Putnam Allstate Advisor Preferred

George Putnam Balanced Fund Subaccount

The subaccount seeks to provide a balanced investment composed of a well diversified portfolio of stocks and bonds which produce both capital growth and current income.

Fund description

The subaccount seeks its dual objectives of capital growth and current income by investing in a combination of value stocks and fixed-income securities. The equity portion targets stocks of large companies that are currently undervalued and undergoing positive changes. The fixed-income portion includes government, corporate, and mortgage-backed securities. The subaccount typically has a 60%-70% allocation to stocks and a 30%-40% position in bonds.

Sales story

A prudent balance of stocks and bonds A balanced approach: The fund seeks conservative growth plus income through a mix of roughly 60% stocks and 40% bonds.Seeking reduced volatility: The fund's focus on undervalued stocks and primarily high-quality bonds is designed to reduce volatility for conservative and income-oriented investors.A rigorous process: The fund's experienced portfolio managers use rigorous fundamental investment research to find opportunities and manage risk.

Management team

Daily pricing as of 06/24/19

with optional enhanced death benefits
Unit Value $18.626064 $18.090465
Unit Value Change -0.002547 -0.002697

Lipper ranking ‡ as of 05/31/19

Category: BALANCED FUNDS

  Percentile ranking Rank/Funds in category
10 yrs. 14% 15/114
1 yr. 8% 11/156
3 yrs. 7% 9/137
5 yrs. 10% 12/131

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.The use of derivatives involves additional risks, such as the potential inability to terminate or sell derivatives positions and the potential failure of the other party to the instrument to meet its obligations.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 05/31/19

Fiscal Year End December
Asset Class Putnam Allstate Advisor Preferred
Subaccount Status Open to new investors
Number of issues 437
Turnover (fiscal year end) 264%
Net Assets $157M
Inception Date 05/01/98

Performance

Performance as of 03/31/19

Annualized Performance Last Quarter Year
to Date
1 yr. 3 yrs. 5 yrs. 10 yrs. Life of
subaccount
Restated performance
Unit Value 9.37% 9.37% 5.66% 7.83% 5.40% 9.11% 2.79%
Standardized 7.37% 7.37% 3.66% 7.83% 5.40% 9.11% 2.79%
With optional enhanced death benefit
Unit Value 9.33% 9.33% 5.51% 7.67% 5.24% 8.95% 2.63%
Standardized 7.33% 7.33% 3.51% 7.67% 5.24% 8.95% 2.63%
Actual performance
Unit Value 9.37% 9.37% 5.66% 7.83% 5.40% 9.11% 3.10%
Standardized 7.37% 7.37% 3.66% 7.83% 5.40% 9.11% 3.10%
With optional enhanced death benefit
Unit Value 9.33% 9.33% 5.51% 7.67% 5.24% 8.95% 2.37%
Standardized 7.33% 7.33% 3.51% 7.67% 5.24% 8.95% 2.37%

Annual Performance at NAV

2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
23.55% 9.00% 1.08% 10.67% 16.15% 8.85% -2.76% 6.23% 13.19% -4.75%
With optional enhanced death benefit
23.37% 8.83% 0.92% 10.50% 15.97% 8.69% -2.91% 6.07% 13.02% -4.89%

Restated performance

Monthly as of 05/31/19

Unit Value -1.22%
Standardized -3.19%

YTD as of 06/24/19

Unit Value 13.97%
Standardized 11.97%

With optional enhanced death benefit

Monthly as of 05/31/19

Unit Value -1.22%
Standardized -3.20%

YTD as of 06/24/19

Unit Value 13.89%
Standardized 11.89%

Unit values and performance information shown apply to the specific annuity product listed, not the underlying Putnam Variable Trust fund. This information should not be used by investors who hold an interest in Putnam Variable Trust funds through a different annuity or other variable product. The unit values and performance of other variable products that offer Putnam Variable Trust funds may be higher or lower due to product charges and expenses or other factors.

Data is historical. Past performance is no guarantee of future results. More recent returns may be less or more than those shown. Investment return and principal value will fluctuate, and you may have a gain or a loss when you sell your units.

Returns shown for the subaccounts for periods before their inception are derived from the historical performance of the underlying fund, adjusted to reflect the mortality, expense risk, and surrender charges applicable to this product and do not factor in the annual $30 contract maintenance fee. Additional riders and options for insurance-related charges will increase expenses and lower returns. Please see the prospectus for details. For a portion of the period, subaccounts may have limited expenses, without which returns would have been lower.

Variable annuities are long-term investments designed for retirement purposes. Putnam Capital Manager products are flexible-premium variable annuities held by Talcott Resolution Life, Inc., Simsbury, CT.

Putnam Allstate variable annuities are flexible-premium deferred variable annuities issued by Allstate Life Insurance Company (Allstate Life); underwritten by Allstate Distributors, L.L.C., both of Northbrook, IL; and sold through registered representatives or bank employees who are licensed insurance agents. Please check for availability in your specific state.

These policies have limitations and are sold by prospectus only. The prospectus contains details on the variable annuity, the subaccounts, contract features, fees, expenses, and other pertinent information.

Investors should carefully consider the investment objectives, risks, charges, and expenses of a fund before investing. For a prospectus containing this and other information for any variable annuity or variable life product that invests in Putnam Variable Trust funds, contact your financial advisor for a contract prospectus and prospectus for the underlying funds. You may also call Talcott Resolution at 1-800-521-0538 or Allstate at 1-800-390-1277. Read the prospectuses carefully before investing.

For the most recent month-end performance, please call Talcott Resolution at 1-800-521-0538 or Allstate at 1-800-390-1277.

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.

The use of derivatives involves additional risks, such as the potential inability to terminate or sell derivatives positions and the potential failure of the other party to the instrument to meet its obligations.

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.

Risk Characteristics as of 05/31/19

Avg. Eff. Maturity 7.99
Avg. Price --
Avg. Eff. Duration 5.42
Avg. Coupon --
Avg. Yield to Maturity --
Alpha (%) 1.06
Beta 0.62
R Squared 0.95
Standard Deviation (3 yrs.) 7.30

Maturity Details

0 to 1 yr. 4.15%
1 to 5 yrs. 46.33%
5 to 10 yrs. 32.10%
10 to 15 yrs. 2.12%
Over 15 yrs. 15.30%

Quality Ratings

AAA 57.57%
AA 2.75%
A 12.86%
BBB 20.76%
BB 2.14%
CCC and Below 0.03%
Not Rated 3.89%

Holdings

Top 10 holdings as of 05/31/19

Microsoft 2.71%
Alphabet 2.05%
Amazon 2.04%
Us Treasury N/B 02.7500 08/15/2042 1.83%
Apple 1.58%
Us Treasury N/B 02.2500 02/15/2021 1.48%
Us Treasury N/B 01.6250 10/31/2023 1.42%
Fnma Fn30 Bm5477 04.5000 02/01/2049 1.35%
Fnma Fn30 Tba Umbs 04.0000 06/01/2049 1.32%
Fnma Fn30 Tba Umbs 04.0000 07/01/2049 1.32%
Top 10 holdings, total: 17.10%

Full Portfolio Holdings as of 03/31/19

FNMA FN30 TBA 04.0000 04/01/2049 2.64%
MICROSOFT CORP 2.46%
ALPHABET INC-CL A 1.85%
AMAZON.COM INC 1.84%
APPLE INC 1.63%
US TREASURY N/B 02.7500 08/15/2042 1.52%
US TREASURY N/B 02.2500 02/15/2021 1.47%
US TREASURY N/B 01.6250 10/31/2023 1.42%
FNMA FN30 BM5477 04.5000 02/01/2049 1.37%
BANK OF AMERICA CORP 1.29%
US TREASURY N/B 02.1250 12/31/2022 1.29%
US TREASURY N/B 02.0000 11/30/2020 1.25%
US TREASURY N/B 02.6250 06/15/2021 1.18%
HONEYWELL INTERNATIONAL INC 1.15%
US TREASURY N/B 01.8750 11/30/2021 1.15%
US TREASURY N/B 02.0000 02/15/2022 1.15%
FACEBOOK INC-CLASS A 1.11%
VISA INC-CLASS A SHARES 1.11%
COCA-COLA CO/THE 1.10%
HOME DEPOT INC 1.09%
PROCTER & GAMBLE CO/THE 1.07%
FNMA FN40 BF0169 3.500000 01/01/2057 1.06%
BP PLC 0.98%
CITIGROUP INC 0.92%
GENERAL MOTORS CO 0.88%
JOHNSON & JOHNSON 0.85%
DANAHER CORP 0.82%
ASSURED GUARANTY LTD 0.81%
US TREASURY N/B 03.0000 02/15/2047 0.78%
QUALCOMM INC 0.77%
CENOVUS ENERGY INC 0.74%
ACTIVISION BLIZZARD INC 0.73%
MERCK & CO. INC. 0.73%
CIGNA CORP 0.68%
DOWDUPONT INC 0.67%
FNMA FN30 TBA 04.5000 04/01/2049 0.67%
GNMA GII30 BI6858 04.5000 03/20/2049 0.67%
DXC TECHNOLOGY CO 0.66%
GNMA GII30 TBA 03.5000 04/01/2049 0.66%
GOLDMAN SACHS GROUP INC 0.66%
NXP SEMICONDUCTORS NV 0.66%
SALESFORCE.COM INC 0.66%
FNMA FN30 TBA 03.5000 04/01/2049 0.65%
GNMA GII30 TBA 03.0000 04/01/2049 0.65%
KKR & CO INC -A 0.65%
ADOBE INC 0.64%
WALMART INC 0.62%
PFIZER INC 0.61%
UNION PACIFIC CORP 0.60%
FIDELITY NATIONAL INFO SERV 0.58%
GAMING AND LEISURE PROPERTIE 0.58%
PRUDENTIAL PLC 0.57%
UNITEDHEALTH GROUP INC 0.56%
AMERICAN ELECTRIC POWER 0.55%
INTEL CORP 0.55%
JPMORGAN CHASE & CO 0.54%
WELLS FARGO & CO 0.52%
EXELON CORP 0.51%
EATON CORP PLC 0.50%
JOHNSON CONTROLS INTERNATION 0.50%
ROPER TECHNOLOGIES INC 0.50%
FNMA FN30 BC1155 03.0000 06/01/2046 0.49%
WALT DISNEY CO/THE 0.49%
VERIZON COMMUNICATIONS INC 0.48%
BOOKING HOLDINGS INC 0.46%
E*TRADE FINANCIAL CORPORATION 0.44%
ENTERPRISE PRODUCTS PARTNERS 0.44%
HERSHEY CO/THE 0.44%
ON SEMICONDUCTOR CORP 0.44%
ELI LILLY & CO 0.43%
MCCORMICK & CO-NON VTG SHRS 0.43%
SHERWIN-WILLIAMS CO/THE 0.43%
CHARTER COMMUNICATIONS INC-A 0.42%
COMCAST CORP-CLASS A 0.42%
WASTE CONNECTIONS INC 0.41%
AMGEN INC 0.40%
AT&T INC 0.40%
HILTON WORLDWIDE HOLDINGS IN 0.40%
KINDER MORGAN INC 0.40%
NIKE INC -CL B 0.39%
BOEING CO/THE 0.37%
NORFOLK SOUTHERN CORP 0.37%
BLACKROCK INC 0.35%
LINDE PLC 0.35%
RAYMOND JAMES FINANCIAL INC 0.35%
FORTUNE BRANDS HOME & SECURI 0.34%
NRG ENERGY INC 0.34%
PEPSICO INC 0.33%
YUM CHINA HOLDINGS INC 0.33%
AMERICAN INTERNATIONAL GROUP 0.32%
CHIPOTLE MEXICAN GRILL INC 0.32%
METLIFE CAP TRST IV P/P 144A 07.8750 12/15/2037 0.32%
NEXTERA ENERGY INC 0.32%
BAXTER INTERNATIONAL INC 0.31%
BRISTOL-MYERS SQUIBB CO 0.31%
JPMORGAN CHASE & CO 03.9640 11/15/2048 0.31%
SBA COMMUNICATIONS CORP 0.31%
CLOROX COMPANY 0.30%
FIRST DATA CORP- CLASS A 0.30%
FORTIVE CORP 0.30%
BECTON DICKINSON AND CO 0.29%
FREEPORT-MCMORAN INC 0.29%
WYNN RESORTS LTD 0.29%
CISCO SYSTEMS INC 0.28%
INTUITIVE SURGICAL INC 0.28%
NETEASE INC-ADR 0.28%
ABBOTT LABORATORIES 0.27%
INTERCONTINENTAL EXCHANGE IN 0.27%
LIVE NATION ENTERTAINMENT IN 0.27%
COSTCO WHOLESALE CORP 0.26%
ABBVIE INC 0.25%
EVERBRIDGE INC 0.25%
FMC CORP 0.25%
UBS AG REGS 05.1250 05/15/2024 0.25%
ALLERGAN PLC 0.23%
CHUBB LTD 0.22%
CIGNA CORP P/P 144A 03.7500 07/15/2023 0.22%
METTLER-TOLEDO INTERNATIONAL 0.22%
TJX COMPANIES INC 0.22%
ENCANA CORP 0.21%
TENCENT HOLDINGS LTD 0.21%
ANADARKO PETROLEUM CORP 0.20%
HARTFORD FINL SVCS GRP 06.6250 03/30/2040 0.20%
MEDTRONIC PLC 0.20%
TRANSDIGM GROUP INC 0.20%
AMETEK INC 0.19%
BOSTON SCIENTIFIC CORP 0.19%
GNMA GII30 OBD1715 03.5000 11/20/2047 0.19%
ICU MEDICAL INC 0.19%
SUNTRUST BANKS INC 0.19%
CITIGROUP INC 04.7500 05/18/2046 0.18%
CREDIT SUISSE GRP AG P/P 144A 03.8690 01/12/2029 0.18%
DEERE & CO 0.18%
EDWARDS LIFESCIENCES CORP 0.18%
GILEAD SCIENCES INC 0.18%
GNMA GII30 OBD1716 03.5000 11/20/2047 0.18%
SANTANDER UK PLC P/P 144A 05.0000 11/07/2023 0.18%
VERTEX PHARMACEUTICALS INC 0.18%
WALGREENS BOOTS ALLIANCE INC 0.18%
CVS HEALTH CORP 0.17%
SALESFORCE.COM INC 03.7000 04/11/2028 0.17%
WEC ENERGY GROUP INC 04.7963 05/15/2067 0.17%
ENERGY TRANSFER OPERATNG 06.6250 02/15/2028 0.16%
GODADDY INC - CLASS A 0.16%
MASS MUTUAL LIFE P/P 144A 08.8750 06/01/2039 0.16%
BJ'S WHOLESALE CLUB HOLDINGS 0.15%
CAIRN ENERGY PLC 0.15%
SUMMIT MATERIALS INC -CL A 0.15%
AON PLC USD 04.2500 12/12/2042 0.14%
BPCE SA P/P 144A 05.1500 07/21/2024 0.14%
BURLINGTON STORES INC 0.14%
CIT GROUP INC. 05.2500 03/07/2025 0.14%
DIAMOND 1 FIN/DIAM P/P 144A 06.0200 06/15/2026 0.14%
ING BANK NV P/P 144A 05.8000 09/25/2023 0.14%
MGM RESORTS INTERNATIONAL 0.14%
MSC 2012-C4 D P/P 144A 05.4207 03/15/2045 0.14%
ADVANCE AUTO PARTS 0.13%
BALL CORP 0.13%
DIGITAL REALTY TRUST LP 04.4500 07/15/2028 0.13%
ELANCO ANIMAL HEALTH P/P 144A 04.9000 08/28/2028 0.13%
ERAC USA FINANCE LLC P/P 144A 07.0000 10/15/2037 0.13%
INTERPUBLIC GROUP COS 04.6500 10/01/2028 0.13%
REGENERON PHARMACEUTICALS 0.13%
SEMPRA ENERGY 0.13%
THERMO FISHER SCIENTIFIC INC 0.13%
UNITEDHEALTH GROUP INC 03.8500 06/15/2028 0.13%
WILLIAMS COMPANIES INC 04.3000 03/04/2024 0.13%
YELLOW CAKE PLC 144A 0.13%
ASHTEAD CAPITAL INC P/P 144A 04.3750 08/15/2027 0.12%
AT&T INC 04.1000 02/15/2028 0.12%
AT&T INC 04.3500 03/01/2029 0.12%
BANK OF AMERICA CORP 06.1100 01/29/2037 0.12%
CARMAX INC 0.12%
CF INDUSTRIES INC P/P 144A 04.5000 12/01/2026 0.12%
CMS ENERGY CORP 0.12%
GOLDMAN SACHS GROUP INC 03.8500 01/26/2027 0.12%
GOLDMAN SACHS GROUP INC 04.2230 05/01/2029 0.12%
KEURIG DR PEPPER INC P/P 144A 04.5970 05/25/2028 0.12%
LEVI STRAUSS & CO- CLASS A 0.12%
SOUTHERN CO/THE 0.12%
WESTROCK MWV LLC 08.2000 01/15/2030 0.12%
APPLE INC 04.3750 05/13/2045 0.11%
BRDCOM CRP / FIN 03.8750 01/15/2027 0.11%
FIRSTENERGY TRANSMIS P/P 144A 05.4500 07/15/2044 0.11%
GLENCORE FUNDING LLC P/P 144A 04.6250 04/29/2024 0.11%
GSMS 2014-GC22 C 04.6895 06/10/2047 0.11%
IHS MARKIT LTD P/P 144A 04.7500 02/15/2025 0.11%
PRUDENTIAL FINANCIAL INC 05.2000 03/15/2044 0.11%
WALT DISNEY COMP P/P 144A 07.7500 01/20/2024 0.11%
AMEREN CORPORATION 0.10%
BECTON DICKINSON AND CO 04.6690 06/06/2047 0.10%
CELGENE CORP 0.10%
CONOCOPHILLIPS 0.10%
CVS PASS-THRU TRUST P/P 144A 07.5070 01/10/2032 0.10%
DOMINION ENERGY INC 0.10%
EOG RESOURCES INC 04.1500 01/15/2026 0.10%
FISERV INC 04.2000 10/01/2028 0.10%
LEGRAND FRANCE USD 08.5000 02/15/2025 0.10%
ORACLE CORP 02.6500 07/15/2026 0.10%
SIRIUS XM RADIO INC P/P 144A 05.0000 08/01/2027 0.10%
WESTLAKE CHEM CORP 03.6000 08/15/2026 0.10%
ALIBABA GROUP HOLDING-SP ADR 0.09%
AMAZON.COM INC 04.0500 08/22/2047 0.09%
AMERICAN INTL GROUP 08.1750 05/15/2058 0.09%
ARCHER-DANIELS-MIDLAND CO 0.09%
COMCAST CORP 03.1500 03/01/2026 0.09%
CROWN CASTLE INTL CORP 03.8000 02/15/2028 0.09%
DUKE ENERGY CORP 0.09%
DUKE ENERGY OHIO INC 03.6500 02/01/2029 0.09%
FAIRFAX FINL HLDGS USD 04.8500 04/17/2028 0.09%
FIRSTENERGY CORP 0.09%
HILTON WORLDWIDE FIN LLC 04.8750 04/01/2027 0.09%
MICROCHIP TECH INC P/P 144A 04.3330 06/01/2023 0.09%
STANDARD IND INC P/P 144A 05.0000 02/15/2027 0.09%
TELEFONICA EMISIONES SAU USD 04.8950 03/06/2048 0.09%
TEXAS-NEW MEXICO PR P/P 144A 09.5000 04/01/2019 0.09%
WESTERN DIGITAL CORP 04.7500 02/15/2026 0.09%
WP CAREY INC 04.6000 04/01/2024 0.09%
ALIMENTATION COUCHE-TARD 3.550000 07/26/2027 0.08%
CGCMT 2014-GC21 C 04.7800 05/10/2047 0.08%
CHARTER COMM OPT LLC 06.4840 10/23/2045 0.08%
CONCHO RESOURCES INC 03.7500 10/01/2027 0.08%
ECOLAB INC 03.2500 12/01/2027 0.08%
EDISON INTERNATIONAL 0.08%
JOHNSON CONTROLS INTL PL 04.5000 02/15/2047 0.08%
JPMORGAN CHASE & CO 05.3000 12/29/2049 0.08%
LAMB WESTON HOLDINGS P/P 144A 04.8750 11/01/2026 0.08%
NUTRIEN LTD USD 04.2000 04/01/2029 0.08%
OSHKOSH CORP 04.6000 05/15/2028 0.08%
SPRINT SPECTRUM P/P 144A 03.3600 09/20/2021 0.08%
TRANSCANADA TRUST USD 05.3000 03/15/2077 0.08%
AIR LEASE CORP 03.0000 09/15/2023 0.07%
BECTON DICKINSON AND CO 03.7000 06/06/2027 0.07%
COMM 2013-CR13 AM 04.4490 11/10/2046 0.07%
ECOLAB INC 0.07%
EQT CORP 03.9000 10/01/2027 0.07%
L3 TECHNOLOGIES INC 03.8500 12/15/2026 0.07%
NORTHROP GRUMMAN CORP 03.2500 01/15/2028 0.07%
PACKAGING CORP OF AMERICA 0.07%
REPUBLIC SERVICES INC 03.9500 05/15/2028 0.07%
SABINE PASS LIQUEF 05.0000 03/15/2027 0.07%
SHIRE ACQ INV IE 03.2000 09/23/2026 0.07%
W.R. GRACE & CO 0.07%
WEYERHAEUSER CO 07.3750 03/15/2032 0.07%
WFRBS 2013-UBS1 AS 04.3060 03/15/2046 0.07%
WILLIS TOWERS WATSON PLC USD 05.7500 03/15/2021 0.07%
AMAZON.COM INC 03.1500 08/22/2027 0.06%
ARC PROP OPER PART L 04.6000 02/06/2024 0.06%
AUTONATION INC. 05.5000 02/01/2020 0.06%
BERKSHIRE HATHAWAY FIN 04.3000 05/15/2043 0.06%
BP CAP MARKETS AMERICA 03.9370 09/21/2028 0.06%
CANTOR FITZGERALD LP P/P 144A 06.5000 06/17/2022 0.06%
CGCMT 2014-GC21 AS 04.0260 05/10/2047 0.06%
CITIGROUP INC 04.4500 09/29/2027 0.06%
DIAGEO INVESTMENT CORP 08.0000 09/15/2022 0.06%
EL PASO NATURAL GAS 08.3750 06/15/2032 0.06%
EQUINOR ASA USD 05.1000 08/17/2040 0.06%
ERAC USA FINANCE LLC P/P 144A 05.6250 03/15/2042 0.06%
GNMA GII30 OBD1714 03.5000 11/20/2047 0.06%
LEAR CORP 03.8000 09/15/2027 0.06%
S&P GLOBAL INC 04.4000 02/15/2026 0.06%
SHERWIN-WILLIAMS CO 03.4500 06/01/2027 0.06%
ZOETIS INC 03.9000 08/20/2028 0.06%
ALLY FINANCIAL INC 05.7500 11/20/2025 0.05%
ALPHABET INC 01.9980 08/15/2026 0.05%
AMERICAN ELECTRIC POWER 04.3000 12/01/2028 0.05%
AMGEN INC 04.6630 06/15/2051 0.05%
APPALACHIAN POWER CO 05.8000 10/01/2035 0.05%
BMW US CAPITAL LLC P/P 144A 03.9500 08/14/2028 0.05%
BP CAP MARKETS AMERICA 03.1190 05/04/2026 0.05%
CBS CORP 04.6000 01/15/2045 0.05%
CELANESE US HOLDINGS LLC 04.6250 11/15/2022 0.05%
CHARTER COMM OPT LLC 05.3750 05/01/2047 0.05%
COMCAST CORP 03.9990 11/01/2049 0.05%
COX COMM INC P/P 144A 03.5000 08/15/2027 0.05%
HCA INC 05.2500 06/15/2026 0.05%
INTL FLAVOR & FRAGRANCES 04.4500 09/26/2028 0.05%
KINDER MORGAN INC 03.1500 01/15/2023 0.05%
L3 TECHNOLOGIES INC 04.4000 06/15/2028 0.05%
MICROSOFT CORP 03.7000 08/08/2046 0.05%
N TX HWY-TXB-B 06.7180 01/01/2049 0.05%
NEXTERA ENERGY CAPITAL 04.8000 12/01/2077 0.05%
OMEGA HLTHCARE INVESTORS 04.9500 04/01/2024 0.05%
ONEAMERICA FINL P/P 144A 07.0000 10/15/2033 0.05%
PENSKE TRUCK LE P/P 144A 03.4000 11/15/2026 0.05%
SHIRE ACQ INV IRELAND DA USD 02.8750 09/23/2023 0.05%
TORONTO-DOMINION BANK USD 03.6250 09/15/2031 0.05%
VERIZON COMM 04.3290 09/21/2028 0.05%
VIDEOTRON LTD / LTEE P/P 144A 05.1250 04/15/2027 0.05%
VODAFONE GROUP PLC USD 04.3750 05/30/2028 0.05%
WELLS FARGO & COMPANY 05.8750 12/29/2049 0.05%
WFRBS 2011-C3 D P/P 144A 05.6839 03/15/2044 0.05%
AES CORP/THE 05.1250 09/01/2027 0.04%
AMERICAN TOWER CORP 03.3750 10/15/2026 0.04%
AMERICAN TOWER CORP 03.5500 07/15/2027 0.04%
APOLLO GLOBAL MANAGEMENT - A 0.04%
BMIR 2017-1 M1 P/P 144A 04.1855 10/25/2027 0.04%
BMW US CAPITAL LLC P/P 144A 02.8000 04/11/2026 0.04%
CAPITAL ONE FINANCIAL CO 04.2000 10/29/2025 0.04%
CBRE SERVICES INC 04.8750 03/01/2026 0.04%
CBS CORP 04.2000 06/01/2029 0.04%
CHARTER COMM OPT LLC 04.9080 07/23/2025 0.04%
CHENIERE CORP CHRIST 05.1250 06/30/2027 0.04%
CROWN CASTLE INTL CORP 03.6500 09/01/2027 0.04%
DOLLAR GENERAL CORP 03.2500 04/15/2023 0.04%
ENTERPRISE PRODUCTS OPER 04.2500 02/15/2048 0.04%
EQUINIX INC 05.3750 05/15/2027 0.04%
FIDELITY NATIONAL INFORM 04.2500 05/15/2028 0.04%
FNMA FN30 734836 05.0000 08/01/2033 0.04%
FNMA FN30 995023 05.5000 08/01/2037 0.04%
FOX CORP P/P 144A 04.0300 01/25/2024 0.04%
GLENCORE FUNDING LLC P/P 144A 04.0000 04/16/2025 0.04%
HESS CORP 07.3000 08/15/2031 0.04%
HOSPITALITY PROP TRUST 04.3750 02/15/2030 0.04%
IHS MARKIT LTD P/P 144A 04.0000 03/01/2026 0.04%
KKR GROUP FINANCE CO P/P 144A 06.3750 09/29/2020 0.04%
MICROSOFT CORP 02.4000 08/08/2026 0.04%
NVR INC 03.9500 09/15/2022 0.04%
ONCOR ELECTRIC DELI 05.7500 03/15/2029 0.04%
ONCOR ELECTRIC DELIVERY 04.1000 06/01/2022 0.04%
OPORTUN FIN CORP P/P SERIES H PFD 0.04%
SW AIRLINES 07-1 TRUST 06.1500 08/01/2022 0.04%
TARGA RESOURCES PART 05.0000 01/15/2028 0.04%
TEACHERS INSUR & ANN P/P 144A 06.8500 12/16/2039 0.04%
WALGREENS BOOTS ALLIANCE 03.4500 06/01/2026 0.04%
AIR LEASE CORP 04.6250 10/01/2028 0.03%
BANK OF MONTREAL USD 03.8030 12/15/2032 0.03%
BMW US CAPITAL LLC P/P 144A 03.4000 08/13/2021 0.03%
CA TXB-VAR PURP 07.5000 04/01/2034 0.03%
CBS CORP 02.9000 01/15/2027 0.03%
COMM 2014-UBS6 C 04.4585 12/10/2047 0.03%
CONSOLIDATED EDISON CO O 04.2000 03/15/2042 0.03%
CVS HEALTH CORP 05.0500 03/25/2048 0.03%
ENBRIDGE INC USD 04.2500 12/01/2026 0.03%
ENERGY TRANSFER OPERATNG 05.2000 02/01/2022 0.03%
FAIRFAX US INC P/P 144A 04.8750 08/13/2024 0.03%
FNMA FN30 555591 05.5000 07/01/2033 0.03%
GENERAL MOTORS FINL CO 04.0000 10/06/2026 0.03%
GENERAL MOTORS FINL CO 04.3000 07/13/2025 0.03%
KINDER MORGAN ENER PART 03.5000 03/01/2021 0.03%
OH UNIV-TXB-C-BABS 04.9100 06/01/2040 0.03%
OMNICOM GP/OMNICOM CAP 03.6000 04/15/2026 0.03%
PRUDENTIAL FINANCIAL INC 06.6250 06/21/2040 0.03%
QVC INC 04.8500 04/01/2024 0.03%
VMWARE INC 03.9000 08/21/2027 0.03%
AMGEN INC 02.6000 08/19/2026 0.02%
ANTHEM INC 04.6250 05/15/2042 0.02%
AUTONATION INC 04.5000 10/01/2025 0.02%
AVIATION CAPITAL GRP P/P 144A 07.1250 10/15/2020 0.02%
BANK OF AMERICA CORP 06.1000 12/29/2049 0.02%
CBRE SERVICES INC 05.2500 03/15/2025 0.02%
CC HLDG GS V LLC/CRO 03.8490 04/15/2023 0.02%
CNO FINANCIAL GROUP INC 05.2500 05/30/2025 0.02%
COMCAST CABLE COMMUNICAT 09.4550 11/15/2022 0.02%
COMCAST CORP 06.5000 11/15/2035 0.02%
CROWN CASTLE INTL CORP 04.7500 05/15/2047 0.02%
CVS HEALTH CORP 04.7800 03/25/2038 0.02%
DIAMOND 1 FIN/DIAMON P/P 144A 08.3500 07/15/2046 0.02%
ENERGY TRAN PTNR 07.6000 02/01/2024 0.02%
EOG RESOURCES INC 05.6250 06/01/2019 0.02%
FIFTH THIRD BANCORP 05.1000 12/29/2049 0.02%
FNMA FN30 889982 05.5000 11/01/2038 0.02%
FNMA FN30 995018 05.5000 06/01/2038 0.02%
HCA INC 05.5000 06/15/2047 0.02%
HOSPITALITY PROPERTIES T 04.5000 03/15/2025 0.02%
IBERDROLA INTL BV USD 06.7500 07/15/2036 0.02%
IPALCO ENTPRS IN 03.7000 09/01/2024 0.02%
JPMORGAN CHASE & CO 06.1000 02/01/2049 0.02%
LIBERTY MUTUAL GROUP P/P 144A 07.8000 03/15/2037 0.02%
MARATHON PETRO CORP 06.5000 03/01/2041 0.02%
MID-AMERICA APARTMENTS 04.3000 10/15/2023 0.02%
NEUBERGER BERMAN GRP P/P 144A 04.8750 04/15/2045 0.02%
OPORTUN FIN CORP P/P 0.02%
OPORTUN FIN F-1 PFD CV P/P 0.02%
OPORTUN FIN G-1 PFD CV P/P 0.02%
PETROLEOS MEXICANOS USD 04.5000 01/23/2026 0.02%
PPL CORP 0.02%
ROGERS COMMUNICATIONS IN USD 04.5000 03/15/2043 0.02%
ROYAL BANK OF CANADA USD 04.6500 01/27/2026 0.02%
S&P500 EMINI FUT JUN19 ESM9 0.02%
SABINE PASS LIQUEFACTION 04.2000 03/15/2028 0.02%
SERVICE CORP INTL 04.6250 12/15/2027 0.02%
SUNOCO LOGISTICS PARTNER 05.9500 12/01/2025 0.02%
WILLIAMS COMPANIES INC 03.6000 03/15/2022 0.02%
AIR LEASE CORP 03.6250 04/01/2027 0.01%
ANHEUSER-BUSCH CO/IN P/P 144A 03.6500 02/01/2026 0.01%
AT&T INC 04.7500 05/15/2046 0.01%
BGC PARTNERS INC 05.1250 05/27/2021 0.01%
CBS CORP 04.0000 01/15/2026 0.01%
CITIGROUP INC 03.6680 07/24/2028 0.01%
COMMONWEALTH EDISON CO 05.8750 02/01/2033 0.01%
CROWN CASTLE INTL CORP 04.8750 04/15/2022 0.01%
CVS PASS-THROUGH P/P 144A 04.7040 01/10/2036 0.01%
ENERGY TRANSFER OPERATNG 06.2500 04/15/2049 0.01%
HCA INC 05.0000 03/15/2024 0.01%
HILTON DOMESTIC OPERATIN 04.2500 09/01/2024 0.01%
INTERNATIONAL PAPER CO 08.7000 06/15/2038 0.01%
KEURIG DR PEPPER INC P/P 144A 04.4170 05/25/2025 0.01%
KINDER MORGAN ENER PART 05.4000 09/01/2044 0.01%
MIDAMERICAN FUNDING LLC 06.9270 03/01/2029 0.01%
OMEGA HLTHCARE INVES 04.5000 04/01/2027 0.01%
OPORTUN FIN F PFD CV P/P 0.01%
PRUDENTIAL FINANCIAL INC 05.6250 06/15/2043 0.01%
ROGERS COMMUNICATIONS IN USD 08.7500 05/01/2032 0.01%
TIAAC 2003-1A E 144A 08.0000 12/28/2038 0.01%
UNITED AIR 2014-2 A PTT 03.7500 09/03/2026 0.01%
WESTLAKE CHEMICAL CORP 04.3750 11/15/2047 0.01%
WESTROCK MWV LLC 07.9500 02/15/2031 0.01%
ABBVIE INC 03.6000 05/14/2025 0.00%
ALLERGAN FUNDING SCS USD 03.4500 03/15/2022 0.00%
CAD/USD 04/17/2019 BCAP-FX 0.00%
CAD/USD 04/17/2019 GSFX 0.00%
CAD/USD 04/17/2019 JPMCB 0.00%
CAD/USD 04/17/2019 SSBT 0.00%
CANADIAN DOLLAR ACCOUNT 0.00%
CAS 2016-C05 2M1 03.8355 01/25/2029 0.00%
CNH/USD 05/15/2019 HSBCB 0.00%
EUR/USD 06/19/2019 BANKAM 0.00%
FIDELITY NATIONAL INFORM 03.0000 08/15/2026 0.00%
FIRSTENERGY CORP 03.9000 07/15/2027 0.00%
FIRSTENERGY CORP 04.8500 07/15/2047 0.00%
FPLUS 1997-3 B1 07.7900 11/10/2023 0.00%
GBP/USD 06/19/2019 BANKAM 0.00%
GBP/USD 06/19/2019 BCAP-FX 0.00%
GBP/USD 06/19/2019 CITI 0.00%
GBP/USD 06/19/2019 GSFX 0.00%
GLENCORE FIN CANADA P/P 144A 06.0000 11/15/2041 0.00%
HONG KONG DOLLAR CALL ACCOUNT 0.00%
KOREAN WON CALL ACCOUNT 0.00%
KRW/USD 05/15/2019 JPMCB 0.00%
OPORTUN FIN A-1 PFD CV P/P 0.00%
OPORTUN FIN B-1 PFD CV P/P 0.00%
OPORTUN FIN C-1 PFD CV P/P 0.00%
OPORTUN FIN D-1 PFD CV P/P 0.00%
OPORTUN FIN E-1 PFD CV P/P 0.00%
POUND STERLING CALL ACCOUNT 0.00%

Prior top 10 holdings

Top 10 holdings as of 05/31/19
1: Microsoft 2.71%
2: Alphabet 2.05%
3: Amazon 2.04%
4: Us Treasury N/B 02.7500 08/15/2042 1.83%
5: Apple 1.58%
6: Us Treasury N/B 02.2500 02/15/2021 1.48%
7: Us Treasury N/B 01.6250 10/31/2023 1.42%
8: Fnma Fn30 Bm5477 04.5000 02/01/2049 1.35%
9: Fnma Fn30 Tba Umbs 04.0000 06/01/2049 1.32%
10: Fnma Fn30 Tba Umbs 04.0000 07/01/2049 1.32%
Holdings represent 17.10% of portfolio
Top 10 holdings as of 04/30/19
1: Microsoft 2.80%
2: Umbs Fn30 Tba 04.0000 06/01/2049 2.53%
3: Amazon 2.01%
4: Alphabet 1.95%
5: Apple 1.77%
6: Us Treasury N/B 02.7500 08/15/2042 1.44%
7: Us Treasury N/B 02.2500 02/15/2021 1.42%
8: Us Treasury N/B 01.6250 10/31/2023 1.36%
9: Facebook 1.35%
10: Bank of America 1.32%
Holdings represent 17.95% of portfolio
Top 10 holdings as of 03/31/19
1: Fnma Fn30 Tba 04.0000 04/01/2049 2.64%
2: Microsoft 2.46%
3: Alphabet 1.85%
4: Amazon 1.84%
5: Apple 1.63%
6: Us Treasury N/B 02.7500 08/15/2042 1.52%
7: Us Treasury N/B 02.2500 02/15/2021 1.47%
8: Us Treasury N/B 01.6250 10/31/2023 1.42%
9: Fnma Fn30 Bm5477 04.5000 02/01/2049 1.37%
10: Bank of America 1.29%
Holdings represent 17.49% of portfolio
Top 10 holdings as of 02/28/19
1: Fnma Fn30 Tba 04.0000 03/01/2049 2.71%
2: Microsoft 2.42%
3: Alphabet 1.83%
4: Amazon 1.76%
5: Apple 1.54%
6: Us Treasury N/B 02.2500 02/15/2021 1.52%
7: Us Treasury N/B 01.6250 10/31/2023 1.45%
8: Bank of America 1.41%
9: Fnma Fn30 Bm5477 04.5000 02/01/2049 1.41%
10: Fnma Fn30 Tba 04.5000 03/01/2049 1.38%
Holdings represent 17.43% of portfolio

Portfolio Composition as of 05/31/19

Common stock 59.38%
Corporate bonds and notes 14.62%
Treasury 12.83%
Agency pass-through 9.37%
Cash and net other assets 3.01%
Commercial MBS 0.61%
Municipal bonds 0.12%
Agency CMO 0.04%
Emerging-market bonds 0.02%

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.

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.The use of derivatives involves additional risks, such as the potential inability to terminate or sell derivatives positions and the potential failure of the other party to the instrument to meet its obligations.Although value investing targets stocks believed to be priced too low, there is no guarantee they will appreciate.

Top Industry Sectors as of 05/31/19

Information technology 18.54%
Health care 12.95%
Financials 12.42%
Consumer discretionary 11.04%
Communication services 10.86%
Industrials 8.99%
Consumer staples 7.76%
Energy 5.10%
Utilities 4.00%
 
Other
8.34%
Materials 3.48%
Cash and net other assets 3.01%
Real estate 1.85%

Expenses

Sales Charges/Fees

Breakpoint Sales Charge Dealer Allowance CDSC Liab
$0 - $0 0.00% 0.00% N

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.The use of derivatives involves additional risks, such as the potential inability to terminate or sell derivatives positions and the potential failure of the other party to the instrument to meet its obligations.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.

CDSC

Year Percent
1 2.00%
2 1.00%
3+ 0.00%