A variety of groups is a nonempty class of groups that is closed under subgroups, homomorphic images/quotients, and arbitrary direct products. Examples of varieties of groups are:
- Abelian groups.
- Groups of exponent $n$.
- Groups of solvability length at most $k$.
- Groups of nilpotency class at most $k$.
- All groups.
- Just the trivial group.
A pseudovariety of groups is a class of groups that is closed under subgroups, homomorphic images/quotients, and finite direct products. Examples of pseudovarieties of groups are:
- Finite groups.
- Solvable groups.
- Nilpotent groups.
- Any variety of groups.
If $\mathfrak{V}$ is a variety of groups, then for every group $G$ there is a least normal (in fact, fully invariant) subgroup $N$ of $G$ such that $G/N\in\mathfrak{V}$. This subgroup is called the *verbal subgroup of $G$ associated to $\mathfrak{V}$, and is often denoted $\mathfrak{V}(G)$. This can be established a number of ways, but to parallel the development for pseudovarieties and what you've done, we can do the following: let
$$\mathfrak{V}(G) = \bigcap\{N\triangleleft G\mid G/N\in \mathfrak{V}\}.$$
Note that since $\mathfrak{V}$ is nonempty, it must contain the trivial group (if $H\in\mathfrak{V}$, then $H/H\in\mathfrak{V}$). So the set we are intersecting is nonempty: it always contains $G$. Also we have that $\mathfrak{V}(G)$ is the kernel of the morphism
$$G\hookrightarrow \prod_{G/N\in\mathfrak{V}} G/N$$
induced by the projections. This gives an embedding of $G/\mathfrak{V}(G)$ into the product. This product is in $\mathfrak{V}$, because it is a product of groups in $\mathfrak{V}$. Since $G/\mathfrak{V}(G)$ is isomorphic to a subgroup of a group in $\mathfrak{V}$, it is itself in $\mathfrak{V}$, as desired.
The fact that it is fully invariant is a bit harder to do in this set-up, but it should be clear that the group is characteristic, since any automorphism of $G$ just shuffles the $N$.
Now, the argument above doesn't work for pseudovarieties, because a pseudovariety is not closed under arbitrary products, only finite products. But when $G$ is a finite group, then there are only finitely many subgroups $N$, so the argument goes through. Thus, for every pseudovariety $\mathfrak{P}$ and every finite group $G$, there exists a unique normal (in fact, characteristic) subgroup $\mathfrak{P}(G)$ such that $G/\mathfrak{P}(G)\in\mathfrak{P}$. The argument is exactly the same as the one above.