Supplement dated March 14, 1997 to Statements of Additional
Information dated as indicated for:
PUTNAM ASSET ALLOCATION FUND: BALANCED PORTFOLIO
dated January 30, 1997
PUTNAM ASSET ALLOCATION FUND: CONSERVATIVE PORTFOLIO
dated January 30, 1997
PUTNAM ASSET ALLOCATION FUND: GROWTH PORTFOLIO
dated January 30, 1997
PUTNAM DIVERSIFIED INCOME TRUST
dated January 30, 1997
THE PUTNAM FUND FOR GROWTH AND INCOME
dated February 28, 1997
THE GEORGE PUTNAM FUND OF BOSTON
dated November 30, 1996
PUTNAM GLOBAL GROWTH FUND
dated February 28, 1997
PUTNAM INCOME FUND
dated February 28, 1997
PUTNAM INTERNATIONAL GROWTH FUND
dated October 30, 1996
PUTNAM MONEY MARKET FUND
dated January 30, 1997
PUTNAM NEW OPPORTUNITIES FUND
dated October 30, 1996
PUTNAM OTC & EMERGING GROWTH FUND
dated December 16, 1996
PUTNAM U.S. GOVERNMENT INCOME TRUST
dated January 30, 1997
PUTNAM VISTA FUND
dated November 30, 1996
PUTNAM VOYAGER FUND
dated November 30, 1996
PUTNAM VOYAGER FUND II
dated May 1, 1996,
as revised November 18, 1996
The section entitled "Investment Performance" is supplemented by
the following:
INVESTMENT PERFORMANCE
Standard performance measures
Putnam Asset Allocation Fund: Balanced Portfolio
Class A Class B Class C Class M Class Y
Inception date: 2/7/94 2/11/94 9/1/94 2/6/95 7/5/94
Annualized total return:
(for periods ended
12/31/96)
1 year 10.80% 11.73% 15.67% 12.90% 17.86%
Life of fund 10.92% 11.56% 12.36% 11.58% 13.46%
Yield
(period ended 12/31/96)
30-day Yield 2.51% 1.88% 1.88% 2.07% 2.92%
Putnam Asset Allocation Fund: Conservative Porfolio
Class A Class B Class C Class M Class Y
Inception date: 2/7/94 2/18/94 9/1/94 2/7/95 7/14/94
Annualized total return:
(for periods ended
12/31/96)
1 year 4.83% 5.43% 9.44% 6.81% 11.55%
Life of fund 7.36% 7.89% 8.85% 7.89% 9.85%
Yield
(period ended 12/31/96)
30-day Yield 2.95% 2.34% 2.34% 2.58% 3.39%
Putnam Asset Allocation Fund: Growth Portfolio
Class A Class B Class C Class M Class Y
Inception date: 2/8/94 2/16/94 9/1/94 2/3/95 7/14/94
Annualized total return:
(for periods ended
12/31/96)
1 year 11.78% 12.72% 16.59% 13.79% 18.86%
Life of fund 12.05% 12.77% 13.52% 12.56% 14.67%
Yield
(period ended 12/31/96)
30-day Yield 1.41% 0.73% 0.72% 0.92% 1.76%
Putnam Diversified Income Trust
Class A Class B Class M Class Y
Inception date: 10/3/88 3/1/93 12/1/94 7/1/96
Annualized total return:
(for periods ended
12/31/96)
1 year 3.70% 3.06% 5.03% 8.98%
5 years 8.64% 8.78% 8.85% 9.73%
Life of fund 9.47% 9.73% 9.59% 10.13%
Yield
(period ended 12/31/96)
30-day Yield 6.85% 6.39% 6.65% 7.46%
The Putnam Fund for Growth and Income
Class A Class B Class M Class Y
Inception date: 11/16/57 4/27/92 5/1/95 6/15/94
Annualized total return:
(for periods ended
12/31/96)
1 year 14.79% 15.82% 16.86% 22.07%
5 years 14.86% 15.17% 15.20% 16.37%
10 years 13.79% 14.06% 13.96% 14.54%
Yield
(period ended 12/31/96)
30-day Yield 2.17% 1.50% 1.71% 2.57%
The George Putnam Fund of Boston
Class A Class B Class M Class Y
Inception date: 11/5/37 4/27/92 12/1/94 4/1/94
Annualized total return:
(for periods ended
12/31/96)
1 year 9.54% 10.42% 11.58% 16.52%
5 years 11.20% 11.52% 11.47% 12.70%
10 years 11.52% 11.80% 11.65% 12.26%
Yield
(period ended 12/31/96)
30-day Yield 3.08% 2.47% 2.64% 3.53%
Putnam Global Growth Fund
Class A Class B Class M Class Y
Inception date: 9/1/67 4/27/92 3/1/95 6/15/94
Annualized total return:
(for periods ended
12/31/96)
1 year 9.91% 10.75% 11.92% 17.02%
5 years 10.57% 10.82% 10.89% 12.22%
10 years 9.94% 10.19% 10.10% 10.76%
Putnam Income Fund
Class A Class B Class M Class Y
Inception date: 11/1/54 3/1/93 12/1/94 6/16/94
Annualized total return:
(for periods ended
12/31/96)
1 year -0.90% -1.55% 0.52% 4.24%
5 years 7.12% 7.25% 7.32% 8.29%
10 years 8.19% 8.40% 8.29% 8.78%
Yield
(period ended 12/31/96)
30-day Yield 5.47% 4.94% 5.26% 6.02%
Putnam International Growth Fund
Class A Class B Class M Class Y
Inception date: 2/28/91 6/1/94 12/1/94 10/31/96
Annualized total return:
(for periods ended
12/31/96)
1 year 9.45% 10.21% 11.47% 16.43%
5 years 11.61% 12.24% 11.95% 12.99%
Life of fund 10.40% 11.06% 10.71% 11.58%
Putnam Money Market Fund
Class A Class B Class M
Inception date: 10/1/76 4/27/92 12/8/94
Annualized total return:
(for periods ended
12/31/96)
1 year 5.10% 4.58% 4.94%
5 years 4.02% 3.52% 3.96%
10 years 5.54% 5.28% 5.50%
Yield
(period ended 12/31/96)
7-day yield 5.09% 4.59% 4.94%
Effective yield 5.22% 4.70% 5.07%
Putnam New Opportunities Fund
Class A Class B Class M Class Y
Inception date: 8/31/90 3/1/93 12/1/94 7/19/94
Annualized total return:
(for periods ended
12/31/96)
1 year 4.47% 5.03% 6.44% 11.14%
5 years 21.34% 21.94% 21.67% 22.94%
Life of fund 28.42% 29.06% 28.69% 29.78%
Putnam OTC & Emerging Growth Fund
Class A Class B Class M Class Y
Inception date: 11/1/82 7/15/93 12/2/94 7/12/96
Annualized total return:
(for periods ended
12/31/96)
1 year -1.43% -0.92% 0.47% 4.88%
5 years 18.53% 19.13% 18.82% 19.99%
10 years 16.64% 17.03% 16.80% 17.37%
Putnam U.S. Government Income Trust
Class A Class B Class M Class Y
Inception date: 2/8/84 4/27/92 2/6/95 4/11/94
Annualized total return:
(for periods ended
12/31/96)
1 year -1.08% -1.77% 0.28% 3.99%
5 years 4.78% 4.76% 5.03% 5.95%
10 years 7.02% 7.16% 7.15% 7.61%
Yield
(period ended 12/31/96)
30-day Yield 5.83% 5.34% 5.68% 6.44%
Putnam Vista Fund
Class A Class B Class M Class Y
Inception date: 6/3/68 3/1/93 12/8/94 3/28/95
Annualized total return:
(for periods ended
12/31/96)
1 year 15.26% 16.62% 17.65% 22.86%
5 years 16.44% 16.96% 16.78% 17.96%
10 years 15.24% 15.60% 15.41% 16.00%
Putnam Voyager Fund
Class A Class B Class M Class Y
Inception date: 4/1/69 4/27/92 12/1/94 4/1/94
Annualized total return:
(for periods ended
12/31/96)
1 year 6.32% 6.95% 8.28% 13.12%
5 years 14.23% 14.50% 14.52% 15.77%
10 years 16.83% 17.09% 16.98% 17.62%
Putnam Voyager Fund II
Class A Class B Class M
Inception date: 4/14/93 10/2/95 10/2/95
Annualized total return:
(for periods ended
12/31/96)
1 year 1.51% 1.89% 3.42%
Life of fund 18.50% 19.60% 19.07%
Returns for class A and M shares reflect the current maximum
initial sales charges of 5.75% (4.75% for Putnam Diversified
Income Trust, Putnam Income Fund and Putnam U.S. Government
Income Trust and zero for Putnam Money Market Fund) for class A
shares and 3.50% (3.25% for Putnam Diversified Income Trust,
Putnam Income Fund and Putnam U.S. Government Income Trust and
zero for Putnam Money Market Fund) for class M shares.
One-, five- and ten-year and life-of-fund returns for class B
shares reflect the applicable contingent deferred sales charge
("CDSC"), which is 5% in the first year, declining to 2% after
five years, and is eliminated after the sixth year. Class Y
shares are offered without an initial sales charge or CDSC.
Returns shown for class B, M and Y shares for periods prior to
their inception are derived from the historical performance of
class A shares, adjusted to reflect the initial sales charge or
CDSC currently applicable to each class. These returns have not
been adjusted to reflect differences in operating expenses which,
for class B and class M shares, are higher than, and, for class Y
shares, are lower than, the operating expenses applicable to
class A shares. The funds' operating expenses include 12b-1
fees, which vary among the classes as follows (expressed as a
percentage of average net assets): class A shares, 0.25% (0% for
Putnam Money Market Fund); class B shares, 1.00% (0.50% for
Putnam Money Market Fund); and class M shares, 0.75% (0.50% for
Putnam Diversified Income Trust, Putnam Income Fund, Putnam U.S.
Government Income Trust and 0.15% for Putnam Money Market Fund).
Class Y shares are not subject to any 12b-1 fees. All other
things being equal, returns for class B and class M shares would
have been reduced by the amount of such higher expenses,
compounded over the relevant period.
For class C shares of the Asset Allocation Funds, returns shown
for periods prior to their inception are derived from the
historical performance of class A shares, adjusted to reflect the
CDSC currently applicable to class C shares, which is 1% for the
first year, and is eliminated thereafter. These returns have not
been adjusted to reflect differences in operating expenses which
are higher than the operating expenses applicable to class A
shares. The funds' operating expenses include 12b-1 fees of
1.00% of average net assets for class C shares. All other things
being equal, returns for class C shares would have been reduced
by the amount of such higher expenses, compounded over the
relevant period.
Returns shown for all funds have not been adjusted to reflect
payments under the relevant class's distribution plan prior to
its implementation. All returns assume reinvestment of
distributions at net asset value and represent past performance;
they do not guarantee future results. Investment return and
principal value will fluctuate so that an investor's shares, when
redeemed, may be worth more or less than their original cost.
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