ROPES & GRAY
                             ONE INTERNATIONAL PLACE
                              BOSTON, MA 02110-2624
                              PHONE: (617) 951-7000
                               FAX: (617) 951-7050

                                 August 19, 2002


Putnam International Growth Fund
The Putnam Funds
One Post Office Square
Boston, Massachusetts  02109

Putnam Emerging Market Fund
Putnam Investment Funds
The Putnam Funds
One Post Office Square
Boston, Massachusetts  02109

Ladies and Gentlemen:

         We have acted as counsel in connection with the Agreement and Plan of
Reorganization made as of April 30, 2002 (the "Agreement"), between Putnam
International Growth Fund, a Massachusetts business trust ("Acquiring Fund"),
and Putnam Investment Funds, a Massachusetts business trust, on behalf of one of
its series, Putnam Emerging Markets Fund ("Target Fund"). The Agreement
describes a proposed transaction (the "Transaction") to occur on August 19, 2002
(the "Closing Date"), pursuant to which Acquiring Fund will acquire
substantially all of the assets of Target Fund in exchange for shares of
beneficial interest in Acquiring Fund (the "Acquiring Fund Shares") and the
assumption by Acquiring Fund of certain stated liabilities of Target Fund,
following which, Acquiring Fund Shares received by Target Fund will be
distributed by Target Fund to its shareholders in liquidation and termination of
Target Fund. Capitalized terms not defined herein are defined in the Agreement.

         Target Fund is a series of the Putnam Investment Funds, which is
registered under the Investment Company Act of 1940, as amended (the "1940 Act")
as an open-end management investment company. Shares of Target Fund are
redeemable at net asset value at each shareholder's option. Target Fund has
elected to be a regulated investment company for federal income tax purposes
under Section 851 of the Internal Revenue Code of 1986, as amended (the "Code").

         Acquiring Fund is registered under the 1940 Act as an open-end
management investment company. Shares of Acquiring Fund are redeemable at net
asset value at each shareholder's option. Acquiring Fund has elected to be a
regulated investment company for federal income tax purposes under Section 851
of the Code.

NEW YORK                           PROVIDENCE                         WASHINGTON


ROPES & GRAY

                                      -2-                        August 19, 2002


         For purposes of this opinion, we have considered the Agreement, the
Target Fund proxy statement, and such other items as we have deemed necessary to
render this opinion. In addition, you provided us with a letter dated as of the
date hereof, representing as to certain facts, occurrences and information upon
which you have indicated that we may rely in rendering this opinion (whether or
not contained or reflected in the documents and items referred to above) (the
"Representations").

         Based on the foregoing Representations and our review of the documents
and items referred to above, we are of the opinion that for federal income tax
purposes:

     (i)    The Transaction will constitute a reorganization within the meaning
            of Section 368(a) of the Code, and Acquiring Fund and Target Fund
            will each be a "party to a reorganization" within the meaning of
            Section 368(b) of the Code;

     (ii)   No gain or loss will be recognized by Target Fund upon the transfer
            of Target Fund's assets to Acquiring Fund in exchange for Acquiring
            Fund Shares and the assumption by Acquiring Fund of the liabilities
            of Target Fund, or upon the distribution of Acquiring Fund Shares by
            Target Fund to its shareholders in liquidation;

     (iii)  No gain or loss will be recognized by Target Fund shareholders upon
            the exchange of their Target Fund Shares for Acquiring Fund Shares;

     (iv)   The aggregate basis of Acquiring Fund Shares that a Target Fund
            shareholder receives in connection with the Transaction will be the
            same as the aggregate basis of his or her Target Fund Shares
            exchanged therefor;

     (v)    A Target Fund shareholder's holding period for his or her Acquiring
            Fund Shares will be determined by including the period for which he
            or she held the Target Fund Shares exchanged therefor, provided that
            he or she held such Target Fund Shares as capital assets;

     (vi)   No gain or loss will be recognized by Acquiring Fund upon the
            receipt of the assets of Target Fund in exchange for Acquiring Fund
            Shares and the assumption by Acquiring Fund of the liabilities of
            Target Fund;


ROPES & GRAY

                                      -3-                        August 19, 2002


     (vii)  The basis in the hands of Acquiring Fund of the assets of Target
            Fund transferred to Acquiring Fund in the Transaction will be the
            same as the basis of such assets in the hands of Target Fund
            immediately prior to the transfer;

     (viii) The holding periods of the assets of Target Fund in the hands of
            Acquiring Fund will include the periods during which such assets
            were held by Target Fund; and

     (ix)   Acquiring Fund will succeed to and take into account the items of
            Target Fund described in Section 381(c) of the Code, subject to the
            conditions and limitations specified in Sections 381, 382, 383, 384
            of the Code and the Regulations thereunder.

         Our opinion is based on the Internal Revenue Code of 1986, as amended,
Treasury Regulations, Internal Revenue Service rulings, judicial decisions, and
other applicable authority, all as in effect on the date of this opinion. The
legal authorities on which this opinion is based may be changed at any time. Any
such changes may be retroactively applied and could modify the opinion expressed
above.

                                                     Very truly yours,

                                                     /s/ Ropes & Gray
                                                     Ropes & Gray