Prospectus Supplement 42315
4/98
dated April 6, 1998 to:
_________________________________________________________________
Putnam Balanced Fund
Putnam International Fund
Putnam Japan Fund (the "funds")
Prospectus dated December 30, 1997
In the section "How the funds are managed," the chart indicating
the officers of Putnam Investment Management, Inc. ("Putnam
Management") that have primary responsibility for the day-to-day
management of the funds is replaced with the following:
Business experience
Year (at least 5 years)
---- ------------------
Putnam Balanced Fund
David J. Santos 1995 Employed as an investment
Senior Vice President professional by
Putnam Management since 1986.
James Prusko 1998 Employed as an investment
Vice President
professional by Putnam
Management since 1992.
David L. Waldman 1998 Employed as an investment
Vice President
professional by Putnam
Management since 1997. Prior
to June, 1997, Mr. Waldman was
a Senior Portfolio Manager at
Lazard Freres, and prior to
April, 1995, he held various
positions at Goldman Sachs,
including Analyst, Associate,
Portfolio Manager and Vice
President.
Putnam International Fund
Justin M. Scott 1995 Employed as an investment
Managing Director
professional by Putnam
Management since 1988.
Seung H. Minn 1997 Employed as an investment
Senior Vice President professional by
Putnam Management since 1995.
Prior to June, 1995, Mr. Minn
was a Vice President and
Portfolio Manager at Templeton
Quantitative Advisors.
Putnam Japan Fund
Robert Swift 1995 Employed as an investment
Managing Director
professional by Putnam
Management since 1995. Prior
to August, 1995, Mr. Swift was
Director and Senior Portfolio
Manager at IAI
International/Hill Samuel
Investment Advisors.
