Putnam Investments is a privately owned investment management company. George Putnam, the founder of the firm, established one of the first balanced mutual funds in 1937. Since then, he has helped investors around the world make smart financial decisions. Today, he has over 2,000 employees and over $1 billion under management.
Putnam Investments manages equity, fixed income, and asset-allocation funds. Its investment philosophy focuses on delivering the highest-quartile performance relative to a benchmark over a rolling three-year period. It employs portfolio managers and business development specialists to help investors achieve their financial goals. In addition, the investment firm is required to comply with various laws in various countries.
The company’s sustainability initiatives are a focus for Putnam. The firm has launched several ESG-compliant ETFs this year. In addition, it plans to repackage its RetirementReady target-date series as Putnam Sustainable Retirement Funds. VanderBrug is a former head of the sustainable and impact investment strategy at Merrill Lynch and Bank of America Private Bank.
In addition to its core mission, Putnam has a Code of Ethics that requires employees to conduct themselves ethically. They are required to disclose any financial interests they have in Putnam companies to the Code of Ethics Officer. Additionally, employees are not permitted to serve as outside employees. In order to perform such tasks, employees must seek approval from their employee managers and the Code of Ethics Officer.
Putnam Investments is a global asset manager and retirement plan provider. Its investment services include portfolio management, retirement planning, and alternative investment strategies. The firm has offices in North America and Europe, and has strategic alliances with companies in other countries. The company is part of the Great-West Lifeco Inc. group of companies, which includes power financial corporations and the Putnam Group.
The company has been under fire for its practices in the past. In 2004, it admitted to market-timing fund manipulation. It was ordered to pay $110 million in fines to regulators and restitution. Some investors withdrew funds after learning of the settlement. The settlement was the final resolution of an investigation into 80 brokerages.
If an employee violates the Code of Ethics, they may be subject to disciplinary action, which may include financial penalties or termination. The Chief Executive Officer of Putnam investments and the Chief Ethics Officer review any violations. The company’s Code of Ethics applies to all employees, including investment division employees. The company also has a Code of Ethics Oversight Committee, which aims to ensure that all employees act ethically.
Inside traders and other insiders are forbidden from trading in a Putnam client’s portfolio. This includes the firm’s employees and Managing Directors. Putnam also has rules that prevent its officers from buying and selling shares in closed-end funds. This means that portfolio managers and analysts cannot buy and sell securities for their own benefit.