80690 3/02
Prospectus Supplement
dated March 30, 2002 to:
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PUTNAM INTERNATIONAL GROWTH FUND
Class A Prospectus and Class Y Prospectus dated October 30, 2001

The following changes apply to the fund's prospectus:

The fund's Investment Category identified on the front cover of the
prospectus is changed to "Blend."

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The Trustees have eliminated the fund's policy of investing, under
normal market conditions, at least 65% of its total assets in the equity
securities of companies located in at least three countries other than
the United States.  Accordingly, the third sentence under the heading
"What are the fund's main investment strategies and related risks?" in
the prospectus is deleted.

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The following sentence is added to the end of the first paragraph under
the heading "What are the fund's main investment strategies and related
risks? - Derivatives."

"Investments in derivatives may be applied toward meeting a requirement
to invest in a particular kind of investment if the derivatives have
economic characteristics similar to that investment."

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The following paragraph replaces the disclosure that appears under the
heading "What are the fund's main investment strategies and related
risks? - Other investments."

"Other investments.  In addition to the main investment strategies
described above, we may make other investments, such as investments in
U.S. companies, preferred stocks, convertible securities and debt
securities, which may be subject to other risks, as described in the
SAI."

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The second paragraph and corresponding table under the heading "Who
manages the fund?" are replaced with the following:

"Putnam Management's International Core Team has primary responsibility,
and its members have joint responsibility, for the day-to-day management
of the fund's portfolio."

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The following changes apply to the fund's class Y prospectus:

The fifth and sixth paragraphs under the heading "How to buy shares" are
replaced with the following:

"Eligible purchasers.  A defined contribution plan (including a
corporate IRA) is eligible to purchase class Y shares if approved by
Putnam and if

* the plan, its sponsor and other employee benefit plans of the sponsor
  invest at least $150 million in Putnam funds and other investments
  managed by Putnam Management or its affiliates; or the average
  investment in Putnam-managed assets of accounts in the plan is at least
  $30,000, or

* the plan's sponsor confirms a good faith expectation that, within such
  period after initial purchase as is agreed by the sponsor and Putnam,
  investments in Putnam-managed assets will attain the level or average
  account size specified above, using the higher of purchase price or
  current market value, and agrees that class Y shares may be redeemed and
  class A shares purchased if that level is not attained.

College savings plans that qualify for tax-exempt treatment under
Section 529 of the Internal Revenue Code, bank trust departments and
trust companies, and other defined contribution plans, if approved by
Putnam, are also eligible to purchase class Y shares."