51644
3/99
Prospectus Supplement
dated March 22, 1999 to:
_______________________________________________________________________________
PUTNAM HEALTH SCIENCES TRUST (THE "FUND")
Prospectus dated December 30, 1998
The "Fees and Expenses" section is replaced with the following:
FEES AND EXPENSES
This table summarizes the fees and expenses you may pay if you
invest in the fund. Expenses are based on the fund's last fiscal
year.
SHAREHOLDER FEES (fees paid directly from your investment)
CLASS A CLASS B CLASS M
Maximum Sales Charge (Load) Imposed
on Purchases (as a percentage of
the offering price) 5.75% NONE* 3.50%*
Maximum Deferred Sales Charge (Load)
(as a percentage of the original
purchase price or redemption
proceeds, whichever is lower) NONE** 5.00% NONE
ANNUAL FUND OPERATING EXPENSES
(expenses that are deducted from fund assets)
TOTAL
ANNUAL FUND
MANAGEMENT DISTRIBUTION OTHER OPERATING
FEES (12B-1) FEES EXPENSES EXPENSES
CLASS A 0.55% 0.25% 0.20% 1.00%
CLASS B 0.55% 1.00% 0.20% 1.75%
CLASS M 0.55% 0.75% 0.20% 1.50%
*The higher 12b-1 fees borne by class B and class M shares may
cause long-term class B and class M shareholders to pay more than
the total sales charges paid by class A shareholders.
**A deferred sales charge of up to 1% may be imposed on certain
redemptions of class A shares bought without an initial sales
charge.
EXAMPLE
This example translates the "total annual fund operating
expenses" shown in the preceding table into dollar amounts. By
doing this, you can more easily compare the cost of investing in
the fund to the cost of investing in other mutual funds. The
example makes certain assumptions. It assumes that you invest
$10,000 in the fund for the time periods shown and then, except
as shown for class B shares, redeem all your shares at the end of
those periods. It also assumes a 5% return on your investment
each year and that the fund's operating expenses remain the same.
The example is hypothetical; your actual costs and returns may be
higher or lower.
1 YEAR 3 YEARS 5 YEARS 10 YEARS
CLASS A $671 $875 $1,096 $1,729
CLASS B $678 $851 $1,149 $1,864*
CLASS B $178 $551 $ 949 $1,864*
(no redemption)
CLASS M $497 $807 $1,140 $2,078
*Reflects the conversion of class B shares to class A shares,
which pay lower 12b-1fees. Conversion occurs no more than eight
years after purchase.
The "Distribution (12b-1) plans." section under "How do I buy
fund shares?" is replaced with the following:
DISTRIBUTION (12B-1) PLANS. The fund has adopted distribution
plans to pay for the marketing of fund shares and for services
provided to shareholders. The plans provide for payments at
annual rates (based on average net assets) of up to 0.35% on
class A shares and 1.00% on class B and class M shares. The
Trustees currently limit payments on class A, class B and class M
shares to 0.25%, 1.00% and 0.75% of average net assets,
respectively. Because these fees are paid out of the fund's
assets on an ongoing basis, they will increase the cost of your
investment. The higher fees for class B and class M shares may
cost you more than paying the initial sales charge for class A
shares. Because class M shares, unlike class B shares, do not
convert to class A shares, class M shares may cost you more over
time than class B shares.
