Sustainable Leaders

The strategy seeks to outperform the market on an absolute and risk-adjusted basis over a full cycle.*

Complete details, including composite calendar-year performance (%)

Quarterly Review (PDF)

Investment approach

  • The strategy invests in companies with strong fundamentals linked to leadership in financially material sustainability issues.
  • A framework grounded in fundamental research, enhanced by a focus on material sustainable issues, drives investment decisions.
  • An experienced, dedicated sustainable investing team is integrated with Putnam's equity research and quantitative/risk analysis groups.

Benchmark index

S&P 500

AUM ($M) Strategy

7,527

AUM ($M) Composite

7,527

Inception date

3/31/18

Typical range of portfolio holdings

50–80

Related Putnam mutual fund

Sustainable Leaders Fund

*No assurance can be given that the investment objective will be achieved or that an investor will receive a return of all or part of his or her investment. Actual results could be materially different from the stated goals. Investors should carefully consider the risk involved before deciding to invest. As with any investment, there is a potential for profit as well as the possibility of loss. Portfolio targets are subject to change.


Portfolio managers

Head of Sustainable Investing
Portfolio Manager

Performance and holdings as of 6/30/21

Composite performance (%)

Annualized Gross Net Index
Q2 8.48 8.33 8.55
1 year 42.33 41.54 40.79
3 year 23.87 23.19 18.67
Since inception 23.34 22.66 18.34

Past performance is not a guarantee of future results. An investment in this strategy can lose value. Returns are stated in U.S. dollars and include the reinvestment of dividends and interest. Returns less than one year are not annualized. Most recent quarter-end performance is preliminary. Returns are subject to change. Portfolio characteristics are for a representative account and are shown for illustrative purposes only. Portfolio characteristics of individual accounts managed to a model portfolio strategy may differ as a result of account size, client-imposed investment restrictions, the timing of client investments, market, economic and individual company considerations, and other factors. The inclusion of holdings information should not be interpreted as a recommendation to buy or sell or hold any security. The securities identified do not represent all the securities purchased, sold, or recommended for client accounts. It should not be assumed that an investment in the securities identified was or will be profitable. Holdings are subject to change.

Top 10 portfolio holdings (%)

Company % Industry
Microsoft 7.7 Software
Apple 6.5 Technology hardware, storage and peripherals
Amazon 4.4 Internet and direct marketing retail
Adobe 2.6 Software
Danaher 2.5 Health care equipment and supplies
Visa 2.2 IT services
Thermo Fisher Scientific 2.2 Life sciences tools and services
BlackRock 2.0 Capital markets
Eli Lily 2.0 Pharmaceuticals
Bank of America 1.9 Banks
Total 34

Literature

When to consider an SMA

SMAs offer customization and tax flexibility as well as a competitive fee level, and might be the vehicle of choice for many investors.

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The S&P 500 Index is an unmanaged index of common stock performance. You cannot invest directly in an index.

To learn more about our offerings, please call our Client Engagement Center (CEC) at 1-800-354-4000.

Model-based managed accounts programs: Putnam Investments and its affiliates, which include The Putnam Advisory Company, LLC and Putnam Investment Management, LLC (“Putnam”), is limited to providing non-discretionary investment management services through Separately Managed Account (SMA) and Unified Managed Account (UMA) programs or other third-party platforms (collectively, the “Financial Intermediary”), where Putnam generally provides ongoing investment recommendations through one or more “model” portfolios, and the Financial Intermediary, rather than Putnam, makes investment decisions and executes trades on behalf of its underlying clients. The Financial Intermediary decides in its discretion whether to make any changes to the model that Putnam recommends, and is also solely responsible for determining the suitability of the strategy and investments for each client that participates. This information is not personalized investment advice or an investment recommendation by Putnam, and is intended for use only by a Financial Intermediary in connection with its management of its own clients’ accounts. Putnam does not have investment discretion over, or place trade orders for, any portfolio or account derived from this information. Performance of any portfolio or account derived from this information may vary materially from the performance shown herein. There is no guarantee that any investment strategy illustrated will be successful or achieve any particular level of results. Information and other marketing materials created by Putnam concerning a model portfolio strategy — including holdings, performance and other characteristics — may not be indicative of a client’s actual experience from an account managed in accordance with the strategy. This material has been created by Putnam and the information included herein has not been verified by a Financial Intermediary and may materially differ from information provided by a Financial Intermediary. Putnam is not responsible for overseeing the provision of services by a Financial Intermediary and cannot assure the quality of its services.