Putnam Hartford Capital Manager

Putnam Global Utilities Subaccount

The subaccount seeks capital growth and current income.

Fund description

The subaccount pursues its objective of growth and income by targeting a wide range of utilities, including natural gas, electric, and communication services companies. By investing in stocks and bonds of well-managed utilities that Putnam believes are priced below their underlying worth, the subaccount seeks consistent performance in all market environments.

Sales story

Investing in the utilities sectorA dynamic sector: From distribution to power storage, the fund seeks out companies that profit from the growth of and demand for utilities.A diversified approach: The fund may invest in domestic and foreign markets, and companies of different sizes across several industries and varying degrees of regulation.Actively managed: Unlike passively managed ETFs, Putnam global sector funds combine rigorous fundamental research and disciplined quantitative analysis with macroeconomic views.

Management team

The fund concentrates its investments in one region or in one sector and involves more risk than a fund that invests more broadly. 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.

Growth investing targets companies with above-average earnings that may be subject to price volatility if earnings expectations are not met.

‡ 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 08/31/17

Fiscal Year End December
Asset Class Putnam Hartford Capital Manager
Subaccount Status Open to new investors
Number of issues 29
Turnover (fiscal year end) 12%
Net Assets $73M
Inception Date 05/01/92

Holdings

Top 10 holdings as of 08/31/17

Exelon Corp 8.37%
Nextera Energy 8.05%
Pg&E Corp 7.09%
American Electric Power 6.69%
Veolia Environnement 5.69%
American Water Works 5.67%
Uniper 4.95%
Nrg Energy 4.35%
Edison International 4.32%
Enel Spa 4.19%
Top 10 holdings, total: 59.37%

Represents equity portion of portfolio.

Equity Holdings as of 06/30/17

EXELON CORP 8.42%
NEXTERA ENERGY INC 7.92%
P G & E CORP 7.06%
AMERICAN ELECTRIC POWER 6.66%
SSE PLC 5.91%
AMERICAN WATER WORKS CO INC 5.77%
VEOLIA ENVIRONNEMENT 5.41%
EDISON INTERNATIONAL 4.45%
IBERDROLA SA 4.19%
ENEL SPA 3.92%
NATIONAL GRID PLC 3.86%
RWE AG 3.80%
CALPINE CORP 3.78%
NRG ENERGY INC 3.54%
AMEREN CORPORATION 3.24%
SOUTHERN CO/THE 2.42%
UNITED UTILITIES GROUP PLC 2.26%
COM HEM HOLDING AB 2.22%
SEMPRA ENERGY 1.56%
DUKE ENERGY CORP 1.53%
KDDI CORP 1.48%
PUBLIC SERVICE ENTERPRISE GP 1.45%
ELECTRIC POWER DEVELOPMENT C 1.36%
DOMINION ENERGY INC 1.12%
WEC ENERGY GROUP INC 0.99%
COMCAST CORP-CLASS A 0.73%
ENTERGY CORP 0.52%

Full Portfolio Holdings as of 06/30/17

EXELON CORP 8.42%
NEXTERA ENERGY INC 7.92%
P G & E CORP 7.06%
AMERICAN ELECTRIC POWER 6.66%
SSE PLC 5.91%
AMERICAN WATER WORKS CO INC 5.77%
VEOLIA ENVIRONNEMENT 5.41%
EDISON INTERNATIONAL 4.45%
IBERDROLA SA 4.19%
ENEL SPA 3.92%
NATIONAL GRID PLC 3.86%
RWE AG 3.80%
CALPINE CORP 3.78%
NRG ENERGY INC 3.54%
AMEREN CORPORATION 3.24%
SOUTHERN CO/THE 2.42%
UNITED UTILITIES GROUP PLC 2.26%
COM HEM HOLDING AB 2.22%
SEMPRA ENERGY 1.56%
DUKE ENERGY CORP 1.53%
KDDI CORP 1.48%
PUBLIC SERVICE ENTERPRISE GP 1.45%
ELECTRIC POWER DEVELOPMENT C 1.36%
DOMINION ENERGY INC 1.12%
WEC ENERGY GROUP INC 0.99%
COMCAST CORP-CLASS A 0.73%
ENTERGY CORP 0.52%
JPY/USD 08/16/2017 JPMCB 0.02%
CAD/USD 07/19/2017 JPMCB 0.01%
DKK/USD 09/20/2017 CITI 0.01%
EUR/USD 09/20/2017 BANKAM 0.01%
EUR/USD 09/20/2017 HSBCB 0.01%
EUR/USD 09/20/2017 JPMCB 0.01%
HKD/USD 08/16/2017 BCAP-FX 0.01%
JPY/USD 08/16/2017 GSFX 0.01%
AUD/USD 07/19/2017 BANKAM 0.00%
AUD/USD 07/19/2017 CITI 0.00%
AUD/USD 07/19/2017 UBS 0.00%
CAD/USD 07/19/2017 CITI 0.00%
EUR/USD 09/20/2017 CITI 0.00%
EUR/USD 09/20/2017 GSFX 0.00%
GBP/USD 09/20/2017 CITI 0.00%
GBP/USD 09/20/2017 UBS 0.00%
JPY/USD 08/16/2017 CITI 0.00%
NZD/USD 07/19/2017 CSI-FX 0.00%
POUND STERLING CALL ACCOUNT 0.00%
SEK/USD 09/20/2017 SSBT 0.00%
THE EURO EUR CALL ACCOUNT 0.00%
EUR/USD 09/20/2017 SSBT -0.01%
GBP/USD 09/20/2017 BANKAM -0.01%
GBP/USD 09/20/2017 JPMCB -0.01%
GBP/USD 09/20/2017 SSBT -0.01%
JAPANESE YEN CALL ACCOUNT -0.01%
SEK/USD 09/20/2017 JPMCB -0.02%

Prior top 10 holdings

Top 10 holdings as of 08/31/17
1: Exelon Corp 8.37%
2: Nextera Energy 8.05%
3: Pg&E Corp 7.09%
4: American Electric Power 6.69%
5: Veolia Environnement 5.69%
6: American Water Works 5.67%
7: Uniper 4.95%
8: Nrg Energy 4.35%
9: Edison International 4.32%
10: Enel Spa 4.19%
Holdings represent 59.37% of portfolio
Top 10 holdings as of 07/31/17
1: Exelon Corp 8.64%
2: Nextera Energy 7.97%
3: Pg&E Corp 6.95%
4: American Electric Power 6.53%
5: American Water Works 5.80%
6: Veolia Environnement 5.58%
7: Nrg Energy 4.38%
8: Edison International 4.32%
9: Uniper 4.18%
10: Sse 4.07%
Holdings represent 58.42% of portfolio
Top 10 holdings as of 06/30/17
1: Exelon Corp 8.42%
2: Nextera Energy 7.92%
3: Pg&E Corp 7.06%
4: American Electric Power 6.66%
5: Sse 5.91%
6: American Water Works 5.77%
7: Veolia Environnement 5.41%
8: Edison International 4.45%
9: Iberdrola 4.19%
10: Enel Spa 3.92%
Holdings represent 59.71% of portfolio
Top 10 holdings as of 05/31/17
1: Exelon Corp 8.21%
2: Nextera Energy 7.74%
3: Pg&E Corp 7.04%
4: American Electric Power 6.67%
5: Sse 5.86%
6: American Water Works 5.61%
7: Veolia Environnement 5.46%
8: Edison International 4.50%
9: National Grid 4.24%
10: Rwe Ag 3.75%
Holdings represent 59.08% of portfolio

Portfolio Composition as of 08/31/17

Common stock 98.10%
Cash and net other assets 1.90%

Portfolio allocations vary over time. The fund concentrates its investments in one region or in one sector and involves more risk than a fund that invests more broadly. 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.

Growth investing targets companies with above-average earnings that may be subject to price volatility if earnings expectations are not met.

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.

Top Industry Sectors as of 08/31/17

Electric Utilities 54.22%
Multi-Utilities 18.77%
Independent Power and Renewable Electricity Producers 12.80%
Water Utilities 7.90%
Diversified Telecommunication Services 2.26%
Cash and net other assets 1.90%
Wireless Telecommunication Services 1.43%
Media 0.72%

Country Allocation as of 08/31/17

United States 63.95%
United Kingdom 10.10%
France 5.69%
Germany 4.95%
Italy 4.19%
Spain 4.09%
Japan 2.87%
Sweden 2.26%
Cash and net other assets 1.90%