0000928816-14-001824.txt : 20141126 0000928816-14-001824.hdr.sgml : 20141126 20141126162340 ACCESSION NUMBER: 0000928816-14-001824 CONFORMED SUBMISSION TYPE: N-Q PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20140930 FILED AS OF DATE: 20141126 DATE AS OF CHANGE: 20141126 EFFECTIVENESS DATE: 20141126 FILER: COMPANY DATA: COMPANY CONFORMED NAME: PUTNAM MULTI-CAP GROWTH FUND CENTRAL INDEX KEY: 0000865177 IRS NUMBER: 043091455 STATE OF INCORPORATION: MA FISCAL YEAR END: 0630 FILING VALUES: FORM TYPE: N-Q SEC ACT: 1940 Act SEC FILE NUMBER: 811-06128 FILM NUMBER: 141254024 BUSINESS ADDRESS: STREET 1: ONE POST OFFICE SQUARE CITY: BOSTON STATE: MA ZIP: 02109 BUSINESS PHONE: 6172921000 MAIL ADDRESS: STREET 1: ONE POST OFFICE SQUARE CITY: BOSTON STATE: MA ZIP: 02109 FORMER COMPANY: FORMER CONFORMED NAME: PUTNAM NEW OPPORTUNITIES FUND DATE OF NAME CHANGE: 19920703 0000865177 S000006295 PUTNAM MULTI-CAP GROWTH FUND C000017306 Class A Shares PNOPX C000017307 Class B Shares PNOBX C000017308 Class C Shares PNOCX C000017309 Class M Shares PNOMX C000017310 Class R Shares PNORX C000017311 Class Y Shares PNOYX N-Q 1 a_multicapgrowth.htm PUTNAM MULTI-CAP GROWTH FUND a_multicapgrowth.htm


UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM N-Q

QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED
MANAGEMENT INVESTMENT COMPANY



Investment Company Act file number: (811-06128)
Exact name of registrant as specified in charter: Putnam Multi- Cap Growth Fund
Address of principal executive offices: One Post Office Square, Boston, Massachusetts 02109
Name and address of agent for service: Robert T. Burns, Vice President
One Post Office Square
Boston, Massachusetts 02109
Copy to:         Bryan Chegwidden, Esq.
Ropes & Gray LLP
1211 Avenue of the Americas
New York, New York 10036
Registrant’s telephone number, including area code: (617) 292-1000
Date of fiscal year end: June 30, 2015
Date of reporting period: September 30, 2014



Item 1. Schedule of Investments:













Putnam Multi-Cap Growth Fund

The fund's portfolio
9/30/14 (Unaudited)
COMMON STOCKS (98.6%)(a)
Shares Value
Aerospace and defense (5.0%)
Astronics Corp.(NON)(S) 226,728 $10,810,391
General Dynamics Corp. 304,300 38,673,487
Honeywell International, Inc. 787,400 73,322,688
Precision Castparts Corp. 91,900 21,769,272
Rockwell Collins, Inc.(S) 242,500 19,036,250
United Technologies Corp. 330,500 34,900,800
198,512,888
Airlines (1.2%)
Delta Air Lines, Inc. 538,400 19,463,160
Spirit Airlines, Inc.(NON) 382,300 26,432,222
45,895,382
Automobiles (0.4%)
Tesla Motors, Inc.(NON)(S) 59,300 14,390,924
14,390,924
Banks (1.2%)
Bank of America Corp. 990,000 16,879,500
Bank of Ireland (Ireland)(NON) 38,507,340 15,084,725
PacWest Bancorp 416,100 17,155,803
49,120,028
Beverages (1.2%)
Coca-Cola Enterprises, Inc. 29,168 1,293,892
Monster Beverage Corp.(NON) 137,900 12,641,293
PepsiCo, Inc. 358,200 33,344,838
47,280,023
Biotechnology (7.3%)
Aegerion Pharmaceuticals, Inc.(NON)(S) 119,300 3,982,234
Alkermes PLC(NON) 317,400 13,606,938
AMAG Pharmaceuticals, Inc.(NON) 344,500 10,992,995
Biogen Idec, Inc.(NON) 117,800 38,969,418
BioMarin Pharmaceutical, Inc.(NON) 194,600 14,042,336
Celgene Corp.(NON) 456,868 43,301,949
Cubist Pharmaceuticals, Inc.(NON)(S) 531,011 35,227,270
Gilead Sciences, Inc.(NON) 901,533 95,968,188
Inovio Pharmaceuticals, Inc.(NON)(S) 407,100 4,009,935
Neuralstem, Inc.(NON)(S) 2,365,294 7,758,164
Vertex Pharmaceuticals, Inc.(NON) 200,879 22,560,720
290,420,147
Building products (0.5%)
Assa Abloy AB Class B (Sweden) 270,443 13,868,584
NCI Building Systems, Inc.(NON) 303,100 5,880,140
19,748,724
Capital markets (2.1%)
Carlyle Group LP (The) 429,633 13,086,621
Charles Schwab Corp. (The) 1,252,600 36,813,914
FXCM, Inc. Class A 127,700 2,024,045
Greenhill & Co., Inc. 225,700 10,492,793
KKR & Co. LP 566,300 12,628,490
WisdomTree Investments, Inc.(NON)(S) 636,900 7,247,922
82,293,785
Chemicals (3.7%)
Air Products & Chemicals, Inc. 106,000 13,799,080
Axiall Corp. 502,600 17,998,106
Chemtura Corp.(NON) 882,400 20,586,392
Dow Chemical Co. (The) 386,100 20,247,084
Huntsman Corp. 745,500 19,375,545
Monsanto Co. 244,100 27,463,691
Symrise AG (Germany) 283,556 15,073,154
W.R. Grace & Co.(NON) 149,200 13,568,248
148,111,300
Commercial services and supplies (1.0%)
KAR Auction Services, Inc. 513,174 14,692,172
MiX Telematics, Ltd. ADR (South Africa)(NON) 290,613 2,714,325
Tyco International, Ltd. 468,290 20,871,685
38,278,182
Communications equipment (0.3%)
Qualcomm, Inc. 157,635 11,786,369
11,786,369
Consumer finance (0.5%)
American Express Co. 211,500 18,514,710
18,514,710
Containers and packaging (0.7%)
Packaging Corp. of America 211,700 13,510,694
Sealed Air Corp. 410,079 14,303,556
27,814,250
Diversified consumer services (0.2%)
Bright Horizons Family Solutions, Inc.(NON) 186,151 7,829,511
7,829,511
Diversified financial services (0.8%)
CME Group, Inc. 386,600 30,910,603
30,910,603
Diversified telecommunication services (0.1%)
Iridium Communications, Inc.(NON)(S) 676,206 5,984,423
5,984,423
Electrical equipment (0.8%)
AMETEK, Inc. 377,500 18,954,275
Eaton Corp PLC 212,500 13,466,125
32,420,400
Electronic equipment, instruments, and components (1.6%)
Anixter International, Inc. 267,218 22,670,775
Hollysys Automation Technologies, Ltd. (China)(NON) 670,600 15,081,794
SYNNEX Corp.(NON)(S) 371,800 24,029,434
61,782,003
Energy equipment and services (2.5%)
Aker Solutions ASA (Norway) 195,944 787,491
Aker Solutions ASA 144A (Norway)(NON) 650,255 6,477,500
Dril-Quip, Inc.(NON) 153,900 13,758,660
Halliburton Co. 732,300 47,240,673
Oil States International, Inc.(NON) 127,292 7,879,375
Schlumberger, Ltd. 219,800 22,351,462
98,495,161
Food and staples retail (1.8%)
Costco Wholesale Corp. 159,300 19,963,476
CVS Health Corp. 647,500 51,534,525
71,498,001
Food products (0.8%)
Mead Johnson Nutrition Co. 249,671 24,023,344
Pinnacle Foods, Inc. 182,625 5,962,706
S&W Seed Co.(NON)(S) 353,129 1,497,267
31,483,317
Health-care equipment and supplies (2.9%)
AtriCure, Inc.(NON) 253,576 3,732,639
GenMark Diagnostics, Inc.(NON)(S) 920,982 8,261,209
Medtronic, Inc. 478,100 29,618,295
Spectranetics Corp. (The)(NON)(S) 651,500 17,310,355
Tornier NV (Netherlands)(NON) 717,350 17,144,665
TransEnterix, Inc.(NON) 947,645 4,131,732
Zimmer Holdings, Inc. 335,600 33,744,580
113,943,475
Health-care providers and services (0.3%)
Premier, Inc. Class A(NON) 333,500 10,958,810
10,958,810
Health-care technology (0.2%)
Castlight Health, Inc. Class B(NON)(S) 181,500 2,348,610
Medidata Solutions, Inc.(NON)(S) 163,000 7,219,270
9,567,880
Hotels, restaurants, and leisure (4.0%)
Bloomin' Brands, Inc.(NON) 696,990 12,782,797
Dunkin' Brands Group, Inc. 401,000 17,972,820
Hilton Worldwide Holdings, Inc.(NON) 2,033,903 50,095,031
Intrawest Resorts Holdings, Inc.(NON) 488,273 4,721,600
Melco Crown Entertainment, Ltd. ADR (Hong Kong)(S) 929,600 24,439,184
Wyndham Worldwide Corp. 587,269 47,721,479
157,732,911
Household durables (1.9%)
Panasonic Corp. (Japan) 1,727,300 20,563,687
PulteGroup, Inc. 1,655,200 29,230,832
Whirlpool Corp. 186,700 27,192,855
76,987,374
Household products (0.3%)
Colgate-Palmolive Co. 182,200 11,883,084
11,883,084
Independent power and renewable electricity producers (0.5%)
Calpine Corp.(NON) 917,636 19,912,701
19,912,701
Industrial conglomerates (0.7%)
Siemens AG (Germany) 246,517 29,381,485
29,381,485
Insurance (1.4%)
American International Group, Inc. 257,700 13,920,954
Hartford Financial Services Group, Inc. (The) 788,300 29,364,175
Prudential PLC (United Kingdom) 617,095 13,706,169
56,991,298
Internet and catalog retail (3.6%)
Amazon.com, Inc.(NON) 149,677 48,261,852
Bigfoot GmbH (acquired 8/2/13, cost $3,495,144) (Private) (Brazil)(F)(RES)(NON) 159 2,160,833
Groupon, Inc.(NON)(S) 1,075,600 7,185,008
HSN, Inc. 303,200 18,607,384
Priceline Group, Inc. (The)(NON) 49,490 57,338,124
Zalando SE (acquired 9/30/13, cost $6,098,442) (Private) (Germany)(F)(RES)(NON) 254,320 6,215,588
Zalando SE (Germany)(NON) 87,773 2,383,527
142,152,316
Internet software and services (9.9%)
Alibaba Group Holding, Ltd. ADR (China)(NON) 514,752 45,735,715
Baidu, Inc. ADR (China)(NON) 108,700 23,721,601
eBay, Inc.(NON) 244,500 13,846,035
Facebook, Inc. Class A(NON) 1,495,000 118,164,800
Google, Inc. Class A(NON) 146,348 86,112,627
Google, Inc. Class C(NON) 158,748 91,654,745
Twitter, Inc.(NON) 252,200 13,008,476
392,243,999
IT Services (1.8%)
Visa, Inc. Class A(S) 340,900 72,737,833
72,737,833
Life sciences tools and services (1.2%)
Agilent Technologies, Inc. 479,700 27,333,306
Thermo Fisher Scientific, Inc. 151,853 18,480,510
45,813,816
Machinery (1.4%)
Middleby Corp. (The)(NON) 185,500 16,348,115
Pall Corp. 275,100 23,025,870
Wabtec Corp. 193,800 15,705,552
55,079,537
Marine (0.5%)
Kirby Corp.(NON) 166,100 19,574,885
19,574,885
Media (3.6%)
CBS Corp. Class B (non-voting shares) 138,000 7,383,000
Comcast Corp. Class A 1,024,527 55,099,062
DISH Network Corp. Class A(NON) 185,100 11,953,758
Liberty Global PLC Ser. C (United Kingdom) 430,000 17,636,450
Liberty Global PLC Ser. A (United Kingdom)(NON) 414,800 17,645,592
Live Nation Entertainment, Inc.(NON) 1,306,100 31,372,522
141,090,384
Metals and mining (0.5%)
Constellium NV Class A (Netherlands)(NON) 506,734 12,470,724
Reliance Steel & Aluminum Co. 127,300 8,707,320
21,178,044
Oil, gas, and consumable fuels (4.2%)
Cabot Oil & Gas Corp. 297,000 9,708,930
Cheniere Energy, Inc.(NON) 174,100 13,933,223
EOG Resources, Inc. 311,500 30,844,730
EP Energy Corp. Class A(NON) 477,100 8,339,708
Gaztransport Et Technigaz SA (France) 340,787 20,159,138
Gulfport Energy Corp.(NON) 355,800 18,999,720
Kodiak Oil & Gas Corp.(NON) 1,044,847 14,178,574
QEP Resources, Inc. 523,300 16,107,174
Scorpio Tankers, Inc.(S) 784,670 6,520,608
Suncor Energy, Inc. (Canada) 736,086 26,638,301
165,430,106
Personal products (0.9%)
Coty, Inc. Class A 1,118,000 18,502,900
Estee Lauder Cos., Inc. (The) Class A 216,100 16,146,992
34,649,892
Pharmaceuticals (4.5%)
AbbVie, Inc. 395,300 22,832,528
Actavis PLC(NON) 219,200 52,888,576
Allergan, Inc. 161,853 28,840,586
AstraZeneca PLC ADR (United Kingdom) 216,800 15,488,192
Bristol-Myers Squibb Co. 412,200 21,096,396
Cardiome Pharma Corp. (Canada)(NON) 457,745 4,087,663
Jazz Pharmaceuticals PLC(NON) 215,367 34,579,326
179,813,267
Professional services (0.2%)
TrueBlue, Inc.(NON) 374,500 9,459,870
9,459,870
Real estate investment trusts (REITs) (0.5%)
Altisource Residential Corp.(R) 282,339 6,776,136
American Tower Corp.(R) 136,502 12,780,682
19,556,818
Real estate management and development (0.4%)
RE/MAX Holdings, Inc. Class A 512,939 15,249,676
15,249,676
Road and rail (2.0%)
Genesee & Wyoming, Inc. Class A(NON) 106,825 10,181,491
Old Dominion Freight Line, Inc.(NON) 68,700 4,852,968
Union Pacific Corp. 583,000 63,208,860
78,243,319
Semiconductors and semiconductor equipment (2.8%)
Freescale Semiconductor, Ltd.(NON)(S) 742,895 14,508,739
Lam Research Corp. 345,666 25,821,250
Maxim Integrated Products, Inc. 590,500 17,856,720
Micron Technology, Inc.(NON) 1,530,173 52,423,727
110,610,436
Software (5.2%)
Activision Blizzard, Inc. 854,200 17,758,818
Cadence Design Systems, Inc.(NON) 797,900 13,731,859
Manhattan Associates, Inc.(NON) 225,219 7,526,819
Microsoft Corp. 1,091,900 50,620,484
Oracle Corp. 909,600 34,819,488
Red Hat, Inc.(NON) 527,600 29,624,740
SS&C Technologies Holdings, Inc.(NON) 283,620 12,448,082
Symantec Corp. 415,500 9,768,405
TiVo, Inc.(NON) 2,246,119 28,739,093
205,037,788
Specialty retail (1.9%)
Five Below, Inc.(NON)(S) 285,693 11,316,300
Gap, Inc. (The) 329,900 13,753,531
Home Depot, Inc. (The) 331,400 30,402,636
TJX Cos., Inc. (The) 334,944 19,818,636
75,291,103
Technology hardware, storage, and peripherals (5.3%)
Apple, Inc. 1,675,132 168,769,549
EMC Corp. 532,700 15,586,802
SanDisk Corp.(S) 182,455 17,871,467
Western Digital Corp. 81,800 7,960,776
210,188,594
Textiles, apparel, and luxury goods (1.7%)
Michael Kors Holdings, Ltd.(NON) 205,400 14,663,506
NIKE, Inc. Class B 391,000 34,877,200
Tumi Holdings, Inc.(NON)(S) 943,000 19,190,050
68,730,756
Tobacco (0.3%)
Philip Morris International, Inc. 144,700 12,067,980
12,067,980
Wireless telecommunication services (0.3%)
Vodafone Group PLC ADR (United Kingdom) 424,727 13,969,271
13,969,271
Total common stocks (cost $3,192,698,628) $3,908,098,839

U.S. TREASURY OBLIGATIONS (0.1%)(a)
Principal amount Value
U.S. Treasury Bonds 5s, May 15, 2037(i) $410,000 $548,855
U.S. Treasury Inflation Protected Securities 3 7/8s, April 15, 2029(i) 349,284 499,832
U.S. Treasury Notes
     3 1/2s May 15, 2020(i) 390,000 427,889
     2 1/4s July 31, 2021(i) 326,000 328,341
     1 1/4s November 30, 2018(i) 175,000 173,329
     2 1/8s, August 15, 2021(i) 113,000 112,748
Total U.S. treasury obligations (cost $2,090,994) $2,090,994

WARRANTS (—%)(a)(NON)
Expiration date Strike Price Warrants Value
Citigroup, Inc. 1/4/19 $106.10 1,682,858 $1,598,715
Neuralstem, Inc. Ser. J (acquired 1/3/14, cost $—)(F)(RES) 1/3/19 3.64 721,455 —
Total warrants (cost $1,699,687) $1,598,715

CONVERTIBLE PREFERRED STOCKS (—%)(a)
Shares Value
UNEXT.com, LLC zero % cv. pfd. (acquired 4/14/00, cost $10,451,238) (Private)(F)(RES)(NON) 125,000 $—
Total convertible preferred stocks (cost $10,451,238) $—

SHORT-TERM INVESTMENTS (6.0%)(a)
Principal amount/shares Value
Putnam Cash Collateral Pool, LLC 0.16%(d) Shares 187,341,870 $187,341,870
Putnam Short Term Investment Fund 0.06%(AFF) Shares 45,423,725 45,423,725
SSgA Prime Money Market Fund 0.01%(P) Shares 90,000 90,000
U.S. Treasury Bills with an effective yield of zero% February 19, 2015(i) $433,000 432,957
U.S. Treasury Bills with an effective yield of 0.10%, January 8, 2015(SEGSF) 3,998,000 3,997,808
U.S. Treasury Bills with an effective yield of 0.03%, October 16, 2014 390,000 389,995
U.S. Treasury Bills with an effective yield of 0.04%, October 23, 2014 1,770,000 1,769,959
Total short-term investments (cost $239,445,401) $239,446,314

TOTAL INVESTMENTS
Total investments (cost $3,446,385,948)(b) $4,151,234,862













FORWARD CURRENCY CONTRACTS at 9/30/14 (aggregate face value $80,560,413) (Unaudited)


Unrealized
Contract Delivery Aggregate appreciation/
Counterparty Currency type date Value face value (depreciation)
Barclays Bank PLC
Japanese Yen Sell 11/19/14 $19,746,931 $22,278,249 $2,531,318
JPMorgan Chase Bank N.A.
Euro Sell 12/17/14 10,133,138 10,440,597 307,459
UBS AG
Euro Sell 12/17/14 45,945,004 47,841,567 1,896,563
Total $4,735,340













OTC TOTAL RETURN SWAP CONTRACTS OUTSTANDING at 9/30/14 (Unaudited)
Upfront     Payments Total return Unrealized
Swap counterparty/ premium     Termination received (paid) by received by appreciation/
Notional amount received (paid)     date fund per annum or paid by fund (depreciation)
Deutsche Bank AG
units 296,764 $—      8/12/15 (3 month USD-LIBOR-BBA plus 0.36%) A basket (DBCTP15P) of common stocks $20,180
JPMorgan Chase Bank N.A.
baskets 96,185 —      7/16/15 (3 month USD-LIBOR-BBA plus 30 bp) A basket (JPCMPTMD) of common stocks (11,873)
Total$—     $8,307










Key to holding's abbreviations
ADR American Depository Receipts: represents ownership of foreign securities on deposit with a custodian bank
bp Basis Points
Notes to the fund's portfolio
Unless noted otherwise, the notes to the fund's portfolio are for the close of the fund's reporting period, which ran from July 1, 2014 through September 30, 2014 (the reporting period). Within the following notes to the portfolio, references to “ASC 820” represent Accounting Standards Codification 820 Fair Value Measurements and Disclosures, references to “Putnam Management” represent Putnam Investment Management, LLC, the fund's manager, an indirect wholly-owned subsidiary of Putnam Investments, LLC and references to “OTC”, if any, represent over-the-counter.
(a) Percentages indicated are based on net assets of $3,964,564,043.
(b) The aggregate identified cost on a tax basis is $3,446,210,416, resulting in gross unrealized appreciation and depreciation of $807,165,456 and $102,141,010, respectively, or net unrealized appreciation of $705,024,446.
(NON) Non-income-producing security.
(RES) Security is restricted with regard to public resale. The total fair value of this security and any other restricted securities (excluding 144A securities), if any, held at the close of the reporting period was $8,376,421, or 0.2% of net assets.
(AFF) Affiliated company. The rate quoted in the security description is the annualized 7-day yield of the fund at the close of the reporting period. Transactions during the period with Putnam Short Term Investment Fund, which is under common ownership and control, were as follows:
Name of affiliate Fair value at the beginning of the reporting period Purchase cost Sale proceeds Investment income Fair value at the end of the reporting period
Putnam Short Term Investment Fund * $53,391,813 $181,693,545 $189,661,633 $6,976 $45,423,725
* Management fees charged to Putnam Short Term Investment Fund have been waived by Putnam Management.

(SEGSF) This security, in part or in entirety, was pledged and segregated with the custodian for collateral on certain derivative contracts at the close of the reporting period.
(d) Affiliated company. The fund may lend securities, through its agent, to qualified borrowers in order to earn additional income. The loans are collateralized by cash in an amount at least equal to the fair value of the securities loaned. The fair value of securities loaned is determined daily and any additional required collateral is allocated to the fund on the next business day. The risk of borrower default will be borne by the fund’s agent; the fund will bear the risk of loss with respect to the investment of the cash collateral.
The fund received cash collateral of $187,341,870, which is invested in Putnam Cash Collateral Pool, LLC, a limited liability company managed by an affiliate of Putnam Management. Investments in Putnam Cash Collateral Pool, LLC are valued at its closing net asset value each business day. There are no management fees charged to Putnam Cash Collateral Pool, LLC. The rate quoted in the security description is the annualized 7-day yield at the close of the reporting period. At the close of the reporting period, the value of securities loaned amounted to $181,369,428. Certain of these securities were sold prior to the close of the reporting period.
(F) Security is valued at fair value following procedures approved by the Trustees. Securities may be classified as Level 2 or Level 3 for ASC 820 based on the securities' valuation inputs. At the close of the reporting period, fair value pricing was also used for certain foreign securities in the portfolio.
(i) Security was pledged, or purchased with cash that was pledged, to the fund for collateral on certain derivative contracts.
(P) Security was pledged, or purchased with cash that was pledged, to the fund for collateral on certain derivative contracts. The rate quoted in the security description is the annualized 7-day yield of the fund at the close of the reporting period.
(R) Real Estate Investment Trust.
(S) Security on loan, in part or in entirety, at the close of the reporting period.
Debt obligations are considered secured unless otherwise indicated.
144A after the name of an issuer represents securities exempt from registration under Rule 144A under the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registration, normally to qualified institutional buyers.
The dates shown on debt obligations are the original maturity dates.
Security valuation: Investments for which market quotations are readily available are valued at the last reported sales price on their principal exchange, or official closing price for certain markets, and are classified as Level 1 securities under ASC 820. If no sales are reported, as in the case of some securities that are traded OTC, a security is valued at its last reported bid price and is generally categorized as a Level 2 security.
Investments in open-end investment companies (excluding exchange traded funds), if any, which can be classified as Level 1 or Level 2 securities, are valued based on their net asset value. The net asset value of such investment companies equals the total value of their assets less their liabilities and divided by the number of their outstanding shares.
Market quotations are not considered to be readily available for certain debt obligations and other investments; such investments are valued on the basis of valuations furnished by an independent pricing service approved by the Trustees or dealers selected by Putnam Management. Such services or dealers determine valuations for normal institutional-size trading units of such securities using methods based on market transactions for comparable securities and various relationships, generally recognized by institutional traders, between securities (which consider such factors as security prices, yields, maturities and ratings). These securities will generally be categorized as Level 2. Short-term securities with remaining maturities of 60 days or less may be valued at amortized cost, which approximates fair value and are classified as Level 2 securities.
Many securities markets and exchanges outside the U.S. close prior to the close of the New York Stock Exchange and therefore the closing prices for securities in such markets or on such exchanges may not fully reflect events that occur after such close but before the close of the New York Stock Exchange. Accordingly, on certain days, the fund will fair value foreign equity securities taking into account multiple factors including movements in the U.S. securities markets, currency valuations and comparisons to the valuation of American Depository Receipts, exchange-traded funds and futures contracts. These securities, which would generally be classified as Level 1 securities, will be transferred to Level 2 of the fair value hierarchy when they are valued at fair value. The number of days on which fair value prices will be used will depend on market activity and it is possible that fair value prices will be used by the fund to a significant extent. At the close of the reporting period, fair value pricing was used for certain foreign securities in the portfolio. Securities quoted in foreign currencies, if any, are translated into U.S. dollars at the current exchange rate.
To the extent a pricing service or dealer is unable to value a security or provides a valuation that Putnam Management does not believe accurately reflects the security's fair value, the security will be valued at fair value by Putnam Management in accordance with policies and procedures approved by the Trustees. Certain investments, including certain restricted and illiquid securities and derivatives, are also valued at fair value following procedures approved by the Trustees. These valuations consider such factors as significant market or specific security events such as interest rate or credit quality changes, various relationships with other securities, discount rates, U.S. Treasury, U.S. swap and credit yields, index levels, convexity exposures and recovery rates. These securities are classified as Level 2 or as Level 3 depending on the priority of the significant inputs.
Such valuations and procedures are reviewed periodically by the Trustees. The fair value of securities is generally determined as the amount that the fund could reasonably expect to realize from an orderly disposition of such securities over a reasonable period of time. By its nature, a fair value price is a good faith estimate of the value of a security in a current sale and does not reflect an actual market price, which may be different by a material amount.
Forward currency contracts: The fund buys and sells forward currency contracts, which are agreements between two parties to buy and sell currencies at a set price on a future date. These contracts were used to hedge foreign exchange risk.
The U.S. dollar value of forward currency contracts is determined using current forward currency exchange rates supplied by a quotation service. The fair value of the contract will fluctuate with changes in currency exchange rates. The contract is marked to market daily and the change in fair value is recorded as an unrealized gain or loss. The fund records a realized gain or loss equal to the difference between the value of the contract at the time it was opened and the value at the time it was closed when the contract matures or by delivery of the currency. The fund could be exposed to risk if the value of the currency changes unfavorably, if the counterparties to the contracts are unable to meet the terms of their contracts or if the fund is unable to enter into a closing position.
For the fund's average contract amount on forward currency contracts, see the appropriate table at the end of these footnotes.
Total return swap contracts: The fund entered into OTC total return swap contracts, which are arrangements to exchange a market linked return for a periodic payment, both based on a notional principal amount, to gain exposure to specific markets or countriesand to gain exposure to specific sectors or industries.
To the extent that the total return of the security, index or other financial measure underlying the transaction exceeds or falls short of the offsetting interest rate obligation, the fund will receive a payment from or make a payment to the counterparty. OTC total return swap contracts are marked to market daily based upon quotations from an independent pricing service or market makers and the change, if any, is recorded as an unrealized gain or loss. Payments received or made are recorded as realized gains or losses. Certain OTC total return swap contracts may include extended effective dates. Payments related to these swap contracts are accrued based on the terms of the contract. The fund could be exposed to credit or market risk due to unfavorable changes in the fluctuation of interest rates or in the price of the underlying security or index, the possibility that there is no liquid market for these agreements or that the counterparty may default on its obligation to perform. The fund’s maximum risk of loss from counterparty risk is the fair value of the contract. This risk may be mitigated by having a master netting arrangement between the fund and the counterparty.
For the fund's average notional amount on OTC total return swap contracts, see the appropriate table at the end of these footnotes.
Master agreements: The fund is a party to ISDA (International Swaps and Derivatives Association, Inc.) Master Agreements (Master Agreements) with certain counterparties that govern OTC derivative and foreign exchange contracts entered into from time to time. The Master Agreements may contain provisions regarding, among other things, the parties’ general obligations, representations, agreements, collateral requirements, events of default and early termination. With respect to certain counterparties, in accordance with the terms of the Master Agreements, collateral posted to the fund is held in a segregated account by the fund’s custodian and with respect to those amounts which can be sold or repledged, is presented in the fund’s portfolio. Collateral posted to the fund which cannot be sold or repledged totaled $1,698,956 at the close of the reporting period.
Collateral pledged by the fund is segregated by the fund’s custodian and identified in the fund’s portfolio. Collateral can be in the form of cash or debt securities issued by the U.S. Government or related agencies or other securities as agreed to by the fund and the applicable counterparty. Collateral requirements are determined based on the fund’s net position with each counterparty.
Termination events applicable to the fund may occur upon a decline in the fund’s net assets below a specified threshold over a certain period of time. Termination events applicable to counterparties may occur upon a decline in the counterparty’s long-term and short-term credit ratings below a specified level. In each case, upon occurrence, the other party may elect to terminate early and cause settlement of all derivative and foreign exchange contracts outstanding, including the payment of any losses and costs resulting from such early termination, as reasonably determined by the terminating party. Any decision by one or more of the fund’s counterparties to elect early termination could impact the fund’s future derivative activity.
At the close of the reporting period, the fund did not have a net liability position on open derivative contracts subject to the Master Agreements.












ASC 820 establishes a three-level hierarchy for disclosure of fair value measurements. The valuation hierarchy is based upon the transparency of inputs to the valuation of the fund’s investments. The three levels are defined as follows:
Level 1: Valuations based on quoted prices for identical securities in active markets.
Level 2: Valuations based on quoted prices in markets that are not active or for which all significant inputs are observable, either directly or indirectly.
Level 3: Valuations based on inputs that are unobservable and significant to the fair value measurement.
The following is a summary of the inputs used to value the fund’s net assets as of the close of the reporting period:

 Valuation inputs
Investments in securities: Level 1 Level 2 Level 3
Common stocks*:
    Consumer discretionary $652,881,644 $22,947,214 $8,376,421
    Consumer staples 208,862,297 — —
    Energy 242,978,638 20,946,629 —
    Financials 243,846,024 28,790,894 —
    Health care 650,517,395 — —
    Industrials 483,344,603 43,250,069 —
    Information technology 1,064,387,022 — —
    Materials 182,030,440 15,073,154 —
    Telecommunication services 19,953,694 — —
    Utilities 19,912,701 — —
Total common stocks 3,768,714,458 131,007,960 8,376,421
Convertible preferred stocks — — —**
U.S. treasury obligations — 2,090,994 —
Warrants 1,598,715 — —
Short-term investments 45,513,725 193,932,589 —
Totals by level $3,815,826,898 $327,031,543 $8,376,421



Valuation inputs
Other financial instruments: Level 1 Level 2 Level 3
Forward currency contracts $— $4,735,340 $—
Total return swap contracts — 8,307 —
Totals by level $— $4,743,647 $—


* Common stock classifications are presented at the sector level, which may differ from the fund's portfolio presentation.
** Value of level 3 security is $—.
During the reporting period, transfers within the fair value hierarchy, if any, (other than certain transfers involving non-U.S. equity securities as described in Note 1) did not represent, in the aggregate, more than 1% of the fund's net assets measured as of the end of the period.
At the start and close of the reporting period, Level 3 investments in securities represented less than 1% of the fund's net assets and were not considered a significant portion of the fund's portfolio.

Fair Value of Derivative Instruments as of the close of the reporting period
Asset derivatives Liability derivatives
Derivatives not accounted for as hedging instruments under ASC 815 Fair value Fair value
Foreign exchange contracts $4,735,340 $—
Equity contracts 1,618,895 11,873
Total $6,354,235 $11,873


The volume of activity for the reporting period for any derivative type that was held at the close of the period is listed below and was as follows based on an average of the holdings of that derivative at the end of each fiscal quarter in the reporting period:
Forward currency contracts (contract amount)$116,000,000
OTC total return swap contracts (notional)$43,100,000
Warrants (number of warrants)2,400,000
   
  The following table summarizes any derivatives, repurchase agreements and reverse repurchase agreements, at the end of the reporting period, that are subject to an enforceable master netting agreement or similar agreement. For securities lending transactions, if applicable, see note "(d)" above, and for borrowing transactions associated with securities sold short, if applicable, see the "Short sales of securities" note above.
                   
      Barclays Bank PLC Deutsche Bank AG JPMorgan Chase Bank N.A. UBS AG   Total
                   
  Assets:                
  OTC Total return swap contracts*#    $–  $ 20,180  $–  $–    $20,180
  Forward currency contracts#    2,531,318  –  307,459  1,896,563    4,735,340
                   
  Total Assets  $2,531,318  $20,180  $307,459  $1,896,563  $4,755,520
                   
  Liabilities:                
  OTC Total return swap contracts*#    –  –  11,873  –    11,873
  Forward currency contracts#    –  –  –  –    –
                   
  Total Liabilities  $–  $–  $11,873  $–  $11,873
                   
  Total Financial and Derivative Net Assets    $2,531,318  $20,180  $295,586  $1,896,563    $4,743,647
  Total collateral received (pledged)##†    $2,523,951  $(2,320,000)  $90,000  $1,698,956    
  Net amount    $7,367  $2,340,180  $205,586  $197,607    
                   
* Excludes premiums, if any.
                   
†  Additional collateral may be required from certain brokers based on individual agreements.
                   
# Covered by master netting agreement.
                   
## Any over-collateralization of total financial and derivative net assets is not shown. Collateral may include amounts related to unsettled agreements.

For additional information regarding the fund please see the fund's most recent annual or semiannual shareholder report filed on the Securities and Exchange Commission's Web site, www.sec.gov, or visit Putnam's Individual Investor Web site at www.putnaminvestments.com



Item 2. Controls and Procedures:
(a) The registrant’s principal executive officer and principal financial officer have concluded, based on their evaluation of the effectiveness of the design and operation of the registrant’s disclosure controls and procedures as of a date within 90 days of the filing date of this report, that the design and operation of such procedures are generally effective to provide reasonable assurance that information required to be disclosed by the registrant in this report is recorded, processed, summarized and reported within the time periods specified in the Commission’s rules and forms.

(b) Changes in internal control over financial reporting: Not applicable
Item 3. Exhibits:
Separate certifications for the principal executive officer and principal financial officer of the registrant as required by Rule 30a-2(a) under the Investment Company Act of 1940, as amended, are filed herewith.

SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

Putnam Multi- Cap Growth Fund
By (Signature and Title):
/s/ Janet C. Smith
Janet C. Smith
Principal Accounting Officer
Date: November 26, 2014

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

By (Signature and Title):
/s/ Jonathan S. Horwitz
Jonathan S. Horwitz
Principal Executive Officer
Date: November 26, 2014

By (Signature and Title):
/s/ Steven D. Krichmar
Steven D. Krichmar
Principal Financial Officer
Date: November 26, 2014

EX-99.CERT 2 b_852certifications.htm EX-99.CERT b_852certifications.htm

Certifications

I, Jonathan S. Horwitz, the Principal Executive Officer of the funds listed on Attachment A, certify that:

1. I have reviewed each report on Form N-Q of the funds listed on Attachment A:

2. Based on my knowledge, each report does not contain any untrue statements of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by each report;

3. Based on my knowledge, the schedules of investments included in each report fairly present in all material respects the investments of the registrant as of the end of the fiscal quarter for which the report is filed;

4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) and internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) for the registrants and have:


a) designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which each report is being prepared;


b) designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;


c) evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of a date within 90 days prior to the filing date of this report, based on such evaluation; and


d) disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer and I have disclosed to each registrant’s auditors and the audit committee of each registrant’s board of directors (or persons performing the equivalent functions):


a) all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect each registrant’s ability to record, process, summarize, and report financial information; and


b) any fraud, whether or not material, that involves management or other employees who have a significant role in each registrant’s internal control over financial reporting.

/s/ Jonathan S. Horwitz
_____________________________

Date: November 25, 2014
Jonathan S. Horwitz
Principal Executive Officer













Certifications

I, Steven D. Krichmar, the Principal Financial Officer of the funds listed on Attachment A, certify that:

1. I have reviewed each report on Form N-Q of the funds listed on Attachment A:

2. Based on my knowledge, each report does not contain any untrue statements of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by each report;

3. Based on my knowledge, the schedules of investments included in each report fairly present in all material respects the investments of the registrant as of the end of the fiscal quarter for which the report is filed;

4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) and internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) for the registrants and have:


a) designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which each report is being prepared;


b) designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;


c) evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of a date within 90 days prior to the filing date of this report, based on such evaluation; and


d) disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer and I have disclosed to each registrant’s auditors and the audit committee of each registrant’s board of directors (or persons performing the equivalent functions):


a) all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect each registrant’s ability to record, process, summarize, and report financial information; and


b) any fraud, whether or not material, that involves management or other employees who have a significant role in each registrant’s internal control over financial reporting.

/s/ Steven D. Krichmar
_______________________________

Date: November 25, 2014
Steven D. Krichmar
Principal Financial Officer














Attachment A

NQ

Period (s) ended September 30, 2014
               Putnam Europe Equity Fund
               Putnam International Equity Fund
               Putnam Multi-Cap Growth Fund
               Putnam Small Cap Growth Fund
               Putnam International Value Fund

               Putnam VT Absolute 500 Fund
               Putnam VT American Government Income Fund
               Putnam VT Capital Opportunities Fund
               Putnam VT Diversified Income Fund
               Putnam VT Equity Income Fund
               Putnam VT George Putnam Balanced Fund
               Putnam VT Global Asset Allocation Fund
               Putnam VT Global Equity Fund
               Putnam VT Global Health Care Fund
               Putnam VT Global Utilities Fund
               Putnam VT Growth and Income Fund
               Putnam VT Growth Opportunities Fund
               Putnam VT High Yield Fund
               Putnam VT Income Fund
               Putnam VT International Equity Fund
               Putnam VT International Value Fund
               Putnam VT International Growth Fund
               Putnam VT Investors Fund
               Putnam VT Multi-Cap Value Fund
               Putnam VT Money Market Fund
               Putnam VT Multi-Cap Growth Fund
               Putnam VT Research Fund
               Putnam VT Small Cap Value Fund
               Putnam VT Voyager Fund