Hartford Funds Expands Multifactor ETF Product Suite with Launch of Two Low Volatility Multifactor ETFs

RADNOR, Pa.--()--Hartford Funds today announced the launch of two low volatility multifactor exchange-traded funds (ETFs), Hartford Multifactor Low Volatility US Equity ETF (ticker: LVUS) and Hartford Multifactor Low Volatility International Equity ETF (ticker: LVIN). Both multifactor ETFs are designed to deliver market-like equity returns while reducing portfolio volatility to help investors achieve their long-term financial goals.

“They were designed to reduce volatility for investors pursuing long-term growth potential while introducing positive exposure to other potentially return-enhancing factors such as value, momentum, quality and size.”

“These strategies arrive at a time when market volatility is top-of-mind for investors,” said Darek Wojnar, Head of ETFs at Hartford Funds. “They were designed to reduce volatility for investors pursuing long-term growth potential while introducing positive exposure to other potentially return-enhancing factors such as value, momentum, quality and size.”

The ETFs seek to track indexes, one focused on US equities and the other on developed (ex-US) and emerging markets, that are designed to balance risk across sectors and comprise securities primarily exhibiting low volatility characteristics while maintaining positive exposure to other potential return-enhancing factors. Consistent with Hartford Funds’ other multifactor ETFs, these low volatility multifactor ETFs seek to positively address many of the unintended risks found in traditional capitalization-weighted and single-factor ETFs. Both multifactor ETFs aim to offer full equity market return potential with less volatility over a complete market cycle.

The Hartford Multifactor Low Volatility US Equity ETF will carry an expense ratio of .29%, while Hartford Multifactor Low Volatility International Equity ETF will carry an expense ratio of .39%.

Investment Objectives

Hartford Multifactor Low Volatility US Equity ETF (LVUS) seeks to provide investment results that, before fees and expenses, correspond to the total return performance of an index that tracks the performance of exchange traded U.S. equity securities.

Hartford Multifactor Low Volatility International Equity ETF (LVIN) seeks to provide investment results that, before fees and expenses, correspond to the total return performance of an index that tracks the performance of companies located in both developed (ex-US) and emerging markets.

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 9 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 7 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 $87.1 billion as of March 31, 2017 (excluding assets used in certain annuity products). For more information about our investment family, visit www.hartfordfunds.com.

A Note About Risk

Hartford Multifactor Low Volatility International Equity ETF: The Fund is new and has a limited operating history. All investments are subject to risk, including the possible loss of principal. There is no guarantee the Fund will achieve its stated objective. The Fund may experience more than a minimum level of volatility as there is no guarantee that the underlying index’s strategy of seeking to lower volatility will be successful. Foreign investing involves special risks, such as risk of loss from currency fluctuation or political or economic uncertainty. These risks are generally greater for investments in emerging markets. Diversification does not eliminate the risk of experiencing investment losses. Due to the investment strategy of this Fund it may make higher capital gain distributions than other ETFs. Please read the Fund’s prospectus for specific details regarding the Fund’s risk profile.

Hartford Multifactor Low Volatility US Equity ETF: The Fund is new and has a limited operating history. All investments are subject to risk, including the possible loss of principal. There is no guarantee the Fund will achieve its stated objective. The Fund may experience more than a minimum level of volatility as there is no guarantee that the underlying index’s strategy of seeking to lower volatility will be successful. Diversification does not eliminate the risk of experiencing investment losses. Due to the investment strategy of this Fund it may make higher capital gain distributions than other ETFs. Please read the Fund’s prospectus for specific details regarding the Fund’s risk profile.

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.

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”) and the mutual funds’ distributor, Hartford Funds Distributors, LLC, as well as Lattice Strategies LLC (“Lattice”), a wholly owned subsidiary of HFMC effective July 29, 2016. Lattice is the investment adviser to the strategic beta ETFs. All ETFs are distributed by ALPS Distributors, Inc., which is not affiliated with Lattice, Wellington, or Hartford Funds.

HIG-W

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

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