WAYNE, Pa.--(BUSINESS WIRE)--Hartford Funds today announced that it has launched the Hartford Schroders Securitized Income Fund (ticker:HITIX). Sub-advised by Schroder Investment Management North America Inc., the Hartford Schroders Securitized Income Fund seeks to provide current income and long-term total return consistent with preservation of capital by investing in securitized credit instruments. The Fund complements Hartford Funds’ collection of fixed income funds that invest across the yield curve in varying regions, sectors, and asset classes.
“Securitized credit has historically provided investors an avenue to higher potential returns while seeking to eliminate some downside risk,” said Vernon Meyer, Chief Investment Officer of Hartford Funds. “Leveraging Schroders’ institutional expertise in this space, we believe this solution is uniquely positioned to help retail investors achieve core portfolio construction needs: Emphasizing fixed income diversification beyond corporate credit, and seeking income and attractive total returns while offering capital preservation.”
Using a research-oriented process featuring a top-down examination of the markets, economy, and risk compensation, the Fund will invest in U.S. and foreign fixed and floating rate securitized credit instruments, including commercial mortgage-backed securities, asset backed securities, agency and non-agency residential mortgage-backed securities, collateralized loan obligations, collateralized mortgage obligations, and uniform mortgage-backed securities.
Michelle Russell-Dowe, Head of Securitized Credit at Schroders, will serve with Anthony Breaks as the Fund’s portfolio managers.
“We believe from a fundamental, technical, and valuation perspective, securitized products offer a unique opportunity today to provide income, and that our use of data and analytics enables us to effectively manage and monitor the downside of the asset class,” said Russell-Dowe. “We are also excited by the opportunities we believe are available to the Fund in the current cycle, where regulation of housing and consumers has resulted in balance sheet deleveraging for the consumer at a time when corporate securities appear to be uniquely leveraged.”
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, as well as a variety of multifactor and active ETFs. Its mutual funds (with the exception of certain fund 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 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. Excluding affiliated funds of funds, as of December 31, 2018, Hartford Funds Management Company, LLC and its wholly owned subsidiary, Lattice Strategies LLC, had approximately $104.8 billion in discretionary and non-discretionary assets under management. For more information about our investment family, visit http://www.hartfordfunds.com.
Schroders plc
As a global investment manager, we help institutions, intermediaries and individuals meet their goals, fulfil their ambitions, and prepare for the future. But as the world changes, so do our clients’ needs. That’s why we have a long history of adapting to suit the times and keeping our focus on what matters most to our clients.
Doing this takes experience and expertise. We bring together people and data to spot the trends that will shape the future. This provides a unique perspective which allows us to always invest with conviction. We are responsible for £449.4 billion (€508.2 billion/$593.3 billion)* of assets for our clients who trust us to deliver sustainable returns. We remain determined to build future prosperity for them, and for all of society. Today, we have 4,600 people across six continents who focus on doing just this.
We are a global business that’s managed locally. This allows us to always keep our clients’ needs at the heart of everything we do. For over 210 years and more than seven generations we’ve grown and developed our expertise in tandem with our clients’ needs and interests.
Further information about Schroders can be found at www.schroders.com/us.
