June 2022

Sustainability
and impact report

Putnam Sustainable Equity:
A dialogue with investors

Download the report (PDF)

A letter from Katherine Collins, CFA, MTS

Over the past two years, we've revealed tremendous opportunities to improve the systems that support our well-being, livelihoods, and societies. We have witnessed the tragic and disruptive impacts of the pandemic; continued evidence of racial injustice in the United States; record-breaking fire, hurricane, drought, and flood conditions across many parts of the world; and the continued polarization of civil discourse. Recent months have brought news of the horrific invasion of Ukraine, inflationary pressures, and ongoing tumult in economies and financial markets.

And yet.

When times are difficult, both shortcomings and strengths are revealed. Individuals, communities, companies, and societies have the chance to rediscover our most valuable assets. Amid the challenges noted above, we have also experienced the joy of reunion, the power of effective collaboration, and the glory of our natural environment. We are reminded daily of the power of social connection, technological advancement, and effective systems of care and governance.

Likewise, for our team, many of the investments in time, energy, and resources we've made in the first five years of our work have become meaningful assets we can lean on in challenging times. For example, we've crafted several tools like the "Investing to thrive" thematic map, materiality map, and definitions of sustainable leadership and solutions. These tools help us navigate tumultuous conditions with a clear "true north" of process and purpose. Examples of our process are found throughout this report, including the deep-dive exploration of the circular economy in section 3.

Read Katherine’s full letter