PUTNAM NEW YORK TAX EXEMPT INCOME FUND
PUTNAM NEW YORK TAX EXEMPT OPPORTUNITIES FUND
PUTNAM NEW YORK TAX EXEMPT MONEY MARKET FUND
Prospectus supplement dated May 6, 1996
to Prospectus dated February 1, 1996
The following disclosure is added to the cover page of the
prospectus:
The Money Market Fund may invest a significant percentage of its
assets in the securities of a single issuer, and an investment in
the fund may therefore be riskier than an investment in other
types of money market funds.
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The second paragraph under the heading "How the funds pursue
their objectives - Basic investment strategy - The Income Fund"
on page 11 of the prospectus is replaced with the following:
The Income Fund may also hold its assets in cash or money market
instruments. The Income Fund's investments in New York tax-
exempt securities and taxable obligations will be limited to
securities rated at the time of purchase not lower than the five
highest grades assigned by either Moody's Investors Service, Inc.
("Moody's") (Aaa, Aa, A, Baa or Ba) or Standard & Poor's ("S&P")
(AAA, AA, A, BBB or BB), or unrated securities that Putnam
Management determines are of comparable quality.
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The following sentence is added to the end of the second
paragraph under the heading "How the funds pursue their
objectives - Basic investment strategy - The Money Market Fund"
on page 13 of the prospectus:
The Money Market Fund's investments are concentrated in New York
tax-exempt securities and an investment in the fund may therefore
be riskier than an investment in money market funds that do not
concentrate their investments in tax-exempt securities of a
single state.
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The second sentence in the first paragraph under the heading
"Limiting investment risk" on page 22 of the prospectus is
replaced with the following:
These restrictions prohibit a fund from acquiring more than 10%
of the voting securities of any one issuer.*
<PAGE>
<TABLE>
<CAPTION>
The table under the heading "Financial highlights" on page 10 of the prospectus is replaced with the following:
PUTNAM NEW YORK TAX EXEMPT MONEY MARKET FUND
FINANCIAL HIGHLIGHTS (For a share outstanding throughout the period)
Year ended November 30
<C> <C> <C> <C> <C>
1995 1994 1993 1992
Net asset value,
beginning of period $1.00 $1.00 $1.00 $1.00
Investment operations:
Net investment income .0318 .0188 .0165 .0259(a)
Net realized gain on investments -- -- .0001 --
Total from investment operations $.0318 $.0188 $.0166 $.0259
Less distributions:
From net investment income (.0318) (.0188) (.0165) (.0259)
From net realized gain
on investments -- -- (.0001) --
Total distributions (.0318) (.0188) (.0166) (.0259)
Net asset value, end of period $1.00 $1.00 $1.00 $1.00
Total investment return
at net asset value (%)(b) 3.04 1.90 1.67 2.62
Net assets,
end of period (in thousands) $38,873 $44,815 $50,473 $57,705
Ratio of expenses to average
net assets (%)(d) .91 .77 .91 .78(a)
Ratio of net investment income
to average net assets (%) 3.18 1.86 1.69 2.59(a)
<PAGE>
For the period
October 26, 1987
(commencement of
operations) to
Year ended November 30 November 30
1991 1990 1989 1988 1987
$1.00 $1.00 $1.00 $1.00 $1.00
.0399(a) .0497(a) .0530(a) .0436(a) .0041(a)
-- -- -- -- --
$.0399 $.0497 $.0530 $.0436 $.0041
(.0399) (.0497) (.0530) (.0436) (.0041)
-- -- -- -- --
(.0399) (.0497) (.0530) (.0436) (.0041)
$1.00 $1.00 $1.00 $1.00 $1.00
4.07 5.09 5.44 4.46 0.41(c)
$64,286 $63,671 $51,113 $34,432 $3,953
.80(a) .67(a) .67(a) .64(a) .05(a)(c)
3.96(a) 4.95(a) 5.31(a) 4.34(a) .47(a)(c)
(a) Reflects an expense limitation and, during the year ended November 30, 1988 and the period ended November 30, 1987,
a waiver of distribution fees in effect during the period. As a result of such limitations, expenses of the fund for
the years ended November 30, 1992, 1991, 1990, 1989, and 1988, and for the period ended November 30, 1987, reflect
reductions of $0.0024, $0.0034, $0.0043, $0.0048, $0.0061 and $0.0015, per share, respectively.
(b) Total investment return assumes dividend reinvestment.
(c) Not annualized.
(d) The ratio of expenses to average net assets for the year ended November 30, 1995 includes amounts paid through
expense offset arrangements. Prior period ratios exclude these amounts.
</TABLE>
