M&A - PUTNAM TAX EXEMPT INCOME FUND

Form Type: 497K

Filing Date: 2025-05-19

Corporate Action: Merger

Type: New

Accession Number: 000092881625000632

Filing Summary: On May 19, 2025, it was announced that the Putnam Tax Exempt Income Fund and other funds listed in Schedule A will undergo a conversion to exchange-traded funds (ETFs) anticipated to occur in the fourth quarter of 2025 or the first quarter of 2026. Shareholders of the mutual funds will have their shares converted into shares of the corresponding ETFs without needing to vote for approval. The Board of Trustees approved this conversion, believing it serves the best interests of shareholders, providing benefits like lower expenses and increased trading flexibility. A comprehensive plan outlines the reorganization, which includes transferring mutual funds' assets to ETFs and liquidating the mutual funds in the process. Shareholders will receive ETF shares equivalent to their mutual fund shares' net asset value (NAV) and are encouraged to consult tax advisors regarding potential taxable events from share redemptions. Additionally, effective July 19, 2025, all front-end sales charges and contingent deferred sales charges for purchasing or redeeming mutual fund shares will be waived.