Webcast | The new big idea: Active ETFs | July 21, 2021

Active ETF

Putnam Focused Large Cap Value ETF (Class A)  (PVAL)

A multidimensional approach that seeks relative value opportunities across U.S. equities

Investment strategy also available as:

This ETF is different from traditional ETFs. Traditional ETFs tell the public what assets they hold each day. This ETF will not. This may create additional risks for your investment. For example:

  • You may have to pay more money to trade the ETF's shares. This ETF will provide less information to traders, who tend to charge more for trades when they have less information.
  • The price you pay to buy ETF shares on an exchange may not match the value of the ETF's portfolio. The same is true when you sell shares. These price differences may be greater for this ETF compared with other ETFs because it provides less information to traders.
  • These additional risks may be even greater in bad or uncertain market conditions.
  • The ETF will publish on its website each day a Tracking Basket designed to help trading in shares of the ETF. While the Tracking Basket includes some of the ETF's holdings, it is not the ETF's actual portfolio.

The differences between this ETF and other ETFs may also have advantages. By keeping certain information about the ETF secret, this ETF may face less risk that other traders can predict or copy its investment strategy. This may improve the ETF's performance. If other traders are able to copy or predict the ETF's investment strategy, however, this may hurt the ETF's performance.

For additional information regarding the unique attributes and risks of the ETF, see disclosure below and the Principal Investment Risks section of the prospectus.

Shares of any ETF are bought and sold at market price (not NAV), may trade at a discount or premium to NAV, and are not individually redeemed from the fund. Brokerage commissions will reduce returns.

The funds have no public-trading history and will operate differently from other actively managed ETFs that publish their portfolio holdings on a daily basis.

NAV as of 09/20/21

$25.35

Market data all data below as of 09/20/21

Closing market price $25.36
30-day median bid-ask spread 0.23%
Day high $25.36
Day low $25.28
Premium/Discount 0.03%
30-day average trading volume 3,904

How to buy Putnam ETFs

Putnam ETFs can be purchased and sold the same way you would buy or sell a stock — through most self-directed brokers or with the guidance of your advisor. Opening an online, self-directed brokerage account provides investors with:

  • Accessibility to a variety of investment products
  • Tools to help you build and optimize your portfolio
  • Flexibility and freedom of managing your investment portfolio
See available brokerages Learn about Putnam Active ETFs

ETF facts as of 08/31/21

Ticker
PVAL
Intraday NAV Ticker
PVALIV
CUSIP
746729300
Inception date
05/25/21
Total net assets
$9.31M
Total expense ratio
0.55%
Open to new investors
Category
Value
Turnover (fiscal year-end)
--
Dividend frequency
Annually
Number of holdings
44
Fiscal year-end
August

Objective

Putnam Focused Large Cap Value ETF seeks capital growth and current income.

Strategy and process

  • Disciplined processThe team combines fundamental research and quantitative tools to pursue multiple alpha sources, with a strong overlay of risk control.
  • Dividend growthThe fund focuses on companies with strong cash flows and the ability to generate and grow dividends for investors.
  • Seeks value dailyUnlike the benchmark, which defines the value universe once per year, management takes an active approach to defining value daily.

Management team

Darren A. Jaroch, CFA

Portfolio Manager

25 years in industry

22 years at Putnam Investments

See full profile

Lauren B. DeMore, CFA

Assistant Portfolio Manager

19 years in industry

15 years at Putnam Investments

See full profile

Literature

Fund information

Fact Sheet (PDF)

Legal documents

Prospectuses/SAI

Related/Investment insights


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Performance

  • Total return (%) as of 06/30/21

Annualized Total return (%) as of 06/30/21

Annualized performance 1 yr. 3 yrs. 5 yrs.
Net asset value -- -- --
Market price -- -- --
Russell 1000 Value Index 43.68%12.42%11.87%
Current performance may be lower or higher than the quoted past performance, which cannot guarantee future results. Share price, principal value, and return will vary, and you may have a gain or loss when you sell your shares. Performance assumes reinvestment of distributions and does not account for taxes. Returns for periods of less than one year are not annualized. Market performance is determined using the bid/ask midpoint at 4:00 p.m. Eastern time. Market performance does not represent the returns you would receive if you traded shares at other times throughout the day.

Shares of any ETF are bought and sold at market price (not NAV), may trade at a discount or premium to NAV, and are not individually redeemed from the fund. Brokerage commissions will reduce returns.

The funds have no public trading history and will operate differently from other actively managed ETFs that publish their portfolio holdings on a daily basis.

Performance snapshot

  Net asset value Market price
1 mt. as of 08/31/21 3.17% 3.19%
YTD - -

Historical premium/discount

Number of days at premium --
Number of days at NAV --
Number of days at discount --

Holdings

Microsoft Corp 4.79%
Bank Of America Corp 4.78%
Nxp Semiconductors Nv 3.70%
Regeneron Pharmaceuticals 3.59%
Exelon Corp 3.53%
Johnson Controls International 3.46%
Gaming And Leisure Properties 3.29%
United Rentals 3.27%
Charter Communications 3.23%
Assured Guaranty 3.21%
Top 10 holdings, percent of portfolio 36.85%



Tracking Basket information as of 09/20/21

Tracking Basket Export to Excel
Tracking Basket overlap 80.59%

The Tracking Basket methodology maintains confidentiality of a portfolio's securities and trading strategies by disclosing a "tracking basket" composed of select recently disclosed portfolio holdings, liquid U.S. ETFs that convey information about the types of instruments in which the fund invests, and cash and cash equivalents. This Tracking Basket is disclosed daily and is used to facilitate the creation and redemption process with Authorized Participants (APs). Actual portfolio holdings for the Putnam ETFs will be disclosed on Putnam.com within eight business days following calendar quarter-end.

Top industry sectors as of 08/31/21

Financials 18.37%
Health care 13.67%
Industrials 12.43%
Information technology 11.31%
Consumer staples 8.25%
Communication services 7.05%
Consumer discretionary 6.42%
Real estate 5.78%
Utilities 5.30%
 
Other
11.42%
Materials 5.02%
Cash and net other assets 3.39%
Energy 3.01%

Sectors will vary over time.

The Russell 1000 Value Index is an unmanaged index of those companies in the large-cap Russell 1000 Index chosen for their value orientation. You cannot invest directly in an index.

Consider these risks before investing: Value stocks may fail to rebound, and the market may not favor value-style investing. Income provided by the fund may be reduced by changes in the dividend policies of, and the capital resources available at, the companies in which the fund invests. The value of investments in the fund's portfolio may fall or fail to rise over extended periods of time for a variety of reasons, including general economic, political, or financial market conditions; investor sentiment and market perceptions; government actions; geopolitical events or changes; and factors related to a specific issuer, geography, industry, or sector. These and other factors may lead to increased volatility and reduced liquidity in the fund's portfolio holdings. Our investment techniques, analyses, and judgments may not produce the outcome we intend. The investments we select for the fund may not perform as well as other securities that we do not select for the fund. We, or the fund's other service providers, may experience disruptions or operating errors that could have a negative effect on the fund. You can lose money by investing in the fund.