Putnam Allstate Advisor Plus

Putnam Small Cap Growth Subaccount

The subaccount seeks long-term growth of capital.

Putnam Small Cap Growth Subaccount

Fund description

The subaccount invests primarily in small and midsize companies, seeking hidden opportunities in stocks with growth potential that has been relatively unnoticed by investors. The portfolio can own growth and value stocks without a bias toward either style.

Sales story

Seeking opportunities in small and midsize companiesSmaller companies: Often overlooked by Wall Street analysts, the stocks of smaller companies can represent attractive opportunities to firms with strong research capabilities.A flexible strategy: The fund can own growth- or value-style stocks, allowing it to seek opportunities regardless of which style is in favor.Differentiated research: The portfolio managers select stocks in a collaborative effort that emphasizes non-consensus critical thinking.

Management team

Daily pricing as of 02/21/20

with optional enhanced death benefits
Unit Value $37.670623 $36.719402
Unit Value Change -0.38762 -0.377986

Lipper ranking ‡ as of 12/31/19

Category: Small-Cap Growth Funds

  Percentile ranking Rank/Funds in category
10 yrs. 96% 79/82
1 yr. 13% 13/102
3 yrs. 86% 85/98
5 yrs. 98% 96/97

The subaccount invests all or a portion of its assets in small to midsize companies. Such investments increase the risk of greater price fluctuations. 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.

‡ 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 12/31/19

Fiscal Year End December
Asset Class Putnam Allstate Advisor Plus
Subaccount Status Open to new investors
Number of issues 82
Turnover (fiscal year end) 138%
Net Assets $28M
Inception Date 05/01/03

Performance

Performance as of 12/31/19

Annualized Performance Last Quarter Year
to Date		 1 yr. 3 yrs. 5 yrs. 10 yrs. Life of
subaccount
Restated performance
Unit Value 7.72% 35.25% 35.25% 6.79% 4.71% 8.77% 7.76%
Standardized -0.28% 27.25% 27.25% 4.39% 3.69% 8.77% 7.76%
With optional enhanced death benefit
Unit Value 7.68% 35.05% 35.05% 6.63% 4.55% 8.61% 7.60%
Standardized -0.32% 27.05% 27.05% 4.23% 3.52% 8.61% 7.60%
Actual performance
Unit Value 7.72% 35.25% 35.25% 6.79% 4.71% 8.77% 7.76%
Standardized -0.28% 27.25% 27.25% 4.39% 3.69% 8.77% 7.76%
With optional enhanced death benefit
Unit Value -- -- -- -- -- -- --
Standardized -- -- -- -- -- -- --

Annual Performance at NAV

2010 2011 2012 2013 2014 2015 2016 2017 2018 2019
27.47% -7.61% 12.53% 31.95% 5.34% -9.09% 13.68% 6.21% -15.23% 35.25%
With optional enhanced death benefit
27.27% -7.75% 12.36% 31.75% 5.18% -9.23% 13.51% 6.05% -15.35% 35.05%

Restated performance

Monthly as of 01/31/20

Unit Value 2.15%
Standardized -5.85%

YTD as of 02/21/20

Unit Value 8.41%
Standardized 0.41%

With optional enhanced death benefit

Monthly as of 01/31/20

Unit Value 2.14%
Standardized -5.86%

YTD as of 02/21/20

Unit Value 8.39%
Standardized 0.39%

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.

The subaccount invests all or a portion of its assets in small to midsize companies. Such investments increase the risk of greater price fluctuations. 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.

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.

Holdings

Five Below 3.13%
Cable One 2.81%
Planet Fitness 2.41%
Trex 2.40%
Mercury Systems 2.38%
Novanta 2.37%
Hamilton Lane 2.34%
Heico Corp 2.08%
Quidel Corp 2.06%
Bright Horizons Family Solutions 2.04%
Top 10 holdings, total: 24.02%

Top 10 holdings as of 12/31/19
1: Five Below 3.13%
2: Cable One 2.81%
3: Planet Fitness 2.41%
4: Trex 2.40%
5: Mercury Systems 2.38%
6: Novanta 2.37%
7: Hamilton Lane 2.34%
8: Heico Corp 2.08%
9: Quidel Corp 2.06%
10: Bright Horizons Family Solutions 2.04%
Holdings represent 24.02% of portfolio
Top 10 holdings as of 11/30/19
1: Five Below 3.04%
2: Cable One 2.91%
3: Mercury Systems 2.47%
4: Novanta 2.46%
5: Planet Fitness 2.39%
6: Heico Corp 2.32%
7: Trex 2.28%
8: Hamilton Lane 2.26%
9: Everbridge 2.20%
10: Bright Horizons Family Solutions 2.00%
Holdings represent 24.33% of portfolio
Top 10 holdings as of 10/31/19
1: Five Below 3.25%
2: Bright Horizons Family Solutions 2.89%
3: Mercury Systems 2.88%
4: Cable One 2.65%
5: Novanta 2.58%
6: Wingstop 2.50%
7: Trex 2.46%
8: Hamilton Lane 2.46%
9: Realpage 2.38%
10: Heico Corp 2.32%
Holdings represent 26.37% of portfolio
Top 10 holdings as of 09/30/19
1: Wingstop 3.41%
2: Five Below 3.29%
3: Mercury Systems 3.19%
4: Bright Horizons Family Solutions 2.98%
5: Trex 2.56%
6: Cable One 2.53%
7: Realpage 2.48%
8: Heico Corp 2.39%
9: Novanta 2.38%
10: Hamilton Lane 2.36%
Holdings represent 27.57% of portfolio

Portfolio Composition as of 12/31/19

Common stock 99.28%
Cash and net other assets 0.72%

Portfolio characteristics will vary over time. The unclassified sector (where applicable) includes exchange traded funds and other securities not able to be classified by sector.

The fund invests all or a portion of its assets in small to midsize companies. Such investments increase the risk of greater price fluctuations. 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.

Top Industry Sectors as of 12/31/19

Health care 31.68%
Information technology 21.73%
Industrials 17.69%
Consumer discretionary 14.14%
Financials 6.01%
Real estate 3.01%
Communication services 2.81%
Materials 1.60%
Cash and net other assets 0.72%
 
Other		 0.61%
Unclassified 0.61%

Expenses

Sales Charges/Fees

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

The subaccount invests all or a portion of its assets in small to midsize companies. Such investments increase the risk of greater price fluctuations. 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.

‡ 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 8.00%
2 8.00%
3 8.00%
4 7.00%
5 6.00%
6 5.00%
7 4.00%
8 3.00%
9+ 0.00%