Ratings Affirmed On Four Series From Two Putnam Leveraged Fund Transactions

OVERVIEW We reviewed our ratings on two Putnam leveraged funds. We affirmed our ratings on four series from two Putnam Leveraged Funds. The affirmations reflect sufficient assets, given their haircuts, to support the current ratings. NEW YORK (S&P Global Ratings) June 28, 2019-- S&P Global Ratings today affirmed its ratings on four series from two Putnam Leveraged Funds (see list). Leveraged funds rely on liquidating collateral as their primary source of repayment, which is an inherent risk because the underlying collateral's value fluctuates over time. Therefore, our analysis focuses on this potential market value fluctuation. Today's affirmations reflect the quantitative analysis using our Market Value Evaluator (MVE), which indicated that the assets are currently sufficient, given their current characteristics and

...OVERVIEW + We reviewed our ratings on two Putnam leveraged funds. + We affirmed our ratings on four series from two Putnam Leveraged Funds. + The affirmations reflect sufficient assets, given their haircuts, to support the current ratings. NEW YORK (S&P Global Ratings) June 28, 2019-- S&P Global Ratings today affirmed its ratings on four series from two Putnam Leveraged Funds (see list). Leveraged funds rely on liquidating collateral as their primary source of repayment, which is an inherent risk because the underlying collateral's value fluctuates over time. Therefore, our analysis focuses on this potential market value fluctuation. Today's affirmations reflect the quantitative analysis using our Market Value Evaluator (MVE), which indicated that the assets are currently sufficient, given their current characteristics and corresponding haircuts as determined by our market value criteria (see "Methodology And Assumptions For Market Value Securities," published Sept. 17, 2013), to support...

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