Hartford Funds Demystifies Strategic Beta ETFs in New Educational Whiteboard Video Series

“Strategic Beta ETFs Explained” Deciphers Growing Product Category for Advisors and Investors

RADNOR, Pa.--()--Hartford Funds today announced the launch of its whiteboard video series, “Strategic Beta* ETFs Explained,” which provides advisors and investors with brief lessons ranging from the basics to the intricacies of strategic beta.

“As the strategic beta category continues to grow both at Hartford Funds and in the marketplace at large, it’s important for investors and advisors to understand the role these products can play in portfolios and how to effectively implement them,” said Ted Lucas, head of Systematic Strategies and ETFs at Hartford Funds. “We created the ‘Strategic Beta ETFs Explained’ video series to break these concepts down into a digestible and engaging format so advisors and their clients can make better informed decisions to help investors reach their long-term goals.”

The series will explore everything from high level strategic beta concepts to details about how these ETFs can operate within a portfolio. The rationale behind creating the series stems, in part, from a Hartford Funds survey, which revealed that a lack of familiarity with these investment products has prevented both advisors and investors from exploring strategic beta strategies. In launching this series, Hartford Funds hopes to build broader awareness of strategic beta ETFs and how they can fit within client portfolios.

Each episode explores different aspects of strategic beta, including the following initial topics:

  • “The Space Between”: Strategic beta ETFs seek to bridge the gap between active and passive investing, offering lower costs than actively managed funds and the potential to outperform traditional market capitalization-weighted** ETFs.
  • “What is Strategic (or, Smart) Beta?”: A strategic beta ETF tracks a tailored index based on strategic market parameters such as value, quality and/or momentum for more thoughtful and targeted exposures.
  • “ETF Share Creation & Redemption”: ETF trading volume and inventory is not limited to what’s shown on most trading systems; shares can often actually be created and sold within moments.
  • “Demystifying ETF Liquidity”: Revealing the multiple dimensions of ETF liquidity, including the liquidity of an ETF’s underlying holdings as well as the ETF’s volume of trading on the secondary market.

New videos will be released on Hartford Funds’ whiteboard video microsite, with upcoming topics expanding on best practices for trading, the primary five factors explained, the importance of considering risk in ETF portfolios, factor blending and conflict, and implementing strategic beta ETFs in a portfolio.

*Strategic beta refers to investment strategies that emphasize the use of alternative weighting schemes to traditional market capitalization-based indexes.

** Market capitalization-weighted refers to a portfolio whose components are weighted according to the total market value of their outstanding shares.

About Hartford Funds

Founded in 1996, Hartford Funds is a leading asset manager, which provides mutual funds, ETFs, and 529 college savings plans. Using its human-centric investing approach, Hartford Funds creates strategies and tools designed to address the needs and wants of investors. Leveraging partnerships with leading experts, Hartford Funds delivers insight into the latest demographic trends and investor behavior.

The firm’s line-up includes more than 55 mutual funds in a variety of styles and asset classes, and 7 ETFs. Its mutual funds (with the exception of certain fund of funds) and active ETFs are sub-advised by Wellington Management or Schroder Investment Management North America Inc. The 5 strategic beta ETFs offered by Hartford Funds are designed to help address investors’ evolving needs by leveraging a unique risk-optimized approach, which identifies risks within each asset class and then deliberately and systematically re-allocates capital toward risks more likely to enhance return potential. Hartford Funds has mutual fund assets under management of $81.5 billion as of December 31, 2016 (excluding assets used in certain annuity products). For more information about our investment family, visit www.hartfordfunds.com.

Important Information: All investments are subject to risks, including the possible loss of principal. There is no guarantee that performance will be enhanced or that risk will be reduced for funds that seek to track indexes that are designed to provide exposure to certain factors. Exposure to such factors may detract from performance in some market environments.

Ordinary brokerage commissions apply.

Hartford Funds refers to Hartford Funds Management Group, Inc., and its subsidiaries, including the mutual funds’ and active ETFs’ investment manager, Hartford Funds Management Company, LLC (HFMC), the mutual funds’ distributor, Hartford Funds Distributors, LLC (HFD), Member FINRA, as well as Lattice Strategies LLC, a wholly owned subsidiary of HFMC, which serves as the investment adviser to strategic beta exchange-traded funds (ETFs). Certain funds are sub-advised by Wellington Management Company LLP or Schroder Investment Management North America Inc. Schroder Investment Management North America Ltd. serves as a secondary sub-adviser to certain funds. All ETFs are distributed by ALPS Distributors, Inc. (ALPS). Hartford Funds is not affiliated with any fund sub-adviser or ALPS.

Investors should carefully consider a fund’s investment objectives, risks, charges and expenses. This and other important information is contained in the fund’s prospectus and summary prospectus (if available), which can be obtained by visiting hartfordfunds.com. Please read it carefully before investing.

“The Hartford” is The Hartford Financial Services Group Inc. (HFSG) and its subsidiaries. HFD is a subsidiary of The HFSG.

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Some of the statements in this release may be considered forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. We caution investors that these forward-looking statements are not guarantees of future performance, and actual results may differ materially. Investors should consider the important risks and uncertainties that may cause actual results to differ. These important risks and uncertainties include those discussed in The Hartford’s Quarterly Reports on Form 10-Q, our 2016 Annual Report on Form 10-K and the other filings The Hartford makes with the Securities and Exchange Commission. We assume no obligation to update this release, which speaks as of the date issued.

From time to time, The Hartford may use its website to disseminate material company information. Financial and other important information regarding The Hartford is routinely accessible through and posted on our website at http://ir.thehartford.com. In addition, you may automatically receive email alerts and other information about The Hartford when you enroll your email address by visiting the "Email Alerts" section at http://ir.thehartford.com.

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Contacts

For Hartford Funds
Meg McDermott, 212-279-3115 x238
mmcdermott@prosek.com

Contacts

For Hartford Funds
Meg McDermott, 212-279-3115 x238
mmcdermott@prosek.com