Hartford Schroders ESG US Equity ETF will invest in a diversified portfolio of US equities and investments that meet certain environmental, social, and governance criteria
WAYNE, Pa.–(BUSINESS WIRE)–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 sub-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 equities and equity-related securities of U.S. companies and in investments that are expected to meet environmental, social, and/or governance criteria (“ESG”), 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 assessed quantitatively on their ESG criteria and factor characteristics, including: Value, Profitability, Momentum, and Low Volatility. ESG measures include, but are not limited to, the strength of environmental practices, climate change impact, and positive stakeholder relationships. HEET will seek to hold a diversified portfolio of US stocks with favorable combinations of ESG and factor exposures. Additionally, the Fund is designed to have less than half the carbon footprint, which is measured by carbon emissions divided by sales, of its benchmark.
“The Hartford Schroders ESG US Equity ETF enables us to offer a flexible, cost-effective strategy that is designed to help investors achieve their long-term investment goals, while also having a positive influence on our world,” said Vernon Meyer, Chief Investment 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 provide stronger returns and make for a better investor experience on multiple 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 serve as the portfolio manager of the ETF.
For more information about the Hartford Schroders ESG US Equity ETF, please visit here.
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 product line-up includes more than 50 mutual funds and ETFs in a variety of styles and asset classes. 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 March 31, 2021, Hartford Funds’ investment advisory business had approximately $145.2 billion in discretionary and non-discretionary assets under management. For more information about our investment family, visit http://www.hartfordfunds.com.
As a global investment manager, we actively and responsibly manage investments for a wide range of institutions and individuals, to help them meet their financial goals and prepare for the future. The world is forever changing, and with our clients at the center of everything we do, we understand the need to continue to adapt and evolve our business in line with what matters most to our clients today, and in the future.
Our ongoing success is built on a history of experience and expertise, whereby we partner with our clients to construct innovative products and solutions across our five business areas consisting of Private Assets & Alternatives through our Schroders Capital brand, Solutions, Mutual Funds, Institutional and Wealth Management, and invest in a wide range of assets and geographies. By combining our commitment to active management and focusing on sustainability, our strategic capabilities are designed to deliver positive outcomes for our clients.
We are responsible for $785.1 billion* assets of our clients, managed locally by 42 investment teams worldwide. As a global business with over 5,500 talented staff across 35 locations, we are able to stay close to our clients and understand their needs. We have over 200 years of experience in investment and innovation and remain committed to creating a better future by investing responsibly for our clients.
Further information about Schroders can be found at www.schroders.com/us.
*as of December 31, 2020