Putnam Investments

Infobox_Company
company_name = Putnam Investments
company_
company_type = Subsidiary
company_slogan = Managing money for individual and institutional investors around the world
foundation = 1937
industry = Financial services
location = Boston, Massachusetts
key_people = Robert L. Reynolds, CEO
num_employees = 2,600+Fact|date=September 2007
products = 401ks, mutual funds, retirement plans
revenue = $359 million (2006)
homepage = [http://www.putnam.com www.putnam.com]

Putnam Investments was founded in 1937 by George Putnam. At the same time, he founded its first mutual fund offering, The George Putnam Fund of Boston. [ [https://content.putnam.com/assembler/shared/html/about_putnam/tradition.htm A Time Honored Tradition] Putnam webpage. Retrieved April 30, 2007.] Putnam has offices in London and Tokyo, and its headquarters is located in Boston, Massachusetts.

From 1970 to 2007, Putnam was a subsidiary of Marsh & McLennan Companies (MMC) [ [http://www.mmc.com/about/history.php MMC] History] , a global financial services firm. On February 1, 2007, it was announced [ [http://www.putnam.com/shared/pdf/news_message.pdf Press Release] "Putnam Investments to be acquired by Power Financial Corporation Subsidiary". February 1, 2007.] that Putnam is being acquired by Great-West Lifeco Inc., a subsidiary of Power Financial Corporation, a Montreal-based company with interests in the financial services industry globally and nearly $100 billion in assets under management. The purchase is expected to take place by mid-2007 for a price of approximately $3.9 billion.

As one of the largest mutual fund complexes in the United States, Putnam has nearly $166 billion in assets under management, 180 institutional clients, and over 8 million shareholders and retirement plan participants as of 2007. [ [https://content.putnam.com/assembler/shared/html/about_putnam/glance.htm Putnam At A Glance] . Putnam webpage. Retrieved April 30, 2007.]

Regulatory Issues

The company was involved in the mutual fund scandal of 2003 and admitted to allowing its portfolio managers and some investors to market time its funds. Under agreements with the SEC and the Office of the Secretary of the Commonwealth of Massachusetts (William Galvin), Putnam will pay $110 million in penalties and restitution to settle charges with the state and federal regulators. Total assets at Putnam dropped substantially in light of these events. [ [http://www.npr.org/templates/story/story.php?storyId=1497565 NPR] Ethics Probe Jars Mutual Fund Industry. November 8, 2003.]

Since November 2003, Putnam has implemented reforms and changes including replacing CEO Lawrence Lasser with Ed Haldeman as well as new appointments for CAO, COO, CFO, General Counsel, and compliance officer. On June 10, 2008 it was announced Bob Reynolds will take over as CEO while Mr. Haldeman will be Chairman. Mr. Reynolds is the former COO of Fidelity and helped build the firm into a powerhouse.

In addition, Putnam was the first mutual fund company to implement "Mutual Fund Protection Principles", an industry standard for compliance and investor protection [ [https://content.putnam.com/assembler/shared/html/about_putnam/whats_right.htm Doing What's Right For Investors] Putnam webpage. Retrieved April 30, 2007.] . Putnam has gone to great lengths in disclosures to salvage its reputation [ [http://www.investmentnews.com/apps/pbcs.dll/article?AID=/20040923/REG/409230701/-1/BreakingNews04 Investment News] "Putnam OKs disclosure demands". September 23, 2004.] and has won acclaim for dedication to compliance issues and ethics [ [http://www.workforce.com/section/09/feature/24/82/54/index.html Workforce Management] "Optimas Award Winner for Ethical Practice". March 26, 2007.] for these efforts.

ee also

*List of mutual-fund families

References

External links

* [http://www.putnam.com www.putnam.com]
* [http://www.insidercow.com/institution/acquirer.jsp?acquirer=0000766524&company=PUTNAM%20INVESTMENTS%20INC Stock Trades from Putnam Investments]