Putnam U.S. Research Fund - Class R6 · NASDAQ:PLJMX
Putnam U.S. Research Fund - Class R6 — Putnam Investments — Investor Presentation (May 2023)
16 slides from Putnam U.S. Research Fund - Class R6's investor presentation, May 2023
Slide 1: Current municipal landscape and opportunities
Current municipal landscape and opportunities Paul M. Drury, CFA Moderated by: Portfolio Manager Kelly Loughran, CFA Investment Director Garrett Hamilton, CFA Portfolio Manager Not FDIC May Lose No Bank For investment professional use only. Not for public distribution. Insured Value Guarantee AD 288
Slide 2: The municipal landscape today
The municipal landscape today
Slide 3: Based on S&P analysis, reserves will help support states in a recession
Based on S&P analysis, reserves will help support states in a recession • Balances in rainy day funds hit all-time highs in 37 states by the end of 2022, and overall, they are near their highest point in 30 years at 12% of spending 2023 Reserves Under Base Case Stress Scenario as % of Projected Expe
Slide 4: Municipal bond default rates remain a small percentage of the overall market
Municipal bond default rates remain a small percentage of the overall market There were zero defaults in March 2023, and that was only the 2nd month since 2009 with no defaults Muni bond defaults as a % of Municipal market 0.50% 0.40% 0.30% 69 64 0.20% 40 55 85 57 0.10% 70 64 62 43 8 0.00% 2013 2014
Slide 5: While outflows dominated the muni market in 2022, outflows have moderated in 2023
While outflows dominated the muni market in 2022, outflows have moderated in 2023 and remain manageable All municipal fund flows ($) 20,000,000 10,000,000 0 2018 Fed Cycle -10,000,000 Meredith Whitney Taper tantrum Election uncertainty -20,000,000 Current Fed Cycle Covid-19 -30,000,000 Municipal out
Slide 6: New money and refunding supply are down year-over-year
New money supply and refunding supply are down year-over-year as both muni and Treasury rates have risen New money supply Refunding supply $350 $200 $180 $300 $160 $250 $140 $120 $200 Millions ($) Millions ($) $100 $150 $80 $100 $60 $40 $50 $20 $0 $0 *YTD. Source: Bond Buyer, as of 3/31/23. For inve
Slide 7: Muni Taxable Equivalent Yield reached its highest point in the last 10 years
Muni Taxable Equivalent Yield (TEY) reached its highest point in the last 10 years during this rates driven sell-off last year 8.00 Muni TEY peaked at 7.13% in 7.00 October 2022 and is currently at Taper tantrum & 5.70% Puerto Rico sell off Covid-19 6.00 Muni TEY % at 40.8% tax rate 5.00 4.00 3.00 2
Slide 8: Investment-grade credit spreads look more attractive than deep high-yield spreads
Compared to historical averages, investment-grade credit spreads look more attractive than deep high-yield spreads 500 Current spread Historical 5-year average spread 450 400 350 325 304 300 257 250 188 200 160 150 109 100 85 48 50 0 A BBB BB NR Tax-Exempt Credit Spreads (5-year) A BBB BB NR Current
Slide 9: Putnam performance and pricing
Putnam performance and pricing
Slide 10: All of Putnam's tax-exempt funds rank in the top half of their Lipper peer groups
All 12 of Putnam’s tax-exempt funds rank in the top half of their Lipper peer groups on the 1-, 3-, and 5-year time frames Highlighted funds are in the top half of their Lipper peer groups. *What you pay: .65%. What you pay reflects Putnam Management's decision to contractually limit expenses throug
Slide 11: 11 of Putnam's tax-exempt strategies have a 4- or 5-star Overall Rating by Morningstar
11 of Putnam’s tax-exempt strategies have a 4- or 5-star Overall Rating by Morningstar # of # of # of # of Fund 3-year 5-year 10-year Category Overall funds funds funds funds Tax-Free Incom e Funds sym bol rating rating rating rating rated rated rated rated Strategic Intermediate Municipal Fund Muni
Slide 12: Annualized performance (Y shares) as of March 31, 2023
Annualized performance (Y shares) as of March 31, 2023 Portfolio: Strategic Intermediate Municipal Fund Y Expense ratio Prim ary benchm ark: Bloomberg Barclays 3-15 Year Blend Municipal Bond Index 0.59% Secondary benchm ark: Putnam Strategic Intermediate Municipal Linked Benchmark Portfolio Primary
Slide 13: A-Share Pricing
A-Share Pricing Putnam offers competitive pricing in brokerage for our tax-exempt strategies Amount invested Sales charge Dealer commission Under $50,000 4.00% 3.50% $50,000 to $100,000 3.25 2.75 $100,000 to $250,000 2.50 2.00 $250,000 to $500,000 — 1.00 $500,000 to $1 million — 1.00 $1 million to $
Slide 14: Risk considerations and disclosures
For informational purposes only. Not an investment recommendation. The views and opinions expressed are those of Putnam Investments, are subject to change with market conditions, and are not m eant as investment advice. Not all funds listed in the piece are available for sale at all broker dealer fi
Slide 15: IL GO bond exposure in Putnam funds as of April 30, 2023
As of April 30, 2023, IL GO bonds constituted Putnam Tax-Free High Yield Fund 3.21% Putnam Intermediate-Term Municipal Fund 1.11% Putnam Short-Term Municipal Fund 2.22% Putnam Strategic Intermediate Municipal Fund 1.95% Putnam Tax Exempt Income Fund 2.08% Putnam Retail Management putnam.com For inve
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