Hartford Funds enters ESG ETF market

WAYNE, PA – (COMMERCIAL THREAD) – Hartford Funds today announced the launch of its first ESG-focused exchange-traded fund (“ETF”), Hartford Schroders ESG US Equity ETF (CBOE: HEET), which will be under-advised by Schroder Investment Management North America Inc. and Schroder Investment Management North America Ltd. HEET seeks long-term capital appreciation by investing in a diversified portfolio of stocks and equity-linked securities of US companies and in investments that are expected to meet environmental, social and / or governance (“ESG” criteria) ), as identified by the Fund’s sub-advisers. The Fund will seek to achieve a better ESG profile compared to its benchmark, the Russell 1000 Index.

Using a systematic investment approach developed by Schroders, companies in the universe will be quantitatively assessed based on their ESG criteria and factor characteristics including: value, profitability, momentum and low volatility. ESG measures include, but are not limited to, the soundness of environmental practices, the impact of climate change and positive relationships with stakeholders. HEET will seek to hold a diversified portfolio of US equities with favorable combinations of ESG and factor exposures. Additionally, the Fund is designed to have less than half of the carbon footprint, which is measured by carbon emissions divided by sales, of its benchmark.

“The Hartford Schroders ESG US Equity ETF allows us to offer a flexible and profitable strategy that is designed to help investors achieve their long-term investment goals, while having a positive influence on our world,” said Vernon Meyer, Director of Investments. Officer at Hartford Funds. “We believe that applying ESG principles to an ETF and leveraging Schroders’ quantitative investing expertise and proprietary approach to ESG investing can generate higher returns and improve the investor experience at several levels.

HEET is listed on the CBOE BZX Exchange, Inc. and its estimated expense ratio is 0.39%. Ashley Lester, PhD, Head of Systematic Investments at Schroders, will act as the ETF’s portfolio manager.

For more information on the Hartford Schroders ESG US Equity ETF, please visit hartfordfunds.com.

About the Hartford Funds

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

The company’s product line includes more than 50 mutual funds and ETFs in a variety of styles and asset classes. Its mutual funds (except certain funds of funds) are sub-advised by Wellington Management or Schroder Investment Management North America Inc. The strategic beta ETFs offered by Hartford Funds are designed to help meet the changing needs of investors. by leveraging a unique risk. -optimized approach, which identifies the risks within each asset class, then deliberately and systematically reallocates the capital towards the risks most likely to improve the return potential. Excluding affiliated funds of funds, as of March 31, 2021, Hartford Funds’ investment advisory business managed approximately $ 145.2 billion in discretionary and non-discretionary assets. For more information on our investment family, visit http://www.hartfordfunds.com.

About Schröders

As a global investment manager, we actively and responsibly manage the investments of a wide range of institutions and individuals, to help them achieve their financial goals and prepare for the future. The world is constantly changing, and with our customers at the center of everything we do, we understand the need to continue to adapt and evolve our business based on what matters most to our customers today and beyond. the future.

Our continued success is built on a history of experience and expertise, through which we partner with our clients to create innovative products and solutions in our five business areas consisting of private assets and alternatives through our brand Schroders Capital, Solutions, Mutual Funds, Institutional and Patrimony. Manage and invest in a wide range of assets and geographies. By combining our commitment to active management and a focus on sustainability, our strategic capabilities are designed to deliver positive results to our clients.

We are responsible for $ 785.1 billion * in client assets, managed locally by 42 investment teams around the world. As a global company with over 5,500 talented employees across 35 locations, we are able to stay close to our customers and understand their needs. We have over 200 years of investment and innovation experience and remain committed to creating a better future by investing responsibly for our clients.

More information about Schroders can be found at www.schroders.com/us.

* as of December 31, 2020


Certain of the statements contained in this press release may be considered as 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 that actual results may differ materially. Investors should take into account the significant risks and uncertainties which may cause actual results to differ. These significant risks and uncertainties include those discussed in Hartford’s Quarterly Reports on Form 10-Q, our 2020 Annual Report on Form 10-K and other documents filed by Hartford with the Securities and Exchange Commission. We assume no obligation to update this version, which applies as of the date of publication.

From time to time, The Hartford may use its website to post important company information. Financial and other important information about The Hartford is regularly accessible and posted on our website at http://ir.thehartford.com. Additionally, you may automatically receive email alerts and other information about The Hartford when you register your email address by visiting the “Email Alerts” section at http://ir.thehartford.com .

Significant risks: The Fund is new and has a limited operating history. Investing involves risks, including the possible loss of capital. The net asset value (NAV) of shares in the Fund may fluctuate due to changes in the market value of the Fund’s assets. The price of the Fund’s shares may fluctuate due to changes in the relative supply and demand for shares on a stock exchange. The Fund is actively managed and does not seek to replicate the performance of a specified index. • The environmental, social and / or governance (ESG) investment strategy of the Fund limits the types and number of investment opportunities available to the Fund and, as a result, the Fund may underperform other funds. that are not ESG-focused. • In some cases, unlike other ETFs, the Fund may initiate and redeem some or all in cash rather than in kind, which may make the Fund less tax efficient and incur higher fees than ” an ETF that performs primarily or entirely in-kind creations and redemptions.

Brokerage commissions may apply and would reduce returns.

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

Exchange traded products are distributed by ALPS Distributors, Inc. (ALPS). Advisory services are provided by Hartford Funds Management Company, LLC (HFMC). Certain funds are sub-advised by Schroder Investment Management North America Inc. Schroder Investment Management North America Ltd. serves as a secondary sub-advisor to certain funds. Hartford Funds means Hartford Funds Distributors, LLC, member FINRA, HFMC and Lattice, which are not affiliated with ALPS or any sub-advisor.



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