Putnam Hartford Capital Manager

Putnam International Value Subaccount

The subaccount seeks capital growth. Current income is a secondary objective.

Fund description

The subaccount applies Putnam's value-oriented strategy of seeking undervalued stocks outside the United States. By buying mostly dividend paying stocks with relatively low valuations, the fund pursues capital growth and, secondarily, current income. The fund is positioned to benefit from the spread of corporate strategies focusing on shareholder value outside the United States.

Sales story

Benefiting from undervalued international companies experiencing positive change International companies: The fund invests in international large and midsize companies to benefit from business opportunities outside the United States.A value strategy: The fund focuses on companies whose stocks are priced below their long-term potential, and where there may be a catalyst for positive change.Building competitive portfolios: The portfolio manager uses fundamental research as the cornerstone of the investment process. This research is supported by quantitative tools and macroeconomic analysis.

Management team

Lipper ranking ‡ as of 06/30/18

Category: International Large-Cap Value

  Percentile ranking Rank/Funds in category
10 yrs. 51% 5/9
1 yr. 54% 7/12
3 yrs. 47% 6/12
5 yrs. 67% 8/11

Risk Characteristics as of 06/30/18

Alpha (%) 0.82
Beta 0.83
R squared 0.90
Standard deviation (3 yrs.) 11.36

International investing involves certain risks, such as currency fluctuations, economic instability, and political developments. 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.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 07/31/18

Fiscal Year End December
Asset Class Putnam Hartford Capital Manager
Subaccount Status Open to new investors
Number of issues 85
Turnover (fiscal year end) 11%
Net Assets $82M
Inception Date 01/02/97

Holdings

Top 10 holdings as of 06/30/18

Royal Dutch Shell 3.77%
Ing Groep Nv 3.40%
Siemens Ag 2.83%
Suncor Energy 2.35%
Sanofi 2.25%
Vinci 2.22%
Prudential 2.01%
Australia New Zealand Banking Group 1.98%
Mitsubishi Corp 1.95%
Novartis Ag 1.80%
Top 10 holdings, total: 24.56%

Equity Holdings as of 06/30/18

ING GROEP NV-CVA 3.40%
SIEMENS AG 2.83%
ROYAL DUTCH SHELL PLC-A SHS 2.38%
SUNCOR ENERGY INC 2.35%
SANOFI 2.25%
VINCI SA 2.22%
PRUDENTIAL PLC 2.01%
AUST AND NZ BANKING GROUP 1.98%
MITSUBISHI CORP 1.95%
NOVARTIS AG-REG 1.80%
AIA GROUP LTD 1.78%
NISSAN MOTOR CO LTD 1.76%
RIO TINTO PLC 1.75%
ASTRAZENECA PLC 1.72%
SUMITOMO MITSUI FINANCIAL GR 1.71%
VODAFONE GROUP PLC 1.63%
SOCIETE GENERALE SA 1.60%
NIPPON TELEGRAPH & TELEPHONE 1.55%
AXA SA 1.51%
SAMSUNG ELECTRONICS CO LTD 1.48%
BAE SYSTEMS PLC 1.41%
KERRY GROUP PLC-A 1.41%
ROYAL DUTCH SHELL PLC-B SHS 1.39%
INSURANCE AUSTRALIA GROUP LTD 1.35%
TOTAL SA 1.35%
CHUBB LTD 1.24%
HOYA CORP 1.21%
BAYER AG-REG 1.20%
VEOLIA ENVIRONNEMENT 1.16%
JAPAN AIRLINES CO LTD 1.11%
FERGUSON PLC 1.08%
SCOR SE 1.08%
DANSKE BANK A/S 1.07%
ENCANA CORP 1.07%
IMPERIAL BRANDS PLC 1.07%
TDK CORP 1.07%
ITOCHU CORP 1.06%
SPARK NEW ZEALAND LTD 1.06%
UNILEVER NV-CVA 1.06%
SSE PLC 1.05%
ALLIANZ SE-REG 1.01%
CHALLENGER LTD 1.01%
QUILTER PLC 1.00%
TOSHIBA CORP 1.00%
DALATA HOTEL GROUP PLC 0.98%
KONINKLIJKE AHOLD DELHAIZE N 0.98%
EURAZEO SA 0.96%
GLENCORE PLC 0.95%
COM HEM HOLDING AB 0.92%
JOHNSON CONTROLS INTERNATION 0.92%
MITSUI FUDOSAN CO LTD 0.92%
ORIX CORP 0.92%
NATIXIS 0.90%
MAGNA INTERNATIONAL INC 0.88%
CRH PLC 0.86%
DNB NOR ASA 0.86%
FORTUM OYJ 0.82%
PANASONIC CORP 0.80%
SINO-AMERICAN SILICON PRODUC 0.80%
SANWA HOLDINGS CORP 0.79%
SEVEN & I HOLDINGS CO LTD 0.79%
FIAT CHRYSLER AUTOMOBILES NV 0.78%
MIZUHO FINANCIAL GROUP INC 0.77%
COMPAGNIE DE SAINT-GOBAIN 0.75%
BANK OF IRELAND GROUP PLC 0.74%
VALEO SA 0.74%
BCE INC 0.73%
AENA SME SA 0.70%
SKANDINAVISKA ENSKILDA BAN-A 0.70%
UBS GROUP AG-REG 0.69%
YAMAHA MOTOR CO LTD 0.67%
HENKEL AG & CO KGAA VORZUG 0.66%
SHISEIDO CO LTD 0.66%
NSK LTD 0.65%
SCREEN HOLDINGS CO LTD 0.65%
KION GROUP AG 0.60%
LAFARGEHOLCIM LTD-REG 0.59%
TELECOM ITALIA-RSP 0.58%
CREDIT SUISSE GROUP AG-REG 0.57%
KDDI CORP 0.57%
HIBERNIA REIT PLC 0.52%
LANXESS AG 0.51%
NINTENDO CO LTD 0.49%
VICINITY CENTRES 0.48%
LLOYDS BANKING GROUP PLC 0.40%

Full Portfolio Holdings as of 06/30/18

ING GROEP NV-CVA 3.40%
SIEMENS AG 2.83%
ROYAL DUTCH SHELL PLC-A SHS 2.38%
SUNCOR ENERGY INC 2.35%
SANOFI 2.25%
VINCI SA 2.22%
PRUDENTIAL PLC 2.01%
AUST AND NZ BANKING GROUP 1.98%
MITSUBISHI CORP 1.95%
NOVARTIS AG-REG 1.80%
AIA GROUP LTD 1.78%
NISSAN MOTOR CO LTD 1.76%
RIO TINTO PLC 1.75%
ASTRAZENECA PLC 1.72%
SUMITOMO MITSUI FINANCIAL GR 1.71%
VODAFONE GROUP PLC 1.63%
SOCIETE GENERALE SA 1.60%
NIPPON TELEGRAPH & TELEPHONE 1.55%
AXA SA 1.51%
SAMSUNG ELECTRONICS CO LTD 1.48%
BAE SYSTEMS PLC 1.41%
KERRY GROUP PLC-A 1.41%
ROYAL DUTCH SHELL PLC-B SHS 1.39%
INSURANCE AUSTRALIA GROUP LTD 1.35%
TOTAL SA 1.35%
CHUBB LTD 1.24%
HOYA CORP 1.21%
BAYER AG-REG 1.20%
VEOLIA ENVIRONNEMENT 1.16%
JAPAN AIRLINES CO LTD 1.11%
FERGUSON PLC 1.08%
SCOR SE 1.08%
DANSKE BANK A/S 1.07%
ENCANA CORP 1.07%
IMPERIAL BRANDS PLC 1.07%
TDK CORP 1.07%
ITOCHU CORP 1.06%
SPARK NEW ZEALAND LTD 1.06%
UNILEVER NV-CVA 1.06%
SSE PLC 1.05%
ALLIANZ SE-REG 1.01%
CHALLENGER LTD 1.01%
QUILTER PLC 1.00%
TOSHIBA CORP 1.00%
DALATA HOTEL GROUP PLC 0.98%
KONINKLIJKE AHOLD DELHAIZE N 0.98%
EURAZEO SA 0.96%
GLENCORE PLC 0.95%
COM HEM HOLDING AB 0.92%
JOHNSON CONTROLS INTERNATION 0.92%
MITSUI FUDOSAN CO LTD 0.92%
ORIX CORP 0.92%
NATIXIS 0.90%
MAGNA INTERNATIONAL INC 0.88%
CRH PLC 0.86%
DNB NOR ASA 0.86%
FORTUM OYJ 0.82%
PANASONIC CORP 0.80%
SINO-AMERICAN SILICON PRODUC 0.80%
SANWA HOLDINGS CORP 0.79%
SEVEN & I HOLDINGS CO LTD 0.79%
FIAT CHRYSLER AUTOMOBILES NV 0.78%
MIZUHO FINANCIAL GROUP INC 0.77%
COMPAGNIE DE SAINT-GOBAIN 0.75%
BANK OF IRELAND GROUP PLC 0.74%
VALEO SA 0.74%
BCE INC 0.73%
AENA SME SA 0.70%
SKANDINAVISKA ENSKILDA BAN-A 0.70%
UBS GROUP AG-REG 0.69%
YAMAHA MOTOR CO LTD 0.67%
HENKEL AG & CO KGAA VORZUG 0.66%
SHISEIDO CO LTD 0.66%
NSK LTD 0.65%
SCREEN HOLDINGS CO LTD 0.65%
KION GROUP AG 0.60%
LAFARGEHOLCIM LTD-REG 0.59%
TELECOM ITALIA-RSP 0.58%
CREDIT SUISSE GROUP AG-REG 0.57%
KDDI CORP 0.57%
HIBERNIA REIT PLC 0.52%
LANXESS AG 0.51%
NINTENDO CO LTD 0.49%
VICINITY CENTRES 0.48%
LLOYDS BANKING GROUP PLC 0.40%
CHF/USD 09/19/2018 JPMCB 0.03%
GBP/USD 09/19/2018 BCAP-FX 0.03%
GBP/USD 09/19/2018 JPMCB 0.03%
AUD/USD 07/18/2018 SSBT 0.02%
THE EURO EUR CALL ACCOUNT 0.02%
JPY/USD 08/16/2018 GSFX 0.01%
JPY/USD 08/16/2018 JPMCB 0.01%
SGD/USD 08/16/2018 JPMCB 0.01%
AUD/USD 07/18/2018 BANKAM 0.00%
AUSTRALIAN DOLLAR ACCOUNT 0.00%
CAD/USD 07/18/2018 BANKAM 0.00%
CAD/USD 07/18/2018 BCAP-FX 0.00%
CAD/USD 07/18/2018 GSFX 0.00%
CAD/USD 07/18/2018 UBS 0.00%
CANADIAN DOLLAR ACCOUNT 0.00%
CNH/USD 08/16/2018 GSFX 0.00%
EUR/USD 09/19/2018 BANKAM 0.00%
GBP/USD 09/19/2018 CITI 0.00%
HKD/USD 08/16/2018 BANKAM 0.00%
HKD/USD 08/16/2018 BCAP-FX 0.00%
ILS/USD 07/18/2018 SSBT 0.00%
JPY/USD 08/16/2018 SSBT 0.00%
KOREAN WON CALL ACCOUNT 0.00%
NOK/USD 09/19/2018 JPMCB 0.00%
POUND STERLING CALL ACCOUNT 0.00%
SEK/USD 09/19/2018 CSI-FX 0.00%
CAD/USD 07/18/2018 CITI -0.01%
CAD/USD 07/18/2018 SSBT -0.01%
DKK/USD 09/19/2018 CITI -0.01%
EUR/USD 09/19/2018 GSFX -0.01%
EUR/USD 09/19/2018 JPMCB -0.01%
KRW/USD 08/16/2018 JPMCB -0.01%
NZD/USD 07/18/2018 JPMCB -0.01%
EUR/USD 09/19/2018 CITI -0.04%
JAPANESE YEN CALL ACCOUNT -0.31%

Prior top 10 holdings

Top 10 holdings as of 06/30/18
1: Royal Dutch Shell 3.77%
2: Ing Groep Nv 3.40%
3: Siemens Ag 2.83%
4: Suncor Energy 2.35%
5: Sanofi 2.25%
6: Vinci 2.22%
7: Prudential 2.01%
8: Australia New Zealand Banking Group 1.98%
9: Mitsubishi Corp 1.95%
10: Novartis Ag 1.80%
Holdings represent 24.56% of portfolio
Top 10 holdings as of 05/31/18
1: Royal Dutch Shell 3.75%
2: Ing Groep Nv 3.44%
3: Siemens Ag 2.79%
4: Suncor Energy 2.30%
5: Vinci 2.26%
6: Sanofi 2.15%
7: Prudential 2.11%
8: Australia New Zealand Banking Group 1.94%
9: Mitsubishi Corp 1.94%
10: Aia Group 1.86%
Holdings represent 24.54% of portfolio
Top 10 holdings as of 04/30/18
1: Ing Groep Nv 3.88%
2: Royal Dutch Shell 3.68%
3: Vinci 2.23%
4: Prudential 2.18%
5: Siemens Ag 2.14%
6: Sanofi 2.14%
7: Suncor Energy 2.13%
8: Societe Generale 2.03%
9: Vodafone Group 1.91%
10: Mitsubishi Corp 1.88%
Holdings represent 24.20% of portfolio
Top 10 holdings as of 03/31/18
1: Ing Groep Nv 3.93%
2: Royal Dutch Shell 3.36%
3: Vinci 2.21%
4: Sanofi 2.19%
5: Siemens Ag 2.16%
6: Prudential 2.14%
7: Societe Generale 2.03%
8: Suncor Energy 1.93%
9: Australia New Zealand Banking Group 1.91%
10: Novartis Ag 1.89%
Holdings represent 23.75% of portfolio

Portfolio Composition as of 06/30/18

Common stock 97.42%
Cash and net other assets 2.58%

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.

International investing involves certain risks, such as currency fluctuations, economic instability, and political developments. 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.Although value investing targets stocks believed to be priced too low, there is no guarantee they will appreciate.

Top Industry Sectors as of 06/30/18

Financials 29.26%
Industrials 17.07%
Energy 8.54%
Health care 8.18%
Telecommunication services 7.04%
Consumer staples 6.63%
Consumer discretionary 6.61%
Materials 4.65%
Information technology 4.48%
 
Other
7.54%
Utilities 3.03%
Cash and net other assets 2.58%
Real estate 1.93%

Country Allocation as of 06/30/18

Japan 21.10%
United Kingdom 17.83%
France 14.52%
Germany 6.81%
Netherlands 5.44%
Canada 5.03%
Australia 4.82%
Ireland 4.51%
Switzerland 3.65%
 
Other
16.29%
Cash and net other assets 2.58%
United States 2.16%
Hong Kong 1.78%
Sweden 1.62%
South Korea 1.48%
Italy 1.36%
Denmark 1.07%
New Zealand 1.06%
Norway 0.86%
Finland 0.82%
Taiwan 0.80%
Spain 0.70%