Putnam Dynamic Asset Allocation Growth Fund Annual report 9 | 30 | 22 Asset allocation funds invest in a mix of many different types of investments to help weather changing market environments. FUND SYMBOL CLASS A PAEAX Putnam Dynamic Asset Allocation Growth Fund Annual report 9 |30 |22 Message from the Trustees 1 About the fund 2 Interview with your fund’s portfolio manager 6 Your fund’s performance 11 Your fund’s expenses 13 Consider these risks before investing 15 Terms and definitions 16 Other information for shareholders 19 Important notice regarding Putnam’s privacy policy 20 Trustee approval of management contract 21 Audited financial statements 26 Report of Independent Registered Public Accounting Firm 27 Federal tax information 136 Shareholder meeting results 137 About the Trustees 138 Officers 140 Message from the Trustees November 11, 2022 Dear Fellow Shareholder: Financial markets are reminding us that the journey to long-term returns often involves weathering periods of heightened volatility. This year, stocks and bonds have experienced losses, and U.S. gross domestic product has declined slightly. Persistent inflation has caused the U.S. Federal Reserve to raise interest rates to contain price pressures, an effort that may continue into 2023. At the same time, we are encouraged by recent economic data that suggests inflation rates are improving. While this challenging environment is a test of patience, you can be confident that Putnam portfolio managers are actively working for you. As the prices of many stocks and bonds move lower, our teams are researching new and attractive investment opportunities for your fund while assessing risks. We also would like to announce changes to the Board of Trustees. In July 2022, we welcomed Jennifer Williams Murphy and Marie Pillai as new Trustees. Both have a wealth of investment advisory and executive management experience. We also want to thank our Trustees who retired from the Board on June 30, 2022. Paul Joskow served with us since 1997, and Ravi Akhoury joined the Board in 2009. We wish them well. Thank you for investing with Putnam. Respectfully yours, Robert L. Reynolds Kenneth R. Leibler President and Chief Executive Officer Chair, Board of Trustees Putnam Investments About the fund A diversified portfolio pursuing growth worldwide Putnam Dynamic Asset Allocation Growth Fund is designed for investors seeking capital appreciation. The fund’s target mix of 80% stocks and 20% bonds has been developed to pursue this goal while moderating investment volatility. The managers believe that spreading fund holdings across a variety of asset classes can help to smooth performance compared with the more extreme market ups and downs that can happen when investing in only one type of asset. Active global research guides our portfolio decisions. Today, trends can spread quickly from one part of the world to affect markets everywhere. The portfolio managers of Putnam’s Global Asset Allocation group have extensive experience analyzing how opportunities and risks are connected across borders. They follow a disciplined process to adjust the portfolio as market conditions change. Robert J. Schoen Brett S. Goldstein, CFA Co-Chief Investment Officer, Co-Chief Investment Officer, Global Asset Allocation Global Asset Allocation Industry since 1990 Industry since 2010 At Putnam since 1997 At Putnam since 2010 Adrian H. Chan, CFA James A. Fetch Portfolio Manager Head of Portfolio Construction Industry since 2003 Industry since 1994 At Putnam since 2003 At Putnam since 1994 2 Dynamic Asset Allocation Growth Fund Diversification can help to reduce volatility over time. With today’s market volatility, investors should consider evaluating the effectiveness of a portfolio over a full market cycle. Recent history has demonstrated a diversified portfolio can perform competitively with an all-stock allocation in the long run. CUMULATIVE RETURNS: 12/31/99–9/30/22 25/75 Portfolio 80/20 Portfolio S&P 500 Index total return 400% 375% S&P500 350% 325% 300% 80/20 Portfolio 275% 250% 25/75 Portfolio 225% 200% 175% 150% 125% 100% 75% 50% 25% 0% -25% -50% 12/99 12/01 12/03 12/05 12/07 12/09 12/11 12/13 12/15 12/17 12/19 12/21 9/22 Note: 25/75 ➟ 25% S&P 500 Index, 75% Bloomberg U.S. Aggregate Bond Index; 80/20 ➟ 80% S&P 500 Index, 20% Bloomberg U.S. Aggregate Bond Index. Past performance is not indicative of future results. Other asset allocations may have had different returns during those time periods. All Bloomberg indices are provided by Bloomberg Index Services Limited. Diversification does not guarantee a profit or ensure against loss. It is possible to lose money in a diversified portfolio. Dynamic Asset Allocation Growth Fund 3 Performance history as of 9/30/22 Annualized total return (%) comparison The fund — class A shares Fund’s primary Fund’s secondary Fund’s Lipper before sales charge benchmark benchmark peer group median Putnam Dynamic Asset Russell 3000 Index Putnam Growth Mixed-Asset Target Allocation Growth Fund Blended Allocation Growth (PAEAX) Benchmark* Funds 11.39 7.12 9.34 7.13 7.25 7.91 6.47 8.62 7.70 5.19 3.50 3.83 3.07 3.95 2.89 LIFE OF FUND† 10 YEARS 5 YEARS 3 YEARS 1 YEAR (since 2/8/94) –18.53–17.63–18.48–17.48 Current performance may be lower or higher than the quoted past performance, which cannot guarantee future results. Share price, principal value, and return will fluctuate, and you may have a gain or a loss when you sell your shares. Performance of class A shares assumes reinvestment of distributions and does not account for taxes. Fund returns in the bar chart do not reflect a sales charge of 5.75%; had they, returns would have been lower. See page 5 and pages 11–13 for additional performance information. For a portion of the periods, the fund had expense limitations, without which returns would have been lower. To obtain the most recent month-end performance, visit putnam.com. All Bloomberg indices are provided by Bloomberg Index Services Limited. Lipper peer group median is provided by Lipper, a Refinitiv company. * Putnam Growth Blended Benchmark is a blended benchmark administered by Putnam Management and comprises 60% the Russell 3000 Index, 15% the MSCI EAFE Index (ND), 15% the Bloomberg U.S. Aggregate Bond Index, 5% the JPMorgan Developed High Yield Index, and 5% the MSCI Emerging Markets Index (GD). † The fund’s secondary benchmark, the Putnam Growth Blended Benchmark, was introduced on 12/31/94, which post-dates the inception of the fund’s class A shares. 4 Dynamic Asset Allocation Growth Fund Performance history as of 9/30/22 Annualized total return (%) comparison Recent broad market index and fund performance The fund — class A shares Fund’s primary Fund’s secondary Fund’s Lipper Cash before sales charge benchmark benchmark peer group median 0.62% (ICE BofA U.S. 3-Month Treasury Bill Index) Putnam Dynamic Asset Russell 3000 Index Putnam Growth Mixed-Asset Target Allocation Growth Fund Blended Allocation Growth U.S. bonds –14.60% (PAEAX) Benchmark* Funds (Bloomberg U.S. Aggregate Bond Index) 11.39 U.S. stocks 7.12 9.34 7.13 7.25 7.91 6.47 8.62 7.70 (S&P 500 Index) –15.47% 5.19 3.50 3.83 3.07 3.95 2.89 Fund’s primary benchmark –17.63% (Russell 3000 Index) LIFE OF FUND† 10 YEARS 5 YEARS 3 YEARS 1 YEAR (since 2/8/94) Fund’s secondary benchmark –18.48% (Putnam Growth Blended Benchmark) Putnam Dynamic Asset Allocation Growth Fund –18.53% (class A shares before sales charge) –18.53–17.63–18.48–17.48 This comparison shows your fund’s performance in the context of broad market indexes for the 12 months ended Current performance may be lower or higher than the quoted past performance, which cannot guarantee future results. 9/30/22. See page 4 and pages 11–13 for additional fund performance information. Index descriptions can be found Share price, principal value, and return will fluctuate, and you may have a gain or a loss when you sell your shares. on pages 17–18. Performance of class A shares assumes reinvestment of distributions and does not account for taxes. Fund returns in the All Bloomberg indices are provided by Bloomberg Index Services Limited. bar chart do not reflect a sales charge of 5.75%; had they, returns would have been lower. See page 5 and pages 11–13 for additional performance information. For a portion of the periods, the fund had expense limitations, without which returns would have been lower. To obtain the most recent month-end performance, visit putnam.com. All Bloomberg indices are provided by Bloomberg Index Services Limited. Lipper peer group median is provided by Lipper, a Refinitiv company. * Putnam Growth Blended Benchmark is a blended benchmark administered by Putnam Management and comprises 60% the Russell 3000 Index, 15% the MSCI EAFE Index (ND), 15% the Bloomberg U.S. Aggregate Bond Index, 5% the JPMorgan Developed High Yield Index, and 5% the MSCI Emerging Markets Index (GD). † The fund’s secondary benchmark, the Putnam Growth Blended Benchmark, was introduced on 12/31/94, which post-dates the inception of the fund’s class A shares. Dynamic Asset Allocation Growth Fund 5 Interview with your fund’s portfolio manager Interview with your fund’s portfolio manager Brett Goldstein discusses the investing environment and fund results for the 12 months ended September 30, 2022, as well as his outlook for financial markets. Brett, please describe investing conditions for the 12-month reporting period. Investors faced multiple headwinds during the period. Supply chain bottlenecks, slowing global growth, high inflation, and the Russia- Ukraine War weighed on investor sentiment. Of Brett S. Goldstein, CFA these concerns, controlling inflation remained Portfolio Manager a top priority of the U.S. Federal Reserve. In Brett is Co-Chief Investment Officer, November 2021, the Fed began tapering its Global Asset Allocation. He has an M.P.S. $120 billion-per-month bond-buying program, in Statistics, a B.S. in Finance, and a B.S. signaling it would raise interest rates in in Biometry and Statistics from Cornell University. Brett has been in the investment calendar 2022. industry since he joined Putnam in 2010. After a relatively calm start to the new year, Adrian H. Chan, CFA, James A. Fetch, Russia’s invasion of Ukraine on February 24 and Robert J. Schoen are also Portfolio caused a flight to safety. Investors shed Managers of the fund. growth-oriented stocks in favor of value- oriented, cyclical stocks. Yields on U.S. Treasuries rose and commodity prices soared. Inflation concerns spread globally. For the first time since 2018, the Fed increased interest rates, adding 0.25% to borrowing costs at its March 2022 meeting. The Fed pledged to make additional interest-rate hikes at its six remaining meetings in calendar 2022. Between May and September, the Fed raised interest rates four more times. The federal funds rate moved from 0.00%–0.25% at the start of the 6 Dynamic Asset Allocation Growth Fund Portfolio composition U.S. large-cap equity 45.0% International equity 15.6 U.S. investment-grade bonds 15.5 U.S. small- and mid-cap equity 7.9 U.S. money markets 5.8 U.S. high-yield bonds 4.6 Emerging market equity 3.9 Commodities 1.7 Allocations are shown as a percentage of the fund’s net assets as of 9/30/22. Cash and net other assets, if any, represent the market value weights of cash, derivatives, short-term securities, and other unclassified assets in the portfolio. Summary information may differ from the portfolio schedule included in the financial statements due to the inclusion of derivative securities, any interest accruals, the exclusion of as-of trades, if any, the use of different classifications of securities for presentation purposes, and rounding. Holdings and allocations may vary over time. Top 10 holdings HOLDING (PERCENTAGE OF FUND’S NET ASSETS) SECURITY TYPE SECTOR/INDUSTRY Apple, Inc. (3.4%) Common stocks Technology/Computers Microsoft Corp. (2.9%) Common stocks Technology/Software Amazon.com, Inc. (1.7%) Common stocks Consumer cyclicals/Retail Alphabet, Inc. Class A (1.2%) Common stocks Technology/Technology services Tesla, Inc. (0.9%) Common stocks Consumer cyclicals/Automotive Merck & Co., Inc. (0.8%) Common stocks Health care/Pharmaceuticals Procter & Gamble Co. (The) (0.8%) Common stocks Consumer staples/Consumer goods Eli Lilly and Co. (0.7%) Common stocks Health care/Pharmaceuticals Coca-Cola Co. (The) (0.7%) Common stocks Consumer staples/Beverage Exxon Mobil Corp. (0.7%) Common stocks Energy/Oil and gas This table shows the fund’s top 10 individual holdings and the percentage of the fund’s net assets that each represented as of 9/30/22. Short-term investments, to-be-announced (TBA) commitments, and derivatives, if any, are excluded. Holdings may vary over time. Dynamic Asset Allocation Growth Fund 7 period to 3.00%–3.25% by period-end. Many To reduce inflation, the Fed investors feared that the Fed’s hawkish policies will need to raise interest rates would tip the U.S. economy into a recession. faster and more than the market Stocks and bonds posted losses for the anticipates, in our view. 12-month reporting period. U.S. stocks, as measured by the S&P 500 Index, returned Brett Goldstein –15.47%. Non-U.S. stocks in developed markets, as measured by the MSCI EAFE Index decisions. Equity positioning in the first quarter [ND], fared worse, returning –25.13%. Emerging of calendar 2022 added value, as the fund market stocks, as measured by the MSCI benefited from short-term over- and under- Emerging Markets Index [GD], were among the weight positions, which took advantage of weakest performers, returning –27.80% for the equity market volatility. A modest overweight period. High-yield bonds returned –13.08%, as position in the second quarter of calendar 2022 measured by the JPMorgan Developed High offset some of these gains as stocks moved into Yield Index. Investment-grade bonds returned correction territory [a decline of 10% or more –14.60%, as measured by the Bloomberg U.S. from a recent high]. Underweight positioning in Aggregate Bond Index. August and September 2022 benefited results as stocks sank to annual lows. Credit spreads widened as interest rates rose. [Spreads are the yield advantage credit-sensitive In fixed income, the portfolio experienced a bonds offer over comparable-maturity U.S. small gain from a modest underweight position Treasuries. Bond prices rise as yield spreads to interest-rate risk, as yields rose sharply tighten and decline as spreads widen.] The with the Fed’s move toward tighter policy. yield on the benchmark 10-year U.S. Treasury We changed this position to neutral at the climbed from 1.52% at the start of the period beginning of February 2022. to 3.83% by period-end. Short-term yields rose The portfolio posted a loss from an even more, causing the yield curve to flatten or out-of-benchmark, modestly long position to invert at times. commodity risk, implemented at the beginning of March 2022. The position ranged from How did the fund perform for the 12 months modestly long to long over the remainder of ended September 30, 2022? the period. The fund’s class A shares returned –18.53%, Overall, security selection decisions boosted underperforming its primary benchmark, the performance. Our quantitative U.S. large-cap Russell 3000 Index, which returned –17.63% core equity strategy performed strongly, while for the period. The fund slightly underper- our quantitative international equity strategy formed the custom Putnam Growth Blended contributed a small gain. In quantitative Benchmark, which returned –18.48% for strategies, our team analyzes stock market the period. history to identify characteristics of stocks [factors] that have excess risk-adjusted returns. What strategies impacted fund performance Over the period, our valuation factors drove relative to the custom benchmark during the performance. Our fundamental U.S. large-cap reporting period? growth, opportunistic fixed income, and Overall, our dynamic asset allocation decisions emerging market equity strategies finished slightly aided performance. We adjusted the negative for the period. Our fundamental portfolio’s tactical allocation mix several times U.S. large-cap value strategy was a notable during the period. The largest boost to fund positive contributor. performance came from our equity allocation 8 Dynamic Asset Allocation Growth Fund