUR CALL ACCOUNT 0.00%
GBP/USD 03/21/2018 JPMCB -0.01%
SGD/USD 02/22/2018 JPMCB -0.01%

Prior top 10 holdings

Top 10 holdings as of 01/31/18
Ing Groep Nv
Bayer Ag
Siemens Ag
Prudential
Total
Orix Corp
Unilever Nv
Toyota Motor Corp
Sony Corp
Rio Tinto
Holdings represent 20.31% of portfolio
Top 10 holdings as of 12/31/17
Ing Groep Nv
Prudential
Total
Siemens Ag
Bayer Ag
Unilever Nv
Rio Tinto
Orix Corp
Sony Corp
Sumitomo Mitsui Financial Group
Holdings represent 19.63% of portfolio
Top 10 holdings as of 11/30/17
Total
Ing Groep Nv
Prudential
Bayer Ag
Siemens Ag
Unilever Nv
Orix Corp
Sony Corp
Rio Tinto
Challenger Financial Service
Holdings represent 19.83% of portfolio
Top 10 holdings as of 10/31/17
Ing Groep Nv
Siemens Ag
Bayer Ag
Prudential
Unilever Nv
Total
Orix Corp
Airbus
Rio Tinto
Sony Corp
Holdings represent 19.73% of portfolio

Portfolio composition as of 01/31/18

Common stock 96.05%
Cash and net other assets 2.83%
Preferred stock 1.10%
Convertible preferred stock 0.02%

Equity statistics as of 01/31/18

Median market cap $21.30B
Weighted average market cap $75.90B
Price to book 2.03
Price to earnings 15.15

Fund characteristics will vary over time.

Due to rounding, percentages may not equal 100%.

Consider these risks before investing: International investing involves currency, economic, and political risks. Emerging-market securities carry illiquidity and volatility risks. Investments in small and/or midsize companies increase the risk of greater price fluctuations. Growth stocks may be more susceptible to earnings disappointments, and value stocks may fail to rebound. Stock prices may fall or fail to rise over time for a variety of reasons, including general financial market conditions and factors related to a specific issuer or industry. Risks associated with derivatives include increased investment exposure (which may be considered leverage) and, in the case of over-the-counter instruments, the potential inability to terminate or sell derivatives positions and the potential failure of the other party to the instrument to meet its obligations. You can lose money by investing in the fund.

Top Industry Sectors as of 01/31/18

Financials 21.75%
Industrials 16.58%
Consumer discretionary 11.79%
Consumer staples 11.26%
Information technology 11.15%
Health care 8.71%
Materials 7.90%
Energy 4.36%
Cash and net other assets 2.82%
 
Other
3.68%
Utilities 2.42%
Telecommunication services 1.26%

The unclassified sector (where applicable) includes exchange traded funds and other securities not able to be classified by sector.

Sectors will vary over time.

Country Allocation as of 01/31/18

Japan 23.25%
United Kingdom 12.52%
Germany 12.49%
France 11.88%
Netherlands 7.09%
United States 3.29%
Ireland 3.09%
Canada 3.06%
Cash and net other assets 2.82%
 
Other
20.51%
Sweden 2.39%
Australia 2.38%
Italy 2.34%
Spain 2.11%
China 2.10%
Switzerland 1.96%
Hong Kong 1.39%
Denmark 1.29%
South Korea 1.10%
Brazil 1.07%
Norway 0.92%
Argentina 0.86%
Luxembourg 0.60%

Expenses

Expense ratio

Class A Class B Class C Class M Class R Class R5 Class R6 Class Y
Total expense ratio 1.23% 1.98% 1.98% 1.73% 1.48% 0.89% 0.79% 0.98%
What you pay 1.23% 1.98% 1.98% 1.73% 1.48% 0.89% 0.79% 0.98%

Sales charge/Dealer allowance

 Breakpoint Class A Class B Class C Class M Class R Class R5 Class R6 Class Y
$0-$49,999 5.75% / 5.00% 0.00% / 4.00% 0.00% / 1.00% 3.50% / 3.00% -- -- -- --
$50,000-$99,999 4.50% / 3.75% 0.00% / 4.00% 0.00% / 1.00% 2.50% / 2.00% -- -- -- --
$100,000-$249,999 3.50% / 2.75% -- 0.00% / 1.00% 1.50% / 1.00% -- -- -- --
$250,000-$499,999 2.50% / 2.00% -- 0.00% / 1.00% 1.00% / 1.00% -- -- -- --
$500,000-$999,999 2.00% / 1.75% -- 0.00% / 1.00% 1.00% / 1.00% -- -- -- --
$1M-$4M 0.00% / 1.00% -- -- -- -- -- -- --
$4M-$50M 0.00% / 0.50% -- -- -- -- -- -- --
$50M+ 0.00% / 0.25% -- -- -- -- -- -- --

CDSC

  Class A (sales for $1,000,000+) Class B Class C Class M Class R Class R5 Class R6 Class Y
0 to 9 mts. 1.00% 5.00% 1.00% -- -- -- -- --
9 to 12 mts. 0.00% 5.00% 1.00% -- -- -- -- --
2 yrs. -- 4.00% 0.00% -- -- -- -- --
3 yrs. -- 3.00% 0.00% -- -- -- -- --
4 yrs. -- 3.00% 0.00% -- -- -- -- --
5 yrs. -- 2.00% 0.00% -- -- -- -- --
6 yrs. -- 1.00% 0.00% -- -- -- -- --
7+ yrs. -- 0.00% 0.00% -- -- -- -- --

Trail commissions

  Class A Class B Class C Class M Class R Class R5 Class R6 Class Y
  0.25% 0.25% 1.00% 0.65% 0.50% 0.00% 0.00% 0.00%
  NA NA NA NA NA NA NA NA
  NA NA NA NA NA NA NA NA

For sales and trail commission information on purchases over $1 million and participant-directed qualified retirement plans, see a Putnam fund prospectus and the statement of additional information.

The MSCI EAFE Index is an unmanaged index of equity securities from developed countries in Western Europe, the Far East, and Australasia. You cannot invest directly in an index.

Consider these risks before investing: International investing involves currency, economic, and political risks. Emerging-market securities carry illiquidity and volatility risks. Investments in small and/or midsize companies increase the risk of greater price fluctuations. Growth stocks may be more susceptible to earnings disappointments, and value stocks may fail to rebound. Stock prices may fall or fail to rise over time for a variety of reasons, including general financial market conditions and factors related to a specific issuer or industry. Risks associated with derivatives include increased investment exposure (which may be considered leverage) and, in the case of over-the-counter instruments, the potential inability to terminate or sell derivatives positions and the potential failure of the other party to the instrument to meet its obligations. You can lose money by investing in the fund.